Day: July 5, 2022

What Is an Interest Rate Cap and Why May I Need One?

In order to protect from runaway interest rate risk, lenders often require borrowers to purchase interest rate caps at the time of loan origination to set the maximum interest rate that can be charged on variable rate loans. These caps have historically been at a moderate cost and seldomly triggered, as rates had not trended up in some time. But that changed in the first half of 2022, as interest rates increased dramatically and expectations are for this development to continue for the foreseeable future. As a result, the cost…

Mag Mile Capital Finalizes $4 Million Loan for Self Storage Renovation Project in Heart of Memphis

Mag Mile Capital announced that Matt Weilgus, SVP and Head of Originations, successfully completed a $4 million loan to secure funds needed to purchase and renovate an old Sears store into a modern 854-unit, 83,040 sq. ft. self storage facility. Branded as and managed by Public Storage, the facility is located in the first enclosed mall in the mid-South and is located just minutes from the airport and downtown Memphis. Mag Mile Capital is a boutique firm that offers preferred access nationwide to high-leverage, non-recourse, commercial real estate bridge loans…

StorageVault Completes the Purchase of Six Storage Assets

StorageVaul Canada”) (SVI-TSX) is pleased to announce that, further to its May 12, 2022 news release, it has completed the acquisition of six stores  from six vendor groups, for an aggregate purchase price of $167.5 million. Five of the acquisitions are arm’s length and one is a related party acquisition with Access Self Storage Inc. as the  vendor. The aggregate purchase price for the acquisitions in the amount of $167.5 million, subject to customary adjustments, was paid by the issuance of an aggregate of 814,686 common shares of StorageVault at…

New Self Storage Facility Coming to Fort Myers

Arborwood Self-Storage LLC purchased an 8.77-acre parcel at the northwest corner of Treeline Avenue and Daniels Parkway in Fort Myers on June 15 from Courtelis Co. for an undisclosed price. The buyer plans to break ground on a 100,000-square-foot climate-controlled storage facility branded by Life Storage. A second phase of storage is planned for future development. Mike Maurer with William Raveis Real Estate in Naples represented the buyer. Source

Recent Closings: 6.28.2022 – 7.4.2022

Property: U-Storage Closing Price: $4.45 Million Location: Las Vegas, NV Brokers and Brokerage: Nick Kornieck, Michael R. LaBar and Michael L. Shaffner of Marcus & Millichap NRSF: 36,400 Unit Count: 348 Acreage: 6.1 Cap Rate: 5.5% Property: Extra Space Storage (Managed) Location: Kansas City, MO Brokers and Brokerage: George Kondracke, Brett Hatcher, Brian Kelly and Gabriel Coe of the Hatcher-Coe Group of Marcus & Millichap NRSF: 117,390 Unit Count: 951 Climate Controlled Units and 21 Parking Spaces Room for Expansion: Yes Highlights: Newly Converted, Class A Self Storage Facility High…