StorageVault Canada Inc. announced today (Jan. 6) it has entered into an acquisition agreement to acquire from an arm’s length vendor a recreational vehicle storage facility located in Saskatoon, Saskatchewan, known as RV Storage of Saskatoon.
The aggregate purchase price is $1.625 million (subject to customary adjustments). The agreement is subject to a number of conditions, according to a news release.
The purchase price payment terms for the acquisition will be a combination of a $150,000 initial refundable deposit, a second $150,000 deposit upon removal of due diligence closing conditions, and a final cash payment of $1,325,000 at closing. StorageVault intends to finance the equity portion of the acquisition from the proceeds of a previously completed preferred share offering.
About RV Storage of Saskatoon
RV Storage of Saskatoon has capacity for the storage of approximately 700 vehicle units at the facility comprising approximately 180,000 square feet of rentable storage area on approximately 5 1/2 acres of land. The facility is located in Saskatoon. StorageVault intends to relocate and combine its PUPS portable storage business presently operating out of a leased location in Saskatoon with RV Storage of Saskatoon.
About StorageVault Canada Inc.
StorageVault currently owns and operates Trans Can Mini-Stor in Regina, Kenaston Self Storage in Winnipeg, B&B Self Storage in Cambridge, Parksville Mini Storage in the Regional District of Nanaimo and Canadian PUPS in Saskatoon. Both Trans Can Mini-Stor and Kenaston Self Storage are fixed unit storage facilities operating in conjunction with high margin Canadian PUPS portable storage franchises at each location. StorageVault currently operates Canadian PUPS in Saskatoon as a stand-alone portable storage franchise. StorageVault also manages six self-storage facilities in southern Ontario and intends to continue to grow its business through the acquisition of additional self-storage properties, and organically as master franchisee through the development of Canadian PUPS portable storage facilities in Canada. StorageVault intends to launch its PUPS portable storage business at both B&B Self Storage and Parksville Mini Storage in the spring of 2011.