Buildium, a company providing a SaaS property management platform, just announced it has secured a $65 million round of investment, led by new investor Sumeru Equity Partners (SEP). The funds will be used for product development, allowing for innovation and expansion of its platform.
Jason Babcoke, managing director at the Silicon Valley-based private equity firm, SEP, credited Buildium's "customer-first philosophy" and its "founder-led team" in a statement, and said Buildium has grown from a startup to an "established market leader."
This investment follows the venture’s 2015 acquisition of All Property Management. And with the funds, Babcoke and a fellow managing director at SEP, John Brennan, will join Buildium’s board of directors.
Buildium is working to accelerate its growth and focus on product development to accommodate shifts in the real estate market. According to a study from Urban Institute, “59 percent of new household formations over the next 15 years will be renters.” As a result, property managers will continue to experience an influx of duties associated with the rental and management processes. Buildium’s offering is designed to enable these professionals to manage their accounting - such as rent collection - manage maintenance inquiries and inspections, handle communications with tenants digitally, advertise vacant units and screen applicants.
“Since our inception, we have always been a customer-centric organization,” Michael Monteiro, co-founder and CEO of Buildium, said in a statement.
