Nestaway Technologies, which is into rental property management, on Wednesday announced its foray into the co-living business and said it plans to invest USD 10 million (about Rs 70 crore) this fiscal to reach 50,000 beds.
The Bengaluru-based firm has set up a subsidiary — The Hello World — to enter the co-living segment which will cater to both students and professionals.
“We are entering into this business and have presence in 15 cities with a capacity of 10,000 beds,” said Jitendra Jagadev, Founder, The Hello World.
The 15 cities include Bengaluru, Hyderabad Delhi/NCR, Pune, Kota and Dehradun.
Jagadev said the co-living centres are running well and already achieved 90 per cent occupancy level.
He said the company is targeting to reach 50,000 beds by the end of this fiscal.
Asked about investment, Jagadev said: “We will be investing around 10 million dollars this financial year on this new business.”
By leveraging technology, The Hello World wants to provide a way of living that is high on convenience and low on compromise for young urban migrants.
The company will charge just one-month rent as security deposit and zero brokerage fee from its customers.
“Almost 90 per cent of the millennial population in America have a roommate. In a similar trend, the millennial population in India prefers to stay in a community where they not only share space but also share their interests, passions, and dreams.
“At Hello World, we host well-designed community events that bind the residents together, enriching them emotionally. For us, emotional safety is a big priority as physical safety,” he said.
Founded in 2015, NestAway caters to individuals looking for affordable rental housing in the top cities in India. The company, through the acquisition of Zenify in May 2017, has also entered the family rental solution business.
Nestway has raised around USD 100 million to expand its business. PTI MJH