PRESS RELEASE

WASHINGTON – May 17, 2023 - Today, LoopNet, a CoStar Group (NASDAQ: CSGP) company, issued the latest installment in a multi-year research effort providing insights into the commercial real estate search behavior of commercial property tenants and investors. The research was led by Market Connections, a third-party research company commissioned by LoopNet and in partnership with Google. The study polled 400 tenants and investors to determine what sources they use to search for commercial real estate and the role of their broker in their search process. This research helps CRE stakeholders better understand the decision-making journey of a tenant or investor searching for space.

According to the study of US Commercial Real Estate tenants and investors:

• 78% of investors and 80% of tenants agree that the internet is essential to their commercial property searches.

• 61% of investors purchased and 51% of tenants leased properties that they initially found online.

• 80% of tenants and 89% of investors who hired a broker continue to perform online searches for properties independent of their broker as frequently as "always", "often" or "sometimes".

LoopNet and Market Connections supplemented the main tenant and investor study with Fortune 1000 tenant interviews and an appendix featuring an exclusive look at the Fortune 1000 cohort. The interviews and supporting data-filled appendix paint a portrait of Fortune 1000 representatives as highly independent super users of online resources like LoopNet. The study delivers valuable insights providing a rare view into the once-opaque search cycle of this high-volume CRE segment. The report confirms, through quantitative and qualitative data, that many of the largest, most influential tenants are routinely performing their own independent searches online, supplementing the information supplied by their broker.

“We are thrilled to release this joint research with Google which validates our mission of bringing more transparency and visibility to the CRE industry. LoopNet has built the largest global tenant-facing CRE online marketplace connecting all vested parties - tenants, investors, brokers, and owners - as they come together to find the perfect space,” said Andy Florance, Founder and Chief Executive Officer of CoStar Group.

To review the full report, please visit: LoopNet.com/solutions/CRE-Tenant-Investor-Trends

News Media Contact:

Matthew Blocher
Vice President
CoStar Group Corporate Marketing & Communications
(202) 346-6775
mblocher@costargroup.com

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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, http://www.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's expectations or beliefs 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. The following factors, among others, could cause or contribute to such differences: the risk that new multifamily unit deliveries do not occur when expected, or at all; and the risk that multifamily vacancy rates are not as expected. More information about potential factors that could cause results to differ materially from those anticipated in the forward-looking statements include, but are not limited to, those stated in CoStar’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, 2022, which is filed with the SEC, including in the “Risk Factors” section of that filing, 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 or revise any forward-looking statements, whether as a result of new information, future events or otherwise.