Strategic Storage Trust II Acquires Self-Storage Facility in Boynton Beach, FL, for $17.9M

Strategic Storage Trust II Inc. (SST II), a self-storage real estate investment trust (REIT) sponsored by SmartStop Asset Management LLC, has purchased US 1 A/C Self Storage and Victoria’s Closet Wine Storage in Boynton Beach, Fla., for $17.9 million. The property at 3101 S. Federal Highway comprises 74,800 rentable square feet of storage space in 940 climate-controlled units.

Built in 2004, the three-story facility sits on nearly 2 acres. Property amenities include individual alarms and motion detectors on each unit, records storage, uncovered vehicle parking, wine storage, and the sale of moving and packing supplies.

The facility last sold for $400,000 in 2002 to 3602 NFHB LLC, according to one source. The company’s principals are Charles Highley and Thomas McCormack.

"This is an institutional-quality building at a great location in a densely populated trade area. We look forward to working with this asset,” said Wayne Johnson, chief information officer for SST II.

Part of Palm Beach County, Boynton Beach is a principal city of the Miami-Fort Lauderdale-West Palm Beach, Fla., Metropolitan Statistical Area, according to a company press release. SST II also purchased Rainbow Mini Storage in Tampa in November.

 “We will continue to build income-producing portfolios in top markets like Florida," said H. Michael Schwartz, SST II Chairman and CEO. "We believe in long-term demographic growth as seen in Boynton Beach, which is key to acquiring self-storage properties."

The transaction was brokered by the National Self Storage Group (NSSG) of commercial-property investment firm Marcus & Millichap, which has offices throughout Canada and the United States. The representatives were NSSG Senior Director Michael A. Mele, who’s also a senior vice president of investments in the firm’s Tampa, Fla., office, and Luke Elliott, a senior associate from the same location.

The SST II portfolio includes 19,500 self-storage units and approximately 2 million rentable square feet of storage space.

SmartStop Asset Management is a diversified real estate company with a managed portfolio that includes 3.8 million rentable square feet of storage space in Canada and the United States. The company is also the sponsor of Strategic Storage Growth Trust Inc., a public non-traded self-storage REIT.

Sources: