Advantage Self Storage of Louisville, CO, already has 11 locations in Colorado, Maryland, New York and Massachusetts.

Now, as part of its new business partnership with Farrell Storage of Bridgehampton, NY, it’s opened a 112,000-square-foot self-storage facility at 1184 SR 112 in Port Jefferson Station, in the town of Medford on New York’s Long Island. The facility offers 850 units.

“Advantage is doing all the ground work, such as construction and management,” said Jeffrey Kinder, president of Advantage. “Farrell is the capital partner, the asset manager for a group of properties we’re doing together.”

The two companies are developing other locations in Arvada, CO, and Port St. Lucie, FL. Its two facilities in the latter city will have a combined 1,550 units.

The companies also have sites in Florida, Colorado and the Northeast for possible development. Joe Farrell, who owns Farrell Building Co., started Farrell Storage.

“He has a very successful homebuilding business and real estate portfolio,” Kinder said. “For Advantage … it’s an opportunity for us to expand our footprint a little farther and faster than we were able to do on our own.”

Under Construction

In San Antonio, The Keep Storage is putting up a 77,000-square-foot self-storage facility that will have 500 units totaling more than 55,000 square feet. The site is located south of Thousand Oaks Drive and Henderson Pass. Construction is scheduled for completion in May 2018. The Keep Storage is operated by Casey Development Ltd. Source: ReBusiness Online

U-Haul is renovating a 201,515-square-foot commercial office building building at 6805 Corporate Drive in Colorado Springs, CO. The finished facility will have more than 400 self-storage units. U-Haul estimates that its sustainability practices will prevent 597 tons of metal manufacturing and transportation from being used, keeps 6,020 tons of construction and demolition debris out of landfills. Source: Stockhouse

U-Haul is also building a new indoor climate-controlled storage building on a site next to its longtime location at 1090 Sagamore Parkway W. in West Lafayette, IN, near Purdue University. The company bought an existing A+ Storage facility abutting its truck rental location in May, that facility consists of outdoor, drive up units. Combined with the new building, the facility will offer a total of 41,400 square feet of storage across 600 units. Source: PR Newswire

Planned

An industrial warehouse at 5216 Walnut Grove Avenue in San Gabriel, CA, which will be converted into a 700-plus-unit self-storage facility, has been purchased. Stephen Grossman of Self Storage Investment Services Inc. represented the Los Angeles-based buyer. The facility’s target markets are San Gabriel, Alhambra, San Marino and Temple City.

All Storage recently purchased a fully entitled 6-acre site located on Highway 287 at Blue Mound Rd in Fort Worth, TX.  The DFW-based owner/operator plans to build a 200,000-square-foot facility comprised of two separate multistory buildings. The site is part of Revelstoke Plaza in the Blue Mound Crossing, a mixed-use developed by Hanover Property Company, which sold the site to All Storage. This is the seventh land acquisition for development for All Storage this calendar year.

A 5.40-acre parcel in Arlington, TX, has been purchased as a self-storage development site by an unidentified buyer. The site’s development plan calls for a 122,000-square-foot multistory building. Jared Jones, of Porthaven Partners in Tulsa, OK, represented the buyer.

U-Haul plans to build approximately 1,300 self-storage rooms and 85 units for RVs, boats and vehicles on a five-acre parcel at 10681 W. Loop 1604 N in San Antonio, TX. It plans to build a four-story, 78,080-square-foot self-storage facility plus a 3,935-square-foot U-Box warehouse.

Vertical Fields Capital LLC of Washington, DC, teamed up with Macritchie Storage LLC to purchase a warehouse at 265 Hayward Ave. in Rochester, NY, which it will convert into a self-storage facility. Storage Asset Management will manage the approximately 63,800-square-foot site, to be called Rochester Self Storage.

A 46,000-square-foot, two-story self-storage facility is coming to Cumming, GA. Boardwalk Development Group LLC purchased Smallwood’s Home & Garden Center at 2168 Canton Highway and plans to convert the property into self-storage.

Completed

West Coast Self-Storage has opened two new facilities in Washington state. The company recently opened one in Shoreline, and it has 696 units and 64,780 square feet of storage space. It’s located near Sheridan Beach at 14535 Bothell Way N.E. Earlier, the company opened a facility in Auburn, with 733 units and 69,800 square feet of storage space. Source: Inside Self-Storage

Stop N Stor Self Storage, 96 Veteran Memorial Parkway, has opened in Savannah, GA. The facility has 600 units, enclosed and covered RV and boat parking, moving and packing supplies, and a 24/7 kiosk. Source: Savannah Now

Four longtime friends and business partners have opened Mountain Shadows Storage, 8320 20th St., in Greeley, CO. It has 500 units and will hold a grand opening in September. It’s the first two-story storage facility in the city, and includes RV and boat parking, plus a RV dump station. Rob Staley, Nick Francis, Dale Boehner and Terry Wiedeman are the partners. They’re already anticipating the need for another storage facility in Greeley and have purchased a site off 71st Avenue north of 10th street for when the time is right for expansion. Source: Greeley Tribune

US Storage Centers, of Miami, FL, has completed building a five-story, 931-unit self-storage facility at 15555 W. Dixie Highway in North Miami Beach, FL. It’s the company’s sixth facility in the Miami area, and it’s developing two more sites there, with completion planned for the fourth quarter of 2017.

The post The Roll Up: Weekly Self-Storage Development Round Up 8.23.17 appeared first on The SpareFoot Storage Beat.

The former Herald-Sun building in Durham, NC, will be converted into self-storage units and office space.

Durham-based Ticon Properties bought the former newspaper site at 2828 Pickett Road more than one year ago. The building is 27 years old. The newspaper moved to an office building near Northgate Mall in 2015.

Ticon plans to 70,000 square feet of self-storage units, plus 60,000 square feet of office space and 10,000 square feet of retail space. The renovations are expected to finish in 2018.

Jack McGhee owns Ticon and bought the building from Paxton Media Group for $3.25 million in July 2016. Brassfield Self Storage, which operates four other self-storage facilities in Durham, will manage the new one as well. Source: The Herald-Sun

Under construction

McCauley Constructors broke ground to start building Momentum Fort Collins Self-Storage in Fort Collins, CO. The three-story, 100,000-square-foot property is at 1057 S. Buckingham St. and will have 779 units. The building is expected to open next summer. McCauley designed the project, and Galloway USA is the architect and engineering firm.
Source: Windsor Now!

Planned

Greenville, SC-based TD Self Storage plans to start construction on its first facility in November—a 100,000-square-foot site at the corner of Pelham and Boiling Springs roads in Eastside Greenville. Burgin added that the company is negotiating to buy six other sites: one in Greenville, two in Charleston, SC, two in Orlando, FL, and one in Austin, TX. It seeks to reach 100 facilities over the course of 10 years, starting in the Southeast and Texas, through development and acquisition. CubeSmart will manage TD’s facilities. Source: Upstate Business Journal

O&H Investments of Council Bluffs, IA has purchased a strip mall on S.E. 29th St. in Topeka, KS, and plans to transform a former Kmart there into self-storage units. Harbor Freight and Car Toyz Audio occupy leased space at the mall and will remain. O&H plans to renovate the mall and build 450 to 500 self-storage units where the Kmart stood at a cost of $3.1 million. O&H also owns Affordable Family Storage in Springfield, MO.  The developer has asked for the formation of a community improvement district, or CID, of $955,000 to support the renovations. The Topeka City Council will take up the request at its Sept. 5 meeting. Source: Topeka Capital-Journal

The Montgomery Development Group plans to build a storage facility on a three-acre parcel on East Main Street that formerly was zoned for single-family residential use, thanks to rezoning approval from the Spartanburg, SC, City Council. The site has been rezoned for general business. Warehouses already on the property will become part of the multi-building facility. There are plans to build four or five one-story structures as well. Source: GoUpstate

Completed

Lighthouse Self Storage opened a new facility in Carson City, CA. The property is at 21640 S. Wilmington Ave. It was converted from industrial use into 695 storage units and 30 vehicle-storage spaces. Lighthouse operates 17 self-storage sites in California and Florida. Progressive Realty Partners, which oversees all Lighthouse facilities, will manage the new site. An opening event will be held Sept. 13. Nationwide, Lighthouse has developed and managed more than 100 storage properties, with more than 1.4 million square feet of storage space in 10,000 units. It operates facilities under the Lighthouse and Storage Outlet names. Source: Inside Self-Storage

The post The Roll Up: Weekly Self-Storage Development Round Up 8.30.17 appeared first on The SpareFoot Storage Beat.

Jernigan Capital Inc. has closed a $9 million investment in Orlando, FL, for a 779-unit self-storage facility.

