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.
- 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