Australian proptech firm Archistar scores $3.9m in series A money

Infrastructure spending in Australia has been increasing significantly as the country sees strong growth in residential and commercial developments. According to a Research and Markets report, the country’s construction industry is expected to grow at a compound annual growth rate of 8.6% to reach A$194.2 billion (US$127 million) by 2024.

To help companies get a bigger slice of the pie, Australian proptech firm Archistar has developed an AI-powered platform that allows property professionals to find available development sites and assess designs.

The company said it has just closed its A$6 million (US$3.9 million) series A funding round that was led by local VC firm AirTree, an investor that has also backed design unicorn Canva. AirTree’s co-founder and partner Craig Blair will be joining Archistar’s board, according to a statement.

Archistar founder and CEO Ben Coorey (left) and Craig Blair from AirTree Ventures / Photo credit: Archistar

Launched in 2018, Archistar’s platform allows architects, planners, developers, and agents to click on any block of land and instantly see what can be built, taking local planning and zoning rules into account. Users can also explore design factors such as light and ventilation.

In addition, the startup operates an e-learning platform that helps students develop technical knowledge on generative design software.

With the new funds, Archistar looks to set up shop in the US and the UK, where it plans to look for local partners to speed up customer growth.

“Property professionals and governments are rapidly embracing digital tools to enable efficient and informed development,” said Archistar CEO Ben Coorey, adding that the company has seen its revenue triple over the last year.

Since its launch, Archistar has signed tie-ups with real estate majors such as LJ Hooker, Ray White, and Harcourts, as well as developers and architectural firms like Mirvac, GPT Group, and Aurecon. It has also been working with the governments of New South Wales, Queensland, and Victoria to integrate its technology into local programs.

“Longer term, our vision is to revolutionize the way physical spaces are designed, assessed, and built,” Coorey said.

Archistar’s other shareholders include former News Corp Australia CEO Peter Tonagh, former CoreLogic managing director Graham Mirabito, former CBRE Australasia president Tom Southern, and former Murdoch Media managing director Prabhat Sethi, who is now chairman at Archistar.

Currency converted from AU dollar to US dollar: US$1 = A$1.53.