The Memphis, TN, company provides debt and equity capital to private developers, owners and operators of self-storage facilities.

Dean Road Self-Storage and Cassaforte LLC of Orlando are developing the project, which will have 77,000 square feet. Construction begins in January and is scheduled to finish in Q1 2019.

In July, Jernigan closed on an $8 million self-storage investment in Jacksonville, FL. Source: Memphis Business Journal

Planned

Safeguard Self Storage plans to complete a new facility in East Rockaway, NY, by February. The site, at 499 Ocean Ave., will have 600 units, 12 of which will be designed for commercial tenants. The site was previously the home of W.M. Berg Inc., a maker of aircraft parts. The company moved to Milwaukee in 2007 and the building was demolished. Last March, Safeguard Self Storage opened a new facility in Bronx, NY. It has 905 units and 50,750 rentable square feet. Safeguard, based in Atlanta, operates sites in Florida, Illinois, Louisiana, New Jersey, New York and Pennsylvania. Source: LIHerald

Seattle will be getting a new self-storage building and it will be a renovation of an industrial site. Skills Inc. sold the building to 4514 8^th Ave NW LLC for $2.57 million. The buyer is associated with the Rudd Co. and Alan M. Park. Last fall, Park sold the former Rudd properties at 1603-1634 15^th Ave. W. for $7.3 million, and that site is being redeveloped as a self-storage facility. Source: Daily Journal of Commerce

Completed

Storage Express finished renovations on a former Maxx Self Storage space it recently bought in Centerville, IN. The facility, at 1183 Airport Road, has 25,000 rentable square feet. Storage Express also has bought and renovated a storage facility in Fort Wayne, IN. The company operates 93 self-storage locations in five states. Source: Inside Self-Storage

The Segal family has converted the former home of its custom apparel business into a StorageHub self-storage facility in Rock Island, IL. The building had been the home of Herman’s Inc. since it was built in 1953; Herman Segal started the business in 1946. The property, at 2820 Blackhawk Road, has 40,000 square feet of rental space in 230 units. The Segal family plans to grow StorageHub throughout the Quad Cities area (Bettendorf and Davenport, IA; and East Moline, Moline and Rock Island, IL). Source: Quad-City Times

DEStorage.com finished an expansion of its Dover, DE, facility at 1685 State St., adding two one-story buildings with 22,000 square feet of rentable storage space. The site also offers Penske truck rentals. Earlier, DEStorage.com opened a new facility in Millsboro, DE, which is its fifth location in Delaware. It’s located at 28862 Dupont Highway and includes 14 storage buildings.  The company also operates facilities in the Delaware cities of Milford, Rehoboth and Smyrna. Source: Dover Post

Under construction

Our College St development in the final stages. @MstarStorage @Edifice_inc #cltcre #cre #charlotte pic.twitter.com/my9dUNwAdt

— Matt Shapiro (@Matt_Shapiro) August 30, 2017

Morningstar Storage is nearing completion of a five-story, 97,277-square-foot self-storage facility on College Street near Uptown Charlotte, NC. It will have 696 units, with 22 of them being ADA-accessible. The designer, Overcash Demmitt Architects, sees the project as another example of “Lifestyle Storage” in urban areas.

The post The Roll Up: Weekly Self-Storage Development Round Up 9.6.17 appeared first on The SpareFoot Storage Beat.

There will be a delay of approvals for new self-storage facilities for at least one year in Federal Way, WA. The City Council has imposed a one-year moratorium on expanding or creating new facilities so that planners have more time to study the requests and consult with other jurisdictions to see how they have handled growth. Federal Way experienced a big increase in self-storage facility requests in the last 10 months, a total of 10 “applications and pre-applications.” The city already has nine facilities.

A total of four projects that have already cleared the application process will be able to move ahead. One of those projects appears to be the planned StorQest Self Storage on the 29000 block of Pacific Highway. The three-story facility will span 83,115-square-feet when completed. Source: Federal Way Mirror

Planned

IdeaTek Storage, almost at capacity just four months after opening a self-storage facility in a former elementary school in Haven, KS, plans to expand another subsidiary storage business in the city. Ideatek is buying an 80-by-120-foot lot that adjoins a storage complex at 601 N. Arlington Road, and plans to expand it to 8,000 square feet of combined storage in the two existing buildings. Source: The Hutchinson News

Developers have filed for a special-use permit application to build a CubeSmart self-storage facility at the intersection of Mapledale Avenue and Dale Boulevard in Dale City, VA. The application also asks for a change to the zoning ordinance that would allow larger storage units than those currently allowed. The plans call for a three-story self-storage building plus seven single-story ones. Source: InsideNova

Storage Master LLC has purchased two buildings near Mitchell International Airport in Milwaukee, WI, for $1.7 million and will build its ninth facility there. The company plans to renovate two industrial buildings with a total of 82,000 square feet into 1,000 to 1,200 self-storage units. The first building is expected to open in spring 2018; the second building remains occupied for another five years. Source: Milwaukee Journal Sentinel

Trustees in Niles, IL approved a special use and zoning change in August, allowing for the construction of a four-story self-storage facility at 7421-to-7443 Waukegan Road. It would total 90,000 square feet. Adams Fresh Property LLC is developing the site and expects construction to take about 11 months. Source: Journal Online

City council members in Lawrenceville, GA, approved rezoning measures and a special-use permit allowing GS Construction Inc. to build a self-storage facility at 530 Lyle Circle. The council said the building cannot go higher than two stories. Source: Atlanta Journal-Constitution

Bayonne, NJ, will be getting a 120,000-square-foot self-storage facility. It will be located at 160 E. 22nd St., near the Bayonne Crossing shopping center. Storage Deluxe will demolish the current building at the property to make room for the new facility. CubeSmart will operate the site, which is expected to open in November. Source: nj.com

CubeSmart will manage a new, three-story self-storage facility that’s planned for downtown Baton Rouge, LA. Attorney Craig Smith, owner of Brookwood-Riverside LLC, a property-development firm, will take down a former coffee shop at 2151 N. Third St., which he bought for $775,000, and replace it with the new facility. His company operates 39 self-storage facilities under the CubeSmart and The Storage Center names. Source: Greater Baton Rouge Business Report

10 Federal plans renovations following its purchase of a Green Cube Self-Storage facility in Chapel Hill, NC. The company will convert the site to an unmanned operation, and make improvements such as painting the storage unit doors and paving the drive aisles. 10 Federal also completed renovations of the South Point facility in Belmont, NC that it bought last May.

Completed

Premier Storage at Hamilton Mill opened at 3220 Sardis Church Road in Buford, GA. It’s the third property owned by Ken and Kelly Gary. Absolute Storage Management Inc., which manages 88 self-storage facilities, will administer this one as well. Source: Inside Self-Storage 

U-Haul plans a grand-opening ceremony of its two-story self-storage facility at 1710 R T Dunn Drive in Bloomington, IL, on Sept. 19. The site is the former home of Tom’s Foods. The 55,530-square-foot site will have 802 units. Also there, U-Haul will sell self-storage and moving supplies, propane, hitch installation, bike rack accessories, and U–Box portable moving and storage containers.

The post The Roll Up: Weekly Self-Storage Development Round Up 9.13.17 appeared first on The SpareFoot Storage Beat.

After just over a year of development, a Beverly Hills, CA-based developer has completed work on Hawaii’s newest self-storage development.

Not only is it the newest, but the 53,000-rentable-square-foot facility at 94-130 Leokane Street in Waipahu is also one of the first conversions of an existing property to self-storage on the island, according to broker Stephen Grossman of Self Storage Investment Services.

The project was developed by M4 Management Inc., helmed by Michael Wiener—who previously developed several projects in California during the mid-2000s under the America’s Storage name. Grossman. The new facility, located west of Honolulu, opened this month and is managed by Extra Space Storage.

One of a kind

The vacant office/warehouse building offered a rare opportunity on the island of Oahu.

“Most industrial properties on the island are small [for conversion], just 5,000 to 10,000 square feet,” Grossman said.

But the site he presented to his client just over a year ago was just right with its 75,000 square feet of gross area, high ceilings, loading docks—not to mention requisite zoning.

The property was formerly a warehouse and administrative office for Zippy’s, a popular island restaurant chain.

“They moved and this thing became available,” Grossman said, “It is very, very hard to find anything that is convertible in Hawaii.”

And it certainly isn’t for lack of trying. Grossman said their is a lot of pent up storage demand in Hawaii.

“Everyone is well above 90 percent occupied,” Grossman said.

The post Developer completes storage conversion near Honolulu appeared first on The SpareFoot Storage Beat.

The South Florida city of Margate won’t allow any new self-storage facilities to open within its borders.

