Self-Storage
Acquisition Financing
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Now for FREE Self-Storage Acquisition
Loan Quote
Self-storage
acquisition Financing is one of our specialties.
There are a number reasons you should consider using S & W to
obtain your self-storage acquisition loan. A few of these are:
- Self-Storage
Acquisition Loan Terms - our terms for self-storage acquisition
loans of $1,000,000 or higher are the best in the industry. They
feature such terms as:
- Loan to
Purchase Price of up to 85%
- Low Debt
Service Coverage of 1.20 to 1
- Fixed interest
rates for up to 15 years
- Amortization
periods of up to 30 years
- Interest
only for up to 24 months
- Interest
Rate Locks for up to 60 days
- Low fixed
third party closing cost
- No
application fees
- Non-Recourse
- Loan closings
of 60 days or less
- We
manage the self-storage acquisition loan closing process each
step of the way. S & W’s
many years of experience of working with the sellers, the real
estate broker, the buyer’s attorney, etc in obtaining and
closing self storage acquisition loans has proved to be very beneficial
to self-storage buyers.
- Bill
Walton, with S & W Capital and Realty has participated in
a number of self-storage acquisition due diligence projects.
Bill would be glad to assist you in evaluating your prospective
self-storage acquisition, reviewing the purchase contract, and
if appropriate helping you obtain a self-storage acquisition loan.
Note:
The above services and products apply to self-storage acquisitions
of properties that have at least 75% physical occupancy level and
have a purchase price of $1,250,000 or higher.
Self-Storage
Construction Financing
Obtaining
a self-storage construction loan for a new self-storage business
often requires the expert knowledge of the self-storage industry
and of what lenders need to evaluate and approve a loan. The more
professional and comprehensive the information provided to a lender,
the higher the probability financing will be obtained. We have the
expertise in the self-storage industry and in self-storage finance
that can save you time and money by providing the following two
quick turn-around services:
Standard
Service ($3,000)
The Standard Service involves the development of a professional
and industry specific financial and cash flow projection for your
new self-storage business. The financial projection will cover the
construction period, through lease-up and five years out. The projection
will be based on our knowledge of the industry, the market in which
the site is located and assumptions input from the borrower.
Premium
Service ($4,500 + expenses)
The Premium Service includes the financial projection described
above, plus the development of a comprehensive "loan package."
The professional looking loan package contains seven sections of
information typically needed by the lender before approving a loan.
The loan package includes items such as information about the industry,
the property being developed, the market, and the borrower. The
Premium Service also includes up to two conference calls or a personal
visit with the borrower's lender to review the details of the self-storage
loan package and to help negotiate the proposed self-storage loan
terms.
Self-Storage
Construction Loans ($2,000,000 and above)
In certain situations and for qualified borrowers (Net Worth of
$2 million or above), we have a source for funding self-storage
loans for new projects
Call
or email Bill Walton to obtain more details and our fee structure.
888-525-9081 or bwalton@sandwgroup.com
Common
Self-Storage Borrower Mistakes
The
self-storage refinancing process does not have to be complicated
or stressful. One way to ensure a smooth process is to learn from
others mistakes. Following are some common mistakes to consider
before you start the self-storage loan process.
Self-Storage Acquisition/Refinance
Loans
- Not
considering all available self-storage loan products
- Using
an inexperienced lawyer
- Failing
to negotiate deal points in the self-storage loan offer letter
- Failing
to "adjust" actual results when appropriate to maximize
your self-storage loan amount.
- Failing
to use an experienced Self-Storage Loan Broker
- A
buyer failing to negotiate that the seller deliver key items needed
to obtain a self-storage acquisition loan
New
Construction Project
- Not
having a Feasibility Study completed
- Being
too aggressive with Financial Projections
- Failing
to factor in Interest Expense & Working Capital Reserves until
CASH FLOW breakeven
- Under
estimating "soft-cost"
- Using
a lender that will not finance " interest reserves"
or "soft cost"
- Not
calculating your "occupancy breakeven" before you invest
- Failure
to obtain financing commitment for Phase II & III (based on
performance criteria)
- Not
having "ground lease" reviewed for financeability
- Not
building with an "exit strategy" in mind
Bill Walton:
bwalton@sandwgroup.com
Matt Lexow Gray:
mlexowgray@sandwgroup.com
Phone: 888-525-9081
Fax: 704-525-9084
1515 Mockingbird Ln. Suite 701
Charlotte, NC 28209
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