Dealership acquisition and spending by the public dealership groups, which collectively played a significant role in last year's feverish buy-sell market, dropped sharply in the first half of 2022.
Lithia Motors Inc., Group 1 Automotive Inc., Penske Automotive Group Inc. and Sonic Automotive Inc. bought 21 U.S. franchised dealerships in 10 transactions in the first six months of 2022, down from 67 stores acquired by public auto retailers in 17 deals in the first half of 2021, according to Automotive News' tracking of dealership buy-sell activity.
The number of dealerships purchased by the public groups in this year's first half decreased by more than two-thirds compared with the first half of 2021, a period headlined by Lithia's April 2021 purchase of Michigan's Suburban Collection and its 34 franchised dealerships.