Plant Prefab Secures $42M in Funding to Propel Expansion into Multifamily and Single-Family Community Developments
Plant Prefab has secured $42 million in Series C funding, led by Gerdau Next Ventures with contributions from Asahi Kasei and others, to expand its capacity and support the first sustainable, automated factory in the U.S. The Arvin Hub aims to produce over 900,000 square feet of housing annually, addressing a national housing shortage of 4 million homes. As of August 2022, Plant Prefab's backlog was over $85 million, with prospective business exceeding $660 million, marking significant year-over-year growth.
- Secured $42 million in Series C funding for capacity expansion.
- Arvin Hub set to produce over 900,000 square feet of housing annually.
- Contractual backlog exceeds $85 million, with prospective business over $660 million.
- Year-over-year growth of 58% in backlog and 110% in prospective business.
- None.
Gerdau Next Ventures Leads Round, With Additional Investments from
Capital Will Fund Nation’s First Sustainable,
“We are gratified by this vote of confidence from our investors, who recognize the opportunity to further scale our solutions for multifamily and single-family community developments,” said Plant Prefab Founder & CEO
With a national housing shortage estimated at four million homes, the most in-demand urban infill and resort markets have been especially difficult for builders to address due to diverse local zoning and code requirements, skilled labor shortages, high labor costs, and/or short building seasons, all of which dictate tailored solutions. Plant Prefab’s patented Plant Building System™ was specifically designed for such challenges, utilizing advanced engineering in combination with specialized Plant Panels™ and Plant Modules™ to accommodate modular, panelized, and hybrid modular/panelized building solutions. The system addresses the design and buildability problems of all-modular or all-panelized approaches as well as the unpredictable timelines and labor challenges that can lead to massive schedule and cost overruns in site-based building.
The Arvin Hub will enable full industrialization of the Plant
In addition to completing the Arvin Hub, funds from this financing will also be used to bolster Plant Prefab’s engineering, product management, supply chain and project management infrastructure. Digital building data — produced by the company’s proprietary engineering platform — will be used to drive automated manufacturing equipment in addition to providing detailed instructions to project partners for efficient on-site installation and finish. The development of curated finish packages for all segments of the market will further streamline project planning and mitigate supply chain-related delays.
“Plant Prefab’s end-to-end solution ensures optimal efficiency throughout the project lifecycle. This holistic approach and proven ability to standardize almost any design into repeatable components makes the company uniquely suited to address the most high-demand segments of the housing market, especially urban infill, second home, and resort communities in the Western U.S.,” says
Plant Prefab’s data-driven processes produce 30 percent less construction waste than site-based methods, and corporate responsibility initiatives spanning everything from material sourcing to component shipping efficiency have helped the company achieve carbon-neutral operations since 2020. The Arvin Hub is being constructed to Plant Prefab’s strict environmental standards for minimal resource consumption and will be fully solar-powered. The company plans to continue scaling its sustainable housing production through a hub-and-spoke model that will eventually serve the entire continental
About Plant Prefab
Plant Prefab is the first Certified B Corporation™ building technology company dedicated to sustainable design, materials, and operations. The company’s patented Plant Building System™ utilizes advanced digital modeling and fully customizable Plant Panels™ and Plant Modules™ to help architects, developers, general contractors, and individuals design and build multifamily and custom single-family homes 20 to 50 percent faster than site-based methods. The system provides better quality control, design flexibility, and time, cost, and material efficiency than traditional methods of offsite or on-site construction. Plant Prefab has factories in
About Gerdau
Gerdau (NYSE: GGB) is a 121-year-old, Brazilian multinational and one of the largest global producers of long and special steel. Guided by its proposition to empower people who build the future, the company is present in 10 countries and has over 30,000 employees. Gerdau Next is a division of Gerdau with a mission is to diversify the global business portfolio through new, relevant and profitable investments within strategic segments. Climate change is an important topic for Gerdau within its business and sustainability strategy. Since its foundation 121 years ago, the company has been operating with a production matrix based primarily on recycling scrap and charcoal, which has placed it always among the lowest greenhouse gases emitters in the global steel industry. In 2020, the company started publishing its audited carbon data and is working on a strategy to further reduce its emissions.
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Source: Plant Prefab