Worldwide, the real estate Proptech sector, valued at USD$18.2 trillion in 2022, is expected to experience growth, reaching USD$86.5 trillion by 2032, according to Forbes.
According to a CBRE report, a firm specializing in real estate investment services highlights the gap in Latin America between startups and traditional companies, especially in the Proptech real estate sector, providing opportunities for growth in investments in the ecosystem.
In Colombia, the information technology market was valued at USD$9.77 trillion in 2022, with 280 active startups seeking opportunities and partnerships.
In 2022, Latin American startups received USD$8.7 trillion in venture capital investments, a 51% decrease compared to 2021 due to increased evaluation of opportunities by investors.
The analysis reveals that 53% of the investments were concentrated in Brazil, 17% in Mexico, and 16% in Colombia.
“In the specific case of Colombia, the market has shown resilience and maintained stability. Despite this, developers’ appetite for new investments continues to be limited, and they have decided to focus on stabilizing their current portfolios,” the report details.
The information technology market in Latin America, with growth exceeding 25% in twelve years, according to Fitch Solutions, offers the possibility of greater collaboration between large companies and new initiatives.
The existing gap, especially in the real estate sector, indicates that many startups need help accessing large companies in the industry to present their solutions.
“We know companies that operate more than two million square meters through Excel. Today, they are missing the great opportunity to work with the new technologies that Proptech startups are developing and that can provide a competitive advantage,” explained Andrés Cardona, Vice President of Transactions and Consulting at CBRE Colombia.
According to CBRE, more than 4,000 startups are operating in the region, of which 41 have reached ‘Unicorn’ status. 34% belong to the Fintech sector, followed by 22% in e-commerce.
Regarding Proptech, 7% of the annual expenditure was allocated to startups in this sector, which ranks as the fourth most attractive for investments. Construct categories experienced a 132% growth in investment between 2021 and 2022.
“Colombia can identify promising trends in the sector to be more effective in its investments. This way, multinational companies can be given the clarity and vision they need for this transformation, as the number of startups of various types in the country has had good development,” highlighted Cardona.
