​APG, Aldar Properties, Sellar back Pi Labs proptech fund

APG, Aldar Properties and Sellar are among a group of investors committing capital to a fund managed by property technology venture capital firm Pi Labs.

Pi Labs said it has secured $90m (€77.8m) for its oversubscribed Pi Labs Fund 3 (Fund III) fund, which will back “startups revolutionising the real estate world through technology”.

The firm said the final close welcomed investors including the largest Dutch pension provider APG, listed UAE developer Aldar and Sellar, the developer behind London’s tallest skyscraper the Shard.

Fund III’s final close was also backed by King’s Cross Central Limited Partnership which is backed by Argent, AustralianSuper and Federated Hermes.

Other investors include Hong Kong-based developers Sino Group and Swire Properties, Nordic sustainable construction solutions firm Kiilto, Canadian Hopewell Group and Germany’s Jaeger Gruppe, Pi Labs said.

As previously reported, Fund III also received capital commitments from commercial property firms Helical, Gaedeke and Europi Property Group.

In July last year, UK-focused real estate fund manager Moorfield Group and Irish multi-family office Elkstone Partners also committed to Fund III.

The latest limited partners join an existing list of investors including Great Portland Estates, Patrizia, Assura, Revcap and Embassy Group.

Pi Labs said it expects to supplement the fund’s capital with additional co-investment capital both in early-stage funding rounds, as well as during later stage equity raises.

Faisal Butt, the CEO and founder of Pi Labs, said: “Raising close to $100m against the backdrop of the Covid-19 pandemic is unprecedented for a fund that primarily targets early-stage proptech ventures.

“The global profile of our latest fund’s LPs reflects the surge in institutional allocation towards the proptech sector, and an increased awareness of how startups are successfully scaling and solving critical, large-scale industry issues.

“Our fund being 40% oversubscribed positions us to deploy significant quantities of capital, alongside blue-chip institutions, into global markets where proptech startups are reshaping real estate sub-sectors prime for disruption.”

James Sellar, CEO at Sellar, said: “Sellar’s investment in Pi Labs’ latest fund reflects the importance that we place in supporting technologies that will drive the evolution and digital transformation of the built environment sector.

“The startups that Pi Labs invests in are ultimately the ones that will solve the industry pressure points and challenges, including achieving a cleaner and greener world, which is fundamental when Sellar undertakes development projects.”

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