National Storage Affiliates has added 14 facilities in Western Florida, in an all stock deal valued at $115 million.
Sarasota, FL-based Hide-Away Storage is giving up the properties in exchange for $60 million worth of operating units of NSA, as well as the assumption of $42 million in debt to be assumed by the Greenwood Village, CO-based REIT.
The Hide-Away portfolio, which spans a million square feet, is located in Manatee, Sarasota, St. Petersburg, Fort Myers and Naples. Some facilities operate under the name Xpress Storage.
The deal is expected to close during the second quarter of 2016.
Hide-Away, which was founded in 1977 by Stephen Wilson, is the seventh regional operator to join NSA, a conglomerate of various storage operators that went public as a REIT last April. Prior to founding the storage company, Wilson was a reporter for the Bradenton Herald.
In an interview with Bradenton.com, Wilson said that his company will continue to manage the facilities and use its newfound liquidity to expand:
“Rather than retiring, we are going to be managing much more aggressively,” he said. “I think our timing is very appropriate to move into some acquisitions and more development before this market gets overbuilt.”
Arlen Nordhagen, CEO of NSA, stated during a recent earnings call that their goal is to add one to three new operators a year. Its current operating partners are Guardian Storage, Move It Self Storage, Northwest Self Storage, Optivest Properties, SecurCare Storage and Storage Solutions.
Following the completion of the transaction, NSA will control nearly 300 properties nationwide.