Strategic Storage Trust, Inc. (SSTI) announced today that it purchased two self-storage facilities from Chicago Five Properties, LLC, for a combined purchase price of $23 million, cash. One facility is located in Fort Lee, New Jersey, while the other is located in Weston, Florida.
SSTI’s chairman and CEO, H. Michael Schwartz, was pleased with the acquisition. “These facilities represent newer Class A properties in prime markets,” he said. “Both properties offer the latest generation of secured climate-controlled self storage featuring convenient access to major roads and interstates.”
The Fort Lee, NJ facility was built in 2000. It occupies 1.2 acres of land at 550 Main Street in Fort Lee, which is in Bergen County, NJ–about two miles north of Manhattan, near the George Washington Bridge. It can be reached via the New Jersey Turnpike (I-95) and the Garden State Parkway. The property has three stories, contains 965 climate-controlled units and is 88.2 percent occupied. It has a drive-in, covered loading/unloading area, and a cell
ular tower, which is leased to several tenants who have roof self-storage units.
The Weston, FL business was built in 2005. It occupies 1.97 acres at 16400 State Road 84 in Weston, which is in Broward County, Florida. It is accessible via Interstates 75 and 595, and is connected to the Florida Turnpike and to Interstate 95 by the Sawgrass Parkway. The building has four stories, 651 climate-controlled units, and is currently 86.1 percent occupied. Strategic Storage is very optimistic about the Weston location, because it is in an area which is presently experiencing high rates of growth and commercial development, including quite a bit of new construction.
“The Ft. Lauderdale/Miami market is one where we see opportunity,” commented SSTI’s senior vice president of acquisitions, Wayne Johnson. “We are pleased with the high quality of storage we can provide to the Ft. Lauderdale/Weston market and surrounding region with this acquisition.”
SSTI is a public non-traded REIT with $1 billion of common stock registered. It has only existed for about 18 months, but in that time, it has expanded its portfolios to include 28 properties in 14 states, for a combined total of approximately 19,200 self-storage units and 2.5 million rentable square feet of storage space. The 14 states in which SSTI operates are Georgia, Mississippi, Florida, Virginia, New Jersey, Kentucky, Alabama, Arizona, California, Nevada, Texas, South Carolina, Tennessee, and Pennsylvania. The properties in SSTI’s portfolio have a combined estimated market value of more than $650 million.