Habyt says it will use the funds to continue global expansion, consolidate its growing market share, and improve ESG initiatives. The startup says customers will see new tech updates on its platform soon, further enhancing the housing process.
“We have seen exponential growth and raised a significant series C with support from existing and new investors, despite a drop in series C rounds across the board this year,” says Luca Bovone, founder and CEO of Habyt.
Earlier this year, Habyt acquired Common Living, a key player in the North American shared housing market. This strategic move follows Habyt’s acquisition of Singapore-based co-living platform Hmlet in 2022.
Habyt has grown its business to 30,000 housing units across over 50 cities on three continents this year. It also sees a 40 per cent increase in net revenue. The startup reported being profitable in most of its key geographies. It targets group-level profitability by early next year.
Helping to solve housing crisis
Globally, young people struggle to find suitable housing, whether short-term or long-term. The demand for housing significantly outpaces supply. At the same time, mortgage interest rates skyrocket, making accessing good housing more challenging for this age group.
Habyt aims to enhance the rental experience for tenants by leveraging digital technology to standardise the housing process. The startup eliminates unnecessary steps to securing housing, such as tedious paperwork. It offers flexible living options for travellers, local residents, and professionals.
Renters can choose between shared or private living, depending on their personal preference and financial situation. Each Habyt unit comes fully furnished to make the moving process more seamless.
To start, an aspiring tenant must complete an online application to reserve their desired lodging. Habyt’s sales team will contact the applicant to finalise the reservation details.
After that, the tenant signs all necessary documents and chooses the move-in date. Habyt will send directions for the move-in process. All of these steps are done online.
Global footprint in key markets
Investors who participated in Habyt’s Series C fundraising express their optimism that the startup can continue to expand with its innovative solutions.
“Habyt is solving the ever growing global problem of access to housing with a digital-first solution appealing to young local families and mobile professionals alike, while offering real estate developers and investors an innovative and compelling product,” says Franco Danesi, partner at Korelya Capital, who joins Habyt’s board of directors.
“What truly excites me is Habyt’s unparalleled global footprint with significant presence in the US, Europe and Asia,” Danesi adds.
Deutsche Invest managing director Armin Weiland, another Habyt board member, points out the startup’s ability to grow amid the “challenging” climate.
“With the current momentum and remarkable net revenue increase, a trajectory to profitability in 2024 is the next clear big goal with an ongoing focus on unit economics and the profitability of each asset,” Weiland says.