Knotel announced that it is expanding into Brazil. The firm will assume the operation of 100,000 square feet in several building in São Paulo, followed by a move into Rio de Janeiro within six months. Knotel is backed by investors such as Norwest Venture Partners, Bloomberg Beta and commercial real estate broker Newmark Knight Frank.
(Press Release) Knotel, the nation’s fastest growing agile workspace platform, announced today that it is expanding into Brazil. The firm is assuming operation of 100,000 square feet space in several prominent São Paulo buildings, followed by a move into Rio de Janeiro within six months, which is expected to add an additional 100,000 square feet to Knotel’s portfolio.
The first group of prominent properties includes class A buildings in the fastest growing corporate region of São Paulo, located around Chucri Zaidan Avenue. This is an area that attracts several multinationals and mid-large Brazilian companies. Among the buildings there will be the Corpo-rate Plaza Building at Rua Alexandre Duma, 2100, with additional addresses to be announced later.
Today’s announcement marks the latest expansion by three-year-old Knotel, which is growing rapidly and is poised to become the predominant flexible office workspace player in the world’s largest cities. Headquartered in New York City, the company already oversees more than 100 office spaces totaling 1.7 million square feet in New York, San Francisco, Los Angeles, London and Berlin.
Knotel co-founder and CEO Amol Sarva said his company’s move into Latin America’s largest economy reflects broad recognition that the Brazil office markets are rapidly strengthening, with growing demand from global enterprises looking to establish themselves or expecting to expand. He noted that Brazil was the largest recipient of VC funding in Latin America last year–a year in which total investment in the region more than doubled to $1.1B–with Brazilian startups account-ing for 45.4 percent of reported deals closed, according to the Latin American Private Equity and Venture Capital Association.
Sarva said, “We couldn’t be more excited to be entering the Brazilian market just at the right time. We started Knotel three years ago with an idea and a single office space in New York, and we had grand ambitions to enter the most dynamic, entrepreneurial markets in the world. It’s thrilling to see our vision coming to fruition. In an agile world, there is no longer any reason for a business to commit to a multi-year lease.”