Costar and Loopnet Agree to Merger
Two Titans in the Commercial Real Estate Industry Join Forces
Costar announced yesterday (5/26) that it entered into an agreement to acquire Loopnet, the MLS-style giant in the commercial real estate industry. The transaction was reportedly worth $860 Million.
Costar, known for its research and analyzing platform, believes that the merger will produce a company with even more comprehensive tools and options for both individual investors and companies. Andrew Florance, the Founder and CEO of Costar said that there is little overlap between the companies since Loopnet appeals to the general public and individual investors, while Costar with its subscription-only model, typically is used by companies and institutional investors.
If you are into Commercial Real Estate, this is big news. Both companies, once rivals, will now essentially monopolize the commercial real estate listings and information services. It will be interesting to see how the technology unfolds.