<\/p>\n
The acquisition is currently expected to close in the third quarter of 2023, subject to the satisfaction of customary closing conditions. A detailed presentation is available in the Investor Relations section of Public Storage\u2019s website.”<\/span><\/span><\/span><\/p><\/blockquote>\n
Public Storage (NYSE:PSA) (the \u201cCompany\u201d) and Blackstone Real Estate Income Trust, Inc. (\u201cBREIT\u201d) announced today an agreement for Public Storage to acquire Simply Self Storage (\u201cSimply\u201d) from BREIT for $2.2 billion.<\/span><\/span><\/span><\/p>\n
The portfolio comprises 127 wholly-owned properties and 9 million net rentable square feet that are geographically diversified across 18 states and located in markets with population growth that has been approximately double the national average since 2018. Approximately 65% of the properties are located in high-growth Sunbelt markets. During BREIT\u2019s ownership period, Blackstone made investments into the Simply platform that enabled the company to enhance the quality of the portfolio and management team, and ultimately significantly increased Simply\u2019s net operating income.<\/span><\/span><\/span><\/p>\n
Public Storage will deploy its industry-leading brand and operating platform to drive customer recognition and further enhance performance. The Company will integrate an additional 25 properties into its PS Advantage\u00ae third-party management platform. By combining the Simply team with Public Storage\u2019s leading platform, the Company will deepen its presence in fast-growing markets, bolster its core strengths, and unlock additional opportunities for growth and value creation.<\/span><\/span><\/span><\/p>\n
This acquisition reflects Public Storage\u2019s continued execution of its opportunistic growth strategy. Since 2019, Public Storage has expanded its portfolio by approximately 55 million net rentable square feet, or 34%, through $10.6 billion of acquisitions, development, and redevelopment, including Simply and additional properties previously announced as under contract.<\/span><\/span><\/span><\/p>\n
\u201cWe are pleased to welcome Simply\u2019s team, customers, and third-party management partners to Public Storage\u2019s industry-leading brand and platform,\u201d said Joe Russell, Public Storage\u2019s Chief Executive Officer. \u201cThis acquisition reflects the continued execution of our multi-factor external growth platform, which includes acquisitions, development, redevelopment, expansion, and third-party management. We are pleased to complete this important transaction with Blackstone, which further demonstrates our position as an acquirer of choice in the industry. Blackstone has done a tremendous job of growing and improving the quality and operations of the Simply portfolio over the past few years.\u201d<\/span><\/span><\/span><\/p>\n
Nadeem Meghji, Head of Blackstone Real Estate Americas, said, \u201cWhere you invest matters, and this transaction demonstrates the strong investor demand for the high-quality assets and platforms we have assembled within BREIT. This sale is a terrific outcome for BREIT stockholders and enables us to further concentrate BREIT\u2019s portfolio in its highest growth sectors. Public Storage is a leader in its space and will be a terrific steward of this portfolio.\u201d<\/span><\/span><\/span><\/p>\n
The acquisition is currently expected to close in the third quarter of 2023, subject to the satisfaction of customary closing conditions. A detailed presentation is available in the Investor Relations section of Public Storage\u2019s website<\/span><\/a>.<\/span><\/span><\/span><\/p>\n
Eastdil Secured served as financial advisor to Public Storage, and Wachtell, Lipton, Rosen & Katz and Hogan Lovells US LLP acted as legal advisors. Wells Fargo and Newmark Group, Inc. served as lead financial advisors to BREIT, and BMO Capital Markets and Sumitomo Mitsui Banking Corporation (SMBC) also served as financial advisors. Simpson Thacher & Bartlett LLP acted as BREIT\u2019s legal advisor.<\/span><\/span><\/span><\/p>\n
About Public Storage<\/b><\/span><\/span><\/span><\/p>\n
Public Storage, a member of the S&P 500 and FT Global 500, is a REIT that primarily acquires, develops, owns, and operates self-storage facilities. At March 31, 2023, we had: (i) interests in 2,877 self-storage facilities located in 40 states with approximately 205 million net rentable square feet in the United States and (ii) a 35% common equity interest in Shurgard Self Storage Limited (Euronext Brussels:SHUR), which owned 266 self-storage facilities located in seven Western European nations with approximately 15 million net rentable square feet operated under the Shurgard\u00ae brand. Our headquarters are located in Glendale, California.<\/span><\/span><\/span><\/p>\n
About Blackstone Real Estate Income Trust<\/b><\/span><\/span><\/span><\/p>\n
Blackstone Real Estate Income Trust, Inc. (BREIT) is a perpetual-life, institutional quality real estate investment platform that brings private real estate to income focused investors. BREIT invests primarily in stabilized, income-generating U.S. commercial real estate across asset classes in the United States and, to a lesser extent, real estate debt investments. BREIT is externally managed by a subsidiary of Blackstone (NYSE: BX), a global leader in real estate investing. Blackstone\u2019s real estate business was founded in 1991 and has approximately $333 billion in investor capital under management. <\/span><\/span><\/span>Further information is available at www.breit.com<\/span><\/a><\/span><\/span><\/span><\/p>\n
Contact:<\/span><\/span><\/span><\/em><\/p>\n
Public Storage<\/b><\/span><\/span><\/span><\/p>\n
Ryan Burke
\n<\/span><\/span><\/span>(818) 244-8080 (Ext. 1141)<\/span><\/span><\/span><\/p>\nBlackstone<\/b><\/span><\/span><\/span><\/p>\n
Jeffrey Kauth
\n<\/span><\/span><\/span>Jeffrey.Kauth@Blackstone.com<\/span><\/a>
\n<\/span><\/span><\/span>(212) 583-5395<\/span><\/span><\/span><\/p>\n