Stowaway Mini Storage - LoopNet...Stowaway Mini Storage is offered at $2,600,000 based on a...

927 Bowker Street SE & 5235 Lacey Boulevard, Lacey, WA 98503

Stowaway Mini Storage

OFFERING MEMORANDUM

N O N E N D O R S E M E N T A N D D I S C L A I M E R N O T I C E

THIS IS A BROKER PRICE OPINION OR COMPARATIVE MARKET ANALYSIS OF VALUE AND SHOULD NOT BE CONSIDERED AN APPRAISAL. This information has been secured from sources we believe to be reliable, but we make no representations or warranties, express or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2016 Marcus & Millichap. All rights reserved.

Marcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

NON ENDORSEMENT NOTICE

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONSULT YOURMARCUS & MILLICHAP AGENT FOR MORE DETAILS.

N O N E N D O R S E M E N T A N D D I S C L A I M E R N O T I C E

A L L P R O P E R T Y S H O W I N G S A R E B Y A P P O I N T M E N T O N LY. P L E A S E C O N S U LT Y O U R M A R C U S & M I L L I C H A P A G E N T F O R M O R E D E TA I L S .

Marcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, express or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2016 Marcus & Millichap. All rights reserved.

JOEL HUMMEL AUSTIN RIDDLEAssociate Marcus & Millichap Capital Corporation

National Self Storage Group Tel: (206) 493-2624Tel: (206) 493-2624 Cell: (509) 220-8438 Cell: (425) 239-8592 Fax: (206) 826-5710Fax: (206) 826-5710 [email protected]

[email protected]

CHRISTOPHER R. SECRETO TIM WARDELL MARY KATE TORMEYSenior Vice President Investments National Self Storage Group Marketing Coordinator

Senior Director, National Self Storage Group Office: (206) 826-5721 Office: (206) 826-5760Office: (206) 826-5748 Cell: (425) 270-0435 Cell: (509) 954-6179Cell: (206) 612-4399 [email protected] [email protected]

[email protected] License: WA 127153License: WA 24660, ID SP 38004

O F F E R E D B Y:

MARY KATE TORMEY TRU PETRILLI Marketing Coordinator National Self Storage Group Office: (206) 826-5760 Tel: (206) 826-5818Cell: (509) 954-6179 Cell: (206) 818-3189Fax: (206) 826-5710 Fax: (206) 826-5710

[email protected] [email protected]: WA 137791

CHRISTOPHER R. SECRETO JOEL HUMMELSenior Vice President Investments National Self Storage Group

Senior Director, National Self Storage Group Tel: (206) 493-2624 Office: (206) 826-5748 Cell: (425) 239-8592 Cell: (206) 612-4399 Fax: (206) 826-5710

[email protected] [email protected]: WA 24660, ID SP 38004 License: WA 135251

O F F E R E D B Y:

01

02

03

04

05

Section 1Execut ive Summary

Section 2Financial Analysis

Section 3Rent Comparables

Section 4Sales Comparables

Section 5Market Overview & Demographics

TABLE OF CONTENTS

STOWAWAY MINI STORAGE

E X E C U T I V ES U M M A R Y

01


01EXECUTIVE SUMMARY


5

EXECUTIVE SUMMARY

927 Bowker Street SE & 5235 Lacey BlvdLacey, WA 98503

Rentable Square Feet 19,100

Number of Units 129

Lot Size (Approximately) 1.46 AC

Economic Occupancy 94.1%

Year Built / Renovated / Expanded 1978 / 2016

Price: $2,600,000

Cap Rate: 6.00%

Net Operating Income $156,089

Price per NRSF $136.13

Cap Rate 6.00%

Cash-on-Cash Return 4.77%

Cap Rate @ 95% Occupancy 6.55%

Cash-on-Cash Return @ 95% Occupancy 6.32%

Vital Data

Loan Amount $1,690,000

Interest Rate 4.50%

Amortization (Yrs) 25

Monthly Payment $9,393.57

DCSR 1.38

Financing Summary



6

EXECUTIVE SUMMARYSummary of TermsFee simple interest in Stowaway Mini Storage, a 19,100 square foot self storage facility located in Lacey, WA.

Terms of the SaleStowaway Mini Storage is offered at $2,600,000 based on a capitalization rate of 6.00%. The net operating income figures for the Property assume a fiscal

year starting June 1, 2019. Seller will respond to offers on a first-come, first-serve basis.

