Core, Bay Area Self Storage – Newark, CA
6680 Clark Ave, Newark, CA 94560
This offering presents a rare opportunity to acquire a best-in-class, institutional quality, trophy self-storage project in the highly sought-after Bay Area market. The project totals 142,654 rentable square feet and 1,582 virtually all climate controlled units. The asset is only one that has delivered in the Newark trade in the last eight years and there are no new projects currently in the development pipeline. The site has prominent, high-visibility with excellent population density, high average incomes and very high barriers to entry.
The store opened in the 1st quarter of 2021 and achieved approximately 90% physical occupancy within 30 months of opening. Currently the project is 95% occupied and has seen a 35% increase on in-place revenue in the last 12 months. The operator is currently implementing aggressive ECRI’s with the current rents still well below other REIT managed stores in the trade area. The combination of very high in-place occupancy, no new supply and below market in-place rents, offers a potential investor an unmatched opportunity in a core, West Coast market.
The store is located in the City of Newark in the San Francisco Bay/San Jose Area MSA. The Bay Area is home to approximately 7.5 million people and boasts some of the highest average household incomes in the nation and is an international hub of technology and innovation. The City of Newark is strategically located on the eastern side of the bay adjacent to the Bayfront Expressway providing convenient, easy access to Silicon Valley as well as the entire East Bay area along Interstate 880. Newark has seen tremendous residential development with approximately 3,800 units being delivered or in various construction phases in the last 5 years. The project is centrally located within 2 miles of another 1,000+ planned residential units and is one of only three stores that have climate controlled space within the trade area