316. How to Analyze a Self Storage Facility from Scratch (6 Steps)

How do you know your first or next self storage investment is worth the money? This is how you do self storage analysis in six steps, even if you’ve never invested in storage before. With the most basic of numbers, you can analyze a self storage facility to see if it’s a worthwhile deal. And you don’t need any experience in commercial real estate or self storage underwriting models to do these calculations—you just need some time. We’ll take you all the way from defining your “buy box” (know what you want to buy) to estimating expenses and revenue, running the numbers, and the extra “margin” we add in every single self storage deal to ensure it’ll be profitable. Plus, what a good self storage investment looks like and how to secretly get your competitors’ rent prices so you’ll know just how much your facility can bring in. Your first or next self storage deal is close—let’s make sure it’s a home run! What you’ll learn in today’s show: How to analyze a self storage facility from scratch, even if you have no prior experience The secret way to know your competitors’ pricing and how occupied they are Why you must design your “buy box” before you analyze a single storage deal When to go from quick to full underwriting vs. pass on a so-so deal The two biggest self storage expenses that you cannot ignore (or you’ll get burned!) 🌳 Live Oak Bank: https://www.liveoak.bank/ 📉 TractIQ: https://tractiq.com/ 📑 Our Self-Storage Feasibility Studies will help you speed up the process in understanding markets, potential risks, and analyzing the facility itself. https://cedar.cc/feasibility-studies/ 📖 Get AJ's book that teaches you everything he knows about self-storage https://a.co/d/aRSKcSq 📉 Take advantage of today’s market conditions and invest with us: https://cedar.cc/invest