FROM WEWORK TO WEHOME

'Adam Neumann Created A Secretive Billion-Dollar Startup To Turn Apartment Living Into A Utopian Fantasy. I Was The First Reporter To Set Foot Inside'

'Adam Neumann Created A Secretive Billion-Dollar Startup To Turn Apartment Living Into A Utopian Fantasy. I Was The First Reporter To Set Foot Inside'
The WeWork cofounder Adam Neumann started Flow in 2022, promising to revolutionize apartment living. The startup, which received $350 million from A16z, has been shrouded in secrecy.
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In tech circles, there have been few figures more talked about in recent years than Adam Neumann, the controversial cofounder of WeWork who resigned in 2019 after accusations of self-dealing and misbehavior and a disastrous attempt to go public.

But in sunny South Florida, a world away from Silicon Valley or New York, life-insurance broker Matthew Sorrentino and most of his neighbors had never heard of Neumann, much less realized they're essentially guinea pigs for the billionaire's mysterious residential real-estate startup, Flow.

Neumann started Flow in the summer of 2022 after landing a $350 million check from Andreessen Horowitz, better known as A16z, one of Silicon Valley's most prestigious venture firms.

Finally, last month, Neumann's people agreed to let Business Insider's Ben Bergman, tour Society Las Olas, which will officially be Flow's first building come early next year.

[Society Las Olas' lobby resembles a WeWork. Ben Bergman/Business Insider]


When Bergman walked into the lobby of Society Las Olas, he felt like he was entering a WeWork. There were playful neon signs on the wall ("Choose Happiness"), colorful midcentury-modern furniture, soft lighting, and lush greenery.

[The pool at Society Las Olas. Ben Bergman/Business Insider]


The 639-unit Fort Lauderdale building is one of six Flow owns; the others are in Atlanta, Nashville, and Miami. Neumann purchased the properties for more than $1 billion in 2021. There's no set date for when the others will be branded as Flow properties.

What Bergman heard constantly from people who work at Flow was this: Most apartments have high occupancy rates, so landlords have become lazy and complacent, farming out operations to soulless third-party property-management companies that do the bare minimum.

[The Resident Lounge at Society Las Olas. Ben Bergman/Business Insider]


Since Neumann took over, maintenance has cleaned common areas more frequently, a poolside restaurant has reopened, more security has been added, and the gym has been overhauled with new equipment and classes. Instead of a lone uniformed doorman, at Society Las Olas you're greeted by five bright, friendly faces manning the so-called Resident Experience lounge.

[The coworking space is as inviting as that of any WeWork. Ben Bergman/Business Insider]


Then there's the Flow app, which one Flow executive described as the "lubricant" of the building.

The idea of a centralized online system isn't novel. Many apartments allow residents to pay rent, approve visitors, and request repairs via building websites or apps.

Tara Carter, a resident, says the app helps build a sense of community: "People want to feel like they're a part of something."

[A workout class at Society Las Olas. Zack Perl courtesy of Stu Lopoten]


Flow also hopes that keeping more data on residents will help with renewals, which it wants to keep as high as possible, since turning over apartments eats into profit margins.

Just don't expect to negotiate too hard on price. Flow hopes its offerings will be superior enough to charge a premium over other buildings. One-bedrooms at Society Las Olas start at about $2,100, slightly above the $2,000 average for Fort Lauderdale, according to Zumper.

Lots about Flow is still up in the air, including details as basic as whether the company will own most of its buildings or just operate them. But in contrast to the breakneck expansion of WeWork, Neumann and his team this time are moving at a glacial pace

To read more about Neumann's startup Flow, head to Business Insider.


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