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The notion that factory-built modular homes can serve as the salvation to America's vexing housing crisis has increasingly come under scrutiny, a report summarized recently in Business Insider. A crippling lack of widespread success for modular housing startups can be attributed to state and... View full entry
An executive told employees on a video call that the firm didn’t have enough money to pay severance packages or unused paid time off, a person who attended the meeting said. The executive said the effects of Covid-19, as well as rising costs of labor and construction materials, contributed to its latest cash crunch. — The Information
Katerra, a closely watched startup founded 6 years ago, had a vision to reinvent the massive construction industry. After a few years of challenges and bailouts from investors, they've announced this week that they will shut down. The CEO of SoftBank, Masayoshi Son, indicated that Katerra... View full entry
Since our initial coverage of the Silicon Valley-based construction start-up, Katerra has experienced several ups and downs over the past few years. While the company has grown significantly since it was founded in 2015, financial issues continued to rise. Katerra's CEO Pall... View full entry
Katerra has failed to complete roughly a dozen projects and could only name one that was delivered on time. All the while, logistical and technology-based issues have chipped away at the company’s image as a revolutionary tech startup.
Some clients have ended their relationship with the firm. Other clients, however, are tied to Katerra’s executives, and have drummed up business for the company—a similar arrangement used by WeWork executives, which became a concern for some investors
— The Real Deal
The Real Deal takes an investigative look at some of the recent business dealings and project announcements from Katerra. The vertically integrated construction and modular building components start-up is facing renewed media and financial scrutiny following the recently announced closure of... View full entry
Katerra Inc., a modular construction startup, got an $865 million cash infusion from investors led by SoftBank Group Corp. last year. Now, the company is shutting down a factory in Phoenix and cutting 200 jobs.
The move will shift Katerra’s manufacturing away from Phoenix and into its highly automated and lower-cost factory in Tracy, California.
— Bloomberg
The company's mission is to "shake up the construction industry with a combination of efficient factories, prefab parts and modular construction units," Bloomberg reports. The Phoenix factory will remain open thorugh the end of the year and affected employees will receive a 90-day severance package. View full entry
US prefab specialist Katerra has added two contractors to its stable of companies: UEB Builders and Fortune-Johnson General Contractors.
The acquisitions allow the Silicon Valley company to expand its coverage of the US market. UEB Builders is a general contractor in Arizona that constructs commercial and residential projects. Georgia-based Fortune-Johnson specialises in multi-family residential projects. Both companies will adopt the Katerra brand.
— BIM+
According to Bim+, the acquisition will add 320 employees to Katerra's payroll, pushing the company's workforce to 8,500 individuals. In January 2019, the end-to-end building services provider also received an infusion of investment from Japan's SoftBank that raised Katerra's valuation to over $... View full entry
Funding in US-based construction tech startups totals just $196.5 million across 44 deals halfway through 2019.
Still, $192.6 million across 44 deals is still significantly lower than the $1.274 billion raised by US-based construction startups in the first half of 2018.
— news.crunchbase.com
The bustling world of construction technology start-ups is off to a slow start in 2019, as mid-year funding statistics point to a marked drop in investment for these insurgent companies over 2018's blockbuster year, Crunchbase reports. Whether or not 2018's record investment, including Katerra's... View full entry
In just four years, the Silicon Valley start-up Katerra has grown from a sizable construction firm to one of the industry's biggest disrupters. Now, with support from one of the tech industry's biggest investors, the California-based construction company has announced plans for another investment... View full entry
A Menlo Park company called Katerra announced that it had acquired Michael Green Architecture, a 25-person architecture firm in Vancouver, British Columbia. On June 12, the company revealed that it had bought another, larger architecture firm, Atlanta-based Lord Aeck Sargent. This comes five months after Katerra raised $865 million in venture capital from funders led by SoftBank’s Vision Fund, which has also invested heavily in the co-working startup WeWork. — City Lab
Startup Katerra looks to revolutionize the construction industry through streamlining the entire process with their design-build model. The company has acquired Michael Green Architecture, known for designing tall wood buildings, and Lord Aeck Sargent. With these two firms... View full entry
