Urban Compass operates a web and mobile platform for home buying and apartment rentals, enabling prospective renters and buyers to search listings and arrange viewings. The company streamlines the apartment‑renting process through its listings and scheduling tools. It initially paid brokers a salary rather than commission to encourage better matches, but later shifted to a commission‑based compensation model to attract more experienced agents. Urban Compass recently raised $40 million, bringing its valuation to $360 million. VentureBeat’s coverage frames the capital as supporting a move to take its personalized apartment‑search service national. Sofia Song, head of research and external affairs, is quoted explaining the compensation change as a means to recruit the best agents. Urban Compass launched in May as a home rentals platform paired with a hyperlocal social network aimed at city renters. The platform offers real-time apartment search, appointment scheduling, neighborhood-specialist tours and monthly rental payments, charging 7.5% on non-brokered deals and 12.5% on brokered deals. The company reports strong site traffic and usage, says it doubled revenues two months after launch, and expected to generate $1 million per month in October. Founders say there is a clear path to profitability, though they will need to invest heavily for the next stage of growth. Plans include geographic expansion to other major urban centers and adding aftermarket services (broadband, furniture, etc.) to create new affiliate and advertising revenue streams. The company is led by CEO Ori Allon (ex-Twitter/Google entrepreneur) and co-founder Robert Reffkin (ex-Goldman Sachs). Urban Compass is developing a human-powered local knowledge and information database designed to help people make important personal decisions. The company is New York–based and was founded by Ori Allon and Robert Reffkin; other founding team members include Mike Weiss, Ugo Di Girolamo, Paul Groudas, Denis Tolkachev, and Alexandre Petcherski. At the time of the article the company was still operating in stealth mode. Urban Compass raised $8 million in funding to continue building its platform. The company stated it will use the funds to hire engineers and expand its product development. Reported funding backers included Goldman Sachs, Founders Fund, Thrive Capital, Kenneth Chenault, Cyrus Massoumi and others.

Total raised

$68M

Funding rounds

3

Latest round

Series B

Latest activity

Jul 2014