Property ToursSeller desires to limit property tours. Property tours must be arranged with the Marcus & Millichap listing agents. Please do not contact the tenants,

on-site management or staff without prior approval.

7


EXECUTIVE SUMMARYInvestment Highlights

Property Overview

Offering Marcus & Millichap is pleased to offer for sale Stowaway Mini Storage, (the “Facility”) located in Lacey, WA. The Facility is offered at $2,600,000.

Lacey is situated approximately 5 miles northeast of Olympia, Washington’s state capital. Lacey was originally established as a suburb of Olympia before

establishing itself as a city in 1966.

•Well-Maintained Facility with Same Owner since 1990

• Facility Re-Clad with Metal Exterior and Standing-Seam Roofs in 2016

•All Single-Story Buildings

•Opportunity for First-Time Buyer

•Located 0.5 Miles from St. Martin’s University

•Full Rental Office and Onsite Apartment

• Lacey is Approximately 5 Miles from Olympia; Washington State’s Capital

• Seattle-Tacoma MSA is 14th Largest in the U.S. with 3.8 Million Residents

Stowaway Mini Storage is centrally located in Lacey, half a mile from St. Martin’s

University Campus. The facility consists of two non-contiguous parcels, one at

927 Bowker Street SE, and 5235 Lacey Boulevard, which is less than a 5-minute

walk away.

There are six single-story buildings at Bowker St, and two single-story buildings

at Lacey Blvd. All buildings are wood-framed with a concrete slab foundation. All

buildings have metal siding, metal roll-up doors and metal standing-seam roofs.

All units are standard, unheated units. The buildings all have exterior units with

ground floor access.

The sites consist of two tax parcels totaling 1.46 acres. The Facility is secured

with electronic gate access and electronic key pad entry. The site is fully-fenced

and is serviced by a rental office. There is also a resident manager’s apartment.

8


King County

StowawayMini Storage

927 Bowker Street

5235 Lacey Boulevard

Pacific Ave SE

EXECUTIVE SUMMARY

99

EXECUTIVE SUMMARY


Location: Lacey, WA The Facility is located in Lacey, a city in Thurston County, Washington. The population was estimated at 49,748 in 2017. The facility is most conveniently located less than a mile from the Saint Martin’s University campus.

In the 1950s, two small settlements, Woodland and Chambers Prairie, consolidated into what is now Lacey. At the time, the main industries were cattle, milk, forestry and retail. Lacey was officially incorporated into a city in 1966. It became a commuter town for Olympia, Fort Lewis and Tacoma. However, in recent years, business development, community groups and population growth have led to Lacey becoming a more established city in its own right.

Thurston County had an estimated population of 252,264 in 2017. The county comprises the Olympia-Tumwater, WA Metropolitan Statistical Area and is included in the Seattle-Tacoma, WA Combined Statistical Area.

Major common industries in Thurston County include public administration, healthcare, social assistance and retail trade. The largest universities in the county are South Puget Sound Community College, The Evergreen State College and Saint Martin’s University.

The Seattle-Tacoma MSA is ranked in the top 14 by size with nearly 3.9 million residents. It is home to the world headquarters of Fortune 500 companies such as Microsoft, Costco, Starbucks, Nordstrom, Weyerhaeuser, Paccar, Expeditors International and Amazon. Most of The Boeing Company’s operations are still based in Seattle even though its HQ was moved to Chicago in 2001.

Seattle-Tacoma is benefiting from surging economic and employment growth, a highly-educated workforce, growing population and increasing international trade. As a key international shipping and transportation hub, Seattle-Tacoma plays an important role in world trade.

Seattle-Tacoma MSA

Summary: Prospective PurchasersAs of April 30, 2019, the Facility was 97 percent occupied by units, 98 percent

occupied by square feet and 94 percent economically occupied. The rent roll

was $19,227, which annualizes to $230,724.

The Facility would appeal to all existing self storage owners. Local or regional

self storage owners could add a fully-stabilized facility to an existing portfolio.

Due to its smaller size, the Facility also provides an opportunity to a first-time

buyer to enter the industry. An owner could live onsite and oversee the Facility

which would lower expenses and improve cash flow.

The Facility would also appeal to an exchange or cross-product buyer who

would be attracted to the stable cash flow and ease of management that

storage provides. An owner of multifamily properties would be intrigued by an

asset with similar operational characteristics.

