The title insurance space isn’t generally known for placing outsized bets on technology. But for First American, its shrewd investments in rising proptech companies are a core business strategy.
As of Sept. 30, First American had deployed $292 million into 16 different venture-backed proptech companies, including Offerpad, Orchard, Roofstock, Side and Pacaso. By the end of 2021, the firm said it had invested in 20 proptech companies and its venture investments had produced $355 million in gains.
The man spearheading these venture investments is Paul Hurst, who was promoted to chief innovation officer at First American earlier this month. As CIO, Hurst will be responsible for identifying opportunities to innovate through strategic venture investments, partnerships, and mergers and acquisitions. In addition, He will continue to serve as the managing director of the company’s venture investing arm.
We caught up with Hurst to talk about his new role and why the firm is looking to invest in commercial real estate tech startups and mortgage tech firms. Here is how Hurst, via email, responded to our questions. This interview has been edited for length and clarity.
BH: When we spoke last fall, First American had invested in 16 different proptech startups and now, if I am not mistaken, that number is up to 20. Can you tell me a little bit about some of these new investments and why they stood out to you?