Why Invest In Self Storage ?

Investing in a Tucson, AZ, self-storage facility is a unique real estate investment. Typically, your money is funding a large facility that will provide your return on the initial investment from the property’s rental income, which is not unusual. What makes this business plan somewhat unique is that the tenants of the self-storage facility can be varied and include short and long-term individuals renting a space as well as businesses of all sizes renting on a long or short-term basis. In general, it gives you access to the best of all works in that the tenants cover a larger demographic, and the demand includes both the long-term renters and short-term clients to help keep occupancy full. At Legacy Built, our team has created a winning program that has never failed to meet the expectations of our staff and clients for more than 45 years.

What Makes Self-Storage A Great Investment?

When you imagine the perfect tenant, it might be a challenge to list all the attributes you might seek, such as a quiet person who is tidy and low maintenance. However, those factors typically apply to a resident of your property. In the case of self-storage facilities, we rent to clients or tenants, but what is in the space is just their stuff. So there are typically less challenges than you would encounter with a property filled with dozens or hundreds of residents.
The top five reasons Legacy Built recommends an investment in our self-storage facilities are:

  1. Low-risk thanks to low operating costs — Unlike an apartment building or strip mall, a self-storage facility has little foot traffic. The tenants do not bring guests or their customers to the property, and monthly expenses like power, water, and insurance fluctuate little. This stability means a much lower risk of jeopardizing your return on investment.

  2. Massive demand for self-storage facilities — A recent study of the industry determined that more than 11% of all homes, or over 14,000,000 households, have a storage unit. It is also reassuring to know that the average tenant keeps their storage space for over a year.

  3. A steady stream of income — The current occupancy rate for self-storage facilities is between 85% and 90%. However, in many areas, there are currently waiting lists to secure a self-storage space, as all units are rented.

  4. No economic impact — Self-storage facilities have been thriving through the most challenging and abundant times in recent history. During COVID, over 35% of Americans had a storage unit as they worked to make added space in their homes but were not comfortable disposing of their belongings and personal items. In addition, as more and more homeowners downsize, they discover that a storage unit is the best way to secure family treasures and heirlooms that cannot be accommodated in smaller houses or alternate living spaces.

  5. Low maintenance — While every structure requires care and maintenance, the wear and tear on a self-storage facility is far from that of an apartment building or other rental dwelling. These spaces can be easily serviced by a small workforce and maintained uniformly without challenges that can be present when tenants live on the property.

To explore the benefits of self-storage investments, please reach out to the skilled and dedicated staff
at Legacy Built today.

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actual future performance. All securities involve risk and may result in significant losses.