Blueground, leading real estate tech company, announced securing a total of $28 million in funding (102.8 million AED). Constantly investing in technology and growth, the company’s latest funding round also includes participation of prominent New York City-based tech entrepreneur Kevin Ryan – who joined the company’s Board of Directors. Among other investors were well-established venture capital funds, namely, UAE-based Jabbar Internet Group, VentureFriends and Endeavor Catalyst. The company leases more than 400 ready-to-move-in apartments in Dubai and aims to become its biggest tenant by the end of 2019.
The close of the latest funding round ($12M in 2018 and $8M in 2019) marks an important milestone for the company, which has tripled its annual revenue on a yearly basis over the last three years and now tops $28 million in total funding. Blueground leverages city knowledge, design and technology to make finding a new place frictionless for its guests. The company leases carefully selected properties and upgrades them to beautifully furnished and thoughtfully equipped apartments across three continents and nine cities. In 2018, the company more than doubled its network of tech-enabled apartments from 150 to 400 in some of the Emirate’s most desired locations, such as Dubai Marina, DIFC, Downtown. With the vision to make people feel at home wherever they choose to live, Blueground boasts an impressive portfolio of more than 1,800 apartments in Dubai, New York, San Francisco, Los Angeles, Boston, Washington, D.C., Chicago, Istanbul and Athens.
Amine Housni, Blueground Regional Manager for Middle East, said, “We understand that technology is shaping trends and being able to leverage this shift is the key. In line with this, we focus on creating a tech-enabled living experience that guests love. Our funding will support Blueground’s growth plans and help us move closer towards the goal of leasing 1,000 apartments in Dubai by 2020. It will also allow us to further elevate the experience we provide to landlords and guests and make the renting process as simple, cost-effective and seamless as possible.”
Samih Toukan, CEO of Jabbar Internet Group, also commented, “Jabbar has decided to invest and support Blueground as we believe it has a great valuable real estate offering that utilizes technology to provide a premium service to its clients. Blueground has a global product that currently operates in Dubai, Europe and the USA and is expanding very quickly. We are excited to be part of this global success story”.
Kevin Ryan, founder of a number of billion-dollar businesses, and known for MongoDB, Business Insider, Gilt Groupe and Zola, 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. I am convinced of the potential of Blueground and excited to be an investor and a member of the Board”.
In Dubai, since 2016, Blueground (https://www.theblueground.com/) leases from individual and corporate property owners, such as Meraas Holding, Daman Investments, Orra Intl and others. The company leases numerous apartments before they hit the market, with a goal of holding them for many years, ensuring landlords a 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; with an average six months stay. Once the online reservation is made, guests have access to ongoing support and information through the Blueground app. They can arrange for housekeeping, request maintenance, or even modify their stay by moving to another apartment in a new neighborhood or city under the same service agreement.