Article Showcase: Bonus Self-Storage Investing Features 2024
Article Showcase: Bonus Self-Storage Investing Features 2024

The January 2024 issue of "Inside Self-Storage" magazine is dedicated to the topic of industry investing, including finance and real estate. It addresses what’s happening in the finance market and the impact of rising interest rates, available loan options and how to gain approval, an overview of the real estate market, and how determine facility value, plus advice for buyers and sellers. Because the investing sector is so richly nuanced, we also assembled the following series of bonus articles. These special features will help owners and investors better understand the ever-changing industry landscape. Gain insight on additional financing options and deal structures, preparing your site to sell, whether to buy or build, and more.

Have a Maturing Self-Storage Loan? It’s Time to Explore Your Options
The rise in interest rates has caused a conundrum for self-storage owners with maturing loans. There are two paths to consider: refinance or sell. Read about the pros and cons of each.
By Steve DeRose, Senior Vice President of Loan Originations, Starwood Mortgage Capital

Self-Storage Construction Financing in Today’s Economically Difficult Environment
If you’re planning to build a facility, you’ll likely need financing. While there are many lenders willing to provide it, even today, it’s more difficult to obtain favorable rates. Get strategies to help you secure the funding you need for construction.
By John Williamson, Director of Debt and Equity Placement, JLL Capital Markets

CPACE Financing: How It Works and Why It’s a Great Fit for Eco-Friendly Self-Storage Projects
A viable finance option of which owners and investors may not be aware is the Commercial Property Assessed Clean Energy program, which can be used to fund environmentally friendly property improvements. Learn how it works and why it’s a particularly good fit for some developers.
By Jason Schwartzberg, Cofounder and President, MD Energy Advisors

Creative Deal Structures for Today’s Self-Storage Facility Sales: Seller Financing and Equity Partnership
Closing a real estate transaction can be difficult in the best of times, but current conditions can make it nearly impossible for buyers and sellers to come to agreeable terms. To bridge the divide, consider a creative approach to deal structuring. Read about seller financing and equity partnership.
Steve Wear, Co-Owner and Chief Marketing Officer, Self Storage Syndicated Equities

A Newbie’s Guide to Self-Storage Investing: 3 Keys to Achieving and Sustaining Momentum
Self-storage investing can be filled with challenges, particularly if you’re new to the industry. The key is to create and maintain momentum. The author, who amassed his own $40M portfolio in just three years, shares three secrets to success.
By Cameron Barsanti, Founder and CEO, StorageLife

Ready at a Moment’s Notice: How to Ensure Your Self-Storage Facility Is Always Prepared for Sale
If you’re a self-storage owner, regardless of your exit strategy, you should operate your facility as if you plan to sell it tomorrow. You never know when opportunity might knock or circumstances will force your hand, and you want to maximize return if a sale occurs. Read why this is important and areas in which to focus to increase valuation.
By Jane Sauls, Broker and Co-Owner, Sauls Storage Group LLC

A Common Quandary: Is It Better to Acquire an Existing Self-Storage Facility or Build New?
Everyone interested in investing or owning a self-storage asset faces big decisions. Key among them is whether it makes more sense to buy an existing facility or build new. Here are some pros and cons as well as key considerations to help determine the right path.
By Tom Dunkel, Chief Investment Officer, Belrose Storage Group LLC

The Forgotten Metric: Using Return on Cost to Determine if a Self-Storage Project Is a Worthy Investment
Investors and developers typically use a range of metrics to determine whether to pursue a project, but one that tends to be underrated and underused is return on cost (ROC). This article offers insight to what ROC measures, how it’s calculated and why it’s valuable to the decision-making process.
By Jon Allen, Self-Storage Managing Partner, PassiveInvesting.com LLC

The Fate of Oversupplied Self-Storage Markets and How to Pull Back From the Brink
The industry continues to outperform most commercial real estate sectors, but there could be trouble on the horizon as some markets face oversupply. Read about the factors that have led to this situation and the risks to all investors and owners. Plus, get guidance on how to protect your investment.
By Frank DeSalvo and David Perlleshi, Senior Directors, Franklin Street

The Artful Self-Storage Buy: What Qualifies as a ‘Distressed’ Property Today and Why It Makes a Smart Investment
Snapping up “distressed” self-storage properties and turning them into profitable assets isn’t a new investment strategy. What’s changed is the type of facility that now falls into this category. Learn about these new target sites, why they’re underperforming and why they make a smart buy in today’s market.
By Mark Helm, Owner, Creating Wealth Through Self-Storage