Shareholders of Strategic Storage Growth Trust Inc., a non-traded real estate investment trust sponsored by SmartStop Asset Management, have approved the proposed merger with affiliated REIT Strategic Storage Trust II at its special meeting of shareholders held on January 18th. The transaction is expected to close on January 24, 2019.
At the meeting, approximately 15.3 million shares voted in favor of the proposal, 262,018 voted against, and 499,572 abstained.
As previously reported by The DI Wire, Strategic Storage Trust II plans to acquire all of the real estate owned by Strategic Storage Growth Trust, consisting of 28 self storage facilities located in 10 states and Canada, and will obtain the rights to acquire two self storage facilities under contract with the company.
Under the merger agreement, Strategic Storage Trust II will pay Strategic Storage Growth Trust stockholders $12.00 per share in cash, which represents a total purchase price of approximately $340 million, including outstanding debt to be assumed or repaid.
Strategic Storage Growth Trust focuses on the acquisition, development, redevelopment, and lease-up of self storage properties. The offering launched in January 2015 and raised more than $281 million in investor equity before closing in March 2017, according to Summit Investment Research.
Strategic Storage Trust II invests in stabilized self storage properties and oversees a portfolio of 83 properties located in 14 states and Ontario, Canada. The offering was declared effective by the SEC in January 2014 and closed three years later after raising $570 million in investor equity.
SmartStop sponsors four public non-traded REITs: Strategic Storage Trust IV Inc., Strategic Storage Trust II Inc., and Strategic Storage Growth Trust Inc., all focused on self storage assets, and Strategic Student & Senior Housing Trust Inc., focused on student and senior housing assets. SmartStop is also a sponsor of Section 1031 exchange offerings using the Delaware statutory trust structure.