Financing is one of the most important considerations when acquiring a self-storage facility. Whether you’re purchasing your first property or expanding an existing portfolio, understanding the available financing options can help you structure a successful acquisition. One of the most common funding sources is a traditional bank loan. Banks often provide competitive interest rates and repayment terms for stabilized facilities with strong occupancy and cash flow. Investors with solid credit and a sufficient down payment are often able to secure favorable financing. For owner-operators, Small Business Administration (SBA) loans can…
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Back To The Basics?
For many decades, self-storage was a remarkably simple business. The product was almost always the same: a single-story, drive-up facility on a piece of well-located land, built efficiently, operated leanly, and supported by a fixed-cost base that allowed operators to absorb economic cycles with minimal disruption. It was, in many ways, a beautiful business model. Low overhead, sticky tenants, modest reinvestment requirements, and steady cash flow. The asset class earned its reputation as one of the most durable in commercial real estate precisely because it kept things simple. That simplicity…
Weekly Self Storage Transaction Roundup: 6/17/26 – 6/22/26
This week’s self-storage activity covered eight properties across five states – Michigan, California, Texas, Arizona, and Florida – with deals ranging from a small rural facility in Texas to Extra Space Storage’s acquisition of an infill asset in one of the week’s highest-rate markets. In Sacramento, 9th & X Self Storage may be modest in size at 19,300 square feet, but its location tells the larger story: the market’s $1.97/SF walk-in average and $2.10/SF climate-controlled rate were the strongest among this week’s transactions, supporting the appeal of well-located West Coast…
10 Ways to Prevent Tenants from Living in Your Self-Storage Facility
Self-storage facilities are designed to store belongings—not serve as housing. However, operators occasionally encounter situations where tenants attempt to use storage units as living spaces. Beyond violating lease agreements, this practice can create serious safety, legal, insurance, and liability concerns for facility owners. Living in a storage unit can increase the risk of fire, property damage, criminal activity, health hazards, and injuries, all of which can expose owners to significant risk. Fortunately, there are several proactive steps operators can take to discourage unauthorized occupancy and maintain a safe, professional facility.…
Weekly Self Storage Transaction Roundup: 6/11/26 – 6/17/26
Recent transaction activity demonstrated that buyers continue to target self-storage assets with appealing local demand fundamentals. Of the six deals, three were portfolio sales, including two properties in the Denver metro totaling 155,000 NRSF and 1,800 units, and two assets in South Carolina’s coastal markets. The remaining three were single-asset transactions in State College (PA), Rochester (MN), and The Colony (TX). Market data points to a range of fundamentals behind the activity. In the three single-asset deals, solid demand is supported by the presence of institutions or employment centers that…
Shenango Township Approves New Self-Storage Facility on Ellwood Road in New Castle, Pennsylvania
Shenango Township supervisors in Pennsylvania have approved a conditional use request from Alpha DHZ Properties LLC to build a self-storage facility at 2515 Ellwood Road. The 16-unit structure will be constructed at the rear of an existing AT&T parking lot owned by the same developer, screened by fencing and vegetation. The small-scale project illustrates a broader pattern of self-storage development on underutilized commercial parcels, a dynamic worth noting for those tracking new supply in smaller markets. Read the Full Article Source: New Castle News
Self-Storage Asset Recapitalized at $15.2M by VOC Partners in Lehigh Valley, Pennsylvania
VOC Partners completed a $15.2M recapitalization of its Lehigh Street self-storage property in Whitehall, Pennsylvania, returning 42% of original invested capital to existing partners while retaining ownership of the asset. The transaction refinanced existing debt and brought in new equity, creating a liquidity event short of an outright sale. The 81,500-square-foot climate-controlled facility comprises 713 units and has reached 58% occupancy since opening in mid-2024. The deal offers a notable example of how self-storage investors can structure returns without divesting stabilizing assets. Read the Full Article Source: PR Newswire (by…
Self-Storage Facility Approved for Three-Story Climate-Controlled Addition in Menifee, California
The Menifee Planning Commission approved an expansion of the Prime Self-Storage facility at Normandy and Berea roads on June 10. The project calls for a three-story, 69,266-square-foot climate-controlled building that will replace part of the site’s existing RV storage area, bringing total facility space to more than 186,000 square feet. Units will range from 50 to 600 square feet with elevator access throughout. The approval points to sustained storage demand in a growing Southern California market and continued industry movement toward larger, climate-controlled assets. Read the Full Article Source: Menifee…
The Gap Between What Self Storage Sellers Want and What Buyers Will Pay is Finally Starting to Close
Transaction volume in self-storage has been slower than buyers and sellers would both like. Capital is ready to deploy, and assets need to trade. But the gap between what sellers believe their properties are worth and what buyers are prepared to pay has kept a significant portion of the market on hold. That standoff is starting to shift, and not entirely by choice. Tom de Jong, Executive Vice President at Colliers and Founding Principal of the De Jong Self Storage Team, has tracked this across dozens of active deals over…
How Far Are Customers Willing to Travel for Self-Storage?
When evaluating a self-storage investment, one of the most important questions to ask is: How far are customers willing to travel to access their storage unit? Understanding tenant travel patterns can help owners, operators, and investors make better decisions about site selection, marketing strategies, facility amenities, and pricing. While convenience remains a major factor for most renters, customer behavior shows that many are willing to travel farther when a facility offers the right combination of value, security, and features. Let’s take a closer look at how far tenants are willing…
