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Madison Capital Group Launches GSI Opportunity Fund

Written by MSM | Nov 14, 2024 10:45:12 PM

Madison Capital Group, a leading real estate investment and development firm, has launched the Go Store It (GSI) Opportunity Fund, LP, a $250 million self-storage investment initiative aimed at acquiring and developing a diversified portfolio across high-growth Sun Belt markets.

 

The fund will leverage Madison Capital Group’s extensive market expertise to address the rising demand for self-storage facilities in areas experiencing rapid population and job growth. Go Store It Self Storage, an affiliate of Madison Capital Group, will oversee the fund’s strategy, capitalizing on the resilience and growth potential of the self-storage sector.

 

“Self-storage has proven its strength through various economic cycles, and we see tremendous opportunity in the Sun Belt’s high-growth markets,” said Ryan Hanks, CEO of Madison Capital Group. “Through this Opportunity Fund, we’re building on Go Store It’s operational expertise and employing a diversified investment approach to deliver significant value for our investors while meeting the rising demand for self-storage solutions in some of the country’s most dynamic regions.”

 

The Go Store It Opportunity Fund, LP encompasses a comprehensive strategy that value-add acquisitions of under-managed, locally owned facilities with below-market rents, creating potential for rental growth and operational improvements. The fund will also pursue pre-stabilized acquisitions, enabling it to acquire properties at a discount, with valuations nearing replacement cost and potential for improved cap rates as the properties stabilize. Additionally, the fund will target stabilized assets with strong occupancy rates, providing incremental growth in high-demand areas.

 

The fund also integrates a development component to construct high-quality storage facilities in select markets with favorable supply-demand dynamics. By strategically building in suburban, urban fringe, and urban core areas, the fund aims to meet diverse storage needs across communities in the Sun Belt.

 

The region’s strong population growth makes it an ideal focus for self-storage investment. States like Florida, North Carolina, and Georgia consistently rank among the top destinations for workforce migration and retiree relocation, sustaining ongoing demand for self-storage solutions.

 

The U.S. self-storage market is currently valued at $44.33 billion, with projected growth of 16% through 2029, driven by evolving lifestyle patterns, increased consumer mobility and rising demand for flexible storage options.

 

About Madison Capital Group

Madison Capital Group, headquartered in Charlotte, N.C., specializes in real estate investments with a focus on the self-storage and multifamily sectors. The company is the parent entity of Go Store It Self-Storage, a non-traded direct investment sponsor emphasizing self-storage, and Madison Communities, a vertically integrated real estate development and investment firm dedicated to crafting high-quality, suburban, garden-style apartment communities throughout the Southeast. For more information, visit madisoncapgroup.com.