Wilshire Lane Capital (“WLC”) today announced it has received $40 Million in LP commitments with the first close of its debut fund. New investors in the first close include J.P. Morgan Asset Management, Nile Capital Group, Schusterman Family Investments, TRB Advisors, First Close Partners, Asland Capital Partners, Bullock Capital and Efrem Kamen, founder of Pura Vida Investments, as well as anchor investor Morgan Properties, the largest private multifamily owner in the United States. Founded by Adam Demuyakor, WLC has been raising capital for this investment vehicle over the past four months. The fund’s target size is $125 Million.
Since announcing its unique strategic partnership with Morgan Properties and its consortium of other property owner LPs earlier this year, WLC has already made investments out of the fund in promising companies such as the Black-owned FinTech unicorn Esusu as well as Jetty, Funnel Leasing, and metaverse real estate category leader, Everyrealm. The firm has also recently led a Series A round in Piñata, a FinTech company focused on renter rewards in the multifamily space.
“Real estate is the largest asset class in the world,” said Wilshire Lane Capital Founder and Managing Partner, Adam Demuyakor. “So of course large and attractive economic outcomes can occur when you combine the category with technology. In many ways, we feel that PropTech is next in line after FinTech and BioTech and we’re so honored to have this best-in-class slate of investment partners who share our excitement about the space.”
J.P. Morgan Asset Management’s investment was made as part of Project Spark, a $65 million initiative to back emerging managers of diverse backgrounds. “Wilshire Lane Capital’s impressive team, domain expertise in the PropTech category and strong network of real estate partners proved compelling and we are pleased to have participated in the firm’s inaugural fund,” commented Jamie Kramer, Head of J.P. Morgan Asset Management’s Alternative Solutions Group and chair of the Project Spark investment committee.
“Wilshire Lane Capital is revolutionizing the way technology impacts real estate across all sectors, ultimately benefiting owners, operators, and most importantly, our residents. As a company focused on implementing transformative technology platforms to enhance our operations, Morgan Properties is proud to serve as an anchor investor among a growing list of distinguished partners in this groundbreaking fund,” said Jason Morgan, President of Morgan Properties Special Situations and Principal.
A Black-owned venture capital firm, the majority of WLC’s portfolio is unique in the venture capital industry as more than 80% of its companies have a founding member or management team that includes at least one woman or underrepresented minority. Wilshire Lane Capital’s latest fund is focused on investments in early-stage (i.e. predominantly Series Seed through Series B stages) PropTech companies. Demuyakor has previously invested in some of the preeminent companies in the space including Unicorns VTS and Kitopi, as well as other promising companies such as Neighbor, Common, Saltbox, Pronto Housing, Hungry House, and Stuf Storage. Today’s announcement marks the first close of WLC’s debut fund and Demuyakor’s third as a General Partner.