Kodit.io (Homerun Technologies), one of Icebreaker.vc’s early investments made in Q3/2017 (Kodit.io was founded in Q2/2017), has just raised €12M in funding.
Behind the €12M funding is a group of marketplace investors such as All Iron Ventures, Adevinta, and world renowned US-based FJ Labs, who are responsible for several modern day unicorns such as Uber, Wish and Alibaba. Kodit.io is the very first Finnish startup that FJ Labs have invested in. Fabrice Grinda, the founder of FJ Labs, is the #1 Angel based investor on number of successful exits and investments according to Forbes. He has 48 exits under his belt. Yes. 48. That is more than all the Finnish VCs together. This is a momentous moment in the history of the Finnish startup scene and its impact cannot be overstated.
Hugo Mardomingo, Principal of All Iron Ventures, explains the reasoning behind his firm’s decision to invest in Kodit.io:
The real estate market is undergoing a strong transformation. Kodit.io brings a transparent and disruptive model to the table to eliminate the friction experienced by home buyers and sellers. We can contribute to Kodit.io with our experience in international expansion and collaborations with our investor base, many of them interested in the real estate investment opportunities that the European company can offer them.
Last year they closed a €1.7M seed round in August and now, Kodit.io, a home improvement company in Icebreaker.vc's portfolio, raised €3M in equity financing and built its own real estate investment fund with loan money. New digital companies are rebuilding the housing market and Kodit.io wants to be at its forefront. They have developed an artificial intelligence-based Kodit.io service that offers a cash offer to a homeowner. Kodit.io buys an apartment, renovates it and then goes onto to selling it forward.
They have raised a €3M in venture funding to accelerate the company's own technology development and sales. In addition, the company has received a loan of €9M from the Swedish Collector Bank, which serves as a starting point for a real estate fund managed by Homerun Technologies.
Kodit’s services (which started operating last year) has already purchased about 200 apartments in the Helsinki Metropolitan Area, Turku, Tampere and Tallinn. A hundred of them have been sold. This year, the company has also started operations in Madrid, Spain.
Until now, the service has collaborated with third-party real estate investors, i.e. practically buying and selling housing on their behalf. Now it is starting to make housing purchases from its own fund with debt. Together with the rest of the loan, the target for the end of the year is a €15M housing fund.
"But we don't think we are a real estate investor. We are a marketplace where you can sell and buy an apartment and get related services," Kalle Salmi, CEO and Founder of Kodit.io, in his interview with Talouselämä.
Kodit.io cooperates with Oikotie and Tori.fi here in Finland. When the person who sells the apartment himself enters the information on these sites, Kodit.io enters and gives a price estimate based on, among other things, fitness, condominium and location. Next, Kodit.io's appraiser can visit the apartment, collect more data and give a cash offer. You can read more about what Kodit.io do here and how their service works here: https://kodit.io/en/how-it-works.html.
We at Icebreaker.vc wish to congratulate our friends at Kodit.io on their excellent ongoing track record and have loved being a part of their startup journey!