“We have nine in nine square miles,” Vice Mayor Arlene Schwartz told the South Florida Sun-Sentinel. “I think we have enough.” And Commissioner Anthony Caggiano added, “We should be a place where people and business move in, not a storage place for other cities.”

That news may rub some people the wrong way, but they’ll be happy to know that Margate also lifted a moratorium on massage parlors. Source: South Florida Sun-Sentinel

Planned

U-Haul plans to convert part of a shopping mall into a self-storage facility in Colorado Springs, CO. The company purchased Tiffany Square, which was built 33 years ago for high-end fashion retailers, for $12.2 million, and opened an office inside the mall to rent trucks, trailers and moving supplies. It will spend approximately $2 million to build the self-storage facility on the second floor, aiming to open it in early 2018. Source: Colorado Springs Gazette

Time Corners Self-Storage and Mark Cockroft received approval from the Allen County Plan Commission for a rezoning that will enable them to build Lima Road Self-Storage in Fort Wayne, IN. Plans call for about 1,000 units in 10 storage buildings with a combined 142,725 square feet on 11 acres at 12700 and 12714 Lima Road. The buildings would replace DeWald Gardens, a garden center. Cockroft earlier developed Downtown Self-Storage at the former Kroger supermarket at East State Boulevard and Spy Run. Source: The Journal Gazette

Memphis, TN-based Jernigan Capital Inc. (NYSE: JCAP) has invested $28.7 million in a multistory self-storage facility to be built for Inglewood Self-Storage LLC in Inglewood, CA. Construction is planned to begin in Q1 2019, with completion expected in mid-2020. It will have 120,038 rentable square feet, located at West Hyde Park Boulevard near the 405 Freeway.
Source: The PE Hub Network

The city council in Lawrenceville, GA approved a rezoning and a special-use permit for GS Construction Inc., which will build a self-storage facility at 530 Lyle Circle. The facility will be capped at two stories. The building site is next to the GS Construction office. Source: Inside Self-Storage

Two new projects in Yakima, WA, will bring 1,100 new storage units to the city in the next several years, and a third project—an 8,000-square-foot building to store RVs—also is planned. Nearly 800 of those units are from Yakima Valley Storage, a storage facility being built at 2211 Longfibre Road, near Lowe’s and Costco. Seattle’s Urban Self Storage manages the site. In West Yakima, Bill Moultray, a longtime broker for Heritage Moultray Real Estate Services and a principal for Teton Development LLC, has received approval for a new, 300-unit self-storage facility at 4503 Powerhouse Road, next to Fred Meyer. Source: Yakima Herald.com

The Village of Niles (IL) Board of Trustees approved a self-storage facility at 7421 Waukegan Road. Indianapolis-based Adams French Properties LLC owns the land and seeks to build a three-story self-storage facility with retail and office space on the first floor. Source: Bugle Newspapers

5995 Naperville Self Storage LLC received approval from the Naperville, IL, Planning and Zoning Commission for a rezoning of a 1.3-acre parcel, and next will seek approval from the Naperville City Council. The company wants to build an 84,477-square-foot building at 2708 Forgue Drive, between Cantore and Leverenz roads. Most of the building would be three stories; the east portion would be two. Source: Inside Self-Storage

Greystone Holdings LLC, a developer of self-storage facilities, has bought two vacant properties in Antioch and Gilroy, CA, for about $6.25 million. These include a 6.68-acre parcel at East 18th Avenue and Vineyard Avenue in Antioch, and a 4.59-acre parcel at 9080 San Ysidro Ave. in Gilroy. The previous owners planned to build self-storage facilities, but decided to sell the properties instead. Source: Inside Self-Storage

The Cobb County Georgia Board of Commissioners approved two rezonings that will allow a self-storage facility and townhomes to be developed at a former Target store site at Hurt Road and Floyd Road. The site has 4.98 acres and 100,000 square feet. The self-storage facility will be built where the store was, and the townhomes will go in an adjoining parking lot of 7.31 acres. Source: ajc.com

Under construction

Cascade Self Storage is building a 750-unit storage building complex at 1910 NE Diamond Lake Blvd. in Roseburg, OR. Completion is expected in spring 2018. Cascade is based in Novato, CA. It has built two other Cascade Self Storage facilities in Roseburg. Source: The News-Review

Extra Space Storage will operate a 1,000-unit self-storage facility on the first floor of a renovated Milwaukee, WI, building that also will house a new Milwaukee Brewing Co. brewery, 50,000 square feet of retail space and an event venue. The building, at 1131 N. 8th St., formerly served as a Pabst distribution facility. Source: Urban Milwaukee

Completed

Scenic City Self Storage opened Sept. 1 in Chattanooga, TN, with 34,270 square feet of storage space in 250 units. Pratt Home Builders owns and developed the facility at 1730 Dayton Blvd. Absolute Self Storage, which operates four facilities in Chattanooga and 23 in the state, will manage the facility. Source: Inside Self-Storage

The post The Roll Up: Weekly Self-Storage Development Round Up 9.20.17 appeared first on The SpareFoot Storage Beat.

Some parts of Florida, especially in the Miami area, seem to have hit the breaking point when it comes to the construction of new self-storage facilities.

Earlier this month, the city of Margate, in Broward County just north of Miami, approved an outright ban on the building of new self-storage facilities, following a nearly year-long construction moratorium that was imposed after the city was hit with a number of “special exceptions” applications from self-storage developers.

“We have nine (self-storage facilities) in nine square miles,” Margate Vice Mayor Arlene Schwartz, told the South Florida Sun-Sentinel. “I think we have enough.”

Increasing resistance

Florida developers say the ban approved by Margate, with a population of about 53,300 people, is just the latest move by a Florida community to crack down on new self-storage facilities, amid complaints about their aesthetic appearances, lack of permanent jobs and other alleged drawbacks that industry officials have vehemently disputed in the past.

Though outright bans are rare, Scott Kelly, past president of the Florida Self-Storage Association and director of operations at StoreRight Self Storage in Lakeland, Florida, said he’s indeed hearing more complaints about self-storage facilities – and talk of construction moratoriums and zoning restrictions.

The reason: Many believe that Florida, particularly in the Miami area, has seen an absolute boom in self-storage construction in recent years – a trend some communities now appear to be rebelling against, industry officials say.

“We’re seeing more restrictions, definitely,” said Jay Massirman, managing partner and co-founder of MCSS Development, a Florida self-storage development firm that’s recently built three facilities in Florida and plans to open six more later this year. “It’s not as easy to get [approvals]. It’s a challenge, though it can be done.”

Measuring future demand

To be clear: As of today, post-Hurricane Irma, many in Florida are thankful for the state’s abundance of self-storage facilities, which often see a surge in business after a major storm and as people seek to store belongings while their homes and businesses are repaired.

Both Kelly and Massirman report there’s indeed been an uptick in business since Irma hit Florida earlier this month, but they and others say storm damage was lighter than expected and demand for self-storage seems to be calming down.

So now it’s back to the pre-Irma debate over the number of self-storage facilities in Florida – or, more accurately, in certain submarkets of Florida.

Miami flooded with facilities?

Anne Hawkins, executive vice president of STR, a Nashville data analytics and research firm, says there’s no doubt that the Miami area has seen its share of new self-storage construction.

There are currently 114 projects either underway or on the drawing boards in a Miami-area market that already has 450 facilities, she noted. That existing number translates to about 5.5 square feet of self-storage space per capita, considered a below-average square-foot rate for self-storage facilities.

Still, Miami officials have bucked at the recent fast pace of construction and are now requiring developers to make a number of changes to proposed projects, such as including more ground-floor retail space and designing more attractive facility exteriors, observers say.

James de Gorter, co-founder of Union RealTime LLC, a New York data analytics and research firm, has slightly different development numbers for the Miami area, compared to those provided by STR. Still, by his count, if every proposed self-storage facility in the Miami area is eventually built, that would lead to an overall 18 percent increase in storage space in the region.

Statewide development surge

The surge in supply is happening in other parts of Florida, as well, such as a projected 15 increase in self-storage space in both Orlando and Tampa over the next 18 months, de Gorter said. Jacksonvile’s projected growth is more modest at about 7 percent, with 10 new facilities either under construction or in the development pipeline.

For now, self-storage prices in Orlando and Tampa remain strong, up year-over year by 4.1 percent and 5.3 percent, respectively, de Gorter said. But Miami’s prices have been falling for a few years now, decreasing by 1.4 percent just in the past year, suggesting that Miami is indeed oversupplied with facilities, he said.

Indeed, SpareFoot pricing data shows a similar trend, with the average price per square foot in Miami hitting its peak in 2015.

