SmartStop Asset Management to Form Joint Venture with SmartREIT Focusing on Canada Self-Storage
February 17, 2017 | Inside Self-Storage
SmartStop Asset Management LLC, a diversified real estate company that manages 103 self-storage facilities in Canada and the United States, will partner with Canadian real estate investment trust SmartREIT in a joint venture to develop and co-own self-storage facilities in Canada. The companies intend to create a joint portfolio of storage properties comprising 75,000 to 125,000 square feet each, with some assets to include leasable retail space, according to a press release. Two locations in the Toronto area have been identified, with plans for additional assets forthcoming.
SmartREIT owns and manages 32 million square feet in retail centers primarily anchored by Walmart. It has recently expanded its portfolio to include office, residential and self-storage on large urban properties or as adjuncts to its shopping assets, the release stated.
"We view today's third-generation, multi-story self-storage facilities as being a complementary use within and around our centers, requiring minimal land and parking, resulting in efficient rental income value creation," said Huw Thomas, CEO of SmartREIT. "This strategic alliance is a logical step as we continue to intensify our shopping centers and unlock value in underutilized parcels of land within our portfolio. We are very pleased to partner with SmartStop, a leader in the self-storage industry with a proven expertise and track record to expand the business in partnership across Canada."