Composting doesn't have to take a lot of space, and if it's well maintained, the odor can be kept under control. Here is information on urban and suburban composting.
Although I have a large yard, the majority of my composting is done using a small dark colored storage bin with a lid for my composting. I drilled some small holes in the lid, and about twice a week I give it some mighty shakes to get things moving again. You can also use a wooden crate, which is mor earth friendly. In wood, the compost doesn't get too damp so the smell isn't quite an issue. Whenever it starts to smell, I throw some brown compostable in there; ie, paper, dry leaves, etc. I dump the compost into my raised garden beds in the spring, and start over again.
Using a similar concept, I've seen plastic drum barrels with lids that would be really handy for the mixing. Wooden barrels would work even better, again, because the compost doesn't get too wet. Just turn the barrel on its side and roll it around. That will get all the good stuff moving and mixing!
Still others use redworms for composting. In this method, again you use a bin with small holes. Start with your redworms (you can get these online or in bait shops and animal stores). Place them in a moisture bedding (shredded newspaper, straw, leaves) and a handful of sand for grit, shake the container to create air pockets, and get your redworms busy!
These are all three wonderful options, but I recently ran across a dream come true composting. It's called the GreenCycler, and it's made by Ecotonix. It's an attractive stainless steel composter that's the size of my Keurig machine. It's small enough to sit on your kitchen counter, but powerful enough to compost up to 1 gallon at a time. You simply lift the lid, drop in your compostable, shut the lid, crank the handle, and let it compost! The compost is in a drawer at the bottom of the unit; simply remove it and either use the fresh compost or add it to your compost pile. No smell, no mess, and very little space. I'm saving to get one! Click on this affiliated banner to find out more about this amazing machine, and to see how it can help you compost in the city.