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2/13/26
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Buchanan Street Partners has broken ground on a new, 760-unit self-storage development in Scotts Valley, CA. Located at 10 Victor Square within Santa Cruz County, the 2.6-acre site will be transformed into a state-of-the-art, climate-controlled self-storage facility.
Following 14 months of entitlement efforts and project due diligence, Buchanan acquired the site for $5.25 mil. The transaction marks the firm’s eighth self-storage investment in California over the past five years, further expanding Buchanan’s institutional platform in high-barrier-to-entry West Coast markets.
The property, previously improved with a vacant 39k sf office/flex building formerly occupied by a technology supply company, will be redeveloped into a three-story, 99.5k sf, Class A self-storage facility. Demolition commenced in January 2026, and the project is slated for completion in April 2027. Buchanan has partnered with DAI General Contracting as the general contractor and Valli Architecture as the project architect. East West Bank is providing construction financing.
“The Scotts Valley project aligns with our investment strategy of targeting high-rent, supply-constrained markets in desirable Western U.S. locations, particularly throughout California,” said Jon Suddarth, Vice President at Buchanan Street Partners. “The current trade area has extremely limited availability of modern self-storage facilities, with the newest product in the market now nearly 25 years old. This development addresses a clear gap in the marketplace by replacing an outdated office structure with a high-quality, aesthetically designed Class A facility. Conveniently located just off Hwy 17 and near a grocery-anchored retail center, the project will meet the storage needs of the surrounding residential and commercial communities.”
Buchanan continues to grow its self-storage portfolio through both development and acquisitions. In addition to Scotts Valley, the firm is actively developing self-storage facilities in South San Francisco, CA, and Upland, CA, and recently acquired a newly constructed facility in Las Vegas, NV. Buchanan is targeting a $1 bil+ portfolio of institutional-quality self-storage assets throughout the Western United States. Through an affiliate, the firm also provides bridge and construction financing as an active direct lender within the self-storage sector.
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