Urbanise and NAB Forge $8.8m Deal to Revolutionize Strata Payments

Strategic Partnership and Equity Investment

Urbanise.com Limited (ASX: UBN), a leading provider of cloud-based software for strata and facilities management, has formalized a significant commercial partnership with National Australia Bank (NAB). The agreement includes an equity investment where NAB has acquired a 15% stake in Urbanise for approximately $8.8 million, with an option to increase its holding by a further 4.99% following the launch of a new service.

This partnership is designed to deliver and develop Data Payments Integration Services tailored specifically for the Australian strata market, a sector that manages complex financial transactions across thousands of residential and commercial properties.

Innovating Strata Payment Solutions

Urbanise’s SaaS platform will integrate banking and payment functionalities directly into strata management workflows, providing strata managers and their customers with streamlined, secure, and cost-effective payment options. The new service is expected to launch in early 2026 and aims to transform how strata payments and levy collections are processed.

With over $20 billion in strata payments annually in Australia, the market opportunity is substantial. Urbanise estimates the potential revenue from this integration service to be between $30 million and $54 million per annum, reflecting the scale and demand for modernized payment solutions in the sector.

Financial Outlook and Growth Prospects

The partnership agreement includes upfront payments, recurring fees, and variable fees linked to customer adoption. Urbanise anticipates first-year revenues of $4.6 million from the partnership, with $3.3 million payable at signing and $1.3 million tied to milestone achievements within 12 months.

Urbanise’s CEO Simon Lee highlighted the strategic importance of the partnership, noting that it positions Urbanise uniquely in the strata market by combining cloud-based management software with integrated banking services. The company expects to maintain positive cash flow from FY25, despite planned investments in FY26 related to the rollout of the new services, and targets a return to positive cash flow in FY27 as market traction builds.

Industry Impact and Future Opportunities

Paul Riley, NAB’s Executive of Transaction Banking, emphasized the benefits of integrating Urbanise’s platform with NAB’s banking services, promising a simpler and more efficient payment experience for strata customers. The partnership aims to create operational efficiencies and enhance customer offerings, potentially setting a new standard for strata payment management in Australia.

Looking ahead, Urbanise plans to explore further strategic opportunities to expand its business lines and geographic reach, leveraging the strengthened financial position and capabilities gained through this partnership.