Futura Co. has secured $16 million in financing for the development of Nona Cove Self Storage, a 132,303-square-foot self storage facility in Orlando, Fla. Managing Director James Bracco of Acres originated the loan, arranged by Principal Steve Liebert of CCM Commercial Mortgage.
Set for completion this year, the Extra Space development will comprise a four-story building and 98,448 net rentable square feet, totaling 1,046 climate-controlled units and 7,593 square feet of ground-floor retail. The facility is part of Futura at Nona Cove, a mixed-use multifamily and retail project.
Located at 14806 Narcoossee Road, the development will be the only storage facility within a 3-mile radius. Currently, there are two other facilities within a 5-mile radius, offering residents 4.5 rentable square feet per capita, below the 6.9 national average. There is one property under construction and two prospective facilities in the area that will add 209,575 square feet to the current inventory, Yardi Matrix data shows.
Although Orlando remains a largely penetrated market, offering roughly 8.8 net square feet of storage space per capita, the market continues to benefit from current migration trends to Sun Belt regions, keeping rent rates robust. The metro registered an 11-percent rent growth for 10×10 non-climate-controlled units, year-over-year as of January, the latest Yardi Matrix report shows.
The city is also one of the top five markets when it comes to development activity, with projects under construction and in the planning stages making up for 12.5 percent of existing inventory in January, up 30 basis points compared to the previous month.