Investment Overview

The Lubbock Storage Portfolio consists of three established self-storage facilities totaling 46,402 rentable-square-feet and 384 units across the Lubbock market. Offered at $2.495 million, or $54 per rentable-square-foot, the portfolio provides a compelling basis for an investor willing to take on a hands-on turnaround. Lubbock is a sizable and growing regional market with 346,000 residents, anchored by Texas Tech University, a major healthcare sector and a diverse employment base serving much of West Texas and eastern New Mexico. The primary upside is operational, with the portfolio’s current performance largely reflecting management issues that occurred over the past 18 months. Out-of-state ownership has not visited the properties in more than two years, and after discovering theft by the previous manager earlier this year, the facilities went almost six months without any local management. Occupancy fell to 56 percent portfolio-wide as of August 2026, including just 35 percent at Crossroads, creating significant room to recapture occupancy through basic management, marketing and property improvements. A new local manager was hired in September and has begun the process of getting operations back on track. The portfolio’s historical performance provides a clearer picture of its potential, generating $277,000 in revenue in 2023 and $295,000 in 2024 before the operational issues began. Current underwriting reflects $138,000 of net operating income, increasing to $176,000 in Year One and $223,000 at stabilization. With a low acquisition basis, substantial existing vacancy and opportunities to improve collections, ancillary income and overall property management, a new operator has several avenues to rebuild cash flow while benefiting from Lubbock’s continued population and household growth.