One day after parent SmartStop Self Storage REIT announced the acquisition of a property in Oakville, Strategic Storage Trust VI and SmartCentres REIT have purchased a 2.7-acre plot of land in nearby Weston to develop another large self-storage facility.
Located at 1480 Jane St., the planned six-storey Weston facility will contain approximately 1,200 storage units. It is expected to encompass nearly 99,000 net rentable square feet of climate-controlled self-storage with a mix of drive-up and interior units.
The location near the Highway 400-401 junction provides direct visibility from the GO Train and UPX rail corridor. It will serve the communities of Weston Village, Keelesdale, Richview, Mt Dennis, Amesbury, Westmount and Royal York Garden.
“We are excited to announce the eighth development project that SmartStop and our affiliates have done in partnership with SmartCentres (SRU-UN-T) in the Greater Toronto Area,” said H. Michael Schwartz, chairman and CEO of SmartStop, in the announcement. “The Jane Street property will be a tremendous growth asset for the SST VI portfolio in one of the best self-storage markets in North America.”
The SmartStop, SmartCentres JV
The SmartStop/SmartCentres joint venture is focused on self-storage developments across the GTA. Facilities in Toronto, Brampton and Vaughan have been completed, with SmartStops in Oshawa and Scarborough under construction.
The REIT is also seeking municipal approvals for more SmartStop locations in Aurora, Whitby, Markham and Brampton.
“Our strategic alliance with SmartStop has exceeded our initial projections,” said Mitchell Goldhar, executive chairman of SmartCentres, in the announcement. “We are able to generate recurring income from our existing properties from sources other than retail and from new opportunities such as the Jane Street location.
“The combination of our locations and development expertise and SmartStop’s expertise in everything related (to) self-storage has propelled the partnership program beyond our expectations.”
Financial details were not released for either acquisition.
SmartStop’s Oakville acquisition
On Monday, SmartStop announced the purchase of a six-storey, 1,073-unit self-storage facility 450 Iroquois Shore Rd. in Oakville. The building was constructed in 2020 as part of a larger commercial property.
“This property’s favourable demographics and supply constraints exemplify the compelling characteristics of the entire region,” Schwartz said in that announcement.
The Oakville property was about 35 per cent occupied when the acquisition closed.
The location provides easy access from both the 400 series and QEW highways as well as GO Transit train service. It serves the communities of Oakville, Kerr Village, Clearview and Falgarwood and is located a short drive from Sheridan College.
The units are climate-controlled and span approximately 81,500 square feet. Amenities include state-of-the-art security systems, elevators, keypad access, a gated drive-in loading area, 24-hour access and more.
The facility is SmartStop’s third in Oakville, establishing it as the dominant player in the area. SmartStop and its affiliates own or manage approximately 14,300 units and 1.5 million rentable square feet in the GTA.
About SmartStop, Strategic Storage, SmartCentres
SmartStop is a self-managed REIT with a fully integrated operations team of approximately 400 employees across the U.S. and Canada. Through its indirect subsidiary SmartStop REIT Advisors, LLC, SmartStop also sponsors other self-storage programs.
SmartStop is the 10th-largest self-storage company in the U.S., with approximately $1.7 billion of real estate assets under management, including an owned and managed portfolio of 153 properties in 19 states and in Ontario, comprising approximately 104,000 units and 11.7 million rentable square feet.
SST VI is a Maryland corporation with a primary investment strategy to invest in income-producing and growth-oriented self-storage facilities and related investments in the United States and Canada.
SmartCentres is one of Canada’s largest fully integrated REITs, with a portfolio of 167 properties in communities across the country.
SmartCentres has approximately $10.7 billion in assets and owns 33.8 million square feet of income-producing retail space with over 97 per cent occupancy, on 3,500 acres of owned land across Canada.
SmartCentres’ multi-billion-dollar intensification program is expected to produce an additional 55.4 million square feet (32.5 million square feet at SmartCentres’ share) of space, 27.7 million square feet (16.2 million square feet at SmartCentres’ share) of which has or will commence construction within the next five years.