New Issue: Extra Space sells $500 million 5.7% five-year notes at 200 bps spread

By Wendy Van Sickle

Columbus, Ohio, March 21 – Extra Space Storage LP sold $500 million of 5.7% five-year senior notes (Baa2/BBB) at 99.823 to yield 5.741% on Tuesday, according to an FWP filing with the Securities and Exchange Commission.

The notes priced with a Treasuries plus 200 basis points spread.

The notes feature a make-whole call with a Treasuries plus 30 bps premium until March 1, 2028 and then a par call.

J.P. Morgan Securities LLC, PNC Capital Markets LLC, Truist Securities, Inc., BMO Capital Markets Corp., TD Securities (USA) LLC, Wells Fargo Securities, LLC and U.S. Bancorp Investments, Inc. are the bookrunners.

The notes are guaranteed by Extra Space Storage, Inc., ESS Holdings Business Trust I and ESS Holdings Business Trust II.

Proceeds will be used to fund potential acquisition opportunities, to repay outstanding amounts under the company’s lines of credit and for other general corporate and working capital purposes.

The retirement savings, investment and insurance products company is based in Des Moines.

Issuer:	Extra Space Storage LP
Guarantors:	Extra Space Storage, Inc., ESS Holdings Business Trust I and ESS Holdings Business Trust II
Amount:	$500 million
Issue:	Senior notes
Maturity:	April 1, 2028
Bookrunners:	J.P. Morgan Securities LLC, PNC Capital Markets LLC, Truist Securities, Inc., BMO Capital Markets Corp., TD Securities (USA) LLC, Wells Fargo Securities, LLC and U.S. Bancorp Investments, Inc.
Co-managers:	Huntington Securities, Inc., Regions Securities LLC, BOK Financial Securities, Inc., Citigroup Global Markets Inc., Fifth Third Securities, Inc., Zions Direct, Inc. and Samuel A. Ramirez & Co., Inc.
Trustee:	Computershare Trust Co., NA
Counsel to issuer:	Latham & Watkins LLP, Verrill Dana LLP and Venable LLP
Counsel to underwriters:	Fried, Frank, Harris, Shriver & Jacobson LLP with Ballard Spahr LLP for Maryland law
Coupon:	5.7%
Price:	99.823
Yield:	5.741%
Spread:	Treasuries plus 200 bps
Call features:	Make-whole call at Treasuries plus 30 bps until March 1, 2028; thereafter at par
Trade date:	March 21
Settlement date:	March 28
Ratings:	Moody’s: Baa2
	S&P: BBB
Distribution:	SEC registered
Cusip:	30225VAJ6

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