Jernigan Capital Inc., a merchant bank and advisory firm serving the self-storage industry, has committed $10.8 million toward a proposed 83,450-square-foot self-storage facility in Baltimore. The multi-story, climate-controlled facility will comprise 993 units. It’ll be converted from a former textile office and warehouse, according to a press release. Construction is expected to start during the third quarter, with completion expected by June 2018. Annapolis, Md.-based 1835 Washington Self-Storage will serve as developer.
The target building site is on Washington Boulevard, an arterial road in and out of downtown. The property is less than a half-mile from Carroll Golf Course, Carroll Park and the Maryland Transit Authority. It’s directly across from Montgomery Park, which houses several state-service buildings. It will serve several neighborhoods including Arbutus, Catonsville, Federal Hill and Halethorpe. Federal Hill is a popular destination among young professionals for dining, entertainment and retail, the release stated.
This will be the first co-investment between Jernigan and this developer.
Jernigan Capital has closed 16 self-storage investments since Jan. 1 with a total commitment of $186.3 million. All of the facilities will be managed by CubeSmart, a real estate investment trust and third-party management firm.
Jernigan Capital is a commercial real estate finance company that provides financing to private developers, operators and owners of self-storage facilities. It offers financing for acquisition, ground-up construction, major redevelopment or refinancing. The firm intends to be taxed as a real estate investment trust and is externally managed by JCap Advisors LLC.