Two of PropTech’s biggest names announce merger

Two of the highest profile PropTech suppliers to the lettings and wider property sectors have announced a merger.

Reapit and PayProp say they are joining forces “to deliver greater value and innovation to real estate and letting agents worldwide.” 

The merger is underwritten by what the suppliers call “a substantial investment” from tech-focused private equity firm Accel-KKR.

A statement from the merged firms says: ”The move offers customers of both companies the opportunity to have a single provider that delivers capabilities across sales, letting, property management, client account management, and secure, automated disbursement of payments to the appropriate stakeholders.”

Reapit chief executive Mark Armstrong says: “Our two companies are both highly oriented around service and customer success. Our combined path is clear: to lead and drive digital transformation of the property sector, which is a huge asset class. We could not be more excited about the technology, customers and employees that PayProp brings to the combined entity.

“PayProp has a loyal customer base that benefits from efficient and secure payment, reconciliation and settlement. Many PayProp customers, I am sure, will be keen to discover the end-to-end functionality and support that Reapit offers.”

And Johannes van Eeden, PayProp’s chief executive, adds: “Both of our companies have an excellent reputation for eliminating back-office inefficiencies and lowering administrative costs. Together, we will provide a premium end-to-end service with the goal of enabling our customers to do business more efficiently, remain compliant with the latest regulations, and grow profitably.”

Reapit is an established brand in the United Kingdom and Ireland, Denmark, Australia and New Zealand, and the United Arab Emirates. PayProp serves a large group of letting agents and rental property managers across the UK, South Africa, Canada and the United States.

Reapit describes itself as “the original, end-to-end business technology provider for estate agencies of all sizes” providing tools covering lead generation, sales, letting, property management, block management, client accounts, key management and analytics.

Worldwide, Reapit technology is used by over 78,000 agents in more than 15,000 branches, with over a million properties under management.

PayProp offers end-to-end automation of rental payment receipts, reconciliation and distribution within a secure environment, enabling real-time accounting accuracy and speedy settlement.

Launched in 2004, PayProp says it is “a leading processor of rental payments for residential properties in South Africa, the United Kingdom and North America. The company today serves a large and diverse customer base of property professionals, processing £2.5 billion in rental payments annually on behalf of thousands of property management businesses.”