Public Storage Inc., a self-storage real estate investment trust (REIT) and third-party management firm, has acquired the 48-property ezStorage portfolio for $1.8 billion. The purchase comprises 4.2 million net rentable square feet across Maryland, Virginia and Washington, D.C. Public Storage will fund the transaction with unsecured debt. The deal is expected to close in May, according to a press release.
The REIT described the ezStorage footprint as being “in submarkets with strong demand drivers and high barriers for new property development.” Public Storage will take over responsibility of one property still under construction and intends to expand eight other locations. Those projects will increase the portfolio’s square footage by 10 percent through 2023, the release stated. The acquisition will result in expanding the REIT’s presence in the mid-Atlantic to 163 facilities comprising 11.3 million net rentable square feet.
Public Storage has been actively growing. Since 2019, the company has added about 21 million net rentable square feet to its national portfolio through $4.1 billion in acquisitions, development and expansions.
“We thank the Manganaro Family and the ezStorage team for their integrity through our long-standing relationship. Their properties reflect unparalleled local-market knowledge and a focus on location and property quality,” said Mike McGowan, senior vice president of acquisitions for Public Storage. “Looking ahead, we see a wide range of opportunities to acquire and develop properties in desirable markets as part of Public Storage’s broader growth initiatives.”
Based in Glendale, Calif., Public Storage has interests in 2,548 self-storage facilities in 38 states, with approximately 175 million net rentable square feet. It holds a 35 percent interest in Shurgard Self Storage SA, which has 241 facilities in seven European countries, with approximately 13 million net rentable square feet.
Public Storage, Public Storage Enhances Portfolio Coverage, Quality and Growth with ezStorage Acquisition