Self-Storage Real Estate Acquisitions and Sales: January 2019

Update 1/31/19 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of additional activity happening in January 2019.

Move It Self Storage LP, a privately owned company that acquires and manages self-storage facilities, has purchased four self-storage facilities totaling $20 million in Santa Rosa County, Fla., over the past year. Company leadership decided to acquire assets in the county after years of vacationing in the region, said Tim Springer, vice president of property operations for Move It, which owns and operates 50 locations comprising 4 million square feet of storage in several states.

Personal Mini Storage, a self-storage operator with locations in Central Florida, has acquired High Springs Mini Storage in High Springs, Fla. The company now operates seven sites in the city and 44 in the state. The facility at 26055 W. U.S. Highway 27 offers climate-controlled and drive-up units as well as outdoor vehicle storage. “We're very excited to broaden our reach in the Gainesville area with this acquisition,” said Marc Smith, president.

Simply Self Storage, which owns or manages facilities in the United States and Puerto Rico, has acquired Storsafe Storage in Gibsonton, Fla. The property at 12704 S. U.S. Highway 41 offers climate-controlled storage units and covered vehicle-storage spaces. “The conveniently located Gibsonton property is a great addition to our Florida properties,” said Kyle Schmutzler, executive vice president and authorized house counsel. “It surpasses the competition by offering customers convenient highway access and a wide range of units and vehicle parking. We are aggressively exploring acquisition opportunities and the Gibsonton property is an example of this.”

Phoenix-based U-Haul International Inc., which operates more than 1,500 self-storage facilities across North America, has acquired I-80 Self Storage in Lincoln, Neb. Renamed U-Haul Moving & Storage of North Lincoln, the 5.2-acre property at 1930 Fletcher Ave. includes five storage buildings comprising 98,957 square feet in 592 units. The buyer and the seller, a limited-liability company, were represented in the transaction by Gabriel Coe and Brett R. Hatcher, investment specialists for Marcus & Millichap, a commercial-property investment firm with more than 1,500 investment professionals in offices throughout Canada and the United States. They were assisted by fellow broker Dan Goaley. “This location is close to the University of Nebraska–Lincoln and is convenient for our customers living in Lincoln's northern neighborhoods,” said Mike Hale, president of the U-Haul Co. of Nebraska.

1/25/19 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of additional activity happening in January 2019.

New York City-based Andover Properties LLC, which operates the Storage King USA brand throughout several East Coast states as well as Mississippi and Tennessee, has acquired Thrifty Storage in Pensacola, Fla. The facility at 3800 Mobile Highway sits on more than 6.5 acres and comprises 23,650 net rentable square feet. Andover plans to build a new 55,000-square-foot, climate-controlled building.

“We have another property in the area, allowing us to take advantage of management efficiencies and, based on its performance, we believe there is significant room for rate growth at Thrifty,” said Michael Wachsman, director of acquisitions for Andover. “At some future point, we may also build covered-RV spaces.”

Mustang Storage in Round Rock, Texas, was sold to GYS Development LLC, a construction and development firm. The property at 7525 County Road 110 has a satellite location at 6701 County Road 110. Together, the sites comprise 161,590 square feet of traditional self-storage in 723 units and 236,912 square feet in 509 covered vehicle-storage spaces. The buyer and the seller, a limited-liability company (LLC), were represented in the transaction by Gabriel Coe, Brett R. Hatcher and Brian Kelly, investment specialists for Marcus & Millichap (M&M), a commercial-property investment firm with more than 1,500 investment professionals in offices throughout Canada and the United States. They were assisted by fellow broker Tim Speck.

Gelt Inc., a Los Angeles-based real estate investment and asset-management firm, acquired Southmark Storage in Pasadena, Calif. The 1.81-acre property at 919 Mission St. includes six buildings containing 665 units, an office and a two-bedroom manager residence. It’ll be managed by Extra Space Storage Inc., a self-storage real estate investment trust and management firm.

“This is Gelt’s first self-storage facility acquisition,” said Keith Wasserman, a partner with Gelt. “We have and continue to be in the multi-family space, however, we are also an opportunistic and entrepreneurial company and identified the intrinsic value in acquiring this particular property and expanding into another stable asset class. Just as we have been successful at adding value to large-scale apartment assets through improving operations, management, making capital improvements and bringing rents to market, we plan on a similar strategy to maximize returns for our investors with this property.”

