• by Erik Sass , February 6, 2008

In what could be the first hint of a coming shakeup in the free, high-end luxury magazine market, Niche Media is buying Philadelphia Style, a free bimonthly luxury title with circulation of around 70,000. The deal will also include online publications DC Style and ACConfidential.com.

The news comes not long after Niche Media formed a strategic partnership with Greenspun Media and Ocean Drive Media--all publishers of regional luxury titles. By combining regional luxury titles from around the nation in a single portfolio, Jason Binn, the founder of Niche Media and now CEO of the parent firm, appears to be intent on creating a rival to publisher Modern Luxury, which has also been galvanized by ownership changes and a new cash infusion.

Last year, the ML group was sold by Shamrock Capital to a private-equity firm, Clarity Partners, for $250 million. Since then, ML has said it plans to aggressively launch new free regional luxury titles.

The Niche-Greenspun-Ocean Drive partnership now boasts a substantial roster of free luxury magazines with limited circulation targeting high-income households. In addition to Philadelphia Style, Niche owns Aspen Peak, Gotham, Hamptons, Los Angeles Confidential, Boston Common, Capitol File and Vegas. Greenspun publishes six Las Vegas-centered titles; and Ocean Drive publishes a flagship title of the same name, a Spanish version of the title, Atlanta Peach, Florida InsideOut, Wynn, Dining Guide, and Bal Harbour.

Altogether, the partnership's titles have a circulation of almost 850,000, counting Philadelphia Style. For comparison, Modern Luxury publishes an array of regional, design, and style titles including Angeleno, The Atlantan, and Chicago Social (CS), Riviera (with both Orange County and San Diego editions) Houston, DC, San Francisco, Front Desk Chicago, Dallas, Front Desk Dallas, and Front Desk Los Angeles. The Front Desk titles are "visitor's magazines," targeting guests at luxury hotels and other venues frequented by well-heeled travelers. In 2007 the company had revenues of roughly $70 million.