EliseAI has raised $350 million at a $4 billion valuation, the company told Fortune, nearly doubling its valuation from just over a year ago.
The round was co-led by Andreessen Horowitz and Bessemer Venture Partners, with new investor Ontario Teachers’ Pension Plan and participation from Sapphire Ventures and Navitas Capital. It is the fourth time EliseAI has raised capital from the two venture firms since 2023, and it comes about 13 months after its $250 million Series E valued it at $2.2 billion.
CEO and cofounder Minna Song said nearly all of the company’s major existing investors joined the round, which consisted entirely of primary capital. She said the investors wanted to 'double down' on what the company is building.
EliseAI automates back-office work for landlords and health systems. The company said the new financing will fund product development and expand its engineering, deployment and sales teams across North America. It also plans to open a second engineering hub in San Francisco, alongside its New York headquarters in Manhattan’s former Tiffany & Co. building.
Song said the valuation increase reflects execution and expansion inside the markets the company already serves. She said EliseAI has 'delivered more and more products' and increased its penetration in those markets.
The company’s pitch has been contrarian by Silicon Valley standards. Instead of going after horizontal AI tools for knowledge workers, it focused on property management and health care administration, which it describes as heavily regulated corners of the economy where thin margins and phone-based bureaucracy have resisted automation for decades.
Song said the industries where AI matters most are often not the ones getting the most attention. She said housing has 'enormous problems to solve' and that the company has grown by going deeper with customers until it solves issues at the root.
She also said she spent time at a real estate firm as a 'research phase' before writing code, trying to identify the bottleneck driving high costs and operational inefficiency. Over time, that expanded to cover much of the friction in leasing and resident services.
The housing pressure is real. Renter households earning under $30,000 a year face the steepest housing cost burdens in the country. According to a Congressional Research Service analysis of Census data, 66.5% describe that burden as 'severe,' spending more than half their income on rent. Federal Reserve research cited in the report says the median renter in the lowest income bracket pays 56% of monthly income toward rent alone.
Landlords are squeezed too. National multifamily operating costs rose 9.3% in a single year through mid-2023, adding more than $800 per unit annually, driven largely by an 18.8% spike in insurance costs, according to Yardi data cited by the Pension Real Estate Association. A separate Federal Reserve study found multifamily insurance costs rose 75% in real terms between 2019 and 2024, from $39 to $68 per unit per month, with landlords absorbing roughly three-quarters of that increase through lower profits rather than passing it fully to tenants.
That is the market signal here. Capital is chasing the parts of the economy where regulation and bureaucracy have raised costs and slowed productivity for years. When a company can automate the paper trail inside housing and health care, it is not just building software. It is attacking friction that has been passed along to tenants, operators and patients alike.
The larger lesson is simple. Free enterprise keeps finding value in the places Washington and the broader administrative state leave tangled in rules and overhead. Investors are not paying $4 billion for hype. They are paying for a system that promises to do what bloated processes have not: lower costs, raise margins and make the market work a little more like it should.
