An American lettings company is about to land in the UK with a £40 million expansion plan to acquire 250 apartments in London for its luxury property platform.
Founded in 2013, Blueground is up and running in six US cities as well as in Athens, Istanbul and Dubai and claims to have 2,800 properties available through its Android and IOS app.
The company is targeting the London corporate medium lets market with its properties, which will be designed to offer both a home and a tech-enabled environment where people can also work.
Its lettings app and service is very similar to Airbnb, except that Blueground rents the properties directly off property owners and then refurbishes them to a high standard.
It’s service is also very select – corporate tenants have to be pre-vetted before they can start using the service or its app. And prices are high; in New York it’s cheapest apartment is $2,900 a month for a studio.
Its venture capital backers think the business has legs and as well as a £15.5 million injection of cash earlier this year, it now has another £40 million to play with following a Series B funding round led by Westcap and Prime Ventures.
“We are excited to see how our operation in London will shape the future of our company and prepare us for further expansion,” says co-founder and CEO Alex Chatzieleftheriou (left).
Its apartments must be rented via Blueground for at least 30 days, and cost less per month the longer they are rented.