Have you ever condo’d garage storage units?

Question

I’m curious if anyone has experience converting garage storage units into condo garages.

I’m evaluating a deal I think might make sense to convert the storage garages into condo. Then sell off half and keep half to rent out.

Anyone ever do this? How can you ensure buyers can get financing or banks will finance the units?

I obviously have some blind spots here. Appreciate the response.

Logan Hartle · Answer

Hey Nate I’m pursuing a similar Industrial Condo strategy in Charlotte. There have been developers successful in our market with building condos and selling them individually.

You would need to have them subdivided and likely need to create an owner’s association.

I’m in the feasibility study phase of building this out here. If interested, let’s connect so we can keep in touch. I’m an open book and happy to share.

Ronald Rohde · Answer

Its definitely possible, but check zoning and other regulations if its permitted. Small bay tenants usually don't want to buy, so you need to figure out the exit market if its worth the $30-50k in fees up front.

Nate Smoyer · Answer

@Logan Hartle amazing. Thanks for the response. Would love to exchange notes. I think this could be a doable strategy but I’m only as knowledgeable to know there’s probably a fair amount I don’t know. Lol