Brazilian rental startup Tabas raises $14M led by Blueground

Fresh off its $180 million Series C raise in September, New York-based apartment rental platform Blueground is leading the $14 million Series A round for Brazilian startup Tabas.

The round consists of $6.6 million in equity, led by Blueground and followed by Echo Capital and individual investors Guilherme Weege and Nelson Queiroz Tanure, as well as $7.3 million in debt from undisclosed investors. 

Founded in 2020, Tabas has 360 furnished, tech-enabled apartments in São Paulo and Rio de Janeiro that are available for stays of at least one month.

The company says it will use the funding to expand to 1,200 apartments in Brazil by the end of 2022. It also is considering new verticals such as financial products for landlords and B2B solutions for corporate travel.

“We’re excited to have Blueground as our lead investor in such a pivotal moment in our growth,” says Leonardo Morgatto, founder and CEO of Tabas.

“With this new capital and opportunity to tap into Blueground’s eight years of experience in the sector, we’re able to support our growth and new market launch as well as invest further in our technology and talent to hit our key milestones in the next year.”

Founded in 2013, Blueground uses a similar model as Tabas but on a larger scale - with more than 5,500 apartments in 18 markets across North America and Europe, the Middle East and Africa. The company’s September 2021 Series C brings its total funding to more than $257 million, and the company says it plans to expand to 50 cities and 30,000 apartments by 2025.

Along with the financial investment, Blueground says it will share its knowledge and technology with Tabas, and Blueground co-founder and CEO Alex Chatzieleftheriou will join Tabas’ board of directors.

“Tabas entered the market during one of toughest economic times, and the team’s strong performance and tenacity is what attracted Blueground to invest in the growth of Tabas.” Chatzieleftheriou says. 

“There is huge market potential in Latin America, and a natural synergy between our two companies; I am looking forward to paving the way for the future of living together.”