In this work, we provide a compressive sensing architecture for implementing on a space based observatory for detecting transient photometric parallax caused by gravitational microlensing events. Compressive sensing (CS) is a simultaneous data acquisition and compression technique, which can greatly reduce on-board resources required for space flight data storage and ground transmission. We simulate microlensing parallax observations using a space observatory constellation, based on CS detectors. Our results show that average CS error is less than 0.5% using 25% Nyquist rate samples. The error at peak magnification time is significantly lower than the error for distinguishing any two microlensing parallax curves at their peak magnification. Thus, CS is an enabling technology for detecting microlensing parallax, without causing any loss in detection accuracy.