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Self-Storage Facility

Anderson Street Storage

333 S Anderson St, Tullahoma, TN 37388

Listing Price: $1,750,000

Cap Rate
6.19%
Number of Units
159
Occupancy
92.0%
Rentable SF
23,240
Price/Rentable SF
$75.30
Year Built
1983

Investment Overview

Marcus and Millichap is please to exclusively list Anderson Street Storage and Ttown Storage located in Tullahoma TN. The opportunity consists of four separate parcels with addresses: 333 S Anderson Street, 350 S Anderson Street, 308 Cornish street and the adjacent land parcel at Warren Street. All four parcels equal 2.27 acres with the empty land parcel contributing .72 acres to the total. Anderson Street Storage / Ttown Storage includes 117 climate control units with 42 drive-up units for a total of 159 units and 23,240 net rentable square feet; there is an additional office space at the Ttown property that currently rents for $600 per month. The properties are within one block of each other and are managed remotely as a single entity. Anderson Street Storage is comprised of 333 S Anderson and 308 Cornish Street while Ttown Storage, located 177 feet to the south, is at 350 S Anderson Street. The land parcel has high-level plans completed by Sadler & Associates Consulting Engineers Incorporated for an additional 11,250 square feet building. The parcel is zoned C-2 and is adjacent to 308 Cornish street extending from the northeast property line all the way to Warren Street to the north. Tullahoma is conveniently located next to Arnold Air Force Base and the TN Army National Guard base. The city is located between Nashville and Chattanooga, 45 miles south of Murfreesboro towards the popular Tims Ford Lake. Both properties are operated as single entity and all reports are consolidated. Physical occupancy is currently 92% with an economic occupancy of 73%, not including the office space. Street rates are significantly below market and fee income as well as tenant insurance are not being utilized to their fullest potential. There is room on the existing properties to add a few parking spaces and rent out the large 20x40 warehouse with high ceilings. Capital improvements over the last 2 years include a new HVAC and all new Janus rollup doors at the Ttown property in addition to new gravel put down at the Anderson St Storage facility. Listed for $1,750,000 the property is appropriately priced at $75.30 per rentable foot. A down payment of 25 percent with allow any qualified investor the ability to acquire a unique asset for as little as $437,500 down. Qualified investors will be able to acquire the property, raise rates and improve management processes to significantly improve results in a short timeframe. The option of adding an additional 11,250 square feet of climate control makes this investment a very appealing opportunity. Project five year IRR is 29.39%.

Investment Highlights

  • Value-add opportunity with rates significantly under market
  • Pro Forma Cap Rate of 8.61% with a 17.65% Cash on Cash return
  • Additional land parcel with a potential to add ~11,250 square feet adjacent to existing property; zoned C-2
  • Current Cap rate of 6.19% at $75.30 per rentable foot
  • MMCC debt quote enables a five year IRR of 29.39%

Exclusively Listed By

Financing By

Self-Storage Facility

Anderson Street Storage

Listing Price: $1,750,000

Cap Rate
6.19%
Number of Units
159
Occupancy
92.0%
Rentable SF
23,240
Price/Rentable SF
$75.30
Year Built
1983

Investment Highlights

  • Value-add opportunity with rates significantly under market
  • Pro Forma Cap Rate of 8.61% with a 17.65% Cash on Cash return
  • Additional land parcel with a potential to add ~11,250 square feet adjacent to existing property; zoned C-2
  • Current Cap rate of 6.19% at $75.30 per rentable foot
  • MMCC debt quote enables a five year IRR of 29.39%

Investment Overview

Marcus and Millichap is please to exclusively list Anderson Street Storage and Ttown Storage located in Tullahoma TN. The opportunity consists of four separate parcels with addresses: 333 S Anderson Street, 350 S Anderson Street, 308 Cornish street and the adjacent land parcel at Warren Street. All four parcels equal 2.27 acres with the empty land parcel contributing .72 acres to the total. Anderson Street Storage / Ttown Storage includes 117 climate control units with 42 drive-up units for a total of 159 units and 23,240 net rentable square feet; there is an additional office space at the Ttown property that currently rents for $600 per month. The properties are within one block of each other and are managed remotely as a single entity. Anderson Street Storage is comprised of 333 S Anderson and 308 Cornish Street while Ttown Storage, located 177 feet to the south, is at 350 S Anderson Street. The land parcel has high-level plans completed by Sadler & Associates Consulting Engineers Incorporated for an additional 11,250 square feet building. The parcel is zoned C-2 and is adjacent to 308 Cornish street extending from the northeast property line all the way to Warren Street to the north. Tullahoma is conveniently located next to Arnold Air Force Base and the TN Army National Guard base. The city is located between Nashville and Chattanooga, 45 miles south of Murfreesboro towards the popular Tims Ford Lake. Both properties are operated as single entity and all reports are consolidated. Physical occupancy is currently 92% with an economic occupancy of 73%, not including the office space. Street rates are significantly below market and fee income as well as tenant insurance are not being utilized to their fullest potential. There is room on the existing properties to add a few parking spaces and rent out the large 20x40 warehouse with high ceilings. Capital improvements over the last 2 years include a new HVAC and all new Janus rollup doors at the Ttown property in addition to new gravel put down at the Anderson St Storage facility. Listed for $1,750,000 the property is appropriately priced at $75.30 per rentable foot. A down payment of 25 percent with allow any qualified investor the ability to acquire a unique asset for as little as $437,500 down. Qualified investors will be able to acquire the property, raise rates and improve management processes to significantly improve results in a short timeframe. The option of adding an additional 11,250 square feet of climate control makes this investment a very appealing opportunity. Project five year IRR is 29.39%.

Exclusively Listed By

Financing By

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