Gelt plans to acquire up to 1 million square feet of self-storage over the next two years in primary and secondary markets with high barriers to entry where the company has an existing footprint, Wasserman said. Since its inception in 2008, the company has acquired $1.33 billion in apartment units, RV and mobile-home sites, and self-storage.

Gelt represented itself in the transaction. The seller, Southmark Storage LLC, a California-based private investor, was represented by Greg Nassir and Edward Matevosian, brokers with commercial real estate firm CBRE Group Inc. Headquartered in Los Angeles, the company offers advice and execution for appraisal and valuation, corporate services, development service, investment management, and consulting.

RJB Self Storage LLC, a Center Moriches, N.Y.-based development company, has purchased a 4-acre site in Shirley, N.Y., for $1.45 million on which it plans to build a 57,500-square-foot self-storage facility. The seller was represented in the land transaction by Linda Cinelli, owner of boutique real estate firm LC Realty, which is an affiliate of the Argus Self Storage Sales Network. Argus is a Denver-based network of real estate brokers who specialize in storage properties. The buyers were represented by Century 21 Cor-Ace Realty, an independently owned and operated real estate firm in Moriches.

Spencer Mini Storage in La Porte, Texas, was sold. The 9.05-acre property at 11220 Spencer Highway includes 11 single-story buildings comprising 56,875 square feet in 595 units. The seller, a California-based family trust, was represented in the transaction by Charles “Chico” LeClaire, executive managing director of investments, and Dave Knobler, first vice president of investments, for M&M.

The two-property Safe Harbor Boat & RV Storage portfolio in Cypress and Tomball, Texas, was sold. The 12.34-acre property at 17527 Telge Road in Cypress includes 17 single-story buildings comprising 128,026 net rentable square feet in 477 traditional units and vehicle-storage spaces. The second facility, about five miles away at 19342 Hufsmith-Kohrville, sits on 8.36 acres. It contains 15 single-story buildings comprising 132,901 net rentable square feet in 251 drive-up units and 17 vehicle-storage spaces. The seller, a local LLC, was represented in the transaction by LeClaire and Knobler.

Safe and Sound Storage in Port St. Lucie, Fla., was sold to an LLC. The facility at 3737 S.E. comprises 37,436 square feet in 746 units, which includes vehicle-storage spaces. The buyer and the seller, a private investor, were represented in the transaction by Luke Elliott and Michael A. Mele, investment specialists with M&M.

Westport Properties Inc. (WPI), which operates more than 120 self-storage facilities under the US Storage Centers brand, has acquired Charleston Mini Storage in Las Vegas. The facility at 8470 W. Charleston Blvd. comprises 177,955 square feet in 1,269 units. The seller was Durango Mini Storage & Charleston Mini Storage. WPI represented itself in the acquisition.

“We continue to see opportunities in the Las Vegas market and want to grow our already strong presence there,” said Charles Byerly, CEO and president of WPI.  “This asset fit nicely into our strategy, and we feel strongly that we will push the asset forward, making it a great long-term hold for us.” 

Founded in 1985 and based in Irvine, Calif., WPI is a real estate investment company that acquires, develops and operates self-storage facilities, and provides third-party management services. Its portfolio comprises more than 9 million rentable square feet in 15 states.

1/18/19 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of additional activity happening in January 2019.

Airport Road Self Storage in Port Angeles, Wash., was sold for $4.25 million to a California-based investment group. The 16.5-acre property at 4114 S. Airport Road features 12 single-story buildings comprising 44,770 square feet in 293 units. The sale also included more than 8 acres of adjacent land for development. The buyer and the seller, a local limited-liability company (LLC), were represented in the transaction by Christopher R. Secreto, senior vice president of investments and senior director for the National Self-Storage Group of Marcus & Millichap (M&M), a commercial-property investment firm with more than 1,500 investment professionals in offices throughout Canada and the United States.

Bunyan Road Security Storage in Susanville, Calif., was sold for $1.25 million to an Oregon-based family trust. The 2.16-acre property at 1655 Paul Bunyan Road features nine buildings comprising 29,370 square feet in 245 units. Built in 1996, it also contains a rental office and a 950-square-foot manager’s apartment. The buyer and the seller, a local LLC, were represented in the transaction by Secreto.

