CoStar to Acquire Homebuilding Data and Marketplace Platform Zonda for $800M

CoStar Group, which operates commercial real estate data platform CoStar, is courting the construction business. 

The company announced Friday an $800 million acquisition agreement with private equity firm Midocean Partners for Bora and its subsidiary, property and construction data provider Zonda. The deal was paid in cash, with BofA Securities, Houlihan Lokey and Solomon Partners serving as financial advisers.

“Zonda is a trusted partner to its customers and a trusted source of intelligence across the market,” Sara Badham, a managing director at MidOcean, said in the company’s own Friday press release. “We are incredibly proud of what we have built together with the Zonda team, and we look forward to watching the company’s continued success as part of CoStar Group.”

Zonda claims to have more than 3,000 customers in and around the construction industry, including builders, developers and lenders. The company’s revenue relies largely on subscriptions, according to CoStar. Its offerings include a subscription-based data platform with a lot-level database of development activity, software for virtual home tours and two new construction discovery platforms – NewHomeSource in the U.S. and Livabl in Canada — that connect builders to buyers.

Zonda, also known as Zonda Home, was acquired by MidOcean Partners in 2019, and undertook nine add-on acquisitions to pad out its North American coverage, data collection and workflow tools. MidOcean’s announcement Friday reported that Zonda more than doubled in scale under its ownership and saw more than 50 consecutive quarters of annual recurring revenue growth. 

The strategic acquisition tightens CoStar’s grip on the real estate data and software marketplace. It signals the continuation of its expansion into the residential marketplace that began with Homesnap in 2020, Homes.com in 2021 and, most recently, visualization software Matterport in 2024. 

“Zonda has built an extraordinary business with deep relationships across the homebuilding industry and one of the most valuable proprietary datasets in new home real estate,” Andy Florance, founder and CEO of CoStar Group, said in a statement. “This acquisition extends CoStar Group’s leadership into a major new segment of the real estate industry and strengthens our ability to provide clients with comprehensive information solutions across every major real estate segment.

The acquisition is expected to close in the second half of 2026, according to CoStar.  

A spokesperson for BofA Securities did not immediately respond to a request for comment.

Emily Davis can be reached at edavis@commercialobserver.com.