Transactions and Deals: June 7, 2017
posted on 6/7/2017 6:26:00 AM
Overcash Demmitt Architects Explain Storage Trends
Charlotte-based Overcash Demmitt Architects (ODA) say self storage design has made an evolution to be more architecturally significant with amenities and mixed uses. The firm uses the phrase “Lifestyle Storage” to differentiate modern self storage design from previous utilitarian storage units.
Lifestyle Storage facilities are architecturally significant with accentuated entrances, color, LED lighting, a mixture of materials and windows.
“Today, Lifestyle Storage locations are often on prominent vehicular arteries or corner lots in prime locations and in close proximity to dense residential developments,” said Principal Stephen Overcash.
ODA says modern self storage units are being used by millennials as an extension to their urban apartments for storing bikes, athletic equipment and musical equipment. Baby boomers who have inherited antiques and other possessions are also driving the trend.
Nebraska Approves Self Storage Law
The state of Nebraska has established its first Self-Service Storage Facility Act. Gov. Pete Ricketts signed Legislative Bill 492 in May. The act enables storage operators to email tenant default notifications and conduct lien auctions online. Operators can also deny tenants access to their units if any part of rent is past due and can begin lien proceedings when a tenant is in default for more than 45 days.
The law also allows storage operators to place limits on the value of belongings that may be stored and include the value limit in a signed rental agreement.
Alaska is now the only state without a formal self storage act.
Clark Takes Leadership Role at SkyView Advisors
Tampa-based SkyView Advisors has named Ryan Clark Director of Investment Sales. He was previously a senior vice president in the investment sales group.
“Ryan has been a lifelong friend of mine, and I have thoroughly enjoyed getting to work with him and see his success,” said SkyView President Jay Crotty. “He has been an instrumental member of our team and has played a key role in SkyView’s growth and success in the industry.”
Prior to joining SkyView, Clark was an attorney representing insurance companies, real estate developers, commercial landlords and construction companies in litigation and transactional matters. Clark is based in Ohio.
MiniCo Makes App of Publications
MiniCo Publishing has introduced a new digital app for its flagship publication, “Mini-Storage Messenger.” The “Mini-Storage Messenger” app is free to download and offers efficient navigation and article selection via easy-to-use tiles.
Digital app users have full access to select content in each issue of Mini-Storage Messenger as well as the current issue of the quarterly Self-Storage Now publication, the Messenger online store, education center, news blog, self storage industry event calendar and a list of self storage state associations.
The app is available on the Android, Apple/iOS and Kindle mobile platforms.
Contractor DeAngelis Diamond Building Four Florida Self Storage Facilities
General contractor DeAngelis Diamond has been awarded contracts to build four self storage facilities throughout Florida with Johnson Development Associates. The projects will be built in Collier, Hillsborough and Pasco counties, and will range from 80,000 to 100,000 square feet.
Construction has begun on a 98,971-square-foot, three-story metal-framed facility in Lutz, FL, that will be managed by CubeSmart. The 732-unit facility is scheduled for completion by the end of the year.
Another facility on Kramer Road, west of Naples, will be 575 units managed by ExtraSpace. It will be completed in early 2018. Rattlesnake Self Storage in Collier County is in pre-construction on a site in East Naples. That facility will consist of 776 units and be managed by ExtraSpace.
Already open is Hackney Drive Self Storage in Hillsborough County. The 670-unit facility opened in April and is managed by ExtraSpace.
DeAngelis Diamond has offices in Naples, Sarasota, Birmingham, AL and Nashville, TN.
StorageMart Names First HR Director
StorageMart has appointed Lise Nyrop to Director of Human Resources. Nyrop will build a comprehensive HR program and department that will span StorageMart locations across the US, Canada and UK.
“Internally we’ve known that StorageMart is a great place to work for years, and we look forward to the coming months as Lise helps us translate our great environment into meaningful employee development programs that we can communicate with those looking to join our team,” said Cris Burnam, president of StorageMart.
StorageMart is the largest privately-owned, family operated storage company in the world.
Jernigan Capital Makes Tampa Investment
Jernigan Capital, Inc. will invest $9.2 million in a new self storage facility in the fast-growing Tampa market. The proposed development is a 70,888-net-rentable-square-foot facility on Falkenburg Road. The ground-up project will be located near national retailers and restaurants at the Westfield Brandon Shopping Center.
Construction will begin in the third quarter of 2017 and complete by mid-year 2018. Phillips Development & Realty in Tampa is the developer, making this the third project Jernigan and Phillips have co-invested in.
Since January, Jernigan Capital has closed 14 investments in new self storage projects totaling $164.8 million. Each of these facilities will be managed by CubeSmart.
Compass Self Storage Grows in Texas
Compass Self Storage has acquired its sixth location in the Greater Dallas/Fort Worth market. Compass, a member of the Amsdell family of companies, has purchased a 124,000-net-rentable-square-foot center at 9696 Virginia Parkway in McKinney. It features covered RV and boat storage, climate controlled units. Compass plans to upgrade the security and surveillance systems and add individual digital customer access control as well as a remodel of the rental office.
The McKinney purchase is Amsdell’s ninth acquisition of 2017 and takes the company’s total number of self storage centers to 78 locations. Amsdell Companies is headquartered in Cleveland.
Equity Fund Predicts Storage Trend in China
A report from private equity real estate fund InfraRed NF Investment Advisors shows that self storage is set to become a “big trend” in major Chinese cities.
InfraRed, based in Hong Kong, announced a $28 million investment in China Mini Storage in May. CMS will use the funds to expand their storage locations, upgrade IT systems and increase marketing. First tier cities such as Beijing and Shanghai have storage usage rates equivalent to only 7 percent of the level of Hong Kong, according to Hans Kang, chief investment officer of InfraRed.
“As Beijing and Shanghai become much denser, apartments are getting more expensive. We see a big opportunity for us,” Kang said in an article in the South China Morning Post.
Kang said the e-commerce market has created huge demand for mini storage, especially among young online shop owners who need flexible solutions to manage inventory.
Tags: Overcash Demmitt Architects
, Lifestyle Storage
, Legislative Bill 492
, SkyView Advisors
, MiniCo Publishing
, DeAngelis Diamond
, Jernigan Capital
, Compass Self Storage
, Storage Trends
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