Cohen Investment Group has bought Castleton Commerce Center, a self-storage and flex-storage property in Virginia Beach, Va., for $58.8 million from Prime Group Holdings. The company landed a $58.2 million financing, with Eastern Union securing the bridge through the Chicago office of Prime Finance.
Previously known as Prime Storage, Storage Depot spreads across 18 single-story buildings on 29 acres and has 390,380 rentable square feet, according to Yardi Matrix data. It is the largest acquisition in Cohen Investment Group’s overall portfolio, said Hugh Cohen, the company’s president, in prepared remarks.
The self-storage property’s price increased almost threefold since 2016, when the current seller bought it for $19.7 million. It has high historic occupancy, strong in-place revenue and offers the ability to add further value through improvements, according to the buyer.
Located at 2424 Castleton Commerce Way, the storage facility is one of 14 within a 3-mile radius, with the area offering 31.7 net rentable square feet per capita. It is 4 miles southwest of the Oceana Naval Air Station.
Amenities include parking, RV/boat parking, security cameras and climate control. An on-site manager and 24 hour access are also available.
David Merkin, managing director of Eastern Union’s Mid-Atlantic Group, secured the bridge financing for the buyer.