Cottage announced on Wednesday that it closed with $15 million in a Series A funding round. According to the Press releaseFifth Wall led the round, and investors included 1Sharpe Ventures, DivcoWest, Susa Ventures and Base10 Partners.
Cottage is a San Francisco-based startup that brings together homeowners and contractors to build ADUs – secondary suites located on the same lot as a single-family home. ADUs can be internal – converted partitions of existing homes – or externally attached or freestanding.
ADU construction is subject to residential policies and regulations. However, many counties and cities in the United States have adopted zoning regulations that allow ADUs in low-density residential areas. Especially in California, new state regulations allow almost all residential properties (single-family and multi-family) to build ADUs. This gives Cottage the opportunity to grow and expand its market.
Chalet is a software platform and marketplace that allows owners who want to build an ADU to save time and money by digitizing the end-to-end process.
“Anyone who has taken on a home improvement project will tell you there has to be a better way, and now there is. By applying technology to outdated manual processes common in industry, Cottage empowers owners and contractors to build more and better,” said Alex Czarnecki, Founder and CEO of Cottage.
With Cottage, owners can:
- identify the correct location for an ADU on their land;
- schedule a consultation with a Cottage expert to assess the utilities and budget required;
- and digitally design a custom ADU by drawing up a floor plan, selecting finishes and finally viewing the plans in 3D.
Then, Cottage consultants will take care of the complete architectural packages for city permits, site surveying and engineering. Throughout the process, owners can track progress through Cottage’s online portal.
The platform also provides benefits to entrepreneurs as they can access projects and tools to save time and focus on customer service.
“What’s so exciting about Cottage is that its offering is mutually beneficial for homeowners and builders alike,” said Dan Wenhold, partner at Fifth Wall. “Streamlining the ADU design and delivery process allows owners to add value to their property with more transparency and fewer headaches. We are delighted to invest and join Cottage’s Board of Directors and look forward to the continued growth of the business.
Cottage launched in 2020 and served the San Francisco Bay Area and Los Angeles. With this new Series A, the company plans to expand to other regions of the United States.