Berlin-based McMakler, one of Europe‘s fastest-growing real estate platforms, has raised a Series C financing round of over €50 million in the largest European proptech equity investment to date. The round was led by Target Global and Israel Growth Partners (IGP), with participation from existing investors including Frog Capital. In addition to the equity financing, the startup will receive more than €10 million in debt financing.
Active in Germany, Austria, and France, McMakler is a full-service real estate agent combining both a digital platform with on-site, personalised service. With its hybrid model, McMakler has become one of the largest and fastest-growing real estate companies in Europe, achieving a 500% YoY increase in transaction volume in 2018, amounting to €400 million. In 2019, the company aims to increase that number to over €1 billion. Founded in 2015, the company currently employs more than 450 employees, including 255 regional real estate agents.
“The company’s continuous and sustainable growth since it started shows that we’re on the right track with our hybrid model and that customers trust us,“ said Felix Jahn, founder and CEO of McMakler. “Our focus is still on improving the service quality in real estate to bring it up to a new level. With this latest funding round we’re fully equipped to establish McMakler as the leading hybrid real estate agent in Europe.”
The new funds will be used to further develop McMakler’s transaction platform and in-house-technology and digital tools and increase efficiency to provide an even faster and more transparent process for sellers and buyers, and to further expand the startup’s team.
“It is astonishing how the traditional brokerage industry is still analog for most parts, and therefore ripe for disruption by data and technology,” Assaf Harel, partner at Israel Growth Partners. “McMakler holds a clear forerunner role in the proptech segment. We are impressed of the company’s rapid growth since its founding in 2015 and are convinced that McMakler has what it needs to be a European market leader.“
“We are proud to have been early backers of McMakler and are happy to continue supporting the team from our Late Stage Fund to help continue the rapid growth of the business,” said Shmuel Chalets, General Partner at Target Global. “McMakler is part of the new wave of digitization changing the real estate space as well as a great example for how technology can disintermediate broker driven market. Both of these trends are key to our investment thesis at Target Global.”