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Chicago

Turiks’ HAN Capital gets $17M on Northwest Indiana property

Niche asset class firm bought the property for $9 million two years ago

HAN Capital's with 9019 West 133rd Avenue (HAN Capital Group, Google Maps)
HAN Capital's with 9019 West 133rd Avenue (HAN Capital Group, Google Maps)

Alex and Nik Turik’s HAN Capital is making a stash of its own by pulling in profits on Chicago-area self-storage properties.

The firm, based in suburban Chicago, sold a Northwest Indiana facility just over the Illinois border to establish a streak of deals in the pandemic-driven self-storage boom.

Buyer Mini Mall Storage picked up the 144,000-square foot property at 9019 West 133rd Avenue in Cedar Lake, Indiana, for about $17 million, Turik said. HAN bought the property for about $9 million less than two years ago and spent more than $1.5 million to add more than 30,000 square feet of storage to the existing facility, Turik said.

“We were offered a very solid price,” he said.

Turik said the brothers’ firm specializes in niche asset classes including self storage, research and development and manufactured housing, with a footprint in eight states. It invested in the Northwest Indiana market more than a decade ago, sensing crime and high taxes in Chicago would bring people across the border to what was then an under-the-radar area for a lower cost of living.

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Residential growth leads to higher demand for self-storage, and Turik expects more is on the horizon for the area.

“We continue to see a good growth trajectory as people continue to move down from Illinois,” Turik said.

HAN Capital recently cashed in on an Old Town property in the city and another in the northern suburb of Wilmette for a total of $32 million, after spending about $17 million to buy them both between 2015 and 2017.

Overall, the Chicago area is a top-10 market for its pipeline of new planned storage developments, with 2.6 million square feet set to be delivered in the coming years. It has the largest share of storage space planned in urban markets among the sector’s top cities, with 91 percent of the developing space within the city’s limits.

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Commercial Real EstateIndustrial MarketSelf StorageSuburban Chicago