10


Infrastructure

THE OFFERING

Property Stowaway Mini-Storage

Property Address 927 Bowker Street & 5235 Lacey BlvdLacey, WA 98503

Assessor’s Parcel Numbers 3100-00-00200, 0995-00-16000

SITE DESCRIPTION

Total Units 129

Rentable Square Feet 19,100

Year Built / Expanded / Renovated 1978 / 2016

Lot Size 1.46 Acres

Type of Ownership Fee Simple

Number of Buildings 8 (6 at 927 Bowker St, 2 at 5235 Lacey Blvd)

Number of Stories One

Parking Ample, by Office

Street Frontage Lacey Boulevard

Land for Additional Development None

CONSTRUCTION

Foundation Concrete Slab

Framing Wood

Exterior Walls Metal

Parking Surface Asphalt

Roof Metal Standing-Seam

Fencing Perimeter

Entry Keypad

MECHANICAL

Climate Control None

Fire Protection Fire Extinguishers

Elevators None

EXECUTIVE SUMMARY

F I N A N C I A LA N A LY S I S

02

STOWAWAY MINI STORAGEBULLDOG SELF STORAGE

02FINANCIAL

ANALYSIS


DEMOGRAPHIC SUMMARY

12


FINANCIAL ANALYSIS

12

Unit Mix

OCCUPANCY GROSS ACTUAL %OCC

UNITS 129 125 96.9%

SF 19,100 18,700 97.9%

ECONOMIC $20,440 $19,227 94.1%

Unit Mix, Rents and Occ Stats as of April 30, 2019

UNITSQ FT

DESCRIPTION TOTALUNITS

VACANTUNITS

OCCUPIEDUNITS

UNIT OCCUPANCY %

TOTAL SQ. FT.

CURRENT MONTHLY

RENT / UNIT

CURRENT MONTHLYINCOME

CURRENTMONTHLYRENT / SF

PRO FORMA MONTHLY

RENT / UNIT

PRO FORMAMONTHLYINCOME

PRO FORMAMONTHLYRENT / SF

5 X 10 50 28 2 26 92.9% 1,400 $80.00 $2,240 $1.60 $84.00 $2,352 $1.68

10 X 10 100 25 1 24 96.0% 2,500 $120.00 $3,000 $1.20 $126.00 $3,150 $1.26

10 X 20 200 76 1 75 98.7% 15,200 $200.00 $15,200 $1.00 $210.00 $15,960 $1.05

148 129 4 125 96.9% 19,100 $20,440 $1.07 $21,462 $1.12

13


DEMOGRAPHIC SUMMARY

13


FINANCIAL ANALYSIS

13

Annualized Operating Data

Operating Expenses

INCOME Current Analysis Pro Forma Analysis

Gross Potential Income $245,280 $257,544

Other Income $2,500 $2,500

Less Vacancy Deductions $14,717 $12,877

Effective Gross Income $233,063 $247,167

Operating Expenses $76,974 $76,974

Net Operating Income $156,089 $170,193


Advertising $1,200 $1,200

General & Administrative $5,000 $5,000

Insurance $2,865 $2,865

Payroll $30,000 $30,000

Repairs & Maintenance $3,820 $3,820

Property Taxes $24,089 $24,089

Utilities $10,000 $10,000

Total Operating Expenses $76,974 $76,974

FootnotesIncome 1. Current Effective Gross Income (EGI) based on 6% economic vacancy as of April 30, 2019.

Gross Potential Rent based on Unit Mix and Asking Rents Effective April 30, 2019.

3. Actual Rent Roll as of April 30, 2019 = $19,227, which annualizes to $230,724. This income includes self storage but excludes income late fees, net retail sales, etc. 4. Pro Forma rental income based on 5% economic vacancy. Gross Potential Rent based on Projected 5% Across the Board Rent Increase.

Expenses

2. 2018 Actual EGI = $210,668

2017 Actual EGI = $202,690

2016 Actual EGI = $197,945

2015 Actual EGI = $203,365

1. Advertising budgeted at $1,200 per year.

2. G&A, including merchant processing fees, budgeted at $5,000 per year.

3. Insurance budgeted at $0.15 per net rentable square foot (NRSF).

4. Payroll budgeted at $2,500 per month.

5. R&M and supplies budgeted at $0.20 per NRSF.

6. 2019 assessed value = $1,323,100. 2019 taxes = $14,482. Real estate taxes

adjusted upon sale to 85% of list price x the tax rate of 1.09%.

