OFFERING MEMORANDUM
CONFIDENTIALITY AND DISCLAIMER The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCB's or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant s plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein. NON-ENDORSEMENT NOTICE Marcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers. ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.
OFFERING MEMORANDUM Exclusively listed by: Luke Elliott Investment Associate National Self Group TAMPA OFFICE Tel: (813) 387-4824 Fax: (813) 387-4710 Luke.Elliott@marcusmillichap.com Michael Mele Senior Vice President Investments National Self Group TAMPA OFFICE Tel: (813) 387-4790 Fax: (813) 387-4710 Michael.Mele@marcusmillichap.com Brian Baldwin Investment Associate National Self Group TAMPA OFFICE Tel: (813) 387-4749 Fax: (813) 387-4710 Brian.Baldwin@marcusmillichap.com Offices Throughout the U.S and Canada www.marcusmillichap.com
TABLE OF CONTENTS Section 1 PROPERTY DESCRIPTION Section 2 PRICING AND FINANCIAL ANALYSIS Section 3 RENT COMPARABLES Section 4 RECENT SALES Section 5 DEMOGRAPHIC ANALYSIS
PROPERTY DESCRIPTION Out-Back Self
PROPERTY DESCRIPTION INVESTMENT OVERVIEW Investment Highlights Stabilized Asset Located in an Area with High Demand for Self High Occupancy Rates with Further Expansion Opportunity on Vacant Land Meticulously Maintained Facility Both Climate and Non-Climate Controlled Units Fully Fenced and Gated Facility 219 Units and 23,750 Net Rentable Square Feet Out-Back Self is a great opportunity for an investor to buy a high quality, stabilized self storage facility with high occupancy rates. Constructed in 2006 and expanded in 2009, the facility is situated on approximately 3.32 acres and consists of 219 units for a total of 23,750 net rentable square feet. There is vacant land on the property that could accommodate an expansion of approximately 10,000-15,000 square feet. The facility is fully fenced and gated with both climate and non-climate controlled units, wide driveways that have drive-up unit access, allowing for easy accessibility. Out-Back Self in located at 19545 West Highway 40 in Dunnellon, Florida. The property sits on West Highway 40 and is less than a quarter mile east of US 41 and less than 17 miles southwest of I-75. According to the recent rent survey the closest competitor is over five miles away giving Out-Back Self little competition and high occupancy rates. In the 2013 demographic report, the average household income within one mile of the facility was $60,001 and the population within five miles had increased by 21.37 percent since 2000. This asset is currently priced at $1,686,000 or $71.06 per rentable square foot. This is an excellent opportunity for an investor to purchase a quality self storage asset in a growing community with high demand for storage and the upside potential of an expansion. An investor would realize an immediate return on their investment with a capitalization rate of 7.25 percent. 1
PROPERTY DESCRIPTION FINANCIAL OVERVIEW Location 19545 West Highway 40 Dunnellon, FL 34432 Price $1,686,000 Down Payment 30% / $505,800 Number of Units 219 Gross Square Feet 27,696 Rentable Square Feet 23,725 CAP Rate - Current 7.25% CAP Rate- Pro Forma 7.50% Year Built/Expanded 2006 / 2009 Lot Size 3.32 Acres Type of Ownership Fee Simple Financing Annualized Operating Data Current Pro Forma Gross Potential Rent $216,216 $216,216 Other Income $34,744 $34,744 Gross Potential Income $250,960 $250,960 Less: Vacancy/Deductions 7% / $14,662 5% / 9,948 Effective Gross Income $236,299 $241,013 Less: Expenses $114,076 $114,492 Net Operating Income $122,222 $126,521 Net Cash Flow Before Debt Service $122,221 $126,519 Debt Service $82,792 $82,792 Debt Coverage Ratio 