Bringing digital infrastructure to CRE: Our investment in Juniper Square
Commercial real estate is the world’s second-largest asset class. In the United States, the $16 trillion of commercial real estate investments are twice as valuable as all the private companies put together ($6T) and about half the value of all publicly traded businesses ($30T). Despite this scale, the commercial real estate asset class is still opaque and illiquid.
With virtually no purpose-built software designed to serve General Partners or Limited Partners, the industry is reliant on good faith and managed with offline spreadsheets. We’ve spoken with dozens of commercial real estate General Partners and Limited Partners with a range of approaches for the asset class, yet the reality is the same for each of them. With no system of record for vital transaction and investor information, it’s difficult for anyone to access even the most basic knowledge about their portfolio, assets, and returns.
A pension fund with $10 billion invested in commercial real estate has access to far less information about their investments than an individual retail investor with $100 invested in a stock. This asset class deserves a well functioning system with software products tailored to its nuanced needs.
Enter Juniper Square:
Thankfully, Juniper Square is changing the status quo in a way that benefits every player in the commercial real estate investment ecosystem.
Their core product helps to ease the back-office burdens felt by General Partnerships of every size managing outside capital. Bringing together various elements of the commercial real estate transaction and management workflow — such as payments/accounting, capital management/collection, investment KPIs/reporting — into a single solution, Juniper Square offers General Partners a more efficient and scalable way to manage core back-office tasks, while also creating a substantially better experience for their Limited Partners.
The companies using Juniper Square already represent almost 5 percent of the total market, with ~$800B under management. What’s more, customers turn to Juniper Square’s product every single week, with three-quarters of users accessing Juniper Square every day.
Engagement and growth metrics like this highlight the Juniper Square team’s strong technical and product chops. More importantly, this reception reflects the team’s fundamental understanding of how the commercial real estate industry operates and the high level of trust they’ve built in the market.
At Redpoint, we are passionate about working with founders and teams uniquely positioned and deeply committed to bringing radically better solutions to their customers. Serial entrepreneur and co-founder of Juniper Square, Alex Robinson, grew up working in his family’s real estate business. After college, he found success in product roles at Microsoft before becoming a real estate investor. He joined forces with Adam Ginsburg, co-founder and VP of product at Nextdoor, and engineering veteran Yonas Fisseha, and the three began to explore ways to bring order to a chaotic investment ecosystem.
Alex, Adam, and Yonas co-founded Juniper Square in 2014 with 12 “founding customers” and stayed in private beta for two years to learn, test, and vet their solution against industry demands. This obsession with product/customer fit is core to Juniper Square and a key reason why they are so well-positioned for what comes next.
We are incredibly excited about this team and vision, and are thrilled to announce that Redpoint has led Juniper Square’s $75M Series C. With this latest round of funding, Juniper Square will expand beyond their core product offering for General Partners and bring solutions to market that address the needs of Limited Partners as well. From there, Juniper Square will be uniquely positioned to build the foundational layer of commercial real estate that brings about a truly functional, transparent, and real-time market for the world’s second-biggest asset class.
We are honored to partner with the Juniper Square team as they upend the status quo and bring innovation to the commercial real estate ecosystem.