This is the sum of all of the sources of gain including not only cash flow and appreciation but also depreciation and amortization of the loan. 

I am looking into buying my first self storage facility.

Thanks for the care and detail you put into your posts on self storage.

Quote from @Daniel Saravia: anybody here had bought real estate using self directed IRA?

If you own 25%+ of the business paying your w2, youre still self-employed.There are bank statement/1099 loan program as well, which is what you have been offered.

Just be mindful that you can't 1031 a personal residence but it might be eligible for capital gain exclusion from section 121.

We're crunching numbers and planning to make purchases this year in the self-storage space.

Your income isn't high enough for it to make sense as a rental and the closer you get to your residence limit the greater pressure you will have to sell it before losing your exclusion in whole or part. 500k right now can make $15k per year income with zero maintenance or tenant risks. 

It's expected and common for MTRs to have utilities included.

You don't have to sign the agreement, though some state laws require an exclusive contract.