Criterion Group has received a $28 million loan to refinance the development of a self storage facility on a 51,426-square-foot site in Long Island City, N.Y. Columbia Pacific Advisors Bridge Lending provided the loan to the borrower. The project is slated for completion by 2021.
Situated at 31-08 Northern Blvd., the nine-story project will be just off Freeway 25A, in a densely populated area. More than 1 million people live within a 5-mile radius, with 2.9-net-rentable-square-foot storage space available per capita. According to the Long Island City Partnership, more than 20,000 residential units have been completed in Long Island City since 2006 and around 10,600 more are expected to come online by 2021.
Due to limited inventory, the occupancy rate in Long Island City is well above 90 percent. Development activity is high in New York City—17.6 percent as of October. However, considering the size and density of the population, there are many underserved trade areas, which provide the opportunity for new investment.