Acquisitions guide
How to buy a self storage facility
What an acquisition actually involves: the routes in, how a facility is valued, the diligence that protects the purchase, and how the capital stack comes together. Useful whether you intend to buy directly or invest alongside an operator who does.
Ways to buy a facility
There's more than one way in. The right path depends on your capital, timeline, and appetite for operations.
Existing facilities
Stabilised, cash-flowing properties that generate income from day one.
Value-add facilities
Underperforming assets you reposition to grow net operating income.
Storage businesses
Operating businesses acquired as a going concern, systems and staff included.
If you would rather own the outcome than run the facility, partnering with an experienced operator is how most first-time buyers reduce execution risk — it is the model behind our own investment opportunities.
The acquisition process
The same disciplined, five-stage path we run on every facility we buy.
- 01
Sourcing & site selection
We screen markets for demographic growth, drive-time demand, and limited competing supply, focusing on off-market and relationship-driven deals.
- 02
Feasibility & underwriting
Third-party feasibility studies and conservative underwriting stress-test every assumption before we commit capital.
- 03
Due diligence
Title, environmental, zoning, and financial review against a rigorous checklist to surface risk early.
- 04
Financing & closing
We structure debt and equity, finalize the capital stack, and close — funding through our investor portal.
- 05
Construction & stabilization
We manage construction and lease-up to stabilized occupancy, then optimize operations for the hold period.
Due diligence checklist
What we verify before closing on any facility. Miss one of these and the deal can turn.
- Financials
- Trailing 12-month P&L
- Rent roll & occupancy history
- Delinquency & concessions report
- Property
- Title & survey
- Environmental (Phase I)
- Physical condition & deferred maintenance
- Market
- Competing supply & drive-time demand
- Street rate comparison
- Population & demand trends
- Legal & ops
- Zoning & permits
- Service & vendor contracts
- Management software & systems
Financing your acquisition
How buyers fund a facility — often a blend of these, structured to fit the deal.
Conventional mortgage
Bank or agency debt for stabilised facilities with strong cashflow.
SBA 7(a) / 504
Government-backed loans for owner-operators, with lower down payments.
Seller financing
Owner-carried notes that bridge valuation gaps and speed closings.
Syndicated equity
Pooled investor capital for larger acquisitions and portfolios.
Off-market deals
The strongest assets are usually sold quietly. Long-standing owner relationships and steady outreach put those deals in front of us before the wider market hears about them.
Value-add upside
Underperforming facilities offer the most upside — through revenue management, added units or climate control, and professional operations that lift NOI and value.
Buying a facility starts with a clear thesis: the right market, the right unit mix, and a price justified by in-place income and realistic upside. This guide walks the whole path — the ways to buy, the acquisition process, due diligence, financing, and how to source off-market deals. Whether you're buying your first facility or partnering with us on the next, start here.
Fit & alternatives
Is this right for you?
Who this is for
- Buyers evaluating their first self-storage acquisition
- Existing owners considering an exit or a partner
- Investors comparing direct ownership against a passive position
Who this is not for
- Anyone unwilling to take on operational responsibility
- Buyers without access to acquisition financing or reserves
Alternatives to buying outright
- Passive equity in a facility
- Ownership and cashflow without operating the asset yourself.
- Joint venture with an operator
- Shared capital and shared execution on a larger project.
- Ground-up development
- Build rather than buy, capturing the development margin over a longer timeline.
How this looks in practice
A buyer identifies an off-market facility, values it by dividing net operating income by the market cap rate, signs a letter of intent, then runs due diligence across financials, property condition, market demand and legal matters. Financing is structured — often blending conventional debt with equity — and the transaction closes with a clean operational handover.
Common questions
Frequently asked questions
How do I buy a self storage facility?
Buying a self-storage facility follows a repeatable path: source a deal (ideally off-market), underwrite the income and expenses, sign a letter of intent, complete due diligence on the rent roll and property, secure financing, and close. Working with an experienced operator de-risks every stage.
How much does it cost to buy a self storage facility?
Prices vary widely by market, size, and condition — small facilities can trade for under $1M, while large Class A facilities exceed $10M. Value is typically set by dividing net operating income by the market cap rate.
What is a good cap rate for self storage?
Cap rates depend on market and asset quality, but self-storage commonly trades in the 5–8% range. A higher cap rate means a lower price relative to income, but often more risk or value-add work required.
Can I buy a self storage facility with financing?
Yes. Acquisitions are commonly financed with conventional commercial mortgages, SBA 7(a)/504 loans for owner-operators, or seller financing. We structure the capital stack to fit each deal and investor group.
How do I find off-market self storage facilities?
Off-market deals come from direct owner relationships, brokers, and proprietary outreach. As active buyers, we maintain a pipeline of off-market opportunities that never reach public listing platforms.
Ready to buy — or sell — a facility?
Whether you want to acquire, partner on a deal, or exit a facility you own, our acquisitions team can help.