NEW YORK — Real estate brokerage Compass, which operates in NYC and nine other markets, has raised a $100 million Series E investment round from Fidelity Investments, IVP, Wellington Management, and other investors. The new investment brings the total capital raised to $325 million.
Compass plans to use the funds to accelerate its expansion across the U.S. and increase its investment in technology.
“Compass is building the infrastructure, data and tools that will power the next generation of this industry,” said Ori Allon, Founder and Executive Chairman of Compass. “This new funding will allow us to double down on our development of transformative technology, while fueling continued expansion into all of the top real estate markets in the country. Our long-term vision is for Compass to be everywhere as the world’s largest real estate platform.”
Founded in 2012 by Ori Allon and Robert Reffkin, Compass operates in 10 regions across the United States: New York City, Los Angeles, San Francisco, Boston, Washington, D.C., Miami, Orange County, The Hamptons, Santa Barbara and Montecito, and Aspen.
Compass plans to expand in the following cities: Atlanta, Austin, Charlotte, Chicago, Dallas, Houston, Philadelphia,Phoenix, San Diego, and Seattle. The company also continues to add agents in its existing markets. Over the last 24 months, Compass saw its agent population grow by 500 percent. Top agents are attracted by the Compass suite of technology tools, which helps drive a 25 percent increase in revenue in an agent’s first year with the company. With the additional investment, Compass will enhance its platform by combining transaction, listing and client data to provide actionable intelligence and recommendations for agents.
“Compass has proven that its technologically advanced platform is incredibly attractive to the industry’s top agents,” said Todd Chaffee, General Partner at IVP. “Their position at the intersection of technology and real estate gives them the unique opportunity to be the single largest holder of real estate data, ushering in a new realm of possibilities for agents and clients alike.”