The Real Deal New York

CubeSmart buys Coney Island self-storage building for $49M

Storage Deluxe, the seller, developed the 139K sf property

February 03, 2016 05:25PM
By Ariel Stulberg

A CubeSmart facility in Prospect Heights

Five years after their massive $560 million portfolio deal, CubeSmart and Storage Deluxe are still trading properties.

CubeSmart, the nation’s fourth largest self-storage operator, bought the seven-story, 139,000-square-foot building at 809 Neptune Avenue in Coney Island, paying $48.5 million, according to property records filed with the city Wednesday.

Flatiron District-based Storage Deluxe purchased the site in July 2013 from the Brooklyn Union Gas Company, paying $15 million, records show. The firm filed plans two months later to build the new storage center.

Back in 2011, CubeSmart, a real estate investment trust, bought 21 self-storage facilities from Storage Deluxe, 15 of which were located in New York, along with a 50,000-square-foot development site in the Bronx. The price, $560 million, made the transaction Brooklyn’s largest commercial property deal of that year.

CubeSmart has a total of 35 locations in New York City, including this new facility, according to its website. All are located in the outer boroughs.

Both companies declined to comment for this story.