Here, a fractional short-term vacation rental marketplace has shut down after just over two years of operation.
The Miami-based startup, which had raised a reported $5 million in funding, posted on its Website on Jan. 3 that it was ceasing operations “due to the current interest rate environment and economic conditions.” Fiat Ventures led the $3.5 million seed round in July 2022, according to Crunchbase.
In a statement on its website, the company said it aimed to sell all the properties it owns within the next six months. ONE archiving with the US Securities and Exchange Commission discloses the company had reported a net loss of $56,374 from its properties for the six months ending June 30, 2023. Specifically, it generated revenue of $276,233 during the same period. But Here also reported paying $166,305 in interest over the same period and $58,920 in “other expenses.”
The company was founded in July 2021 but did not begin operations until 2022. According to the publication Short Term Lease, the market gave investors a way to gain partial ownership of vacation homes. Here he handled the property management process, pledging that “members could earn monthly income with their investment proposal and potential property appreciation.”
Here shares are offered for as little as $1 as part of it self-described mission providing a “lower barrier to entry for investing in the vacation rental asset class.”
CEO and co-founder Corey Ashton Walters also co-founded Homeworthy, a remote cloud real estate brokerage.
Interest rates have risen over the past two years, contributing to a flurry of tech startups to close up shop. Just last week, TechCrunch broke the news that Frontdesk, a short-term rental provider, had laid off all its staff and was on the verge of closing. Last November, we reported that Zeus Living was reportedly shutting down after raising $150 million in debt and equity.
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