Swimply Enters Homes

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Swimply Enters Homes
Derek Callow, Swimply’s chief executive, on a tennis court owned by one of his company’s users. (Photo by Ringo Chiu)

Swimply Inc., a platform that connects homeowners and customers for short-term rentals of amenities such as pools and tennis courts, is expanding its offerings to full-home rentals.

Swimply also executed a smaller series of changes at the end of last year, including a move from West Hollywood to Venice in November and the addition of a new chief executive. Bunim Laskin, who co-founded the company in 2019, stepped down from the role and was replaced by Swimply’s previous chief operating officer, Derek Callow, in mid-December. Laskin is staying on and will join his co-founder, Asher Weinberger, as a board member.

The company’s new offering allows customers to browse from a selection of properties to rent by the hour, with pricing set by the hosts and depending on factors such as the home’s amenities, size, location and the number of guests in a party. Callow said that after initially launching as a pool rental platform, and after adding rental options for recreational sport courts last summer, Swimply expanded to short-term full-home rentals based on feedback from hosts. The home-rental option is currently available in Los Angeles only, while the company’s other rental services boast more than 25,000 listings across the U.S., Canada and Australia. Callow said the platform’s biggest markets are Los Angeles, Austin, New York and Portland, Oregon.

“Swimply is very much about being ‘by neighbors, for neighbors,’ and L.A. is incredible, but it’s not always swimming weather,” Callow said. “We noticed this great (growth) when we expanded into tennis, pickleball and basketball courts, and backyards have always been on our platform, so indoor spaces was a logical extension.”

Callow said the short-term home rental option has been used for purposes such as wedding proposals, corporate retreats for companies, dinner parties and family gatherings. Swimply’s home-rental offering differs from that of AirBnb Inc., he added, because of Swimply’s “by neighbors, for neighbors” philosophy and its focus on “fractional” home ownership. AirBnb hosts can set their own policies for minimum and maximum stays, though hosts rarely offer hourly rentals.

“The vast, vast majority of Swimply (users) are people that live in the same city and community, and want fun, affordable access,” Callow said. “That’s very different to the majority of AirBnb’s core premise … we just operate in a very different space, and we’re a great additional revenue stream for AirBnb hosts as well.”

Derek Callow, Swimply’s chief operating officer, on a rental court. (Photo by Ringo Chiu)

Rental costs vary depending on location, property features, demand and the number of guests. Current listings include a mansion in the Hollywood Hills with a home theater and two pools, which is listed for $4,000 per hour for up to 300 guests, while a studio loft property in the Arts District is available for between $90 and $130 per hour depending on the number of guests. Homeowners are not required to provide bathroom access and are responsible for cleaning the homes after rentals, though they can optionally charge guests for a cleaning service.

Swimply has raised about $51.2 million in funding so far, mostly recently from a $40 million series A round in 2021, and reported $25 million of revenue in 2022. The company takes a commission from rentals, which totals about 15% from hosts and 10% from guests.

The platform has previously received some pushback from communities with Swimply rentals in their midst. Locations such as Long Island, San Jose, Palm Springs and the state of Wisconsin have sought to limit or ban Swimply’s platform, citing concerns about noise from guests, land-use violations and general nuisance. Swimply launched a “Good Neighbor” policy in 2020 that instructs hosts to coordinate with neighbors and allows neighbors to report hosts if they or their guests violate the platform’s community rules. Callow said that, so far, the company has not seen any “headwinds” or experienced pushback to its short-term home rental offering. Swimply plans to push this service beyond Los Angeles into other markets soon.

“We’ve already seen an amazing, overwhelming response from hosts … and we’ve already got hundreds of properties in L.A., which was really astounding,” Callow said. “We just want to make sure that we’re learning what experiences guests want and how we can continue to be a great partner to our hosts, and then we’ll be looking at your geographic expansion pretty rapidly.”

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