21 Feb Neighborhood Goods plans NYC expansion with latest $8.8M raise
Neighborhood Goods is in the news again. This time, they’re announcing more cash and a Big Apple expansion.
The Dallas-based retail startup on a mission to revolutionize the traditional department store announced expanded seed financing this morning of $8.8M for a cumulative $14.5M in a new round led by Global Founders Capital, and the addition of a second location set to open in New York later this year.
Co-founded in 2017 by Matt Alexander and Mark Masinter, Neighborhood Goods features an ever-changing selection of the world’s best brands and products in a pop up style at its inaugural location in Plano, Texas’ popular shopping development Legacy West.
“Since we announced Neighborhood Goods last Spring, we’ve been fortunate, probably undeservedly so, to be subject to a significant amount of excitement about — and interest in — our concept,” said Matt Alexander, co-founder and CEO of Neighborhood Goods. “As a reflection of that, in the fall, ahead of our launch, our investors saw an opportunity to capitalize on that excitement and to accelerate our expansion plans for 2019 by driving additional seed funding.”
The new round was led by previous investor Global Founders Capital with participation from prior lead investor, Forerunner Ventures, in addition to Maveron, NextGen Venture Partners, Revolution’s Rise of the Rest Seed Fund, Ground Up Ventures, Capital Factory, consumer luminary Michael Dubin (CEO, Dollar Shave Club), and more.
Global Founders Capital is a globally focused, stage agnostic venture capital firm based in San Francisco that has worked with the likes of Hellofresh, Away, DeliveryHero, LinkedIn, Eventbrite, and other well known brands.
“After investing in Neighborhood Goods’ initial seed round, we were excited by the quality of brands they began to sign, in addition to the trajectory for their first opening and beyond” commented Don Stalter, Investor at Global Founders Capital. “We saw an opportunity to help Neighborhood Goods accelerate through their launch and, now, we’re very proud to see the opportunities unfolding in front of them for new brands, new locations, and more.”
GFC’s Stalter is joining Neighborhood Goods’ Board of Directors, alongside Forerunner Ventures, as part of this financing round.
“We’ve been particularly encouraged by the early reception to Neighborhood Goods, as well as the team’s execution since launch,” commented Nicole Johnson, Investor at Forerunner Ventures. “Not only has the consumer been waiting for this retail experience, but the brands as well. With the reinvestment and assuming a more active board role in doing so, we are thrilled to help drive Neighborhood Goods toward new markets, help them continue to explore relationships with more brands, and, ultimately, continue to iterate and deliver upon this unique customer experience in-store.”
Neighborhood Goods hasn’t revealed where they plan to open its doors in NYC, but the move is indeed strategic as the New York retail scene has undergone considerable changes over the last year including big fashion brand closures such as Lord & Taylor and Henri Bendel.