March 7, 2022
Commercial Real Estate Technology Platform Keyway Kicks Off Year With $70M Raise To Power Property Acquisitions
The funding will scale its property acquisitions for small to medium size businesses throughout the U.S.
NEW YORK, N.Y. - Keyway, a commercial real estate technology platform for small and medium-sized business owners, today announced a $70M million financing round led by Cross River, i80 Group, and several community banks. Following the $15M seed round led by Canvas Ventures late last year, Keyway will use the new financing to scale its under $10M net-leased medical, dental and veterinary property acquisitions across the United States.
Combining deep technology and CRE experience, the Keyway team has been tackling the growing real estate market by improving the experience for small to medium-sized businesses and their investors. According to a recent survey, 91% of Real Estate Investment Trusts (REITs) said their focus is on deals above $10 million dollars. Yet properties valued at less than $10 million dollars account for one third of the US commercial real estate value. Keyway focuses on this under $10 million dollar segment and uses data and machine learning to reduce closing time by 90% and fees by 50%. With transactions already completed in several states including Georgia and Texas, the company has over $250M in its pipeline.
“Most institutional funds target larger assets,” said Rahul Jha, Head of Strategic Direct Lending at Cross River. “By focusing on the under $10M assets, Keyway is filling a key access gap for investors by providing useful data and simplifying the entire process, from start to finish.”
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