Many homeowners with outdoor space to spare understand the value that an accessory dwelling unit (ADU) could add to their property, but lack the know-how to handle the logistics associated with building a granny flat or rental unit.
Abodu, a California-based startup that manufactures prefabricated backyard homes inspired by Scandinavian design, aims to streamline the entire process “from blueprint to delivery” by offering concierge-level service. Priced from $199,000, their studio to two-bedroom homes can be installed in as little as 12 weeks and Abodu takes care of all the not-so-fun stuff like permitting, site prep, transportation, utility hookups and more.
This week, the company announced that it had closed a $20 million Series A financing round led by Norwest Venture Partners. Existing investor Initialized Capital was joined by new individual investors including Glenn Kelman, the CEO of Redfin, and Michael Tubbs, the former mayor of Stockton, California. Last fall, Abodu raised an additional $3.5 million in a seed round.
“This funding will allow us to design new products, serve new geographies and continue to develop innovative methods to deliver housing throughout the country,” wrote John Geary, co-founder and CEO of Abodu, in a blog post.
Abodu currently services the greater San Francisco Bay Area, Southern California and Seattle, all markets that are facing severe housing shortages. Recent company milestones have included doubling its employee headcount, launching a line of ready-to-ship ADUs, and expanding its delivery radius.
Customers can choose from three models — Abodu Studio, Abodu One and Abodu Two — ranging from 340 to 610 square feet. The standard features are anything but ordinary, and include engineered hardwood flooring, LED lighting, heating and air conditioning, smart thermostats, and high-efficiency, dual-pane windows.
Kitchens are equipped with stainless-steel, electric appliances (most of them full-size), white quartz countertops, premium cabinetry with soft-close hinges, and modern fixtures. Bathrooms boast walk-in showers with large-format tile surrounds, wall-mounted vanities and mirrored medicine cabinets for extra storage. The bedrooms are bright and airy with built-in closets and dedicated zones for heating/cooling — some even come with vaulted ceilings and space for a desk.
There’s also a wide array of upgrade options for those looking to personalize their ADU, from pre-installed solar panels to naturally-stained cedar siding and high-end appliances. Advertised as an end-to-end service, Abodu’s starting price is inclusive of a home visit, pre-approved building plans, permit pulling, all site work, delivery, installation, and the completed ADU with all the finishes and appliances.
Although other ADU startups like Mighty Buildings and Veev have grabbed headlines this year for raising millions of dollars in funding, Abodu separates itself from the pack by focusing on faster timelines and a one-stop-shop approach, rather than innovative building methods.
“While today is our formal announcement of the funding round, this is only one small milestone on Abodu’s long-term journey – to add scalable housing throughout the country,” continued Geary.
