Extra Space Storage Acquires DC Metro Self-Storage Facility for $18M
Extra Space Storage, a global self-storage REIT, has acquired 7618 Marlboro Pike, a newly constructed, self-storage facility in District Heights, Md., for $18.2 million.
The sellers were a joint venture between Big Cypress Capital, through its Headwaters Strategic Operator Platform, and Baltimore developer PSG. Big Cypress acquired the development land in mid-2018 and completed construction on a 110,000-square-foot, 900-unit, three-story, climate-controlled storage facility this month.
“This was an institutional quality, Class A, fully climate-controlled, state-of the-art, new-construction facility,” Max Mazzone, Big Cypress’ CEO and co-CIO, told Commercial Observer. “This particular submarket has particularly strong appeal to the leading self-storage REITs, given their existing network of locations within the surrounding D.C. metropolitan area.”
Additionally, he noted that the property’s location is in a high-traffic corridor inside the D.C. Beltway, which offers an extremely favorable storage demand driver.
“The successful sale of this Class A facility to one of the leading, global self-storage REITs demonstrates our teams’ abilities and commitment to developing high-quality properties within carefully targeted geographic areas most likely to generate strong institutional interest and peak development yield alpha,” Mazzone said.
Cushman & Wakefield represented the seller in the deal, while Extra Space Storage represented itself.