LADERA RANCH, Calif., March 17, 2021 /PRNewswire/ — SmartStop Self Storage REIT, Inc. (“SmartStop”) and Strategic Storage Belief IV, Inc. (“SST IV”) introduced immediately that the businesses have closed the beforehand introduced merger, through which SST IV merged right into a subsidiary of SmartStop (the “Merger”), in an all-stock transaction with a price of roughly $380 million. The Merger positions the mixed firm to attain additional economies of scale and drive incremental progress because it takes benefit of the advantages of a bigger mixture portfolio.
On account of the Merger, SmartStop acquired the entire actual property owned by SST IV, consisting of 24 wholly-owned self storage services positioned throughout 9 states and 6 three way partnership properties positioned within the Larger Toronto Space. The whole SST IV portfolio, together with three way partnership property estimates at completion of improvement, represents roughly 22,500 self storage models and a couple of.6 million web rentable sq. ft. The ensuing consolidated portfolio consists of 136 wholly-owned properties and 6 three way partnership properties with a mixed gross ebook worth of roughly $1.5 billion of self storage belongings.
“We’re thrilled to announce the closing of this transformational deal for each SmartStop and SST IV shareholders,” stated H. Michael Schwartz, Founder and Govt Chairman of SmartStop. “This merger permits us to acknowledge expense efficiencies and scale back borrowing prices, amongst different advantages, which higher positions the mixed firm to execute on future progress plans. We have acknowledged a few of these potential value financial savings already, as we concurrently closed a brand new $500 million credit score facility, which was primarily used to refinance present debt of each SmartStop and SST IV at considerably extra enticing charges. With the ability of the SmartStop® Self Storage platform and the large workforce behind it, we consider the mixed firm will generate sturdy future risk-adjusted returns for our shareholders.”
Robert A. Stanger & Firm, Inc. served as monetary advisor and Venable LLP served as authorized counsel to the SmartStop particular committee, whereas Nelson Mullins Riley & Scarborough LLP served as authorized counsel to SmartStop. KeyBanc Capital Markets Inc. served as monetary advisor and Bass, Berry & Sims PLC served as authorized counsel to the SST IV particular committee.
About SmartStop Self Storage REIT, Inc. (SmartStop)
SmartStop is a self-managed REIT with a completely built-in operations workforce of roughly 400 self storage professionals targeted on rising the SmartStop® Self Storage model. SmartStop, by way of its oblique subsidiary SmartStop REIT Advisors, LLC, additionally sponsors different self storage applications. SmartStop is the tenth-largest self storage firm within the U.S., with roughly $1.7 billion of actual property belongings below administration, together with an owned and managed portfolio of 152 properties in 19 states and Toronto, Canada and comprising roughly 103,000 models and 11.6 million rentable sq. ft. SmartStop and its associates personal or handle 16 working self storage properties within the Larger Toronto Space, which complete roughly 13,300 models and 1.4 million rentable sq. ft. Extra info concerning SmartStop is accessible at www.smartstopselfstorage.com.
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SmartStop Self Storage REIT, Inc.
SOURCE Strategic Storage Belief IV, Inc.