Development generation is a rising sector, which is why Brick & Mortar Ventures has raised a $97 million fund to put money into each and tool for construction-related industries.
The San Francisco mission fund was once based via structure tech funding veteran Darren Bechtel and is sponsored via high-profile company investment assets.
The fund objectives rising corporations creating leading edge tool and answers for the industries of structure, engineering, structure, and amenities control. The company has already invested in 16 corporations via an previous fund.
Bechtel, who serves as managing director, has been making an investment non-public capital into Constructed Global generation startups since 2012, starting together with his contribution as the biggest investor in a seed spherical for PlanGrid (bought via Autodesk in November 2018 for $875 million).
“We’re excited to officially announce our first institutional mission capital fund and publicly introduce our company strategic traders and companions,” stated Bechtel in a commentary. “Whilst angel making an investment throughout all kinds of verticals, I seen that out of my portfolio of more or less 40 corporations, the Constructed Global investments have been standout performers and gave the impression to be the beginning of a bigger development.”
He added, “Whether or not via excellent instinct, natural success, or one thing in between, my first 4 structure tech investments have been into the seed rounds of PlanGrid, BuildZoom, BuildingConnected, and Rhumbix. The speedy expansion, affect, and early good fortune of those corporations bolstered my conviction there was once ‘gold in them hills’ and now was once the time to take a position and double down on our constructed global tech funding thesis.”
Brick & Mortar’s cash got here from powerhouses within the structure price chain, together with Ardex, Autodesk, Cemex, Ferguson Ventures, FMI, Glodon, Haskell, Hilti, Obayashi, Sidewalk Labs, and United Leases.
Such organizations revel in a strategic dating with the Brick & Mortar crew in order that each and every is in a position — if it chooses — to percentage data regarding demanding situations its group faces; collaborate on alternatives it sees; and discover rising generation answers that could be to be had for proof-of-concept pilots, codevelopment, or business use.
The Bechtel Workforce — a 120-year-old multinational engineering and structure company based via Darren’s great-great-grandfather and run nowadays via his brother, Brendan Bechtel — isn’t an investor in Brick & Mortar or any of its portfolio corporations. On the other hand, because of Darren’s familial and previous skilled dating with Bechtel, Brick & Mortar considers the corporate a most well-liked spouse, together with its anchor traders.
Those companions paintings with Brick & Mortar to spot demanding situations, discover answers, and imagine the advantages presented via early-stage corporations, whether or not or now not Brick & Mortar is an investor within the startup in query. Along with the person reinforce and partnership between the company and each and every Most popular Trade Spouse, Brick & Mortar facilitates knowledge-sharing and direct collaboration.
“We’re excited to be a Restricted Spouse of Brick & Mortar and reinforce their efforts to boost up promising startups which might be creating built-for-purpose answers for the development ,” stated Kevin Barnes, managing director at Ferguson Ventures, in a commentary. “Darren, his crew, and the taking part industry-leading LPs will upload super capacity to our .”
Since its preliminary final of its first fund in January 2018, Brick & Mortar has already constructed up a portfolio of 16 offers from its present fund: ManufactOn, FieldWire, Severe Labs, BuildingConnected (bought via Autodesk), Department Generation, Canvas, Cumulus, Attach Properties, Illumagear, SafeAI, Veerum, Ynomia, Curbio, Wingtra, Trees, and SafeSite.
The company plans to proceed to guide seed and sequence A rounds globally with a focal point at the U.S., Canada, Europe, and Australia and to take a position between $1 million and $four million into new alternatives, with reserved capital for follow-on participation over the lifetime of its portfolio corporations.
“Brick & Mortar has proven a real dedication to making price for his or her LPs, now not simply speaking about it,” stated Cutler Knupp, director of technique and generation investments at Dysruptek, the CVC arm of Haskell, in a commentary. “Trade experience, together with a disciplined focal point on actual answers that scale, units Brick & Mortar aside. They’ve an actual hobby for advancing generation within the AEC , and it presentations with the standard of investments and willingness to get a bit dust on their boots. The crew works hand in hand with us (the LP’s) and their portfolio corporations as a real spouse to construct lasting price.”
Thru Brick & Mortar’s experience and strategic LP relationships, the portfolio founders acquire get admission to to incomparable enjoy and connections to main avid gamers within the structure price chain. Brick & Mortar supplies detailed comments on product/marketplace are compatible, is helping form the product roadmap, and is helping corporations land an early POC or pilot with a pathway to scale.
The present crew of 5 is composed of Darren Bechtel, Alice Leung, Kaustubh Pandya, Curtis Rodgers, and Austin Yount.