South African proptech startup, Neighbourgood has acquired Local Knowledge, a Cape Town-based traveltech startup in a cash and equity deal worth $1.5 million.
"This acquisition is not just a merging of two companies and teams, it's a marriage of two visionary missions to redefine the way we live, work, and experience a city - all the while fostering meaningful connections and positively impacting local communities," Neighbourgood said in a statement seen by Bendada.com.
Last year, South Africa saw 5.8 million inbound international tourists.
Since its launch in 2020, the proptech startup has about 1000 living and workspaces for tourists, mostly in South Africa, with an additional 650 to be deployed next year.
According to the startup, “The next generation of travellers faces a variety of challenges when setting out to explore new cities—a lack of authentic cultural experiences, scattered information, and a growing sense of disconnect. This is where Local Knowledge steps in and serves as a bridge, connecting travellers with local communities to craft unforgettable experiences together.”
Neighbourgood plans to leverage Local Knowledge's experience serving over 30,000 millennial and Gen Z travellers, as well as its technologies and team to build The Experience Vertical; a team committed to the exclusive goal of assisting Neighbourgood guests in crafting enduring memories and significant connections.
This will be achieved through genuine, locally rooted experiences and tours, community-focused events, and a user-friendly app offering personalised suggestions and exclusive insights into a city's happenings. It will serve as a digital compendium of the finest hidden gems, meticulously curated by knowledgeable locals.
According to Murray Clark, CEO of Neighbourgood, “This acquisition represents a significant milestone in the travel and hospitality industry. It's a meaningful step toward a future where travel is not just about destinations but about the friendships, experiences, and communities we build along the way. Neighbourgood and Local Knowledge are well-poised to lead this transformative journey!”
Neighbourgood plans to expand its offering beyond Cape Town to California next year.
