I bought $3.1m of storage in 2021, now worth $4.9m ($1.8m gain). I bought $4.4m of storage in 2022, worth $6.6m soon, hopefully, maybe ($2.2m gain).

Sell 2021 buys in 2023 (or ASAP!), 1031 into $6.6m* of new buys. Sell 2022 buys in 2024, 1031 into $7.9m* buys. *My going-in leverage was 79% in 2021 and 82% in 2022. Assume I get more conservative and start going in at 65% LTV.

Sell 2023 buys in 2025, 1031 into $12.1m* buys. Sell 2024 buys in 2026, 1031 into $14.5m* buys. *So far I've consistently grown value by 1.5x** within 12-18 months, but used 1.33x going forward. **Gains realized by juicing net income, not cap rate compression, dude.

Sell 2025 buys in 2027, 1031 into $22.4m buys. Sell 2026 buys in 2028, 1031 into $26.9m of new buys.

It's 2030 and I haven't bought anything since 2028. I own $65.5m of storage (2027 & 2028 buys have appreciated 1.33x). I owe $32m to the bank. I have $33.5m of equity.

I have to make a decision: 1) Sell these pieces of crap, pay the man his cap gains tax, pay like 10% to brokers and lawyers, and pocket $20m cash. Or 2) Let that $33.5m chill in storage, enjoy that tax-efficient income, die, and let my kids enjoy the cost-basis step-up.

Bro, I know this is an oversimplified plan full of unknown variables and dead-wrong assumptions. But, it kinda helped me figure out WTF I do: I buy crappy storage props, make them a little nicer and a lot more profitable, sell them after 12-18 months, and repeat the process.

Also, I'd love for some successful GP out there to be like: "B*tch please, here's my model for how I'm using other people's money to create much more than that, in a fraction of the time, while working 20 hours a week."

@SultanofStorage Bird in hand is worth 2 in the bush.

@roblabonne Yeah, I think about that a lot. Maybe I don't sell everything always, but constantly evaluate properties in the portfolio plus acquisition pipeline to determine what/when to sell vs hold.

@SultanofStorage I've been talking to @baldridgecpa and I'm torn between starting a self storage business or just investing with @sweatystartup

@BeezSLS @baldridgecpa @sweatystartup Unless you're ready to go all in. Give your money to @sweatystartup , sit back, and enjoy your returns.

@SultanofStorage Where did the loans come from? Private? Local banks? National Lenders?

@TheRealKBarrett Six with local banks and one seller finance.

@SultanofStorage Where did you start out getting loans from? I’m assuming it’s easier now that you have cash flow.

@cantbemikerich 6 are financed with local banks. 1 owner financed. See money thread at bottom of pinned thread on my profile.

@SultanofStorage 10% transaction cost, whoa! For a $35m sale, I would estimate a 2-2.5% transaction cost inclusive of broker commission, attorney fees, title, and state deed taxes

@Flanspan Ultra-conservative. :) Accounts for taking some off the table too.

@SultanofStorage Tuned in 💪🏽

@SultanofStorage Thanks for sharing dude. Really cool to see the inside workings of someone a few steps ahead. Let’s get some portables on those properties! BPE