Multi-Housing News – Buchanan Street Buys Self Storage Development Site

This article originally appeared in The Multi-Housing News

November 11, 2024

The deal marks the company’s fifth self storage investment in California.

Buchanan Street Partners has purchased a 2.1-acre property in Upland, Calif. for $6.3 million, in an off-market deal with a private owner. The company intends to transform the site into a self storage facility.

The transaction marks the company’s fifth self storage investment within the Californian market.

Though a vacant medical office building currently occupies the site, the new ownership plans to develop a new, four-story self storage property offering 1,180 climate-controlled units. The future 123,000-square-foot Class A facility’s construction is expected to begin soon, with completion planned for January 2026.

The property is at 1382 E. Foothill Blvd., on historic U.S. Route 66. Other major thoroughfares in the area include interstates 10 and 15, as well as Foothill Freeway. Currently there are 19 self storage facilities on a 3-mile radius, offering residents 8.02 rentable square feet per capita, according to Yardi Matrix data.

The Inland Empire market had 11 properties under construction at the end of October, set to add 951,005 rentable square feet to the inventory, the same source shows. The metro’s under-construction pipeline represented 2.7 percent of completed stock that month, a recent Yardi Matrix self storage report shows.

Buchanan Street Partners also owns a 1,200-unit self-storage facility in Vista, Calif., purchased for $34 million three years ago. Both the Vista and the Upland assets are part of the company’s long-term plan to build a $500 million storage portfolio throughout the western markets. Other self storage properties in the company’s Californian portfolio include facilities in Santa Clarita, Auburn, Chino Hills and Chula Vista.