By Riley Kaminer
Bottlenecks. Delays. Money lost.
The construction industry is not for the faint of heart.
It’s something Patrick Murphy knows firsthand. The former U.S. Congressman comes from a family of builders and has also built a startup, Togal.AI, which streamlines the planning process for construction projects. Murphy is also Chief Investment Officer of Coastal Construction Company and managing director of RENCO USA, which is developing a new type of building material.
Now, Murphy [pictured above] is at it again, co-founding another startup, CodeComply.Ai, which is on a mission to infuse AI efficiency into the world of building permits and code compliance. The platform uses artificial intelligence to improve the (currently manual) process of ensuring new construction meets regulatory standards.
Today, CodeComply.Ai is announcing that it has raised $2 million in seed funding led by Govo Venture Partners, a Winter Park-based fund. Other CodeComply investors include real estate developers such as Gil Dezer and Jon Fels, code compliance industry experts, construction executives and Miami VC Lightning Capital. The company, which has roughly a dozen team members, also announced that Patrick Hughes will become president of CodeComply.Ai.
In an interview with Refresh Miami, Murphy explained that the idea emerged from a key insight: many building codes boil down to math and ratios. For example, the number of fire exits required in a building depends on square footage and capacity, while ADA regulations specify precise measurements for wheelchair-accessible bathrooms.
Murphy noted that cities like Los Angeles, currently grappling with a massive need to rebuild, could benefit immensely from automation. “We’re taking 400-plus lines of compliance codes and turning them into algorithms. Instead of manual reviews, AI handles that complexity in minutes,” he shared.
The platform’s workflow is simple: users upload building plans, click a button, and within seconds, receive an analysis indicating compliance with relevant codes. If a design element is flagged, the platform shows the exact section of the code in question, enabling users to adjust accordingly.
“The goal is to empower cities and developers to issue approvals in days or weeks instead of years,” Murphy asserted.
Beyond the speed benefits, Murphy highlighted the cost savings. “Cutting down approval times by even a year can save developers significant interest and carrying costs, which ultimately helps keep housing prices more affordable,” he added.
CodeComply.Ai is particularly timely as many cities face growing pressure to increase efficiency in permitting processes amid housing shortages. The platform has already caught the attention of municipalities and construction firms eager to avoid costly mistakes during inspections.
The startup, which operates on a SaaS subscription model at $3,000 per seat annually, is gaining traction. Murphy signaled that roughly 15 to 20 organizations are already piloting the tool. He attributed part of this early success to the team’s unique blend of expertise in AI, construction, and regulatory compliance.
Miami-based Jonathan Kilman, general partner at Govo, emphasized the importance of this intersection between subject matter expertise and technology: “AI alone doesn’t solve problems – it’s the execution team that makes the difference.”
Govo focuses on companies navigating government regulations or providing public-sector solutions, making CodeComply.Ai a natural fit. “We’re seeing a shift toward governments seeking to do more with less, and CodeComply.Ai offers a scalable way to meet that demand,” Kilman added.
Kilman also noted the broader relevance of the “efficiency mindset” in public policy, especially as cities face rising demand for housing. “The strain on permitting offices will only grow without technological support, and CodeComply.Ai is the perfect solution,” he said.
Looking ahead, Murphy and Kilman see vast potential for the platform to reshape the construction industry. By reducing the pre-construction process from months to days, CodeComply.Ai aims to redefine what’s possible in urban development. Murphy framed the opportunity succinctly: “There’s a crisis in this country, and we have the tools to help solve it. Let’s stop making housing approvals part of the problem.”
READ MORE IN REFRESH MIAMI:
- Patrick Murphy on Togal.AI’s 940% growth in 2023
- Miami proptech Togal.AI raises $5M Pre-Series A round from Florida Funders, others
- DASHing into the future: Revolutionizing real estate with new builds
- From lockdown blues to boom: Miami entrepreneur builds platform to help homeowners
- BuildrFi is constructing the fintech tools for contractors
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