VTS, one of real estate’s most successful proptech platforms, is acquiring Rise Buildings, the property operations and tenant experience technology company, for a reported $100 million in what’s being hailed as a game-changing deal.
“By integrating Rise into the VTS offering, our aim is to redefine the category of tenant experience and provide landlords with a full-service platform that continues the journey of digitizing the entire asset experience. After an extensive evaluation, we believe Rise has the right approach, technology, and team; our landlord customers agreed and welcomed the decision,” said Nick Romito, CEO, VTS.
“In acquiring Rise, VTS expects to continue to expand and strengthen the value our customers already receive from our platform with new capabilities that will be more critical than ever as landlords focus on renewing existing tenants and reducing vacancies in the coming months.”
Already used by top landlords including Blackstone, Hines, and CIM Group, Rise’s technology is used to integrate tenant experience and property operations. They combine access and visitor management, health and safety, property operations, and tenant experience and integrates directly with in-place property management, access control, and sensor systems, as well as amenities and elevators.
As part of the acquisition, Prasan Kale, CEO and co-founder of Rise Buildings, will join the VTS team in the newly created position of Managing Director, where he will oversee the strategic direction of Rise within VTS.
VTS expects to integrate Rise into the VTS platform at a future date, enabling VTS customers to manage their portfolio-wide leasing, tenant engagement, and building management activities from a unified platform.
This should allow landlords to understand their portfolios and tenants at a level that’s never been possible before, provide COVID-compliant visitor and employee access, and position them to renew existing tenants and sign leases in a challenging market.
“The combination of Rise and VTS is a big win for landlords,” said Michael Newman, president and CEO of Golub & Company.
“As a landlord familiar with both companies, I believe this acquisition will be instrumental in giving the industry enhanced portfolio insights that will help us connect with tenants and occupants in more meaningful ways. With VTS and Rise together, we will improve the property experience for everyone and get ahead of executing renewals and new leasing opportunities in a particularly challenging market.”