Divvy Parking has secured A$2.5 million in a Series A funding round, to expand and scale its smart solution that connects commuters with affordable commercial parking spaces. The investors will remain undisclosed though.
Along with the funding, Divvy has also signed key partnerships with a number of major commercial property firms, including DEXUS Property Group, GPT Group and Knight Frank, that will, where appropriate, use the Divvy platform to help manage their extensive parking spaces in buildings throughout the CBD.
Separately, Divvy also recently inked a deal with Inlink, provider of office tower tenant services, which potentially opens Divvy’s pipeline of buildings up to a further 50 per cent of the commercial office tower market.
To date, Divvy has been funded privately in combination with a A$300,000 seed fund raising. The new round brings Divvy’s total funding to A$2.8 million.
What does this funding mean for Divvy Parking?
This Series A funding round accelerates the parking platform’s expansion from a peer-to-peer service into the commercial property sector.
It will fast-track the roll-out of patented, industry-changing access tech that will open up short and long-term car parking resources to drivers, creating more connected and efficient city centres.
The cash injection will also be used for enhancements to the platform and user experience, as well as making some key hires to support the company’s rapid growth.
“Through Divvy Parking we are dramatically improving access to affordable parking in major cities, opening up existing spaces to commuters and helping property owners improve the yield on their assets,” said Nick Austin, founder and CEO of Divvy (pictured).
“This funding will allow us to accelerate the rate at which we are achieving this and build on our already expanding team,” he added.
“The existing system has long been in need of a technology evolution, just as we’ve seen happen across industries such as city taxis and accommodation,” Nick went on to remark.
“Australia faces mounting pressures on its infrastructure and Infrastructure Australia recently warned traffic congestion could cost governments up to $53 billion by 2031.”
“Technology will play a key role in combatting these issues as the public and private sectors work together to build smarter and more efficient cities, he said. “Finding ways to use existing resources through solutions such as Divvy is an important part of this.”
What exactly does Divvy Parking do?
The Divvy Parking solution enables building owners, property managers and independent parking operators to manage their parking assets more efficiently and cost-effectively, reducing waste by connecting commuters in the area instantly to under-utilised spaces.
Aaron McGhee, Knight Frank’s Managing Director said they’d been looking for an innovative solution for some time, “the industry is crying out for it.”
“Working with agile technology companies is part of our ongoing strategy and Divvy has played a key role in driving us forward in this space, delivering flexible solutions for our clients which have not previously been available,” he commented.
“We’ve already seen material improvements in the management of our parking assets.”
Divvy Parking also manages a peer-to-peer solution where users can rent out their unused residential parking spaces to people looking for long term affordable parking in high density areas.