Lockaway Storage in Castro Valley, Calif., was sold to Ramser Development Co., a Southern California-based firm that owns Boat Storage Depot, RV Storage Depot and other commercial real estate properties. The facility at 8555 Dublin Canyon Road comprises 26,000 rentable square feet of storage space and offers 135 vehicle-storage spaces.

The buyer and the seller, a private individual based in Northern California, were represented in the transaction by Greg Wells, senior director of the Cushman & Wakefield Self Storage Practice Group, a full service real estate platform dedicated to the self-storage asset class. The firm offers investment advisory, valuation, consulting, feasibility and data services in all major U.S. markets.

Self-storage real estate investment trust (REIT) Public Storage has purchased a self-storage facility in Arvada, Calif., for $8.85 million that was branded and managed by Life Storage, also a REIT. The property at 14872 E. 69^th Ave. was developed last year by Blue Wing Capital Management. It comprises 64,320 square feet of climate-controlled storage in 637 units. The seller was represented in the transaction by Charles “Chico” LeClaire, executive managing director of investments, and Adam Schlosser, first vice president of investments, for M&M.

Sand Hill Mini-Storage in Hinsdale, N.H., was sold for $1.25 million. The facility at 286 Brattleboro Road comprises 17,710 square feet and has approval for two additional buildings. The sale also included an auto-repair shop. The seller was represented in the transaction by Joseph Mendola, senior real estate advisor at NAI Norwood Group and an affiliate of the Argus Self Storage Sales Network, a Denver-based network of real estate brokers who specialize in storage properties.

The three-facility Self Storage Center portfolio in Central and Southern Rhode Island was sold to an LLC. Located in East Greenwich, Narragansett and Richmond, the facilities total 177,575 net rentable square feet of storage space. The buyer and the seller, an LLC, were represented in the transaction by Luke Elliott and Michael A. Mele, investment specialists for M&M. Fellow broker Tim Thompson assisted.

StorSafe Storage in Gibsonton, Fla., was sold to Simply Self Storage, a privately owned self-storage firm with facilities in the United States and Puerto Rico. The facility at 12704 U.S. Highway 41 S. sits on 19.26 acres and comprises 110,550 square feet of storage, 54,000 square feet of covered vehicle-storage parking and 55,200 square feet of canopied vehicle-storage parking.

The seller was represented in the transaction by James Ashley Compton, national director of The Colliers International Self Storage Group, a global commercial real estate services firm offering consulting, market research, project management, property management, and valuation.

Strategic Storage Trust IV Inc. (SST IV), a public non-traded REIT sponsored by SmartStop Asset Management LLC, has acquired a self-storage property in Plant City, Fla., a suburb of Tampa. The facility at 1610 Jim Johnson Road sits on 16.2 acres and comprises 110,000 square feet in 820 units. It was constructed in 2014 and expanded over the last two years.

Based in Maryland, SST IV owns 15 self-storage properties comprising 1.1 million net rentable square feet in 9,000 units. It intends to invest in self-storage properties in Canada and the United States.

Tolleson Self Storage in Tolleson, Ariz., a suburb of Phoenix, was sold to an LLC. The property at a 9620 W. Van Buren St. comprises 50,450 net rentable square feet in 454 units. The buyer and the seller, a private investor, were represented in the transaction by Mele, Elliott and Devin Beasley, an investment specialist, with M&M.

1/11/19 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of additional activity happening in January 2019.

Access Self Storage in Pasadena, Calif., was sold to FollettUSA. The property at 10800 Red Bluff Road opened in 2017 and contains 522 units. The seller, USA Self Storage, was represented in the transaction by Steve Mellon and Brian Somoza of JLL Capital Markets, a full-service global provider of capital solutions for real estate investors and occupiers.

All Storage Northwest in Hayden, Idaho, was sold to a West Coast investor. The facility at 1985 W. Hayden Ave. comprises 67,505 square feet of storage in 500 units. The buyer and the seller, a local LLC, were represented in the transaction by Adam Schlosser, first vice president of investments; Thomas Parsons, investment associate; and Paul Ryan, senior investment associate, for Marcus & Millichap, a commercial-property investment firm with more than 1,500 investment professionals in offices throughout Canada and the United States.

