Investment Overview

Simple Self Storage is a 45,465 rentable-square foot, 414-unit facility located on approximately 5.12 acres in Waco, Texas. Built in 2017 and expanded in 2023, the property offers strong visibility along the East Loop 340 (14,000+ vehicles per day) with convenient access to Interstate-35, Highway 84, and the growing northeast Waco corridor. The site includes excess highway frontage land, providing a clear path for future expansion, all at an acquisition basis of roughly $62 per rentable-square foot — below today’s replacement cost. Waco benefits from its strategic position between Dallas–Fort Worth and Austin along I-35 and is supported by Baylor University, L3Harris Technologies, Texas State Technical College, and a diversified manufacturing base. Within a three-mile radius, storage supply remains below 6.5 square-feet per capita (approximately 10 square-feet within five miles), indicating a favorable competitive environment capable of supporting future lease-up and expansion. Operationally, the asset is underperforming due to substandard remote third-party management. Street rates trail nearby competitors by approximately 13 percent, concessions remain elevated, and revenue management has lacked discipline. A focused operator should be able to drive occupancy and push rates toward market levels. Currently, the property is only 51 percent occupied economically, but at 75 percent economic occupancy, the property supports approximately a 7.31 percent cap rate in Year One, expanding to roughly 8.76 percent at 85 percent economic occupancy in Year Two — both of which are based on current street rates that remain below market comparables.