Public Storage Inc., a self-storage real estate investment trust, has purchased six Central Self Storage properties in the Minneapolis market. The seller was Pegasus Group, a real estate investment and management company that owns and operates self-storage facilities, according to a press release from JLL Capital Markets, the commercial real estate and finance firm that helped broker the deal.
The locations total more than 360,000 square feet of storage space in 3,243 units. Facility features include climate control, electronic access control, drive-through loading areas, video cameras and retail-oriented management offices. The properties are:
- 150 81st St. W., Bloomington, Minn.
- 7225 Bush Lake Road, Edina, Minn.
- 407 School Road N.W./1015 Highway 7, Hutchinson, Minn.
- 21002 Heron Way, Lakeview, Minn.
- 425 Washington Ave. N, Minneapolis
- 5040 Winnetka Ave., New Hope, Minn.
JLL Managing Directors Steve Mellon and Brian Somoza led their team in the deal. “This portfolio was an attractive, turnkey investment opportunity that allowed the buyer to increase their presence in Minnesota by 12 percent,” Somoza said. “Stabilized occupancy, combined with upward trending rents and minimal capital expenditures, should result in healthy cash-on-cash returns for the new ownership.”
Based in Glendale, Calif., Public Storage has interests in 2,615 self-storage facilities in 39 states, with approximately 171 million net rentable square feet. Operating under the Shurgard brand name, the company also has 223 facilities in seven European countries, with approximately 12 million net rentable square feet.
JLL is a full-service global provider of capital solutions for real estate investors and occupiers. The firm completed $170 billion in investment sale and debt and equity transactions globally in 2017. The firm’s Capital Markets team comprises more than 2,000 specialists globally.
