December 22, 2009 12:05 PM
Equity Based Services (EBS) announced today that it has purchased two more self-storage facilities....The deal used a combination of equity and debt financing.
EBS financed the purchase in part with non-recourse loans, showing that non-recourse mortgages are still viable financing options within the self-storage market. Non-recourse loans are preferable to recourse debt when it is possible to obtain them. The debt financing, which was set up by Tavernier Capital Partners, came from a life insurance company.
The equity financing for the deal came from EBS' private investor pool and from the EBS Income Fund III, which was recently closed. The fact that EBS was able to arrange privately placed equity financing in addition to its mortgages shows that investors consider self-storage facilities to be strong, viable, low-risk businesses in which to invest. [More]
December 17, 2009 11:09 AM
Earlier this month, real estate investment group Equity Based Services, Inc., announced that it is acquiring a new self-storage facility, Advantage Self Storage (now to be called American Mini Storage) in Plano, Texas....The Advantage acquisition ushers in a new policy for EBS, one of aggressively acquiring new self-storage properties. EBS and other real estate investors have found that the economic climate currently is very favorable for buying self-storage. EBS, which currently owns and operates 64 self-storage properties in 11 states, plans to double its self-storage acquisitions over the next year. [More]