COSTAR GROUP, INC. (CSGP)

CoStar Group, Inc. is a provider of online real estate marketplaces, information, analytics, and 3D digital twin technology for the property markets. Its stated mission is to digitize the world's real estate. The company owns and operates online real estate marketplaces in the U.S., Australia, Europe, Canada, and Asia-Pacific. It says it has built the most comprehensive commercial real estate database available over more than 35 years, supported by the largest commercial real estate research department in the industry. Its database covers hundreds of data fields, including property characteristics, ownership, sales and lease comparables, tenants, listings, images, floor plans, and demographics. It also integrates AI into its products and internal processes.

The company reports two segments: Commercial Real Estate and Residential Real Estate. Commercial Real Estate offers the subscription-based CoStar platform, which covers properties, leasing, sales, tenants, owners, markets, STR hospitality benchmarking, and debt solutions. It also offers the CoStar Real Estate Manager and Visual Lease lease management SaaS platforms and the LoopNet commercial property marketing site, which also includes Australian commercial listings through Domain. Other offerings include Matterport 3D digital twins, capture services and cameras, BizBuySell (a marketplace for businesses and franchises for sale), and Ten-X (a commercial real estate auction platform). Residential Real Estate includes Apartments.com, Homes.com (powered by Homes AI), Land.com, Domain in Australia, and OnTheMarket in the U.K. These marketplaces aggregate consumer demand and sell marketing and leads to agents, owners, landlords, and property managers.

Customers include property owners, real estate agents, brokers, developers, property managers, appraisers, lenders and bankers, investors, REIT and pension fund managers, insurers, government agencies, retailers, and various vendors. Revenue is diversified, and the company is not dependent on any single customer or small group of customers. Most services are sold under subscription license agreements that renew automatically, usually with terms of at least one year. Fees are generally fixed monthly amounts based on factors such as users, sites, services, and advertising prominence. Transaction-based revenue comes from premium listings, data capture services, camera sales, and Ten-X auction fees, which are a percentage of the final sales price.

Operationally, in-house researchers collect and verify data through calls, field inspections, public records, data feeds, and AI-assisted tools. A small portion of data and images is licensed from public record and third-party providers on non-exclusive terms. Sales teams work from field offices in the U.S., Canada, the U.K., Spain, France, Germany, and Australia, and inside sales teams are based in Richmond, VA. Recent acquisitions are Visual Lease (November 2024), Matterport (February 2025), and Domain (August 2025). The company competes with online real estate marketplace, listing, information, analytics, and lease management providers on factors such as database quality, lead quality, ease of use, and brand. Many Residential competitors are incumbents with greater name recognition and resources. It protects its intellectual property through copyrights, trademarks, trade secrets, license terms, and over 100 issued patents.