Alcatraz Storage of Tulsa, Okla., bought the 558-unit United Mini Storage facility in south Tulsa for $1.98 million, or $24.19 per square foot. The seller of the 14-building site was Upland, Calif.-based Frank & Bonny Huang Irrevocable Family Trust. The sale was facilitated by The Grant Group, a real estate firm based in Edmond, Okla.
Broker Casey Massegee had originally listed the property at $2.3 million. He told The Journal Record via e-mail that the property sold well below replacement cost and comparable sales in the area because it has been severely mismanaged by the current owner, who had no previous self-storage experience. The property is currently at 50 percent occupancy, though competitors operate within the 85 percent range.
Grant broker Chris Anderson represented the buyer. There were more than 10 offers on the property. According to Massegee, the buyer intends to purchase more self-storage facilities in Texas and Oklahoma.
Built in 2003, the facility will be rebranded as Alcatraz Storage and expanded to include additional revenue streams, such as truck rentals and moving and storage supplies.
Source: Journal Record, Tulsa firm pays $1.98M for mini-storage complex