The Cushman & Wakefield Self Storage Advisory Group has been retained as exclusive advisors to offer for sale the REIT Managed Staten Island Self Storage.
This offering presents the rare opportunity to obtain a recently constructed Class A, facility within the 5 boroughs of NYC. Recent changes in migration trends have highlighted the suburbanization of many major markets around the USA, with city dwellers moving from the urban core and relocating their families to suburbs in the surrounding communities. This opportunity provides the ability to capitalize on this new normal. The asset provides nearly 105,000 Net Rentable Square Feet in one of the nation’s most dynamic markets.
The REIT Managed Staten Island Self Storage is a four-story, Class A storage asset in in the Rossville-Woodrom Neighborhood of Staten Island. The facility, located at 22 Zebra Place, Staten Island, New York offers 104,131 net rentable square feet among 1,287 units. The facility, which opened July 2020, is strategically located in one of the wealthiest trade areas in the outer-boroughs. The average household income within 3 miles is $119,353. The REIT Managed Staten Island Self Storage offers tenants a wide variety of premium climate controlled, non-climate drive-up units, and lockers with easy access via a covered loading area. After only 18 months, the asset is 45% physically occupied. The expeditious lease up demonstrates high storage demand in this sub-market. This opportunity to acquire a brand-new storage asset within its lease-up phase, allows an investor the ability to capitalize on superior returns upon stabilization.
NYC city planners continue to make Self-Storage more difficult to develop within the city. With the moratorium on development within Business District Zone, and an overall scarcity of land within the Boroughs, entitlements are exceedingly difficult to obtain placing upward pressure on rental rates.
One of the five boroughs of New York City, Staten Island is located in the southwest portion of the city, adjacent to New Jersey, and bounded by the Lower Bay. The borough is home to 476,143 residents with more moving to the city every day. In the last seven years, Staten Island has seen a healthy 2.3% population growth. In 2018, the U.S. Census Bureau reported that Staten Island was the only borough to see an increase in the population. Amazon and Ikea warehouse distribution centers have recently opened on the island, and these facilities alone have created over 4,000 jobs to bolster the local economy.