Blackstone makes $1.2B deal with Brookfield for self-storage company

Storage businesses are a rare bright spot amid the economic downturn

Blackstone Group president Jonathan Gray (Getty)
Blackstone Group president Jonathan Gray (Getty)

Blackstone Group president Jonathan Gray (Getty)

Blackstone Group is buying Simply Self Storage from Brookfield Asset Management for about $1.2 billion, Bloomberg reported.

Brookfield bought the storage company in 2016 and has more than doubled its footprint; it now has more than 8 million square feet of space across the U.S. It started seeking buyers for the company earlier this year.

With this deal, Blackstone, which owns $300 million worth of self-storage facilities, would become the country’s third-largest owner of storage not listed on a stock exchange, according to Bloomberg.

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The sale is set to be finalized by the end of the year.

The self-storage sector has fared better than the other real estate investment trust sectors in the pandemic, as economic changes tend to create demand for self-storage.

[Bloomberg] — Akiko Matsuda

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