7. Utilities based on 2017- 18 actuals.

14


DEMOGRAPHIC SUMMARY

14


FINANCIAL ANALYSIS

14

Operating Statements


$ % of EGI Per SF $ % of EGI Per SF

Gross Potential Rent $245,280 $12.84 $257,544 $13.48

Vacancy / Collection Allowance $14,717 6% $0.77 $12,877 5% $0.67

Net Rental Income $230,563 98.9% $12.07 $244,667 99.0% $12.81

Late Charges / Lien Sales $2,500 1.1% $0.13 $2,500 1.0% $0.13

Total Other Income $2,500 1.1% $0.13 $2,500 1.0% $0.13

Effective Gross Income $233,063 100.0% $12.20 $247,167 100.0% $12.94

Operating Expenses

Advertising $1,200 0.5% $0.06 $1,200 0.5% $0.06

General & Administrative $5,000 2.1% $0.26 $5,000 2.0% $0.26

Insurance $2,865 1.2% $0.15 $2,865 1.2% $0.15

Payroll $30,000 12.9% $1.57 $30,000 12.9% $1.57

Repairs & Maintenance / Supplies $3,820 1.6% $0.20 $3,820 1.5% $0.20

Property Taxes $24,089 10.3% $1.26 $24,089 9.7% $1.26

Utilities $10,000 4.3% $0.52 $10,000 4.0% $0.52

Total Operating Expenses $76,974 33.0% $4.03 $76,974 31.9% $4.03

Net Operating Income $156,089 67.0% $8.17 $170,193 68.1% $8.91

15


DEMOGRAPHIC SUMMARY

15


FINANCIAL ANALYSIS

15

10-Year Cash Flow Model

CURRENT YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6 YEAR 7 YEAR 8 YEAR 9 YEAR 10

Gross Potential Rent $245,280 $257,544 $265,270 $273,228 $281,425 $289,868 $298,564 $307,521 $316,747 $326,249

Vacancy/Collection Allowance $14,717 $12,877 $13,264 $13,661 $14,071 $14,493 $14,928 $15,376 $15,837 $16,312

Net Rental Income $230,563 $244,667 $252,007 $259,567 $267,354 $275,375 $283,636 $292,145 $300,909 $309,937

Late Charges / Lien Sales $2,500 $2,625 $2,756 $2,894 $3,039 $3,191 $3,350 $3,518 $3,694 $3,878

Total Other Income $2,500 $2,625 $2,756 $2,894 $3,039 $3,191 $3,350 $3,518 $3,694 $3,878

Effective Gross Income $233,063 $247,292 $254,763 $262,461 $270,393 $278,565 $286,986 $295,663 $304,603 $313,815

Operating Expenses

Advertising $1,200 $1,236 $1,273 $1,311 $1,351 $1,391 $1,433 $1,476 $1,520 $1,566

General & Administrative $5,000 $5,150 $5,305 $5,464 $5,628 $5,796 $5,970 $6,149 $6,334 $6,524

Insurance $2,865 $2,951 $3,039 $3,131 $3,225 $3,321 $3,421 $3,524 $3,629 $3,738

Payroll $30,000 $30,900 $31,827 $32,782 $33,765 $34,778 $35,822 $36,896 $38,003 $39,143

Repairs & Maint/Supplies $3,820 $3,935 $4,053 $4,174 $4,299 $4,428 $4,561 $4,698 $4,839 $4,984

Property Taxes $24,089 $24,812 $25,556 $26,323 $27,112 $27,926 $28,764 $29,626 $30,515 $31,431

Utilities $10,000 $10,300 $10,609 $10,927 $11,255 $11,593 $11,941 $12,299 $12,668 $13,048

Total Operating Expenses $76,974 $79,283 $81,662 $84,112 $86,635 $89,234 $91,911 $94,668 $97,508 $100,434

Net Operating Income $156,089 $168,009 $173,101 $178,350 $183,758 $189,331 $195,075 $200,994 $207,095 $213,381

Annual Debt Service $112,723 $112,723 $112,723 $112,723 $112,723 $112,723 $112,723 $112,723 $112,723 $112,723

Debt Service Coverage Ratio (Based on NOI) 1.38 1.49 1.54 1.58 1.63 1.68 1.73 1.78 1.84 1.89

