Press Release Details

Iron Mountain Announces Industrial Sale-Leaseback Transaction with Blackstone Real Estate Income Trust

Dec 03, 2020

BREIT to acquire 13 industrial facilities for $358 million

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 $358 million. The transaction, totaling 2.1 million square feet, is a sale-leaseback transaction with the properties located predominantly in California, northern New Jersey and the Lehigh Valley. Iron Mountain will remain in these facilities under an initial ten-year lease term, with options to renew up to an additional 20 years.

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 $260 million of investable capital on a leverage-neutral basis, that we intend to redeploy into faster growing areas, including our data center business.”

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 $174 billion in investor capital under management. Further information is available at www.breit.com.

Media Contact

Iron Mountain Global Communications
media@ironmountain.com

Ilana Mouritzen
Ilana.Mouritzen@Blackstone.com
+1 212-583-5776

Investor Relations Contacts

Greer Aviv
Senior Vice President, Investor Relations
Greer.Aviv@ironmountain.com
(617) 535-2887

Nathan McCurren
Director, Investor Relations
Nathan.McCurren@ironmountain.com
(617) 535-2997

Source: Iron Mountain Incorporated

Categories: Press Releases