Adam Neumann, the co-working billionaire, has expanded his real estate startup Flow into Riyadh, Saudi Arabia with the opening of Flow Narjis. This marks Neumann’s latest venture into co-living and apartment rentals after his previous attempt, WeLive, was discontinued when he stepped down as WeWork CEO. Flow properties in Riyadh offer coworking spaces, yoga classes, and hotel-style housekeeping services, aiming to create a sense of community within housing complexes. The furnished apartments start at $3,500 a month and come equipped with amenities like pools, gyms, and bowling alleys.
Flow Narjis, located near Riyadh’s airport, is one of three properties in the Saudi capital owned by Neumann’s startup, with construction expected to be completed by the end of the year. The properties were purchased in partnership with private local investors, not including the Saudi sovereign wealth fund that backs Andreessen Horowitz. Neumann’s vision for Flow includes bringing a level of hospitality similar to that of luxury hotels, emphasizing community building and shared experiences among residents.
Andreessen Horowitz’s investment in Flow in 2022 raised eyebrows due to WeWork’s well-known struggles and eventual bankruptcy. Neumann’s initial concept for Flow was a bit of a mystery, with ideas ranging from crypto-enabled financial services to a plan for tenants to build equity with their rent. The startup’s first properties in Florida focused on medium to long-term leases with an eco-friendly emphasis, offering concierge services through a mobile app. The rental incentive of a month’s free rent was used to attract tenants to the expensive apartments in Florida.
Neumann’s history with Saudi Arabia includes significant investment from the country’s sovereign wealth fund into WeWork through SoftBank. Despite controversy surrounding the fund’s human rights record, Neumann has continued to engage with Saudi investors and participated in events like the annual “Davos in the desert” summit. Flow’s expansion into Riyadh reflects Neumann’s interest in the country as a burgeoning market for his real estate ventures, drawing on his experience with WeLive and his recent investments in apartment blocks across the US.
Flow’s focus on providing a sense of community and shared experiences sets it apart from traditional residential properties, with a range of amenities and services designed to foster interaction among residents. Neumann’s vision for Flow aligns with his belief in using technology and hospitality to enhance the living experience in apartment buildings. Despite setbacks with WeLive and WeWork, Neumann’s determination to succeed in the real estate industry has led to the development of Flow and its expansion into new markets like Saudi Arabia.
As Neumann continues to grow Flow and pursue his vision for community-focused living spaces, his past experiences with WeWork and WeLive serve as a foundation for his current efforts. The opening of Flow Narjis in Riyadh represents a significant step in Neumann’s journey to establish a presence in the co-living and apartment rental market, demonstrating his resilience and adaptability in the face of challenges. With a focus on hospitality, technology, and community building, Flow aims to redefine the residential experience for tenants in Riyadh and beyond.
