Luxe raises $20 million in funding

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Luxe is an on-demand parking service that has raised $20 million in funding from Venrock and Redpoint Ventures. Luxe said that its service will be expanding to several other cities across the country by the middle of 2015 starting such as Boston, Chicago and Seattle. More details below:

PRESS RELEASE

SAN FRANCISCO, March 3, 2015 /PRNewswire/ — Luxe, the leading on-demand parking service, announced today that it has secured Series A financing of $20 million USD from lead investor Venrock as well as Redpoint Ventures. The company also announced that its service will be available in cities across the country by mid-2015, beginning with adding Boston, Chicago and Seattle this quarter, as well as the release of its Android app. The funding paves the path towards national availability of its increasingly popular service, which connects drivers with trained and pre-screened valets via its mobile app. As part of the funding round, Brian Ascher of Venrock and Ryan Sarver of Redpoint Ventures will join Luxe’s Board of Directors.

In addition to expanding its footprint across the US, Luxe will also continue to build its team, including hiring Ro Choy, former Chief Operating Officer of BitTorrent as Chief Business Officer. Luxe will focus on building a presence in major urban hubs where parking has become an increasingly difficult and expensive painpoint for everyone from daily commuters to those driving to meetings and appointments.

“Parking in the core of most cities is a nightmare and apps that list garage locations, parking prices, or handle payments have not solved the problem,” said Ascher. “Luxe’s service oriented solution turns a headache we all routinely encounter into an awesome experience. It’s an operationally complex business but the Luxe team blew us away with their vision and focus on execution.”

Rapid Growth in San Francisco and Los Angeles In the last six months, Luxe has seen explosive growth in demand in San Francisco and Los Angeles, with the average customer parking with Luxe two times a week, 90 percent month over month growth in customers and 97% growth in transactions month over month. This growth and increasingly habitual use of Luxe were key factors for Redpoint’s Ryan Sarver to invest in the Series A. Sarver said, “Luxe’s success proves out the importance of delivering a service that consistently delights people. Luxe has created new daily habits for a wide set of consumers which is when the magic of network effects starts to kick in. We’re proud to have backed the Luxe’s team from its early days as they have scaled their technical and operational functions to meet demand.”

Launching in Boston, Chicago and Seattle in Q2 Currently available in San Francisco and Los Angeles, Luxe will be available in Boston, Chicago and Seattle by the end of April, and plans to continue its expansion in several more cities this year. The team will begin recruiting valets and open up private beta access for interested consumers in both cities in the coming weeks via its website at www.luxevalet.com/boston, www.luxevalet.com/chicago and www.luxevalet.com/seattle.

Luxe’s CEO and Co-Founder Curtis Lee explained, “The fact is, 90 percent of Americans have to drive to work or to daily appointments like visiting the doctor, and in major metropolitan areas parking costs have continued to rise as inventory in parking garages is reduced. Luxe’s model, where we bring a breakthrough business model together with the latest mobile technology creates efficiencies and cost savings for consumers.”

About Luxe Luxe, the leader in on-demand parking, is headquartered in San Francisco, California. Available for free download on iOS and Android and currently serving San Francisco and Los Angeles, Luxe solves the parking problem by doing the parking for you. Currently expanding to additional cities across the U.S., Luxe’s team is backed by the investors behind consumer technology standouts like Uber, Sonos, Netflix and Nest and is led by a veteran consumer technology team with experience from Zynga, Google and Tesla Motors. Read more about us here: www.luxevalet.com

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