Kiddar Capital, with $600 million under management, announces a new fund aimed at investing in companies with innovative technology that modernizes America’s most fundamental industries: real estate, construction, automation and logistics.
The fund represents an opportunity for startups to leverage Hitts’ vast network in real estate and construction relationships across the US. The Hitt family has experience in these industries over the past 80 years.
Kiddar’s Built World Fund targets returns of 20-30% (IRR) and launches an entirely new platform for the firm to do business. To date, Kiddar has made investments entirely with private capital. Now, the firm seeks to raise $25 million of outside investment capital to maximize and scale their investment portfolio.
“This fund is the natural next step for Kiddar’s growth,” says Kiddar Capital founder and CEO Todd Hitt. “We are on the verge of the next industrial revolution. Critical Built World industries are among the least modernized, while collectively making up over a third of U.S. GDP. It’s the right time for this fund, both in terms of the market, and for our unique position in the private-equity space.”
The portfolio reflects Kiddar’s signature de-risked approach to investing: companies are selected only after exhaustive due diligence of the target market, the company, and its product. Investment terms are further negotiated, to assure the deal is solid, and don’t always resemble standard Venture Capital contracts.
To investors, Kiddar offers online data access, co-investment opportunities to partners, and the ultimate deal alignment — what Todd Hitt calls real private-equity: “We contribute 10% of the total fund from our own capital, so we have skin in the game and are at risk right alongside our limited partners.”
About Kiddar Capital
Kiddar Capital, founded in 2007, is a Falls Church, VA based private-equity firm that originates structures and manages strategic equity investments across a variety of business disciplines. Core investments include all real estate sectors, technology and innovation. Kiddar Capital has more than $600 million under management.
