Student housing startup Stanza Living, which competes with OYO Life, has raised $4.4 million from venture debt firm Alteria Capital. The startup had raised $12.3 million earlier from tier one venture capital firms including Sequoia Capital, Matrix and Accel Partners.
Student housing startup Stanza Living today announced raising debt of $4.4 million from venture debt firm Alteria Capital. The startup had raised $12.3 million earlier from tier one venture capital firms including Sequoia Capital, Matrix and Accel Partners. Founded in 2017, Stanza Living competitors include hotel chain OYO in its housing rental segment OYO Life that focuses on professionals and students.
The startup leases properties for long term similar to OYO Life. “We primarily engage in long-term leases (9-15 years) with our real-estate partners. We are a full-stack student housing operator, which means, we own the delivery of the entire product and service experience,” Stanza Living’s co-founder Anindya Dutta told Financial Express Online.
Dutta, however, didn’t comment on competition from OYO even as the latter has been entering into various leasing and rental models including housing rental, hotel accomodation, corporate stays, resorts and recently into coworking through the acquisition of coworking startup Innov8.
Stanza Living claimed to have inventory of 15,000 beds in eight cities including Delhi NCR and Bengaluru.
“The funding will bolster our momentum to unlock an inventory of one lakh beds by 2021. Through this strategic partnership with Alteria, we will also be working on developing interesting financing and funding structures relevant to our business,” Dutta said.
The startup will deploy the capital towards network expansion, people and technology, said another co-founder Sandeep Dalmia, an alumnus of Delhi College of Engineering and IIM Ahmedabad.
Venture debt fund Alteria Capital invests from its Alteria Capital India Fund I, which is targeting Rs 1,000 crore size, and has investors including banks, development financial institutions, and large family offices among its general partners.
Other startups in the student housing vertical competing with Stanza Living includes Zolo Stays, Placio, Your space, Studentacco, CoHo, etc.