Self-storage properties operator Public Storage said on Monday it has entered a deal to buy Simply Self Storage from Blackstone Real Estate Income Trust for $2.2 billion.

Demand for storage space has waned from the heights of the pandemic, as people return to offices, and some analysts expect more consolidation in the sector.

The acquisition reflects Public Storage's continued execution of its opportunistic growth strategy, the company said, adding it will deepen its presence in fast-growing markets.

The deal is expected to close in the third quarter of 2023.

(Reporting by Aishwarya Nair in Bengaluru; Editing by Krishna Chandra Eluri)