Orange Avenue Self Storage Opportunity

Orange Avenue Self Storage Opportunity2020-07-16T13:01:46-04:00

Project Description

The Self Storage Advisory Group of Cushman and Wakefield has been exclusively selected to offer for sale Orange Avenue Self Storage Opportunity, situated in the heart of Tallahassee, Florida.

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NRSF – 73,460

1109 W Orange Ave
Tallahassee, FL 32310

Orange Self Storage consists of 73,460 rentable square feet on approximately 5.47 acres of land. The facility offers a large variety of well-maintained options, including 50 climate-controlled units, 423 drive-up units and 11 RV and boat parking spaces for a total of 475 units. The facility is stabilized with excellent physical and economic occupancies of 95 percent and 91 percent, respectively. Additionally, the subject offers two office spaces totaling 1,500 square feet. There have been no rental increases since the facility opened. Moreover, there is a prime opportunity to convert interior boat and RV parking to climate-controlled storage to accommodate the growing population in this thriving area of Tallahassee. To ensure a secure premise, the property is equipped with computerized gate access, in addition to wide aisles for consumer convenience.

The subject property is situated in the heart of Tallahassee, Florida and benefits from a solid population exceeding 73,000 individuals within three miles of the site. The facility offers direct frontage along West Orange Avenue, which sees traffic counts of over 20,000 vehicles daily. Additionally, the subject property offers convenient access to Florida State University and Florida A&M University; both of these major institutions have allowed Tallahassee to become one of the most recognized college towns in the United States. Moreover, this facility benefits from limited competition and is the main storage provider within the immediate vicinity, serving the large student population and the surrounding residential areas.

The opportunity allows an investor with the ability to acquire a stabilized asset with multiple upsides. The facility represents a unique opportunity to capitalize by raising rates; the 10×10 and 10×20 drive-up rates are well below the market average. The property has excellent projected financials with cash-on-cash returns of 12.3 percent and 15.8 percent in years one and two, in addition to leveraged IRRs of 25.2 percent and 23.6 percent in years five and seven. There is further upside through bolstering the current tenant insurance program and implementing truck rentals. The facility‚Äôs established reputation and ideal location in the center of a major college destination comprises a turn-key storage investment in the current and future market.

Investment Highlights:

  • Stabilized Self Storage Asset with Value-Add Potential in the Heart of Tallahassee, Florida; One of the Premier College Destinations in the United States
  • Over 73,000 Individuals Within Three Miles of the Site
  • Cash-on-Cash Returns of 12.3 Percent and 15.8 Percent in Years One and Two, in Addition to a Leveraged IRR of 25.2 Percent in Year Five
  • Excellent Physical and Economic Occupancies of 95 Percent and 91 Percent, Respectively
  • Expansion Potential with Ability to Convert Interior Boat/RV Parking to Climate-Controlled Storage
  • Direct Frontage on Orange Avenue, Witnessing Over 20,000 Vehicles Per Day
  • Established Market Presence with Limited Competition Within the Immediate Trade Area
  • Low Three-Mile Supply 2.92 NRSF Per Person
  • Two Planned Communities with Continuous New Home Construction Through 2023
  • Sign CA to View Offering Memorandum

  • Confidentiality and Buyer Registration Agreement

    Cushman & Wakefield U.S., Inc. ("Broker") has been retained as the exclusive advisor and broker regarding the sale of the property known as Orange Avenue Self Storage.

    To receive an Offering Memorandum ("Offering Memorandum") please read, sign and return this completed Confidentiality Agreement to Broker. The Offering Memorandum has been prepared by Broker for use by a limited number of parties and does not purport to provide a necessarily accurate summary of the property or any of the documents related thereto, nor does it purport to be all-inclusive or to contain all of the information which prospective Buyers may need or desire. All projections have been developed by Broker and designated sources and are based upon assumptions relating to the general economy, competition, and other factors beyond the control of the Seller and therefore are subject to variation. No representation is made by Broker or the Seller as to the accuracy or completeness of the information contained herein, and nothing contained herein shall be relied on as a promise or representation as to the future performance of the property. Although the information contained herein is believed to be correct, the Seller and its employees disclaim any responsibility for inaccuracies and expect prospective purchasers to exercise independent due diligence in verifying all such information. Further, Broker, the Seller and its employees disclaim any and all liability for representations and warranties, expressed and implied, contained in or omitted from the Offering Memorandum or any other written or oral communication transmitted or made available to the Buyer. The Offering Memorandum does not constitute a representation that there has been no change in the business or affairs of the property or the Owner since the date of preparation of the Offering Memorandum. Analysis and verification of the information contained in the Offering Memorandum are solely the responsibility of the prospective Buyer. Additional information and an opportunity to inspect the property will be made available upon written request to interested and qualified prospective Buyers.

    By accepting the Offering Memorandum, you agree to indemnify, defend, protect and hold Seller and Broker and any affiliate of Seller or Broker harmless from and against any and all claims, damages, demands, liabilities, losses, costs or expenses (including reasonable attorney's fees, collectively "Claims") arising, directly or indirectly from any actions or omissions of Buyer, its employees, officers, directors or agents.

    By accepting the Offering Memorandum, you acknowledge that you are a principal and not an agent of or acting on behalf of any other party in connection with the acquisition. Buyer acknowledges that it is aware that any Agent/Broker other than Cushman & Wakefield, must be compensated by Buyer as Cushman & Wakefield is not cooperating on fees. Furthermore, Buyer acknowledges that it has not had any discussion regarding this Property's Sale with any other broker or agent other than Broker or an agent/broker properly identified through this registration process, including but not limited to, resolutions of incomplete, conflicting or duplicate registrations. Buyer shall indemnify and hold Seller and Broker harmless from and against any claims, causes of action or liabilities, including, without limitation, reasonable attorney's fees and court costs which may be incurred with respect to any claims for other real estate commissions, broker's fees or finder's fees in relation to or in connection with the Property to the extent claimed, through or under Seller.

    The Seller and Broker each expressly reserve the right, at their sole discretion, to reject any or all expressions of interest or offers regarding the Property and/or to terminate discussions with any entity at any time with or without notice. The Seller shall have no legal commitment or obligations to any entity reviewing the Offering Memorandum or making an offer to purchase the Property unless a written agreement for the purchase of the Property has been fully executed, delivered, and approved by the Seller and its legal counsel, and any conditions to the Seller's obligation thereunder have been satisfied or waived.

    The Offering Memorandum and the contents, except such information which is a matter of public record or is provided in sources available to the public, are of a confidential nature. By accepting the Offering Memorandum, you agree that you will hold and treat it in the strictest confidence, that you will not photocopy or duplicate it, that you will not disclose the Offering Memorandum or any of the contents to any other entity (except to outside advisors retained by you, if necessary, for your determination of whether or not to make an offer and from whom you have obtained an agreement of confidentiality) without prior written authorization of the Seller or Broker, and that you will not use the Offering Memorandum or any of the contents in any fashion or manner detrimental to the interest of the Seller or Broker.

    No employee of seller or at the subject property is to be contacted without the written approval of the listing agents and doing so would be a violation of this confidentiality agreement.