SYDNEY: Vection Technologies Ltd has signed a definitive agreement to acquire 100% of the issued capital of leading Australian architectural visualisation (ArchViz) studio, Blank Canvas Studios (Aus) Pty Ltd.
Vection Technologies plans to leverage Blank Canvas’ real estate visualisation expertise to attract more mid-market customers as part of its broader global growth strategy to leverage its 3D, Virtual Reality (VR) and Augmented Reality (AR) product offerings in industry-specific verticals.
Founded in 2017, with studios in Perth and Sydney, Blank Canvas specialises in architectural visualisation through 3D imagery and 3D animation, partnering with some of Australia’s leading residential and commercial developers, including Mirvac, Blackburne, Finbar, Mustera Property Group, Megara, Vicinity Centres, AMP Capital, Development Victoria and Dexus Wholesale Property Fund.
Through the acquisition of Blank Canvas, Vection extends its Architecture, Engineering, Construction (AEC) & Real Estate offerings with two important capabilities: the first being the ability to provide vertical-specific 3D rendering and visualisation services; the second to deliver Vection’s cloud 3D, VR and AR applications directly to the Australasian real estate and architectural industries.
The purpose of this AEC & Real Estate vertically integrated acquisition is to deliver an industry leading product visualisation offering for architectural firms and property developers, made possible by Vection’s cloud 3D, VR and AR technologies, which will augment Blank Canvas’ existing product and service suite.
Since its incorporation in 2017 in Perth, Blank Canvas has grown its presence on a national level, delivering over 300 3D visualisation projects for more than 180 clients in Australia and abroad. In fiscal year 2020, Blank Canvas achieved ~$1.5M in sales with ~$0.2M in profit (unaudited).
The Australian property market has been identified as a high-growth vertical for the Company, with national home values rising 4% in every capital city, and sales volumes increasing 12.6% nationally in the year to February (CoreLogic’s March 2021 Monthly Insights Report).
Moreover, data suggests the off-the-plan (OTP) market is rebounding strongly, supported by government incentives and low interest rates, with real estate agents in Brisbane, Perth and Melbourne claiming buyer demand has strengthened significantly (Australian Financial Review, 5 February 2021).
In this context, 3D and Virtual Reality architectural visualisation (ArchViz) plays a critical part in the OTP purchase process, bridging the gap between vision and reality for new home and apartment buyers.
According to realestate.com.au’s Developer Insights Series Research, 2020, 64% of apartment buyers are concerned with quality when it comes to new apartment developments.
For OTP developers, this means investing in photorealistic 3D visuals and Virtual Reality to accurately depict their building, shared amenity and apartment designs. 3D imagery has become a vital part of the marketing mix in providing buyers with peace of mind. Importantly, the customer journey for OTP buyers in a COVID-19 landscape continues to evolve, with realestate.com.au data showing 49% of apartment buyers in 2020 purchased without visiting a physical display suite, an increase of 27% on 2019.
This trend presents a further opportunity for developers to leverage 3D imagery and AR and VR experiences as part of their sales process.
Paul Clayton, Managing Director of Blank Canvas, commented: “We are thrilled to join Vection Technologies during this really important time in the evolution of architectural visualisation. We’re seeing enormous change in the sector, and leveraging Vection’s AR and VR capabilities will allow us to remain at the forefront of the industry.
For residential and commercial developers, it means that, beyond photorealistic 3D imagery and animation, we’ll expand to web-based AR and VR customer experiences that are truly immersive, to support our clients’ marketing and sales strategies. So our ability to add both creative and commercial value to every project has now been greatly enhanced, which is really exciting.”
Gianmarco Biagi, Managing Director of Vection Technologies, commented: “Entire industries are experiencing the transformational power of real-time 3D technologies, resulting in their complete re-imagination. In this context, Blank Canvas will enable Vection Technologies to deliver seamless, AEC and Real Estate industry-specific real-time 3D solutions, expanding our market penetration and network throughout Australia and globally.
By leveraging our global infrastructure and market positioning, we believe that Blank Canvas can greatly improve its operating performance and margins with an expanded product breadth and scale, while representing the first foundational step in our Australasian growth plan. We are looking forward in accelerating our global Verticalization Strategy.”
Vection Technologies Ltd (ASX:VR1) is a multinational software company that focuses on real-timetechnologies for industrial companies’ digital transformation.