Prime Group Holdings, a New York-based real estate group that owns self-storage and other commercial and residential property, has acquired Riverline Self Storage in Cinnaminson, N.J., for $5.4 million. The facility at 1714 Bannard St. comprises 63,539 square feet in 381 units as well as a management office and retail and warehouse space, according to a press release by HFF (Holliday Fenoglio Fowler LP), which represented the seller in the transaction.
The facility was built on 4.5 acres and consists of two, two-story buildings. Climate-controlled units are housed in both buildings and comprise 36,586 rentable square feet. The remaining 26,953 square feet is dedicated to the management office, a retail area and rentable warehouse space, the release stated.
Cinnaminson is on the Delaware River, about 12 miles from downtown Philadelphia. The self-storage facility is in the northern part of town near the Tacony-Palmyra and Betsy Ross bridges. It also serves the nearby communities of Delran, Palmyra and Riverton, N.J.
“The property is well-located and has strong in-place occupancy,” said Richard Schontz, managing director at HFF, who represented the seller along with director Barbara Guffey. “The purchaser will also have the ability to expand Riverline Self Storage’s net rentable square footage immediately, creating additional value. The property fits well into Prime Group’s growing Philadelphia-area portfolio, and we were pleased to be able to facilitate the transaction.”
Prime Group has purchased nearly 50 self-storage assets since May 2014 comprising more than 2.8 million rentable square feet. In September, the company announced it was seeking $100 million through a private-equity fund, which it intended to use to acquire additional self-storage assets. It also had plans for a larger private-equity round at the conclusion of the $100 million round, according to CEO Robert Moser.
HFF and its affiliate, HFF Securities LP, are owned by HFF Inc. The firm operates out of 22 offices nationwide and specializes in advisory services, commercial-loan servicing, debt and equity placement, and investment and loan sales.
Headquartered in Saratoga Springs, N.Y., Prime Group owns approximately $2.8 billion of commercial real estate in connection with its affiliate companies, which include Morgan Management. Its portfolio includes approximately 3.9 million square feet of self-storage in 13 states, 25,000 apartment units and other real estate holdings.
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