Public Storage: Heading north of the border with the Public Storage Canada acquisition

Research evidence excerpt

Public Storage: Heading north of the border with the Public Storage Canada acquisition

J P M O R G A N North America Equity Research

22 June 2026

Public Storage Neutral

PSA, PSA US

Heading north of the border with the Public Storage Price (22 Jun 26):$320.22

Canada acquisition

REITs

After Monday’s close, Public Storage announced that it had agreed to acquire Michael W. Mueller, CFA AC

Public Storage Canada in an OP Unit / cash transaction valued at ~$1.2B (or ~ (1-212) 622-6689

$1.5B with earnout potential). Public Storage Canada (PSC) has been michael.w.mueller@jpmorgan.com

independently owned/operated by the Hughes family for several decades, and it is Anthony Paolone, CFA

the third largest owner/operator of self-storage in Canada with its 68 properties. (1-212) 622-6682

This move is consistent with management’s prior messaging on pursuing anthony.paolone@jpmorgan.com

international opportunities where it looks to acquire a meaningful platform that can Hong Zhang

be improved and further grow the platform via acquisitions/development/lending (1-212) 622-6416

hongliang.zhang@jpmorgan.com

activities. The transaction is expected to close in 2H 2026, but management plans

Daniella De Armas Rosales

to complete the previously announced NSA acquisition/integration before fully (1-212) 622-0050

shifting its focus to driving growth in Canada (approximately 6 months after daniella.dearmasrosales@jpmchase.com

closing). Nonetheless, the transaction has a high 5%’s going in cap rate (~5% RE Nahom Tesfazghi

yield, more below) and management is expecting 3-4 years of HSD NOI growth (1-212) 622 4884

as the portfolio is only 83% occupied with a fairly low 65% margin. nahom.tesfazghi@jpmchase.com

J.P. Morgan Securities LLC

The portfolio / platform.