Self-Storage Refinance
We recently arranged difficult-to-find financing for a self-storage property.
Deal Quick Look:
610 Units & Central Office
69,850 Rentable SF
10 year fixed rate
4.14% Interest Rate
No loan covenants
Limited Fees
Refinancing is a tool that can strengthen property returns and position owners for growth. Commercial real estate owners refinance for a number of reasons, including lowering their interest rate, extending the term of the loan, or taking out cash to invest elsewhere.
Triple Net Lending helps owners maximize refinance returns by analyzing a wide array of lenders to find the right fit for wealth goals. To help our client, we located an out-of-state lender to refinance his self-storage property.
The Best Storage Center of Houston Refinance Story:
Best Storage Center of Houston is a self-storage property that includes ~160,000 SF of land and rentable storage space of ~70,000 SF. The property contains 610 units across multiple buildings and the daily operations take place in a central office. The property has a mixture of climate controlled and regular storage units with a variety size combinations. There is 24/7 gated security access and an onsite-manager.
Our client has owned this self-storage property for 15 years. His 7-year fixed loan term was ending and he had an option to extend for 3 additional years at a rate in the mid-4 percent range. Given his wealth goals, our client wanted to pay off his existing mortgage while placing long-term debt with a 10-year fixed rate loan.
Chris Miller from our team used national lending relationships to source our client's refinance. He located an out-of-state insurance company that finances Texas properties. The rate was locked for 75 days at the execution of term sheet and closed in approximately 60 days. And our client locked in a 4.14% rate for 10 years with no loan covenants and limited fees.
