Coworking Firm Industrious Raises $80M
- Mar 01, 2018
Industrious is proving a venture capital darling. The premium workplace platform and coworking solutions provider just closed an $80 million Series C funding round, with repeat investor Riverwood Capital and Fifth Wall Ventures acting as co-leads. The financing paves the way for five-year-old Industrious to bolster its leadership in the increasingly vital coworking niche of the office real estate market.
Riverwood and Fifth Wall were joined in the funding round by Alrai, Outlook Ventures, Rabina Properties, Schechter Private Capital and Wells Fargo Strategic Capital. The event comes 11 months after Industrious closed a $25 million Series B financing round, led by Riverwood Capital.
“We see an immense opportunity this year—enterprises and Fortune 500s have been capitalizing on the value of the coworking model, and the entire focus of the industry is shifting,” Jamie Hodari, CEO of Industrious, told Commercial Property Executive. “We are offering enterprise-level, highly professional, beautiful space to these companies, and we’ve raised another round to allow us to fully execute on our aggressive expansion plans for this year.”
No growing pains here
Industrious is now primed to continue the rapid expansion of its national presence. The firm currently provides premier office options, accompanied by five-star services and best-in-class workplace management, in 35 locations. The geographically diverse portfolio spans 25 cities and includes such offerings as a 19,000-square-foot space opened last spring at Stockyards, a 142,500 square-foot mixed-use development in Atlanta; an 18,000-square-foot location at Gulch Crossing, one of the most expensive office addresses in Nashville; and multiple sites in a host of other top-tier cities, including Chicago, Los Angeles and New York City. The list is about to get a lot longer; the company expects to double its locations in 2018.
“We’re planning to move into new markets while fortifying our foothold in the markets we currently have a presence in and expanding to meet the demand of our current markets,” Hodari said. San Francisco is one of the cities where Industrious plans to make a debut within the next year, and the company will also open its first suburban locations.
Additionally, Industrious will invest a portion of the newly raised funds in expanding its workforce, as well as exploring and experimenting with new workplace technologies that can lead to more efficient and effective use of space.
“We raised this round to make sure that we’re not only expanding, but that we’re doing it efficiently, seamlessly, and armed with the resources we need to maintain the level that our customers expect,” Hodari added.
Image courtesy of Industrious