Self Storage Investment Firm Sells Illinois Assets Yielding 33.1% IRR

DENVER, May 17, 2024 /PRNewswire/ -- VanWest Partners (VanWest), a Denver-based commercial real estate investment firm specializing in self storage acquisitions and management, announces the sale of two assets from the firm's VanWest Storage Fund II portfolio. After a 30-month hold period, the properties generated investment returns of a 33.1% IRR and a 1.91X equity multiple. The sales closed in April.

The two properties, located in Minooka and Ringwood, Illinois, were acquired by VanWest in the fall of 2021. Both properties were rebranded and operated by VanWest's vertically integrated management arm, ClearHome Self Storage (ClearHome). During the hold period, ClearHome increased net operating income more than 67% by growing physical occupancy and in-place rents.

The sale of these two properties generated over $5,000,000 in proceeds for VanWest Storage Fund II. "We focus on cash flow and typically underwrite our acquisitions for longer-term holding periods. However, we decided to sell earlier than expected by balancing future cash flows against an attractive return by selling now. It was an easy decision to monetize the significant value our operations team created over the past few years," shares Jacob Vanderslice, VanWest co-founder and Principal. With 11 of the original 14 properties remaining in VanWest Storage Fund II, the Fund has distributed over $15,200,000 to investors, representing 40% of the Fund's original equity since its launch in early 2021.

VanWest's asset base consists of 37 value-add self storage facilities across the country, representing over 3,000,000 NRSF and over 19,000 self storage and parking units. In aggregate, the firm's self storage portfolio saw same-store revenue growth of 5.3% and same-store NOI growth of 10.8% comparing Q1 of 2023 to Q1 of 2024.

VanWest invites accredited investors to participate in the firm's various investment offerings, including the company's most recent acquisition in Jacksonville, FL. 

About VanWest Partners

VanWest Partners is an opportunistic real estate investment firm specializing in self-storage acquisitions and management. With expertise spanning development to value-add assets in primary, secondary, and tertiary markets, the firm consistently identifies opportunities to create cash flow and capital appreciation for its investment partners. Learn more at www.VanWestPartners.com.

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SOURCE VanWest Partners