Iron Mountain Announces Industrial Sale-Leaseback Transaction with Blackstone Real Estate Income Trust
Iron Mountain (NYSE: IRM) has sold a portfolio of 13 industrial facilities to Blackstone Real Estate Income Trust for $358 million. The transaction encompasses 2.1 million square feet, primarily located in California, northern New Jersey, and Lehigh Valley, with Iron Mountain retaining an initial ten-year lease and options for up to 20 years. This move is part of Iron Mountain's capital recycling strategy, expected to release approximately $260 million for reinvestment into growth sectors such as its data center business.
- Generated $358 million from the sale of 13 industrial facilities.
- Part of a capital recycling strategy, allowing reinvestment in higher growth areas.
- Retaining long-term control over the sold facilities with an initial ten-year lease.
- None.
BOSTON--(BUSINESS WIRE)--Iron Mountain (NYSE: IRM), the storage and information management services company enabling digital transformation, today announced that it has sold a portfolio of 13 industrial facilities to Blackstone Real Estate Income Trust, Inc. (“BREIT”), generating gross proceeds of
This transaction is part of Iron Mountain’s ongoing capital recycling program, and Iron Mountain expects to utilize the proceeds to reinvest in higher growth areas of its business.
“As we have highlighted previously, we view the market conditions for industrial real estate assets as highly attractive. This is a compelling opportunity for us to monetize a small portion of our owned industrial assets, while still maintaining long-term control of the facilities,” said Barry Hytinen, executive vice president and CFO at Iron Mountain. “Combined with our balance sheet strength and strong cash flow generation, this transaction frees up approximately
David Levine, Senior Managing Director in Blackstone Real Estate, said, “The industrial sector continues to benefit from strong demand driven by e-commerce tailwinds, and we believe these well-located assets are a great addition to our portfolio, which is heavily weighted toward faster-growing sectors like logistics. We will continue to pursue compelling opportunities to acquire high-quality income-generating assets on behalf of our BREIT investors.”
About Iron Mountain
Iron Mountain Incorporated (NYSE: IRM), founded in 1951, is the global leader for storage and information management services. Trusted by more than 225,000 organizations around the world, and with a real estate network of more than 90 million square feet across approximately 1,450 facilities in approximately 50 countries, Iron Mountain stores and protects billions of valued assets, including critical business information, highly sensitive data, and cultural and historical artifacts. Providing solutions that include secure records storage, information management, digital transformation, secure destruction, as well as data centers, cloud services and art storage and logistics, Iron Mountain helps customers lower cost and risk, comply with regulations, recover from disaster, and enable a more digital way of working.
Visit www.ironmountain.com for more information.
About Blackstone Real Estate Income Trust
Blackstone Real Estate Income Trust, Inc. (BREIT) is a perpetual-life, institutional quality real estate investment platform that brings private real estate to income focused investors. BREIT invests in stabilized, income-generating U.S. commercial real estate across key property types and to a lesser extent in real estate-related securities. BREIT is externally managed by a subsidiary of Blackstone (NYSE: BX), a global leader in real estate investing. Blackstone’s real estate business was founded in 1991 and has approximately
