SmartStop Self Storage REIT, Inc. Reports 2019 Second Quarter Results and Highlights
September 23, 2019 | SmartStop Self Storage REIT, Inc. | Prnewswire.com
SmartStop Self Storage REIT, Inc. (“SmartStop”) announced continued growth in operations as part of its overall results for the three and six months ended June 30, 2019, alongside the transformation of the company into a self-managed and fully-integrated self storage company.
“During the second quarter, our transformation from an externally-advised REIT into a self-managed and fully-integrated self storage company was completed,” commented Michael McClure, Chief Executive Officer of SmartStop Self Storage REIT, Inc. “The change was formalized when we updated our name to be in alignment with the SmartStop® Self Storage brand. Also, as part of the self administration we acquired the managed REIT platform of our prior sponsor, which will allow us to continue to grow revenues through the sponsorship of two additional self storage REITs. These changes to SmartStop are expected to be substantially accretive, align management more closely with our stockholders, and provide us optionality to explore a variety of strategic alternatives.”
Self Administration
On June 28, 2019, SmartStop completed a full self administration of the SmartStop® Self Storage platform. Prior to the self administration, SmartStop’s former external advisor was responsible for day-to-day management of SmartStop, including identifying and making acquisitions and managing the operations of SmartStop’s properties. However, as a self-administered company, SmartStop now owns the operating platform for SmartStop® Self Storage, including all related intellectual property, proprietary technology, and all internal processes and procedures for both U.S. and Canadian operations. Additionally, SmartStop acquired approximately 350 self storage professionals, including a dedicated executive team with an average of 15 years of self storage experience, and now performs investment and property management services on its own behalf. Finally, SmartStop is now the sponsor of Strategic Storage Trust IV, Inc. and Strategic Storage Growth Trust II, Inc. (together the “Managed REITs”), which allow SmartStop to grow its size, scale, and revenue through the properties managed on behalf of the Managed REITs.
SmartStop represents the tenth largest self storage company in North America with over 130 properties owned or managed, across 18 U.S. states and the Greater Toronto Area. Its fully-integrated self storage platform, coupled with access to institutional and retail investors, will enable SmartStop to achieve further economies of scale. With its international self storage presence and experience, combined with the Managed REIT platform, SmartStop has a unique opportunity for growth in the self storage industry.
