.png "Co-living startup Stanza Living secures Rs 60 crore venture debt from Alteria Capital and InnoVen Capital, strengthening its expansion plans across 24 Indian cities.")
Co-living startup Stanza Living secures Rs 60 crore venture debt from Alteria Capital and InnoVen Capital, strengthening its expansion plans across 24 Indian cities.
I’m Aadi, an MBA in marketing and finance with a focus on startups and venture funding. Over the past few years, I’ve studied how debt and equity shape India’s high-growth sectors. So when Stanza Living announced another funding round, I knew it was more than just another headline.
Summary:
If you’ve been tracking startup funding in India, especially in the real estate and co-living sector, Stanza Living’s latest move is worth a closer look. The Bengaluru-based company just raised fresh debt capital, and the way they structured it tells us a lot about where this industry is headed.
1. Stanza Living secured Rs 60 crore in venture debt from Alteria Capital and InnoVen Capital
2. The round involved 6,000 non-convertible debentures issued at Rs 1 lakh each
3. Alteria invested Rs 35 crore, while InnoVen contributed Rs 25 crore
4. Just before this, Stanza raised Rs 110 crore in a bridge round led by Alpha Wave
5. The startup now manages more than 75,000 beds across 24 Indian cities and has raised over $240 million so far
Let’s be honest. Most headlines on Stanza Living funding read the same way as big number, big name investors, and a quick snapshot of scale. But this debt round stands out for what it signals about the future of co-living in India.
Issuing 6,000 non-convertible debentures is not a casual move. It suggests the company is leaning on structured debt to balance growth ambitions with financial discipline. Venture debt partners like Alteria Capital and InnoVen Capital don’t just hand over funds without confidence in repayment capacity. That kind of trust hints at stronger unit economics than outsiders may assume.
The timing also matters. Stanza Living had already secured Rs 110 crore in a bridge round from Alpha Wave before this. Taken together, that’s a hefty sum aimed at fueling expansion and keeping momentum strong. For a co-living startup managing 75,000 beds in 24 cities, the costs of scaling as from property management to tech infrastructure as are significant. So the funding mix is strategic. Equity might be too dilutive at this stage, while debt offers growth runway without giving up more ownership.
For India’s broader real estate and co-living market, this move could set a template. As urban demand for affordable and managed housing continues to rise, more startups may rely on venture debt alongside equity to maintain flexibility. It reflects how investors are viewing co-living not just as a property play but as a long-term operating business.
5 Things Founders and Investors Should Take Away:
1. Use venture debt to accelerate growth while keeping dilution low.
2. Structure debt instruments like NCDs carefully so repayment timelines match business cash flows.
3. Don’t let aggressive expansion compromise service quality or customer retention.
4. Don’t overlook regulatory risks in Indian real estate and housing markets.
5. Don’t focus only on the funding number as investors want to see execution discipline.