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Self Storage

Miami, FL

FVP Self Storage Development is an affiliate of Florida Value Partners focused on the development of self-storage facilities. FVP Self Storage acquires entitled land sites in under-supplied neighborhoods with strong demographics. In 2016, FVP broke ground on the Miami Airport Center and converted it into a self-storage facility. The property was an exceptionally well located property in Miami-Dade County that combined several warehouse folios including the abandoned former Sears distribution center in South Florida. FVP was successfully able to repurpose the industrial space into a functioning operations driven self storage facility. The center features about 120,000 SF of self-storage space and includes offices, truck rentals, virtual mailboxes, and conference room rentals for small businesses.

PROPERTY INFORMATION

Location Miami-Dade, FL

Address 7500 NW 25th st

Property Type Flex Wearhouse

Description Self Storage Adaptive Reuse

Property Size 890 bays

Acquisition Date Apr-17

Investment Strategy Value Add / Repositioning

Total Capitalization $14m

Stabalization Date Aug-21

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ValueStoreIt21
In line with the strategy of FVP Self Storage Development, an affiliate of FVP, to acquire entitled land sites in under-supplied neighborhoods with strong demographics, FVP and NKP converted the Miami Airport Center into ~240,000SF of self -storage space and offices, truck rentals, virtual mailboxes, and small-business conference rooms for rent.
Information
Location
Miami-Dade, FL
Property Type
Alternative Asset
Property Style
Self Storage
Description
ADAPTIVE REUSE Wearhousre Converstion
Size
120,000 SF
Acquisition Date
Apr 17, 2012
Net IRR
19%
Net Multiple
2.3x
Total Cap
12,500,000
[vc_section el_class="prToptitle"][vc_row][vc_column][vc_single_image image="1660" img_size="" alignment="center" css_animation="fadeInUp" el_class="property-logo logo100h"][/vc_column][/vc_row][/vc_section][vc_section][vc_row full_width="stretch_row_content_no_spaces" equal_height="yes" el_class="fdTopRow"][vc_column width="1/2" css=".vc_custom_1676221536790{background-color: #0d0733 !important;}" el_class="fdTopcol-left"][vc_custom_heading text="Self Storage" use_theme_fonts="yes" css_animation="fadeInUp" el_class="fdSignleTitle mb-1"][vc_custom_heading text="Miami, FL" font_container="tag:h4|text_align:left" use_theme_fonts="yes" css_animation="fadeInUp" el_class="fdSignleSubTitle"][vc_column_text css_animation="fadeInUp" el_class="fdSignleText"]FVP Self Storage Development is an affiliate of Florida Value Partners focused on the development of self-storage facilities. FVP Self Storage acquires entitled land sites in under-supplied neighborhoods with strong demographics. In 2016, FVP broke ground on the Miami Airport Center and converted it into a self-storage facility. The property was an exceptionally well located property in Miami-Dade County that combined several warehouse folios including the abandoned former Sears distribution center in South Florida. FVP was successfully able to repurpose the industrial space into a functioning operations driven self storage facility. The center features about 120,000 SF of self-storage space and includes offices, truck rentals, virtual mailboxes, and conference room rentals for small businesses.[/vc_column_text][/vc_column][vc_column width="1/2" el_class="fdTopcol-right imgH100"][vc_single_image source="featured_image" img_size="full" css_animation="fadeInUp" css=".vc_custom_1677866370177{margin-bottom: 0px !important;}"][/vc_column][/vc_row][vc_row full_width="stretch_row_content_no_spaces" equal_height="yes" el_class="fdinfoRow"][vc_column width="1/2" el_class="fdTopcol-left" css=".vc_custom_1676223004572{background-color: #f2f2f2 !important;}"][vc_custom_heading text="PROPERTY INFORMATION" font_container="tag:h3|text_align:left" use_theme_fonts="yes" css_animation="fadeInUp" el_class="infoSignleTitle"][vc_column_text css_animation="fadeInUp" el_class="fdInfoText"]Location Miami-Dade, FLAddress 7500 NW 25th stProperty Type Flex WearhouseDescription Self Storage Adaptive ReuseProperty Size 890 baysAcquisition Date Apr-17Investment Strategy Value Add / RepositioningTotal Capitalization $14mStabalization Date Aug-21[/vc_column_text][/vc_column][vc_column width="1/2" el_class="fdTopcol-right fdImgGrid" css=".vc_custom_1676392206416{margin-top: 20px !important;}"][vc_row_inner equal_height="yes"][vc_column_inner width="1/2"][vc_single_image image="1600" img_size="full" css_animation="fadeInUp" css=".vc_custom_1690309181011{margin-bottom: 0px !important;}" el_class="imgW100"][/vc_column_inner][vc_column_inner width="1/2"][vc_single_image image="1603" img_size="full" css_animation="fadeInUp" css=".vc_custom_1690309250039{margin-bottom: 0px !important;}" el_class="imgW100"][/vc_column_inner][/vc_row_inner][vc_row_inner equal_height="yes"][vc_column_inner width="1/2"][vc_single_image image="1652" img_size="full" css_animation="fadeInUp" css=".vc_custom_1691077603576{margin-bottom: 0px !important;}" el_class="imgW100"][/vc_column_inner][vc_column_inner width="1/2"][vc_single_image image="1651"][/vc_column_inner][/vc_row_inner][/vc_column][/vc_row][/vc_section][vc_section full_width="stretch_row" css_animation="fadeInUp" css=".vc_custom_1690310998505{margin-top: 20px !important;background-color: #0d0733 !important;}" el_class="developerInfoImg"][vc_row equal_height="yes" content_placement="middle"][vc_column width="1/3"][vc_single_image image="1570" img_size="full" alignment="center" css_animation="fadeInUp"][/vc_column][vc_column width="1/3"][vc_single_image image="1571" img_size="full" alignment="right" css_animation="fadeInUp"][/vc_column][vc_column width="1/3"][vc_single_image image="1572" img_size="full" alignment="center" css_animation="fadeInUp"][/vc_column][/vc_row][/vc_section][vc_section disable_element="yes"][vc_row full_width="stretch_row_content_no_spaces"][vc_column][vc_single_image image="1281" img_size="full" alignment="center" css_animation="fadeInUp" el_class="imgW100"][/vc_column][/vc_row][/vc_section][vc_section el_class="pt-0"][vc_row full_width="stretch_row_content_no_spaces"][vc_column][vc_gmaps link="#E-8_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" css_animation="fadeInUp" el_class="googlemapFd"][/vc_column][/vc_row][/vc_section]

