PUBLIC STORAGE (+) : PSA heads North; acquires Public Storage Canada

Research evidence excerpt

PUBLIC STORAGE (+) : PSA heads North; acquires Public Storage Canada

EQUITIES

REAL ESTATE

PUBLIC STORAGE OUTPERFORMPRICE* USD320.2  TARGET PRICE USD335 (UPSIDE 5%)

FLASH NOTE

PSA heads North; acquires Public Storage Canada

22 JUNE 2026 Securities Research Report Production time: 23:50* (London time)

Research Analyst & Publishing Entities

John Paul Flangos BNP Paribas Securities Corp (1) (+1) 646 342 5660 johnpaul.flangos@us.bnpparibas.com

What happened?

In a statement filed today, June 22, 2026, Public Storage (PSA) announced the acquisition of Public Storage Canada,

a company founded by PSA founder Wayne Hughes, for $1.2 billion in OP units and cash (~75% units/25% cash). The

sale was triggered by a ROFO and ROFR agreement previously established with Tamara Hughes Gustavson and

family. PS Canada has been operated by the Hughes family for decades under the Public Storage brand name in

Canada and represents the 3rd largest Canadian self-storage portfolio. We would note that if certain NOI performance

metrics are met there will be additional earn-out consideration given to the sellers of $288m in OP units (at $375 per

unit) over a 5-year target period.

PSA disclosed that the acquisition price represents a “going-in NOI yield in the high-5’s” and expects high single digit

NOI growth as synergies and operational upside is realized. Including the announced NSA acquisition and other

investment activity PSA has publicly announced ~$12B in acquisitions YTD. Management expects the transaction to

close in the second half of 2026.

BNPP View:

We view the proposed acquisition positively as it provides PSA exposure to new markets with strong underlying

fundamentals and value creation opportunity driven by PSA's operating platform. We expect the acquisition to be