STR’s Hawkins said developers, moving forward, may be more cautious about where they build self-storage facilities, both in Florida and other parts of the country. But she said that she doesn’t see construction grinding to a halt anytime soon.

“As long as developers have money, they’ll keep building,” she said. “I think 2018 is going to be more active than 2017.”

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After this year you might start calling the Big D the Big S—as in self-storage.

The Dallas-Ft. Worth metro area has more than 9 million square feet of storage space under development, according to a new report released by Argus Self Storage. The increase in storage space amounts to a more than 16 percent increase over existing supply.

That amounts to 164 projects under some stage of development in 2017: 49 planned, 82 under construction or awaiting certificate of occupancy and 33 facilities in the lease up stage. The wave of self-storage development makes Dallas one of the most oversupplied storage markets in the country.

The report analyzed self-storage development in 35 metro areas. The Miami metro market was a distant second to Dallas, with 70 projects underway this year. Despite the number of projects in Miami, the report rated the market as undersupplied.

In third place was New York City with 54 projects under development, followed by Houston with 52 projects.

According to the report, about 950 new facilities are expected to start construction through the end of 2017.

The report introduction, written by Ben Vestal, states:

“During the current cycle, we are seeing a significant increase in the number of planned projects and actual number of starts The start ratio of planned projects is the highest it has been in ten-plus years.”

Vestal also notes that even if a market is oversupplied, it is still possible to develop successful projects within individual trade areas within those metro areas.

A few more takeaways from the report:

• The most oversupplied market is San Jose, CA with a current supply of 18.78 square feet of storage space per person, and a projected demand of 12.92 square feet per person.
• The most undersupplied market is San Diego, CA with 4.33 square feet of storage space per person and a forecasted demand of 8.9 square feet per person.
• Among the 25 metro areas: 14 are oversupplied, 8 are under supplied and 13 are at equilibrium.

You can read the full report here: Self-Storage Construction and Development Analysis.

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There’s not enough room in town for the two of us: A petition filed by Bruno Hanney, owner of Bruno’s Self-Storage, to prevent another self-storage developer from pursuing a project less than 1 mile away, was rejected by the board of zoning appeals in Grafton, WI.

RJ Investments plans to build a competing facility at 1927 County Road W.; Hanney is building one at 1927 County Road W.

At a hearing on the petition, Hanney is quoted by GM Today stating: “We were just about to start construction, (and) I find out through the paper … the town just approved another storage facility a few hundred yards from me.”

Source: GM Today

Planned

Tulfra Real Estate of Rochelle Park, NJ, plans to build a 125,000-square-foot storage facility after buying a 6.5-acre property at 10 Kingsland St. in Nutley, NJ. Tulfra is a real estate management and development company. The property has been vacant for more than 10 years. More than 250,000 people live within 3 miles of the site. Source: Inside Self-Storage

Burke Street Self Storage is coming to Nashua, NH, with plans to put up eight new buildings and renovate an existing one at 131 Burke St., former home of the Improved Paper Machinery Company. The new buildings will have a combined 40,000 square feet of new storage, and the renovated building will have 53,000 square feet for storage, warehousing and office space. Machine reseller Lewis and Clark will remain on the site. Source: Union Leader

Jernigan Capital has made a $14.66 million construction loan to an entity of Express Building Systems to put up a five-story, 86,337-square-foot facility with 1,139 self-storage units in North Gables, FL. Express bought a 2.3-acre lot at 4250 Southwest 8 St. for $4.9 million. CubeSmart will manage the facility. Source: South Florida Real Estate News

A self-storage facility, retail store and gas station will be replacing a former farming complex at 1585 N. McCarthy Blvd. in Milpitas, CA. A planning commission granted approval to Los Gatos, CA-based McCarthy Ranch LP to develop the 9.34-acre parcel for mixed use. The self-storage facility will have 826 units in 188,011 square feet. Source: Mercury News

Under construction

Miller-Valentine Group and Coldwell Banker Commercial Atlantic are developing two self-storage facilities in South Carolina. The first is Persimmon Hill, a three-story, 90,000-square-foot facility in Goose Creek. Much of the first-floor work is finished. The opening is planned for Q1 2018. The second one is a three-story, 90,000-square-foot site in North Charleston, which is in its early stages. Completion is planned for Q3 2018. Source: Miller-Valentine Group

The Lockup bought the Graymills building at 3705 N. Lincoln Ave. in the North Center area of Chicago, IL., for $7.35 million. After 70-plus years in Chicago, Graymills, which makes industrial pumps and inking systems, left for the suburbs in 2016. CTA Brown Line tracks separate the two buildings. The Lockup runs storage sites in eight states. Source: dnainfo

Statler Boulevard Self-Storage, which will have 500 units, is under construction near Statler Boulevard and Kroger in Staunton, VA. It’s expected to open in January. Source: News Leader

Completed

Extra Space Storage Inc. is managing Hawaii’s first new storage facility to open since 2008, a 53,000-square-foot facility at 94-130 Leokane St. in Waipahu, on the island of Oahu. It has 650 units. Self-storage developer M4 Management Inc., which is based in Beverly Hills, CA, did the renovation of the former office/warehouse building. Stephen Grossman of Self Storage Investment Services Inc., in Laguna Beach, CA, represented M4 Management in the purchase. Read more here.

StorageMart opened its 18^th location in Iowa with a 57,810-square-foot, 439-unit facility in Waukee. It’s located at 225 N.E. Venture Drive. Overall, StorageMart operates more than 190 self-storage sites in Canada, the United Kingdom and the United States, with a combined 12 million-plus square feet of storage.

West Coast Self-Storage has opened a new storage facility at 12399 Northup Way in Bellevue, WA. It’s located off I-405 at Northup Avenue and 124^th Avenue.

The post The Roll Up: Weekly Self-Storage Development Round Up 9.27.17 appeared first on The SpareFoot Storage Beat.

Over the next few months, a New Mexico-based real estate developer is turning dirt on the first six self-storage facilities in its development pipeline.

From January through March, Albuquerque, NM-based Titan Development Ltd. is set to kick off construction on a total of more than 575,000 square feet of self-storage and over 4,300 units. All six facilities will be managed by Salt Lake City, UT-based self-storage REIT Extra Space Storage.

On Jan. 22, Titan Development laid out these details for the six projects, which are in New Mexico and Arizona:

• Extra Space Storage Gilbert & Warner in Gilbert, AZ. Groundbreaking: January 2018. Opening: Fourth quarter of 2018. Square footage: 102,546. Units: 755.
• Extra Space Storage Rodeo Business Park in Santa Fe, NM. Groundbreaking: January 2018. Opening: Third quarter of 2018. Square footage: 100,000. Units: 750 units.
• Extra Space Storage Vegas Verde in Santa Fe, NM. Groundbreaking: January 2018. Opening: Third quarter of 2018. Square footage: 88,000. Units: 643.
• Extra Space Storage Rio Rancho in Rio Rancho, NM. Groundbreaking: January 2018. Opening: Fourth quarter of 2018. Square footage: 88,000. Units: 650. Outdoor RV spaces: 92.
• Extra Space Storage Ladera & Unser in Albuquerque, NM. Groundbreaking: February 2018. Opening: Fourth quarter of 2018. Square footage: 107,000. Units: 790.
• Extra Space Storage Coronado & Ray in Gilbert, AZ. Groundbreaking: March 2018. Opening: Fourth quarter of 2018. Square footage: 91,000. Units: 744.

Phoenix, AZ-based real estate developer WDP Partners is Titan Development’s joint venture partner for the two Arizona facilities.

Self-storage is one of the investment targets of Austin, TX-based Titan Development Real Estate Fund I, which Titan Development established in April 2017. The fund’s other targeted sectors are industrial, multifamily, senior living and “opportunistic.” Before delving into self-storage, Titan Development’s portfolio consisted of commercial, industrial, mixed-use, multifamily and senior living properties.

So far, the private equity fund has collected more than $80 million toward its $200 million goal.

Drew Dolan, president of Titan Development, recently told The SpareFoot Storage Beat that with $200 million in equity, the fund will be able to tap into more than $600 million in development funding at a 65 percent loan-to-cost ratio.

“Titan Development’s objective is simple: maximize our investors’ returns and create value,” Dolan said. “In self-storage specifically, all indicators reinforce self-storage as an attractive asset class with good return potential. To that end, we are always evaluating growth into new marketplaces.”

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About 900 new self-storage facilities were built nationwide in 2017 – up 50 percent from 600 projects in 2016, according to BBG, a Dallas-based commercial real estate valuation, advisory and assessment firm.

