Blueground announced today its latest funding round totals $20 million and includes the participation of prominent New York City-based entrepreneur Kevin Ryan, who will also join the company’s Board of Directors. Blueground, which leases carefully selected, ideally located properties and upgrades them to fully furnished and thoughtfully equipped apartments, has raised a total of $28 million to date and counts well-established venture capital funds VentureFriends, Endeavor Catalyst and Jabbar Internet Group among its investors.
The close of the latest funding round marks an important milestone for the company, which has tripled its annual revenue on a yearly basis over the last three years, while compiling an impressive portfolio of more than 1,700 apartments in New York, San Francisco, Los Angeles, Boston, Washington, D.C., Chicago, Dubai, Istanbul and Athens. Blueground seeks to be an optimal choice for individual and business guests moving or traveling to a new city for a month, a year or even longer. The company’s tagline, #ShowUpStartLiving, speaks to its vision of a world where people can easily – and instantly – feel at home wherever they choose to live. To achieve this, Blueground leverages city knowledge, design, and technology to make finding a new place to call home frictionless for its guests.
“Renting an apartment can be a tedious and time-consuming process. You need to deal with a number of frustrating activities, from filling out paperwork to furnishing the apartment. With Blueground the renting experience becomes efficient, streamlined and seamless. And for business guests, we’re providing a more spacious, lower cost alternative to a hotel,” said Alex Chatzieleftheriou, CEO and co-founder of Blueground. “This capital will move us closer to our goal of leasing 50,000 apartments globally within the next five years. It will also allow us to elevate the seamless experience we’re providing landlords and guests, while cultivating a work environment that attracts the best and brightest talent.”
Kevin Ryan, who has founded several highly successful businesses, added: “Blueground provides a product that speaks to a human need in an increasingly mobile business world. The team has a clear vision of where they want to go, in a market with significant growth potential. After meeting Alex and the team, I am convinced of the potential of Blueground and excited to be an investor and a member of the Board.”
In the U.S., Blueground leases from prominent property owners and management companies such as Related Rentals, Stonehenge, UDR and Pinnacle Living. The company typically leases numerous apartments before they hit the market, with a goal of holding them for many years, ensuring landlords steady cash flow and value-added financing solutions that maximize a property’s annual yield. The company then offers the properties with premium furnishings, high-speed WiFi, luxury linens, high-end gadgets and beautiful designs, to vetted renters for 30 days or longer; the average length of a stay is six months. Once the online reservation is made, guests have access to ongoing support and information through the Blueground app, where they can arrange housekeeping, request maintenance, or even modify their stay by moving to another apartment in a new neighborhood or city under the same service agreement.
Blueground is a real estate tech company that wants to make people feel at home wherever they choose to live. The company offers beautifully furnished and thoughtfully equipped apartments for a month, a year, or even longer and are designed to help people simply show up and start living. Motivated by its mission to create a tech-enabled living experience that guests love, homed in an organization where great people are proud to work, Blueground has grown quickly, surpassing 1,700 apartments and 280 team members in nine cities; New York, Los Angeles, San Francisco, Boston, Chicago, Washington D.C., Dubai, Istanbul and Athens. Blueground plans to have a presence in 50 cities around the world and a portfolio of more than 50,000 apartments by 2023.
