Google places huge bid, invests $50 million in Auction.com. Earlier this month, Google Capital invested $50 million in real estate marketplace Auction.com, with a company valuation at $1.2 Billion. Connecting buyers and sellers of real estate, Auction.com has sold $26 Billion in property since inception via online transactions. Properties range from storage facilities, office buildings, and luxury to foreclosed homes. Read more about the investment here.
CoStar buys Apartments.com for $585 Million. CoStar Group purchased Apartments.com, [ApartmentHomeLiving.com]((http://www.apartmenthomeliving.com), and RentalHomesPlus.com from Classified Ventures. The three websites produced $86 million in revenue in 2013 with over 100 million site visits. Apartments.com revolutionized the marketing of commercial real estate’s apartment buildings, moving from classified ads in newspapers to online advertising. Read more here.
Positive signs for industrial. The Industrial Real Estate Association notes there are signs the industrial real estate market is improving in the Chicago metro market. According to AIRE President Chris Gary the market is seeing increased lease and sale activity, upward pressure on sale and rental rates, and signs of new construction. Read the full article here.
JLL Report: Online Retailers Transition to Bricks & Mortar. Jones Lang LaSalle released a report about the move from online to e-commerce. Despite e-commerce’s rise, it only holds 6% of retail sales. Having more consumer touch points proves more beneficial to retailers. Furthermore, brick and mortar stores offer many benefits that include:
- In-person product demos
- Instant acquisition of products
- Increased brand awareness
- Increased social interactions
- Unique in-store experiences
JLL expects real estate demand will increase when online retailers seek an offline presence. Read the full article from JLL here.
See you next time.