Partner With Logo:

Key Investment Characteristics

  • Low Supply & High Demand Market: The immediate 5-mile radius surrounding the subject property was well below the 7 square feet per population market equilibrium point for self-storage space, signaling a high demand for new product
  • Below Replacement Value: The project’s total cost estimates (i.e. ~$107 per gross building area)
    provided an ability to deliver the project at below replacement cost for competing new-build projects.
  • Attractive Yield on Cost: 10% unlevered cash yield upon stabilization provided for an attractive
    opportunity to cash-flow using conservative debt assumptions.
  • Projected Returns: The property presented upside potential and the budget demonstrated between 23% – 30% IRR on a gross basis and 19% – 24% IRR net to investors with a Multiple on Invested Capital (“MOIC”) of 2x – 2.3x net to investors ($500,000 sponsor equity from FVP capital partners; $4.1M in 3rd-party equity)
  • Mitigated Risk: Because the project is an adaptive-reuse of existing property, the development featured a quicker development period and market launch than competing “new construction” projects; also, it bypassed standard planning and zoning hurdles often bogging down new construction projects.
  • High Barriers to Entry: Rising price of land and escalating construction costs create a high barrier to entry environment for new-build projects.

Project Execution & Results

  • FVP delivered the project at a cost in line with the budget
  • FVP has outperformed market competition in early leasing