Keyway Company Profile

Background

Keyway is a commercial real estate technology platform founded in 2020 and headquartered in New York City. The company leverages artificial intelligence (AI) and data science to streamline real estate transactions for small and medium-sized businesses (SMBs). Keyway's mission is to democratize access to commercial real estate resources, enabling SMBs to achieve their growth objectives more efficiently. The company's vision centers on transforming the $16 trillion U.S. commercial real estate industry by providing transparent, efficient, and user-friendly solutions tailored to the unique needs of smaller enterprises.

Key Strategic Focus

Keyway's strategic focus encompasses:

• Sale-Leaseback Solutions: Offering SMB owners liquidity by purchasing their properties and leasing them back, allowing businesses to access capital without relocating.

• AI-Powered Tools: Developing AI-driven products such as KeyBrain, KeyComps, and KeyDocs to enhance acquisition, asset management, and document analysis processes.

• Targeted Market Segments: Concentrating on properties valued under $20 million, particularly in the medical, dental, and veterinary sectors, to address a market segment often overlooked by larger institutional investors.

Financials and Funding

Keyway has secured substantial funding to support its growth:

• Seed Round: In November 2021, Keyway raised $15 million in a seed financing round led by Canvas Ventures, with participation from Montage Ventures, FJ Labs, and Crosscut.

• Debt Financing: In March 2022, the company obtained $70 million in debt financing led by Cross River, i80 Group, and several community banks to scale property acquisitions.

• Series A Round: In June 2022, Keyway announced a $25 million Series A funding round led by Camber Creek, with participation from existing investors.

The capital raised has been utilized to expand the team, enhance technological capabilities, and scale property acquisitions across the United States.

Pipeline Development

Keyway's product pipeline includes:

• KeyBrain: An AI-powered tool that provides market and property insights to drive better acquisition and asset management decisions.

• KeyComps: Launched in August 2024, this AI-driven platform offers real-time multifamily rental market surveys and reviews, utilizing public data to provide accurate and timely comparisons.

• KeyDocs: A generative AI solution designed to analyze and extract information from thousands of real estate documents, enhancing due diligence and decision-making processes.

These products are at various stages of development and deployment, with ongoing enhancements based on user feedback and technological advancements.

Technological Platform and Innovation

Keyway's technological platform is distinguished by:

• Proprietary AI Models: Utilizing machine learning algorithms to automate and optimize property sourcing, underwriting, and asset management.

• Data Integration: Aggregating data from over 300 sources and 1,200 data points per asset to inform investment decisions.

• User-Centric Design: Developing intuitive interfaces and tools that simplify complex real estate transactions for SMBs.

These innovations position Keyway as a leader in applying AI to commercial real estate, offering clients enhanced efficiency and accuracy in their transactions.

Leadership Team

Keyway's leadership comprises experienced professionals:

• Matias Recchia: Co-founder and CEO, with a background in technology and real estate, leading the company's strategic vision and growth.

• Sebastian Wilner: Co-founder and COO, overseeing operations and product development, bringing expertise in scaling technology platforms.

The leadership team includes alumni from Goldman Sachs, Capital One, Jamestown, Google, and Brookfield, contributing diverse expertise to the company's operations.

Competitor Profile

Market Insights and Dynamics

The commercial real estate technology sector is valued at approximately $20 billion as of 2023, with significant competition from established companies.

Competitor Analysis

Key competitors include:

• CoStar Group: A leading provider of commercial real estate information and analytics.

• LoopNet: An online marketplace for commercial real estate properties.

• Zillow Group: Known for its residential real estate platform, with expansions into the commercial sector.

• RealPage: Offers property management software and services for the multifamily and commercial real estate industries.

• CREXi: An online marketplace connecting buyers, sellers, and brokers in commercial real estate.

These competitors have established themselves as key players in the commercial real estate technology space, influencing market trends and customer preferences.

Strategic Collaborations and Partnerships

Keyway has established partnerships to enhance its market position:

• Financial Institutions: Collaborations with Cross River, i80 Group, and community banks to secure funding and scale property acquisitions.

• Technology Partners: Integrations with various data providers and platforms to enrich the company's AI models and data analytics capabilities.

These partnerships support Keyway's growth and innovation initiatives.

Operational Insights

Keyway's operational strategy includes:

• Focus on Under $20M Transactions: Targeting a market segment often overlooked by larger institutional investors, providing tailored solutions for SMBs.

• Technology-Driven Efficiency: Utilizing AI and machine learning to reduce transaction times by 90% and fees by 50%, offering a competitive advantage in the market.

• Customer-Centric Approach: Developing user-friendly platforms and tools that address the specific needs of SMBs in the commercial real estate sector.