Marcus & Millichap’s Mele Storage Group Sells Storsafe for $10 Million

Self-Storage Real Estate Investment Trusts (REITs) are actively pursuing Class A facilities, and The Mele Storage Group of Marcus & Millichap’s Tampa office is actively obliging them.

The Mele Storage Group in March announced the sale of Storsafe Self Storage to a large Florida-based REIT for $10 million. Built in 2004, the 74,025 net rentable square foot facility sits on 4.34 acres of land in Pembroke Pines, Fla. The facility offers 738 storage units.

"Storsafe is a prime example of what REITs are looking for in a self-storage property: modern facilities in strategic locations that add value to their portfolios," said Michael Mele, head of The Mele Storage Group of Marcus & Millichap. "The industry will continue consolidating as facilities like Storsafe catch the attention of major investors."

Storsafe is a competitive facility on a high-traffic road in Pembroke Pines. The city has a population of more than 150,000, according to the U.S. Census. The average age of a Pembroke Pines resident is 36, and 70 percent of the population are families. The city offers low housing vacancies and about 2 percent of its residents are seasonal in one of the state’s fastest-growing counties. These demographics make the region – and state-of-the-art Storsafe – attractive from the REIT perspective.

Beyond its high-quality construction, Storsafe offers plenty of amenities that qualify it as a state-of-the-art facility. Each unit has air conditioning. Next-generation security features include individual door alarms, 24-hour video recorded surveillance and computerized access control all day, every day. Storsafe also offers truck rentals, pick-up and delivery, covered loading and unloading, and a retail center that sells locks, boxes and moving supplies for customer convenience.

"There is some talk of overbuilding in the self-storage industry, but with little competition and a growing population, Storsafe made a wise move when it chose to build in Pembroke Pines – and it turned a healthy profit by selling to a REIT that can take the facility to the next level," said Mele, who is also president of the Florida Self Storage Association. "All the ingredients are there for continued success at this property."

About The Mele Storage Group
Led by East Coast Self Storage Specialist Michael A. Mele, The Mele Storage Group has sold over 70 self-storage properties totaling over $266 million in sales. Mele has over $108 million in Active and Under Contract listings and a database of approximately 3,200 buyers seeking to expand their self-storage portfolios on the East Coast. Mele closed more than $86 million in self-storage sales in 2006 alone. Each member of the group is a specialist in the fields of financial analysis, market research, contract management and marketing.

About Marcus & Millichap
With more than 1,100 investment professionals in offices nationwide, Encino, Calif.-based Marcus & Millichap is the largest commercial real estate brokerage in the nation focusing exclusively on real estate investments. In 2005, the firm closed more than $21 billion in transactions. Founded in 1971, the firm has perfected a powerful system for marketing properties that combines product specialization; local market expertise; the industry’s most comprehensive research and analysis capabilities; state-of-the-art technology; and established relationships with the largest pool of qualified investors nationally.

PR Contacts:

Self Storage Promotions
Jennifer LeClaire
1913 S. Ocean Drive, Suite 237
Hallandale Beach, Fla. 33009
jennifer@selfstoragepromotions.com
954.454.0072

Mele Storage Group
Darlina Conto
7650 Courtney Campbell Cswy., Suite 920
Tampa, FL 33607
Dconto@marcusmillichap.com
813.287.9777, ext. 187