\nPublic Storage (NYSE:PSA), the leading owner, acquirer, developer and operator of self storage properties, announced today the acquisition of the high-quality All Storage portfolio for $1.5 billion.<\/p>\n
The portfolio comprises 56 self storage properties (7.5 million net rentable square feet) primarily located in the growing Dallas-Fort Worth market. The 52 properties in Dallas-Fort Worth add prominent locations in new, high-growth submarkets in addition to complementary locations in Public Storage\u2019s existing submarkets. With the addition of the acquisition properties, the Company\u2019s Dallas-Fort Worth portfolio will be unmatched in coverage and quality, with 172 locations and 15.5 million net rentable square feet. The additional properties are located in Oklahoma City, Oklahoma (3), and Killeen, Texas (1).<\/p>\n
The acquisition is a direct reflection of how the team at Public Storage is committed to driving growth through our four-factor platform, which includes acquisitions, development, redevelopment and third-party management. We continue to see a wide range of opportunities to acquire and develop properties in desirable markets as part of Public Storage\u2019s broader growth initiatives.”<\/p><\/blockquote>\n
All Storage is a best-in-class self storage developer, with many recently built properties in the acquisition portfolio. The resulting 75% average portfolio occupancy during the third quarter of 2021 provides significant growth opportunity for Public Storage\u2019s industry-leading operating platform. The company plans to fund the acquisition with unsecured debt. The company expects the transaction will be immediately accretive to FFO per share with accretion accelerating through stabilization by 2025. A presentation with further detail is available on the Investor Relations<\/a>\u00a0section of PublicStorage.com. CBRE represented All Storage on the transaction.<\/p>\n
\nThis acquisition reflects Public Storage\u2019s continued execution of its opportunistic growth strategy. Capitalizing on its industry-leading brand, operating scale and growth-oriented balance sheet, the company has been actively expanding its portfolio through acquisitions and development. Since the start of 2019, Public Storage has expanded its portfolio by approximately 36 million net rentable square feet or 22%, through $6.3 billion of acquisitions, development and redevelopment, including properties under contract.<\/div>\n<\/div>\n“We are pleased to welcome the majority of the All Storage operations team and their customers to Public Storage\u2019s industry-leading brand and platform,” said Joe Russell, Public Storage Chief Executive Officer. “The acquisition is a direct reflection of how the team at Public Storage is committed to driving growth through our four-factor platform, which includes acquisitions, development, redevelopment and third-party management. We continue to see a wide range of opportunities to acquire and develop properties in desirable markets as part of Public Storage\u2019s broader growth initiatives.”<\/div>\n