Leveraged Net Cash Flow $43,366 $55,286 $60,379 $65,627 $71,035 $76,609 $82,352 $88,272 $94,372 $100,658


03RENT

COMPARABLES


17

Rent Comparables Map

Stowaway Mini Storage927 Bowker St SE & 5235 Lacey BlvdLacey, WA 98503

Express Storage5200 Lacey Blvd SELacey, WA 98503

Lacey Pacific Storage4812 Lacey Blvd SELacey, WA 98503

Money Saver Mini Storage6009 Pacific Ave SELacey, WA 98503

Public Storage8033 Martin Way ELacey, WA 98516

Money Saver Mini Storage63915 Martin Way EOlympia, WA 98506

College Point Storage4667 Marcus Ln SELacey, WA 98513

1

2

3

4

12 3

4

RENT COMPARABLES

Armor Storage3510 Marvin Rd NELacey, WA 98516

Northwest Self Storage 8745 Martin Way ELacey, WA 98516

5

6

7

8

5

6

8

7



RENT COMPARABLES

18

Money Saver Mini Storage6009 Pacific Ave SELacey, WA 98503

UNIT TYPE SF/UNIT RENT/UNIT AVG. RENT/SF5 X 10 Inside Stair Access 50 $88.00 $1.76

5 X 15 Inside Elevator Access - Heated 75 $140.00 $1.865 X 15 1st Floor Inside - Heated 75 $145.00 $1.93

10 X 10 Inside Elevator Access 100 $160.00 $1.60

10 X 10 Inside Elevator Access - Heated 100 $165.00 $1.65

10 X 15 Inside Elevator Access - Heated 150 $205.00 $1.3610 X 25 Drive-Up 250 $290.00 $1.16

See Unit Mix page for a complete breakdown.

Stowaway Mini Storage927 Bowker St SE & 5235 Lacey BlvdLacey, WA 98503

UNIT TYPE SF/UNIT RENT/UNIT AVG. RENT/SF5 X 10 50 $80.00 $1.60

10 X 10 100 $120.00 $1.2010 X 20 200 $200.00 $1.00

11

Rent Comparables

Express Storage5200 Lacey Blvd SELacey, WA 98503

UNIT TYPE SF/UNIT RENT/UNIT AVG. RENT/SF10 X 10 100 $140.00 $1.40

10 X 20 Drive-Up 200 $220.00 $1.10

1

--

UNIT TYPE SF/UNIT RENT/UNIT AVG. RENT/SF

5 X 5 25 $67.00 $2.6810 X 10 100 $127.00 $1.2710 X 15 150 $167.00 $1.1110 X 20 200 $207.00 $1.03

12

Lacey Pacific Storage4812 Lacey Blvd SE

Lacey, WA 98503

2

3

UNIT TYPE SF/UNIT RENT/UNIT AVG. RENT/SF5 X 10 Inside 50 $116.00 $2.32

5 X 10 Outside Drive-Up 50 $124.00 $2.485 X 15 Inside 1st Floor 75 $136.00 $1.81

5 X 15 Outside Drive-Up 75 $146.00 $1.94 10 X 15 Drive-Up 150 $199.00 $1.9910 X 30 Drive-Up 300 $358.00 $1.19

Public Storage

8033 Martin Way E

Lacey, WA 98516

4


RENT COMPARABLES

19

Rent Comparables

College Point Storage4667 Marcus Ln SELacey, WA 98513

UNIT TYPE SF/UNIT RENT/UNIT AVG. RENT/SF5 X 5 CC 25 $74.00 $2.96

5 X 10 CC 50 $139.00 $2.78 10 X 10 CC 100 $199.00 $1.99 10 X 20 CC 200 $289.00 $1.44 10 X 25 CC 250 $299.00 $1.1910 X 30 CC 300 $324.00 $1.08

