purchasing self-storage facility

[Tyler Cote]

Hi - I'm about to sell one investment property to purchase others. I'm intrigued by the concept of self-storage facility investments. Ideally, I'd like to get my feet with by buying out a smaller mom and pop facility in the southern New England area.

Two challenges:

1. I'm looking in price range of $600-750k. All of the facilities I've seen listed are significantly more expensive. 

2. I see very few listings on loopnet for self-storage facilities. I'm unsure if inventory is this low, or whether I'm not looking in the right place(s).

Looking for feedback on how on how to more effectively look for a foothold in this market. Thanks in advance!

[George Fitz]

Hi Tyler,

I've gotten most my best leads by sending out letters to property owners. Identify your area and search for properties that fit your criteria. Then send letters to the owners. My response rate is probably about 5%, if I had to guess. I once found a property through my banker, since he knows I invest in this space. I found another owner interested in selling as I was stopping in and renting a unit for my mother. Call your CPA, your insurance agent, your banker, and ask them if they know anyone who owns a SS and might be interested in selling. Loopnet, brokers, RE websites are great too. But you definitely need to cast a wide net, especially to find the better deals. Good luck!