PropertyPASSIVE INCOME

Self-Storage Facility

Americans have too much stuff. Storage is a $39B industry growing 7% annually.

Monthly Revenue
$15K–$60K
realistic range
Startup Cost
$200K–$1.0M
to get started
Hourly Rate
$100–$200
per hour billed
Complexity
4/4
skill required

The Business

Self-storage is a capital-intensive but highly passive business once built. Average occupancy of 85-90% at $80-200/unit/month for standard units. A 200-unit facility at 88% occupancy at $100/unit = $17,600/month revenue. Climate control, RV/boat storage, and commercial storage command premiums. Technology (keypad access, online payments) reduces operating costs.

How to Start

Look for existing storage facilities for sale (easier than building) at 5-8x annual NOI. Alternatively, buy bare land in a growing suburb and develop. Study your market's average occupancy rates before investing. Property management software (StorEdge, Sitelink) makes remote management possible.

REAL EXAMPLE

The Johnsons bought a 150-unit storage facility for $800K in 2018, generating $21K/month NOI by 2022 after filling occupancy to 91%.

Equipment Needed

  • Land/facility
  • Security system
  • Management software
  • Locks and access gates

Licensing

Business license + zoning permits

Monthly Search Volume

2,200
people/month search for this business
READY TO START?

Form your LLC and protect your assets. Start operating legally in days.

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Revenue Calculator

1
$8,000
10 hrs
$500,000
Weekly Revenue
$8K
Monthly Revenue
$34.4K
Annual Revenue
$412.8K
Monthly Profit
$26.4K
Break-Even
19 months
Hourly Rate
$800
Monthly costs: $8,000/mo (insurance, fuel, supplies)
CHRIS'S TAKE

Self-storage is one of the best real estate plays when you understand the numbers. 93%+ occupancy at decent facilities is normal. Automated gates and management software mean you can run a 50-unit facility with 5 hours a week of attention.

PRO TIP

Climate-controlled units command 25–40% premium over standard units. In humid or very cold climates, they fill first. Allocate at least 30% of your units to climate-controlled on any new build.

READY TO MAKE IT OFFICIAL?

Form Your LLC Today

You've seen the numbers. Protect your personal assets, get your EIN, and start operating legally. ZenBusiness handles the paperwork so you can focus on the business.

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ACQUISITION ROUTE

Want to buy a Self-Storage Facility instead of starting one?

Skip the startup grind. Existing businesses come with customers, cash flow, and proven systems. Use our valuation calculator to see what you'd pay.

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TOOLS TO RUN THIS BUSINESS

Tools we'd use if we were starting this business today. Affiliate links — we may earn a small commission.

ZenBusinessFROM $0

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FreshBooks30 DAYS FREE

Invoice tenants, track maintenance costs, and report to your accountant automatically.

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StessaFREE

Free property income and expense tracking. Built for landlords, not accountants.

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Simply Business

Landlord insurance and property liability — protect your investment, not just your income.

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