South African venture capital firm, REdimension Capital, has raised over $10 million for its inaugural fund, the REdimension Real Estate Technology and Sustainability Fund I.
This is the first close of the fund, which counts Rand Merchant Bank, Investec Property Fund, and Growthpoint Properties as limited partners. Other investors include Liberty Two Degrees, Liberty Group, and Sphere Holdings. The firm hopes to complete the final close of the fund by January 2025.
Founded in 2021 by Peter Clark and Matt Marshall, the REdimension Real Estate Technology and Sustainability Fund I will invest in startups that are building solutions to digitise the real estate sector. With an eye on promoting sustainability, the firm also plans to back startups that promote energy efficiency, and lower carbon footprint.
Africa's proptech sector is nascent, but has slowly witnessed growth in the last three years. In 2022, 15 proptech startups raised $16.6 million, but more than 50% of the investment went to pre-seed startups.
The total amount raised was also 13% higher than the previous year, signifying growing investor interest. Egypt and Nigeria were also responsible for most of the disclosed proptech deals.