1.48 1.53 Net Cash Flow After Debt Service 7.80% / $39,429 8.65% / $43,727 Principal Reduction $24,335 $24,335 Total Return 12.61% / $63,764 13.46% / $68,062 FIRST TRUST DEED Loan Amount $1,180,200 Loan Type Proposed New Interest Rate 5.0% Amortization 25 Years Loan to Value 70 Percent Loan information is time sensitive and subject to change. Contact your local Marcus & Millichap Capital Corporation representative. Expenses Real Estate Taxes $25,103 $25,103 (Costs for) On-Site Management $31,176 $31,176 Off Site Management $11,815 $12,051 Insurance $4,644 $4,644 Advertising $4,355 $4,355 Repairs and Maintenance $10,790 $10,790 Management Fee $2,373 $2,373 Utilities $4,829 $4,829 Administration $6,034 $6,034 Bank Charges $8,664 $8,844 Telephone $2,517 $2,517 Professional Fees $1,406 $1,406 Other $371 $371 Total Expenses $114,076 $114,492 % of EGI 48.3% 47.5% 2
PROPERTY DESCRIPTION PROPERTY SUMMARY The Offering Property Out-Back Self Property Address 19545 West Highway 40 Dunnellon, FL 34432 Assessor's Parcel Number 32909-020-04 Zoning P42 (Industrial) Site Description Total Units 219 Units Sizes 25 to 350 Square Feet Gross Square Feet 27,696 Rentable Square Feet 23,725 Year Built/Expanded 2006 / 2009 Lot Size 3.32 Acres Type of Ownership Fee Simple Number of Buildings 6 Number of Stories 1 Traffic Counts (Vehicles per Day) 8,000 Vehicles per Day on West Highway 40 Highway Access 0.25 Miles East of US 41 / 16.96 Miles SW of I-75 Construction Foundation Framing Exterior Walls Parking Surface Fencing Entry Concrete Metal Metal / Concrete Asphalt Chain Link Gated Mechanical Security Fully Fenced and Gated 3
PROPERTY DESCRIPTION PROPERTY AMENITIES Common Area Amenities Climate and Non-Climate Controlled Units Fully Fenced Gate Access Unit Amenities Roll-Up Doors Wide Driveways for Easy Access Drive-Up Units 4
PROPERTY DESCRIPTION PROPERTY PHOTOS 5
PROPERTY DESCRIPTION PROPERTY PHOTOS 6
PROPERTY DESCRIPTION AREA MAPS Local Map Regional Map 7
PROPERTY DESCRIPTION AERIAL PHOTO 8
PRICING AND FINANCIAL ANALYSIS Out-Back Self
PRICING AND FINANCIAL ANALYSIS OFFERING SUMMARY Major Employers Company Local Employees Walmart 300 Marion Cnty Bd Cnty Cmmssoners 195 Dunnellon High School 135 Winn Dixie 2219 100 Romeo Elementary 90 McDonalds 86 Rainbow Sprng Aquatic Preserve 82 Sweetbay Supermarket 1795 80 Dunnellon Elementary 73 Envirnmntal Prtection Fla Dept 66 Price $1,686,000 Down Payment 30% / $505,800 Total Units 219 Price per Unit $7,699 Gross Square Feet 27,696 Rentable Square Feet 23,725 Price per Rentable Square Foot $71.06 Year Built/Expanded 2006 / 2009 Lot Size 3.32 Acres Dunnellon Middle School 53 Dunnellon 7th Day Advntst Chur 50 Demographics 1-Mile 3-Miles 5-Miles 2014 Total 582 8,842 14,607 2019 Total 646 9,702 15,758 2014 Total 240 3,954 6,453 2019 Total 267 4,347 6,992 Vital Data CAP Rate - Current Net Operating Income - Current Net Cash Flow After Debt Service - Current Total Return - Current CAP Rate - Pro Forma Net Operating Income - Pro Forma Net Cash Flow After Debt Service - Pro Forma Total Return - Pro Forma 7.25% $122,222 7.80% / $39,429 12.61% / $63,764 7.50% $126,521 8.65% / $43,727 13.46% / $68,062 Median HH Income $44,326 $39,392 $36,035 Per Capita Income $24,752 $23,641 $21,914 Average (Mean) HH $60,001 $52,870 $49,601 10
PRICING AND FINANCIAL ANALYSIS FINANCING Existing Financing Loan Type Free and Clear Proposed Financing First Trust Deed Loan Amount $1,180,200 Loan Type Proposed New Interest Rate 5.0% Amortization 25 Years Loan to Value 70 Percent Debt Coverage Ratio 1.48 Ten year term with 5.0 percent fixed rate for 5 years. 11
