US-based workspace provider Knotel completed a $70m series B round yesterday co-led by real estate advisory firm Newmark Knight Frank and real estate holding group The Sapir Organization.
The round, which valued the company at about $500m according to the Wall Street Journal, included real estate developers Wolfson Group, Moinian Group and Wainbridge Capital.
Founded in 2016, Knotel designs, creates and operates customised workspaces to be used by corporate clients seeking a more flexible option than building out existing office facilities or committing to long leases.
The company runs 40 such workspaces across the cities of New York and San Francisco in the US and London in the UK. The series B funds will support an expansion drive in new and existing markets as it looks to double in size.
Knotel raised $25m in a February 2017 series A round featuring Bloomberg Beta, the early-stage investment arm of media firm Bloomberg, and Invest AG, a subsidiary of financial services firm Raiffeisen, as well as e-commerce group Rocket Internet, 500 Startups and various angel investors.
Amol Sarva, Knotel’s co-founder and chief executive, said: “Giving companies the freedom of agility has been our mission from the start, and adding these partners to the team is both a validation and gateway. We could not be more excited.”