Strategic Storage Trust IV Declares First Net Asset Value Per Share

The board of Strategic Storage Trust IV Inc., a publicly registered non-traded real estate investment trust, has approved an estimated per share net asset value of its Class A, Class T, and Class W common stock.

The board of Strategic Storage Trust IV Inc., a publicly registered non-traded real estate investment trust, has approved an estimated per share net asset value of its Class A, Class T, and Class W common stock of $22.65, calculated as of March 31, 2019.

The NAV per share is based on the estimated value of Strategic Storage Trust IV’s assets less the estimated value of its liabilities, or net asset value, divided by the number of shares outstanding on an adjusted fully diluted basis, calculated as of March 31, 2019.

“We are pleased to announce SST IV’s first estimated value per share of $22.65,” said H. Michael Schwartz, chairman and chief executive officer of SST IV. “The value of our existing assets have increased, and we believe that continuing to invest in stabilized and growth self-storage assets will drive long-term value for our shareholders.”

Duff & Phelps, an independent third-party real estate valuation and advisory firm, assisted with the valuation process and provided a NAV per share range of $21.40 to $24.02, with an approximate mid-range value $22.65 per share. The company noted that the valuation was performed within guidelines established by the Institute of Portfolio Alternatives (IPA).

Class A shares in the primary offering were originally priced at $25.00 each, Class T shares at $24.21 each, and Class W shares at $22.75 each.

The REIT purchased its 16 self-storage properties for approximately $185.6 million. The total estimated value of the properties was approximately $202.6 million, an increase of approximate 9.2 percent over the original purchase price.

Strategic Storage Trust IV invests in stabilized and growth self-storage properties and owns 16 properties comprising approximately 11,000 self-storage units, as well as two parcels of land under development. The REIT’s offering was declared effective by the SEC in March 2017 and had raised $178.9 million in investor equity, as of June 14, 2019.

SmartStop sponsors three non-traded REITs: Strategic Storage Trust IV, Strategic Storage Trust II, and Strategic Student & Senior Housing Trust, and is also a national sponsor of Section 1031 exchange offerings using a Delaware statutory trust structure and private placement offerings using a REIT structure.

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