Identifying Your Target Self-Storage Properties

How do you know what to look for when you are looking for self-storage properties? There are a few things that you want to make sure that every property you purchase has. You want to make sure that the property fits your business model. You want to make sure that the property has between 3 and 5 acres, and you want to make sure that you have at least 100,000 square feet of rentable space.

Every time that you are looking for a property, you need to have a business plan in place for that property. If you are going to be buying the property with the intention of selling it in 3 to 5 years, then you need to have enough upside potential to make it worthwhile. If you don’t have enough profit, your investors won’t want to work with you.

You need to make sure that you buy the right size property too. When you are looking at a property, make sure that it has the ability to expand or to add a RV or Boat Storage area. This way you can continue to improve the properties upside potential. If you buy a property that is completely maxed out, make sure that you can improve the property enough to have a decent upside potential.

Whether you have 40,000 square feet of rentable space or 100,000 square feet of space you will need approximately the same amount of management. However, the amount of profit that you will make will be significantly more if you have more units.

Make sure that you determine what types of properties you want prior to starting to look for them. If you know what you are looking for, it will make it much easier to find. Make sure that you have a defined business plan so that you know what you need to buy to fit that business plan. As always, happy investing.