6Northwest Self Storage 8745 Martin Way ELacey, WA 98516

UNIT TYPE SF/UNIT RENT/UNIT AVG. RENT/SF5 X 10 50 $65.00 $1.305 X 15 75 $80.00 $1.06

10 X 10 100 $150.00 $1.50

8

Armor Storage3510 Marvin Rd NELacey, WA 98516

UNIT TYPE SF/UNIT RENT/UNIT AVG. RENT/SF5 X 5 Heated 25 $79.00 $3.16

5 X 10 Heated 50 $134.00 $2.68 10 X 10 Heated 100 $174.00 $1.74 10 X 15 Heated 150 $269.00 $1.79

10 X 20 Non-Heated Drive-Up 200 $299.00 $1.49

7

UNIT TYPE SF/UNIT RENT/UNIT AVG. RENT/SF5 X 10 Inside 50 $120.00 $2.40

5 X 15 Inside Elevator Access 75 $125.00 $1.6610 X 10 Inside Stair Access 100 $120.00 $1.20

10 X 10 Inside Elevator Access 100 $155.00 $1.55 10 X 20 Drive-Up 200 $250.00 $1.25 10 X 25 Drive-Up 250 $290.00 $1.16

Money Saver Mini Storage3915 Martin Way E

Olympia, WA 98506

5

S A L E SC O M PA R A B L E S

04


04SALES

COMPARABLES


SALES COMPARABLES

2121

SALES COMPARABLESSales Comparables Map

1

2

3

4

5

Stowaway Mini Storage 927 Bowker Street SE &5235 Lacey BlvdLacey, WA 98503

All Star Self Storage, Boat & RV19720 E Highway 106Belfair, WA 98528

Airport Road Self Storage4114 S Airport RoadPort Angeles, WA 98363

Freedom Self Storage 2992 E Johns Prairie RoadShelton, WA 98584

Rodeo City Self Storage1304 W University WayEllensburg, WA 98926

Stor Rite Self Storage 5515 NE 121st Avenue Vancouver, WA 98682


4

3

1

2

5


SALES COMPARABLES

22

SALES COMPARABLES

22

Sales Comparables

1

Stowaway Mini Storage927 Bowker Street SE & 5235 Lacey Blvd Lacey, WA 98503

Net Rentable Square Feet: 19,100

Price per NRSF: $136.13

Cap Rate: 6.00%

Year Built / Expanded / Renovated 1978 / 2016

Price: $2,600,000No of Units: 129

2

3

Close of Escrow: AUGMARCH MARCHJujkApril 11, 2019



Cap Rate: 7.30%

Year Built: 1980s/1990s/2003

All Star Self Storage, Boat & RV 19720 E Hwy 106Belfair, WA 98528

Sale Price: $10,000,000No of Units: 586

Close of Escrow: AUGMARCH MARCHJujkJanuary 14, 2019



Cap Rate: 6.60%

Year Built: 1987 / 2005 / 2011

Airport Road Self Storage4114 S Airport Road

Port Angeles, WA 98363


Close of Escrow: AUGMARCH MARCHAugust 15, 2018



Cap Rate: 6.50%

Year Built: 2005/2007/2017

Freedom Self Storage 2992 E Johns Prairie Road

Shelton, WA 98584



SALES COMPARABLES

2323

Sales Comparables

4 5

Close of Escrow: AUGMARCH MARCHJujkJuly 16, 2018



Cap Rate: 6.79%

Year Built 2004

Rodeo City Self Storage

1304 W University Way

Ellensburg, WA 98926


Close of Escrow: AUGMARCH MARCHSeptember 1, 2017



Cap Rate: 6.39%

Year Built: 2006

Stor Rite Self Storage 5515 NE 121st Avenue

Vancouver, WA 98682



04


05MARKET OVERVIEW

&DEMOGRAPHICS

MARKET OVERVIEW

2525


25

UNWAVERING DEMAND PERSISTS IN TIGHTEST MARKET

25

Squa

re F

eet (

thou

sand

s)

Supply & Demand Trends

800

600

400

200

0

12%

9%

6%

3%

0%

Completions Vacancy

14 15 16 17 18* Estimate; ** Forecast

Sources: BLS; U.S. Census Bureau; Yardi Matrix; Union Realtime, LLC

Vacancy Rate

The continued strength of Seattle’s job market has reduced area unemployment

to 4 percent, the lowest annual rate in 18 years. Diversified employment

growth highlighted 2017, as five different sectors each added more than

5,000 workers. This trend will hold up in 2018, led by an inflow of tech and

health positions coupled with a rise in logistics and warehouse-related jobs.

Economic Overview

• The metro’s employment base will expand by more than 2 percent annually for a seventh straight year as organizations add 48,000 positions in 2018.

• Seattle’s population advances by nearly 60,000 residents in 2018 following last year’s 1.9 percent rise.

• Developers will bolster the metro’s inventory of storage space by nearly 729,000 square feet this year, an increase over the 578,000 square feet finalized in 2017.

