Self-Storage Valuation Calculator
What does this self-storage valuation calculator do?
This free calculator estimates what a self-storage facility could be worth using Kevin Rapport’s square-footage method: average the rent per square foot of two local unit sizes, apply 85% occupancy and an expense ratio, then divide the NOI by a cap rate. Kevin’s defaults are 35% expenses and an 8% cap rate, and you can pick anywhere from 30–40% expenses and a 6–10% cap rate. It also shows his 75% maximum offer, an exit check based on the next buyer’s expenses and cap rate (defaults 35% and 8%, both adjustable), and the 100x rule.
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The stabilized value is what the facility might be worth once it is full at market rents and run well. It is not what you should pay today.
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How the calculator works
The calculator follows Kevin’s square-footage method from his self-storage valuation guide. It estimates a facility’s stabilized income from its rentable square footage and local rents, then turns it into a value:
- Average rent per square foot. Take the monthly street rate of two common unit sizes in the market and divide each by its square footage. Average the two.
- Stabilized monthly revenue. Multiply that average by the facility’s rentable square feet, then by 85% occupancy.
- Stabilized NOI. Subtract expenses and multiply by 12 for a year. Kevin’s default is 35% expenses, which keeps 65%; you can choose anywhere from 30% to 40%.
- Stabilized value. Divide by the cap rate. Kevin’s default is 8%; you can choose anywhere from 6% to 10% in half-point steps. Then craft an offer below it.
From there it runs the checks Kevin uses to turn a value into an offer:
- Maximum offer. Kevin’s maximum is about 75% of the facility’s stabilized value. His default cap rate is 8%, and the calculator uses whichever cap rate you select.
- Exit check. A future buyer will plug in their own expenses and cap rate. Choose the next buyer’s assumptions, 30% to 40% expenses and a 6% to 10% cap rate, and the calculator applies them to the stabilized revenue to estimate what that buyer might pay. The defaults are 35% and 8%. To stress-test your exit, try heavier numbers, such as the 38% expenses and 8.5% cap rate in Kevin’s valuation guide.
- In-place value. If you enter what the facility collects today, the calculator values that in-place income at your cap rate, using your own expense estimate. Kevin’s safe default is 37%. Value the facility on in-place income, not the seller’s or broker’s pro forma.
- The 100x rule. Kevin’s rule of thumb for small-town storage: below 100 times monthly revenue is ideal, and around 85 times is more than likely a pretty good deal. At Kevin’s defaults of 35–37% expenses and an 8% cap rate, the math works out to roughly 94–98 times monthly revenue.
A price above 100x doesn’t necessarily mean it’s a bad deal, or that the seller won’t come down off their asking price. Every deal that passes these checks still needs full underwriting. For the full method, with worked examples, read How Much Is a Self-Storage Facility Worth? How to Price Your Offer.
Frequently asked questions
How do you calculate what a self-storage facility is worth?
Divide the facility’s net operating income (NOI) by a market cap rate. Value = NOI ÷ cap rate. Use the income the facility actually collects today, subtract the expenses you will pay as the new owner, not the seller’s, and apply a cap rate supported by comparable sales in that market.
What is Kevin’s square-footage method?
It averages the rent per square foot of two common unit sizes, multiplies by rentable square feet and 85% occupancy, subtracts expenses (Kevin’s default is 35%, which keeps 65% as NOI), annualizes it and divides by the cap rate (his default is 8%). That estimates stabilized value, so your offer should sit well below it.
How much should I offer on a self-storage facility?
Offer below what the in-place income supports and set a walk-away ceiling first. Kevin triangulates with three checks: in-place NOI at a market cap rate, the 100x monthly revenue rule, and a maximum of about 75% of stabilized value, using his default 8% cap rate.
What is the 100x monthly revenue rule?
It is Kevin Rapport’s rule of thumb for small-town storage: price typically shouldn’t exceed about 100 times monthly gross revenue, so a facility collecting $5,000 a month tops out around $500,000. Around 85 times is more than likely a pretty good deal. It is a quick first-pass filter, not a valuation or a guarantee.
Is this calculator an appraisal?
No. It is an educational estimate built on Kevin’s personal rules of thumb, not an appraisal or investment advice, and results are not guaranteed. Confirm rents, expenses and cap rates with local brokers, lenders, your CPA and, where needed, a licensed appraiser, and do full underwriting before you offer.
Want a second set of eyes on your numbers before you offer?
If you are looking at a facility and want an experienced operator to review your underwriting, pressure-test your price and help you structure the offer, Kevin offers a small number of 1:1 coaching spots. No pressure — read how it works and see if it fits.
See how 1:1 coaching works →Want the full method? Read the valuation guide, or explore the Accelerator course. More free articles are on the Free Guides page.
This calculator is an educational estimate only. It is not an appraisal, and it is not legal, tax, lending or investment advice. Results are not guaranteed. The default inputs are a hypothetical example, not a real facility, a forecast or a typical result. Cap rates, rents, expenses and property tax rules vary by market and change over time, so confirm current figures with local brokers, lenders, your CPA and, where needed, a licensed appraiser. The 100x monthly revenue rule, the 75% maximum offer and the other benchmarks are Kevin’s personal rules of thumb, not guarantees.