PRICING AND FINANCIAL ANALYSIS UNIT MIX Unit Type: Parking UNITS MONTHLY RENT OCCUPANCY Unit Size Total Units Units Rented Asking Rate Gross Potential Rent Gross Occupied Rent # Units Economic 10x20 7 4 $35.00 $245 $140 57% 56% 10x30 26 26 No. Unit SF/Unit Current Pro Pro $40.00 $1,040 $1,040 100% 97% 1 23,725.0 $18,018.00 $216,216.00 $18,018.00 $216,216.00 of 218 10x30 16 13 219TOTAL Type 23,725 Monthly $18,018.00 $216,216.00 Annual Forma $18,018.00 Forma $216,216.00 $45.00 $720 $585 81% 80% Units Income Monthly Annual 10x45 1 1 $60.00 $60 $60 100% 100% Income TOTALS 50 44 $2,065 $1,825 88.0% 86% Unit Type: Climate Controlled Unit Size Total Units Units Rented Square Feet Total Square Feet Rented Square Feet Asking Rate Gross Potential Rent Gross Occupied Rent Rent Per Square Foot # Units SqFt Economic 5x10 2 2 50 100 100 $85.00 $170 $170 $1.70 100% 100% 100% 10x5 4 4 50 200 200 $85.00 $340 $340 $1.70 100% 100% 97% 10x10 13 13 100 1300 1300 $110.00 $1,430 $1,430 $1.10 100% 100% 98% 10x15 6 6 150 900 900 $135.00 $810 $810 $0.90 100% 100% 100% 10x20 6 6 200 1200 1200 $170.00 $1,020 $1,020 $0.85 100% 100% 100% TOTALS 31 31 3,700 3,700 $3,770 $3,770 $1.02 100% 100% 99% Unit Type: Non Climate Controlled Unit Size Total Units Units Rented UNITS UNITS Square Feet Total Square Feet Rented Square Feet Asking Rate MONTHLY RENT MONTHLY RENT Gross Potential Rent Gross Occupied Rent Rent Per Square Foot OCCUPANCY OCCUPANCY # Units SqFt Economic 5x5 2 1 25 50 25 $0.00 $0 $0 $0.00 50% 50% - 5x5 1 1 25 25 25 $45.00 $45 $45 $1.80 100% 100% 100% 5x10 20 20 50 1000 1000 $55.00 $1,100 $1,100 $1.10 100% 100% 97% 10x10 41 38 100 4100 3800 $77.00 $3,157 $2,926 $0.77 93% 93% 90% 10x15 29 28 150 4350 4200 $90.00 $2,610 $2,520 $0.60 97% 97% 89% 10x20 29 29 200 5800 5800 $110.00 $3,190 $3,190 $0.55 100% 100% 95% 10x25 4 4 250 1000 1000 $122.00 $488 $488 $0.49 100% 100% 94% 10x30 2 2 300 600 600 $132.00 $264 $264 $0.44 100% 100% 100% 10x30 7 7 300 2100 2100 $145.00 $1,015 $1,015 $0.48 100% 100% 97% 20x15 1 0 300 300 0 $0.00 $0 $0 $0.00 0% 0% - 10x35 2 2 350 700 700 $157.00 $314 $314 $0.45 100% 100% 89% TOTALS 138 132 20,025 19,250 $12,183 $11,862 $0.61 96% 96% 93% TOTAL 219 207 23,725 22,950 $18,018 $17,457 $0.76 95% 97% 93% 12
PRICING AND FINANCIAL ANALYSIS INCOME AND EXPENSES Total Number of Units 219 Total Gross Square Feet 27,696 Total Rentable Square Feet 23,725 Income Current Per SF Pro Forma Per SF GROSS POTENTIAL RENT $216,216 $9.11 $216,216 $9.11 Other Income $5,482 $0.23 $5,482 $0.23 Truck Rental Income $19,590 $0.83 $19,590 $0.83 Tenant Income $21,742 $0.92 $21,742 $0.92 COGS ($12,070) ($0.51) ($12,070) ($0.51) TOTAL OTHER INCOME $34,744 $1.46 $34,744 $1.46 Gross Potential Income $250,960 $10.58 $250,960 $10.58 Vacancy/Collection Allowance 7% / $14,662 $0.62 (5%) 9,948 $0.42 EFFECTIVE GROSS INCOME $236,299 $9.96 $241,013 $10.16 Total Expenses $114,076 $4.81 $114,492 $4.83 % of EGI 48.3% 47.5% NET OPERATING INCOME $122,222 $5.15 $126,521 $5.33 1. Income based on trailing twelve months income annualized as of December 2014. 2. Other Income includes administrative fees, late fees and other miscellaneous fees. 3. Tenant Income includes merchandise sales. 4. Pro forma vacancy was adjusted to 5.0 percent of gross potential rent. 13
PRICING AND FINANCIAL ANALYSIS EXPENSES Current Per SF Pro Forma Per SF Real Estate Taxes $25,103 $1.06 $25,103 $1.06 (Costs for) On-Site Management $31,176 $1.31 $31,176 $1.31 Off Site Management $11,815 $0.50 $12,051 $0.51 Insurance $4,644 $0.20 $4,644 $0.20 Advertising $4,355 $0.18 $4,355 $0.18 Repairs and Maintenance $10,790 $0.45 $10,790 $0.45 Reserve for Capital Improvements $2,373 $0.10 $2,373 $0.10 Utilities $4,829 $0.20 $4,829 $0.20 Administration $6,034 $0.25 $6,034 $0.25 Bank Charges $8,664 $0.37 $8,844 $0.37 Telephone $2,517 $0.11 $2,517 $0.11 Professional Fees $1,406 $0.06 $1,406 $0.06 Other $371 $0.02 $371 $0.02 TOTAL EXPENSES $114,076 $4.81 $114,492 $4.83 % of EGI 48.3% 47.5% 1. Expenses based on trailing 12 months profit & loss statements as of December 2014. 2. Current and pro forma real estate taxes were adjusted to reflect a sale. 3. Current and pro forma off site managment was adjusted to 5.0 percent of the gross effective income. 4. Current and pro forma reserves/replacements were adjusted to 0.10 net rentable square foot. 14
