Case Study 6 - Existing Facility in Branson, MO

This facility is in Branson, Missouri. The price is 1.37 million, which equates to roughly a 9% cap rate existing. Earnest Money is 50,000.

As you can see here, there's additional room to build out RV and boat storage. Population in the area is about 85,000 people. Median House Hold Income is just shy of 40,000. Some of the value adds that can be done on this facility. That's already pretty stable is, you can raise the rents to market. The manager does live on site and there's currently 39 spots for RV parking, but that can be expanded. The Net Rentable square feet is 36,500. There's 219 units. And the occupancy is currently at 93%. Usually what we see when occupancy creeps up above 90% is that the rates are not high enough. You always want to be floating at about 90% occupancy

Vehicles per day on this property is a little light at 4,800. It is pretty stable though, so that we can kind of look past that aspect of it. All competitors at 90 plus percent occupancy. This is a huge thing for us. Anytime we go into a market and we see that all the competitors are basically full. That means that there's pent up demand in that market. And we can either raise rates or expand the facility that we're purchasing. Here's a map of the current competitors.

So to recap, here, Total Revenue is 148,000. Operating Expenses about 25,000, which leaves us an NOI of $123,000, which brings the existing cap rate to a 9% Price on this one is 1.37 million. And the Earnest Money is 50,000. You'd like to learn more about self storage, feel free to drop me a line. You can go to www.TheStorageStud.com. Thank you very much!

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Fernando O. Angelucci is Founder and President of Titan Wealth Group. He also leads the firm’s finance and acquisitions departments. Fernando Angelucci and Steven Wear founded Titan Wealth Group in 2015, and under his leadership, the firm’s revenue has grown over 100% year over year. Today,
Find out more at
https://www.TheStorageStud.com


http://titanwealthgroup.com/


Titan Wealth Group operates nationwide sourcing off market investment properties for Titan Wealth Group’s acquisition as well as servicing a network of thousands of active real estate investors world wide. Prior to founding Titan Wealth Group, Fernando worked for Dow Chemical, a Fortune 50 company, rolling out a flagship product estimated to gross $1B in global revenues.
With an engineering background, Fernando is able to approach real estate investing with a keen analytical mindset that allows Titan Wealth Group to identify opportunities and project accurate pictures of future performance.
Fernando graduated from the University of Illinois at Urbana-Champaign with a B.A. degree in Technical Systems Management.
Titan Wealth Group was founded in 2015 with the vision of gathering individual investors that have the means to invest but lack either the time to find high-yield investment opportunities or the access to these off-market deals. All too often, founders Fernando Angelucci & Steven Wear came across investors who had deployed their capital only to regret the lack of consistency or degree of returns their investments were producing. In response, Titan Wealth Group provides access to highly-vetted real estate secured investments and off-market acquisition opportunities primarily in the Greater Chicago MSA. Today, Titan Wealth Group not only assists individual investors but has grown to support the acquisition goals and capital deployment of investment groups, private equity firms, and real estate investment trusts (REITs).
As a facilitator of wealth growth, Titan Wealth Group believes that success is not limited to the sum of our efforts and is infinite with what can be accomplished through partnership.
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