Gathern Raises $72M in Saudi Push, Funchal Halts New Rental Licenses, Canadian Airbnb Bookings Jump 10%

Gathern Raises $72M to Power Saudi Arabia’s Vacation Rental Growth

• Gathern, Riyadh-based vacation rental platform, has raised $72 million in a Series B funding round led by Sanabil Investments, a subsidiary of the Public Investment Fund (PIF). The raise pushes the company’s valuation to $266 million.
• This is one of the largest funding rounds in Saudi Arabia’s travel tech sector, and it positions Gathern as the market leader at a time when the country is racing to attract 150 million annual visitors by 2030.
•  The company claims a 44% share of Saudi Arabia’s alternative hospitality market and has attracted over 5 million registered users.
• The platform says the fresh capital will be used to expand both domestically and across the Middle East, introduce AI-powered guest experience tools, and prepare for an eventual listing on the Saudi Stock Exchange. 

About Gathern:

Founded in Riyadh in 2017, Gathern has built a platform that lists more than 72,000 properties, from villas and apartments to resorts and rural farms. The company claims a 44% share of Saudi Arabia’s alternative hospitality market and has attracted over 5 million registered users.

Snigdha’s Views

• With 72,000 listings, 5M users, and nearly half the market under its belt, Gathern’s scale confirms that Saudi’s STR sector is no longer fringe. 
• Combined with Vision 2030’s target of 150M annual visitors, this is a market moving rapidly into the global spotlight.
• For property managers, being on Gathern may become less optional and more necessary. But as the platform centralizes demand, differentiation will get tougher, hosts will be competing not just with each other, but within a system that Gathern increasingly controls.
• Unlike Western STR markets, Saudi Arabia’s trajectory will be heavily shaped by government priorities and public funding. 
• Platforms like Gathern, with PIF-linked backing, are part of the scaffolding of Vision 2030. 
• For international operators, this opens a lucrative but highly managed frontier, where success may hinge on local partnerships and cultural alignment rather than just pricing and performance.

Madeira’s Capital Freezes New Short-Term Rentals Licenses After Social Housing Backlash

• Funchal, Madeira’s capital and one of Portugal’s key short-term rental (Alojamento Local, or AL) markets, has suspended new AL licenses for six months.
• The freeze applies only to apartment buildings, where short-term rentals are seen as most disruptive to housing supply and residential life. Detached homes and single-room rentals are not affected.
• The decision follows a political scandal over subsidized housing units being converted into tourist flats, which sparked backlash and prompted an internal investigation. City officials say the pause will allow time to review density regulations in neighborhoods where STR concentration is highest.
• Funchal currently counts 3,184 registered ALs, representing more than a quarter of the city’s total accommodation capacity, a level local leaders now view as unsustainable.

Snigdha’s Views

• Funchal’s decision underscores a wider trend: Portugal is tightening STR rules even in markets where tourism is the lifeblood of the economy. 
• The freeze doesn’t eliminate Alojamento Local (ALs), but it does shut the door on new apartment licenses, the category where housing pressures and neighborhood friction are most acute.
• For property managers, the impact cuts both ways. Incumbents may enjoy temporary protection from new competition, but anyone looking to expand portfolios in multifamily housing will find themselves blocked for at least six months. 
• This isn’t isolated to Madeira. According to Idealista, Lisbon (994) and Porto (399) have seen the fastest rise in STR listings, but smaller markets like Funchal, Braga, and Coimbra are also swelling. 
• Local governments are pointing directly to this rapid supply growth as justification for tightening AL rules.

Airbnb Data Shows Canadian Travelers Turning to Smaller Provinces as Domestic Bookings Surge

• Airbnb’s latest data shows domestic travel in Canada is still surging. Bookings within the country rose more than 10% year-over-year in the first half of 2025, with 12 of 13 provinces and territories seeing growth. 
• Smaller provinces stood out, with Newfoundland and Labrador, Prince Edward Island, Quebec, and Saskatchewan all recording gains of 20% or more. 
• Trending destinations included West Kelowna, Gatineau, and Canmore, showing how travelers are spreading beyond major hubs and driving spend into smaller towns.
• Internationally, Canadians are also branching out beyond the U.S. Airbnb reports nearly double-digit growth in bookings to non-U.S. destinations, with hotspots like Tokyo’s Sumida and Naniwa wards, Rio de Janeiro, Paris, and Los Cabos leading the list.

Snigdha’s Views

• Airbnb’s numbers point to two shifts worth noting. First, domestic travel demand is strengthening, with smaller provinces capturing a growing share of the pie. 
• One explanation for this trend could be softer U.S. cross-border flows, especially amid ongoing uncertainty around border policies.
• For property managers, the opportunity lies in tailoring listings to Canadian guests choosing shorter, regional trips. 
• That could mean flexible weekend pricing, family- or pet-friendly amenities, and marketing campaigns that highlight “closer-to-home” experiences.
• Of course, these figures reflect Airbnb’s platform trends rather than the entire Canadian travel market. 
• But directionally, they’re consistent with global patterns: like in Japan, domestic travel is proving durable beyond the pandemic, reshaping how both platforms and managers position their offerings.