Spring Valley Storage Center

Spring Valley, CA
A Value-Add Acquisition
A Case Study

• Property Address: 10786 US Elevator Rd, Spring Valley, CA 91978
• Square Footage: 63,000 sf on 4.4 acre site
• Number of Units: 524 storage units

The Principals of Frontera Real Estate took over management of Spring valley Storage Center in 2014. The property was made up primarily of old shipping containers converted into self-storage units. It had been neglected by prior management and had significant deferred maintenance.

Within 12 months of management, the site was cleaned up and revenue was up over 50%. The occupancy increased by 15 percentage points to a stabilized level and rents were up by over $.12 per square foot. Our team improved property aesthetics and security to make the entrance more convenient and inviting. In addition to aesthetic improvements, our team worked to add roughly 5,000 square feet of additional square footage. The web presence and marketing campaigns were also improved to drive increased traffic.

Through the institution of professional management, and taking a creative approach to a difficult property, our team was able to achieve exponential returns to the ownership group. The property was sold in May of 2018. Over the 3.5 year hold, annual revenue increased by over $275,000 per year and the property was improved to a level to be marketable to a much wider buyer pool.