REdimension Capital, an investment firm focused on reshaping the future of South African real estate, has announced the first close of its inaugural fund, the REdimension Real Estate Technology and Sustainability Fund I. This fund is dedicated to investing in early-stage technology companies that bring demonstrable advancements to property development, management, and engagement. 

The primary focus of the REdimension fund is investing in companies at the intersection of real estate and technology, targeting high-impact solutions that address the sector’s challenges. This includes technologies: 

• That enhance asset experiences.
• Streamline management processes, 
• Drive the digitalization of the real estate industry. 

A core principle of the fund’s mandate is sustainability. It aims to support technologies promoting energy efficiency, reduced carbon footprints, and positive contributions to local communities, fostering climate resilience and social inclusion.

The fund successfully achieved its initial fundraising target, by securing total commitments of over R200 million. It garnered support from leading stakeholders in the real estate sector, including Investec Property Fund, Growthpoint Properties, and Rand Merchant Bank, who anchored the fund amongst other investors. Additional strategic commitments are anticipated before the final close scheduled for January 2025.

The fund is committed to propelling the growth of property technology in South Africa, as expressed in a statement given by the founders of REdimension Capital, Peter Clark and Matthew Marshall. They said: “We are thrilled to have achieved a first close for the REdimension Real Estate Technology and Sustainability Fund I. It marks a significant milestone in the evolution of property technology investment in South Africa. We are grateful for the support received from our founding investors and look forward to delivering for them while creating a meaningful and lasting positive impact on the markets in which we operate.“

This fund is set to further advance proptech solutions in Africa

The African property technology sector is still growing with opportunities for innovation and investment. Last year, investment in the African proptech space stood at approximately $50 million, with South Africa accounting for 12.5% of that amount, ranking in third position after  Morocco and Egypt. 

Source: Estate Intel

Through the disbursement of this fund, we’re expecting to see more unique and effective technology solutions rolled out to solve pressing issues in the real estate and property sector in South Africa thus advancing South Africa’s profile in the continent’s proptech sector. This follows the $4.9 million funding of Estate Waves’ Meta Egypt to improve the visibility of Egypt’s property market. These continued investments point to opportunities for founders and investors alike to build profitable proptech solutions for the continent.

Estate Intel loves your feedback! Let the Estate Intel Insights team know what you think about REdimension Capital’s Dedicated Proptech Fund by sending an email to [email protected].

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