In 2017, KPMG was talking about a shift from “denial to acceptance” among property leaders who were beginning to see where PropTech will make a difference: in better decisions and lower costs. There was a general feeling that the impact and potential opportunities – and indeed threats – of PropTech would become widely accepted in the future.
“It is amazing that 89% agree with the statement that traditional real estate organisations need to engage with PropTech companies in order to adapt to the changing global environment, while 76% of respondents from non-technology businesses do not yet have a digital strategy. What an opportunity this represents for tech businesses!” Professor Andrew Baum, author of PropTech 3.0: The future of real estate
Today, Silver Lake – the global leader in technology investing, with about $39 billion in combined assets under management and committed capital and a team of approximately 100 investment and value creation professionals located around the world – took that opportunity and stepped into the PropTech scene by paying a staggering £2.2bn for Zoopla.
Babek Ismayil, Founder & CEO of OneDome, commented: “This is fantastic news for the PropTech industry. With property services being one of the largest sectors currently undertaking a major digital transformation process, we will continue to see more and more investment in PropTech from very serious players. Silver Lake is paying about 40% premium over the valuation ZPG had yesterday. It shows their belief and commitment towards the future of the industry. This will not only boost PropTech in general but will attract more serious financial players in the space. Watch the space!”