H
ines, a Texas-based developer, has acquired a 2,460-unit self-storage facility in Cerritos for $91 million. The property, located at 17900 Crusader Avenue near the 605 Freeway, spans 260,300 square feet and was sold by Manhattan Beach-based Capital 360 and North Carolina's Barings. The deal translates to $350 per square foot, significantly higher than the typical price of $139 in the US self-storage market during the second quarter.

    The facility, developed by Capital 360 and Barings in 2020, is managed by Extra Space Storage and was 88% occupied at the time of sale. Cerritos is a Gateway City in Los Angeles County near the Orange County border. The joint venture behind the property specializes in Class A properties.

    Investment in self-storage has surged during the pandemic, with $50 billion in transactions from 2020 to 2022, according to Cushman & Wakefield. The brokerage notes that the current market is a "return to normal," with deal volume of $3.36 billion in the first half of the year.

    Hines, founded by Gerald Hines in 1957 and now led by Jeffrey Hines and Laura Hines-Pierce, has $93 billion in real estate assets under management across 31 countries. The company recently secured a $108 million loan for a 13-property self-storage portfolio in Dallas-Fort Worth with Canada-based Trez Capital.