Looking to capitalize on demand from small warehouse tenants, a Miami-based firm specializing in self-storage facilities is expanding into industrial buildings with its recent $37.5 million purchase in Medley.
An affiliate of Basis Industrial, formerly known as Miami City Self-Storage, bought Megacenter Palmetto, an 180,000-square-foot mixed-use site at 8600 Northwest South River Drive, Basis Industrial COO and Partner Anthony Scavo said. The building is divided into an 85,000-square-foot indoor go-kart track, 24,000 square feet of self storage, 15,000 square feet of office suites and small bay warehouse spaces, Scavo said.
The seller, an entity managed by Patricio Ureta of Coral Gables, paid $7 million for the property in 2016, records show. The building was completed in 1970.
Megacenter Palmetto is anchored by K1 Speed, an indoor go-kart track operator, and has eight other tenants occupying the smaller bays between 4,000 to 8,000 square feet, Scavo said. Basis Industrial plans to add a $15 million, 125,000-square-foot self-storage facility on a parking lot on the property, Scavo said.
Basis Industrial plans on catering to tenants seeking between 700 square feet to more than 4,000 square feet, Scavo said. Sites the company acquires will be branded under the name Bay Spaces. Megacenter Palmetto is being renamed Bay Spaces Medley, Scavo said.
Source: The Real Deal