RENT COMPARABLES Out-Back Self
RENT COMPARABLES RENT COMPARABLES MAP 1 1) 2) 3) 4) 5) 6) 7) 8) 9) Out-Back Self Security Self Personal Mini Affordable Secure Self V Paul & Jerry's Self II Personal Mini Depot of Ocala Neighborhood Center #8 Florida Secure StoreRight Self Ocala 16
RENT COMPARABLES RENT COMPARABLES TABLE Rent Comparables Subject Property Security Self 11980 North Florida Avenue Personal Mini 11955 North Florida Avenue Affordable Secure Self V 11055 W Highway 40 Paul & Jerry's Self II 7016 North Lecanto Highway Personal Mini 7742 North Carl G Rose Highway Depot of Ocala 9085 Southwest State Road 200 Neighborhood Center # 8 7256 Southwest 62nd Avenue Unit 6 Florida Secure 5030 Southwest 60th Avenue StoreRight Self Ocala 2020 Southwest 57th Avenue Comparable Averages Out-Back Property Name Self Address 19545 Florida 40 Dunnellon, FL 34434 Dunnellon, FL 34434 Ocala, FL 34482 Hernando, FL 34442 Hernando, FL 34442 Ocala, FL 34481 Ocala, FL 34476 Ocala, FL 34474 Ocala, FL 34474 City, State Dunnellon, FL 34432 5.43 miles 5.5 miles 9.93 miles 10.38 miles 10.77 miles 10.95 miles 13.36 miles 13.68 miles 14.43 miles Distance from Subject 100% N/A N/A 77% 75% 69% N/A N/A 80% 80% PHYS. OCC. 97% 5x5 5x5 5x5 5x5 5x5 5x5 5x5 5x5 5x5 5x5 5x5 5x5 25 Sq Ft 25 Sq Ft 25 Sq Ft 25 Sq Ft 25 Sq Ft 25 Sq Ft 25 Sq Ft 25 Sq Ft 25 Sq Ft Average $/SF Subject $/SF 25 Sq Ft N/A N/A N/A $ 37 $ 40 $ 39 $ 29 N/A $ 31 $ 1.41 $1.80 $45 5x10 5x10 5x10 5x10 5x10 5x10 5x10 5x10 5x10 5x10 5x10 5x10 50 Sq Ft 50 Sq Ft 50 Sq Ft 50 Sq Ft 50 Sq Ft 50 Sq Ft 50 Sq Ft 50 Sq Ft 50 Sq Ft Average $/SF Subject $/SF 50 Sq Ft N/A N/A $ 50 $ 53 $ 44 $ 49 $ 59 $ 50 $ 54 $ 1.03 $1.10 $55 10x10 10x10 10x10 10x10 10x10 10x10 10x10 10x10 10x10 10x10 10x10 10x10 100 Sq Ft 100 Sq Ft 100 Sq Ft 100 Sq Ft 100 Sq Ft 100 Sq Ft 100 Sq Ft 100 Sq Ft 100 Sq Ft Average $/SF Subject $/SF 100 Sq Ft N/A $ 75 $ 65 $ 64 $ 65 $ 69 $ 79 $ 75 $ 64 $ 0.69 $0.77 $77 10x15 10x15 10x15 10x15 10x15 10x15 10x15 10x15 10x15 10x15 10x15 10x15 150 Sq Ft 150 Sq Ft 150 Sq Ft 150 Sq Ft 150 Sq Ft 150 Sq Ft 150 Sq Ft 150 Sq Ft 150 Sq Ft Average $/SF Subject $/SF 150 Sq Ft N/A N/A $ 75 $ 74 N/A $ 79 $ 89 $ 90 $ 89 $ 0.55 $0.60 $90 STANDARD 10x20 10x20 10x20 10x20 10x20 10x20 10x20 10x20 10x20 10x20 10x20 10x20 200 Sq Ft 200 Sq Ft 200 Sq Ft 200 Sq Ft 200 Sq Ft 200 Sq Ft 200 Sq Ft 200 Sq Ft 200 Sq Ft Average $/SF Subject $/SF 200 Sq Ft $ 80 $ 110 $ 90 $ 84 $ 85 $ 99 $ 99 $ 130 $ 109 $ 0.49 $0.55 $110 $ 0.40 $ 0.65 $ 0.65 $ 0.82 $ 0.89 $ 0.85 $ 0.84 $ 0.75 $ 0.82 $ 0.74 STANDARD AVG $/SF $0.96 5x5 c/c 5x5 c/c 5x5 c/c 5x5 c/c 5x5 c/c 5x5 c/c 5x5 c/c 5x5 c/c 5x5 c/c 5x5 c/c 5x5 c/c 5x5 c/c 25 Sq Ft 25 Sq Ft 25 Sq Ft 25 Sq Ft 25 Sq Ft 25 Sq Ft 25 Sq Ft 25 Sq Ft 25 Sq Ft Average $/SF Subject $/SF 25 Sq Ft N/A N/A N/A N/A N/A $ 44 $ 49 $ 54 $ 39 $ 1.86 N/A N/A 5x10 c/c 5x10 c/c 5x10 c/c 5x10 c/c 5x10 c/c 5x10 c/c 5x10 c/c 5x10 c/c 5x10 c/c 5x10 c/c 5x10 c/c 5x10 c/c 50 Sq Ft 50 Sq Ft 50 Sq Ft 50 Sq Ft 50 Sq Ft 50 Sq Ft 50 Sq Ft 50 Sq Ft 50 Sq Ft Average $/SF Subject $/SF 50 Sq Ft N/A N/A N/A N/A $ 70 $ 59 $ 89 $ 86 $ 69 $ 1.49 $1.70 $85 10x10 c/c 10x10 c/c 10x10 c/c 10x10 c/c 10x10 c/c 10x10 c/c 10x10 c/c 10x10 c/c 10x10 c/c 10x10 c/c 10x10 c/c 10x10 c/c 100 Sq Ft 100 Sq Ft 100 Sq Ft 100 Sq Ft 100 Sq Ft 100 Sq Ft 100 Sq