June 29, 2020
Nationwide commercial real estate lender 3650 REIT has provided a $31 million loan for the acquisition of an eight-property self-storage portfolio in the Memphis area. The sales price for the 490,187-square-foot portfolio was $41 million.
The eight buildings encompassing the portfolio are located throughout several submarkets in the Memphis metropolitan area and northern Mississippi, including Memphis and Bartlett, Tennessee as well as Olive Branch and Nesbit, Mississippi. Collectively, the properties comprise 3,884 units.
Luke Elliott and Michael Mele of Cushman & Wakefield represented the seller, Merit Hill Capital, in the transaction. Devin Huber of The BSC Group secured financing on behalf of the borrower, Gelt Inc., a strategic owner and operator of multifamily and self-storage assets, in the transaction.
“Self-storage assets backed by national brands are historically well-positioned to weather economic instability, and today’s market environment due to COVID-19 is no exception,” said Toby Cobb, managing partner at 3650 REIT. “The eight assets that make up this portfolio are well-located and offer high visibility to consumers as well as proximity to logistics, commercial and residential centers.
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