I wonder if this means the fees double? Paying for our own data
always make me happy. How much do you pay for Commercial Real Estate listing information? Tell me about it... Industry's Leading Information Service To Combine With Leading Online
CRE Marketplace To Serve $11 Trillion Commercial Real Estate Industry
By Tim Trainor CoStar Group, Inc. (NASDAQ:CSGP) announced Wednesday that it has
entered into an agreement to acquire LoopNet, Inc. (NASDAQ: LOOP), the
leading online commercial real estate marketplace, in a transaction
valued at approximately $860 million. CoStar said it believes the combined company will be the premier
online resource for researching, analyzing, and marketing commercial
real estate properties, and the combination of the two companies'
complementary services will position the combined firm to provide even
more comprehensive market coverage, deliver enhanced research,
analysis and marketing options, and offer greater efficiencies for
customers throughout the $11 trillion commercial real estate industry,
ranging from large, national brokerage and institutional market
players to small, local brokers and owners. The boards of directors of both companies have unanimously approved
the transaction, which is expected to close by the end of 2011. "We are combining two very innovative companies that have transformed
the commercial real estate industry," Andrew C. Florance, CoStar
Group's Founder and CEO, said in a conference call announcing the
agreement. "CoStar revolutionized how the industry researches
commercial real estate and LoopNet revolutionized the way the industry
markets commercial real estate. We believe that the combination of our
two outstanding and complementary companies will lead to even more
innovation and greater efficiencies by creating the premier Internet
solution for the commercial real estate industry. We expect the
benefits to our customers and ultimately our shareholders to be very
significant." "CoStar and LoopNet have been at the cutting edge of innovation in
their respective businesses, and we believe the two companies will be
even stronger together," said Richard Boyle, Chairman and CEO of
LoopNet. "This transaction combines the capabilities and best
practices of two successful and very complementary companies. We are
excited about the possibilities that can be created together." The full announcement can be viewed here. Florance noted how the two firms developed completely different
business models to address the challenges of aggregating content
across the massive, complex and constantly changing commercial real
estate market, an asset class in which an estimated nearly $3 trillion
dollars in transactions occur annually. "Each model excels at tracking a differing major segment of the
industry, but neither comes close to covering the entire industry,"
Florance said. "Once the combination of LoopNet and CoStar is
complete, we believe that we will deliver a higher quality marketing
solution to LoopNet’s customers and a higher quality information
solution to CoStar’s customers." With the addition of LoopNet’s complementary listings, CoStar will
have a database with approximately 2 million active listings. "We believe that this more complete coverage will significantly reduce
our customers’ total costs, save them time, and help them to better
serve their customers. In turn, we believe that will help us win many
more new customers," Florance added. "One of the things that I learned in exploring this deal that really
amazed me was just how little overlap there is between LoopNet’s
subscribers and ours," said Florance. "We have nearly 160,000 paid
subscribers between us, yet since LoopNet sells mostly to individuals,
and CoStar typically sells to companies, we estimate the overlap to be
relatively low. This is a significant opportunity for us to deliver a
higher quality and more efficient service to our customers, and also
grow our approximately $320 million dollar combined-revenue company
into something much bigger."
always make me happy. How much do you pay for Commercial Real Estate listing information? Tell me about it... Industry's Leading Information Service To Combine With Leading Online
CRE Marketplace To Serve $11 Trillion Commercial Real Estate Industry
By Tim Trainor CoStar Group, Inc. (NASDAQ:CSGP) announced Wednesday that it has
entered into an agreement to acquire LoopNet, Inc. (NASDAQ: LOOP), the
leading online commercial real estate marketplace, in a transaction
valued at approximately $860 million. CoStar said it believes the combined company will be the premier
online resource for researching, analyzing, and marketing commercial
real estate properties, and the combination of the two companies'
complementary services will position the combined firm to provide even
more comprehensive market coverage, deliver enhanced research,
analysis and marketing options, and offer greater efficiencies for
customers throughout the $11 trillion commercial real estate industry,
ranging from large, national brokerage and institutional market
players to small, local brokers and owners. The boards of directors of both companies have unanimously approved
the transaction, which is expected to close by the end of 2011. "We are combining two very innovative companies that have transformed
the commercial real estate industry," Andrew C. Florance, CoStar
Group's Founder and CEO, said in a conference call announcing the
agreement. "CoStar revolutionized how the industry researches
commercial real estate and LoopNet revolutionized the way the industry
markets commercial real estate. We believe that the combination of our
two outstanding and complementary companies will lead to even more
innovation and greater efficiencies by creating the premier Internet
solution for the commercial real estate industry. We expect the
benefits to our customers and ultimately our shareholders to be very
significant." "CoStar and LoopNet have been at the cutting edge of innovation in
their respective businesses, and we believe the two companies will be
even stronger together," said Richard Boyle, Chairman and CEO of
LoopNet. "This transaction combines the capabilities and best
practices of two successful and very complementary companies. We are
excited about the possibilities that can be created together." The full announcement can be viewed here. Florance noted how the two firms developed completely different
business models to address the challenges of aggregating content
across the massive, complex and constantly changing commercial real
estate market, an asset class in which an estimated nearly $3 trillion
dollars in transactions occur annually. "Each model excels at tracking a differing major segment of the
industry, but neither comes close to covering the entire industry,"
Florance said. "Once the combination of LoopNet and CoStar is
complete, we believe that we will deliver a higher quality marketing
solution to LoopNet’s customers and a higher quality information
solution to CoStar’s customers." With the addition of LoopNet’s complementary listings, CoStar will
have a database with approximately 2 million active listings. "We believe that this more complete coverage will significantly reduce
our customers’ total costs, save them time, and help them to better
serve their customers. In turn, we believe that will help us win many
more new customers," Florance added. "One of the things that I learned in exploring this deal that really
amazed me was just how little overlap there is between LoopNet’s
subscribers and ours," said Florance. "We have nearly 160,000 paid
subscribers between us, yet since LoopNet sells mostly to individuals,
and CoStar typically sells to companies, we estimate the overlap to be
relatively low. This is a significant opportunity for us to deliver a
higher quality and more efficient service to our customers, and also
grow our approximately $320 million dollar combined-revenue company
into something much bigger."
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