Also, in the first eight months of 2017, the amount of money spent to build U.S. self-storage facilities was a record $2.27 billion, topping 2016’s final figure of $1.9 billion and a whopping 90 percent jump year over year, according to data collected by the US Census.

Among those developers spending money to build facilities: Johnson Development Associates, a real estate developer of commercial and apartment projects around the United States, recently finished its 21^st storage facility it opened under the CubeSmart brand. The company is based in Spartanburg, SC. The new self-storage location is a CubeSmart at 5056 New Country Drive near Hamill Road and Highway 153 in Hixson, part of metro Chattanooga, TN.

Johnson Development also has four projects reported to be under construction in Florida:

• A three-story, 105,000-square-foot building with 776 storage units on the south side of Rattlesnake Hammock Road in East Naples, FL, west of Collier Boulevard. It will be managed by Extra Space Storage.
• A 575-unit, two-story facility in North Naples to be managed by Extra Space
• A three-story, 757-unit also to be managed by Extra Space is going up off Juliet Boulevard in North Naples
• A two-story, 662-unit facility to be managed by CubeSmart in Bonita Springs.

The three latter projects all are scheduled to open in March.

Planned

An Extra Space Storage facility will be built on Western Avenue next to the Knoxville News Sentinel building in Knoxville, Tennessee. Miller Valentine Group, a development and design/build construction company with offices in Ohio, Texas and the Carolinas, is partnering with Coldwell Banker Commercial Atlantic a. The facility will have 700-plus units and approximately 100,000 square feet. Construction is scheduled to start in Q2. Source: Josh Flory

A Your Extra Attic facility has been proposed for the intersection of Majors and Post roads in Forsyth County, GA. County commissioners voted 5-0 to approve building and development plans, as well as to amend zoning conditions, for the new business. One requirement is that at least 5,000 square feet of the building is used for restaurant, retail or office purposes, or a combination of those. Source: Forsyth County News

A CubeSmart will replace a vacant Macy’s department store in the Richmond Town Square Mall in Richmond Heights, OH. DealPoint Merrill LLC bought the 162,190-square-foot site that sits on 9 acres. The purchase includes 30,000 square feet of retail space, set to hold two national restaurant brands.

Under construction

U-Haul bought a 7.82-acre property at 6215 E. Main St., East Mesa, AZ, that includes a 67,463-square-foot former shopping center, the Main Street Plaza. It plans to build a self-storage facility with 500 units there. The company currently offers truck and trailer sharing, moving supplies, towing equipment and more at a temporary showroom. Source: PR Newswire

One state north, U-Haul bought a former Sierra RV showroom at 1200 N. Main St. in Sunset, UT, and it plans to redevelop the site into a self-storage facility with 1,350 units. It’s located by the west side of Interstate 15 and Hill Air Force Base, near exit 335. U-Haul purchased the 21,980-square-foot site on Aug. 21. Source: PR Newswire

Completed

Barton Partners LLC has opened Big Tee’s Self-Storage at 2735 W. Delmar in Godfrey, IL, off of Illinois Route 3. It’s 3.1 miles west of Eppel’s Pantry and Deli, and near the sunset Bar and Grill, Dollar General and Melville Dairy. Big Tee’s has 142 units and 20,200 square feet split among three buildings. Terry Parton is the managing partner for the 24-hour facility. Source: Riverbender.com 

StorQuest Lakewood opened in that Colorado city at 9720 W. Colfax Ave., in the West Colfax Corridor Arts District. The William Warren Group Inc. owns it.  The three-story building has 862 units and 83,305 square feet. Source: PR Newswire

StorQuest Self Storage has opened at 325 Guthrie Lane in Brentwood, CA, opposite the Brentwood Police Department. The one-story building has 632 units and 88,370 square feet. Source: The Press

The post The Roll Up: Weekly Self-Storage Development Round Up 1.24.18 appeared first on The SpareFoot Storage Beat.

The self-storage industry built more than twice as many storage facilities in 2017 than it did the year before.

That is according a new findings released by Union Realtime, a data firm that tracks the industry. The company identified a total of 791 self-storage facilities that were completed last year, compared to 359 properties in 2016.

Unsurprisingly, the majority of the projects were located in the top 50 metros—a total of 494 facilities, The supply of net rentable self-storage space grew 3.8 percent in the top 50 markets, compared to 2.7 percent growth nationwide.

Several markets grew at a much faster pace, with the biggest increase in supply occurring in Austin, TX—which experienced a 9.5 percent increase in net rentable square footage, followed by Raleigh, NC with 8.4 percent and Denver with 7.8 percent.

A bigger year ahead?

If the January pace of new development is any indication, 2018 could be an even bigger year for self-storage development. So far this year, 26 storage facilities have already opened in the top 50 markets, the report stated. At that pace, the top 50 markets could see more than 600 new storage facilities open—a 22 percent increase over 2017.

You can view the report below:

You can read more at The Storage Press.

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Phoenix-based Wentworth Storage Co. bought nine properties in 2017, a combination of existing storage facilities and development sites. It also sold three facilities in the Las Vegas area.

The nine purchases in 2017 included three existing storage properties, five ground-up development sites and one big-box retail property, which will become a storage site.

By the end of Q1, WSC will have started five buildings from scratch plus the conversion project at these sites:

• A vacant big-box building, totaling 94,874 square feet in Phoenix. It will have 683 units.
• A land purchase of 1.63 acres in Phoenix. A new self-storage building will have 71,573 square feet and 745 units.
• 11.1 acres in Scottsdale, AZ, is being developed as Pima 101, with 89,305 square feet and 885 units.
• A 3.36-acre site in Phoenix, which will have a self-storage facility with 90,491 square feet and 674 units.
• 2 acres in Tigard, OR, adjacent to the recently acquired facility at 11708 SW Warner Avenue. A self-storage building with 50,333 square feet and 524 units is planned.
• 25.7 acres in Colorado Springs, CO, with a 94,085-square-foot, 913-unit facility going up.

Wentworth Property Co. launched WSC in 2015, and the latter owns self-storage sites in Arizona, California, Colorado and Oregon.

Planned

There is more activity in Tigard to report. Trailblazer Development LLC received approval for its 99-West Self-Storage facility in Tigard, OR. The City of Tigard Planning Division approved a conditional-use permit and site development plans for the company’s 120,000-square-foot, climate-controlled project at SW Atlanta Street, across the street from Costco, in the Tigard Triangle. With 950 units on five stories, it would become the largest self-storage facility in Tigard. Cascade Pacific Investments, a private-equity firm based in Portland, OR, and with satellite offices in San Francisco and Los Angeles, is providing 90 percent of the equity to Trailblazer. The project will have no debt. Source: Cascade Pacific Investments LLC

Outbox Self Storage is growing in the Carolinas. The company bought a 100,000-square-foot self-storage facility in Mooresville, NC, and is building a new self-storage site in Myrtle Beach, SC.  Just southwest of Myrtle Beach, at the intersection of Glenns Bay Road and U.S. 17 in Surfside Beach, the company will build a 75,000-square-foot facility with 564 units. This is expected to open in the spring.  Source: Commercial Property Executive 

This project requires a lot of renovation work, but Jim Cherney, owner of Cherney Development, said he has turned other large properties into self-storage facilities. He paid $950,000 for an 11-acre site that includes the dilapidated former Happy’s Flea Market building on Williamson Road in Roanoke, VA. The building is nearly 60 years old; city officials deemed it unsafe and closed it in 2015. Cherney plans to build a drive-through facility there. He hopes to complete the redo by the summer. Source: The Roanoke Times 

Perhaps the fourth time will be the charm in Slinger, WI. The Slinger Planning Commission, in a fourth vote on the matter, approved a conditional-use permit for developer Kevin Dittmar. He plans to build several self-storage buildings on a 5.4-acre lot along the west side of Hillside Road (Highway C). His earlier proposals called for about 52,000 square feet of self-storage space. Source: gmtoday

Atlantic Landscape Construction has presented a plan for residential and self-storage units on the former New Land Nursery & Landscaping lot on Bangor Road in Ellsworth, ME. It will go before the Ellsworth Planning Board public hearing on Feb. 7 for a hearing to determine if its application is complete. The company’s plans include 11 storage buildings plus four duplexes with two units in each building. Source: The Ellsworth American

Developer Proffit Dixon will build a new seven-story, 91,000-square-foot, 1,080-unit self-storage facility that is planned for uptown Charlotte, NC. It will go on a 1-acre site at 969 East Seventh Street, between office condos and Interstate 277. A company with ties to Proffit Dixon bought the vacant land from Trinity Episcopal School for under $2.5 million in December. The building, which will include 2,150 square feet for commercial space, will open in early 2019. CubeSmart will manage.

