Asset Acquisitions and Business Combinations

3 Months Ended

Mar. 31, 2026

Business Combination, Asset Acquisition, Transaction between Entities under Common Control, and Joint Venture Formation [Abstract]

Asset Acquisitions and Business Combinations

Asset Acquisitions and Business Combinations

Acquisition Completed During 2026

Massillon Acquisition

On March 18, 2026, the Company completed the acquisition of Massillon (the “Massillon acquisition”), a previously leased warehouse facility located in Massillon, Ohio, for total consideration of $18.7 million. The Company purchased the property for investment purposes, intending to hold it for rental income and capital appreciation. This transaction was accounted for as an asset acquisition. The Company allocated the total $18.7 million consideration based on the relative fair values of the assets acquired using the principles of ASC 805 and ASC 820, to property, building, and equipment. The finalized fair values of the assets acquired and the related acquisition accounting are based on management’s estimates and assumptions, as well as other information compiled by management including information from prior valuations of similar entities and the books and records of Massillon.

Acquisition Completed During 2025

Houston Warehouse Acquisition

On March 17, 2025, the Company completed the acquisition of one temperature-controlled storage facility, and the related operations, located in Baytown, TX (the “Houston acquisition”), for total cash consideration of $108.4 million. The fair values of the assets acquired related to the consideration transferred primarily included $70.7 million of property, buildings and equipment and $38.5 million of goodwill, all allocated to the Warehouse segment. The goodwill recorded is attributable to the strategic benefits of the acquisition including additional storage capacity and is fully deductible for federal income tax purposes. The Company finalized the purchase price allocation for the Houston acquisition during the three months ended March 31, 2026, within the one year measurement period.

The finalized fair values of the assets acquired and liabilities assumed and the related acquisition accounting are based on management’s estimates and assumptions, third-party valuation specialist, as well as other information compiled by management and the books and records for the Houston acquisition.