Self-Storage Facility

Stor-Alot Self Storage

201 Terminal Rd, Clarksville, TN 37040

Listing Price: $3,400,000

Cap Rate
6.01%
Number of Units
388
Occupancy
69.88%
Gross SF
53,700
Rentable SF
53,700
Price/Rentable SF
$63.31
Year Built
1994

Investment Overview

Marcus & Millichap is pleased to exclusively offer for sale Stor-Alot Storage located at 201 Terminal Road in Clarksville, Tennessee.

The facility offers 53,700 net rentable square feet of storage with a unit mix comprised of 362 climate and non-climate controlled units as well as 26 uncovered boat and RV spaces for a total unit count of 388 units. Stor-Alot was originally built in 1994. Two buildings were added in 2008 and again in 2010. In 2019, another building was built which added an additional 17,320 square feet. Prior to the 2019 expansion, the physical occupancy was 89 percent. As of July 2020, the physical occupancy was 79 percent and the economic occupancy was 70 percent.

The facility features a large rental office, 29 security cameras, DVR system, PTI controlled access entry, concrete drive aisles and perimeter fencing. The facility also includes an Insomniac kiosk, model 770, that allows customers to rent a unit, make a payment and purchase a lock. In addition to the rental office, the 2244 square foot building includes five additional executive offices, a spacious conference room and break room. This space is currently occupied by the Seller who would like to lease the space back after closing for up to two years at $2,000 per month. This income has been added to the proforma.

Stor-Alot Storage represents an opportunity to acquire a well maintained, cash flowing facility located in a growing market densely populated with apartment complexes and commercial businesses. The 3-mile population around Stor-Alot is currently 32,188 and expected to grow an impressive 16 percent over the next 4-5 years. There are many value-add components an investor can realize from this investment. First, by bringing street rates up to the market, an additional $4,000 will be added to the gross potential. Secondly, continue to lease up the new building. Lastly, there is additional room to expand, if desired .
By implementing these value-add strategies, an investor can realize an 11 percent return by the end of the first year. Upon stabilization, an investor will realize a 9.17 percent cap rate and 17 percent cash on cash return. .

Investment Highlights

  • 388 Climate and Non-Climate Controlled Units
  • 53,700 Rentable Square Feet
  • Last Expanded 2019
  • 79 Percent Square Foot Occupancy As Of July 2020
  • 70 Percent Economic Occupancy

Exclusively Listed By

  • Anne Williams

    First Vice President Investments

    (901) 620-3622

    Email Anne

    License(s): TN: 00255603, AR: PB00066390, MS: B-20181

    Memphis

Self-Storage Facility

Stor-Alot Self Storage

Listing Price: $3,400,000

Cap Rate
6.01%
Number of Units
388
Occupancy
69.88%
Gross SF
53,700
Rentable SF
53,700
Price/Rentable SF
$63.31
Year Built
1994

Investment Highlights

  • 388 Climate and Non-Climate Controlled Units
  • 53,700 Rentable Square Feet
  • Last Expanded 2019
  • 79 Percent Square Foot Occupancy As Of July 2020
  • 70 Percent Economic Occupancy

Investment Overview

Marcus & Millichap is pleased to exclusively offer for sale Stor-Alot Storage located at 201 Terminal Road in Clarksville, Tennessee.

The facility offers 53,700 net rentable square feet of storage with a unit mix comprised of 362 climate and non-climate controlled units as well as 26 uncovered boat and RV spaces for a total unit count of 388 units. Stor-Alot was originally built in 1994. Two buildings were added in 2008 and again in 2010. In 2019, another building was built which added an additional 17,320 square feet. Prior to the 2019 expansion, the physical occupancy was 89 percent. As of July 2020, the physical occupancy was 79 percent and the economic occupancy was 70 percent.

The facility features a large rental office, 29 security cameras, DVR system, PTI controlled access entry, concrete drive aisles and perimeter fencing. The facility also includes an Insomniac kiosk, model 770, that allows customers to rent a unit, make a payment and purchase a lock. In addition to the rental office, the 2244 square foot building includes five additional executive offices, a spacious conference room and break room. This space is currently occupied by the Seller who would like to lease the space back after closing for up to two years at $2,000 per month. This income has been added to the proforma.

Stor-Alot Storage represents an opportunity to acquire a well maintained, cash flowing facility located in a growing market densely populated with apartment complexes and commercial businesses. The 3-mile population around Stor-Alot is currently 32,188 and expected to grow an impressive 16 percent over the next 4-5 years. There are many value-add components an investor can realize from this investment. First, by bringing street rates up to the market, an additional $4,000 will be added to the gross potential. Secondly, continue to lease up the new building. Lastly, there is additional room to expand, if desired .
By implementing these value-add strategies, an investor can realize an 11 percent return by the end of the first year. Upon stabilization, an investor will realize a 9.17 percent cap rate and 17 percent cash on cash return. .

Exclusively Listed By

  • Anne Williams

    First Vice President Investments

    (901) 620-3622

    Email Anne

    License(s): TN: 00255603, AR: PB00066390, MS: B-20181

    Memphis

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