“Upon completion, this will be the largest self storage property inside Uptown Charlotte’s 277 Loop,” said William Bowman, one of the development partners.

HFF (Holliday Fenoglio Fowler, L.P) secured financing on behalf of the developer. The HFF debt placement team included senior director Brent Bowman and senior managing director Travis Anderson. Source: Charlotte Observer and HFF.

Under construction

Modular Mini Storage Inc. is putting up a self-service storage facility at the 1100 and 1200 blocks of Hawthorne Ave. NE on 5.06 acres in Salem, OR. The City of Salem is reviewing permits for 14 buildings (13 storage buildings and one office). Source: Statesman Journal 

AAA Storage Inc. is building self-storage facilities at two Iowa sites. One comprises 102,000 square feet of storage space in single- and multistory buildings that are nearly finished at 2175 N. Ankeny Blvd. in Ankeny. AAA also will build a 125,000-square-foot multistory site at 6340 Stagecoach Drive in West Des Moines. Construction begins in the spring, with completion scheduled for the end of 2018.  Source: Inside Self-Storage 

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If all goes as planned, dozens of self-storage facilities built out of repurposed shipping containers will be surfacing around the country with backing from a Texas startup and a growing number of investors.

Houston, TX-based startup GreenSpace Holdings LLC already has a commitment from a high-net-worth investment group to develop an estimated 50 multistory self-storage facilities over the next eight years — “as long as the economy will support that,” said David Ledoux, co-owner of GreenSpace.

While the facilities will be built using shipping containers, they won’t look like a cargo ship washed up on Main and Main. GreenSpace’s facilities will be aesthetically similar to competing properties.

Ledoux said his company’s final product will be indistinguishable from any other Class A self-storage facility — except when a customer rolls up the door of a unit and spots corrugated shipping-container metal inside. Traditional materials like concrete masonry, glass, stone and stucco will accentuate the exterior.

“One of the things that’s unique about our design, and what no one else is doing, is that when we finish a facility, if you’re walking along the outside or walking in the hallways, you’ll never see any single piece of a shipping container,” Ledoux said.

More partners on deck

Aside from the unidentified high-net-worth investment group previously mentioned, other investors are involved in the two facilities that GreenSpace has underway in the Houston, TX, area, Ledoux said. Memphis, TN-based self-storage lending REIT Jernigan Capital Inc. is financing one of those facilities and is discussing other projects with GreenSpace, according to Ledoux.

In addition, a private equity firm in Houston is interested in teaming up with GreenSpace on another 20 or 30 multistory facilities, Ledoux said. GreenSpace didn’t reveal the firm’s identity. Under that partnership, the site for the first facility already has been purchased, GreenSpace co-owner Rick Stockton said, and the second facility will be on a site in the same metro area. He declined to name the metro area.

Stockton said the private equity firm is “definitely on board” with the first two facilities, which he indicated will serve as a “gateway” to the other facilities.

Expansion ahead

All told, GreenSpace is tentatively plotting development of roughly 80 facilities within the next decade. Each of the projects will be a “really nice-looking” three-story Class A facility on about 2.5 acres, Stockton said.

Aside from the Houston area, GreenSpace is scouting regions like Austin and San Antonio, TX; Boston, MA; Miami, FL; Portland, OR; and San Diego, CA, for potential development sites.

“Anywhere that self-storage is needed, we can build, as long as it’s done properly,” Stockton told The SpareFoot Storage Beat.

Beyond putting up its own facilities, GreenSpace plans to license its patent-pending construction technology to other self-storage developers. Most of the facilities developed by GreenSpace will be held as long-term investments, Stockton said, while some will be flipped at the certificate-of-occupancy stage.

Construction underway

GreenSpace broke ground on the Pearland facility, at 2515 Westminster Road, in July 2017. The facility will feature 95,565 square feet and a little over 1,000 units on a 2-acre site. Completion of the Pearland facility is set for this April or May.

The Pearland facility is thought to be the first self-storage facility in the world that’ll be made of shipping containers.

In December 2017, GreenSpace broke ground on the Houston facility. The 132,967-square-foot facility, on a 2-acre site at 1050 Brittmoore Road, will contain 1,400 units. The Houston facility is scheduled for completion this August.

Malvern, PA-based self-storage REIT will be the third-party manager for the first two GreenSpace facilities.

The two facilities that CubeSmart will operate are in Houston and the Houston suburb of Pearland, TX.

From cargo ships to storage units

What makes GreenSpace’s facilities stand out from others is, of course, the patent-pending approach to developing them. Ledoux and Stockton said their shipping-container design reduces the cost of building multistory self-storage projects by as much as 50 percent and slashes the construction timetable by four to six months. In addition, they said, their model decreases the occupancy level needed to reach the breakeven point by about 45 percent.

Stockton said all of the containers being purchased by GreenSpace were used at one point to carry cargo on ships. Since it takes about 200 to 300 shipping containers to build one self-storage facility, GreenSpace could end up recycling more than 24,000 shipping containers if it proceeds with development of 80 facilities. The Pearland facility is being built with about 320 surplus shipping containers.

GreenSpace says reuse of shipping containers lowers demand for electricity during the manufacturing of building materials and the self-storage construction process, and reduces carbon dioxide emissions.

During construction of the Pearland facility, the environmentally friendly shipping-container process will save enough electricity to power an estimated 527 homes for one year and cut carbon dioxide emissions by 660 tons, Ledoux said.

Cost savings

Ledoux pointed out that using surplus shipping containers for self-storage construction eliminates the need for extra structural steel for walls and roofing, and the need to pour concrete for the foundation, second floor and third floor.

Nationally, the average cost for construction of a multistory self-storage facility is $75 per square foot, according to Ledoux. By comparison, he said, GreenSpace’s first two facilities are coming in at an average construction cost of nearly $48 per square foot. And Stockton is working on tweaks that could bring down the per-square-foot cost by another $5.

Stockton said that if self-storage development capital were to dry up, the cost savings enabled thanks to GreenSpace’s technology will make it easier to secure financing for projects.

“You’re reducing the lender risk. The loan-to-value ratio is going to be much less on our stores than it is on other stores,” Stockton said.

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Lumpkin Development plans to open a Metro Mini Storage facility now that it has bought a defunct shopping mall, the 65-acre Century Plaza in Birmingham, AL, for $3 million. The mall has been empty for nine years, but Eddie Lumpkin said it remains in decent shape.

Lumpkin will convert the former Sears department store into the storage facility and lease the other retail space in the mall for as low as $5 per square foot. The project is just the latest dead mall anchor to find new life as a storage facility.

Since the closing of the mall in 2009, rumors about what would happen at Century Plaza included a church, private school, Costco store, apartments and a federal prison.

Planned

John Battle of Lee & Associates’ LA North/Ventura office represented the buyer and seller in the sale of a closed Kmart store to the real estate arm of U-Haul, which will convert the building to a self-storage site. The seller was a family trust. The purchase price was $5.2 million for the building at 1810 W. Avenue J at the corner of 20^th Street West in Lancaster, CA. U-Haul will turn it into 80,000 square feet of storage. It also will add rental truck storage on the 9.28-acre site. Source: Lee & Associates

The Natchez Group of Nashville, TN, received preliminary approval to build a 70,000-square-foot self-storage building at 281 E. Main St. in Hendersonville, TN. The company is finalizing the design and also seeking to secure financing, with hopes of breaking ground within four months. Source: The Natchez Group.

Tampa firm enters Kansas City market with $11M storage project, eyes multifamily https://t.co/q7h6upXQzF pic.twitter.com/1euu60gCCq

— Tampa Bay Business Journal (@TBBJnewsroom) February 5, 2018

Phillips Development & Realty LLC bought a 1.5-acre parcel at the corner of Southwest Boulevard and Rainbow Boulevard in Kansas City, KS, for $11 million, with plans to develop a 100,000-square-foot self-storage facility there. Construction begins in the third quarter. Rose Design Group Inc. of Lenexa, KS, is designing the facility. Phillips Development has completed $700 million of development and was named the 11^th-largest multifamily developer in the nation. Source: Kansas City Business Journal

The Centralia Board of Aldermen approved a zoning change that enables Rob and Sara Paben to apply for a conditional-use permit. They seek to convert the former LaCrosse Lumber building at 212 W. Singleton St. in Centralia, MO to a self-storage building. Source: Centralia Fireside Guard

The Jupiter, FL, Planning and Zoning Commission will consider a plan to build a 150,000-square-foot storage facility on Feb. 13. It would go on a 7-acre site at the southeast corner of Frederick Small Road and Sweet Bay Circle. Compass Self Storage, based in Cleveland, OH, plans to have about 800 storage units and several buildings, with the tallest being three stories.