Ft 100 Sq Ft 100 Sq Ft Average $/SF Subject $/SF 100 Sq Ft N/A $ 92 N/A N/A $ 90 $ 94 $ 109 $ 126 $ 104 $ 1.02 $1.10 $110 10x15 c/c 10x15 c/c 10x15 c/c 10x15 c/c 10x15 c/c 10x15 c/c 10x15 c/c 10x15 c/c 10x15 c/c 10x15 c/c 10x15 c/c 10x15 c/c 150 Sq Ft 150 Sq Ft 150 Sq Ft 150 Sq Ft 150 Sq Ft 150 Sq Ft 150 Sq Ft 150 Sq Ft 150 Sq Ft Average $/SF Subject $/SF 150 Sq Ft N/A N/A N/A N/A $ 120 $ 125 $ 189 $ 168 $ 119 $ 0.96 $0.90 $135 CLIMATE 10x20 c/c 10x20 c/c 10x20 c/c 10x20 c/c 10x20 c/c 10x20 c/c 10x20 c/c 10x20 c/c 10x20 c/c 10x20 c/c 10x20 c/c 10x20 c/c 200 Sq Ft 200 Sq Ft 200 Sq Ft 200 Sq Ft 200 Sq Ft 200 Sq Ft 200 Sq Ft 200 Sq Ft 200 Sq Ft Average $/SF Subject $/SF 200 Sq Ft N/A N/A N/A N/A N/A $ 159 $ 199 $ 220 $ 159 $ 0.92 $0.85 $170 N/A $ 0.92 N/A N/A $ 1.03 $ 1.10 $ 1.42 $ 1.47 $ 1.11 $ 1.18 CLIMATE AVG $/SF $1.14 the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any 17
RENT COMPARABLES RENT COMPARABLES GRAPHS Standard Unit Rent per Square Foot $1.20 $1.00 $0.80 $0.60 $0.40 $0.20 $ $0.96 $0.40 $0.65 $0.65 $0.82 $0.89 $0.85 $0.82 $0.84 $0.75 Out Back Self Security Self Personal Mini Affordable Secure Paul & Jerry's Self Self V II Personal Mini Depot of Ocala StoreRight Self Ocala Neighborhood Center # 8 Florida Secure Standard Average Climate Controlled Rent per Square Foot $1.60 $1.40 $1.20 $1.00 $0.80 $0.60 $0.40 $0.20 $ $1.14 $0.92 $1.03 $1.10 $1.11 $1.42 $1.47 Out Back Self Personal Mini Personal Mini Depot of Ocala StoreRight Self Ocala Neighborhood Center # 8 Florida Secure Climate Controlled Average $2.00 $1.80 $1.60 $1.40 $1.20 $1.00 $0.80 $0.60 $0.40 $0.20 $ Rent per Square Foot 5x5 5x10 10x10 10x15 10x20 5x10 c/c 10x10 c/c 10x15 c/c 10x20 c/c Comp Avg Subject 120% 100% 80% 60% 40% Physical Occupancy 20% 0% 97% 100% 77% 75% 69% 80% Out Back Self Security Self Paul & Jerry's Self II Personal Mini Depot of Ocala StoreRight Self Ocala Occupancy Average 18
RENT COMPARABLES RENT COMPARABLES Out-Back Self 19545 West Highway 40 Dunnellon, FL 34432 No. SF/Unit Rent/Unit of Avg. Units Rent/SF 219 Type Total 23,725 * See Unit Mix page for complete breakdown. Subject Property Total Units: 219 Occupancy: 97% Year Built/Expanded: 2006 / 2009 Out-Back Self is a 219 unit self storage facility located in Dunnellon, Florida and consists of 23,725 net rentable square feet. 1 Security Self 11980 North Florida Avenue Dunnellon, FL 34434 Unit Type SF/Unit Rent/Unit Avg. Rent/SF 10x20 200 $80.00 $0.40 Total 200 $0.40 Occupancy: 100% Year Built: 1987 Security Self is located 5.43 miles away from the subject facility on North Florida venue in Dunnellon. This facility features standard units. It is comparable due to similar demographics. 2 Personal Mini 11955 North Florida Avenue Dunnellon, FL 34434 Occupancy: N/A Year Built: 2004 Unit Type SF/Unit Rent/Unit Avg. Rent/SF 10x10 100 $75.00 $0.75 10x20 200 $110.00 $0.55 10x10c/c 100 $92.00 $0.92 Total 400 $0.74 Personal Mini is located 5.5 miles away from the subject facility on North Florida Avenue in Dunnellon. This facility features both standard and climate controlled units. It is comparable due to its size, unit mix, and similar demographics. 19
RENT COMPARABLES RENT COMPARABLES 3 Affordable Secure Self V 11055 West Highway 40 Ocala, FL 34482 Unit Type SF/Unit Rent/Unit Avg. Rent/SF 5x10 50 $50.00 $1.00 10x10 100 $65.00 $0.65 10x15 150 $75.00 $0.50 10x20 200 $90.00 $0.45 Occupancy: N/A Year Built: 2000 Total 500 $0.65 Affordable Secure Self is located 9.93 miles away from the subject facility on West Highway 40 in Ocala. This facility features standard units. It is comparable due to its size and similar demographics. 