Real estate startup Bungalow launched in 2017, offering a unique solution for finding affordable housing in some of the nation’s largest and most expensive housing markets.
Last year, the company raised $14 million in funding. Now, more than a year later, the company has raised more than three times that much, and one of its new investors is a name that will grab some headlines.
Included among the investors in Bungalow’s $47 million Series B funding round is A-Rod Corp., the investment firm founded and led by former MLB star Alex Rodriguez.
According to Bungalow, A-Rod Corp. acted as a “strategic” investor in its Series B round along with CAA Ventures, the early-stage venture capital arm of top entertainment and sports agency Creative Arts Agency.
Leading the investment was Founders Fund, led by General Partner Keith Rabois, and Coatue, led by partner Matt Mazzeo. Founders Fund previously invested in the company, also taking part in its Series A funding round last year.
Also participating were the company’s previous investors, including Khosla Ventures, Atomic VC, Cherubic Ventures, Maverick Capital, Nine Four Ventures, and Wing Ventures.
Bungalow offers co-living, in an apartment building or in a house. The company pairs “early career professionals who need a home in booming cities” with homeowners who own the “existing, outdated housing supply” to solve a problem for both.
The company takes older homes and “repurposes and redecorates” them for what today’s renters want. The company then vets and matches renters together to serve as roommates in the fully rented-out apartment or house (depending on the market).
Last year, the company soft-launched in New York City, the San Francisco Bay Area, Los Angeles, and Seattle, before expanding to Portland, Washington, D.C., and San Diego.
Bungalow is also now available in Chicago, Philadelphia, and Boston.
According to the company, Bungalow has now served more than 3,200 residents and 730 homes in 10 markets.
The company states that it is on track to scale the business to more than 12,000 residents by the end of 2020 and plans roll out new tech capabilities as it expands to “three new major metro areas” in 2020.
“We are grateful to all the incredible people — from residents to homeowners to our business partners — who have believed in our mission and we’re thrilled to help thousands more residents find great homes and even better roommates as we grow,” the company said in a blog post announcing the capital raise.