(Bloomberg) -- MiniStorage, a Southern California-focused self-storage provider, is exploring a sale.
The company is working with real estate brokerage Jones Lang LaSalle Inc. on the potential transaction, according to people with knowledge of the matter, who requested anonymity to discuss private information. A deal could value MiniStorage at more than $400 million, one of the people added.
MiniStorage didn't reply to a request for comment. A JLL representative declined to comment on any plans for a sale.
The firm, also known as Self Storage Management Co., has 12 locations in places including Los Angeles, Anaheim, Culver City, Costa Mesa and Redondo Beach, according to its website.
The self-storage sector has commanded rising rents and revenue amid tight supply, with net operating income forecast to grow 12.8% in 2021 and 8% next year, Green Street wrote in a September note to clients.
“Strong fundamentals in the sector will likely continue to attract more development capital, likely impacting supply growth in '24 and '25,” Green Street said.
Self-storage has experienced ongoing consolidation. Earlier this month, StorageMart agreed to acquire Manhattan Mini Storage while CubeSmart is buying the owner of the Storage West platform.
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