Latch Raises $70M In Funding Led By Brookfield Asset Management

Latch, manufacturer of a smart access system, announced on Wednesday (Aug. 22) that it has raised $70 million in venture funding.

In a press release on PE Hub Network, Latch said the Series B financing round was led by Brookfield Ventures, the technology investing arm of Brookfield Asset Management. Other investors in the round included Lux Capital, RRE Ventures, Primary Venture Partners, Third Prime, Camber Creek, Corigin Ventures, Tishman Speyer and Balyasny Asset Management, many of whom also participated in Latch’s Seed and Series A funding rounds totaling $26 million.

According to the company, the funding will drive its growth in the development of new products, enhanced capabilities and expansion into new markets. Latch also announced that in conjunction with the funding, Brookfield Properties, a global real estate company, is installing Latch’s system throughout its multi-family properties in development.

“This investment from Brookfield Ventures further strengthens an already deep strategic and financial partnership between our companies, and will enable Latch to meet the incredible demand for our systems,” said Luke Schoenfelder, Latch co-founder and CEO, in the press release. “We are also grateful that our existing investors have committed so much additional capital in this latest round, which is a true testament to our team and technology.”

According to the company, its hardware and software systems give property owners and residents the ability to digitally manage every door in a multi-family building. The company said it has completed projects in nearly every major U.S. metropolitan market, working with several developers that include Alliance Residential, Brookfield, Encore Capital Management, Prometheus, Related Group, Strategic Capital and Toll Brothers.

“We are thrilled to support Latch, the clear market leader in a nearly $25 billion space that is expected to grow at twice the rate of traditional access over the next several years. This partnership is consistent with Brookfield Ventures’ approach of identifying and investing in disruptive technologies that shape the modern economy,” added Josh Raffaelli, managing director at Brookfield Ventures.

This isn’t the first time Latch and Brookfield have partnered up. Latch said the two have several previous partnerships. Latch’s headquarters are located in Brookfield’s 5 Manhattan West, and its system is currently being installed in at least two of Brookfield’s residential properties at Greenpoint Landing in Brooklyn, New York.