29 Jun 2020
8 self storage properites, five of which are located within the city of Memphis Tennessee and three in neighboring Mississippi, have found themselves new investors. All 8 locations are within 40 miles of each other.
Gelt Inc., a Los Angeles real estate developer who focuses on multifamily assets, has acquired the entire portfolio for a compbined investment of $41 million.
The purchased facilities combine for a total of 3,867 units and nearly half a million square-feet of self storage rental space. It is reported that at the time of the sale, the units were a healthy 91% occupied.
We plan to hold this property for five to seven years with the goal of creating a favorable return for our investors,” said Gelt Co-Founder/Partner Keith Wasserman in a statement.
The portfolio was purchased from Merit Hill Capital, a real estate investment firm located in New York that focuses on the self storage asset class, and the deal was assisted by Cushman & Wakefield.
Wasserman continued that Gelt will enhance the properties through capital improvements and cosmetic upgrades. The property management company Citizen Storage has been selected to operate the portfolio of facilities.
Gelt was founded by Keith Wasserman in 2008 during the economic recession and financial meltdown. The word "gelt" originates from Germany and simply means "money."
Sources: Geltinc, CitizenStorage, MeritHillCapital, SFVBJ, CPExecutive. Thumbnail: Outfront
