World Class Capital Group LLC, an Austin, Texas-based private investment and asset management firm, acquired a 12-property self-storage portfolio from Sovran Self Storage, a publicly traded real estate investment trust that operates under the Uncle Bob’s Self Storage brand. The portfolio includes more than 8,000 units accounting for almost 1,000,000 square feet.
The acquisition includes three properties in Dallas, seven in Houston and two in League City, a suburban of Houston. It represent one of the largest self-storage portfolios sold in the United States in 2012.
“We are excited to add this portfolio of well-located properties to our growing self-storage division,” said Nate Paul, president and CEO of World Class Capital Group. “This acquisition fits our investment strategy of acquiring value-add self-storage assets to operate under our Great Value Storage brand, which continues to grow its national presence.”
World Class has planned a multi-million-dollar capital-improvement project for the self-storage facilities. The investment firm will also rebrand the properties under its Great Value Storage flagship brand, a wholly-owned and operated subsidiary of World Class Capital Group.
“World Class was able to leverage its deep industry knowledge and proprietary operational platform to expeditiously close this transaction two weeks earlier than our contractual closing date,” said Jake Walker, vice president of acquisitions at World Class Capital Group. “Self-storage is an asset class we know extremely well, and we continue to seek out additional opportunities to grow the Great Value Storage brand through both single-asset and portfolio acquisitions.”
Holliday Fenoglio Fowler LP (HFF) arranged the 10-year, fixed-rate loan through Morgan Stanley Mortgage Capital Inc. The securitized loan was used to acquire the properties and will be serviced by HFF.
The HFF team representing the borrower was led by director Christopher Vittetoe. Operating out of 21 offices nationwide, HFF provides commercial real estate and capital market services.
World Class Capital Group LLC pursues opportunities in all U.S. markets and has a distinct focus on alternative investments, primarily real estate and private equity. The firm’s portfolio includes investments in office, retail, industrial, multifamily, self-storage and land. Great Value Storage currently operates 23 self-storage facilities containing more than 12,500 units and 1.5 million square feet.