SimplyMoveIn had been into coliving for more than 2 years at this point of time. We were doing about a 100 apartments directly and more than 5000 beds in market place. A new business stream and idea cama along from the proeprty owner needs of SimplyMoveIn
What to do with commercial buildings?
Traditional leasing was slow and time taking. If a tenant leaves, it took a huge time to get a new one. Required an investment every time this happens. Owners due to this sometimes default on loans. They were looking for something which may provide greater returns and also has a capacity to absorb ups and downs. An entity that can take care of their investments, maintain it properly to get maximum returns.
What customers want?
From customer side for smaller businesses renting was very asset heavy in terms of deposits, furnishings, internet setup and all required for a business, only other option being taking costly coworks which again don't make business sense for small businesses.
To give commercial spaces which are managed and just like SimplyMoveIn helps customers immediate start without any hassles. And all that at great competitive rates.
Enter into revenue sharing (most people were doing fixed rentals that time) with owners, ask them to make investment, reduce margins with reduced commitments and risk so that max benefits are passed on. Thus this also helped in really cost effective rates with good lean management.
Grit started with brand Silicon Valley Business Centre, it quickly got 2 good cowork spaces, then rebranded to Grit Coworks which now runs 3 more spaces. Located accross Bangalore, these spaces provide customers best rates with good managements, good internet and a really good space to work.
Grit Coworks was able to enable real estate investments of more than 5Cr in all its properties. It has properties worth more than 60Cr in under management.