Why We Invested in Vivla

We are very happy to announce that Samaipata is leading Vivla’s $30m pre-seed equity and debt round, backing the company alongside top notch institutional investors like FJ Labs, Fasanara Capital, Extension Fund and numerous business angels.

Vivla is a fractional real estate ownership platform that allows flexible and efficient second-home ownership in the most attractive locations in Europe. Vivla is on a mission to ease access to fractional ownership of luxury properties, lowering barriers to entry, freeing up wealth by generating liquidity and flexibility in this huge market. Through this round the company becomes the best funded fractional ownership platform in Europe, a continent with a globally demanded second-home market.

From Samaipata’s perspective, this investment crystallises a thematic sourcing effort in the fractional ownership space. Having analysed the market and several similar models across Europe, we are confident that Vivla’s team and approach makes it one of the strongest contenders to conquer the European second home fractional ownership market.

Continue reading to learn more about our thesis around the investment and be sure to check out Vivla’s portfolio and become a member at Vivla.com.

Second-homes are a large market in the epicentre of a lifestyle shift

It is no secret that the European second home market is worth trillions in stock and billions in annual transactional flow. There are 18 million second homes in Europe, of which 800 thousand worth above €1.5 million. Europeans are keen second-home owners and users but the reach and appeal of European second homes expands beyond the continent.

Second homes are at the epicentre of a deep shift in lifestyle paradigm accelerated by the pandemic. We believe that what once was a narrow use case cornered around holiday seasons and retirement is poised to play a much more overarching role in the lifestyle of knowledge workers in decades to come.

The consolidation of remote and flexible work schemes is expected to be a major tailwind for second-home ownership. Whereas the post-pandemic work paradigm has not been fully unveiled yet, we are confident that it will be directionally positive for second-home ownership. We do not expect the gravity of big metropolitan cities to fade significantly but we do expect much increased flexibility for knowledge workers to often spend weeks away from main hubs, boosting quality of life without compromising professional momentum. Furthermore, the increased lifestyle leeway provided by remote work will strengthen the globalised nature of the luxury second-home market. The higher tiers of the second home market cater to people from around the world, with varied seasonal demand and priorities.

Fractional ownership is an emerging category

Fractional ownership is an emerging category that aspires to capture a share of this huge market. Second home sharing is not a revolutionary idea. It is certainly a very intuitive way to address some of the key obstacles and pains associated with second-home ownership. However, adoption to date has been limited due to operational, legal and user experience constraints.

Our view is that the 2022 fractional ownership model can unlock huge volumes of demand currently amassing as a result of secular trends by offering a revamped lifestyle experience enabled by technology. But why now? In a way, we see the market and the product converging to common ground, fuelled by the abovementioned lifestyle trends and technology respectively.

The consumer mindset around ownership is shifting in very supportive ways for fractional ownership, across generations. The model will benefit from the shift away from high-touch ownership observed in new generations by balancing a low-touch commitment (as opposed to full ownership) and a financially competitive holiday accommodation alternative. The model has the potential to drastically lower the barriers to entry of luxury property by enabling a much more financially efficient allocation of wealth.

Feeling home is priceless. And while it seems like an emotional statement we believe it can actually be broken down into operational and logistical aspects that legacy models were unable to meet. We believe that a tech-enabled model can deliver uncompromised owner experience and also streamline lifestyle complementarity across nationalities, generations and tastes to enable efficient time allocation and full enjoyment of fractional ownership.

Lastly, real estate remains a much favoured retail investment asset class. The combination of record-breaking consumer savings levels, persistently high liquidity levels and growing inflation will continue to drive appetite for real estate investments. We believe 2022 fractional ownership will succeed at harnessing the necessary trust and liquidity to consolidate the fractional ownership asset class.

Vivla’s strategy and team will crack this play

Vivla will launch during 2022 in Spain and other key destinations in the Mediterranean. Vivla’s go-to-market strategy will seek to match Mediterranean supply with global demand. The intersection of Vivla’s go-to-market geography, property segment and customers represent a sweetspot for fractional ownership. Vivla will be not only the marketplace but also the operating system of this lifestyle experience. Vivla is a market-maker for primary fractional ownership and a marketplace for secondary fractional ownership, as well as an asset manager of existing homes.

The particular challenges posed by this model demand an outstanding team behind the wheel. Challenging operations, a complex legal and financial structure, a need for market insider expertise and very demanding trust and credibility standards, to name a few. Vivla’s founding team — Carlos Gómez, Iván Rodríguez and Carlos Floria — combines a unique blend of experience and skill sets to build this vision. Furthermore, the team shares a genuine passion for a project that stems from their own personal experience. The founding trio is further strengthened by an experienced team, with key expertise across critical functions. A team that will continue to grow in the upcoming months.

All in all, at Samaipata we feel honoured to be supporting this incredible squad in building a global leader in fractional ownership from Southern Europe!

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