Market Overview

Knotel Acquires 42Floors, Top Real Estate Search Engine

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Deal gives Knotel access to commercial listings and technology,
accelerating blockchain plans

Knotel, the fastest growing flexible office provider, announced today
that it acquired 42Floors, a top search engine for commercial real
estate. The deal will give Knotel access to data and technology on over
10 billion square feet of office space, driving further liquidity to
Knotel's marketplace while also accelerating its plans for a blockchain
platform.

The news comes in the wake of Knotel's acquisition of the German
workspace operator Ahoy!Berlin in June, as it pushes deeper into Europe.
Since its founding in 2016, Knotel has inked more than one million
square feet of office serving high-growth and enterprise companies
across New York, San Francisco, London, and now Berlin, a rate over 2x
faster than its largest competitor. In New York's Chelsea neighborhood
alone, Knotel has been responsible for nearly 30% of all deal activity
since January.

While the company has been growing at a furious rate operating custom
offices for big businesses, its intent to develop a blockchain signals
wider ambitions to serve the real estate industry.

"42Floors built a powerful tool to organize a dark market that hasn't
changed in a hundred years," says Amol Sarva, Co-Founder and CEO of
Knotel. "It's still backroom and bilateral while the rest of the world
is becoming digital and standardized. This is what leads to transactions
that take months to close with a dozen middlemen - no reliable
information. You can buy a house faster than you can rent a floor.
Partnering together will help give owners and customers what they both
want: truth."

"Working with Knotel is a natural extension of what we came to do," says
Jason Freedman, Founder and CEO of 42Floors. "We started 42Floors to
upgrade an industry hopelessly out of date and make it more
user-friendly. Renting an office shouldn't be an archaeological
expedition. With Knotel, we have a partner to take this to the next
level with a blockchain platform, where all transactions will be
recorded to the ledger in daylight."

About Knotel

Knotel is transforming the office market with its Agile HQ™ Platform.
Making long-term leases a thing of the past, Knotel designs, builds, and
operates custom spaces for established and growing brands, so they can
be free to grow their businesses at will and build what's never been
built.

Named a Business Insider Top 50 Startup and New York's Hottest
New Workspace Model, Knotel has over 60 locations across more than 1
million square feet in New York, San Francisco, London, and Berlin.
Founded in 2016, Knotel has raised $100 million in funding. Knotel's
member network includes companies like Starbucks, Cheddar, and King.
Visit Knotel.com.

About 42Floors

42Floors was founded in November 2011 with the goal of making office
space search three things it has never been: beautiful, easy, and
transparent. The platform gives users a free, comprehensive database of
available office spaces, complete with high-quality photography and
crucial data about the listings. Based in San Francisco, the 42Floors
team includes six alumni of the Y Combinator accelerator program and all
of the developers and designers are veteran startup founders. Visit www.42floors.com.

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