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Value-Add Self-Storage Poses Most Favorable Returns

Buying self-storage properties with a significant in-place income and a poor implementation of management strategy is by far the most favorable on a risk-adjusted basis, according to Hunter Thompson of Cash Flow Connections.

By Kelsi Maree Borland | Updated on December 29, 2017

Los Angeles Los Angeles

There are plenty of opportunities in self-storage, but the most profitable strategies involve replacing poor management, according to Hunter Thompson, CEO of Cash Flow Connections. He is executing a value-add strategy based on buying properties with inefficient management and implementing revenue-generating amenities. In 2018, value-add self-storage is where he is finding the best opportunities for yield.

“I think that buying properties, particularly in this asset class, with significant in-place income and a lack of an effective implementation of management strategies on a risk adjusted basis is by far the most favorable,” Thompson tells GlobeSt.com.

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