Strategic Storage Launches $75 Million Series E Preferred Stock Offering
Proceeds from the offering will fund debt reduction and fuel expansion into income-generating storage assets.
October 07, 2025
Strategic Storage Trust VI Unveils New Series E Preferred Stock Program
Strategic Storage Trust VI is opening a new path to capital with the launch of its Series E Redeemable 8% Preferred Stock offering. The private raise targets $75 million in proceeds, with flexibility to scale up to $100 million if the board sees fit. The offering went live on September 30, 2025, and will stay open through September 30, 2026, unless extended.
This is a move designed to support two clear goals: reducing debt and expanding Strategic Storage’s footprint in income-generating self-storage properties. The company is offering shares at $10.00 each, with a fixed 8% annual dividend paid monthly. Dividend accrual runs on a standard 360-day, 30-day-month basis, regardless of earnings or board authorization.
In terms of capital structure, the Series E shares sit above all common stock classes when it comes to dividend payments and liquidation priority. They stand on equal footing with other preferred equity securities, unless explicitly subordinated.
Redemption terms are structured around timing and scale:
- Investors can start requesting redemptions one year after purchase, subject to a sliding fee scale that phases out over time.
- Redemptions are limited to 5% of the average outstanding Series E shares from the previous calendar year.
- If a shareholder passes away or becomes disabled, full redemption is available for shares held in a personal capacity, after the one-year mark and with timely notice.
- For trusts and other entities, redemption in similar cases is subject to board approval.
The company also holds optional redemption rights. Starting on the third anniversary of the offering—or sooner, if its common stock becomes publicly listed—Strategic Storage can choose to redeem all or a portion of the Series E shares at full liquidation value, plus any accrued but unpaid dividends. That same option is available if there’s a change of control event.
The preferred shares carry no voting rights, but the company has structured corresponding economic units within its operating partnership to align with the Series E terms. This ensures continuity between investor-level equity and the broader operating structure.
Managing Dealer and Offering Mechanics
On the distribution side, Strategic Storage has tapped Orchard Securities as the managing dealer for the raise. Orchard is set to receive up to 9.5% in combined commissions and fees based on gross offering proceeds. An additional sponsor-paid fee—capped at $550,000 —will be paid annually and is tied to either the size of the raise or a qualifying corporate transaction.
This offering is being conducted under Rule 506(c) of Regulation D , which limits participation to accredited investors. It is not registered under the Securities Act of 1933, and shares cannot be sold in the U.S. without a valid exemption or registration.
Strategic Storage announced the launch with a press release on October 6, reinforcing its focus on private capital formation. For investors seeking consistent yield, and for the company itself, this preferred offering is structured to deliver steady income and long-term flexibility.
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