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DXD Capital Launches Fund to Target Self-Storage Development | DXD In The News

Written by DXD Capital | Sep 24, 2021 9:55:00 PM
Update 9/24/21 –   DXD Capital  has broken ground on its development in Las Vegas. The project at the corner of South Monte Cristo Way and West Sahara will ultimately comprise 1,100 units. Expected to open in fall 2022, the multi-story facility was designed by Studio Level 1, with ARCO/Murray Design Build serving as general contractor.

DXD Capital, an Albuquerque, N.M.-based real estate and private-equity firm that leverages data technology to make opportunistic investments, has launched DXD Self Storage Fund I to pursue self-storage development. Aiming to raise $50 million for ground-up projects, the fund will initially target 10 deals, according to the source.

Its first will be a  multi-story facility  on a 1.7-acre property in Las Vegas. Expected to break ground in late winter, it’ll be complete in the first quarter of next year and managed by self-storage real estate investment trust Public Storage Inc.

The self-storage industry’s continued growth in past economic downturns was a driver to establishing the new fund. The pandemic also created opportunities, according to Drew Dolan, principal fund manager, who co-founded DXD Capital in September. “Pre-COVID, there were many diverse demands for premier land sites like retail, restaurant and office. Those uses are no longer viable in the current economy,” he said. “They will come back, but not all land sellers have the ability to wait for a market to recover. We are finding excellent self-storage sites that were just unavailable for self-storage development pre-COVID.”