Real estate software company HqO has raised over $50 million to fuel its growth and acquisition strategy.
The Series D round was led by Koch Real Estate Investments, a subsidiary of Koch Industries, with participation from existing investors including Accomplice, Insight Partners and Related.
The round brings HqO’s total funding to date to over $200 million.
HqO develops a software “experience” platform for managing how tenants and employees use a building.
Its latest product is the Real Estate Experience (REX) platform, which brings together several tools for building owners and operators to manage tenant and employee experiences in their properties.
The tools include measuring employees’ workstyles, preferences and satisfaction along with marketplaces for services in the building. The company said that this can help with retention and greater efficiency with operating costs.
According to HqO, more than 350,000 users across 700 properties are using REX.
Effectively measuring how buildings are used has become increasingly important, Chase Garbarino, chief executive of HqO, said.
“The world has dramatically changed over the last few years, especially the way we work, live, and interact with our surroundings. In this environment of digital disruption, data, technology and a focus on the customer are not just options; they’re mission-critical to compete,” Garbarino said.
The new round of funding will aid HqO in its M&A strategy where it targets other proptech and real estate start-ups for acquisition.
It has already completed a number of acquisitions including Leesman last year, which measures employee experience and has been integrated into HqO’s offering, and Dutch start-up Office App in 2021.
“As the real estate industry continues to radically evolve, we firmly believe that its future lies in the convergence of innovative technology, data and customer-centric experiences,” said Justin Wilson, managing director at lead investor Koch Real Estate Investments, said.
“By developing cutting-edge technology and tools that prioritize user sentiment, HqO is not only adapting to the rapidly changing real estate industry, but driving its progression. With HqO’s vision and our investment, we are confident that together we are building a more transformative ecosystem.”
As part of the investment, Wilson will be joining HqO’s board of directors.
