Proptech Firm Reonomy Raises $16M in Latest Funding Round
Real estate technology startup Reonomy has sealed its latest funding round after securing $16 million from a group of investors led by existing backer Bain Capital Ventures, the proptech firm announced this morning.
The Series C round takes Reonomy’s total capital raised to more than $38 million since the company’s founding in 2013. In addition to receiving additional investment from previous backers Bain Capital and Silicon Valley Bank, the firm also secured funding from the likes of Marcus & Millichap subsidiary MMC Technology Ventures, billionaire businessman John Catsimatidis’ Red Apple Group and Jaws Estates Capital, the family office of Starwood Capital Group head Barry Sternlicht.
Reonomy develops and runs an online platform offering a wide array of property data—including building history, owner information, sales and financing history, and zoning and tax data—to the real estate investors, brokers, lenders and appraisers that make up its clientele. While the Flatiron District-based company launched with a focus on its home New York City market, Reonomy expanded its platform nationally last year and now claims information on more than 45 million properties in 3,000 counties across the country.
The proptech firm plans to deploy the funds from the latest round to further invest in research and development for its enhanced data platform, as well as to help grow its roughly 30-person staff—a headcount that Reonomy co-Founder and CEO Richard Sarkis said he’d like to double “within the next 12 to 18 months.”
“We’ve spent years and millions of dollars developing a unique data asset, and this [funding] is going to help us invest further in R&D,” Sarkis told Commercial Observer.
In addition to expanding nationally last year, Reonomy started servicing “enterprise customers” who—unlike subscribers who log in and access the platform online—receive property data directly from the firm via an API data feed that is “piped into their system,” Sarkis said.
Sarkis compared the new enterprise offering to how financial software and data giant Bloomberg LP is able to provide its clientele with a stream of market data through products like the Bloomberg Terminal. Commercial brokerage giant Newmark Knight Frank is among the enterprise clients now relying on the API feed to receive data from Reonomy for its own in-house operational use.
Raj Bhatti, NKF’s chief technology officer, said in a statement that the brokerage’s use of Reonomy data is part of an effort “to integrate several systems into a single interface to create a game-changing tool for our professionals.” He described Reonomy as “a core part of the sophisticated resource we are building” with the goal of making “powerful data accessible to employees across our organization.”
Alex Yarmolinsky, managing director of MMC Technology Ventures—the Marcus & Millichap proptech investment arm that pitched into the $16 million funding round—said in a statement that Reonomy’s “dedication to providing superior data and analyses will help the commercial real estate industry harness machine learning and data science.”
“Their tools empower commercial brokers everywhere to achieve their goals with greater efficiency, and we’re excited to become an investor in Reonomy,” he said.