MessageParty, an early-stage YCombinator-funded startup, takes the classic concept of a chat room and adds a geosocial twist by making any chat room location-aware.

The app, which launched in the iTunes App store earlier this week, is very straightforward. Users can create public “parties” through the app that work just like group IM conversations. What sets MessageParty apart is that it makes these chat rooms location-aware. Instead of joining a random chat room where users can be anywhere from Brazil to your neighborhood, MessageParty focuses on detecting just nearby chats that you can join.

Essentially, MessageParty is a location-based chat room client. You can chat with friends in a bar or create a chat room for a conference. There are even city-wide chat rooms and an “Everyone Party,” which speaks for itself. It utilizes Facebook Connect for logins and uses your Facebook picture as your Avatar.

MessageParty is currently an app with bare-bones functionality; it doesn’t have direct messaging, private chats or profiles. However, we can see the usefulness of MessageParty for coordinating events or providing an open forum at conferences. While this app still needs a lot of work, it’s got the basics down, plus it boasts a team from MIT and has YCombinator’s backing.

Would you use an app like MessageParty at a bar or a conference?