NEW YORK, NY – According to a story appearing on domain industry satire site DomainGang.com, popular domain investor and researcher George Kirikos, has discovered (and recently tweeted) that he located financial documents which indicate what appears to be a sale price of the geographic domain name Chicago.com.
💵💵 I believe that the https://t.co/od6CZmyGsw domain name changed hands for USD $1 million. According to the IRS Form 990 for the Chicago Community Trust (buyer), there’s an entry “WEBSITE – https://t.co/73rwE0MBgN” for $1,000,000 https://t.co/KE7OU2rzlQ (24th page of PDF) 💵💵
— George Kirikos (@GeorgeKirikos) December 2, 2018
According to tax documents the domain name, which was purchased in 2017, is listed as $1,000,000.00 on the Schedule D (Form 990) of the Chicago Community Trust’s federal filings.
At the time the sale was first reported in the Chicago Times, the terms of the deal were undisclosed which left only speculation as to what the price might have been. Today that answer is, a bit more clear, or at least “more likely” to have been $1 Million, however, the form it is listed on, Schedule D, (Form 990) indicates the item under Part IX “Other Assets” column B as “book value” – this may or may not necessarily be a ‘purchase price’.
This was the second time the geographic domain name changed hands as it was first purchased in 2013 by the Sun-Times Newspaper parent Wrapports LLC, which used the site to showcase tourist information and events. The company also gained the sites founder Josh Metnic who became CTO after the acquisition. Wrapports LLC then sold Chicago.com to the Chicago Community Trust, a community organization formed to provide grants to local nonprofit institutions.
Wrapports wound up selling off all other assets of the Sun-Times Media Group in 2017 as it continued to haemorrhage losses in the area of $4.5 million per year.
It’s always great to see geographic domain names holding their own selling for 7 figures, often times with ‘no accompanying revenue or customers’ – really amazing. Seems to put them in a class all their own depending on the market, region and population, etc.
A few others large transactions were Korea.com for $5,000,000 in 2000, England.com for $2,000,000 in 1999, Britain.com $1,000,000 in 1999. Denver.com in 2012 (seven figure deal), California.com in 2018 (seven figure deal).
About The Author: John Colascione is CEO of Long Island Media Inc., an Internet ad agency and publisher of the largest group of Long Island New York based websites and one print newspaper collectively reaching over one million people per month. He specializes in Website Monetization, authored a ‘how to’ book called ‘‘Mastering Your Website’, and is a key player in several Internet related businesses through his holding company Searchen Networks®