The number of proptech deals struck last year across the globe nudged down 6.7% compared with 2018, while total money invested reached a record high of $2.6bn, new research shows.
According to KPMG’s Pulse of Fintech report, which covers global proptech investment, a total of 105 deals were clinched in 2019, slightly down from 112 deals made the previous year.
However, the total amount of money pumped into proptech reached the highest on record since 2013. $2.6bn was invested into the sector in 2019, compared with $1.9bn in 2018.
Andy Pyle, UK head of real estate at KPMG, said that although proptech is being “prioritised by many” businesses, two thirds of the people leading business’ digital strategies are not tech specialists.
Pyle added: “It is therefore fitting to see such an uptick in external activity catering to this increased demand for technological know-how.
“Our latest Pulse of Fintech report details that this growing demand is seeing deal values increase and the number of transactions holding strong – a trend that will no doubt continue as real estate businesses look to execute their digital aspirations now and in the future.”
The findings come three months after KPMG’s third Global Proptech Survey Report, which was released in November last year.
It was revealed that real estate was making slow progress in digitising its businesses, with almost a fifth of property companies surveyed stating they had no digital strategy.
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