Are you investing in self storage?

[Nathan Gesner]

I'm surprised there's not a category for self storage. In my opinion, it's as lucrative as mobile home parks and easier to come by.

I would love to connect with others that are investing in self storage facilities.

[Nathan Gesner]

Thanks for sharing, @Paul Moore! I have always been interested in self storage (no toilets, low turnover) but never investigated it fully. An investment group bought a property with 200 units on it and hired me to manage them. I jumped at the opportunity to learn the business and it has been amazingly simple. There were struggles cleaning up books, bumping up rents, chasing down tenants, building processes, etc. It's only been one year and it's running so smoothly that I decided to try and jump in myself.

I cold-called storage facilities in my area and found one interested in selling. Long story short, it's been poorly managed for the last five years. Out of 157 units, they currently have almost 70 vacant despite high demand. The property also has three residential rentals that are 30% below market. I made an offer based on 2020 performance and they accepted it! I anticipate turning it around in under a year and easily doubling the value by 2022. I'm buying this property at the price of two single-family homes but it should net more than six single-family homes. That's hard to beat!