Strategic StorageTrust II Inc. on March 25 executed 12 purchase and sale agreements toacquire a portfolio of 22 self-storage facilities, as well as four land parcelsand a redevelopment property, for roughly $371 million.
The properties comprise 10 self-storage facilities in Florida;11 facilities, four land parcels and one redevelopment property in North Carolina;and one self-storage facility in Maryland.
With the acquisition, the company would add roughly 1.5 millionsquare feet of space and 14,180 storage units.
The company expects to close on the acquisition in the secondand/or third quarters, according to a March 31 filing. Funding will consist of acombination of net proceeds from the company's public offering, a drawdown on itsexisting credit facility, assumption of an existing loan and other potential debtfinancing.
Closing of the transactions is contingent on various conditions,including approval of the company's board of directors and the ability to raisesufficient funding.
In some circumstances, if the company does not acquire some orall of the facilities, in addition to the incurred acquisition costs, it may forfeitup to roughly $9.0 million in earnest money on the portfolio.