This article details recent news about the venture company MetaProp Ventures and real estate company Prudential.
While many traditional companies see startups disrupting their industries, some like real estate company Prudential don’t see competition. They see opportunity.
Specifically, that opportunity includes a $40-million USD venture capital funding round. The goal, ostensibly, would be to promote real estate tech startup growth.
So what is MetaProp Ventures and how did they attract a cornerstone real estate group?
Why MetaProp Garnered Major Attention
The real estate industry is not known for its early tech adoption. While systems such as MLS and other listing interfaces have improved, real estate remains a very traditional type of industry.
But that’s why VC firms started scouting real estate tech talent to support.
MetaProp Ventures II LP describes itself as the world’s leading PropTech investment for early-stage startups. They advise and provide startup acceleration, as well. Their portfolio includes 90+ tech companies — all involved in the real estate value chain.
They have a pilot program to test in their 15+ billion square foot test-ready sandbox thanks to their various investments in real estate startups across the world.
In fact, location is such a crucial part of their structure that it appears in their company tagline twice. “Location, location, innovation.”
Prudential’s Role in the Future of Real Estate Startups
MetaProp functions kind of like a “middleman” in that it connects small startups with more enterprise level and traditional companies. The startups can leverage their targeted research to improve the overall technology and ecosystem in the industry.
The startups also gain access to resources they wouldn’t have otherwise had thanks to MetaProp’s connection to bigger companies. It’s a win/win all around.
That’s why Prudential, CBRE Group Inc, RXR Realty, and others all got in on the next funding round for MetaProp’s ventures.
These bigger companies stand to benefit from smaller pioneers like VTS.
Their new product — MarketView — lets real estate companies compare company performance against industry benchmarks. VTS also helps to automate asset-management and the leasing process.
Bringing Change to Change-Resistant Markets
Real estate remains one of the most change-resistant markets on earth. Innovation is the only way forward, especially as we move toward an automated future.
From home construction and retail to small stakes IoT companies like Leetchi, everyone will have to adopt new tech sooner rather than later.
That’s why local initiatives such as the Innovation District in Houston matter so much. Cities and local businesses can influence greater movements across many industries.
Perhaps MetaProp and these early traditional real estate adopters will lead the charge in reshaping the future of how we buy, sell, lease, and market property.
How else could startups improve the change-averse real estate industry?