Summer Raises $18 Million for Rental Homes: Funding Roundup
11.11.2023 - 12:01
/ Justin Dawes
Four travel tech startups have announced fundraises of over $29 over the past week.
>>Summer, a startup founded by former Airbnb employees to help buyers purchase and manage vacation rental homes, has raised $18 million in a series A round. Summer also secured $50 million in debt from Setpoint Capital.
The venture capital round was led by QED and Viola FinTech, with support from Lightspeed Venture Partners, 1Sharpe Ventures, CT Innovations, Alumni Ventures, Elizabeth Street Ventures, Merrimac Corporation, Gaingels, Firstminute Capital, and Not Boring Ventures.
The company said it has now raised $30 million in venture capital.
New York City-based Summer said it purchases homes for short-term rentals on behalf of clients. The clients make an initial payment and then continue with monthly payments, with the option to walk away after two years. After the purchase, Summer property managers handle the short-term rentals business on behalf of the client. Services include finding the property and interior design and setup.
“Summer removes the barriers and risk around buying and owning a vacation home,” said Paul Kromidas, CEO and founder of Summer, in a statment. “With this fundraise, we’ll be expanding nationally, enabling more customers than ever before to make a purchase that makes sense for them.”
The funding will go toward strengthening the tech product, including through proprietary acquisitions, as well as underwriting engine.
>>Raus, a vacation rental platform for high-tech cabins in remote locations, has raised $9.1 million (€8.5 million) in funding that includes venture capital and debt. The company did not say how much of the total was venture capital.
The funding was led by ROCH Ventures, with support from Rockaway Ventures, Dupuis Investment, and additional strategic backers, along with continued support from renowned existing investors such as Speedinvest, 10x Founders. The “asset-backed lending facility” comes from German Varengold Bank.
Berlin-based Raus said it has more than 50 cabins in Germany and has booked thousands of guests since it was founded in 2021. The company this year opened Lodge am See, its first “upscale nature resort.”
Raus rents portions of temporarily unused land in partnership with farmers and foresters, where it places its cabins. Those partners also offer other services that guests can book, such as local breakfast packages, farm products, guided tours, and alpaca hikes. Raus said its land partners generate an average of €1,500 per month through the services they provide to guests.
The next generation of the company’s cabin includes more advanced technology, modular stairs, and an elevated shower with a panoramic view.
The company said it has had a 500% growth in