Bancap Self Storage Group Inc. brokered the $1.65 million sale of All Storage self-storage in Lancaster, Calif. Company president Dean Keller represented both parties in the transaction.
The seller was the original construction-financing lender who obtained the property through foreclosure. The buyer was American Self Storage Center, a family-owned, independent operator of self-storage properties.
Built in 2005, the single-story facility contains approximately 30,000 square feet in 330 units. The capitalization rate was approximately 8.8 percent on the 2008 net operating income. Occupancy was approximately 65 percent, though the property had been experiencing decreasing income. The seller provided financing of 75 percent of the purchase price to give the buyer time to improve occupancy and income over the next few years.