Self-storage facility at 900 Lonus St. in central San Jose. (Google Maps)
San José - The official final of the coronavirus closings has triggered an increase in demand, including a mega processing of the bay region, for a commercial real estate product that sounds from the world: self -facilities.
Public storage complexes may seem the most prosaic real estate properties. However, as personal habits have changed considerably after the end of commercial blockages launched by a deadly error, investors began to see public storage sites as more and more attractive.
In a large portfolio transaction, 11 self-administration properties, several of which in the bay region, were recently purchased, according to JLL, a commercial real estate company.
Seven of the self-stressive properties in the recent agreement are located in the Bay region and purchased for a combined total of $ 165.4 million, according to the official archives of the County Archives of Santa Clara, of the County of Alameda and against Costa County
Insites Property Group, whose operating units include the storage of securespace self, bought, in addition to the seven storage complexes in the Bay region, three installations in Texas and one in Oregon, said the company. Insit Property is based in the city of Torrance in the Los Angeles region.
The Pegasus group sold the 11 properties in three states, according to JLL, Brian Somoza, Steve Mellon, Matthew Wheeler, Adam Rosien and the managers of the commercial property of Jake Kintear.
"This transaction represents the continuation of strong underlying fundamentals on the automatic market," said Somoza, director general of JLL.
During the locks activated by the coronavirus, the self-limited units fell in disgrace, although they were authorized to function as an essential service, according to a report of the internal self-limited, which analyzes the self-discussion industry. This is because people started to take refuge instead of venturing from their homes.
"When the strictest blocks were built throughout the country in June 2020, the need for a self-shot," wrote Sylvester from the interior of the self-storage in a July 2022 report on industry. Habits on the part of the customers of the Automacent units have changed in several ways, according to the report. "Consumers were motivated by the desire to create an office at home or at the gymnasium, or to move in a more pleasant place," said self-stage in their analysis. This is what the group Insite Properties paid for the seven self-testimony sites in the Bay region, according to the acts presented before the county agencies: - 900 Lonus St. in San José, $ 37.7 million - 355 W. Taylor St. in San José, 29.7 million dollars - 6880 Santa Teresa Blvd. In San José, $ 26 million - 2721 Shattuck Ave. In Berkeley, $ 20.5 million - 2100 in St. in Antioch, $ 20.2 million - 324 S. Main St. in Milpitas, $ 16.5 million - 13760 E 14th St. in San Leandro, $ 14.8 million All transactions were carried out at the end of July or early August. The final agreement of the seven, the West Taylor site in San José, ended on August 9, according to ownership documents. Intrusted Property Group Affiliates also obtained $ 183.4 million in funding compared to the purchase of properties in the three states, the Santa Clara County Show archives. PGIM Real Estate Finance provided funding, according to public documents. It is possible that the inflation problems and the continuous difficulties of the supply chain can push a new development. This could limit the construction of facilities whose new units would compete with existing automatic sites. "Everything, including the price of steel, cement and labor, has increased considerably," he said in self-testimony in recent analysis. “Municipalities are much more to examine and approve projects. The net profit is that development is more expensive and takes more than ever. » With the demand for public storage units, customers can find more expensive to store their items, the industry analyst warned. "We should expect to see that self-state rental rates are increasing constantly," wrote inside the self-storage in his report. & nbsp; & nbsp; & nbsp; Associated articles
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