SecureSpace pays $23M for Coral Way self-storage facility

Torrance, California-based firm paid roughly $194 psf for the building

SecureSpace’s Nathan McElmurry with 2811 Coral Way
SecureSpace’s Nathan McElmurry with 2811 Coral Way (LinkedIn, Beharfont, Getty)

It’s move-in season for real estate investors pursuing self-storage deals in South Florida.

SecureSpace, a subsidiary of Torrance, California-based self-storage real estate firm InSite Property Group, is the latest buyer to pick up a property geared for storing personal belongings.

An affiliate of SecureSpace, led by Nathan McElmurry, paid $22.7 million for a six-story self-storage building at 2811 Coral Way and 2749 Southwest 22nd Street near Coral Gables, records show. The buyer took out a $22.7 million loan from Goldman Sachs. The deal broke down to $194 a square foot.

The seller, an affiliate of Charlotte, North Carolina-based Madison Capital Group, sold the property for $1.5 million above its purchase price of $21.2 million last year, records show. The 109,059-square-foot building was completed in 2019.

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SecureSpace is in acquisition mode, with the Coral Way building marking the company’s second purchase in Miami-Dade. In January, SecureSpace paid $3.3 million for a three-story self-storage facility in Homestead, records show. Recently, SecureSpace acquired 11 properties in San Francisco’s Bay Area, Portland, Oregon and Texas from a competitor, Central Self Storage.

Secure Space owns and operates 50 self-storage properties in 11 states, according to the firm’s website. The company’s portfolio also includes five properties in central and north Florida.

Last month, State Storage Group expanded in Palm Beach County. Affiliates of the Beaverton, Oregon-based self-storage firm paid a combined $32.5 million for two facilities in Haverhill and Lake Worth, records show.

In July, Philadelphia-based Snapbox Self-Storage picked up a four-story facility in North Miami Beach for $26 million. The same month, Salt Lake City-based Extra Space Storage acquired a pair of self-storage complexes in West Palm Beach for $29.2 million.

New development in the Miami-Fort Lauderdale-West Palm Beach self-storage market ranks fifth nationally, according to a June RentCafe report. Demand in the Miami metro area surged as storage unit rental rates increased by nearly 17 percent in the second quarter, year-over-year, the report states. A 10-foot-by-10-foot self-storage unit is renting at an average of $168 a month, RentCafe found.