Investment Overview

The South Jersey Self-Storage Development Opportunity consists of a former motel site featuring approximately 6.64 acres of developable land. The proposed project includes a single-story, climate-controlled self-storage facility comprising approximately 70,000 net rentable square feet within a building footprint of approximately 93,225 gross square feet. In addition to the self-storage component, the development plan includes two pad sites designated for an express tunnel car wash and a 2,200-square-foot quick-service restaurant (QSR). The developer would be responsible for constructing the QSR building at an estimated cost of $400,000, with the potential to sell the completed building to an end user for approximately $800,000. Each pad site is projected to generate approximately $80,000 in annual rent under a triple-net lease structure. The property is located along State Route 77 in Bridgeton, New Jersey, where traffic counts are approximately 15,000 vehicles per day. Bridgeton is situated in Cumberland County, approximately 10 miles west of Vineland. The federal government is Cumberland County’s largest employer, providing a stable foundation for employment and wages. Beyond the federal government, the county benefits from a diverse employment base that includes healthcare, education, warehousing, and distribution. The property is also located within a redevelopment area that may qualify for New Jersey’s Payment in Lieu of Taxes (PILOT) program under N.J.S.A. 40A:20-1 et seq. This long-term tax-abatement program allows qualifying redevelopment projects to replace conventional property taxes with a negotiated payment generally based on a percentage of gross revenue or total project cost. The program is intended to encourage investment and development in municipalities seeking economic growth by reducing the property-tax burden associated with qualifying projects. The proposed self-storage facility is expected to generate most of its rental demand from within a five-mile radius of the property. This market area is currently underserved, with an estimated population of 42,958 and an existing self-storage supply of only approximately 3.8 square feet per capita. The same radius contains approximately 13,523 households, 43% of which are renter-occupied. A high concentration of renter households typically supports increased demand for self-storage, particularly among residents who are downsizing, relocating, or transitioning between leases. Rental rates within the market provide another positive indicator for the proposed development. Average annual rents for both climate-controlled and non-climate-controlled units are strong for a smaller market and suggest potential for future rental-rate growth. The average annual rent for a 10 x 10-foot climate-controlled unit is approximately $21.04 SF, while a 10 x 15-foot climate-controlled unit averages approximately $23.90 SF. Together, the market’s limited existing self-storage supply, favorable renter demographics, strong rental rates, high-visibility location, potential PILOT benefits, and additional income from the two pad sites create a compelling mixed-use development opportunity.