Meanwhile, Jupiter’s Town Council approved a self-storage site on the south side of Indiantown Road, across from the Jupiter Medical Center Urgent Care Clinic. Pinnacle Storage LLC plans to demolish the Ellison Graphics building and build a three-story structure with about 700 storage units and 98,000 square feet. Source: Palm Beach Post

Vacant shopping center to become self-storage facility – The Augusta Chronicle https://t.co/rzSqtAKeJC #shopping #bargains pic.twitter.com/UJ7PIY8Q3z

— Amita (@Amita072) February 5, 2018

In Georgia, Augusta Storage LLC bought the mostly vacant Wrightsboro Plaza from Augusta University for $1.675 million and plans to build at 45,000-square-foot self-storage facility, called Forest Hills Storage. The retail strip center is at 3116-3136 Wrightsboro Road. The last tenant, Dollar General, is moving into a space at 3156 Wrightsboro Road. Source: The Augusta Chronicle

Completed

Extra Space Storage is managing a new self-storage facility in downtown St. Petersburg, FL, the result of a partnership between Liberty Investment Properties of Orlando, FL, and Osprey Capital of Tampa, FL. The building is four stories and has almost 600 units in 92,000 square feet. Next door, the new building of the St. Petersburg Police Department Headquarters is being built. Source: Liberty Investment Properties

Ocean Storage/Bay Storage has opened a self-storage facility, managed by Storage Asset Management Inc., at 801 W. Little Creek Road in Norfolk, VA. It has 497 units and more than 66,000 square feet. Ocean Storage now has opened five self-storage sites in the area. Source: Storage Asset Management Inc.

StorQuest has opened a large self-storage facility at 319 Tonnelle Ave. in Jersey City, NJ, near the Pulaski Skyway and the Holland Tunnel. It has 1,712 units and takes up 117,352 square feet. Source: StorQuest.

Expansion

NitNeil Partners will add 30,000 square feet of self-storage space to its existing facility in downtown Greenville, SC. Located in the West End Historic District at 401 Dunbar Street, the three story facility was first completed in 2015, replacing a dilapidated industrial building that had been abandoned for over a decade.

The post The Roll Up: Weekly Self-Storage Development Round Up 2.7.18 appeared first on The SpareFoot Storage Beat.

Yet another shuttered department store is getting the self-storage treatment.

US Storage Depot plans to convert a former J.C. Penney store in Aviation Plaza in Oshkosh, WI, into a self-storage facility. The 62,000-square-foot building has been vacant since J.C. Penney closed it in April 2015. US Storage Depot plans to convert the strip mall at South Park Avenue and South Koeller Street into offices and 370 self-storage units.  Source: USA Today Network-Wisconsin

Planned

Jernigan Capital Inc. invested $11.7 million in a Cascade Storage Partners LLC self-storage facility in Minneapolis, MN. In Q2, Cascade plans to start converting a building at 3216 Winnetka Ave. into a multistory facility with 813 units and 83,114 square feet. In 2017, Jernigan invested $409 million in storage facilities nationwide. Source: Commercial Property Executive

Platinum Storage Group will begin construction in March of Brentwood Self Storage, an 828-unit, 120,000-square-foot facility in Brentwood, TN. It will go up on a 2.8-acre site at the intersection of Old Hickory Boulevard and Cloverland Drive. Platinum Storage Group is a privately held commercial real estate company based in Orange County, CA. Source: PR Newswire

AMERCO, parent company of U-Haul, purchased the Willis Day building, a 96,000-square-foot warehouse at 801 Washington St. in Toledo, OH, for $1.75 million, and plans to convert it into a self-storage facility. Bill Rains, a U-Haul district vice president, said the company will spend between $3 million and $4 million to convert five of the building’s six floors into as many as 500 units. Also, there will be a U-Haul store on the first floor. Source: The Blade

U-Haul parent company completes purchase of Willis Day building.https://t.co/xK0gXVawsV pic.twitter.com/nBzKxcfgsX

— The Blade (@toledonews) February 13, 2018

The Young Group has altered course and will convert a vacant Tysons, VA, office building into a self-storage facility rather than into residential units. The Falls Church, VA, company bought the 80,000-square-foot building at 1764 Old Meadow Lane for $6.45 million. The building is empty and was rezoned for up to 225,000 square feet of office space or 275 residential units. But The Young Group said self-storage now makes more sense, and the units are expected to be finished by year-end. Source: Bisnow 

Phillips Development and Realty of Tampa, FL, is entering the Kansas City, KS, market, purchasing a 1.5-acre parcel on Southwest Boulevard. Making a total investment of $11 million, Phillips plans to build a 700-unit, 100,000-plus-square-foot CubeSmart self-storage facility there. Phillips intends to explore other opportunities in the area as well. Source: Phillips Development and Realty

The Napa Valley Planning Commission approved a self-storage facility in unincorporated Napa County, CA. Ryan Smith’s plans call for four buildings with a combined 105,099 square feet of space. It would be located on 7 acres along Devlin Road, near Sheehy Court in the airport industrial area. Smith’s family has built 18 self-storage facilities, mostly in Northern California.  Source: Napa Valley Register

Liberty Investment Properties Inc. of Orlando, FL, is investing between $8 million and $10 million to open Jax Mini Storage in the San Marco area in Jacksonville, FL, by early 2019. It will have almost 700 units. The St. Johns River Water Management District is examining plans for the three-story, 99,000-square-foot facility, which would sit on 2.36 acres at 1820 Kings Ave. at Landon Avenue. Source: Jacksonville Daily Record 

The planning and zoning commission in Ridgefield, CT approved the mixed-use overlay zone for the development of the 35 Old Quarry Road building, with residential units on the second and third floors, plus the 10,000-square-foot Ridgefield Storage Center self-storage space on the first floor. Completion is expected in the fall. Source: Hamlet Hub

Marcus & Millichap sold a development parcel at 27 North Courthouse Road in Richmond, VA to a private investor. The Courthouse Land Development of 7.3 acres includes an approved development site for a self-storage facility. Michael Mele and Luke Elliott, investment specialists in Marcus & Millichap’s Tampa, FL, office, represented the buyer. 

Completed

Public Storage opened a 350-unit, 133,767-square-foot, three-story self-storage facility at 16100 S. Avalon Blvd. in Gardena, CA, with plans to add another 800 units this month. The site is near the intersection of Interstate 110 and Freeway 91, about 25 minutes from downtown Los Angeles. Source: Commercial Property Executive 

Secure Storage of Selma, CA, has expanded, adding 270 new units, for a new total of 900, to its self-storage facility. The facility also has added drought-resistant landscaping, solar systems, water features and LED lighting. Source: The Business Journal

The post The Roll Up: Weekly Self-Storage Development Round Up 2.14.18 appeared first on The SpareFoot Storage Beat.

New life has come to a proposed self-storage facility near the Tramonto development in Phoenix, AZ.

Developer High Range Partners withdrew its application after local residents objected to the facility at a meeting of the Phoenix North Gateway Village Planning Committee. But Brexton LLC came along, partnered with High Range Partners and revived the pitch for a two-story, 117,000-square-foot building. Brexton also made changes to the site plan following requests from the Tramonto HOA board.

The facility would be located between the Ironhorse at Tramonto apartments and Casitas at Tramonto, which is under construction. Source: North Phoenix News

Planned

Urstadt Biddle Properties, which owns The Dock shopping center in Stratford, CT, will seek approval from town officials to build a five-story self-storage facility. The site would have about 120,000 square feet for storage space plus a retail building. The company is talking to prospective chain restaurants about the retail space. Urstadt Biddle, a REIT, owns and operates about 80 small-to-midsized shopping plazas in Fairfield County, New York and New Jersey. Source: ctpost 

Eastland Partners, a real estate investment company, plans to build a self-storage complex in south Framingham, MA. The company purchased a closed industrial site at 120 Leland St., about 4 acres, for $1.9 million in December. Eastland will demolish the building and get rid of the pavement in order to build five one-story buildings, one two-story structure plus a one-story warehouse/office building. These projects will take about three years. Source: The MetroWest Daily News

Moove In Partners-Pottstown LLC paid $2.4 million to purchase an automobile showroom and 6.39 acres of land at 2148 E. High St. in Sanatoga, PA – and a published report said the new owner seeks to convert it into a self-storage facility. The sale closed on Dec. 21, 2017. Tri-County Chrysler Dodge Jeep Rambler was the last entity to occupy the showroom. The purchasing entity is affiliated with Moove In Self Storage, which runs 21 self-storage sites in Maryland, New Jersey and Pennsylvania. The company also bought existing facilities in Douglassville and Sanatoga. Source: The Post

Under construction

U-Haul Moving & Storage of Sioux City, IA, plans to build about 900 self-storage units in a former Kmart store building that has 109,500 square feet. The company opened a temporary showroom there after purchasing the building Jan. 11. There, it offers truck and trailer sharing, towing equipment, moving supplies and U-Box portable moving and storage containers. U-Haul will add propane and professional hitch installation later on. Source: PR Newswire

Valscott Properties LLC (Scott and Valerie Gayer) expect to open Phase I of Kansas Expwy Self Storage at the southwest corner of Kansas Expressway and Grand Street in mid-March in Springfield, MO. The first phase includes six mini-storage buildings with a combined 150 units. Phase II plans are for another seven buildings on the 4.6-acre lot. Hambey Construction LLC is the general contractor. Source: SBJ Business Authority

U-Haul is converting two five-story towers that served as Boeing airline customer support offices into a self-storage facility that will offer approximately 3,800 units at 2925 S. 112^th St. in Tukwila, WA. U-Haul Moving & Storage of Duwamish is working in a temporary showroom, offering truck and trailer sharing, moving supplies, towing equipment and more. The towers have a combined 323,758 square feet.

