Co-living startup Housr is planning to expand to cities such as Chennai, Noida, Ahmedabad, Chandigarh and Jaipur and will invest around Rs 115 crore over the next 12 months for the purpose.
The company is expected to add around 2000-3000 beds each in Chennai, Noida, Ahmedabad, Chandigarh and Jaipur, Housr founder Deepak Anand told Moneycontrol.
The company plans to increase its bed count by around three times by March 2023. It currently has around 5000 beds across Gurugram, Bengaluru, Hyderabad and Pune.
"We have around 5000 beds as of now. We now have a portfolio of around 50 properties across Gurugram, Bengaluru, Hyderabad and Pune. We now have a plan to grow three times to 15000 beds by March 2023. We want to go deep into the existing portfolio which is in Gurugram, Bengaluru, Hyderabad and Pune. In addition, we are also looking at expansion across major cities like Chennai, Noida, Ahmedabad, Chandigarh and Jaipur," said Anand.
Sharing details of Housr's investment and fundraising, Anand said, "We are also looking to raise anything between $20 to 30 million in another round of funding in the next two months. We are currently in talks with investors. The funding will help us to grow six to seven times from where we are by March 2024. We would be investing around Rs 115 crores over the next 12 months."
Under the company's business model majority of Capex is invested by the builder/property owner as per the company's requirements. "Our expense is largely towards the deposits that go out for developers/property owners. We have enough runway available to grow 3X from the existing funds that we have," he said.
The company has also acquired a Bengaluru-based co-living firm StayAbode for an undisclosed amount.
"We have been closely looking at a couple of co-living players across the country. Whenever there is a product DNA match, we take the discussion ahead. StayAbode was just the right product for us to acquire. We saw a good opportunity there and acquired the company. StayAbode was the number two player in Bengaluru with a portfolio of over 20 properties with an operational bed little less than 1500," said Anand.
Talking about its preparations in case another wave of Covid-19 strikes, Anand said that the company is unlikely to see a drop in demand.