The takeover has been quite something. Here's a recap of our first 90 days buying a failing self storage facility. Originally from Memphis, Tennessee, Jacob Greer has built a thriving business rooted in customer service and community connection. As the founder of 6th Man, a moving company established in 2013, he has dedicated himself to alleviating the stress of relocation through customized solutions and exceptional care. With a passion for helping others and a foundation of family values, Jacob continues to bring a people-first approach to his work, ensuring every client feels supported during one of life’s most challenging moments. Sponsored by www.CRECentral.com

The Commercial Real Estate Investor Podcast

Tyler Cauble

308. 90 Days After Buying an Abandoned Self Storage Facility

MAR 31, 202532 MIN
The Commercial Real Estate Investor Podcast

308. 90 Days After Buying an Abandoned Self Storage Facility

MAR 31, 202532 MIN

Description

<p data-rte-preserve-empty="true" style="white-space:pre-wrap;">Key Takeaways:</p><p data-rte-preserve-empty="true" style="white-space:pre-wrap;">Occupancy dropped from the seller's claimed 93% to as low as 58%, but has now climbed to the high 70s.</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Partnering with a moving company (Six Demand Movers) provides unique advantages in filling units and getting above-market rates.</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Major operational challenges included:</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Transferring property management software</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Onboarding a call center</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Fixing maintenance issues (gate, HVAC, doors)</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Tenant retention strategy focuses on:</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Responsive maintenance</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Flexible fee policies</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Building relationships</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Serving long-term, multi-unit clients</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Future plans include:</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Reaching near 100% occupancy</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Adding 40-52 new units using shipping containers and movable units</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Potentially expanding to 130-140 total units</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Improving property curb appeal</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Key financial insights:</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Each unit is worth approximately $17,300</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Adding units can significantly increase property value</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Avoiding marketing expenses creates substantial value</p><p class="" data-rte-preserve-empty="true" style="white-space:pre-wrap;">Seasonal considerations: Peak moving/storage season is March to October, with slowest months in January and February.</p>