• The metro’s vacancy rate holds at 3.2 percent in 2018 following a decrease of 20 basis points last year.

• The average rent climbs to $1.63 per square foot on an annual gain of 4.1 percent. In 2017, a 5.9 percent spike was registered.

Seattle-Tacoma MSA Market Forecast

$

RENTS

UP 4.1%

POPULATION

UP 1.5%

EMPLOYMENT

UP 2.4%

2626


2626

MARKET OVERVIEW

SEATTLE-TACOMA-BELLEVUE, WAMETROPOLITAN AREA

Population

3.8 Million

Median Household Income

$82,133(1.4 Times the U.S. Median)

Median Value of Housing Units

$439,800(Double the U.S. Median)

MARKET OVERVIEW

2727

Local Demographics


POPULATION PROFILE 1 Mi le 3 Mi les 5 Mi les

Population By Age

0 to 4 Years 6.8% 6.8% 6.5%

5 to 14 Years 10.9% 12.4% 12.4%

15 to 19 Years 6.8% 5.9% 5.7%

20 to 24 Years 10.7% 6.7% 6.1%

25 to 34 Years 18.0% 15.8% 15.3%

35 to 44 Years 11.9% 12.8% 13.3%

45 to 54 Years 10.3% 11.6% 12.0%

55 to 64 Years 10.4% 11.6% 12.4%

65 to 74 Years 8.0% 8.8% 9.5%

75 to 84 Years 4.0% 4.7% 4.4%

85+ Years 2.3% 3.1% 2.3%

Median Age 33.0 36.7 37.7

Population 25+ by Education Level in 2018

Education

Elementary (K-8) 3.2% 2.2% 1.6%

Some High School (9-11) 5.2% 4.4% 3.8%

High School Graduate (12) 25.7% 23.3% 21.2%

Some College (13-15) 29.1% 28.4% 26.9%

Associate Degree Only 9.4% 10.2% 10.5%

Bachelors Degree Only 17.6% 19.7% 21.9%

POPULATION 1 Mi le 3 Mi les 5 Mi les

2023 Projection 9,709 73,449 144,683

2018 Estimate 9,605 70,215 135,212

2010 Census 8,828 65,501 125,341

2000 Census 8,278 57,951 105,068

TOTAL HOUSEHOLDS 1 Mi le 3 Mi les 5 Mi les

2023 Projection 3,875 30,171 59,369

2018 Estimate 3,756 28,432 54,949

2010 Census 3,382 26,258 50,472

2000 Census 3,246 22,942 41,916

HOUSEHOLDS BY INCOME 1 Mi le 3 Mi les 5 Mi les

2018 Estimate

$0 - $15,000 8.1% 8.7% 8.5%

$15,000 - $24,999 11.1% 8.8% 7.6%

$25,000 - $34,999 11.9% 9.6% 7.8%

$35,000 - $49,999 15.7% 12.9% 12.0%

$50,000 - $74,999 24.4% 21.2% 20.6%

$75,000 - $99,999 14.4% 16.9% 17.2%

$100,000 - $149,999 9.9% 15.8% 17.4%

$150,000+ 4.5% 6.0% 8.8%

Average Household Income $64,277 $73,369 $81,876

Median Household Income $53,731 $61,912 $66,778


04

CHRISTOPHER R. SECRETO

Senior Vice President Investments

Senior Director, National Self Storage Group

Office: (206) 826-5748

Cell: (206) 612-4399

[email protected]

License: WA 24660, ID SP 38004

MARY KATE TORMEY

Marketing Coordinator

Office: (206) 826-5760

Cell: (509) 954-6179

Fax: (206) 826-5710

[email protected]

JOEL HUMMEL

National Self Storage Group

Tel: (206) 493-2624

Cell: (425) 239-8592

Fax: (206) 826-5710

[email protected]

License: WA 135251

TRU PETRILLI

National Self Storage Group

Tel: (206) 826-5818

Cell: (206) 818-3189

Fax: (206) 826-5710

[email protected]

License: WA 137791

927 Bowker Street SE & 5235 Lacey Boulevard, Lacey, WA 98503


Stowaway Mini Storage - LoopNet...Stowaway Mini Storage is offered at $2,600,000 based on a...

Documents

Transcript of Stowaway Mini Storage - LoopNet...Stowaway Mini Storage is offered at $2,600,000 based on a...