All Forum Posts by: Kris Bennett

Everything in storage is calculated on a per square foot basis, not per unit. You could calculate items per unit if you want to know those numbers, personally. But if you look at the Expense book put out by the Storage Almanac and other publications, everything is broken down per square foot.

As for your question, how much you make as the sponsor/owner is dependent on your investors, if any, and how much you are paying them first, and splits thereafter. All of that info is a function of the cash flows after debt service as a percentage of cash invested, including CAPEX and transaction costs. In other words, the cash-on-cash return. A typically preferred return to investors is 8%, then splitting the cash flows thereafter anywhere from 80/20 (80% to investors/20% to you the sponsor) to 50/50. Those splits will depend on the experience level of the sponsor and the perceived risk to the investor.

I hope that helps, Kenneth, and hope you're doing well. :) 

Awesome, thanks Chris! 

It's been too long since I attended the last one. I'll be there. Looking forward to it.

@Jeff Byrne don’t give up. I haven’t faced family obstacles, but I’ve faced health issues, personal fears, self-doubt, and failure many times. Still on my journey. I’m happy to hop on a call anytime just to mastermind/strategize/encourage each other. Send me a message anytime.

I’d like to get input on websites for acquisitions companies.

- What info do you like to see on a sponsor’s website?

- What info helps you feel good about the group?

- If a group is new, what can help you feel comfortable?

- What is unnecessary or distracting?

- Suggestions for website designers under $500

- Anything else

@Nathan Burris anytime, but you don’t have to wait 10 years. @Paul Moore is right, check out @Scott Meyers website and you’ll get on a faster track. @Michael Wagner also has great guidance for beginners. And @Paul Moore knows storage as well. Sign up for his newsletters. You’ll be on the fast track if you do. :)

@Ann Marie Giglio hey Ann it will be worth you’re time to check both Michael Wagner’s YouTube channel The Storage Rebellion, and Scott Meyers website. They provide good info for people starting out.

@Ann Marie Giglio self-storage is typically evaluated on a per square foot basis (similar to per door for apartments), such as asking price per square foot, or rent per square foot for a 10x10. But a per square foot doesn’t tell an investor anything about the financial return of the property, just like per door doesn’t either. It’s only a back of the envelope method for comparing deals.

I’d recommend signing up on a couple of storage broker websites and downloading the offering memorandums for a couple of deals. That will help you get familiarized with how they’re underwritten and other jargon. Good luck!

@Nathan Burris

- also radius plus.com for storage news

- check out Inside Self Storage for more resources and annual meetings/conferences

- consider buying the 2020 Self-Storage Almanac by Mini Storage Messenger - storage is the only real estate asset class I know of that has an almanac with all the info you could possibly want about the industry

@Nathan Burris everyone has pretty much covered the resources:

- Jim Ross’ The Self Storage Show podcast

- 2019 Self Storage Summit in Nov - online and free

- Atomic Storage Group - podcast and Matt Van Horn’s weekly newsletter

- Mike Wagner The Storage Rebellion and YouTube channel

- Scott Meyers webinars and in-person seminars

- My stuff

- Dean Booty just launched a podcast as well. He’s in the U.K., I think, but still relevant

- Your state self-storage association will have meetings and events you should check out

- if you’re ever in Charlotte NC, I’d be glad to meet up