Update 12/08/25 – National Storage REIT has agreed to the A$4 billion ($2.65 billion) takeover offer made by a consortium backed by Brookfield Asset Management and GIC. The bidders have since completed due diligence and signed a binding deed. The deal drove NSR shares to an all-time high of A$2.81 today, according to a source.
“The bid price remains light relative to the plus-18% historic average-control premium paid for [Australian real estate investment trust] transactions from 2015 to 2025, but ultimately passes the ‘sniff test’ given transaction scale, prior relationship with bidder and prospect of limited competitive tension,” said John Lockton, head of investment strategy at MST Financial Services Pty Ltd., a Sydney-based financial-services firm.
Source: Reuters, Australia’s National Storage Vaults to a Record After $2.65 Bln Brookfield–GIC Swoop
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National Storage REIT (NSR), a publicly traded real estate investment trust (REIT) that operates 274 self-storage facilities in Australia and New Zealand, received an unsolicited, non-binding, indicative and conditional takeover bid from a consortium that includes Canadian investment firm Brookfield and Singapore real estate investor GIC. The offer valued NSR at A$4.02 billion ($2.62 billion). If the deal goes through, it would be the biggest take-private deal of a real estate company in Australia, according to sources.
Under the terms, NSR security holders would receive A$2.86 per stapled security. The company last traded at $2.26 per share, placing its market capitalization above $3 billion. The offer is being made on the basis that a dividend or distribution of six Australian cents may be paid, in which case, the cash payable per stapled security will be reduced by the same amount, sources reported.
“This bid is a massive vote of confidence in the Australian sector and a clever move from Brookfield,” said David Tuckwell, chief investment officer at ETF Shares, an Australian investment firm. “Demand for NSR is deeply non-cyclical. It is driven by life events like moving, downsizing or relationship changes.”
NSR has given the consortium until Dec. 7 to conduct due diligence and submit a binding offer. Brookfield and GIC are being advised by Deutsche Bank and Jefferies, while Citi and JPMorgan Chase & Co. are guiding NSR, sources reported.
NSR also attracted interest from private-equity firm Warburg Pincus and U.S.-based REIT Public Storage in 2020. Earlier this year, Ki Corp. and Public Storage, submitted a $2.2 billion takeover offer for Australian self-storage operator Abacus Storage King. Neither resulted in a deal.
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NSR purchased a 4.78% stake in Abacus in April, which Tuckwell sees as a crucial piece of the puzzle. “It gives Brookfield a strategic foothold that effectively blocks other global players from easily sweeping in,” he said. “It’s like buying a seat at the table for any future consolidation activity.”
GIC formed a partnership with NSR in June 2024 to launch the A$270 million National Storage Ventures Fund to develop self-storage facilities in Australia.
Founded in 1995, NSR was the first independent, internally managed and fully integrated owner and operator of self-storage facilities to be listed on the Australian Securities Exchange, according to sources.
Toronto-based Brookfield partners with sovereign wealth funds, pensions, insurance companies, endowments, foundations and family offices to provide investment solutions tailored to their needs.
GIC is a global, long-term investor that was established in 1981 to manage Singapore’s foreign reserves. The company invests in more than 40 countries worldwide.
Sources:Australian Property Markets, Consortium Targets National Storage REITCityNews Everywhere, Brookfield and GIC Make Offer for Australia’s National Storage REITReuters, Brookfield, GIC Offer Record $2.6 Billion for Australia’s National Storage
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