Wichita Facility Changes Hands

Steelcreek Self Storage in Wichita, Kansas, has sold to National Storage Affiliates.

Steelcreek Self Storage has 409 drive-up, warehouse and parking units in 93,300 NRSF on 7.5 acres. 

Bill Bellomy and Michael Johnson of Bellomy & Co. represented the Dallas-based seller and procured the buyer. Headquartered in Greenwood Village, Colorado, NSA is a publicly traded REIT that operates more than 665 self storage properties nationwide.

Bellomy & Co. is an Austin and Houston commercial real estate firm with a team exclusively focused on the self-storage industry. 

Prime Group Adds Storage in Queens

Prime Group Holdings has acquired two adjacent buildings in Jamaica, Queens NY, that once served as a location for Treasure Island Storage.

The Saratoga Springs-based firm bought 109-09 180th Street and 180-05 110th Avenue for $26.5 million, according to The Real Deal, New York.

The seller was Cayre Equities.

Blackhawk Opens South of Houston

Blackhawk Self Storage has opened in the Pearland area south of Houston, Texas.

The 107,000-square-foot facility was developed by Grow Your Storage Development, owned by Lee Fredrick and Brandon Grebe. They partnered with All Pro Capital on the project at 10646 Blackhawk Boulevard at Riverstone Ranch.

GYS General Contracting, an affiliate company, handled construction. 

Grow Your Storage Development has another self storage development underway west of Houston in Fulshear. The developers have purchased 2.5 acres near Cinco Ranch Boulevard for a facility at Cross Creek Ranch.

STR Delivers Industry Update

Self storage development is showing signs of slowing, according to the latest data from STR. The realized rate growth remains healthy while occupancy has declined.

Nationally there has been a gradual decline in development activity over the past few months. According to US Census data, self storage construction spending decreased 8.7 percent month over month.

Across the top 25 markets, 72 projects have opened from mid-August to mid-September, while fewer projects are entering the pipeline.

STR now has data to track the market performance relative to supply trends to determine whether new supply is impacting performance. STR is seeing occupancy declines in the wake of heavy increases in NRSF over the past 12 months.

NKF Assists with Portfolio Purchase

NKF Capital Markets has completed the debt and equity origination for the acquisition of a 22-property self storage portfolio for Etude Capital Storage Holdings, LLC. The portfolio spans Florida, Oklahoma and Texas.

“The self storage product type continues to broaden its esteem within the real estate investment community,” said Aaron Swerdlin, vice chairman of NKF.

The portfolio included 1.1 million square feet of storage space.

SiteLink Integrates with INSOMNIAC

SiteLink software has integrated with OpenTech Alliance INSOMNIAC Centralized Intelligent Access gate access solution. This industry partnership delivers smooth, reliable 24/7 gate control to owners and operators via secure, flexible cloud-based infrastructure. The combination eliminates dependence on local, PC-based gate software.

Based in Raleigh, NC, SiteLink serves the self storage industry with cloud-based and Windows self storage management software and payment processing. OpenTech Alliance Inc. also delivers technology solutions to the industry. Its products and services include the INSOMNIAC line of self-serve kiosks.

Marcus & Millichap Sells Florida Life Storage

Marcus & Millichap’s Columbus, Ohio, office closed the sale of Life Storage, a 64,629-square-foot self storage facility in Margate, Florida. The property sold for $12.65 million.

Brett Hatcher and Gabriel Coe, investment specialists, had the exclusive listing to market the property on behalf of the seller, a limited liability company. Hatcher and Coe also secured the buyer.

SkyView Assists with NH Sale

SkyView Advisors assisted with the sale of Life Storage in Londonderry, New Hampshire. The facility is located at 6 Smith Lane on 5.69 acres. It has 50,466 NRSF with 246 climate-controlled units and 173 non-climate-controlled units.

Ryan Clark, director of investment sales, and Parker Sweet, senior associate, represented the seller.

Economic Summit Takeaways

Talonvest Capital, Inc. hosted the sold-out 2018 Economic Summit at the SSA Annual Conference in Las Vegas this month. Here are the top takeaways from the event.

Up to 100 percent loan-to-cost, non-recourse, refinance bridge loans can be obtained by experienced developers on newer, urban in-fill developments in early lease-up.

When short-term interest rates increase 300 basis points over what was the ‘norm’ the economy starts to experience negative impacts. A 3 percent Fed Funds Rate may be the trigger level.

Leasing velocity is strong but has been driven with discounted rents.

Private equity firms have expanded their interest to include investing in companies operating in the sector, such as Janus and SpareFoot.

Guardian to Build in Chandler, AZ

Guardian Storage Centers LLC has purchased a 5.43-acre parcel of land in Chandler, Arizona, where it plans to build a 62,380-square foot facility with 576 units. The facility will also contain 75 vehicle spaces.

The property is at 25710 S. Arizona Ave. and was acquired for $1.064 million from LAACO Ltd., the parent company of Storage West, according to a press release.

Guardian is headquartered in Irvine, California, and is a participating regional operator (PRO) of National Storage Affiliates Trust. Quantum Property Advisors represented Guardian in the transaction.