Non-traded self-storage REIT, Strategic Self Storage Trust changed its name last week to SmartStop Self Storage Inc. (SmartStop). The company’s many self-storage units had been branded as SmartStop facilities prior to this change.
In addition, the REIT entered into a self administration and investment management transaction with Strategic Storage Holdings, LLC (SSH) and its advisor, Strategic Storage Advisor, LLC, acquiring certain assets of SSH in the process. SmartStop paid $18 million in cash and 773,395 limited partnership units in the company’s operating partnership for the assets.
In light of these changes SmartStop’s portfolio now consists of 126 self storage properties in 17 states and Toronto, Canada, making it the seventh largest fully integrated, self-administered and self-managed self-storage REIT in the U.S.
SmartStop is now also responsible for two additional REITs, Strategic Storage Trust II, Inc. and Strategic Storage Growth Trust, Inc. In exchange for the advisory, asset-management, and property-management functions SmartStop will perform for the two REITs, SmartStop will earn a fee.
In a letter to shareholders signed by H. Michael Schwartz, CEO and President of the REIT, he explains “As a result of this transaction, we are now positioned for a future listing on a national securities exchange or other strategic event designed to provide investor liquidity while maximizing stockholder value.”
Founded in 2008, SmartStop closed to new investors in September 2013.
Furthermore, SmartStop’s board of directors approved an estimated value per share of $10.81, based on its net asset value and calculated as of June 30, 2014, marking an increase from December 2011’s $10.79 per share.