CoStar Group Expands Richmond Office Footprint With Purchase of Riverfront Office Building

Rhea-AI Summary

CoStar Group (NASDAQ: CSGP) has announced the acquisition of a 5-story office building in Richmond, VA for $20 million. This 117,448 SF property, previously occupied by SunTrust, aims to support the company's ongoing growth and will enhance employee cohesion with its proximity to existing facilities. With over 1,200 employees in Richmond, CoStar plans to become the region's largest technology company and private employer, reinforcing its commitment to local job creation. The move highlights CoStar's intent to expand operations significantly in the area.

Positive

• Acquisition of a 5-story office building for $20 million enhances corporate footprint.
• Supports ongoing employee growth and community engagement in Richmond.
• Plans to become the largest tech company and private employer in Richmond.

Negative

• None.

New Building Will Add Much Needed Office Space to Support the Company’s Growth

RICHMOND, Va.--(BUSINESS WIRE)-- CoStar Group, Inc. (NASDAQ: CSGP) – a leading provider of online real estate marketplaces, information, and analytics in the commercial and residential property markets – today announced the expansion of the company’s corporate office footprint in Richmond, VA., with the purchase of a 5-story 117,448 SF office building in the Manchester neighborhood for $20 million. The property was vacant at the time of the sale and was formerly fully occupied by SunTrust (now Truist), which relocated to an adjacent building.

The newly acquired building located at 901 Semmes Avenue will be visually connected across the James River to CoStar Group’s existing research, sales and technology center and its planned 750,000 SF new corporate campus creating a sense of familiarity and cohesion for the employees who will occupy the space.

“CoStar Group is experiencing significant growth and this building will support our talented and expanding team of professionals who provide value to our customers every day,” said Andrew Florance, Founder and Chief Executive Officer, CoStar Group. This purchase further signifies our long-term commitment to growing in Richmond – a city and region with deep pools of talent and a community that encourages innovation. We are very excited about our continued expansion in Richmond, creating rewarding new jobs and deepening our community engagement and involvement.”

CoStar Group has a proud history of growth and success in Richmond where it employs more than 1,200 talented professionals. Adding to the company’s commitment to the broader Richmond community, the company continues its focus on providing job opportunities to the people of Virginia. Over the next five to ten years, the company’s planned growth is expected to make CoStar Group the largest technology company and one of the largest private employers in Richmond.

For more information on CoStar Group, visit CoStarGroup.com. The company is currently hiring for roles based in Richmond and in global offices around the world, learn about job openings by visiting CoStarGroup.com/careers.

About CoStar Group, Inc.

CoStar Group, Inc. (NASDAQ: CSGP) is a leading provider of online real estate marketplaces, information and analytics. Founded in 1987, CoStar conducts expansive, ongoing research to produce and maintain the largest and most comprehensive database of commercial real estate information. Our suite of online services enables clients to analyze, interpret and gain unmatched insight on commercial property values, market conditions and current availabilities. STR provides premium data benchmarking, analytics and marketplace insights for the global hospitality industry. Ten-X provides a leading platform for conducting commercial real estate online auctions and negotiated bids. LoopNet is the most heavily trafficked commercial real estate marketplace online. Apartments.com, ApartmentFinder.com, ForRent.com, ApartmentHomeLiving.com, Westside Rentals, AFTER55.com, CorporateHousing.com, ForRentUniversity.com and Apartamentos.com form the premier online apartment resource for renters seeking great apartment homes and provide property managers and owners a proven platform for marketing their properties. Homesnap is an industry-leading online and mobile software platform that provides user-friendly applications to optimize residential real estate agent workflow and reinforce the agent-client relationship. Homes.com offers real estate professionals advertising and marketing services for residential properties. Realla is the UK’s most comprehensive commercial property digital marketplace. BureauxLocaux is one of the largest specialized property portals for buying and leasing commercial real estate in France. CoStar Group’s websites attract tens of millions of unique monthly visitors. Headquartered in Washington, DC, CoStar Group maintains offices throughout the U.S., Europe, Canada and Asia. From time to time we plan to utilize our corporate website, CoStarGroup.com, as a channel of distribution for material company information. For more information, visit www.CoStarGroup.com.

This news release includes "forward-looking statements" including, without limitation, statements regarding CoStar Group's expectations, beliefs, intentions or strategies regarding the future. These statements are based upon current beliefs and are subject to many risks and uncertainties that could cause actual results to differ materially from these statements, including the risk that CoStar Group’s business, expansion, construction and growth plans and needs change; the risk that the expansion plans do not create or result in the expected benefits or result in CoStar Group becoming the largest technology company and largest private employer in Richmond; the possibility that the Company is unable to or does not create the number of jobs expected; and the risk that the Company is unable to hire or retain the number of employees currently expected or to fill the number of jobs created. More information about potential factors that could cause actual results to differ materially from those discussed in the forward-looking statements include, but are not limited to, those stated in CoStar Group's filings from time to time with the Securities and Exchange Commission, including in CoStar's Annual Report on Form 10-K for the year ended December 31, 2021, and Quarterly Report on Form 10-Q for the quarter ended March 31, 2022, each of which is filed with the SEC, including in the "Risk Factors" section of those filings, as well as CoStar's other filings with the SEC available at the SEC's website (www.sec.gov). All forward-looking statements are based on information available to CoStar on the date hereof, and CoStar assumes no obligation to update such statements, whether as a result of new information, future events or otherwise.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220502005579/en/

Media:

Matthew Blocher

CoStar Group

mblocher@costar.com

202.346.6775

Source: CoStar Group, Inc.

FAQ

What is the recent acquisition by CoStar Group (CSGP)?

CoStar Group has acquired a 5-story office building in Richmond, VA, for $20 million.

How will the new office building impact CoStar Group (CSGP)?

The new office building will support CoStar's growth and enhance cohesion among employees.

What is CoStar Group's expansion plan in Richmond?

CoStar plans to become the largest technology company and private employer in Richmond over the next five to ten years.