Rick Schwartz has just tweeted that the agreement to sell the domain names Property.com and Properties.com for $4MM USD plus equity stake in the buyer’s new company, closed escrow.
Minutes ago Rick posted the following message to his Twitter page on @DomainKing: “Property.com and Properties.com closes via Escrow.com. Transaction took 3 weeks from start to finish and initiated via Linkedin contact.”
Both domain names are hidden behind Domains by Proxy, Inc, a Whois privacy service provided by Go Daddy. Up until yesterday, both names were registered to Rick Schwartz and his eRealEstate.com. Here’s a look at the Whois records which were updated in the last 24 hours:
Domains by Proxy, Inc.
15111 N. Hayden Rd., Ste 160, PMB 353
Scottsdale, Arizona 85260
Domain Name: PROPERTIES.COM
Created on: 19-May-97
Expires on: 15-Jul-21
Last Updated on: 15-Jul-11
Domain Name: PROPERTY.COM
Created on: 11-Feb-94
Expires on: 15-Jul-21
Last Updated on: 15-Jul-11
The $4MM sale for the pair of names makes it one of the biggest publicly reported sales of 2011. The single domain name social.com sold earlier this month for $2.6MM. In 2009, Rick Schwartz (aka the ‘Domain King’) also sold candy.com for $3MM.
The blog DomainGang was the first within the domain industry to report the news of the impending sale on July 4th after spotting the story on Stardom. Rick Schwartz had also tweeted news of the deal.
(Photo of Rick Schwartz (left), Rick Latona, and Howard Neu at TRAFFIC 2009 via RicksBlog.com)
While the amount of the price tag for PunchBowl.com sold by Rick Schwartz is undisclosed, it is almost certain that the final sales price is a multiple 6 figure deal plus other considerations.
Multiple 6 figure deal + other considerations likely means some sort of long term deal that includes a one time payment and recurring paychecks based on company profits – similar to the deal he brokered for his Candy.com domain name which sold for $3 million plus other considerations.
Rick Schwartz received his first dividend payment from Candy.com this month, though not his biggest check to date, with Candy.com sitting nicely atop of the Search rankings and enjoying type in traffic, if the terms of dividends are for years down the road, his dividend payments are certain to improve.
In the not too distant future I will be announcing my 12th domain sale is PunchBowl.com. Another multiple 6 figure deal plus other considerations. There should be a press release forthcoming and the buyer will decide how much of this to go public with as there will be a confidentially clause .”
While I may not always agree with Rick’s opinions and often have difficulty understanding the point of his blog posts – I always find his sales amazing.
Take a look at the press release issued earlier today.
Purchase and acquisition transaction of Punchbowl.com between Punchbowl Software Inc. and “Domain King” Rick Schwartz
Framingham, Mass., July 19, 2010 – Punchbowl Software, Inc. today announced the acquisition of the web domain Punchbowl.com from legendary domainer Rick Schwartz. Punchbowl Software Inc. develops web applications for start to finish party planning. Terms of the agreement were not disclosed.
With Punchbowl.com, the company plans to re-launch the domain as a leading consumer site for party and event planning. With new technology and a new look, the party planning site will be ready to launch in time for the holiday season of 2010. At Punchbowl.com, consumers will be able to plan a party from start to finish. The service will offer unique features including the innovative “Date Decider” which enables users to find the best calendar date for their event, beautiful Save the Dates and digital invitations, photo and video sharing after the event and other services that will help consumers throw an unforgettable celebration.
“A punchbowl is the center of any great party,” said Matt Douglas, CEO, Punchbowl Software. “The acquisition of Punchbowl.com will allow us reach new customers and expand our growing customer base.”
Rick Schwartz, aka the “Domain King,” is one of the early domain pioneers. Domains he has sold include iReport.com to CNN for $750,000, Candy.com to G&J Holdings, LLC for $3 million plus dividends, and Men.com for $1.3million back in 2004.
“During my domain career, I’ve sought prime, recognizable domain names that were easy to spell, easy to remember and could be developed into a major brand in their respective industry” said Rick Schwartz. “I was the first to see the intrinsic value in Punchbowl.com and knew that it could be developed into a huge brand in the social expressions and celebrations industry. I’m thrilled that Punchbowl Software will now develop the domain to its full potential.”
The party planning industry is ripe for a new entrant to provide a service for party hosts. Whether it’s a mom planning a birthday party for her five year old daughter, a friend planning a baby shower, a family planning their annual reunion, or the company Christmas party, everyone has multiple reasons to plan a party every year. As the industry moves from traditional offline sources to online, the market will consolidate. A new brand will emerge – Punchbowl.com – that will define this new industry.
Stay tuned for frequent updates and milestones for the new Punchbowl.com. While you can visit the Web site in its current appearance, the complete re-launch and re-branding will not be official until sometime this fall.
“Working with Rick Schwartz on this domain name acquisition has demonstrated to me that he’s not only a visionary in the domain industry, but he’s a savvy businessman who understands how to extract the most value from the Internet” said Matt Douglas, CEO, Punchbowl Software. “I couldn’t be happier to be the new owner of Punchbowl.com.”
About Us: About eRealEstate.com
Rick Schwartz, aka “Domain King” and “Webfather,” is the CEO, President and Cofounder of T.R.A.F.F.I.C. found at TargetedTraffic.com– the premiere domain conference for the domain industry. It is both the oldest and largest and attracts over 500 of the top professionals in the industry in what was a by invitation only event until 2009 and now open to all. As one of the early domain pioneers dating back to 1995, Rick has a knack for predicting big trends and getting it right. He may have been the first to recognize the value of “type in” traffic which is now commonly referred to as “direct navigation” — the most potent and targeted traffic on the net. Rick has a prime portfolio of some 7000 one and two word domains, and is considered by many to be among the leading experts on domain names, traffic, Web site flow and valuation. ‘http://www.erealestate.com & ‘http://www.ricksblog.com
It’s not often that Rick Schwartz sells a domain name or least shares the sale publicly. Since the nineties, he has only sold a handful of names out of his portfolio of thousands. But the total sales for those domains is in the millions. The Domain King, who got his start in 1995, with the purchase of lipservice.com for $100 has sold less than 20 names.