Coldwell Banker Commercial Tomlinson has arranged the $4.2 million sale of North Star Storage, a self storage facility spanning 66,900 rentable square feet in Hermiston, Ore. The firm’s Joel Crosby negotiated on behalf of the seller, a private investor. Kris Boehmer of Pacific Coast Commercial Realty represented the buyer. Jerry Franklin of Eastern Oregon Realty also assisted both brokers in the 1031 exchange.
The new owner, a Portland, Ore.-based private investor, financed the purchase with a $3.4 million acquisition loan from Hapo Community Credit Union, according to Umatilla County records. A cell phone tower lease on the site generates an additional income.
Located on 6 acres at 30979 Joy Lane, the property encompasses 15 buildings completed in several phases between 2005 and 2018. The facility has 397 units ranging from 50 to 360 square feet. The store has security cameras and drive-up access. There are at least six other self storage properties within a 4-mile radius.
The self storage sector has surmounted the effects of previous economic downturns and history seems to repeat itself during the current global health crisis that has heavily impacted the real estate industry. Interest in self storage assets has grown considerably. “There’s been more buyers than even before COVID-19,” according to Michael Mele, vice chairman & head of the self storage advisory group for Cushman & Wakefield.