Brad Hargreaves is stepping down as CEO of coliving company Common.

Hargreaves founded the company back in 2015 in an effort to offer more affordable living arrangements for young professionals, families, and students.

Now, Common’s executive vice president of property management Karlene Holloman will take over as CEO as the firm hones in on becoming profitable.

“It’s really about finding the right person to step up and take this role and take this challenge on,” said Hargreaves.

“[Holloman] has done this before, and she’s built organizations like this before … She’s really done a tremendous job leveling up the quality of operations here at Common.”

For now, Hargreaves will serve as the role of chair and chief creative officer as he turns his focus to the capital structure of Common.

Changing Hargreaves’ role has been a topic of discussion for months among the firm’s board, but he said that it was his sole decision. He also added this shift did not relate to current limitations within the proptech industry.

“Starting really at the beginning of this year, we made a decision that profitability was going to be the objective and the goal,” said Hargreaves.

“The venture market has really cooled on the proptech sector, which is why we’re very focused on profitability, and being able to control our destiny as a standalone business.”

Common has been the standout competitor within the coliving industry, having expanded even more during the pandemic despite other operators folding to the economic uncertainty. Now, it has 18,000 units in the pipeline that aims to address the ongoing housing crisis.