February 3, 2016

Simply Self Storage Affiliate Buys Palmetto, FL, Facility From Virtus Real Estate for $13.3M

February 3, 2016

An affiliate of Simply Self Storage (SSS) has purchased a facility in Palmetto, Fla., for $13.3M. Branded as Extra Space Storage, the property was sold by VREC Spacebox Palmetto LLC, an affiliate of Virtus Real Estate Capital Management GP LLC. The 160,000-square-foot facility at 2100 U.S. Highway 301 N. is one of the largest in Manatee County, Fla., according to a source. The sale price was also one of the highest paid in the last two years.

VREC acquired the 7.5-acre property from Spacebox Palmetto LLC in 2012 for $5.8 million. Its tax assessment was $5 million, a source reported. The facility includes climate-controlled and drive-up units as well as outdoor vehicle parking. It also features a 4,300-square-foot consignment mall.

The real estate transaction is the second in Manatee County in the last two weeks. An affiliate of Public Storage Inc. purchased Budget Self Storage in Bradenton, Fla., for $8.58 million from Corsoto Storage Associates LLC.

Headquartered in Orlando, Fla., SSS owns or manages more than 185 self-storage facilities nationwide, including 15 in Florida. Its portfolio consists of more than 13 million square feet of storage space in 18 states and Puerto Rico. Founded in 2003 by Kurt O’Brien, the company ranked No. 7 on the 2015 Inside Self-Storage Top-Operators List.

Virtus is a real estate private-equity firm based in Austin, Texas. It has created 35 funds to invest in 176 commercial properties with a total acquisition value of $2.5 billion, a source reported.

Headquartered in Salt Lake City, Extra Space owns or operates 1,335 properties in 36 states; Washington, D.C.; and Puerto Rico. Its properties comprise approximately 885,000 units and 99.8 million square feet of rentable space. The company also offers third-party facility-management services.