High-quality self-storage properties are among the favored asset classes for life insurance companies. The Ezralow Co. has secured $364 million through four life companies for a 15-property self-storage and industrial portfolio in California. The portfolio includes 12 self-storage assets and three industrial properties

"Many life companies understand and favor this asset class due the strong performance of well-located and well-operated properties in this environment," Peter Welsh, principal at Gantry, tells GlobeSt.com. "The fact that self-storage properties perform consistently in both growth and recessionary markets is also appreciated. It is a unique asset class in that way. People buy more stuff in a growth economy, and often consolidate and relocate in a recessionary economy, both are drivers for self-storage assets."

The financing package included long-term and best-rate financing. Gantry secured the funding on behalf of the borrower. In addition to Welsh, senior director Paige Serden, principal Braden Turnbull and senior associate Josh Natker worked on the deal. Three of the four life companies to fund the deal were Gantry's correspondent lenders. "To successfully achieve the desired loan terms, we surveyed the life company market using our knowledge of which lenders best understood this asset class and which currently offered the most competitive terms," adds Welsh. "We found a strong level of interest among many lenders for self-storage loans at this time as opposed to office and retail properties which, while still financeable, present more challenges in underwriting than well performing self-storage properties."