Capital Growth Buchalter (CGB), which specializes in real estate development, investment and management, has launched StoreGuard, an affiliate company that will pursue self-storage acquisitions and development nationwide. StoreGuard recently closed on its first purchase, a Hinesville, Georgia, facility that comprises 39,236 square feet in 358 units. The company intends to add more than 12,000 square feet in 137 units, according to a press release.
StoreGuard will be led by principals Eric Buchalter, a third-generation real estate developer, and Mike Vahle, who most recently served as a development executive with self-storage real estate investment trust Public Storage Inc., the release stated.
“Our private-ownership structure facilitates our agile, imaginative approach to deal-making and value creation,” Buchalter said. “We bring strong relationship networks and depth of experience as we execute StoreGuard’s strategy to develop new, class-A self-storage assets and acquire value-add opportunities.”
Atlanta-based StoreGuard will focus primarily in the Sun Belt but will consider opportunities across the continental United States. It’ll partner with third-party management companies to operate its facilities, according to the release.
“The self-storage industry is highly fragmented, with more than 20,000 facilities in the U.S. being managed by non-institutional owner/operators,” Vahle said. “We see tremendous opportunity to upgrade these legacy facilities with climate-controlled units, enhanced security features and other modern amenities that our customers expect, just like we are doing at our Hinesville facility.”
StoreGuard also plans to implement sustainable design and construction practices to curb energy consumption. Motion-activated LED lighting, high-efficiency HVAC systems and well-insulated buildings will be “standard” at its self-storage facilities. The company will also explore solar-panel installations, the release stated.
Founded in 1953 and based in Birmingham, Alabama, CGB has developed more than 1,500 real estate projects across 30 states, completing an average of 90 per year, according to the release. It has regional offices in Georgia, Louisiana and North Carolina.