CoStar Group, Inc. (NASDAQ: CSGP), a Washington, D.C.-based provider of commercial real estate information, analytics and online marketplaces, is to acquire Homesnap, Inc. a Bethesda, MD-based provider of a residential real estate agent management platform, for $250m in cash.
The acquisition – expected to close in 2020, subject to customary closing conditions and regulatory review – will enable the company to enter a new space and expand the total addressable markets in which they can compete.
The addition of Homesnap’s complementary offerings will quadruple the number of professional, paying brokers and active agent users on the CoStar Group U.S. platforms from approximately 100,000 today to over 400,000. The number of U.S. property listings available across CoStar’s brands will double from approximately 1.35 million today to over 2.6 million.
Homesnap provides an online and mobile software platform that provides applications to optimize residential real estate agent workflow and reinforce the agent-client relationship. Supported by a consortium of hundreds of the country’s largest multiple listing services (MLSs), over 1.1 million real estate agents have access to Homesnap Pro who represent over 90% of the residential real estate agents and listings in the United States. With the support of this consortium, Its public residential real estate portal showcases 1.3 million active property listings. Tens of millions of home shoppers use the Homesnap website and app to look for a home.
Homesnap employs approximately 150 people and is projected to achieve approximately $40 million of revenue for the full year 2020, representing revenue growth of approximately 45% compared to the full year 2019.
Led by founder and CEO Andy Florance, CoStar Group is a provider of commercial real estate information, analytics and online marketplaces. Founded in 1987, the company conducts ongoing research to produce and maintain the largest and most comprehensive database of commercial real estate information. Its suite of online services enables clients to analyze, interpret and gain insight on commercial property values, market conditions and current availabilities. They are STR, which provides premium data benchmarking, analytics and marketplace insights for the global hospitality sector; Ten-X, which provides a platform for conducting commercial real estate online auctions and negotiated bids; LoopNet, a commercial real estate marketplace online with over 7 million monthly unique visitors; and Realla, a UK comprehensive commercial property digital marketplace. In addition, Apartments.com, ApartmentFinder.com, ForRent.com, ApartmentHomeLiving.com, Westside Rentals, AFTER55.com, CorporateHousing.com, ForRentUniversity.com and Apartamentos.com form a premier online apartment resource for renters seeking apartment homes and provide property managers and owners a proven platform for marketing their properties.
Headquartered in Washington, DC, CoStar Group maintains offices throughout the U.S. and in Europe, Canada and Asia with a staff of over 4,300 worldwide.
FinSMEs
24/11/2020