InSite Property Group Pays $47M for Portland Storage Portfolio

SecureSpace North East Portland. Image courtesy of InSite Property Group

InSite Property Group has finalized the acquisition of a two-property self storage portfolio encompassing 2,250 units in Portland, Ore. Leon Capital Group sold the newly built facilities for a total of $47 million, according to Multnomah County records. The purchase is the first closing of a larger portfolio deal between the two companies.

The buyer secured a $200 million line of credit from Goldman Sachs to fund the current acquisition, as well as future transactions, according to a prepared statement from InSite Property Group Partner Keith Wetzel. The mortgage is set to mature in January 2023, public records show.

Located on 2 acres at 16017 SE Division St., the three-story facility called SecureSpace Centennial spans 110,000 square feet and encompasses more than 1,000 climate-controlled units. In February 2019, Leon Capital Group funded the construction of the property with an $11.9 million loan from Comerica Bank, according to Yardi Matrix data.

The second facility occupies nearly 3.5 acres at 3737 NE Columbia Blvd. The new owner will rename the three-story building SecureSpace North East Portland. The 140,000-square-foot property is fully climate-controlled and provides more than 1,250 units. In 2018, Zions Bank originated a $28.1 million development loan for the project, the same data provider shows. The site is less than 2 miles from Portland International Airport.

In December, Insite Property Group paid $20.5 million for a 92,000-square-foot self storage facility in Spring Valley, Calif. Frontera Real Estate sold the 2019-built asset.