Self-Storage marketplace startup Neighbor.com has completed a $10 million Series A funding round.
Andreessen Horowitz led the funding, with additional participation from Nate Bosshard, a former partner at Khosla Ventures and co-founder of Tonal, and Ryan Graves, the first CEO of Uber. Jeff Jordan, managing partner at Andreessen Horowitz and former executive at companies like eBay, OpenTable and PayPal, is joining Neighbor’s board of directors.
Neighbor.com, founded in 2017, connects “renters” in need of storage space with “hosts” in their neighborhood who are willing to lease extra storage space in their home or garage. The Neighbor marketplace saves renters an average of 50% on traditional storage costs and creates residual income for hosts of the storage. Some hosts make as much as $25,000 per year, all in passive income that requires little to no work, according to Lehi, Utah based Neighbor.com.
“The self-storage industry in the United States will eclipse $40 billion in revenue in 2020, capping off a decade of astronomical growth that we believe is firmly related to the burdensome costs of homeownership and the increasing premium placed on space,” said Joseph Woodbury, CEO of Neighbor, in a statement. “Neighbor.com provides individuals with a practical, safe and reliable platform to capitalize on extra residential space in local communities and tap into this national storage revenue themselves with truly passive income streams.”
The funding will help expand the Neighbor marketplace across the country and worldwide, according to Woodbury.