Owner financing or MLO on self storage facility

[Brandon Patrick]

Hello Bigger Pockets family,

I am new to Bigger Pockets and am excited to have found this website. I have done research and need some advice on how to proceed. I am trying to put an offer together for a self storage facility that is currently 79% physical and 70% economically occupied. It has 540 units with 130 climate controlled. Also has 100 parking spaces of which 30 are rented. It has a total NRSF of 53,100 right now with 3 possible expansions of .24 acres, 15,000 gross square feet and 3rd 50,000 gross square feet on a total of 7 acres for entire property. It currently has a NOI of $153k according to OF. It is NOT a main focus for retiring owner who is in their 70's. Management is appalling and not using property to it's best capabilities. There is ALOT of income streams that are currently not in place that can be implemented to add to bottom line. I have 5 yrs direct industry experience and would like to know how to proceed. The owner would like low $3 million. Market has offered mid to high $2 million. Owner is set on getting price of over $3 mil. Should I proceed with an MLO of 3 years with 2- 1year extensions to see if I can get property numbers to being more stabilized? Or should I just see if the owner is willing to do owner financing since they are set on price? I appreciate any input or comments. Thank you in advance for reading this!