Inland Real Estate Investment Corporation and Devon Self Storage have completed the construction of a 59,837-square-foot Class-A self-storage facility located in Springfield, Massachusetts.

Located at 2155 East Columbus Avenue near a major downtown thoroughfare and the I-91 overpass along the Connecticut River, the property previously served as a historic factory building. The redeveloped facility is comprised of three interconnected buildings encompassing 601 climate-controlled self-storage units, drive-thru unit capability and a 24-hour security system.

“Considered a top underserved market for self-storage in 2024, we are pleased to help close the market’s supply and demand gap and continue our collaboration with Devon to bring top-tier self-storage properties to markets nationwide,” said Keith Lampi, CEO and president of Inland Investments. Inland Investments’ current self-storage portfolio spans more than $1.7 billion in assets under management. Devon currently manages 188 properties with a footprint in 32 states across the country.

Madison Capital Group launched the Go Store It Opportunity Fund, LP, a $250 million self-storage investment initiative aimed at acquiring and developing a diversified portfolio across high-growth Sun Belt markets, concentrating on Florida, North Carolina and Georgia.

The Go Store It Opportunity Fund, LP encompasses a strategy that value-add acquisitions of under-managed, locally owned facilities with below-market rents, create potential for rental growth and operational improvements. The fund will also pursue pre-stabilized acquisitions, enabling it to acquire properties at a discount, with valuations nearing replacement cost and potential for improved cap rates as the properties stabilize. Additionally, the fund will target stabilized assets with strong occupancy rates, providing incremental growth in high-demand areas.

The fund also integrates a development component to construct high-quality storage facilities in select markets with favorable supply-demand dynamics. By strategically building in suburban, urban fringe, and urban core areas, the fund aims to meet diverse storage needs across communities in the Sun Belt.

JLL Capital Markets arranged a $108 million refinancing with New York Life Real Estate Investors for a 13-property, self-storage portfolio located throughout the Dallas-Fort Worth Metroplex. On behalf of the borrower, a joint venture between Hines and Trez Capital, JLL Capital Markets arranged the five-year, fixed-rate loan through New York Life Real Estate Investors, who was able to provide an early rate lock, interest-only payments, and prepayment flexibility early in the loan term. 

The JLL Capital Markets Debt Advisory team representing Hines included Director John Bauman and Analyst Jordan Buck. 

The list of locations for the 13 self-storage properties with the Hines-Trez Capital joint venture’s portfolio includes:

• 1251 W. Exchange Parkway, Allen
• 700 Debbie Lane, Arlington
• 2130 W Pleasant Ridge Road, Arlington
• 2444 Luna Road, Carrollton
• 4321 Creek Valley Blvd., Carrollton
• 4201 Paige Road, The Colony
• 4205 Gannon Lane, Dallas
• 1410 N Duncanville Rd., Duncanville
• 1460 S Interstate 35E, Lancaster
• 3645 N Houston School Road, Lancaster
• 525 N Ave., Plano
• 6404 Hwy. 78, Sachse
• 570 Country Club Road, Wylie

IPC Alternative Real Estate Income Trust, Inc., a publicly registered perpetual-life NAV entity focused on alternative property sectors, announced its operating partnership, IPC Alternative Real Estate Operating Partnership, LP, closed on the acquisition of four self-storage properties.

Two of the properties are located in the Atlanta metropolitan area, and the other two are in Montgomery, Alabama. In total, the self-storage properties comprise 2,275 storage units, including 1,810 climate-controlled units, covering 250,610 square feet.

The Operating Partnership acquired the properties through the acquisition of 100% of the beneficial interests in Self-Storage Portfolio V DST, sponsored by Oak Brook, Illinois-based Inland Private Capital Corporation.

The aggregate purchase price was $25.5 million, which is equal to the independently appraised value of the properties performed by a real estate valuation firm, less approximately $17.7 million in indebtedness secured by the properties.

Spartan Investment Group has closed three self-storage deals in the firm’s Growth Fund, including one in Kingsland, GA.

“At a time when it is challenging to secure loans, find equity, or fund new construction, we’re forging ahead in a strategic direction with our deals,” said Spartan CIO, Ryan Gibson. “We are thrilled to add these three deals to our Growth Fund portfolio as they are all in fast-growing markets with the opportunity to add value, and thus, develop strong returns for our investors.”

The Kingsland location is a new Class A facility with 333 units and more than 30,000 rentable square feet. The Spartan team will transition the property into the FreeUp Storage brand, the national banner in which Spartan manages its 66-property portfolio, and expects to expand the facility’s footprint by an additional 20,000 square feet.

The other locations are in Belleview, FL and Pea Ridge AR.

Starwood Real Estate Income Trust and Morningstar Properties have formed a joint venture to invest in the “resilient” self-storage sector, according to a Tuesday release. 

The new entity will recapitalize 25 self-storage assets already owned by Morningstar funds and invest in additional assets to be operated under the Morningstar brand. The joint venture will look to buy both one-off assets and portfolios.

Self-storage is an attractive asset class for investors.

The existing portfolio includes 1.8M SF of storage space located throughout the Sun Belt region, “which is experiencing significant population, employment and income growth,” according to the release. 

“The sector’s stable cash flows fit well with SREIT’s yield and long-term hold objectives,” Starwood Capital Managing Director Ethan Bing said in a statement. “Morningstar is a best-in-class branded operator and this partnership provides immediate scale in a fragmented sector in addition to creating a platform for substantial growth.”

Starwood Capital Group is a Miami Beach-based behemoth private investment firm with $105B of assets under management with several REITS under its umbrella. Not to be confused with Starwood Property Trust — which trades on the New York Stock Exchange — Starwood Real Estate Income Trust is a nontraded NAV REIT whose portfolio, as of November, included $18.2B of assets across 334 properties. 

Not to be confused with Morningstar Inc. — a financial services firm that trades on Nasdaq — Morningstar Properties is a 40-year-old Charlotte, North Carolina-based firm that serves as fund manager, developer, owner and operator, with a focus on specialty properties across a dozen states. With its Morningstar Storage and Morningstar Marinas brands, the company manages 88 storage properties and five marinas, according to its website.

Starwood Real Estate Income Trust in November bought a multifamily housing portfolio consisting of 15,460 units in 62 communities across 10 states from San Diego-based Strata Equity Group. The REIT’s portfolio also includes hotels, industrial, office and other residential properties, as well as loans.