Grosvenor Britain & Ireland, one of the largest privately-owned international property companies, announced partnering with Insurami to offer deposit-free leasing to tenants, according to a press release.
The partnership will offer tenants the option to choose Insurami’s Deposit Guarantee offering as lease security, enabling tenants to pay a small monthly fee instead of a large cash deposit.
Grosvenor is currently trialling the offer at its first fully serviced office (25 Eccleston Place, SW1) in Victoria, London. The 30,000 square foot building sits within Eccleston Yards and accommodates 600 members through private offices, open plan co-working spaces and meeting rooms.
“The pandemic has accelerated demand for flexibility from landlords. It’s also tightened cashflow. Our tie up with Insurami is the latest in a series of innovations to ensure brands choosing Mayfair or Belgravia see how a landlord can be a valuable business partner, not just a provider of space,” Grosvenor Director of Offices Charles Howard stated in the release.
Insurami says the product allows tenants to save over 95% of upfront deposit costs, and provides security for landlords through payouts in the event of a default.
The company recently completed a £42 million fundraise (consisting of debt and existing equity investment) to expand its Deposit Guarantee product across the entirety of the commercial property sector.
Fasanara Capital joined Insurama’s cap table during that fundraise, alongside existing investors Global Founders Capital, Entrepreneur First and Clocktower Ventures. It currently works with over 20 institutional real estate owners and office providers, and earned over £5 million in referrals through its platform to achieve a record quarter in Q4 2021.
“As one of the most prestigious property companies, we are thrilled that Grosvenor is partnering with us to ensure their tenants can benefit from deposit-free commercial leasing,” Insurami co-founder and CEO Majed Chaaraoui stated in the release.
“We’ve seen great momentum across the sector following our recent fundraise, and a surge in demand for Deposit Guarantees from both landlords and businesses resulting in a record Q4 for Insurami,” Chaaraoui said.
In other recent fintech news, Ant Money completed a $20 million fundraise and acquisition of Blast to further its push for micro-investing. PropTech funding also returned to pre-pandemic levels, according to research by the Center for Real Estate Technology and Innovation (CRETI).