Lavanda, a Proptech firm located in the United Kingdom, has secured $7.25 million to further develop its flexible rental platform, which maximizes occupancy and income for residential apartment buildings. It had previously raised $5 million in 2019.
European proptech and fintech venture capital firm Finch Capital led the round, with participation from U.S.-based Starwood Capital via European venture partner Concrete VC. Lavanda’s property management software, launched in 2015, enables owners and operators of residential apartment complexes to capitalize on short- and medium-term rents in addition to traditional long-term leases.
Lavanda optimizes and automates building configuration, revenue management, distribution, and marketing of housing inventory, attracting, and keeping tenants, and designing hospitality experiences using its technology and data.
“Rental demand has seen a fundamental shift. As people become increasingly familiar with the ease and experience of booking a home through Airbnb, they come to expect the same when renting their primary residence. To date that’s just not been possible due to archaic leasing structures and a lack of enabling technology,” says Aman Ghei, partner at Finch Capital.
Lavanda had teamed with real estate services firm JLL to create a short-term rental platform in the United Kingdom in September 2021. Five months later, it expanded into the Middle East in partnership with Aldar, a UAE real estate developer.