How Modular Can Help Home Builders Build Modular Homes Without Factories • TechCrunch

Modulus, a UK startup that makes it easier for housing developers, architects and construction firms to build modular homes and tackle the ongoing housing crisis, has launched. £10 million ($11.7 million) in a series of funding rounds.

In the year Founded in London in 2018, Modulus is seeking to address the global housing shortage, which could affect 1.6 billion people by 2025, as house-price growth outpaces income growth. On top of that, houses are not being built fast enough, with an estimated shortfall of at least 4 million homes in the UK and 5 million homes in the US.

Modulous aims to solve the design, costing and programming of modular homes through a software platform that saves customers from setting up a physical factory – one of the most capital-intensive aspects of off-site housing development. . The platform promises to bypass traditionally archaic and fragmented construction processes using software-based logistics orchestration, ensuring all parts and components arrive at the right time, in the right order.

from end to end

Modulus’ “end-to-end” platform encompasses all major aspects of the home-building process, including architecture and design. The software generates customized designs and “massages” (i.e., full 3D shape and form) for each construction site and is based on a proprietary “kit of parts” that are purchased from the construction supply chain and assembled together to create the model. Buildings.

For the construction phase, the kit of units allows developers to produce large multi-tenant apartments with minimal upfront investment. Instead of setting up expensive factories in remote locations, supply chain partners deliver “subassemblies” to facilities closer to the construction site.

For planners, Modulous generates 3D visualizations and detailed costs up front, providing real-time information on each individual’s return on investments (ROI). It also helps everyone involved in a housing project establish the technical feasibility of a proposed development in a matter of hours instead of weeks.

All of these show companies have to lease temporary assembly space close to the construction site instead of paying for the maintenance of a permanent factory located miles away from the construction site. In addition, this allows companies to hire workers locally.

A Modulus spokesperson told TechCrunch: “Our distributed assembly process is based on the level of engineering that goes into the kit of parts, pushing manufacturing complexity to our supply chain partners. This allows our partners to lease space on a temporary basis.”

Prefixes grow

Modular and prefabricated housing startups have emerged as a popular trend in the construction technology space, with the likes of Vive recently closing $400 million in funding elsewhere in the U.S. Cover and Abode have raised significant investments in the past year. Growing its modular housing business, London-based TopHat has secured £75 million ($87.5 million) from Goldman Sachs.

These companies go some way to solving the housing shortage by using technology to modernize what is generally one of the least agile and digital industries. But modular housing promises more than just enabling builders to build homes faster and cheaper – it also addresses climate issues by making the construction process more efficient and sustainable. Of course, modular homes are built in uncontrolled environments, and the assembly line approach means less material waste. In addition, the digitalization of housing development processes makes it easier to track all the parts involved in construction, which makes it easier to measure and calculate the carbon output of each project.

“It’s never been more important to build energy-efficient, affordable housing with a zero waste and carbon footprint versus traditional construction,” Modulus CEO Chris Bohn said in a statement. “Modular delivery is really the only way to solve the housing problem, but for many, the upfront capital investment has hindered the industry’s ability to scale. We want to work together to show that the industry can move forward with transparency and value front and center.

Modulous’s Series A round includes several well-known strategic investors Sustainable Future Ventures (SFV), an investment firm backed by German real estate giant Patrizia, Mexican multinational building materials company Cemex; and London-based real estate developer Regal London. Blackhorn Ventures, GroundBreak Ventures, Goldacre and Leela Capital also participated in the round.