Strategic Storage Trust VI Enters Material Agreement

TL;DR

SSTVI just signed a big deal, expect new financial obligations.

AI Summary

Strategic Storage Trust VI, Inc. entered into a material definitive agreement on November 15, 2024. This agreement involves a direct financial obligation or an obligation under an off-balance sheet arrangement for the registrant. The filing also includes financial statements and exhibits related to this event.

Why It Matters

This filing indicates a significant new financial commitment or arrangement for Strategic Storage Trust VI, Inc., which could impact its future financial obligations and operations.

Risk Assessment

Risk Level: medium — Entering into new material definitive agreements can introduce new financial risks and obligations that require careful evaluation.

Key Players & Entities

• Strategic Storage Trust VI, Inc. (company) — Registrant
• November 15, 2024 (date) — Date of earliest event reported

FAQ

Key Financial Figures

• $107.6 million — diaries, has a balance of approximately $107.6 million (the "Huntington Credit Facility"). O
• $107.6 m — with a notional amount of approximately $107.6 million, whereby SOFR is swapped at 2.89%

Filing Documents

• sstvi-20241115.htm (8-K) — 40KB
• sstvi-ex10_1.htm (EX-10.1) — 94KB
• 0000950170-24-128164.txt ( ) — 254KB
• sstvi-20241115.xsd (EX-101.SCH) — 26KB
• sstvi-20241115_htm.xml (XML) — 4KB

01. Entry into a Material Definitive Agreement

Item 1.01. Entry into a Material Definitive Agreement. The information included in Item 2.03 of this Current Report on Form 8-K is incorporated in this Item 1.01 by reference. Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. As previously disclosed, Strategic Storage Trust VI, Inc. (the "Company"), through certain special purpose entities wholly owned by its operating partnership, is party to a credit agreement (the "Credit Agreement") with Huntington National Bank ("Huntington"), as administrative agent and sole lead arranger. Under the terms of the Credit Agreement, as amended, the Company, through its subsidiaries, has a balance of approximately $107.6 million (the "Huntington Credit Facility"). On November 15, 2024, the Company and Huntington amended the Huntington Credit Facility to: (i) extend the maturity date by two-years until November 30, 2027, (ii) add one additional special purpose entity as a borrower under the loan (the "Additional Borrower"), and (iii) modify certain other covenants (the "Huntington Amendment"). In connection with the Huntington Amendment: (i) the Company increased its recourse guaranty in favor of Huntington under the Huntington Credit Facility from 25% to 50% and (ii) the property owned by the Additional Borrower was added to the Huntington Credit Facility. On November 15, 2024, in conjunction with the amendment to the Huntington Credit Facility, we terminated the SOFR Swap - Huntington Credit Facility V, SOFR Swap - Huntington Credit Facility VI and SOFR Cap - Huntington Credit Facility and entered into a new interest rate swap agreement with a notional amount of approximately $107.6 million, whereby SOFR is swapped at 2.89% through November 30, 2027 which fixes the all-in rate at 5.50%. The information in this Item 2.03 with respect to the Huntington Amendment is qualified in its entirety by the Huntington Amendment, which is attached as Exh

01. Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits. (d) Exhibits . 10.1 Joinder Agreement and Fifth Amendment to Loan Documents, dated November 15, 2024 104 Cover Page Interactive Data File (embedded within the Inline XBRL document). SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. STRATEGIC STORAGE TRUST VI, INC. Date: November 18, 2024 By: /s/ Matt F. Lopez Matt F. Lopez Chief Financial Officer and Treasurer

View Full Filing

View this 8-K filing on SEC EDGAR