Portland Self Storage Sells for $20M

Hosford Self Storage. Image courtesy of JLL

Banner Real Estate Group has finalized the disposition of Hosford Self Storage, an 87,597-square-foot property in Portland, Ore. Pegasus Group acquired the facility for $19.9 million, according to Multnomah County records. Central Self-Storage will take over property management operations. Prior to the acquisition, Extra Space Storage managed the facility.

In February 2017, the seller and developer purchased the 1-acre land parcel from a private investor for $5 million. Eight months later, Mutual of Omaha Bank provided a four-year, $12.3 million line of credit for the construction of the project, Yardi Matrix data shows.

Located at 685 SE Division Place, the four-story building was completed in 2018. The climate-controlled facility has 1,089 units ranging in size between 25 and 400 square feet. Hosford Self Storage has an on-site manager, drive-in access, elevator and 24-hour video monitoring. The site is within 2 miles of downtown Portland; there are at least 24 other self storage facilities totaling 1.7 million square feet within a 3-mile radius, according to Yardi Matrix.

The JLL team that negotiated on behalf of the seller included Managing Directors Brian Somoza and Steve Mellon along with Senior Managing Director Ira Virden. Last month, Somoza and Mellon were part of the team that facilitated the sale of a 14-facility self storage portfolio encompassing 8,517 units in three states. The Jenkins Organization sold the properties to National Storage Affiliates.