K.P.
If you really love the name, go for it. Be prepared, though, for the "you stole their name" sentiment. While you both liked the name separate from one another, it is now "their name". If these are people you spend a lot of time with and are close to, then I would shy away from it. If these are people you see a couple times a year and the two children won't be in the same class, then go for it!
My son's name is John and I wouldn't be upset if a friend named their child John. It's not an uncommon name, but we love it and wouldn't be offended if someone else loved it too!