CubeSmart's operating partnership priced an underwritten public offering of $350.0 million of 3.000% senior unsecured notes due 2030 at 99.623% of their principal amount, with a yield to maturity of 3.043%.
The self-storage real estate investment trust aims to use the net proceeds to fully repay outstanding debt incurred under its unsecured revolving credit facility maturing in June 2024, with the remainder to go toward working capital and other general corporate purposes.
Wells Fargo Securities, BofA Merrill Lynch and US Bancorp were joint book-running managers and representatives of the underwriters for the offering. Jefferies and Regions Securities LLC acted as joint book-running managers, while Barclays, BB&T Capital Markets, BMO Capital Markets and Stifel were co-managers for the offering, which is expected to close Oct. 11.
