Lancaster Self Storage Property Sold

Previously Foreclosed Property Sold for $2.6 Million

Today I announced that Bancap Self Storage Group has successfully brokered the sale of the AAA Stor-Stuff Self Storage property located in the city of Lancaster in Los Angeles County, California.  I was the exclusive listing agent for the property.   

 The seller was a private investment firm that had purchased the mortgage on the property from a special servicing firm after they had begun the foreclosure process.  After the foreclosure of the property was completed, the group elected to list the property for sale. The buyer is a private limited liability company owned by local investors who are new to the self storage industry.

AAA Stor-Stuff  Self Storage was built in1986 and is a well-designed single story facility with all drive-up units.  The building walls, roofs, partitions and doors are all metal construction.  Located on 4.2 acres of land, the property contains over 61,600 net feet of self storage space divided into approximately 520 units.  There are also 39 uncovered vehicle storage spaces for RVs, boats and automobiles.

The property sold for $2.6 million (approximately $42 per net square foot) on a “cash to new loan” basis.  Occupancy at the facility was about 65% and climbing.  This was a rare opportunity to purchase a temporarily under-performing self storage property in Los Angeles County with significant upside potential.

There have only been a handful of foreclosed storage properties listed for sale in Southern California in the past few years and we have been the exclusive listing broker for most of them.  There are plenty of buyers looking to “steal” lender owned properties, but we have been able to obtain very good prices for sellers – and always more than the “unsolicited” or “direct offers” received from potential buyers or other brokers before our listing and marketing of the property.  Self storage is such a unique property type and it takes a specialist with proven expertise and experience to maximize value for sellers in this unique property niche.

 

Bancap Self Storage Group Begins Marketing of Lender-Owned Self Storage Property in Orange County

Bancap Self Storage Group, Inc., the “#1 Self Storage Broker in California,” recently announced that it has begun marketing and sales activities for the lender owned self storage property known as Newport Mesa Self Storage in the city of Costa Mesa, California. The firm was selected as the exclusive listing broker for the Orange County facility.

Newport Mesa Self Storage is a three-story self storage property located on Newport Boulevard in the city of Costa Mesa in Orange County, California. It is currently operating under the Storage Direct trade name. The property is located on a busy frontage road with freeway visibility along the busy 55 (Costa Mesa) Freeway. This freeway is the main connection between Newport Beach and the rest of the Orange County metropolitan area.

The project contains approximately 37,870 net square feet of storage space in 480 rental units. The property is currently at 62% occupancy by unit count and 72% occupancy by rentable square footage. Economic occupancy currently stands at about 65% of the gross potential rental income. As the average occupancy in the area is approximately 90%, it appears this property has significant upside potential to increase value with higher occupancy and income.

“There have been very few storage properties available for sale in Southern California and especially in Orange County,” said Dean Keller, President of Bancap Self Storage Group. “This is a rare opportunity to purchase a well located facility in a very desirable market, with tremendous upside potential.”

Costa Mesa is well known for its retail (including the renowned South Coast Plaza), higher education (including Orange Coast College and Vanguard University) and its arts and entertainment (including the Segerstrom Center for the Arts.) The city is ideally located with close proximity to commercial, industrial and residential districts around the Orange County / John Wayne Airport area. It is also closely associated with its coastal neighbor, the world famous Newport Beach.

The property was recently obtained through foreclosure and the foreclosing lender/owner is represented by LNR Partners, LLC as the special servicing agent for the note-holders. LNR Partners has engaged Platinum Storage Group to provide professional property management services for the property. LNR has previously engaged Bancap Self Group as its exclusive broker – most recently in the sale of the Casino Self Storage property in Moorpark, California.

Bancap Self Storage Group is the top selling broker of self storage facilities in California with over $900 million in completed sales. The company has specialized exclusively in self storage properties for over 25 years. The firm has recently brokered several lender-owned “REO” properties, as well as several first-class high occupancy properties that were very profitable. The firm has also facilitated numerous self storage portfolio sales in the state.

For more information contact Dean Keller, President of Bancap Self Storage Group at (949) 888-5355 or visit the company web site at www.bancapselfstorage.com

Bancap Self Storage Group Selected To Market Lender-Owned Self Storage Property In Southern California

Casino Self Storage in Moorpark, California is Listed for $11.5 Million.

Bancap Self Storage Group has been selected as the exclusive broker for a lender owned self storage property in Ventura County, California. The firm will handle the marketing and sales activities for the Casino Self Storage property located in Moorpark, California. The property has been listed for sale with an asking price of $11,500,000.

Casino Self Storage is an attractive, well designed and nicely constructed “Class A” self storage project. The project shows very well and enjoys good corner visibility and easy access on State Highway 118 / West Los Angeles Avenue with an average daily traffic count of approximately 32,500 vehicles per day.

The two-story facility offers over 85,000 net square feet of self storage space demised into 822 units, including 91 climate controlled spaces. The buildings are concrete block, stucco and metal construction with metal interior partitions, roofs and doors.

“There have been very few properties of this quality available for sale in Southern California,” said Dean Keller, President of Bancap Self Storage Group. “This is a rare opportunity to purchase a first class facility in a very desirable market, with tremendous upside potential.”

The city of Moorpark is nestled in a flourishing valley near the larger cities of Simi Valley and Thousand Oaks. The area boasts spacious mountain views, a perpetual vacation climate, historical western charm, beautiful residential neighborhoods, outstanding schools, an exceptional college, fruit stands, cultural arts, fantastic shopping and a variety of restaurants. Moorpark is the perfect blend of country and city living. It is a family-oriented community with abundant open space, hiking & equestrian trails, world famous golf courses and incredible sunsets.

The property was recently obtained through foreclosure and the foreclosing lender/owner is represented by LNR Partners, LLC as the special servicing agent for the original loan. LNR Partners has also engaged Platinum Storage Group to provide professional property management services for the property.

Bancap Self Storage Group is the top selling broker of self storage facilities in California with over $900 million in completed sales. The company has specialized exclusively in self storage properties for over 25 years. The firm has recently brokered several lender-owned “REO” properties, as well as several first-class high occupancy properties that were very profitable. The firm has also facilitated numerous self storage portfolio sales in the state.

For more information contact me at (949) 888-5355 or visit the company web site at www.bancapselfstorage.com

The Self Storage Sales Market is Hot Again

The Self Storage Sales Market in California is Hot Again!

Over the past couple months, there has been a dramatic improvement in the self storage sales market! Specifically for institutional quality properties in primary market areas, there has been a significant increase in activity.

Here is what we are seeing now:
A pent-up demand for quality properties.
Ample equity capital that needs to be invested.
Lenders are becoming more active with funds to lend.
Interest rates at or near all time lows.
Buyers are getting more aggressive.
Cap rates are coming down again.
Bidding wars on available self storage offerings.

Although buyers are still primarily interested in only purchasing based on "real" current income, they are becoming more aggressive in what they are willing to pay for that income stream.

PROPERTIES ARE SELLING AGAIN!
We Have Motivated Buyers!
We Have All Cash / Quick Close Buyers!
We Have 1031 Exchange Buyers!
We Need More Good Properties to Sell!

I encourage owners of "investment grade" self storage properties in California to call us today for a free "No Obligation" analysis of the value of your self storage property.