AI-powered lettings business Dwelly has secured £125m in fresh funding to accelerate its acquisition of independent letting agencies and expand its technology platform.
The funding round was co-led by EQT Growth and General Catalyst, comprising almost £70m in equity and a further £55m through an expanded debt facility from Trinity Capital, subject to final terms.
The investment follows a period of rapid growth for Dwelly, which now manages around 15,000 properties across the UK and oversees an annual rent roll of approximately £350m.
Rather than licensing software to agents, Dwelly acquires independent lettings businesses and integrates them onto a shared AI-powered operating platform while retaining their local brands and teams.
The company says its AI technology supports functions including tenant enquiries, onboarding, rent collection, maintenance, compliance, contracts and communications between landlords, tenants and contractors.
Dwelly said the latest funding will be used to acquire more independent agencies, expand AI across its lettings and property management operations, develop financial products for landlords and tenants, and support expansion into selected European markets.
Ilya Drozdov, co-founder and CEO of Dwelly, commented: “Dwelly is AI-first by default: we assume AI should be able to do every operational task. That changes what a lettings agent can be. AI takes over the transactional layer, while our people become world-class advisors to landlords and tenants. The goal is to bring a private-wealth level of service to one of the country’s least trusted industries.
“Services are the largest part of the global economy, but until now software has only helped organise work rather than perform it. AI changes that. By combining great local businesses with a shared AI operating platform, we’re building a model that allows agencies to deliver a better experience for landlords and tenants whilst continually improving the way residential lettings are delivered.”
Dwelly says its ownership model provides access to years of communication history, landlord preferences, property records and operational knowledge every time it acquires an agency, enabling improvements made within one business to be rapidly deployed across the wider network.
Nils Petter Nygaard, MD at EQT Growth, said: “Ilya, Dan and the team are exceptional founders building one of the most exciting AI companies in Europe. EQT has invested in business services for decades, and Dwelly represents a fundamentally different model.
“We believe the era of simply aggregating agencies for financial returns is over. Dwelly is reinventing service delivery by applying AI to every part of the operating model, creating a better experience for customers while redefining how residential lettings are delivered. We’re proud to support them on their journey to build a global category leader.”
Zeynep Yavuz-Willson, partner at General Catalyst and new board member at Dwelly, commented: “Dwelly has reimagined the tenant experience: a question answered in seconds, a viewing booked in minutes, a contract signed without ever walking into an agency office.
“This is a blueprint for European services transformed by AI, delivered by founders with the drive to take on the hardest, most fragmented markets, and the patience of capital behind them to see it through.”
Craig Fox, MD of Tech Lending – London at Trinity Capital, added: “Dwelly has continued to execute since its previous financing, growing its agency network and scaling its integration model. We are pleased to support the company as it expands across the UK lettings market.”