4 Paul & Jerry's Self II 7016 North Lecanto Highway Hernando, FL 34442 Occupancy: 77% Year Built: 1999 Unit Type SF/Unit Rent/Unit Avg. Rent/SF 5x5 25 $37.00 $1.48 5x10 50 $53.00 $1.06 10x10 100 $64.00 $0.64 10x15 150 $74.00 $0.49 10x20 200 $84.00 $0.42 Total 525 $0.82 Paul & Jerry's Self is located 10.38 miles away from the subject facility on North Lecanto Highway in Hernando. This facility features standard units. It is comparable due to its size and similar demographics. 5 Personal Mini 7742 North Carl G Rose Highway Hernando, FL 34442 Unit Type SF/Unit Rent/Unit Avg. Rent/SF 5x10 50 $44.00 $0.88 10x10 100 $65.00 $0.65 10x20 200 $85.00 $0.43 5x10c/c 50 $70.00 $1.40 Occupancy: 75% 10x10c/c 100 $90.00 $0.90 Year Built: 2006 10x15c/c 150 $120.00 $0.80 Total 650 $0.84 Personal Mini is located 10.77 miles away from the subject facility on North Carl G Rose Highway in Hernando. This facility features both standard and climate controlled units. It is comparable due to its size, unit mix, and similar demographics. 20
RENT COMPARABLES RENT COMPARABLES 6 Depot of Ocala 9085 Southwest State Road 200 Ocala, FL 34481 Occupancy: 69% Year Built: 2005 Unit Type SF/Unit Rent/Unit Avg. Rent/SF 10x10 100 $69.00 $0.69 10x15 150 $79.00 $0.53 10x20 200 $99.00 $0.50 10x10c/c 100 $94.00 $0.94 10x15c/c 150 $125.00 $0.83 10x20c/c 200 $159.00 $0.80 Total 900 $0.72 Depot of Ocala is located 10.95 miles away from the subject facility on Southwest State Road 200 in Ocala. This facility features both standard and climate controlled units. It is comparable due to its size, unit mix, and similar demographics. 7 Neighborhood Center #8 7256 Southwest 62nd Avenue Unit 6 Ocala, FL 34476 Occupancy: N/A Year Built: 2007 Unit Type SF/Unit Rent/Unit Avg. Rent/SF 10x10 100 $79.00 $0.79 10x15 150 $89.00 $0.59 10x20 200 $99.00 $0.50 10x10c/c 100 $109.00 $1.09 10x15c/c 150 $189.00 $1.26 10x20c/c 200 $199.00 $1.00 Total 900 $0.87 Neighborhood Center is located 13.36 miles away from the subject facility on Southwest 62nd Avenue in Ocala. This facility features both standard and climate controlled units. It is comparable due to its size, unit mix, and similar demographics. 8 Florida Secure 5030 Southwest 60th Avenue Ocala, FL 34474 Occupancy: N/A Year Built: 2001 Unit Type SF/Unit Rent/Unit Avg. Rent/SF 10x10 100 $75.00 $0.75 10x15 150 $90.00 $0.60 10x20 200 $130.00 $0.65 10x10c/c 100 $126.00 $1.26 10x15c/c 150 $168.00 $1.12 10x20c/c 200 $220.00 $1.10 Total 900 $0.91 Florida Secure is located 13.68 miles away from the subject facility on Southwest 60th Avenue in Ocala. This facility features both standard and climate controlled units. It is comparable due to its size, unit mix, and similar demographics. 21
RENT COMPARABLES RENT COMPARABLES 9 StoreRight Self Ocala 2020 Southwest 57th Avenue Ocala, FL 34474 Occupancy: 80% Year Built: 2006 Unit Type SF/Unit Rent/Unit Avg. Rent/SF 10x10 100 $64.00 $0.64 10x15 150 $89.00 $0.59 10x20 200 $109.00 $0.55 10x10c/c 100 $104.00 $1.04 10x15c/c 150 $119.00 $0.79 10x20c/c 200 $159.00 $0.80 Total 900 $0.74 StoreRight Self Ocala is located 14.43 miles away from the subject facility on Southwest 57th Avenue in Ocala. This facility features both standard and climate controlled units. It is comparable due to its size, unit mix, and similar demographics. 22
RECENT SALES Out-Back Self
RECENT SALES RECENT SALES MAP 1) 2) 3) 4) 5) 6) Out-Back Self Apollo Beach Mini King Value Self Embassy One Oxford Super II 24
RECENT SALES CAP RATE AND PRICE PER RENTABLE SQUARE Average Cap Rate 8.00 7.00 6.00 5.00 4.00 3.00 2.00 1.00 0.00 Subject Apollo Beach Mini King Value Self Embassy One Oxford Super II Average Price per Rentable Square Feet $70.00 $60.00 $50.00 $40.00 $30.00 $20.00 $10.00 $0.00 Subject Apollo Beach Mini King Value Self Embassy One Oxford Super II 25
