The specialist for US commercial real estate TSO has tied up another building plot on the coast of the US state of Florida for its new investment TSO RE Opportunity II. In Ormond Beach, not far from the coastal town of Daytona Beach on the Atlantic, a self-storage facility will be built on top of this.
It is the third self-storage center for the participation, announces TSO. Further projects for the TSO RE Opportunity II are being examined. The self-storage in Ormond Beach will be built on US Highway 1 not far from the Atlantic coast and will offer around 7,000 square meters of classic storage space as well as numerous garages and parking spaces for boats and mobile homes.
Due to its quality of life and thanks to a healthy business climate, the region not only has high population growth, but is also a preferred business address in Central Florida for numerous internationally operating companies. In addition, the place is a popular holiday destination and a starting point for activities in and on the water. For this reason, parking spaces for boats are also planned for the self-storage center.
Most of the storage units in this self-storage facility will be air-conditioned. The start of construction is planned for early 2023, and the opening should take place following a construction phase of around twelve to 14 months.
Together with CubeSmart
Ormond Beach Self-Storage is operated jointly with CubeSmart, a leading provider of self-storage centers in the USA. For TSO it is the continuation of a proven partnership in which numerous self-storages have already been jointly developed and managed. “The cooperation with CubeSmart enables us to offer our investors premium self-storage centers that have the latest standards, sophisticated security concepts and full automation,” says Christian Kunz, Head of Sales and Marketing at TSO Capital Advisors GmbH. According to the announcement, CubeSmart also uses ecological criteria and energy efficiency in its real estate projects. This optimizes operating costs and helps to make self-storage environmentally friendly.
Ormond Beach Self-Storage will provide storage capabilities that will bear a close resemblance to the recently sold Normandy Self-Storage of the TSO RE Opportunity II’s predecessor investment. TSO acquired land in Jacksonville (also Florida) in 2019 and began construction in early 2020. The property was sold in April 2022 following a holding period of 36 months. With an average annual return of over 47 percent, this was TSO’s most successful self-storage investment to date, the company says.
