1776 Shore Parkway
US - Brooklyn, NY
LOCATION: The property is located at 1844 S Cherry Ave, less than a mile South of downtown Fresno
ACRES: 5.74 Acres (250,108 SF)
TRAFFIC COUNT: The property has excellent visibility along State Route 41 (over 92,000 VPD)
UTILITIES: Water and Sewer: City of Fresno; Electricity: Pacific Gas and Electric
YEAR BUILT: Built in 1918 and 4,600 SF expansion in 2022
CONSTRUCTION DETAIL: The property consists of a three story building (building 12) and 12 one story buildings
ELEVATOR DETAIL: The property has two hydraulic freight elevators (Five ton capacity)
OFFICE: Newly renovated office (2022) of 262 SF
FEATURES AND AMENITIES: The property includes drive up units, moving dollies and carts, freight elevators, boat and RV parking units, and many other useful features
PERSONNEL: Prior to downed units, the facility had three full-time (40 hours per week) employees
MANAGEMENT: SecureCare Self Storage
SECURITY: Gated facility with electronic access and 24/7 video surveillance
OPERATION HOURS (ACCESS): Everyday 10 AM - 5 PM
OFFICE HOURS: Tuesday through Friday 10 AM - 5 PM
CASH FLOW UPSIDE
The property currently has low occupancy due to water damage to a high portion of the facility's units. This allows a potential buyer to create large cash flow upside through minimal repair and renovation. The property's occupancy history before the downed units illustrates the market's strong need for self storage, and points to the likelihood the property easily re-leases. A potential buyer can then add value to the property through rental rate optimization throughout the lease-up process.
LONG HISTORY OF HIGH OCCUPANCY AND STRONG PERFORMANCE
Before the property's flood damage, the facility held high occupancy. Even though the property is very large for a self storage facility, the property remained stabilized and was a big driver of market rents. After repairs, the property will restabilize and return to its strong performance due to the high population, over 125K people within a 3-mile radius, and low supply.
IRREPLACEABLE LOCATION WITH LOW STORAGE SUPPLY
The area within a 3-mile radius of Cherry Avenue Self Storage contains less than 3 square feet of storage space per person, which is extremely underserved in a dense area. At 2.46 square feet of storage per person, the lack of supply and no upcoming development bodes well for both future rent and occupancy growth at the property.
RESILIENT ASSET CLASS
Self Storage as an asset class has historically performed very well during economic downturns. Self storage was the only REIT sector to post a positive total return during the Great Financial Crisis as rental rates stayed effectively flat while withstanding the economic turbulence. More recently, self storage REITs were the best performing REITs by asset class during the COVID pandemic, and the asset class has continued its strong, positive trends through Q2 2022.