PropTech lettings platform Dwelly has secured £69 million in funding to acquire additional letting agencies and expand its AI-powered operating platform across the UK rental market.
The company’s strategy centres on purchasing independent agencies and integrating its artificial intelligence platform to digitise operations including rent collection, maintenance coordination and tenant-landlord matching. Following eight acquisitions completed in less than 12 months, Dwelly now manages over 10,000 properties, positioning it among the UK’s 15 largest letting agents by portfolio size.
Consolidation strategy targets fragmented sector
The capital injection will fund additional acquisitions in a lettings market characterised by significant fragmentation. Approximately 20,000 firms operate across an estimated £100 billion in annual rent, yet the top 100 agents control less than 30% of the roughly 5.5 million rental properties nationwide.
CEO Ilya Drozdov stated: “Our vision is to build an end-to-end platform evolving into a fully transactional rental marketplace with a robust fintech layer for rent collection and ancillary products.”
Co-Founder and Chief Product Officer Dan Lifshits described the UK lettings market as “the perfect target for AI”, citing operational improvements including a one-third reduction in letting times and similar decreases in maintenance resolution periods.
Investor backing
General Catalyst partner Zeynep Yavuz commented that the firm views Dwelly’s combination of industry knowledge and AI infrastructure as positioned “to reshape how rental markets operate.”
The funding round marks a significant capital commitment to the consolidation of Britain’s fragmented lettings sector, where technology adoption has historically lagged behind other property segments. Whether AI-driven efficiency gains can translate into sustainable competitive advantages in a traditionally relationship-based industry remains to be demonstrated at scale.
