Self Storage Questions
Anyone have any experience financing self storage deals? Some of these questions are hard to answer obviously without more info but I literally just have no idea and am flying blind so anything helps.
Let's say you have a good class A (if that even exists/whatever metrics they use) stabilized property in a top tier/sexy six market what would be an estimate of the cap rate range that they would trade on, like 7-9% ish?
What capital sources lend on self storage (bank, debt fund, CMBS, private lenders/hard money?).
What metrics do you look at (occupancy, lease term, lease roll, OpEx ratios, etc) – again I know nothing?
-Is 70%+ non-recourse first mtg financing possible and if so what type of spread are we talking (again assuming major market and good location and fixed or floating spread I don't care - ballpark me).
- What about in tertiary markets would community banks, CMBS or debt fund still play even at higher proceeds? Any other capital sources?
Thanks and sorry in advance for the question overload