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Nuveen Real Estate Buys Majority Stake in 21 Morningstar Self-Storage Facilities
Nuveen is a global investment manager, with $125 billion of assets under its control

January 30, 2019:  Nuveen Real Estate has acquired 90 percent interest in 21 self-storage properties owned by Morningstar Properties LLC. Investment-management firm Nuveen’s parent company is financial-services firm TIAA, which has been active in the self-storage sector. Morning star operates facilities under the brand name of Morningstar Mini-Storage. Morning star will act as an operating partner by holding 10 percent stake in the joint venture. The portfolio comprises about 14 million square feet in nine markets, including Atlanta; Charlotte, N.C.; Houston; and Tallahassee, Florida., as per the press release. 

Nuveen is a global investment manager, with $125 billion of assets under its control. The company chose the portfolio because southern cities having favorable demographic trends and projected population growth. The facility has 85 percent occupancy and its 65% of the portfolio are climate-controlled units. 

Financial-services firm TIAA is the parent company of Nuveen. It has been active in the self-storage sector. In November 2017, it acquired a 90 percent stake in 36 facilities owned by real estate investment trust Extra Space Storage Inc.

These properties provide Nuveen Real Estate immediate scale and exposure to one of the fastest growing alternative sectors of real estate, in some of the most sought-after submarkets in the U.S.,” Said by William Harrison, managing director of housing, Americas, for Nuveen.

Morningstar founded in North Carolina in 1981. The company is a vertically integrated developer, operator and owner of real estate with a focus on self-storage and marinas in the Southeast. Morningstar owns and operates 63 self-storage facilities in 11 states.