IoT startup SmartRent secures $32 million to provide smart home automation for property managers and renters
SmartRent, a smart home automation and internet of things platform startup for the multifamily industry, has closed a $32 million Series B funding round to help bolster its leadership position within the smart apartment market by investing in additional development resources and optimizing its ability to perform rapid, large-scale deployments. The round was led by Bain Capital Ventures along with additional investment from RET Ventures and leading multifamily operators including UDR, Inc., Essex Property Trust, and Starwood Capital.
Founded just two years ago by Lucas Haldeman, SmartRent is a smart home automation platform startup for property managers and renters. The SmartRent solution is designed to provide property managers with seamless visibility and control over all their assets while delivering additional revenue opportunities through all-in-one home control offerings for residents.
Since its inception in 2017, SmartRent has more than 40,000 units currently installed and 66,000 additional units under agreement for 2019 – a 145% year-over-year increase – with some of the largest multifamily organizations in North America.
SmartRent provides the technology lynchpin that enables apartment property owners and managers to save thousands of dollars per property on operating costs while driving increased revenue as its smart home platform reflects resident’s tech-infused lifestyles and is considered a valuable amenity.
UDR, a leading multifamily real estate investment trust, is among many large multifamily owner/operators utilizing SmartRent’s end-to-end smart home technology solution to streamline operations, protect assets, and enhance resident experience. UDR identified smart home technology as a key area of investment and has plans to implement a variety of SmartRent’s offerings, including smart locks, thermostats, light switches, and leak sensors, in 20,000 units by the end of summer 2019. UDR’s SmartRent deployment will boost top- and bottom-line growth for the multifamily organization as residents are willing to pay a premium for new smart home technologies connected and controlled through one application and the technology offers significant benefits to controllable expenses.
“Since implementing SmartRent’s smart apartment technology, the feedback from residents and employees alike has been very positive,” said Jerry Davis, President and COO, UDR. “With SmartRent’s help, UDR continues to be on the forefront of innovation and addressing our customers’ wants.”
“Smart home technology adoption within multifamily organizations is booming, and SmartRent is the clear leader within the space,” said Matt Harris, partner, Bain Capital Ventures. “Our firm’s expertise in helping emerging technology companies effectively scale in large markets perfectly aligns with SmartRent’s aspirations for expansion. We are excited to partner with the team to build a world-class business that capitalizes on a major market need.”
In addition to Bain Capital Ventures providing support for SmartRent, former Invitation Homes CEO Fred Tuomi will be joining the company’s Board of Directors. Throughout his 35-year career, Tuomi solidified himself as an innovative leader within the residential rental industry by serving in executive positions at Starwood Waypoint Homes and Equity Residential while also serving on numerous industry boards and executive committees, including the National Home Rental Council, National Multifamily Housing Council, California Housing Council, California Apartment Association, and the USC Lusk Center for Real Estate. He currently serves on the advisory board of the Neighborhood Investment Company and Cure Violence.
“We’re proud that so many innovators within the real estate, technology, and investment communities see the value in our platform and are committed to helping us grow,” said Lucas Haldeman, CEO, SmartRent. “SmartRent continues to perform well as multifamily organizations that own and control more than 1.4 million units are either in the pilot process or are actively deploying the SmartRent solution across their portfolio. This round of funding will help SmartRent accelerate these deployments and develop additional capabilities to solidify our leadership position in what is quickly becoming a must-have technology for the multifamily industry.”