TurnCap recently deployed $7.6 million to refinance a 66,000 SF Class A self-storage facility located in Savannah, GA. The property was completed in 2017, and totals 588 units, of which 485 are climate-controlled. The Sponsor sought a bridge loan to recapitalize a portion of their costs, and to provide a flexible loan term for the asset to season rents prior to refinancing into a permanent loan or a selling the facility.
Broad Investment Thesis
TurnCap provided the debt for this facility due to the quality of the asset (Class A), its high occupancy levels, the successful track record of the Sponsorship group and the strength of the Savannah submarket. The Sponsor estimates it will take 2-4 years to fully season rents and improve operational efficiencies to allow the facility to be in the best possible position for a permanent refinance or sale.
The Sponsor for this transaction is a repeat TurnCap Sponsor, and an active developer with over 3,000,000 SF of storage space under ownership scattered across the Southeast. Their experience in development ranges from multifamily to self-storage and have totaled transactions in excess of $1.5B since inception in the late 2000’s.