“This location will help us bring truck sharing and self-storage to the community of Tukwila and nearby SeaTac, Burien, South Park, Allentown, Glendale and Riverton-Boulevard Park,” said Kim Merow, president, U-Haul Company of South Seattle. Source: PR Newswire

Completed

StorQuest opened a self-storage facility in November 2017 at 605 US Highway 1 in Vero Beach, FL. It has 670 units and 58,350 square feet. Source: Market Insider

The post The Roll Up: Weekly Self-Storage Development Round Up 2.21.18 appeared first on The SpareFoot Storage Beat.

A new Storage King USA facility is planned for 1245 Northeast 12th Avenue in Homestead, FL.

The 110,000-square-foot project is a joint venture between Andover Properties and Angelo, Gordon & Co. The developers plan to fund the project with a $6 million construction loan, according to The Real Deal. The joint venture purchased the 3-acre site in October 2017 for $1.2 million. Completion is expected by the end of 2018.

Planned

The Cobb Board of Commissioners approved a self-storage facility for the former Mountain View Elementary School site in northeast Cobb, GA. It’ll be three stories high and have 100,000 square feet, and be part of a mixed-use development on the 14-acre site on Sandy Plains Road. Plans call for restaurants, shops and other retail. The developer, Brooks Chadwick Capital, obtained a special land-use permit in order to include the self-storage site. Source: East Cobb News

Construction begins in June for the CubeSmart-managed four-story retail self-storage building, one of the pieces in the 73-acre Ravaudage project at U.S. Highway 17-92 and Lee Road in Winter Park, FL. Other Ravaudage projects starting in June are the Bainbridge five-story, 278-unit apartments and parking, and The Watercrest 107-bed assisted-living and memory-care facility. Source: Orlando Sentinel

Completed

Life Storage was named manager of the self-storage facility that Scottsdale, AZ-based 1784 Capital Holdings LLC has finished in Tucson. It’s the first phase of 1784’s Orange Grove self-storage development at 121 W. Orange Grove. The first phase has about 540 units. Construction has begun on the second phase, which will have 180 units upon its May completion. Both new buildings are two stories. 1784 is developing several self-storage sites nationally, and has budgeted $250 million for those projects. Source: The Rodie Company

The post The Roll Up: Weekly Self-Storage Development Round Up 2.28.18 appeared first on The SpareFoot Storage Beat.

Jernigan Capital CEO Dean Jernigan kicked off the company’s recent earnings conference call with his own spin on a classic Mark Twain quote: “The reports on the demise of the storage sector are greatly exaggerated.”

The publicly-traded self-storage sector took a hit in 2017 as revenue growth decelerated at an alarming clip for many investors. That’s in large part due to a record levels of self-storage construction that has brought on a rising tide of new supply in markets across the country. But Jernigan, whose company invested $408.8 million in new self-storage development last year, says he thinks the negative prognostications about the industry are overblown.

“I think 2018 is going to be a much better year than what anyone is thinking at this point in time,” Jernigan said. “I think the sector will get back towards historical norms as far as top line growth  of about four percent.”

Lend, build, buy

The company acted on its bullish view of the storage industry, buying out developers’ interests on four projects in January and February of this year, bringing the total number of wholly-owned facilities to five in 2018.

That is a key part of the company’s strategy: issue participation loans to self-storage development partners, and buy out their interests at a later date. The company invested in a total of 32 self-storage development projects in 2017.

The company expects to invest between $300 million to $340 million into new self-storage projects in 2018.

When will development taper off?

Looking just at the top 50 metro areas, Jernigan said he expects about 400 starts from last year to cross the finish line in 2018. That would be just less than the estimated total deliveries in 2017. And Jernigan expects a similar number in 2019.

“Its kind of a flat top here. I think that number will drop precipitously in 2020,” Jernigan said.

Jernigan projected 150-200 deliveries in 2020.

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Swing and a miss: The Los Altos Batting Range at 9501 Lomas NE in Albuquerque, NM, has struck out after 35 years, a victim of baby boomers developing sore shoulders, arms, backs and knees, as well as increasing competition from indoor ranges.

Owner Dick Mann, 68, plans to spend $300,000 to replace it with the 100-unit ABQ Self Storage on Lomas within a few months. For those that still need to re-create their youth with an outdoor batting practice fix, Mann will keep operating Sluggers on Montgomery.  Source: Albuquerque Journal

Los Altos Batting Range swings shut https://t.co/ldv1TZv1jt pic.twitter.com/mcOZOVw3Y4

— Albuquerque Journal (@ABQJournal) March 2, 2018

Planned

Brockton & Main LLC of Provo, UT, plans to convert the former Micro Wire headquarters at 120 North Main St. in Brockton, MA, into a 75,000-square-foot self-storage facility. Brockton & Main, which is managed by Patagon Ventures, bought the building for $2.6 million. Micro Wire, which occupied the building for 21 years, moved to an 18,000-square-foot site at 5 Mear Road in Holbrook. Source: The Enterprise

Vernon Township, PA, supervisors approved a new self-storage facility at 14458 Conneaut Lake Road. Robert Pitts, who owns 26 acres at the location, plans to put up two buildings of 20 storage units each, and the buildings would be about 1,200 feet from Conneaut Lake Road. Pitts also said he would consider two more buildings in about a year “depending on how things go.”  Source: The Meadville Tribune

The Wildomar, CA, Planning Commission approved the Smith Ranch Self Storage project that is planned for the southwest corner of Smith Ranch and Clifton Keith roads. The eight-building project would have a combined 172,398 square feet of space on a 9.75-acre parcel. Building A would have office space and a visitors’ waiting area, plus 6,598 square feet for 106 units. Buildings B-H will offer 1,195 units, plus 66 RV spaces in the back.  Source: Valley News 

The Historic Printworks Mill in Greensboro, NC, comprised of industrial buildings that went up starting in 1913, has fallen on hard times since its 1977 closing. But Madison, WI-based Alexander Co., which has restored other historic sites nationwide, plans to renovate the mill to include 80,000 square feet of self-storage, 217 multifamily apartments, indoor and outdoor community spaces, and 9,000 square feet of retail space. The Greensboro City Council recently named the Mill a Guilford County Landmark. Source: WFMY News 2

Here is aerial footage of what the factory looks like today:

Under construction

Life Storage will manage a $10 million development in Oro Valley, AZ, where 1784 Capital Holdings LLC of Scottsdale, AZ, just broke ground. The self-storage facility will have 807 units and four stories (one below ground), including a 3,800-square-foot retail office suite for lease. Completion is planned for the end of 2018. Located at 11061 N. Oracle Road, it’s within the Steam Pump Village Shopping Center, next to a Holiday Inn Express and behind a Quik Trip convenience store. 

Completed

Corunna Self Storage will open April 1 at 2900 E. M-21, west of Escott Road, in Caledonia Township, MI. Joe Newton and his wife, Linda, co-own the company. Source: The Argus Press

Atlantic Self-Storage, which opened at 2400 Palm Valley Road in Nocatee, FL, is now fully operational. Ash Properties Inc. operates the facility. Nocatee is near Jacksonville. Source: Ponte Vedra Recorder

A new Extra Space Storage-operated facility, designed by Overcash Demmitt Architects of Charlotte, NC, has opened at 4601 South Blvd. in that city. The three-story building has 99,984 square feet and 706 units. Premier Storage Investors LLC of Memphis, TN, is the owner and Edifice Inc. was the contractor.  

The post The Roll Up: Weekly Self-Storage Development Round Up 3.7.18 appeared first on The SpareFoot Storage Beat.