New Sonoma Development Completed

I am excited to announce the successful completion of our self-storage development in Sonoma, CA with Frontera Real Estate Investments. This project has been especially rewarding to open as it is adjacent to our existing, highly successful facility in the area. The new site spans 3.94 acres and provides 72,450 square feet of storage space across 535 units.

The Sonoma market continues to demonstrate robust demand for storage, with a current supply of 10.1 SF per capita and only 1.5 SF per capita in active development within a 5-mile radius. In place rents at our adjacent facility have grown by 25% since acquisition in October 2023 and the facility continues to maintain strong occupancy. These favorable market conditions, combined with the success of our existing facility, compelled this strategic expansion.

Beyond enabling deep operational efficiencies with our existing site (payroll, office expenses, marketing costs, equipment), developing this adjacent site will allow us to consolidate both locations for disposition. Combined, these sites comprise over 100,000 SF of storge, elevating them to institutional-quality, and thus maximizing buyer pool size and asset value at sale.

Notably, 30% of our tenants in Sonoma are small businesses—a higher proportion compared to our other assets. These small business tenants typically remain with us for over three years on average, contributing to long-term stability and limited tenant roll.

I want to extend a special thanks to Bryan Grissinger, Blake Schoenberg, and Billy Keller for their exceptional efforts in delivering this project. Their dedication and expertise were essential to this project’s success.