Fifth Wall closes $500 million climate fund to decarbonize real estate

ImpactAlpha Editor

Roodgally Senatus

ImpactAlpha, July 25 — Buildings across the world contribute to nearly half of global carbon emissions.

Property tech investor Fifth Wall’s first climate fund has raised $500 million to invest in software and hardware, clean energy and energy storage, smart buildings and other decarbonization tech solutions for real estate organizations.

More than 100 real estate organizations have invested in Fifth Wall, including BNP Paribas Real Estate, CBRE, Cushman & Wakefield and Marriott International. New investors include BBVA, Hilton, MGM Resorts and American Homes 4 Rent. 

Climate tech

The real estate organizations have access to the portfolio companies as potential clients. Fifth Wall has made nine investments to date, including low-carbon cement producer Brimstone, hydrogen-fuel producer Electric Hydrogen, home energy retrofitter Sealed and SPAN, which is reinventing the lowly circuit panel.

“Real estate organizations that prioritize R&D investment have developed a real competitive edge over their peers,” said Fifth Wall’s Greg Smithies. The fund brings Fifth Wall’s total assets under management to $3.2 billion.