30,126 SF Value Add Storage Investment Opportunity - Fredericksburg, VA

Colliers is pleased to present Forward Storage - Fredericksburg, a well-located self-storage facility at 690 Warrenton Road in Fredericksburg, Virginia. The offering provides investors with an opportunity to acquire a high-visibility asset with in-place cash flow, meaningful lease-up potential, and a compelling future expansion opportunity. The facility includes 28,350 rentable square feet across 254 non-climate-controlled units and 46 parking spaces, together with a two-story management office leased to a retail tenant, on approximately 4.7 acres.

Developed from 1996 through 2001, the facility comprises nine single-story block buildings with asphalt drive aisles, perimeter fencing, sliding-gate access, keypad-controlled entry, security cameras, and lighting. Remote management allows the former office to produce ancillary income through being leased to the retail tenant. 

The trade area includes approximately 35,604 residents within three miles and 82,964 within five miles, with average household incomes of approximately $136,235 and $137,373, respectively. Approximately 55% of housing within one mile is renter-occupied, supporting nearby storage demand. Current physical occupancy is approximately 66.1% and economic occupancy is approximately 65.0%, providing a measurable path to revenue growth through lease-up and rate optimization. Rental rates are approximately 6% to 25% below surveyed competitor averages, providing significant pricing runway.

Forward Storage benefits from its Warrenton Road frontage and exposure to approximately 69,000 vehicles per day. A significant value-creation opportunity exists within the 1.4876 acres zoned B-2 Urban Commercial, where self-storage is permitted as a Conditional Use. This area includes roughly 0.75 acres of open frontage. After accounting for the existing building area, the permitted 0.70 floor-area ratio indicates the site could accommodate an estimated 38,160 GSF multi-story structure.  Zoning allows a maximum height of 65 feet. Removing the management office and integrating it into the new building could further enlarge the development area. Future development remains subject to municipal review and approvals.

Offered at $4,350,000, Forward Storage - Fredericksburg is priced at approximately $144.39 per square foot and a 5.3% in-place cap rate. In-place NOI of approximately $232,406 is projected to reach approximately $358,692 at stabilization, equating to an 8.25% stabilized cap rate, with seven-year returns of 24.4% leveraged and 14.8% unleveraged. These returns exclude any assumptions related to future expansion revenue and expenses. Forward Storage - Fredericksburg offers buyers a compelling opportunity to acquire current cash flow at an attractive basis, capture measurable lease-up and rate-management upside, and create an institutional-quality facility through a clearly defined future expansion strategy.