Houlihan Lokey Advises Zonda on Its Pending Sale to CoStar Group for $800 Million

Houlihan Lokey is pleased to announce that Zonda, a portfolio company of MidOcean Partners, has entered into a definitive agreement to be acquired by CoStar Group for $800 million.

Zonda, a leading provider of new home construction data, homebuilder software, and residential real estate marketplaces, has entered into a definitive agreement to be acquired by CoStar Group, a leading provider of online real estate marketplaces, information, and analytics across the property markets. The acquisition brings the homebuilding industry’s leading B2B information platform—used by builders, developers, suppliers, and lenders—into CoStar Group’s global real estate technology ecosystem.

Zonda serves more than 3,000 customers across the homebuilding ecosystem, including many of the largest residential builders, developers, suppliers, and lenders in North America. Its platform delivers end-to-end solutions spanning land acquisition, development planning, homebuilding analytics, construction forecasting, community marketing, operational workflow management, and online new home marketplaces.

At the core of Zonda is a proprietary, lot-level database covering new home communities, land development activity, construction status, home sales, and builder operations. This data and the software built around it are deeply embedded in builder workflows and are widely used to support underwriting, land strategy, capital allocation, development planning, forecasting, and sales operations across the industry.

Zonda also operates NewHomeSource and Livabl, two leading online new home marketplaces in the United States and Canada. Top homebuilders contribute listings directly to these marketplaces, giving buyers broad visibility into new home inventory across the development ecosystem. Zonda’s platforms offer comprehensive listing experiences—including floor plans, virtual tours, pricing, incentives, and community details—designed to guide buyers from early research through purchase. Because these marketplaces feature new construction exclusively, they give builders highly targeted consumer marketing, lead generation, and merchandising—uncluttered by resale inventory.

CoStar Group (NASDAQ:CSGP), an S&P 500 company, is a global leader in commercial real estate information, analytics, online marketplaces, and 3D digital twin technology. Founded in 1986, CoStar Group is dedicated to digitizing the world’s real estate, empowering all people to discover properties, insights, and connections that improve their businesses and lives.

Through the pending acquisition, Zonda’s builder relationships, workflow integrations, marketplace platforms, and market intelligence are expected to create meaningful cross-sell opportunities across CoStar Group’s commercial, residential, multi-family, lending, and analytics businesses. The acquisition will also pair Zonda’s Envision visualization and digital merchandising capabilities with Matterport’s industry-leading spatial technology. Together, they will create richer digital experiences for builders and consumers and improve how new construction homes are marketed, visualized, and discovered online.

The acquisition is expected to close in the second half of 2026, subject to customary closing conditions and required regulatory approvals.

“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,“ said Andy Florance, Founder and Chief Executive Officer of CoStar Group. “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. We believe the combination will deliver deeper insights, workflow efficiencies, and analytics to the homebuilding industry, while strengthening our core information offerings and significantly expanding our new home marketplace capabilities.“

Houlihan Lokey served as the lead financial advisor to Zonda. This transaction highlights the firm’s continued momentum in the PropTech and vertical software sectors.

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