Startup Fundraising

Stone-Goff Invests in 5Q Partners Proptech Expansion

Stone-Goff Partners backs 5Q Partners' growth and acquisition of One11 Advisors, enhancing commercial real estate technology solutions.

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Alvaro de la Maza

Partner at Aninver

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Key Takeaways

  • One11 Advisors raised a new round from Stone-Goff Partners.
  • Sector: Technology, Software & Gaming, Business Services, Real Estate.
  • Geography: United States.

Analysis

Stone-Goff Partners has injected capital into 5Q Partners, a specialist in technology solutions for the commercial real estate sector. This strategic investment is coupled with support for 5Q's acquisition of One11 Advisors, a move designed to significantly broaden 5Q's service portfolio and solidify its standing as a key technology ally for property owners and operators.

The integration of One11 Advisors enhances 5Q's capabilities in application support and advisory services for property management software. This expansion allows 5Q to offer more comprehensive solutions across a wider array of proptech platforms, addressing the increasing demand for integrated technology stacks in commercial real estate. The firm, founded in 2014, has cultivated a strong reputation under CEO Wade Hughes, serving over 80 clients and managing more than 950 properties with its IT infrastructure, cybersecurity, and technology consulting services.

This capital infusion from Stone-Goff Partners is earmarked for accelerating 5Q's growth trajectory. Plans include expanding service lines, investing in talent and technological advancements, and pursuing further strategic acquisitions. The commercial real estate industry is navigating a complex technological environment, with rising concerns around cybersecurity, building systems integration, and property management software. 5Q is positioned to meet this demand for end-to-end technology solutions.

Stone-Goff Partners views this collaboration as a natural fit with its investment thesis, focusing on business-to-business service companies with deep expertise in specific market verticals. The firm recognized 5Q's specialized focus, technical acumen, and its crucial role in supporting commercial real estate clients. The simultaneous acquisition of One11 Advisors underscores Stone-Goff's strategy to build a robust platform capable of addressing the full spectrum of client needs, from core infrastructure and cybersecurity to operational technology and property management applications.

The proptech market continues to see significant activity, driven by the digital transformation of the real estate industry. Investments in companies that streamline operations, enhance security, and improve tenant experiences are becoming increasingly common. 5Q's expanded offering, bolstered by Stone-Goff's backing and the addition of One11 Advisors, places it in a strong position to capture a larger share of this evolving market. The combined entity aims to deliver enhanced value and integrated solutions to a growing client base.

Rob Bosco, Partner at Stone-Goff Partners, commented on the partnership, stating, "We are excited to partner with Wade and the 5Q team as they continue to build a differentiated technology services platform serving the commercial real estate market. 5Q’s vertical focus and technical expertise make the Company a critical partner to its clients and we look forward to supporting continued organic growth and strategic acquisitions." Wade Hughes, CEO of 5Q Partners, added, "Our clients are facing growing technology complexity across their portfolios... Stone-Goff understands the opportunity to build a specialized technology partner for the commercial real estate industry and their support will help us invest in our team, expand capabilities and pursue acquisitions like One11 that directly enhance the value we deliver to our clients." Hannah Stone Craven, Managing Partner at Stone-Goff Partners, further emphasized the strategic alignment, noting, "The simultaneous addition of One11 reflects our commitment to application support and broadens 5Q’s ability to support clients across infrastructure, cybersecurity, operational technology, and core property management applications."