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Dec 27, 2007

CoStar Signs 3 Top Cleveland Brokerage Firms

2004-09-20 2004 CoStar Signs 3 Top Cleveland Brokerage Firms Competitive Shift Under Way in Real Estate Information Services

BETHESDA, MD—Septe...

2004-09-20 2004 CoStar Signs 3 Top Cleveland Brokerage Firms Competitive Shift Under Way in Real Estate Information Services

BETHESDA, MD—September 20, 2004—CoStar Group, Inc. (NASDAQ: CSGP), today announced that it has signed new license agreements to provide CoStar's full suite of services to three of the leading commercial real estate brokerage firms in Cleveland, OH.

CoStar has signed separate license agreements with Grubb & Ellis Company, NAI Alan R. Daus & Associates and Chartwell Group. All three firms have been customers of Xceligent. The Company believes that these signings mark a significant shift in the local competitive landscape and mirror recent developments in Atlanta, GA, and San Diego, CA, where the majority of major brokerage firms have chosen to use CoStar.

Earlier this year in Cleveland, CoStar signed agreements with CRESCO Corfac International and Colliers International. Another of Cleveland's leading players, CB Richard Ellis, has been a CoStar customer for five years. With these latest signings, all five of the top brokerage firms in Cleveland have chosen to use CoStar information services, bringing CoStar's local customer count to over 70 firms.

"We believe these new signings prove that the quality of the information, the usability of the software and the effectiveness of customer service are much more important than an association endorsement," said CoStar President & CEO Andrew C. Florance. "We think we will see additional Xceligent customers choosing CoStar in other markets, as we believe this competitive re-balancing will continue in our favor."

About CoStar Group, Inc.

CoStar Group, Inc., (NASDAQ: CSGP) is the leading provider of information services to commercial real estate professionals in the United States and the United Kingdom. CoStar's suite of services offers customers access via the Internet to the most comprehensive database of commercial real estate information on over 50 U.S. markets, London and the United Kingdom. Based in Bethesda, MD, the company has approximately 900 employees in 38 offices throughout the United States and the United Kingdom, including the largest professional research organization in the industry.

This news release includes "forward-looking statements" including, without limitation, statements regarding CoStar's expectations, beliefs, intentions or strategies regarding the future. These statements are subject to many risks and uncertainties that could cause actual results to differ materially from these statements. More information about potential factors that could cause actual results to differ materially from those discussed 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 CoStar's Form 10-Q for the quarter ended June 30, 2004, under the heading "Risk Factors." In addition to these statements, there can be no assurance that CoStar will see additional Xceligent customers choosing CoStar in other markets or that the competitive rebalancing will continue in CoStar's favor in the future. All forward-looking statements are based on information available to CoStar on the date hereof, and CoStar assumes no obligation to update such statements.
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