MD | 32-0211624 | |
(State or other jurisdiction of | (IRS Employer | |
incorporation) | Identification No.) |
On September 17, 2010, Strategic Storage Trust, Inc. (the "Registrant"), through a wholly-owned subsidiary of the Registrant's operating partnership, executed four purchase and sale agreements (collectively, the "Chicago Portfolio Purchase Agreements") with unaffiliated third parties for the acquisition of four self storage facilities located in the Chicago, Illinois greater metropolitan area (the "Chicago Portfolio"). The purchase price for the Chicago Portfolio is $13.5 million plus closing costs and acquisition fees. The Registrant expects these acquisitions to close in the fourth quarter of 2010 and expects to fund such acquisitions using net proceeds from its initial public offering.
The Chicago - 95th St. property is an approximately 690-unit self storage facility that sits on approximately 4.6 acres and contains approximately 72,000 rentable square feet of self storage space, located at 1000 East 95th Street, Chicago, Illinois. It was constructed i n 2002.
The Chicago - Western Ave. property is an approximately 570-unit self storage facility that sits on approximately 2.7 acres and contains approximately 58,000 rentable square feet of self storage space, located at 2244 S. Western Avenue, Chicago, Illinois. The property was converted to its current use in 2004.
The Chicago - Ogden Ave. property contains a single-story building comprised of approximately 65,000 rentable square feet of self storage space and approximately 85,000 rentable square feet of industrial warehouse/office space. The facility sits on approximately 10.4 acres and contains approximately 740 units of self storage space, located at 5701 West Ogden Avenue, Cicero, Illinois. The self storage component of the building was converted to its current use in 2002.
The Chicago - Roosevelt Rd. property is an approximately 445-unit self storage facility that sits on approximately 6.4 acres and contains approximately 41,000 rentable square feet of self storage space, located at 552 5 West Roosevelt Road, Cicero, Illinois. The property was converted to self storage use in 2004.
Pursuant to the Chicago Portfolio Purchase Agreements, the Registrant would be obligated to purchase the Chicago Portfolio only after satisfactory completion of agreed upon closing conditions. The Registrant will decide whether to acquire the Chicago Portfolio generally based upon:
- satisfactory completion of due diligence on the Chicago Portfolio and the sellers of the Chicago Portfolio;
There can be no assurance that the Registrant will complete the acquisition of the Chicago Portfolio. In some circumstances, if the Registrant fails to complete the acquisition, it may forfeit its $50,000 earnest money on each of the properties comprising the Chicago Portfolio.
Other properties may be identified in the future that the Registrant may acquire prior to or instead of the Chicago Portfolio. Due to the considerable conditions to the consummation of the acquisition of the Chicago Portfolio, the Registrant cannot make any assurances that the closing of the Chicago Portfolio is probable.
| Strategic Storage Trust, Inc. | ||||||||
| Date: September 20, 2010 | By: | /s/ Michael S. McClure | ||||||
| Michael S. McClure | ||||||||
| Chief Financial Officer | ||||||||
