Kasa Living Secures $70 Million in Series C Funding for U.S. Expansion

US-based Kasa Living, a tech-driven, flexible accommodations brand and operator, has successfully concluded a significant $70 million Series C funding round aimed at fueling its rapid expansion throughout the United States. The equity financing round was spearheaded by Citi Ventures and FirstMark Capital, and it witnessed enthusiastic participation from new investors, New York Life Ventures and Fireside Investments, while existing major investors like RET Ventures, Zigg Capital, and Ribbit Capital also doubled down on their support.

Jonathan Langer, an industry veteran with an impressive track record that includes board experience at KKR Real Estate Finance Trust, Westin Hotels & Resorts, and Hilton Hotels & Resorts, has now joined Kasa’s board of directors, bringing invaluable expertise to the table.

Kasa, known for its innovative and asset-light business model, claims to boast the “strongest balance sheet in the industry.” This financial strength will empower the company to expand its property portfolio substantially without the need for additional external funding.

Kasa has disrupted the hospitality landscape with its proprietary operating system, designed to enhance profits for property owners and improve the experience for modern travelers across a diverse range of investor-owned accommodations, including multifamily apartments, single-family homes, and boutique hotels.

Jeff Flynn, head of proptech investing at Citi Ventures, emphasized that Kasa’s operating system enables real estate partners to adapt to changing preferences while optimizing for profitability, safety, and visibility across various asset types.

Kasa’s founder and CEO, Roman Pedan, noted that the company is at a pivotal moment in the hospitality industry, bridging the gap between rising costs for property owners and the growing demand for a seamless, digital-first travel experience.

Kasa has garnered the trust of prominent real estate owners globally, solidifying its position as the industry standard for alternative accommodations. Partnerships with major players like Greystar, AMLI Residential, Starwood Capital, and local hospitality investors and developers in key cities like San Francisco, New York, Miami, and Nashville have contributed to its industry dominance.

The COO of Greystar, Andrew Livingstone, highlighted the strong consumer trends in furnished apartment rentals, expressing his admiration for Kasa’s platform and their collaboration in several communities.

Kasa’s excellence in trust and safety systems, guest experience quality, and profitability has made it the industry standard in the short-term rental market, particularly within institutionally owned apartment communities, according to Christopher Yip, partner at RET Ventures.

Adam Nelson, Managing Director at FirstMark Capital, commended Kasa’s unwavering execution and resilience in a rapidly evolving real estate, technology, and travel market, pointing to their asset-light business model’s ability to generate long-term sustainable margins and significant public market equity value.

Kasa’s unique ability to empower smaller hotel owners against industry giants has also earned praise from Jonathan Langer of Fireside Investments.

This substantial Series C funding comes on the heels of Kasa’s previous funding rounds, including $50 million in October 2020, further solidifying the company’s position as a formidable player in the flexible accommodations sector.