How Much Money Does Self Storage Make?

Owning and operating a storage facility is no walk in the park. So there's got to be a reward, right? What can YOU make by buying a storage facility?
In this video, we talk about one of our deals, and show you the numbers: what EXACTLY do we make? What does it cost to renovate or maintain self storage? And what is our strategy to remain profitable, even with large capital expenditures?
00:00 The Storage Facility
00:37 What makes this one different
02:08 What needed fixing?
04:45 We overpaid :(
05:51 What it took to make it profitable
11:49 Why we paid the high price
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[@KarlBreaux]

Look forward to your course

[@gregs9966]

The best self-storage channel on KZbin by far. Can't believe you don't have a million+ subscribers. Please keep the content coming!

[@SelfStorageIncome]

Hey thank you so much! That means a lot to me and my team!

[@charliecental5657]

He doesn’t have a million subscribers because not everyone is into self storage investing. He is pretty amazing though!😀

[@jayxhughes]

You can kill as many birds as you want 😂 Another good video man. Keep it up! I appreciate how positive you are. Makes me step back and look at the bigger picture, slow and steady wins the race. Everyday is hard to go to work when you hate it. Hope to make this full time or at least get me enough revenue I can do something else but punch a clock at a spot I hate.

[@Allfrom1supply]

Great video and discussion. 👍👍

[@SelfStorageIncome]

Hey @Allfrom1supply - Glad you found it helpful! What subjects are you interested in for our next video content?

[@Allfrom1supply]

@@SelfStorageIncome Actually we are a self storage vendor - sell paint, door hardware and the like to self-storage and I noticed one of your videos and spend a few minutes looking through it. I personally don't get to see the operations end of things usually- though the owner has been around the service, paint and hardware for many years- so I found it interesting to look at the other side. :)

[@peteraegger]

Great video 👍

[@SelfStorageIncome]

Glad you enjoyed it

[@victoriahartcorn2731]

Hey man! Thanks for all of this info. I'm actually going to your event this Monday (May 6th) in Denver. I can't wait! I've got a quick questions, I don't now much about self storage and I'm just trying to soak it all in like a sponge. What do you personally see about the self storage real estate in Colorado? You are awesome!

[@SelfStorageIncome]

Hey @victoriahartcorn2731 - Thanks for your excitement about the event! We own two facilities in Colorado, and I believe the market here offers promising opportunities for investment and growth. Looking forward to discussing more at the event on Monday! 🙌

[@victoriahartcorn2731]

@@SelfStorageIncome Thanks for your reply. Also, this is Victoria husband (Kyle). I was the one that asked that question. Looking forward to the event, AJ!

[@victoriahartcorn2731]

@@SelfStorageIncome Also, I'm curious, where in Colorado are you facilities?

[@Erati243]

Make up your mind please! at the beginning you said you paid 2.5m cause you felt it was a great deal. 5 minutes later you say you felt 2.5m was too much... which is it?

[@SelfStorageIncome]

As I explain around at 5:00 minute mark… It was a great deal because of its potential that it had. There was up side through the operations as well as through add ons. Because we felt that it was a great deal because of the potential we were ok paying a little more then it was worth at the time. Both are true.

[@tc6984]

Do you help others with pre- buy (due diligence) for the buyer including turn around if acquired

[@SelfStorageIncome]

We do! I have a great team that can help consult on due diligence, feasibility studies and a lot more. You can check it out here www.selfstorageincome.com/services

[@watbri1801]

do you go in and see if they have like protection plans or tenant insurance required as part of where you can add to revenue?

[@SelfStorageIncome]

We do! Renters need to provide proof of insurance or we allow them to easily add insurance through us. It's convenient for them at check out and good for us.

[@NavyBlue41]

Someone really sold this to you at a 10% cap rate ($250k NOI / $2.5mm PP) WITH lots of potential upside on top of that? Those opportunities don’t exist anywhere in my markets.

[@SelfStorageIncome]

We're being genuine here, it happens and we are also in a moderately rural area that is quickly growing. The deals are becoming harder to find but they're out there!

[@anthonywood8587]

Have anyone trying to live in your units? That’s been a serious problem at some urban locations.

[@SelfStorageIncome]

We have absolutely had this issue. We try to just be diligent with security and our daily facility walk throughs but even at our rural facilities it happens. We wish we could help people and never like kicking someone out but that's a major liability issue.

[@whistlingrock3157]

Unless you already have millions you can’t buy this product! Stop slinging your bull

[@ojbudz]

What you don't have an extra 800 thousand laying around for a down payment. Come on