RECENT SALES RECENT SALES Out-Back Self 19545 West Highway 40 Dunnellon, FL 34432 Total Units: 219 Offering Price: $1,686,000 Rentable SF: 23,725 Price/SF: $71.06 Year Built/Expanded: 2006/2009 CAP Rate: 7.25% Subject Property Out-Back Self is a 219 unit self storage facility located in Dunnellon, Florida and consists of 23,725 net rentable square feet. 1 Apollo Beach Mini 313 Apollo Beach Boulevard Apollo Beach, FL 33572 Close of Escrow: 3/15/2014 Sale Price: $2,150,000 Total Units: 366 Price/SF: $63.64 Rentable SF: 33,783 CAP Rate: 7.38% Year Built: 1999 Apollo Beach Mini is a 366 unit self storage facility located in Apollo Beach, FL. This facility features 33,783 net rentable square feet, 91% occupancy and closed at a price of $2,150,000. 2 King 2235 Colonial Boulevard Fort Myers, FL 33907 Close of Escrow: 9/26/2013 Sale Price: $4,275,000 Total Units: 630 Price/SF: $56.91 Rentable SF: 75,115 CAP Rate: 5.85% Year Built/Renovated: 1969/2002 King is a 630-unit facility located in Fort Myers, FL. This facility features 85 percent climate controlled units and closed at a price of $4,275,000, or $56.91 per net rentable square foot. 26
RECENT SALES RECENT SALES 3 Value Self 3118 US Highway 19 Holiday, FL 34691 Close of Escrow: 11/19/2013 Sale Price: $3,550,000 Total Units: 689 Price/SF: $49.42 Rentable SF: 71,830 CAP Rate: 7.11% Year Built: 1975 Value Self is a 689-unit facility located in Holiday, FL. This facility was 74 percent physically occupied at the time of sale. The property closed at a price of $3,550,000, or $49.42 per net rentable square foot. 4 Embassy One 6647 Embassy Boulevard Port Richey, FL 34668 Close of Escrow: 4/1/2013 Sale Price: $2,600,000 Total Units: 459 Price/SF: $49.30 Rentable SF: 52,741 CAP Rate: 7.09% Year Built: 2008 Embassy One is a 459-unit self storage facility in Port Richey, Florida. Built in 2008, it consists of 52,741 net rentable square feet. The property had 84 percent physcial occupancy and 59 percent economic occupancy at the time of the sale. The property sold on April 1, 2013 for $2,600,000 or $49.30 per net rentable square foot. 5 Oxford 230 Oxford Road Fern Park, FL 32730 Close of Escrow: 4/2/2013 Sale Price: $2,200,000 Total Units: 433 Price/SF: $46.81 Rentable SF: 47,000 CAP Rate: 7.13% Year Built: 1999 Oxford is a 433-unit self-storage facility located in Orlando, Florida. The property has 47,000 net rentable square feet and the facility was built in 1999. The property closed on April 2, 2013 for $46.81 per square foot. The property was 69% physically occupied at the time of sale. 27
RECENT SALES RECENT SALES 6 Super II 6415 54th Avenue North Saint Petersburg, FL 33709 Close of Escrow: 6/18/2013 Sale Price: $2,475,000 Total Units: 439 Price/SF: $63.98 Rentable SF: 38,681 CAP Rate: 6.47% Year Built: 2005 Super II is a 439-unit storage facility in St. Petersburg, Florida. The property had a physical occupancy of 96 percent and economic occupancy of 58 percent at the time of the sale. This facility sold on June 18, 2013 for $2,475,000, or $63.98 per net rentable square foot. 28
DEMOGRAPHIC ANALYSIS Out-Back Self
DEMOGRAPHIC ANALYSIS DEMOGRAPHIC REPORT 1 Mile 3 Miles 5 Miles 2000 Population 388 6,486 12,034 2010 Population 574 8,712 14,385 2013 Population 582 8,842 14,607 2018 Population 646 9,702 15,758 2000 Households 158 2,835 5,289 2010 Households 237 3,904 6,364 2013 Households 240 3,954 6,453 2018 Households 267 4,347 6,992 2013 Average Household Size 2.22 2.26 2.25 2013 Daytime Population 163 1,088 3,095 2000 Owner Occupied Housing Units 84.38% 81.00% 77.63% 2000 Renter Occupied Housing Units 8.09% 8.69% 10.45% 2000 Vacant 7.53% 10.31% 11.92% 2013 Owner Occupied Housing Units 91.01% 88.09% 83.48% 2013 Renter Occupied Housing Units 8.99% 11.91% 16.52% 2013 Vacant 10.82% 