QuintoAndar, a real estate rental and sales startup, has raised an additional $120 million in a Series E round extension announced in May. The investment brought the Brazilian startup’s valuation to $5.1 billion and attracted major investors such as Greenoaks and Tencent, which co-led the funding. Based in San Francisco, Greenoaks backed companies such as Robinhood and Kavak, while Tencent is one of China’s leading technology companies and an investor of Nubank and Ualá in Latin America.
The extension increases the total raised by QuintoAndar in its Series E investment to $420 million. The company has raised more than $700 million since 2013.
For Gabriel Braga, cofounder and CEO at QuintoAndar, the coming of the two as shareholders will add to the team the expertise of investors from companies that have transformed their segments. And that is what QuintoAndar wants. “We are focused on being the benchmark for housing. We are growing fast and this extension allows us to accelerate even more,” Braga said.
Neil Shah, partner at Greenoaks, said the company sees QuintoAndar as having the potential to transform the real estate market across Latin America by becoming a complete marketplace with real estate offerings and a portfolio of financial services geared toward real estate. “We believe QuintoAndar will fundamentally redesign real estate transactions, by simplifying the experience for owners and driving increases in real estate investment across the country.”
The startup does not reveal absolute results but reported that it has been able to deliver consistent results in 2021, with outperformance and expansion to 14 new cities in Brazil. In addition, it announced plans to start its operations in Mexico soon.
Currently, the company manages more than 120,000 contracts and adds about 10,000 new rentals per month to its portfolio; in early 2020, it debuted in the buy and sell segment and already has more than 60,000 homes for sale on its platform.
Recently, with an eye on how to expand its offering of real estate financing services, QuintoAndar announced the purchase of Atta Franchising, which operates a network of 113 franchisees and serves more than 1,500 real estate agents and self-employed consultants nationwide. The portfolio’s main product is real estate credit.