Carlyle Adds $110M of Brooklyn & Queens Self Storage Properties to its $20 Billion Real Estate Portfolio

Private equity giant The Carlyle Group has made a significant addition to its real estate holdings, acquiring four self-storage facilities in the outer boroughs of New York City.

Acquisition Details

The acquisition, totaling $110.4 million, encompasses storage facilities in Queens and Brooklyn, developed by Safe N Lock Self Storage between 2018 and 2020. The deal closed on April 12 and was initially reported by PincusCo.

Facility Details

The four facilities, managed by Life Storage, vary in size from 35,589 to 154,782 square feet. Notable among them is 87-16 121st Street in Richmond, Queens, the largest individual sale at $50.3 million. The Brooklyn properties include 145 18th Street in South Slope, 651 Utica Avenue, and 1690 East New York Avenue, both in Brownsville.

Brokerage Deal

Cushman & Wakefield's Mike Mele brokered the deal, marking the culmination of a process that began in 2019 when the brokerage first started marketing parts of the portfolio.

No Comment from Involved Parties

Despite inquiries, Mike Mele and representatives from Carlyle and Safe N Lock did not provide comments on the acquisition.

Safe N Lock's History and Legal Issues

Safe N Lock, founded in 2012, has developed over 25 self-storage facilities in the outer boroughs. However, recent legal issues have surfaced, with investors like Equity Resource Investment suing the company. Allegations include financial misconduct and misappropriation of funds, leading to foreclosure proceedings on jointly owned properties.

Carlyle's Global Expansion in Self-Storage

Carlyle's recent acquisitions in New York City add to its global expansion in the self-storage sector, including previous purchases in Long Island City and developments in Crown Heights.