13.87% 16.20% 2018 Owner Occupied Housing Units 90.94% 87.96% 83.38% 2018 Renter Occupied Housing Units 9.06% 12.04% 16.62% 2018 Vacant 11.15% 14.29% 16.70% $ 0 - $14,999 14.5% 16.0% 17.6% $ 15,000 - $24,999 11.7% 13.6% 14.7% $ 25,000 - $34,999 12.7% 15.5% 16.3% $ 35,000 - $49,999 19.3% 17.9% 16.9% $ 50,000 - $74,999 22.3% 20.4% 19.1% $ 75,000 - $99,999 8.0% 7.2% 6.9% $100,000 - $124,999 3.7% 3.7% 3.7% $125,000 - $149,999 1.8% 1.6% 1.5% $150,000 - $199,999 3.3% 2.0% 1.6% $200,000 - $249,999 1.0% 0.7% 0.6% $250,000 + 1.7% 1.2% 1.0% 2013 Median Household Income $44,326 $39,392 $36,035 2013 Per Capita Income $24,752 $23,641 $21,914 2013 Average Household Income $60,001 $52,870 $49,601 Demographic data 2012 by Experian. 30
DEMOGRAPHIC ANALYSIS SUMMARY REPORT Geography: 5 miles Population In 2014, the population in the area selected geography is 14,606. The population has changed by 21.37% since 2000. It is estimated that the populationin the area will be 15,758 five years from now, which represents a change of 7.88% from the current year. The current population is 48.41% male and 51.58% female. The median age of the population in the area is 55.0, compare this to the Entire US average which is 37.3. The population density in the area is 186.14 people per square mile. Households There are currently 6,453 households in the selected geography. The number of households has changed by 22.01% since 2000. It is estimated that the number of households in the area will be 6,992 five years from now, which represents a change of 8.34% from the current year. The average household size in the area is 2.25 persons. Income In 2014, the median household income for your selected geography is $36,034, compare this to the $Entire US average which is currently $51,972. The median household income for the area has changed by 8.20% since 2000. It is estimated that the median household income in the area will be $43,987 five years from now, which represents a change of 22.07% from the current year. The current year per capita income in the area is $21,913, compare this to the $Entire US average, which is $28,599. The current year average household income in the area is $49,601, compare this to the $Entire US average which is $74,533. Race & Ethnicity The current year racial makeup of the selected area is as follows: 90.86% White, 4.39% Black, 0.00% Native American and 0.75% Asian/Pacific Islander. Compare these to Entire US% averages which are: 71.60% White, 12.70% Black, 0.18% Native American and 5.02% Asian/Pacific Islander. People of Hispanic origin are counted independently of race. People of Hispanic origin make up 8.94% of the current year population in the selected area. Compare this to the Entire US% average of 17.13%. Housing In 2000, there were 4,661 owner occupied housing units in your area and there were 627 renter occupied housing units in the area. The median rent at the time was $388. Employment In 2014, there are 3,095 employees in the selected area, this is also known as the daytime population. The 2000 Census revealed that 53.21% of employees are employed in white-collar occupations in this geography, and 47.97% are employed in blue-collar occupations. In 2014, unemployment in this area is 10.91%. In 2000, the average time traveled to work was 32.0 minutes. Demographic data 2012 by Experian. 31
OFFERING MEMORANDUM Exclusively listed by: Michael Mele Senior Vice President Investments National Self Group TAMPA OFFICE Tel: (813) 387-4790 Fax: (813) 387-4710 Michael.Mele@marcusmillichap.com Brian Baldwin Investment Associate National Self Group TAMPA OFFICE Tel: (813) 387-4749 Fax: (813) 387-4710 Brian.Baldwin@marcusmillichap.com Offices Throughout the U.S and Canada www.marcusmillichap.com