Class 3 Technologies Secures $3.5M to Scale Next-Generation Climate Risk and Resilience Software

Spun out from Arup, Class 3 leverages deep engineering expertise with advanced modeling to deliver unprecedented clarity for decision-makers managing climate risk

SAN FRANCISCO, Oct. 14, 2025 /PRNewswire/ -- Class 3 Technologies (Class 3), a startup pioneering the next-generation of climate risk and resilience modeling for the built environment, today announces the close of its $3.5M seed round led by Powerhouse Ventures alongside Sustainable Future Ventures and Tailwind Futures. Spun out of the global engineering and built environment consultancy Arup, Class 3 exits stealth with Iris — a first-of-its-kind platform delivering actionable, building-level insights to help organizations quantify and manage the growing threat of climate-driven disasters.

Beyond reporting, confidence to take action

A growing number of organizations that operate, own, or invest in properties want to limit their potential impact to catastrophic events and protect their people, property, and businesses. They recognize that legacy tools built for financial reporting do not provide enough details to make critical real estate or operational decisions. While high-quality engineering assessments exist, they are cost-prohibitive at scale, limiting accessibility and impeding needed progress on global risk reduction. A revolutionary approach that delivers unprecedented accuracy and scalability at the building level was necessary to equip decision-makers with the intelligence to take action with confidence.

Built on two decades of frontline engineering and building design experience, Iris represents a step-change in how climate risk can be measured and managed. While traditional platforms rely on high-level projections or insurance-based loss averages, Iris translates state-of-the-art engineering methodologies into detailed vulnerability assessments and resilience strategies tailored to the unique characteristics of each building.

Class 3's founding team brings unparalleled expertise in risk modeling, climate resilience strategy, and building engineering design and performance. CEO Ibbi Almufti, a licensed professional and structural engineer, previously led the Risk and Resilience practice at Arup, where he helped shape national and international approaches to quantify and reduce climate and seismic risk. The team is rounded out with experience in venture building and Enterprise B2B SaaS.

"We're here to catalyze resilience action at scale," said Ibbi Almufti, Founder and CEO of Class 3. "To measure resilience accurately we had to develop new damage and loss models built on first principles of engineering, down to the level of individual building components. With Iris, organizations can finally quantify building vulnerability and risk properly and simulate the benefits of resilience interventions to act decisively." 

Powerhouse Ventures, an early backer of transformative climate software, led the round. "Iris is an innovative new software platform that will change the way organizations manage and protect their building and infrastructure portfolios," said Marie Thompson, Partner at Powerhouse Ventures. "We believe Class 3's team and technology uniquely position them to lead the next generation of resilience planning."

Engineering at the Core, Resilience at Scale

Class 3 was born out of the world-class innovation environment at Arup, where risk and resilience experts collaborated with engineers to design buildings that can withstand earthquakes, extreme weather, and other physical hazards. Iris embodies Arup's engineering DNA, turning deep technical expertise into a digital platform that simulates physical impacts, quantifies structural vulnerability, and tests resilience measures with precision and clarity. Recognizing Iris's potential to drive climate resilience globally, Arup Ventures spun out Class 3 as an independent company to scale its reach. Arup Ventures supports the incubation, acceleration, scaling and commercialization of early-stage companies seeking to redefine and transform the built environment for the better.

"Class 3 translates engineering excellence into accessible software for climate resilience," said Ilana Judah, Americas Climate and Sustainability Leader at Arup. "This launch is an exciting milestone for Arup Ventures and we will continue building on this legacy, leveraging Iris to continue to deliver the best-in-class risk and resilience consultancy work that remains core to who we are."

Already in use by leading tech companies, investors, developers, real estate owners, insurance brokers, and consultants, Iris has been quietly deployed during the company's stealth phase to support risk analysis and resilience strategies for a wide range of building portfolios and asset types. Today, decision-makers trust Iris for more accurate risk assessment, site selection, due diligence of acquisitions, investment in upgrades for existing portfolios, and new design and construction choices.

To learn more, visit www.class3technologies.com or follow Class 3 Technologies on LinkedIn.

Media Contact
Rebecca Birmingham
Class 3 Technologies
[email protected]

Investor Relations
Ibbi Almufti
Class 3 Technologies
[email protected]

SOURCE Class 3 Technologies