North America’s construction & real estate industry sees a drop of 8.4% in deal activity in Q2 2019

18 July 2019 (Last Updated July 18th, 2019 11:19)

North America’s construction & real estate industry sees a drop of 8.4% in deal activity in Q2 2019

North America's construction & real estate industry saw a drop of 8.4% in overall deal activity during Q2 2019, when compared to the four-quarter average, according to GlobalData’s deals database.

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A total of 207 deals worth $4.21bn were announced for the region during Q2 2019, against the last four-quarter average of 226 deals.

Of all the deal types, M&A saw most activity in Q2 2019 with 159, representing a 76.8% share for the region.

In second place was venture financing with 26 deals, followed by private equity deals with 22 transactions, respectively capturing a 12.6% and 10.6% share of the overall deal activity for the quarter.

In terms of value of deals, M&A was the leading category in North America's construction & real estate industry with $3.69bn, while venture financing and private equity deals totalled $448.66m and $75m, respectively.

North America construction & real estate industry deals in Q2 2019: Top deals

The top five construction & real estate deals accounted for 90.6% of the overall value during Q2 2019.

The combined value of the top five construction & real estate deals stood at $3.82bn, against the overall value of $4.21bn recorded for the quarter. The top announced construction & real estate deal tracked by GlobalData in Q2 2019 was Park Hotels & Resorts’ $2.7bn acquisition of Chesapeake Lodging Trust.

In second place was the $487m asset transaction with by H.I.G. Realty Partners and in third place was FirstService's $376.58m acquisition of Global Restoration Holdings.

The $160m venture financing of Lyric Hospitality by Adam Bain, Airbnb, Barry Sternlicht, Dick Costolo, New Enterprise Associates, Obvious Ventures, RXR Realty, SignalFire Management Services, Sinewave Ventures, Tishman Speyer Properties and Tusk Ventures and Global Medical REIT's asset transaction with CNL Healthcare Trust for $94m held fourth and fifth positions, respectively.

Verdict deals analysis methodology

This analysis considers only announced and completed deals from the GlobalData financial deals database and excludes all terminated and rumoured deals. Country and industry are defined according to the headquarters and dominant industry of the target firm. The term 'acquisition' refers to both completed deals and those in the bidding stage.

GlobalData tracks real-time data concerning all merger and acquisition, private equity/venture capital and asset transaction activity around the world from thousands of company websites and other reliable sources.

More in-depth reports and analysis on all reported deals are available for subscribers to GlobalData’s deals database.