CoStar Group, a leading provider of online real estate marketplaces, information, analytics, and 3D digital twin technology, announced the completion of its acquisition of Zonda. Zonda is a platform for new home data, homebuilder software, and a residential real estate marketplace. The acquisition was for $800 million in cash.
Zonda's proprietary land and development data platform serves more than 3,000 homebuilders, developers, lenders, and suppliers. According to a CoStar announcement, this gives CoStar access to the $400 billion annual US new home sales market.
Washington, D.C.-based Zonda generated approximately $170 million in revenue in 2025. CoStar first announced the acquisition of the platform in May. Andy Florance, CoStar's founder and CEO, commented on the deal's completion, stating that Zonda had built an exceptional business around information that the homebuilding industry relies on daily.
Strategic Expansion of Market Presence
Florance emphasised that this is a vast market with a sophisticated group of builders, developers, lenders, investors, and suppliers who require purposeful information, analytics, and marketing solutions. With the completion of the acquisition, there is an opportunity to combine Zonda's proprietary new home data, software, and builder relationships with CoStar Group's technology, analytical capabilities, and marketplace solutions.
The deal provides Arlington, Virginia-based CoStar Group with new data and analytics from Zonda, which track new construction projects, land development, construction activity, home sales, and homebuilder operations at the parcel level. Additionally, Zonda's residential real estate marketplaces NewHomeSource.com and Livabl will be integrated into CoStar's portfolio. This expands CoStar's consumer marketplace business specifically in the new construction sector.
CoStar further plans to combine Zonda's Envision visualisation platform with Matterport's spatial technology to create more comprehensive digital home shopping experiences. Jeff Meyers, President of Zonda, stated that Zonda has earned the trust of the homebuilding industry over decades by providing data, information, and solutions. Joining forces with CoStar Group provides the scale, technology, and resources to accelerate innovation and deepen industry insights.
Steady Growth in Residential Real Estate
The completion of the transaction comes at a time when CoStar is continuously expanding its residential real estate activities. In the second quarter of 2026, CoStar generated revenue of $925 million, an increase of 18 per cent year-on-year. Revenue in the residential real estate sector rose by 33 per cent year-on-year to $444 million.
