Over the last seven years, August has averaged just 25 acquisitions. We are already 50% above that, and still counting.
As the dog days of August come to an end, is there anyone still working away before Labor Day? I have to say, the healthcare M&A market has been quite active this summer. In the seniors housing and care market, we are closing in on a record month of activity.
As of yesterday, we have tracked 37 acquisitions in August, equal to the 37-deal record set in 2015 for the month. With a few days left to go, I am confident that we will shatter that record. That means that the private market continues to have a lot more confidence in the industry than the public markets.
With the economy stronger than it has been since 2007, with consumer confidence at an all-time high, with the stock market at an all-time high, with unemployment close to an all-time low, and with interest rates still quite low on an historical basis, there is certainly reason to celebrate.
But companies still struggle with census and their capital obligations, and unit rate increases are not what they should be for such a strong economic environment. Meanwhile, the confidence in seniors housing is so high that development keeps charging ahead. All I can say is, a lot of mixed signals. Happy Labor Day.
