Self storage properties. Need help!

4 Replies

Hello all. I am a new investor and I have always had 2 intrests before becoming an active investor. The 2 intrest were single/multi family buy and hold rentals and self storage facilities. I am 25 years old and I have 100,000 that I am unsure of where i want to invest it. I want to make the right choices before I spend the money and I am looking for insight on self storage facilities. Any input positive or negative would be greatly appreciated. I am a rookie to all of this but have read a lot on investing. Also I would love to hear from some people that have experience in owning self storage facilities. Thank you for your time. 

@Robert Gailie Hi Robert. I would suggest getting in touch with @Scott Meyers and @Michael Wagner. They are both the best Self Storage guys I know. Best of luck with your investing.

Thank you so much. I appreciate the response!

I have self storage, it's a good business...with emphasis on the word business. It is nothing like owning a rental home--you have employees, a retail operation, office issues, specialized software (I like SiteLink), auctions, advertising, etc. The real estate part is fairly straightforward but there is a learning curve in learning the industry.  

If you only have $100K to work with, your acquisition isn't likely to be more than a few garages or shipping containers and renting them from Craigslist yourself. A large facility of any quality would require more capital than $100K.  Larger facilities will support a staff and perhaps even an experienced management company, which would be very helpful if you lack the experience. But larger facilities also mean larger loans, and when borrowing more money lenders start to become more interested in your experience in the asset class. Perhaps that adds some value to the crappy garages...they can be an experience builder for the next step up the ladder.

Yes I'm not sure if 100,000 would be enough to invest in storage facilities but I would like to learn and make it a part of my investing plan. Thank you for your input.

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