InStorage REIT Considers Takeover, Canadian Storage Partners Extends Deadline

On Nov. 21, the board of trustees of InStorage Real Estate Investment Trust provided an update regarding the company’s review of strategic alternatives to the take-over bid made by Canadian Storage Partners ULC (CSP), a subsidiary of TKG-StorageMart Partners LP. In mid-October, CSP made an unsolicited offer to acquire all of InStorage REIT’s outstanding trust units at $3.75 per unit.
 
InStorage advised by press release on Nov. 19 that the two companies were in discussion. They initially expected to complete a definitive support agreement by noon on Nov. 21, the expiry date of CSP’s take-over bid, but decided to continue negotiation in pursuit of an agreement in which the offer is raised to $4 cash per InStorage unit. Partners ULC has now extended its deadline until 10 a.m. on Dec. 5.
 
InStorage is the largest owner-operator of self-storage facilities in Canada, with 52 self-storage properties in Alberta, Saskatchewan, Ontario and Quebec.

TKG-StorageMart has 70 facilities in the United States and Canada, including five in Columbia. The Burnam family has been involved in the self-storage industry since 1974.