Dodge City Self Storage

Dodge City Self Storage2019-08-06T14:23:10-04:00

Project Description

Cushman & Wakefield is pleased to exclusively list for sale ABC Self-Store-It, located in Dodge City, Kansas.

$810,000
NRSF – 29,600

2401 E Wyatt Earp Boulevard
901 Rath Avenue
Dodge City, KS 67801

Situated within the heart of Dodge City, ABC Self-Store-It offers a qualified investor the opportunity to obtain two of the area’s primary self-storage facilities with strong upside and forward-looking financials. To further enhance revenue, an investor can raise rates to match the overall market average along with implementing a tenant insurance program and a self-service kiosk to reduce management costs. The acquisition also benefits an investor with solid financial projections, including substantial years one and two cash-on-cash returns of 8.1 percent and 19.8 percent, respectively, a proforma capitalization rate of 10.47 percent and years five and seven leveraged IRRs of 34.8 percent and 32.0 percent. Additionally, an investor can further increase the facilities’ online presence and subsequent occupancy by creating and implementing a website for an optimized online footprint.

Among 29,600 rentable square feet on 2.29 acres, the opportunity is comprised of 252 units, ranging from 50 square feet to 780 square feet. Of the facilities’ units, there are 217 non-climate controlled units and 35 boat/RV storage units. Consisting of two well-maintained sites are secured by perimeter-wide fencing and gated access. The Wyatt Earp location has newly-implemented video surveillance. Combined, the opportunity’s physical occupancy is 84.7 percent and the economic occupancy is 71.4 percent.

The two facilities are strategically situated in close proximity to one another at 2401 East Wyatt Earp Boulevard and 901 Rath Avenue, allowing for efficient management through their close distances at approximately 2.7 miles. East Wyatt Earp Boulevard is a primary thoroughfare of Dodge City, connecting to U.S. Highway 50 and U.S. Highway 400, and also serves as the main roadway to access the city’s residential corridors. Along East Wyatt Earp Boulevard are multiple national retailers, including McDonald’s, Applebee’s Grill + Bar and IHOP, among others. The three-mile radius surrounding the properties features 29,342 individuals among 9,242 households.

Dodge City, Kansas is well-known for its deep-rooted history, once considered a frontier town of the Old West. Dodge City’s primary industry is meat packing with Cargill Meat Solutions and National Beef both operating large facilities within the city; both operators make up the largest employers for the area, followed by local government, schools and health care providers. The city has continued to draw in tourists through its casino resort and Old West Cowtown aesthetic. Subsequently, Dodge City’s service sector accounts for much of the local economy.

Investment Highlights:

  • Opportunity to Acquire Two Staple Self-Storage Facilities of Dodge City, Advantageously Located Less than Three Miles from One Another for Efficient Management
  • Revenue Growth Potential Through Introducing a Robust Tenant Insurance Program and Raising Rates to Match the Market’s Average
  • Offered at $27.36 per Rentable Square Foot with a Double-Digit Proforma Capitalization Rate Projected at 10.47 Percent
  • Substantial Leveraged IRRs of 34.8 Percent and 32.0 Percent in Years Five and Seven
  • Cash-on-Cash Returns in Years One and Two of 8.1 Percent and 19.8 Percent, Respectively
  • Opportunity to Implement a Self-Service Kiosk for Reduced Management Costs and Increase the Facilities’ Online Presence Through Operating a Website for an Optimized Digital Footprint
  • East Wyatt Earp Boulevard is the Primary Thoroughfare Within Dodge City with Numerous National Retailers and Quick Access to the City’s Residential Corridor
  • Sign CA to View Offering Memorandum

  • Confidentiality and Buyer Registration Agreement

    Cushman & Wakefield U.S., Inc. ("Broker") has been retained as the exclusive advisor and broker regarding the sale of the property known as ABC Self-Store-It in Dodge City, KS.

    To receive an Offering Memorandum ("Offering Memorandum") please read, sign and return this completed Confidentiality Agreement to Broker. The Offering Memorandum has been prepared by Broker for use by a limited number of parties and does not purport to provide a necessarily accurate summary of the property or any of the documents related thereto, nor does it purport to be all-inclusive or to contain all of the information which prospective Buyers may need or desire. All projections have been developed by Broker and designated sources and are based upon assumptions relating to the general economy, competition, and other factors beyond the control of the Seller and therefore are subject to variation. No representation is made by Broker or the Seller as to the accuracy or completeness of the information contained herein, and nothing contained herein shall be relied on as a promise or representation as to the future performance of the property. Although the information contained herein is believed to be correct, the Seller and its employees disclaim any responsibility for inaccuracies and expect prospective purchasers to exercise independent due diligence in verifying all such information. Further, Broker, the Seller and its employees disclaim any and all liability for representations and warranties, expressed and implied, contained in or omitted from the Offering Memorandum or any other written or oral communication transmitted or made available to the Buyer. The Offering Memorandum does not constitute a representation that there has been no change in the business or affairs of the property or the Owner since the date of preparation of the Offering Memorandum. Analysis and verification of the information contained in the Offering Memorandum are solely the responsibility of the prospective Buyer. Additional information and an opportunity to inspect the property will be made available upon written request to interested and qualified prospective Buyers.

    By accepting the Offering Memorandum, you agree to indemnify, defend, protect and hold Seller and Broker and any affiliate of Seller or Broker harmless from and against any and all claims, damages, demands, liabilities, losses, costs or expenses (including reasonable attorney's fees, collectively "Claims") arising, directly or indirectly from any actions or omissions of Buyer, its employees, officers, directors or agents.

    By accepting the Offering Memorandum, you acknowledge that you are a principal and not an agent of or acting on behalf of any other party in connection with the acquisition. Buyer acknowledges that it is aware that any Agent/Broker other than Cushman & Wakefield, must be compensated by Buyer as Cushman & Wakefield is not cooperating on fees. Furthermore, Buyer acknowledges that it has not had any discussion regarding this Property's Sale with any other broker or agent other than Broker or an agent/broker properly identified through this registration process, including but not limited to, resolutions of incomplete, conflicting or duplicate registrations. Buyer shall indemnify and hold Seller and Broker harmless from and against any claims, causes of action or liabilities, including, without limitation, reasonable attorney's fees and court costs which may be incurred with respect to any claims for other real estate commissions, broker's fees or finder's fees in relation to or in connection with the Property to the extent claimed, through or under Seller.

    The Seller and Broker each expressly reserve the right, at their sole discretion, to reject any or all expressions of interest or offers regarding the Property and/or to terminate discussions with any entity at any time with or without notice. The Seller shall have no legal commitment or obligations to any entity reviewing the Offering Memorandum or making an offer to purchase the Property unless a written agreement for the purchase of the Property has been fully executed, delivered, and approved by the Seller and its legal counsel, and any conditions to the Seller's obligation thereunder have been satisfied or waived.

    The Offering Memorandum and the contents, except such information which is a matter of public record or is provided in sources available to the public, are of a confidential nature. By accepting the Offering Memorandum, you agree that you will hold and treat it in the strictest confidence, that you will not photocopy or duplicate it, that you will not disclose the Offering Memorandum or any of the contents to any other entity (except to outside advisors retained by you, if necessary, for your determination of whether or not to make an offer and from whom you have obtained an agreement of confidentiality) without prior written authorization of the Seller or Broker, and that you will not use the Offering Memorandum or any of the contents in any fashion or manner detrimental to the interest of the Seller or Broker.

    No employee of seller or at the subject property is to be contacted without the written approval of the listing agents and doing so would be a violation of this confidentiality agreement.