QuadReal Property Group, a global real estate investment, development, and operating company, has agreed to acquire a portfolio of 26 self-storage and mixed-use properties across the United Kingdom through a dedicated subsidiary.
The assets are being acquired from Padlock Euro Storage Fund I, which is managed by Clear Sky Capital Inc., and are collectively valued at approximately £270 million. QuadReal will take a 95% ownership stake in the portfolio, while existing management affiliates will retain the remaining 5%.
The transaction will be executed via QR CS Padlock LP, a QuadReal-controlled entity, and includes the assumption of existing debt tied to the properties. Following the transaction, Padlock Euro Storage Fund I is expected to generate approximately £93.6 million in net proceeds after debt repayment, taxes, and transaction-related costs.
The portfolio comprises a mix of stabilized self-storage facilities and mixed-use assets, many of which operate under the Cinch Self Storage brand. The properties are located across multiple U.K. markets and represent one of the larger recent self-storage transactions in the region.
Padlock Euro Storage Fund I was launched to capitalize on the fragmented nature of the European self-storage market, with a focus on acquiring and operating facilities in undersupplied urban and suburban locations. The fund’s management team, including self-storage investment specialist John Stevenson, is expected to remain involved following the transaction.
For QuadReal, the acquisition further expands its exposure to the self-storage sector and strengthens its presence in the U.K. market. The firm has continued to target alternative real estate asset classes globally, including logistics, rental housing, and self-storage, which are viewed as offering durable demand fundamentals and long-term growth potential.
The U.K. acquisition follows QuadReal’s recent expansion into the Canadian self-storage market, where the firm acquired Maple Leaf Self Storage, a 15-property portfolio across British Columbia and Alberta, in one of the largest self-storage transactions in Canadian history. That deal marked QuadReal’s first major entry into the Canadian self-storage sector and signaled growing institutional interest in the asset class (Read MSM’s full coverage of the Maple Leaf acquisition here).
The U.K. deal also underscores continued institutional interest in self-storage assets globally, even as transaction activity across broader commercial real estate sectors remains constrained by higher interest rates and pricing uncertainty.
The acquisition is expected to close subject to customary regulatory approvals and closing conditions.