WeWork’s founder Adam Neumann is starting a new real estate venture by the name of Flow, and this time around he’s looking to “disrupt” the residential market, according to a report from Gizmodo. 

While there are not many details on what Flow is going to do or how it will address the United States’ current housing crisis, what is known is that big wigs investment firms are already throwing money at Neumann’s latest outing.

Andreessen Horowitz, one of Silicon Valley’s biggest investors and an early backer of companies like Facebook, AirBnb, Clubhouse and many others, has already invested $350 million into Flow. This puts the startup’s valuation at more than $1 billion, before its even started up.

Horowitiz’s blog provides some insight into why a company such as Flow might be beneficial. In his post, he summarizes the increasing rent prices, lack of investment in a community and how the COVID-19 pandemic has changed the way society views work as well as how people choose to live. According to Horowitz, the real estate industry needs to “address these changing dynamics” while also saying that the market is “not ready to make these changes.”

According to a report from the New York Times, Neumann has already bought more than 3,000 apartments in Atlanta, Georgia; Nashville, Tennessee; and Fort Lauderdale and Miami in Florida. Flow is set to run all 3,000 apartments as well “offer its services” to other developments. 

The willingness of investment firms and venture capitalists to invest in Neumann is surprising in itself. As the founder of WeWork, Neumann signed short-term leases with real estate companies before flipping them as more expensive short-term leases to others. The end result was a company valued at a staggering $47 billion. Eventually it all imploded as investors questioned if WeWork was a tech company (no it wasn’t) and whether it deserved that evaluation in the first place. Shortly after, Neumann was ousted as CEO and then asked to leave the company, but not before taking $1.7 billion as part of a buyout.