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Published: Dec. 1, 2019, 10 p.m.

The story of Airbnb is one that has become the cornerstone of proptech, for a company that initially wanted to be an air mattress rental company and has evolved to become one of the most successful digital companies ever. Now a US $ 42 billion startup and on the verge of an IPO scheduled for 2020, they have recently signed a worldwide deal to back the next 5 Olympics! This will cover events in Tokyo, Beijing, Paris, Milan and Los Angeles.

The deal is estimated at $500 M in cash and services, will cut costs for the cities that will be hosts and minimize the need to build hotels. These are the views expressed by the International Olympic Committee to the deal structure. The deal though sees Airbnb entering Paris, LA and Tokyo as cities that have tightened short-term leasing rules recently.

Past research done has shown that companies that announce their involvement with World Cups and Olympics have a positive effect on the company’s share price. So with the upcoming IPO this deal will this show a sign of confidence in the company?

Have they learnt anything from WeWork’s attempt to be a public company and what will they do differently? Especially looking at investors who have become weary of free-spending companies, looking at this Olympics deal. I guess time will tell and this listing will play a definitive role in terms of the proptech sector, so there’s definitely exciting times ahead!

So the mid-year 2019 Global Proptech Index, which is presented Metaprop New York City, the Royal Institution of Chartered Surveyors (RICS) and the Real Estate Board of New York (REBNY) came out this week.

We’ll highlight important metrics that will put the sector into perspective from the findings done: What’s evident is that the first half of this year has been filled with major Mergers & Acquisitions as well as financing announcements.

The investor confidence index is an all-time high of 8.8 out 10, up from 7.7 at the end of last year. Increasing deal flow is from the interest shown by the likes of some of the biggest banks, technology firms, commercial property owners and brokerages in the sector. Smart buildings seem to be high on the priority list for investors in terms of areas of interest, which will play a major part for smart cities.

The startup confidence index is also at an all-time high (7.3 out of 10), better than the 7 at the end of last year. The next three years show a vibrant outlook ahead according to this index anticipates startups being acquired or becoming public companies. We’ll keep you posted on the companies that will hopefully keep Airbnb company on the stock exchange.

Markets targeted by these startups (in terms of asset type) for commercialization:

Commercial @ 68%, closely followed by residential at 64%. Mixed-use sits at 46%, leisure is at 33% and 27% belongs to other, which accommodates industrial, storage, parking etc.

Sentiment analysis is the basis of this survey about future market expectations. This was shared by active investors and startups in real estate technology.

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