Montreal Mini-Storage Secures Financing

Posted by Modern Storage Media on Oct 20, 2023 3:41:37 PM

Entreposage Montreal Mini-Storage (MMS) has secured a multi-tranche revolving credit facility in partnership with a syndicate of underwriters led by The Bank of Nova Scotia Inc. as the agent and including HSBC Bank Canada and Canadian Western Bank Inc. The syndicated facility totals $150 million, divided into multiple tranches, with one allocated for the refinancing of existing mortgages, another reserved for future growth and acquisition opportunities, and a third revolving facility designated for general corporate purposes.


In conjunction with this transaction, the Company has also secured separate financing of $35 million from Scotiabank affiliated, Roynat Capital, which will be used to stabilize properties and fund construction capital expenditures.


The aggregate sum of this financing totals $185 million, with a four-year term, two years of principal moratorium and additional credit availability through an accordion based on MMS’ growing earnings.


MMS CFO Igor Bernadski says, “The success of this financing is a reflection on our long-term relationship with the financial institutions. The two facilities working in tandem are very important on our path to achieving our strategic goals and in enhancing the company’s capital structure. Closing this transaction in the current, more constrained capital market environment attests to the strong performance and resilience of the self-storage industry.”


MMS CEO Simon Berman says, “This achievement is a resounding vote of confidence in our strategy and our incredible team. Now, more than ever, we are positioned to rapidly take advantage of new opportunities to grow our portfolio and upgrade our facilities. We are incredibly grateful to our advisors and to Scotiabank who share our belief that this is only the very beginning of MMS’ growth story.”



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