Burnham Street Self Storage in West Allis, Wis., was sold at Certificate of Occupancy. The property at 5317 W. Burnham St. was converted into 80,688 net rentable square feet of drive-through storage. It’ll be managed by self-storage real estate investment trust CubeSmart. The seller was represented in the transaction by Jesse Luke and Scott Rihm, investments specialists with the Self Storage Advisory Group at EquiCap Commercial, a boutique brokerage firm specializing in the self-storage industry.

Crestwood Self Storage in Crestwood, Ill., was sold to a private real estate fund advised by Crow Holdings Capital Real Estate. The property at 4501 W. 135th St. comprises 81,500 square feet in 752 units, which includes a 2017 expansion of 37,000 square feet. The site was also renovated last year. The seller, an affiliate of Vertical Fields Capital LLC, was represented in the transaction by Mellon and Somoza.

High Springs Mini Storage in High Springs, Fla., was sold. The property at 26055 W. U.S. Highway 27 sits on 3.9 acres and comprises 38,000 square feet in 313 units. The seller was represented in the transaction by Josh Koerner and Frost Weaver of Weaver Realty Group, an affiliate of the Argus Self Storage Sales Network, a Denver-based network of real estate brokers who specialize in storage properties.

Prestige Self Storage in Sugar Land, Texas, a suburb of Houston, was sold to Store Space Self Storage. Built last year, the facility at 4815 LJ Parkway contains 976 units. The seller, Prestige Organization LLC, was represented in the transaction by Mellon and Somoza.

A two-property Stor-U-Self Storage portfolio in Boston and Wakefield, Mass., was sold. Together, the properties comprise 201,753 net rentable square feet in 2,404 units. The seller was represented in the transaction by real estate firm Newmark Knight Frank Self Storage Group, a provider of valuation and consulting services for the self storage industry.

Storage of America has purchased an industrial building in Huber Heights, Ohio, for $525,000 that it plans to convert to self-storage. The property at 5041 to 5107 Kitridge Road is expected to open this year, according to a source. The seller, Globe Products Inc., was represented in the transaction by Dave Tobeson, director of Cushman & Wakefield, a provider of real estate services including consulting and appraisal, debt and equity financing, and sales and acquisitions.

A portfolio of nine self-storage facilities in Benton and Washington Counties, Wash., were sold to an investor for $30.3 million. An LLC led by Steve Juiris of North Carolina purchased the properties, which total 600,000 square feet of storage in 4,000 units. The sellers were LLCs owned by Alex Baumeister and Patrick Byrd. BancorpSouth Bank and Signature Bank of Arkansas provided the financing. The facilities are:

1/4/19 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of the activity happening this month.

I-94 Self Storage in Franksville, Wis., was sold to a local self-storage owner. The two buildings at 2941 S. 27th St. sit on 1.75 acres and comprise 8,400 square feet. The facility also offers outdoor vehicle storage and has room for expansion. The seller was represented in the transaction by Bruce Bahrmasel, managing broker of Waveland Commercial Real Estate and a broker affiliate of the Argus Self Storage Sales Network, a Denver-based network of real estate brokers who specialize in storage properties. Formed in 1994, the company has 36 affiliates covering nearly 40 markets.

AStoreroom Mini-Storage in New Braunfels, Texas, was sold to a limited-liability company (LLC). The facility at 2975 FM 725 comprises 67,900 square feet in 582 units. The buyer and the seller, also an LLC, were represented in the transaction by Jon Danklefs and Michael A. Mele, investment specialists for Marcus & Millichap (M&M), a commercial-property investment firm with more than 1,500 investment professionals in offices throughout Canada and the United States.

EZ Store It in Modesto, Calif., was sold for $3.6 million to a Sacramento, Calif.-based investor. The property is on two parcels, about a half mile apart, at 1522 Crows Landing Road, which includes the office, and 1601 Jim Way. Built in 1983, the 18 single-story buildings sit on 3 acres and comprise 54,533 net rentable square feet in 571 units. The buyer and the seller, Faith Realty & Development Co., were represented in the transaction by Bobby Loeffler, president, and Tyler Skelly, national director, of the Loeffler Self-Storage Group, which specializes in self-storage real estate in California and Nevada.

