SEPTEMBER 8, 2021
ASB-Arcland Joint Venture Acquires Eight-Building Mid-Atlantic Self-Storage Portfolio
ASB Real Estate Investments (ASB) and Arcland Property Company (Arcland) announced today the closing of a joint venture to acquire a 595,888-square-foot self-storage portfolio of eight buildings located in markets concentrated throughout Virginia and Maryland. ASB entered into the joint venture partnership with Arcland on behalf of the ASB Allegiance Real Estate Fund, a $7.4 billion core vehicle. The seller was Chesapeake Resources, Inc.
The eight buildings in the Mid-Atlantic self-storage portfolio were constructed between 2000 and 2019 and include 5,663 units at near 96% total occupancy. Most units are climate controlled with favorable ground-floor access and average over 100 square feet of space. Since 2006 Arcland has been a leading Mid-Atlantic self-storage owner, manager and developer, owning and developing 26 properties and managing more than 50 properties in its portfolio.
Following the acquisition, the Allegiance Fund’s self-storage holdings now comprise a best-in-class nationwide portfolio totaling 26,600 units and 2.3 million square feet located in ten leading metropolitan areas, including New York, Miami, Portland, Los Angeles, Seattle, San Diego, Washington DC, Northern Virginia, Baltimore and Phoenix.
ASB Managing Director Nicolas Franzetti, said: “This acquisition advances ASB’s strategy to expand the Allegiance Fund’s self-storage portfolio into one of the most diversified and well positioned among institutional investors. Ongoing demographic shifts, strong demand for apartments, and work-from-home trends all benefit self-storage and will drive prospects for continued income growth. We are excited to partner with Arcland, who we believe is a best-in-class operator, to grow our self-storage business through this portfolio and future acquisitions throughout the Mid-Atlantic.”
Arcland CEO Noah Mehrkam, added: “We develop, acquire, and operate what has quietly become a nationally-recognized self-storage portfolio. Our horizon is long-term and ASB’s commitment to the sector, plus the values we share around relationships, creates tremendous alignment with our ambitions in self-storage.”
About ASB Real Estate Investments
ASB Real Estate Investments (ASB), a division of ASB Capital Management LLC, is a leading U.S. real estate investment management firm with more than $7.9 billion (as of 6/30/2021) in gross assets under management for over 325 institutional clients. With offices in Bethesda, MD and Palo Alto, CA, ASB invests in major U.S. markets, concentrating in office, multifamily, retail, industrial and self-storage properties and employs core, value add and development strategies for its clients.
*as of June 30, 2021
The portfolio investments described herein are not representative of all ASB portfolio investments. It should not be assumed that other portfolio investments will have the same or similar characteristics. There can be no assurance that any such trends will continue. The information provided in the release does not constitute an offer to sell or buy securities or the solicitation of an offer to sell or buy securities. ASB Allegiance Real Estate Fund is a registered mark in the U.S. Patent and Trademark Office.