IPO Profile

ZipRealty
2000 Powell Street, Suite 1555, Emeryville, California 94608
Tel: 510-735-2600
Web: www.ziprealty.com
Ticker: ZIPR
Amount Raised: $59,150,000.00

Description:
Our business was founded in 1999 and has grown rapidly since inception. We generate revenues principally from earning brokerage commissions in connection with representing buyers and sellers of residential real estate. In 2003, we generated $33.8 million in net revenues, compared to $17.2 million in 2002 and $4.0 million in 2001. As of April 30, 2004, we had nearly 400,000 active registered users who had accessed our web site within the last six months, and since our inception we had closed over 12,000 real estate transactions with an aggregate transaction value of approximately $3.5 billion. We currently have operations in Atlanta, Baltimore/ Washington D.C., Boston, Chicago, Dallas, Los Angeles, Orange County, Phoenix/ Scottsdale, Sacramento, San Diego, the San Francisco Bay Area and Seattle. OUR INDUSTRY The residential real estate industry is one of the largest and most fragmented in the United States. According to REAL Trends, Inc., an industry research firm, residential real estate sales totaled over $1.5 trillion in 2003, or more than 14% of U.S. gross domestic product that year. Also according to REAL Trends, the 10 largest brokerage firms accounted for approximately 10% of all brokered residential real estate transaction volume in 2003. Additionally, REAL Trends reported that total residential real estate brokerage commissions and fees, which are primarily derived from existing home sales, were approximately $60 billion in 2003. Consumers are increasingly using the Internet as a key source of information in buying or selling a home. Currently, more than 70% of home buyers use the Internet in their home search, up from 41% in 2001.