Soda LLC is a NextGen tech-enabled hospitality company of the modern era positioned well to overthrow a behemoth of an industry that is the $88B+ per year US property management industry. Soda LLC offers full-service property management and tenant all-in-one product that effectively eliminates the need for property management as we know it while simultaneously creating an NOI lift of 35% on average.
Soda LLC offers the same services property management does without any fees. There is no leasing commission, no management fee, no maintenance up-charge, 100% occupancy, no turnover/vacancy costs, no eviction worry–just to name a few of the perks. You may be wondering how they are able to offer what the property management industry has charged a fee for since the turn of the century. The answer is the duality embedded within their business model.
Soda LLC, as a hospitality brand, will lease the property from you for market rent themselves to generate revenue from housing high quality clientele for what they call “mid-term residencies”. For example, this could mean a visiting Doctor needing accommodations for 4-months.
CEO of Soda LLC, Christopher Manavi, explains that Soda LLC’s main focus is on multi-family assets and converting them to FlexMultifamily–a concept he’s confident will be a new institutional grade asset class in the next 5 years with the burgeoning alternative short-term accommodation market. He maintains that with FlexMultifamily through Soda LLC, multifamily asset class owners get the upside of hospitality with none of the downsides of multifamily. Travelers also are the main beneficiaries of this as apartment-style accommodations are clearly now mainstream through sites like the Expedia family.
Soda LLC’s case-studies are beyond promising which is why Bloomberg reported an $86M funding offer to the company. No word yet on if it has been accepted.
Here at TechBullion we’d have to concur with Christopher Manavi’s sentiments as we see most development shifting towards mixed use asset types. Christopher Manavi’s initial build-out in one market with revenue exceeding $3M is surely more than enough for a venture-backed scaling.