Charlotte, N.C.-based Go Store It acquired a newly constructed facility in Nantucket, Mass. The property at 38 Tomahawk Road comprises 63,000 rentable square feet in 672 climate-controlled units. It’s the company’s first acquisition in the Northeast.

“This acquisition presented a unique opportunity for Go Store It. On a personal level, we are big fans of Nantucket and see the demand for quality self-storage on the island,” said Ryan Hanks, co-founder of Go Store It, which owns more than 2.2 million square feet of storage space and has another 900,000 square feet in the pipeline through acquisitions and development. “Nantucket has significant barriers to entry, and we are very pleased to now own an institutional quality asset there. We look forward to working with the local Nantucket community for several years to come.”

Jernigan Capital Inc., a merchant bank and advisory firm serving the self-storage industry, acquired its development partner’s stake in a multi-story facility in Bay Shore, N.Y., on Long Island. The property at 1775 Fifth Ave. opened a year ago under the CubeSmart brand. It comprises 105,300 square feet in 1,194 climate-controlled units. With the closing, Jernigan owns 100 percent interest in seven on-balance sheet development investments, according to a source.

Monroe Storage Services in Williamstown, N.J., was sold to a private-equity group. The 9.9-acre property at 640 N. Black Horse Pike comprises 11 buildings containing 570 storage units and a 1,000-square-foot office. It includes land for expansion. The seller was represented in the transaction by Investment Real Estate LLC, a provider of brokerage, construction, development and management services to self-storage owners and investors since its inception in 1998.

Peconic Mini Storage in Riverhead, N.Y., was sold to a real estate investment trust. The property at 345 Flanders Road comprises 38,160 square feet in 424 units. It also has room for expansion. The seller, Mini Storage Cos., was represented in the transaction by Charles “Chico” LeClaire, executive managing director of investments, and Adam Schlosser, first vice president of investments, for M&M.

Storhouse at Paxton Street in Harrisburg, Pa., was sold to an LLC. Built in 1972 and expanded in 2008, the two-building facility at 420 Amity Road sits on 3 acres and comprises 57,806 square feet of storage in 598 units. The buyer and the seller, a partnership, were represented in the transaction by The Mele Group of M&M.

Stow Away Mini-Warehouse in Houston was sold to a national storage investor. The 4.17-acre property at 5512 S. Willow Drive is 13 miles southwest of downtown. It comprises 60,460 net rentable square feet in 455 drive-up units and 37 vehicle-storage spaces. The seller, a local operator who developed the property in the 1970s, was represented in the transaction by Loeffler and Skelly.

Sources:
PR.com, Argus Broker Affiliate Sells Wisconsin Self Storage Facility
PR Newswire, Go Store It Acquires A Newly Constructed Storage Facility on Nantucket
Commercial Property Executive, Jernigan Buys Stake in NY Self-Storage Facility
Commercial Property Executive, The Mele Group Brokers Sale of PA Storage
Dayton Daily News, Storage Chain Buys Huber Heights Building
Talk Business, Investor Buys 9 Self-Storage Facilities for $30.3 Million
RE Journals, EquiCap Sells 80,000-Square-Foot Self-Storage Facility in Wisconsin
Colorado Real Estate Journal, Self-Storage REIT Pays $8.85 Million for Arvada Life Storage Facility
Commercial Property Executive, The Mele Group Brokers Sale of Self Storage Center Portfolio
PR Newswire, Strategic Storage Trust IV Acquires Self Storage Facility Near Tampa, Fla
PR.com, Argus Broker Affiliate Announces Sale of New Hampshire Self Storage Property
PR.com, Argus Self Storage Sales Network Broker Affiliate Sells New York Development Site
Rebusiness Online, Gelt Inc. Purchases 665-Unit Self-Storage Facility in California for $16.5M
Commercial Property Executive, The Mele Group Brokers Sale of FL Facility
Navarre Press, Move It Makes $20 Million Investment in South Santa Rosa
PR.com, Personal Mini Storage Acquires 44th Location in High Springs, FL
Digital Journal, Simply Self Storage Announces Acquisition of Gibsonton Florida Facility
PR Newswire, U-Haul Now Operating at Former I-80 Self Storage in Lincoln