Modulous raises £10m to scale modular housing kits
The modular homes platform brings design, costing and programming into one place along with supply chain to enable developers to build modular homes without needing a factory.
Modulous said its Series A was a “rare example of a tech firm increasing its valuation as global markets slide,” seeing this as testament to the growing interest in companies that help decarbonise the real estate and construction industries.
The end-to-end platform claims to enable 50% time saving on project delivery, 60% reduction in embodied carbon, and 70% reduction in construction waste.
The London-based construction technology company raised its latest funds for growth from investors that include SFV, the venture capital fund backed by Patrizia, the German real estate developer, Regal London, a property developer, and the corporate venture capital arm of construction giant CEMEX.
Modulous has assembled a management team from the likes of Microsoft, Google, Katerra, Ramboll, 3i, WeWork, Rolls-Royce and Netflix.
The solution addresses what it sees as the major pain points across three core areas of the home-building process.
Architecture and design – Modulous software generates optimised designs and massing for a site and bases these on its physical Kit of Parts. This not only guarantees the technical feasibility of the design, but also provides accurate costs and programme, all completed in hours.
Construction – Modulous Kit of Parts enables contractors to deliver multi-storey apartment blocks with no upfront investment. Instead of requiring complex and costly factories, Modulous’s established supply chain partners deliver sub-assemblies to assembly facilities near site, increasing margin, employing local labour, and improving working capital efficiency.
Development –Modulous produces 3D visualisations, detailed cost plans and will provide developers a real-time analysis of return-on-investment calculations, enabling them to quickly option sites and establish land values driven by accurate data.
Modulous’s supply chain partners, including the likes of Knauf and CEMEX, have focused their collaboration on continuously reducing the number of components required, similar to the approach previously taken by the automotive and aviation industries. By tracking each of these components, it will be possible to measure and calculate the accurate carbon content of a scheme, and to ensure the use of healthy, non-toxic materials.
Chris Bone, CEO at Modulous, said: “Building energy efficient, affordable housing without the waste and carbon footprint that accompanies traditional construction has never been more critical. Modular delivery is really the only way the housing crisis can be resolved, but, for many, the upfront capital investment has held back the industry’s ability to scale.
“We are keen to prove that by collaborating with each other, the industry can move forward with transparency and cost certainty front and centre. That’s why we are delighted to have completed this Series A round in the most testing funding environment for decades. It’s a testament to the potential we have to solve the housing crisis and, to the amazing team we have built.”
Conan Lauterpacht, Partner at Sustainable Future Ventures, said: “We are very pleased to back the outstanding Modulous team, which brings together experts across design, construction, and technology.
“Modulous stands out for us in the way it has brought together the physical and the digital in the built environment by combining its ground-breaking Kit of Parts modular solution with a digital design platform.”
Modulous was founded in 2018 by a team of construction, technology, and manufacturing specialists to create an asset-light model for the design and delivery of sustainable homes in a direct response to the global housing crisis and escalating climate emergency.