Real estate is the largest asset class in the world: The value of global property is $228 trillion, which equals to 60% of all assets worldwide. The real estate industry is of particular importance for Germany and meanwhile accounts for approx. 18% of the gross value added of the German national economy.
As of now, the German real estate industry is considered a "sleeping giant" in terms of digital innovation. After decades-long reluctance, several sectors are now confronted with sustained transformation due to disruptive startups. Other sectors are at the very least presented with an enormous potential for optimization by digitalization, the utilization of which will ensure competitive advantages as well as an increase in profitability.
German PropTech startups, of which more than 200 are active at the moment and whose numbers are growing by 82% every year, have set out to unlock these potentials, oftentimes in close partnership with traditional players. While a dedicated investor in Germany has been missing up until now, the investment activity in this sector is already at a high level and is growing strongly year by year. $12.6 billion were invested in 2017 alone.