Transactions and Deals: April 19, 2019
posted on 4/19/2019 7:27:00 AM
Developer opens new Savannah self storage
Charlotte-based developer Proffitt Dixon Partners recently completed a new 651-unit self storage facility in the Savannah, Georgia market. The facility is located at 2201 East Victory Drive and is managed by CubeSmart. Select units have been fitted with the nokē Smart Entry System, a wireless, cloud-based digital key management solution that allows tenants entry using a smart phone.
JLL oversaw the construction of the project on behalf of Proffitt Dixon.
Marcus & Millichap sells WA canal-front facility
All Star Self Storage, Boat & RV, a 76,670-square foot self storage facility located in Belfair, Washington, has sold to a regional investment group for $9.75 million.
Christopher R. Secreto, senior vice president investments for Marcus & Millichap’s Seattle office and a senior director of the national self storage group, had the exclusive listing to market the property on behalf of the seller, a local partnership.
All Star Self Storage, Boat & RV is located at 19720 E Highway 106 along the Hood Canal. The facility is on 11.98 acres and features 586 units plus a 25,000 square foot “boat barn” for indoor boat and vehicle storage and 120 uncovered vehicle parking spaces. The facility was built in several phases beginning in 1987, and between 1988 and 2003.
CA bowling alley to be converted
A group of local business partners plan to convert a former bowling alley on South Stewart Street in downtown Sonora, California, to self storage, according to The Union-Democrat.
The Sonora Family Bowl closed in 2010 and has been vacant since. Plans call for 100 storage units. Sonora-based PWM Properties, LLC, purchased the bowling alley in December for $375,000 and requested a change in zoning laws that would allow self storage facilities in certain nonresidential districts.
Life Storage names leaders
Life Storage has appointed Leela Mookerjee as vice president, corporate counsel. Mookerjee has over 20 years of legal counsel experience on matters including federal and international taxation, mergers & acquisitions, joint ventures, real estate transactions, REITs, corporate governance, and other matters.
Christopher Vandrei was promoted to director of network services.
Extra Space named among best employers
Extra Space Storage, Inc. has been named one of “America’s Best Midsize Employers” by Forbes. Extra Space Storage is the only self storage company featured.
“Our people are the lifeblood of Extra Space and we really pride ourselves as a company on taking care of our people and making Extra Space a top choice for talent,” said Joe Margolis, CEO of Extra Space Storage.
Extra Space Storage, a member of the S&P 500, was featured as a midsized employers. Extra Space was also recently named a Glassdoor Best Places to Work.
Extra Space Storage Inc. is headquartered in Salt Lake City, Utah, and is the second-largest self storage real estate investment trust in the nation.
U-Haul to convert PA post office
U-Haul plans to convert a post office facility in Reading, Pennsylvania, to self storage, according to WFMZ.
The company has acquired the old postal carrier annex at 1910 North Fifth Street and plans to repurpose the two buildings into 375 storage units at U-Haul Storage at George Field. Renovation work is expected to be complete this summer.
BSC Group completes $71 million loan
The BSC Group recently closed a $71 million CMBS loan for a Midwest-based sponsor. Loan proceeds were used to acquire a 21 property self storage portfolio across four states. The low leverage loan was less than 65% of acquisition cost and aggressively underwritten with a 10 year fixed rate term that included 5 years of interest only payments, followed by a 30 year amortization. The all-in rate was locked under 4.15 percent.
Roanoke, VA, set for storage addition
Virginia Varsity Storage Inc. has purchased for $2.75 million a 93,000-square-foot self storage and office facility at 1948 Franklin Road SW in Roanoke, according to Virginia Business.
John Lugar, owner of Virginia Varsity Self Storage and Virginia Varsity Transfer, plans a three-story, 90,000-square-foot self storage facility on top of the parking lot at the Franklin Road SW site.
Construction will begin later this year and finish in 2020.
There are no immediate plans for changing the existing facility on the site other than modest improvements.
Virginia Varsity Transfer and Virginia Varsity Self Storage have a combined six existing locations.
Cushman & Wakefield | Thalhimer’s Boyd Johnson represented Lugar in the deal.
St. Louis suburb set for 3 new storage projects
The St. Louis suburb of Belleville, Illinois, is slated to get three new self storage projects.
Belleville, Illinois, businessman Kevin Bouse plans to open a 190-unit self storage facility at the former home of Livrite Fitness in Belleville. The gym burned down years ago and Bouse plans to invest $1.5 million to improve the lot, according to the Belleville News-Democrat.
Meanwhile in Belleville, the former Sears Hardware and Kroger in east Belleville will be converted to storage by Ashland Storage Center East at 653 Carlyle Avenue.
A former Walmart building on Carlyle Plaza Drive in Belleville will be converted to 650 to 700 storage units by Miami-based Larkspur Properties. The project is expected to be completed by the end of the year.
Talonvest recognized for support of children’s charity
Talonvest Capital, Inc. has received the 2019 Top Corporate Fund-Raising Award for the fifth consecutive year from the Orange County Ronald McDonald House at the “Walk for Kids.” Over 3,000 people walked at the annual 5k, which raised $302,977. Talonvest’s ongoing support enables the Orange County Ronald McDonald House and Ronald McDonald Family Rooms to provide a “home away from home” for families of children receiving treatment in Orange County hospitals.
Talonvest’s financial involvement with the Orange County Ronald McDonald House Walk for Kids is supported by its clients, capital providers, associates, friends, and families that donate.
Receiving the 2019 Top Corporate Fund-Raising Award was made possible through the contributions of a multitude of firms such as, 1784 Holdings, Clark Investment Group, SoCal Self Storage, Bixby Land Company, William Warren Group, Urban Self Storage, and Metro Self Storage to name a few.
Yardi report shows robust development
A recent national self storage report from Yardi Matrix shows that development activity remains elevated in fast-growing secondary markets and that undersupplied metro areas in the Northeast are still seeing strong demand.
Yardi found that Portland, Seattle and Nashville continue to see robust construction.
The share of projects under construction or in the planning stages in April accounts for 9.9 percent of the national inventory, 20 basis points higher than the previous month.
The report also notes that street rates for 10x10 units that are not climate controlled declined 0.9 percent nationwide year-over-year in March but remained flat compared to the previous month. Rates for similar-size climate controlled units decreased 1.5 percent year-over-year but bested February’s performance by 70 basis points.
GreenSpace plans Houston-area storage
GreenSpace Self-Storage, LLC plans to develop a three-story, 75,000 square foot self storage facility on two acres located at 1690 North Loop West near the Houston, Texas, Farmer’s Market.
GreenSpace upcycles surplus shipping containers, providing an eco-friendly cost-effective building technique that requires a shorter construction timeline than traditional storage facilities.
JLL’s Chris Bergmann Jr. represented GreenSpace in negotiating the acquisition of the six-acre site. Plans for the additional acreage have not been finalized.
, All Star Self Storage
, Sonora Family Bowl
, Extra Space
, post office
, The BSC Group
, Virginia Varsity Storage
, Talonvest Capital
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