India: Stanza Living will invest Rs 400 crore (around US$50 million) over the next two years on expansion.
The company says it sees opportunities in the rental accommodation business despite the coronavirus-triggered slowdown.
Founded in 2017, Stanza Living has so far raised US$70 million from investors including Falcon Edge Capital, Sequoia Capital, Accel, Matrix Partners and Alteria Capital.
It currently has 200 properties across 14 cities with a total capacity of 55,000 beds.
“We are seeing a limited impact on our business. Our revenue has been hit marginally by around two per cent. Most of the students have gone back to their home but they are occupying our beds and paying rents,” Stanza Living Co-founder and managing director Anindya Dutta said.
The company has given some relief to its student members by providing discounts on rentals, he added.
Dutta expressed confidence about the growth potential of the coliving business post COVID-19. Earlier this year, Stanza Living diversified its business to provide rental accommodation for working professionals as well as students.
Dutta said: “We are not deferring our expansion plans. We are targeting to add 50,000 beds in 12 to 18 months.”
Around half of the capacity addition would be for student housing and the remaining for working professionals.
“We have enough capital for our growth plan. We do not need to raise fresh funds,” he added.
