Bengaluru-based Zolo exits student housing vertical through a slump sale deal with Mumbai-based Good Host Spaces
Zolo, a leading coliving spaces provider headquartered in Bengaluru, has announced the sale of its student accommodation business to Good Host Spaces Management Services, a Mumbai-based student housing company, for INR 107.8 Cr (approximately $12.5 million). The strategic move comes as part of Zolo’s plan to focus more sharply on its core offerings in the broader rental housing and coliving segment.
According to regulatory filings and official confirmation, the board of Zolo approved the sale on February 10, 2025. The transaction will be executed as a slump sale, transferring all assets and liabilities related to the student housing vertical to Good Host Spaces in one go.
Read More :- Zolo sells its student housing business to Good Host Spaces
Zolo’s Evolution and Strategic Shift
Founded in 2015 by Akhil Sikri, Isha Choudhry, Nikhil Sikri, and Sneha Choudhry, Zolo has emerged as one of India’s most prominent tech-driven rental accommodation startups. Leveraging AI and data analytics, the company offers a wide range of living solutions—from paying guest (PG) accommodations to serviced apartments and independent rental flats, catering to both students and working professionals.
With this recent move, Zolo aims to streamline its operations and focus on scaling its technology-first rental platform, optimizing services for urban millennials, professionals, and digital nomads.
Why the Student Housing Exit?
While student accommodation was a key vertical for Zolo, the company has decided to exit the space due to the high operational intensity and increased competition in this segment. The COVID-19 pandemic also shifted housing preferences, with more users demanding flexible, short-term rental solutions and tech-enabled living experiences.
The decision to sell the student housing division aligns with Zolo’s broader mission to build a sustainable and scalable coliving ecosystem, particularly in metro cities like Bengaluru, Hyderabad, Pune, and Chennai.
About Good Host Spaces
Good Host Spaces, the acquiring company, specializes in student housing infrastructure and services across major Indian cities. Backed by Goldman Sachs and Warburg Pincus, Good Host Spaces manages accommodation facilities for several leading educational institutions.
The acquisition of Zolo’s student accommodation assets will enable Good Host to strengthen its footprint and scale faster in key education hubs, while also leveraging Zolo’s existing infrastructure and user base.
What’s Next for Zolo?
Post-sale, Zolo plans to double down on its AI-powered rental housing app, enhancing features such as virtual tours, dynamic pricing, roommate matching, and automated maintenance services. The company is also looking to expand its premium coliving offerings, targeting young professionals who seek convenience, safety, and community living.
With demand for organized rental spaces growing in post-pandemic India, Zolo aims to become the go-to digital platform for hassle-free urban living.
Conclusion
The INR 107.8 Cr slump sale of Zolo’s student accommodation business to Good Host Spaces marks a strategic pivot for the Bengaluru-based startup. By shedding a high-maintenance vertical and focusing on tech-enabled rental solutions, Zolo is positioning itself for long-term growth and scalability in India’s evolving real estate market.
