overview video
investment highlights
- MASSIVE UPSIDE POTENTIAL // By achieving an economic occupancy of 85 percent at market street rates, an investor could see an End of Year Two Cap Rate of nearly 10 percent.
- INFILL LOCATION // The facility is situated less than two miles from downtown Beaumont and features a trade area of close to 58,000 people.
- BEAUMONT, THE HUB CITY OF THE GOLDEN TRIANGLE // The facility is close to the Port of Beaumont which is the fourth largest port in the United States by cargo tonnage. Additionally, it is the busiest port in the world for handling U.S. military cargo.
- FACILITY AMENITIES // On-site manager’s office, concrete drives, roll-up doors, chain-link fencing with digital key-code access gate, and video surveillance throughout the property.
property summary
Lone Star Storage is a 182-unit, 36,000 square foot facility located in Beaumont, Texas. The facility sits on approximately 2.44 acres of land. The property consists of seven single-story buildings containing 179 drive-up non-climatized units and two covered parking spaces. Amenities found at this infill location include, an onsite manager’s office, concrete drives, many units with roll-up doors, chain-link fencing with digital key-code access gate, and 24/7 video surveillance throughout the property.
Lone Star Storage sits less than two miles west of downtown Beaumont in a busy area that is in between Interstate 10 and 11th Street, which are two major arteries in this area of Beaumont. The facility sits in a trade area of nearly 58,000 people and the average household income is close to $80,000.
Lone Star Storage is a quintessential value add opportunity. The property is only around 43 percent physically occupied, but that’s a 6-percentage point increase this lease-up season. There is one building (10 units/1000 NRSF) that needs new doors and partitions and the owner estimates a CAPEX budget of around $25,000. By achieving an economic occupancy of 85 percent at market street rates, an investor could see an End of Year Two Cap Rate of nearly 10 percent.
