There has been a significant amount of acquisition activity in the southeast. From a longer term operators’ perspective, how aware are you of transactions and does it have much impact on your overall operating strategy?

Honestly, we are aware because of Billboard Insider! The activity can have some impact on us since we work collaboratively with other small billboard companies.

Do you have any sense on why the southeast, in particular, has been a more active acquisition market?

Because it’s God’s country! Seriously, with the favorable climate (natural, political, and business), I believe people are seeing that the long term growth of the southeast is really only getting started.

Last year South Carolina was number two for immigration, I think, and so we know people are moving here for our beautiful spaces and the lower cost of living. More people mean more eyeballs means better rates. I think you are seeing this same activity all across the Southeast.

What growth opportunities are you seeing at Grace Outdoor?

We recently made a tuck-in acquisition here in Columbia, but we generally have not been able to match the price that some of the venture capital led acquirers are paying. They may see something that we don’t, but I think it is more of a cash placement business for them and they are willing to take more risk than we are. Almost all of our inventory is greenfield development that we developed ourselves and as the market conditions dictate, we upgrade existing statics to digitals and this has been a good path for growing our revenue. We intend to continue to grow organically and if the right capital partner came along, we would consider partnering as we believe we are positioned operationally to add significantly to our portfolio without stressing our current staff.