Asset classes
Self Storage Asset Classes
Learn what constitutes Class A, Class B, and Class C self storage properties.
Class A
Class A self-storage properties represent the highest quality facilities in their market and MSA. These are generally newer properties built within the last 15 years with relatively low vacancy rates. Class A self-storage facilities have prime locations within their market and typically command the highest rent with little or no deferred maintenance issues.
Class B
Class B properties are a step down from Class A and are typically older, and may or may not be professionally managed. Rental income is usually lower than with Class A storage assets, and there may be some deferred maintenance issues. Even so, Class B facilities are reasonably well maintained and are often seen as value-add investment opportunities to investors, who acquire these facilities at a higher cap rate than comparable Class A properties.
Class C
Class C self-storage properties are typically more than 20 years old and are often located in less desirable locations. Class C properties usually require varying levels of renovation, typically regarding the building infrastructure. Class C storage facilities generally have the lowest rental rates in a market compared to similarly located Class A or B assets.
Start here
Getting self-storage financing should be easy. Now it is.
Tell us about the property. We come back with sizing, the executions it fits, and indicative terms. No cost, no obligation.
Prefer email? [email protected]