The Safehouse PG, a Gurgaon-based real-tech business, assists students and singles in finding affordable housing with nutritious food.
A Quick Look
Startup: The Safehouse PG
Founder: Narender Gahlyan
Year it was founded: 2015
Where it is located: Gurgaon
The problem it solves: Helps students and singles find housing that includes food.
Funding: 5 million
If you're a student or an employee who works in a place other than where your family lives, this Gurgaon-based firm will provide your basic food and lodging needs.Most singles and students struggle to locate a place that is both handy and economical, as well as providing delicious meals.
The rise of urbanisation has also led to an increase in the co-living sector in India, similar to the co-working concept. The Safehouse PG has carved out a position for itself in the co-living market.
The founders and team
Mr Narender Gahlyan launched the company in 2015 after completing his Master in Hospitality Management at Kurukshetra University. Following that, from 2009 to 2011, he worked as a Manager at Domino's in Gurgaon. The company currently has 70 employees spread around Gurgaon. They began operations on the same lines as OYO rooms, but quickly expanded to 500 beds. They cut inventory to zero in order to shift to a "full-stack" business model, in which the company handles ancillary client experiences like as meals, DTH, housekeeping, WiFi, community activities, and so on.
How it works and what makes it unique
Narender explains the working of The Safehouse PG.
we lease out small buildings like G+5, G+4 where premium amenities like Gym, sports area etc. These buildings consist of 20-50 rooms.
“For twin-sharing, fresh graduates usually select the Standard sector, which costs Rs 6,000 to Rs 8,000 per month on average. On the select side, it averages Rs 12,000 per person. Our accommodations are in Gurgaon. As of today, there are 500 beds,” Narender reveals.
The lease length with builders is normally three to nine years, whereas the arrangement with clients is for 11 months. As part of the rental agreement, a month's security deposit is required. Food, housekeeping, DTH, WiFi, concierge, repairs, and maintenance are among the six services offered. The firm's food is a blend of South and North Indian cuisine with some regional variety.
“Our prices are roughly 25% cheaper than industry standards with a very good customer satisfaction score,” Narender adds of the differentiator.
Revenue, competition and market
Customers pay a price for services and rentals on the site, which generates money, according to Narender. Over the last three years, the company claims to have assisted 2000 people in Gurgaon with finding affordable and high-quality housing.
In India, the paying guest industry is highly unorganised, and there is a significant deficit in inexpensive living space. With filthy rooms and a lack of attention paid to food, The Safehouse PG recognised an opportunity to organise the market.
In India, the market for PGs and hostels is projected to be worth $40 billion, and it is rising at a rate of 16-18 percent a year. There are some competitors, such as Zolo, CoHo, Stanza, and others. The Safehouse PG , on the other hand, claims to be Gurgaon's largest PG provider, with over 500 beds.
By December 2022, the company hopes to have expanded to roughly 2000 beds.
“We are also intending to venture in Kota,” Narender says. Student cities are places where the number of students outnumbers the number of professionals. In addition, we want to go above and beyond for young professionals in existing cities. The more choices we investigate in a city in our industry, the better.