Investment Overview

Republic Storage is a 62,540 rentable-square foot self-storage facility located in Tyler, Texas. Built in 2016, then expanded in 2024, the facility rests on two adjacent parcels totaling approximately 5.35 acres. The facility was built to “Class-A” construction standards, and its amenities include wide concrete driveways, garage-style roll up doors, perimeter fencing and lighting, personalized key-pad gated entry, and room for expansion. Additionally, the diverse unit mix is comprised of 233 climate-controlled units, 136 non-climate drive up units, and 18 covered parking spaces for boats or recreational vehicles. Republic Storage can be easily seen and accessed from US-69, upon which approximately 20,000 vehicles travel each day. The facility is located in the city’s primary growth corridor, and approximately 50 percent of the units delivered in May 2024 have already been leased. In total, the facility is 72 percent physically occupied as of January 2025. Tyler was also recently ranked in U-Haul’s Top 25 Growth Metros for 2024, and it has cemented its status as one of the most desirable destinations in Texas for movers and newcomers. Consequently, a multitude of commercial and residential developments within the facility’s local trade area suggest a new owner could achieve economic stabilization within the first 12 months of ownership. Recent and upcoming residential developments featuring a mixture of single and multi-family projects include Wayfare – Cumberland Park, Legacy Bend, Caddo Woos Estates, Celebration Tyler, and Virtu on Cumberland. Additionally, The Village at Cumberland Park – located 1.50 miles north of the property on US-69 – is a 78-acre shopping center built in 2018 and encompassing over 700,000 square feet of shopping, dining, and recreational space, making it the largest mixed-use shopping center in Tyler. Offered for $7,250,000, Republic Storage is the perfect opportunity for investors seeking a Class-A storage facility in a burgeoning Texas market that features very few REIT-operated competitors. With that said, perhaps the most compelling aspect of the deal lies in the seller’s willingness to lend $2,000,000 to a (qualified) buyer at a 5 percent interest-only rate over a 5-year term. After combining the seller-carry portion with a 5-year, 45 percent LTV, 7.50 percent interest-only bank loan, a new buyer’s blended down payment and interest rate could reach as low as 28.50 percent and 6.55 percent, respectively.