General Overview and Concept

Urby is a fractionalised real estate investment platform that simplifies property investment. Through Urby, you can invest in real estate by purchasing property-specific Profit-Share Contracts, we refer to as shares. These shares are backed by landed property assets in Malaysia. With Urby, you have the opportunity to earn financial returns from real estate investments without the complexities and responsibilities of property management.

Urby was established to encourage folks to invest back into their communities and contribute to the revitalization and rejuvenation of their neighborhoods.

Additionally, Urby promotes sustainability efforts, such as upcycling old houses, to create positive environmental and social impacts. Through Urby, you have the opportunity to support community growth while earning financial returns.

Investing through Urby contributes to the local community and economy in several meaningful ways:

• Supporting Aspiring Homeowners: Through our Co-owned model Urby enables aspiring homeowners to purchase older houses in the neighborhoods they grew up in or interested to live in, helping them stay connected to their roots without the overwhelming financial burden. By investing in these properties, Urby helps individuals secure homes in familiar communities, promoting stability and continuity.
• Revitalizing Neighborhoods: Urby enables our Listing partners or co-owners to quickly upcycle properties bringing new life to vacant and undervalued houses, which contributes to the overall economic vitality of local neighborhoods.
• Reducing Vacancy & Waste: Urby and our Listing partners primarily target run-down and vacant properties. By quickly renovating and matching them with new homeowners, Urby reduces the number of idle or deteriorating houses in urban areas, ensuring land and resources are used productively.
• Strengthening Community Bonds: Urby encourages people to invest in their communities, fostering a sense of pride and ownership. Through a platform that supports local investments, Urby helps residents actively participate in the growth and development of their neighborhoods, strengthening community connections.

Other platforms tend to use a special purpose vehicle (SPV) entity to aggregate capital from a number of investors in order to purchase a property. The purchased property is owned by the SPV. Through the SPV’s shareholder agreement, investors are entitled to a portion of the income generated from the property either from the result of a sale or rental. However, the SPV and consequentially its investors are also responsible for the upkeep and management of the property.

Urby’s approach to fractionalisation forgoes the SPV company structure in favour of a Profit-Share Contract (PSC) between the owner of the property (typically a company with either partial or total ownership of the asset) and investors on Urby. These PSCs entitle an investor to a portion of the income generated ONLY during the sale of the property. However, PSC investors are also NOT responsible for any of the upkeep and management of the property. This approach effectively allows an investor to participate in the capital appreciation of the underlying property without the hassle of dealing with property ownership.

Unlike locally listed REITs, which tend to give diversified exposure to the different segments of the property market, Urby provides investors with opportunities to invest directly into specific landed residential properties. Urby thus increases your access to the residential real estate market and gives you more control over your investment allocations.

When we refer to a 'share' on Urby, we're describing an investment instrument known as Profit-Share Contract. This contract represents a monetary interest directly backed by a specific property. By purchasing these property-specific Profit-Share Contracts, you acquire a stake in the property's financial performance, allowing you to benefit from its value gains over time.

Urby’s primary source of revenue is generated from fees on transactions that occur on the platform as a result of the new property listings or from trades on the secondary market.