July 16, 2019
Today is a huge milestone in the seven-year history of Honest Buildings. We are incredibly excited that Honest Buildings has entered into an agreement to be acquired by Procore, a leader in construction management software. Together, our companies will make up the world’s most complete software platform and application ecosystem for construction, encompassing subcontractors, general contractors, owners, all the way up to investors and lenders. We plan to build and scale faster and more efficiently than ever before to improve the lives of everyone in construction, and everyone that interacts with the built world. You can read the press release here.
In 2012, after working in the real estate industry for nearly 10 years, I joined together with my co-founders on a mission to bring the construction industry online to accelerate progress in the built world. And we committed to building technology that put the customer first.
Over the last seven years, we have focused on making Honest Buildings the leading SaaS platform purpose-built for the owners of real estate assets. In that journey we also began to see adoption of the platform by fast growing companies that occupy buildings. We raised $50 million from leading venture capitalists and some of the largest real estate investors in the world who share our mission to accelerate progress in the built world. Today we are proud to be working with many of the largest and most innovative real estate owners around the globe, including Brookfield, Oxford, Hines, EQ Office, SL Green, JBG Smith, and many, many more. We are also proud to see our platform being used by many of the world’s fastest growing companies, like WeWork, Convene, and others.
When we launched our first project management product, we were beyond excited to see the value it created for owners, hearing stories of our users saving millions of dollars. We loved hearing the stories of professionals who were able to spend more time with their families because of the improved productivity they saw when utilizing our platform. We put our customers at the center of our product development process and service model, and began to see exponential growth year-over-year. In fact, we’ve seen over $20 billion in aggregate project value run through Honest Buildings since inception.
When we started, our focus was primarily helping projects in the New York City area. Today, Honest Buildings is actively used in 46 states and 7 Canadian provinces, translated into 14 languages and nearly all currencies, as it is deployed by the largest global real estate owners and fast growing companies.
Like many startups, we began with just a few people working in a coffee shop - founding engineer Cody Roberts, my sister Garrett and me. Today we have an amazing team of over 100 incredible people that we are proud to call partners on our journey to bring the massive, yet antiquated, construction industry online.
At Honest Buildings we believe in open ecosystems for software. We think real estate owners and fast growing companies should have access to integrated, best-in-breed technology solutions that work together to create value. Those integrations allow users to get the best out of their systems. It’s through this shared thinking that we met Procore, a leader in construction management software with a team that has the same set of beliefs.
As Honest Buildings grew, we had more and more owners asking for an integration with Procore so they could get faster, more accurate information on their projects from their contractors who were using Procore. We worked on and completed an integration through a simple partnership, and that’s how I got to know Tooey Courtemanche, Procore’s founder and CEO.
As our companies began working together on an integration, we realized that this grit, passion, and focus on customers, teams and culture is shared DNA between our companies, and how we have both achieved our scale. Walking through the Procore offices you can feel the energy of the team. Like Honest Buildings, it’s a team that started very small but has now grown, in their case to more than 1,500 people. In all of the Procore offices, the employees’ excitement is palpable for the opportunity to bring the entire $10 trillion in annual construction spend online and improve the lives of everyone in construction. It’s a company that gets up to go to work every day to change the world - and because of that, it feels a lot like Honest Buildings.
In getting to know Tooey and the Procore team, it was easy to see how similar our cultures are and it became obvious from day one of spending time together how much our teams respected one another. I saw the potential to bring our owner-focused platform together with Procore to achieve a suite of products to seamlessly connect everyone in the construction ecosystem. This vision would allow projects to move more quickly, drive increased collaboration, and allow data to flow more seamlessly than ever before. This synergy would not only benefit owners, but get contractors better information, faster payments, and enhanced collaboration. The outcome of a full stack construction platform would truly improve the lives of everyone in construction, and as a result, everyone who interacts with these projects throughout the world.
Most importantly in my meetings with Procore, I realized we think in the same way. We are truly both building customer-first products, culture-first teams, and have the vision that everyone in the construction industry benefits from being online in one connected ecosystem. We both see parallels to how Salesforce built a similar ecosystem around their software and changed the lives of millions for the better. We both believe that by Honest Buildings joining Procore, the impact of our achievements will be multiplied, and our market opportunity is even larger.
I am deeply proud of the effort, passion, and dedication of the Honest Buildings team and what we have created and achieved together. It’s been nothing short of a Herculean effort. Our team’s continually inquisitive nature has pushed us to ask the right questions to reimagine how the industry functions and how we can leverage technology to create lasting value. Our culture has centered around partnership to push the needle forward to reach extraordinary outcomes together. Our determination and passion has shone through our exponential growth. But make no mistake, this was hard work.
I am so appreciative of every minute of the seven day work weeks, the overnight release sessions, the late night problem solving, the multi-day brainstorming sessions, each and every stand up and individual effort that every single member of our team contributed toward our shared goals. Today we celebrate a huge accomplishment together, and the start of the next leg of our already incredible journey as Procorians.
I am humbled by the support and brilliance of our investors and their belief in our team to execute on their behalf. I am also honored by the trust our owner customers and partners have placed in our team and product. We are just getting started on the next leg of our journey!