The subject property represents a well-maintained storage asset comprised of 51,524 rentable square feet on approximately 2.05 acres of land. The facility features 59 non-climate-controlled options and 4 rental parking spaces for a total of 63 units. The site was built in 2004 and is impeccably located in the heart of Albuquerque, New Mexico. The subject has excellent physical and economic occupancies of 100 percent and 82 percent, respectively, indicating a strong market for self-storage in one of the country’s flourishing business hubs. To ensure secure storage, the property utilizes a brand new, state-of-the-art security system and electronic gate access to ensure a secure premise. Additionally, the property recently underwent several capital improvements, LED lighting throughout the site, and a fully renovated office.
The site is situated in a thriving division of Albuquerque, with premium access to the area’s most frequented thoroughfares. The facility is accessible from 2nd St NW, which witnesses a traffic count of over 19,000 vehicles daily. Additionally, the site is approximately two miles (driving distance) from Pan American Freeway, a major roadway with a traffic count exceeding 200,000 vehicles daily. The facility is encompassed by several national retailers and major resources within the immediate vicinity, including Wells Fargo, USPS, Walmart, Walgreens, Domino’s Pizza, The Holiday Inn, and TownePlace Suites by Marriott, among several other popular destinations. The facility benefits from an average household income approaching $70,000 annually, surpassing the national
average. There are over 77,000 residents within three miles; the subject property serves as one of the premier storage options within the immediate trade area.
The facility represents an excellent opportunity to acquire an established storage asset in a thriving location of Albuquerque with multiple upsides. The facility will be primed for continued success as the area’s demand for storage remains consistent year over year; the subject’s strong occupancies are indicative of this desirable market. The subject boasts solid financial projections in the coming years, including cash-on-cash returns of 8.3 percent and 9.4 percent in years three and four, in addition to a levered IRR of 20.5 percent in year five. Additionally, an investor can capitalize by bolstering the current tenant insurance program and implementing truck rentals for further profits. The site encompasses the key components for the ideal storage investment with updated amenities, a centralized downtown location, and a consistent consumer base to ensure success in the current and future market.