The Real Deal New York

Saratoga Springs firm pays $94M for Astoria self-storage site

Madison Development is the seller
By Konrad Putzier | December 27, 2017 01:05PM

31-07 20th Avenue, Adam Gordon (Credit: Google Maps and LinkedIn)

Saratoga Springs-based Prime Storage Group made its second big bet on the New York City self-storage market in two months, buying 31-07 20th Avenue in Astoria for $94 million.

Madison Development, which developed the 173,990-square-foot building, is the seller along with a Prudential Financial fund. Madison president Adam Gordon said no brokers were involved.

The development firm previously sold two other self-storage facilities to Prime Group. In October, 1098 Rockaway Avenue in Canarsie traded hands for $53 million. Gordon said Prime also bought 1735 Zerega Avenue in the Bronx, although that sale has yet to hit property records, adding that Prime paid $184 million for the three properties.

Prime did not respond to a request for comment.

“I’ve built enough storage, and we are now reframing our business to seek other adventures,” Gordon said.

A CBRE report from earlier this year found that because of residents’ lack of storage — 3.52 square feet per person, roughly half the national average — developers are increasingly targeting opportunities in self-storage facilities in New York City.