Self storage recommendation

[joe denardis]

Can anyone tell me how much a lot 140 x 150 should lease for if someone wanted to lease it to build self storage. What would a self storage operate consider paying for this. It is on flat land with drainage already on the site.

I figured I could get 70 units on this lot?

Thanks for any advice.

 

[Bossman]

First figure out what the land would sell for - find actual sales, not listings - then figure out what the buyer's cost would be if he financed the purchase. I would use an interest rate of say 7%. So if the land would sell for $100k, his finance costs would $7k, plus taxes. Divide that by 12 and you should be in the ball park for a monthly rent.

 

[glendcohen]

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