Co-working may have seemed to have gone out of style with WeWork Inc.'s infamous implosion three years ago, but the Covid-19 pandemic helped breath new life into the market.
With remote and hybrid work on the rise and lots of uncertainty about long-term office demand, flexible leasing arrangements have grown more attractive lately. A San Francisco startup is hoping to cash in on the trend.
Codi offers private offices on flexible leases. Like WeWork, it furnishes and manages the spaces. But unlike the co-working pioneer, Codi — legally, Hiven Inc. — doesn't lease spaces itself from property owners; instead, it acts as a kind of broker, matching tenants with landlords.
Companies can rent space for anywhere from six months to three years. And, potentially ideal for those that have adopted hybrid work models, tenants can rent spaces on two-day or three-day-a-week bases.
"This new age of remote work has changed the calculus for companies that still want a physical space for their teams to collaborate," Christelle Rohaut, Codi's CEO, said in a news release. "The office should no longer be a liability, but a service — a service that companies can flex up or down based on their growth needs and culture."
Codi already offers space in its hometown as well as in New York and Austin, according to a blog post by Andreessen Horowitz partner Jim Jordan. It now has some new money to expand its offerings elsewhere.
The company announced Thursday it's raised $16 million in a Series A round led by Andreessen Horowitz.
"A new era of work is here, and a new group of generational companies will rise to fill the needs teams are now facing," Jordan said in his post. "We believe Codi is leading the way for commercial office space."
Read on for more on Codi's deal and other Series A rounds from this past week.
TeraWatt Infrastructure Inc., San Francisco, $1 billion: Vision Ridge Partners, Keyframe Capital and Cyrus Capital invested in this provider of a network of charging stations for corporate vehicle fleets.
Alcatraz AI Inc., Cupertino, $25 million: Almaz Capital led the round for this provider of a facial recognition-based building security system. The European Bank for Reconstruction and Development, Endeavor Catalyst, Silverline Capital, Golden Seeds, JCI Ventures, Analog Devices co-founder Ray Stata and LDV Partners also participated.
Hiven Inc. (dba Codi), San Francisco, $16 million: Andreessen Horowitz led the round for this provider of flexible leasing options for private office space.
Isometric Technologies Inc., San Francisco, $15 million: Blackhorn Ventures led the round for this provider of supply chain management and analysis software. Maersk Growth and Mantis VC also participated.
Bachan's Inc., Sebastopol, $13 million: Sonoma Brands Capital led the round for this Japanese sauce maker. Prelude Growth Partners, New Fare Partners, RVCA Corp. President Pat Tenore and American filmmaker Destin Daniel Cretton also invested.
Chameleon Intelligent Tech Inc. (dba Chameleon), San Francisco, $13 million: Matrix Partners led the round for this provider of software designed to help users discover and use app or website features. True Ventures also invested.
