Public Storage is moving to bulk up its storage empire, announcing Monday that it will acquire National Storage Affiliates in an all-stock transaction that values the target at roughly $10.5 billion on an enterprise-value basis. The move ties together two of the largest U.S. self-storage platforms and would push the combined company to new scale across markets and operating platforms. Company leaders say the acquisition is intended to accelerate per-share earnings and deepen Public Storage's footprint.
According to Connect CRE, the all-stock agreement would value the combined company at about $10.5 billion, with a pro forma equity market capitalization of roughly $57 billion and a total enterprise value of roughly $77 billion. The transaction is expected to close in the third quarter, subject to customary approvals and closing conditions.
NSA's footprint
National Storage Affiliates operates more than 1,000 properties, about 1,069 at the last published count, comprising roughly 69.8 million rentable square feet and about 550,000 units across 37 states and Puerto Rico, according to company materials shared via National Storage Affiliates Trust. That scale is supported by a decentralized operating model built around regional partners that NSA has assembled through acquisitions and joint ventures.
Deal structure and financing
Immediately before closing, Public Storage and limited partners in NSA's operating partnership plan to carve out a joint venture of 313 properties, about 19.6 million rentable square feet across 28 states and Puerto Rico, estimated at roughly $3.3 billion, with OP unitholders expected to own approximately 80% of the JV and Public Storage holding the remainder. Public Storage will repay NSA's existing bank debt and senior unsecured notes and will assume certain mortgage debt and preferred securities, and has arranged $4.0 billion of committed financing from Goldman Sachs and Wells Fargo, made up of a $2 billion corporate bridge loan and a $2 billion JV bridge that will convert to permanent mortgage financing, according to Connect CRE. Integration planning and lender commitments are already underway as the companies work toward a third-quarter close.
Why Public Storage says it makes sense
Public Storage has been rolling out a PS4.0 strategy that it describes as focused on accelerated per-share earnings and disciplined capital deployment, and the company says adding NSA's assets is a natural extension of that playbook, according to Public Storage. The company argues that greater scale will provide operating leverage and more predictable cash flow.
What it means for the market
The combination would further concentrate a self-storage market that has already drawn heavy institutional interest and could squeeze smaller operators that rely on local pricing advantages. Investor activity around NSA and other self-storage REITs has been visible in recent filings and portfolio moves, a dynamic noted by S&P Global, and it underlines why scale and capital access matter in the sector.
The deal will still require regulatory clearances and customary closing conditions before a third-quarter finish, and both companies said they will provide more detail in forthcoming filings. Expect SEC filings and lender notices in the weeks ahead as the parties move toward integration and financing milestones.
