H.I.G. Realty Partners Originates $110 Million Loan Secured by a 12,000-Unit Self-Storage Portfolio
NEW YORK – March 28, 2022 – H.I.G. Capital (“H.I.G.”), a leading global alternative investment firm with $48 billion of equity capital under management, is pleased to announce that its affiliate, H.I.G. Realty Partners, has originated a loan to refinance the Storage of America portfolio, a 12,000-unit self-storage portfolio located in five states across the Midwest.
The loan was made to Storage of America, a self-storage developer and operator. The majority of the portfolio opened over the last few years and has experienced strong leasing momentum, reaching near-stabilized occupancies due to the quality of product and outstanding locations.
“We are excited about this unique opportunity to finance an asset class with such strong fundamentals,” said Michael Mestel, Managing Director at H.I.G. Realty Partners. He added, “We are looking forward to seeing the sponsor continue to expand and create value within the portfolio.”
About H.I.G. Realty Partners
H.I.G. Realty Partners is the real estate platform of H.I.G. Capital, a leading global alternative assets investment firm with $48 billion of equity capital under management. H.I.G. Realty Partners manages $8.2 billion of assets and focuses on small-to-mid cap real estate, targeting both equity and debt investments across all property types located throughout the U.S., Europe, and Latin America. Debt investments include senior bridge loans, mezzanine loans and preferred equity collateralized by transitional properties and portfolios. Equity investments are concentrated on the acquisition of value-add assets, employing a hands-on, operationally focused approach that seeks to generate substantial cash flow and asset appreciation through rehabilitating, redeveloping, repositioning and rebranding assets that have been capital starved and/or poorly managed. For more information, please refer to the H.I.G. website www.higcapital.com.
About H.I.G. Capital
H.I.G. is a leading global alternative assets investment firm with $48 billion of equity capital under management.* Based in Miami, and with offices in New York, Boston, Chicago, Dallas, Los Angeles, San Francisco, and Atlanta in the U.S., as well as international affiliate offices in London, Hamburg, Madrid, Milan, Paris, Bogotá, Rio de Janeiro and São Paulo, H.I.G. specializes in providing both debt and equity capital to small and mid-sized companies, utilizing a flexible and operationally focused/ value-added approach:
- H.I.G.’s equity funds invest in management buyouts, recapitalizations and corporate carve-outs of both profitable as well as underperforming manufacturing and service businesses.
- H.I.G.’s debt funds invest in senior, unitranche and junior debt financing to companies across the size spectrum, both on a primary (direct origination) basis, as well as in the secondary markets. H.I.G. is also a leading CLO manager, through its WhiteHorse family of vehicles, and manages a publicly traded BDC, WhiteHorse Finance.
- H.I.G.’s real estate funds invest in value-added properties, which can benefit from improved asset management practices.
- H.I.G. Infrastructure focuses on making value-add and core plus investments in the infrastructure sector.
Since its founding in 1993, H.I.G. has invested in and managed more than 300 companies worldwide. The firm’s current portfolio includes more than 100 companies with combined sales in excess of $30 billion. For more information, please refer to the H.I.G. website at www.higcapital.com.
* Based on total capital commitments managed by H.I.G. Capital and affiliates.