Satellite Self Storage
Life Storage - Ocean Township
Satellite Self Storage is comprised of 95,756 rentable square feet on approximately 6.97 acres of land. The large-scale facility consists of 941 climate-controlled and non-climate-controlled units, ranging in size from 24 square feet to 300 square feet. The subject has physical and economic occupancies of 87.1 percent and 81.2 percent, respectively. The facility offers concrete and steel construction, 24-hour video surveillance, an intercom system, access monitoring and optimal lighting throughout the premises. Additionally, the rental office includes new flooring installed in late June 2019. The property boasts an excellent location off State Route 35 and offers a wide variety of well-maintained options to cater to the region’s high demand for storage.
The subject property is impeccably located in the center of a vibrant residential and retail corridor. The site offers visibility from State Route 35/Kings Highway, a major thoroughfare which allows for convenient access to all of the area’s heavily-frequented points of interest. State Route 35 witnesses a traffic count exceeding 30,000 vehicles per day. The facility benefits from an affluent median household income of over $83,000 within three miles, in addition to a population exceeding 63,000 individuals within three miles of the property. Satellite Self Storage is adjacent to Twinbrook Village Apartments and is within close proximity to several national retailers, including the 150-store Monmouth Mall; the mall operators are investing in a major remodel that is slated to go into its construction phase. The mall serves as a key destination within the region. A major draw to living in this area is accessibility to the top-rated Ocean Township School system. The location is very close to the New Jersey Shore Beaches and several major highways including Garden State Parkway, the New Jersey Turnpike and Routes 18, 95 and the aforementioned Route 35/Kings Highway.
Satellite Self Storage represents an exceptional opportunity to acquire an asset with multiple upsides. The facility has desirable financials with cash-on-cash returns of 12.9 percent and 14.2 percent in years one and two, in addition to a leveraged IRR of 18.0 percent in year seven. Acquisition also offers the advantage of seizing upon untapped revenue, including a tenant insurance program and merchandise sales. The subject has maintained a high physical occupancy with implementing rental rates above the market average. An investor will benefit from the site’s strategic location in a strong market and subsequent affluent demographics, in addition to a wide-array of amenities which have consistently anchored a strong consumer base.