May 9, 2005
The business finance unit of General Electric Co. announces agreement to sell Storage USA to a joint venture.
On May 5, the business finance unit of General Electric Co. announced that it has agreed to sell Storage USA to a joint venture comprised of Salt Lake City-based Extra Space Storage Inc. and Prudential Real Estate Investors, the real estate arm of Prudential Financial Inc., for approximately $2.3 billion in cash. Prudential RE is expected to commit more than $1.5 billion in equity to the transaction. When completed this will be the largest transaction ever in the self-storage industry. Storage USA, based in Memphis, is currently the fourth largest operator of self-storage facilities in the U.S., with 458 self-storage properties in 31 states and Washington, D.C. As noted in the May 6 edition of The Daily Deal, Willkie partner Steven Seidman represented UBS, financial advisor to the acquiror, in the deal. Associates Mark Cognetti, David Drewes and John Ruby also participated on the Willkie team.
