* To acquire Prudential Real Estate Investors' 94.9 pct stake
* To pay $160 mln in cash
* To complete the acquisition in July 2012
April 16 Extra Space Storage Inc said it has agreed to buy out its partner Prudential Real Estate Investors (PREI) from their joint venture ESS PRISA III LLC for $160 million in cash.
Prudential Real Estate Investors(PREI) owns about 94.9 percent of the joint venture, while Extra Space Storage owns the remaining.
ESS PRISA III LLC, a joint venture between the two companies, owns 36 self-storage properties in 18 states, operated under the Extra Space Storage brand.
The joint venture also has an outstanding loan of $145.0 million, due for repayment in August 2012. Including the loan, the cost of the acquisition is about $298.0 million, Extra Space Storage said in a statement.
Separately, Salt Lake City, Utah-based Extra Space Storage said it was offering 7 million shares of its common stock to fund the acquisition.
Shares of Extra Space Storage closed at $28.89 on Monday on the New York Stock Exchange. They have gained about a third of their value in the last seven months.