LoopNet’s president says he believes a new commercial real estate service being started in Wichita isn’t likely to cut into his company’s business in the city.
Based in San Francisco, LoopNet is one of the most widely used commercial property listing sites in the U.S. Because of pricing concerns from a number of people with some of the top commercial real estate firms in Wichita, however, the Realtors of South Central Kansas has plans to start a new listing service with a commercial emphasis.
Sheila Rumsey, CEO of Realtors of South Central Kansas, recently told the WBJ that she’s heard from multiple commercial brokers who have complained of rising LoopNet costs.
The new regional database could be up and running this spring, but LoopNet president Cameron Stewart doesn’t sound fazed.
“We wish them well,” Stewart says. “We think this will be more of a complementary service to the services that we provide.”
While LoopNet is a listing advertising site, Stewart says, CoStar, which bought LoopNet in 2012, is more of a “Bloomberg for commercial real estate.”
He says he thinks the price increases talked about in Wichita circles likely have to do with the expiration of promotional pricing packages.
“I think you have to think about the value that we deliver and not focus just on price,” Stewart says.
LoopNet prices range from around $70 a month for a single listing to $625 per month for up to 25 listings. On the new information sharing platform, Realtors will be offered a lower price point than non-Realtors, but the cost will be less than $1,000 per member per year, Rumsey says.