Strategic Storage Growth Trust Inc., a publicly registered non-traded real estate investment trust, finalized the purchase of a self storage facility located in San Antonio, Texas for approximately $12.3 million, plus closing costs and acquisition fees.
As reported in November by The DI Wire, the San Antonio storage facility was part of a $39 million, four-property portfolio purchase that was scheduled to close in two phases. Three of the properties closed in December.
“We are pleased with our continued acquisition growth and our ability to find high quality self storage properties with strong growth potential,” said H. Michael Schwartz, chairman and chief executive officer of Strategic Storage Growth Trust.
The self storage facility consists of approximately 385 units and approximately 49,250 square feet of storage space. In addition, the property contains approximately 5,800 square feet of cold storage space, 8,300 square feet of office space, and 9,000 square feet of “flex” warehouse space. The occupancy rate is 88 percent.
The purchase was funded by a combination of a draw of approximately $8 million under the company’s credit facility with KeyBank National Association, and the remainder from the net proceeds of the public offering. The company incurred acquisition fees of approximately $215,000 in connection with the acquisition.
SS Growth Property Management will serve as the property manager.
Strategic Storage Growth Trust focuses on the acquisition, development, redevelopment and lease-up of self-storage properties. Their portfolio currently consists of 13 self storage facilities located in six states comprising approximately 8,460 self-storage units and approximately 979,900 net rentable square feet of storage space.