Construction tech startup Modulous raises $11.5 million Series A funding

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Construction tech startup Modulous raises $11 5M

, author of Shoshana Gordon/AxiosExit Content Preview Modulous, a Seattle- and London-based construction tech startup, has raised $11.5 million in Series A funding, the company tells Axios. Why it matters: The housing boom lit a spark under the construction tech space. Even though that market has cooled, the funding round shows that investors remain bullish and the space remains competitive. Details: Sustainable Future Ventures led the all-equity round, which values Modulous at around $45 million, CEO Chris Bone tells Axios.Regal London, Cemex Ventures, Blackhorn Ventures, GroundBreak Ventures, Goldacre and Leela Capital also participated in the round, which Bone says closed in August.As the round's largest investors, SFV and Regal London both gained board seats in the deal. Yes, and: Modulous hired Sam Gioia, a former real estate design executive, to head up its manufacturing and assembly business. How it works: Modulous makes software for multifamily-unit developers that manages design and cost lines for different projects by relying on pre-fab components with reliable cost and installation times.It contracts with suppliers to pre-build components of modular homes that construction groups can purchase via Modulous' "Kit of Parts." The components are manufactured off-site and transported to the project for assembly. Of note: Modulous is a software middleman between manufacturers and construction or architecture groups that aren't able to front the factory costs themselves. What we're watching: Inflation, borrowing costs and supply constraints are slowing down real estate development.Bone says Modulous is currently working on seven projects with general contractors: four in the U.K., two in the U.S. and one in Canada. "Our aim with these projects is to prove technical concept and demonstrate how the system can be scaled into any market with a demand for homes and a mature supply chain," Bone says.

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