We consider the problem of designing a compact communication network that supports efficient routing in an Euclidean plane. Our network design and routing scheme achieves 1+ stretch, logarithmic diameter, and constant out degree. This improves upon the best known result so far that requires a logarithmic out-degree. Furthermore, our scheme is asymptotically optimal in Euclidean metrics whose diameter is polynomial. Categories and Subject Descriptors C.2.1 [Computer-Communication Networks]: Network Architecture and Design—Distributed networks; G.2.2 [Discrete Mathematics]: Graph Theory—Network problems, Graph labeling. General Terms Algorithms, Theory. Keywords Compact Routing, Network Design.