Seeking Equity Partner for Lucrative Self Storage Investment

[Michael Wagner]

Hello,

I am relatively new to BP but have been investing in real estate since 2007. I started in residential but have since transitioned to self storage and focus solely in that area now. I am seeking an equity partner on a facility that I currently have under contract.

Here are the basics and I am happy to provide interested and qualified investors with a full proposal:

Property is a 210 unit storage facility (65% occupied) with an additional +-36,000 square feet of warehouse space.

12 month trailing income = $191K
12 month trailing NOI = $78K

Contract Price = $585K
Pre-purchase costs = $35K
Repairs = $70K
Total project cost = $690K

I have already secured $540K (a combination of personal contribution and to a greater extent, seller financing) and am seeking remaining 150K (20% of project cost). I am offering 25% equity stake in exchange for this investment.

I do all work including management of facility's day to day operation.

Facility needs fence and electronic gait along with deferred maintenance and face lift. Also needs operational overhaul (which I have experience with; I previously purchased a storage facility for $330K and increased value to just over $1 Million in 18 months)

Projected Value within 18 months = $1.1 Million based on conservative 10 cap valuation.

Exit strategy is to refinance within 3 years and buy out investor. Additional phases of expansion possible beyond what is presented here (conversion of warehouse to climate controlled self storage/ addition of more typical self storage units) and investor will be granted first right of refusal on those opportunities demand renders them prudent.

Interested candidates should be able to demonstrate adequate sophistication when it comes to real estate investing and should be able to contribute entire amount sought as we are not seeking to pool funds.

I look forward to answering your questions and filling in any gaps.

Kind Regards,

Mike