SBA 7(a) Self Storage Feasibility Study in Missouri

Live Oak Banking Company accounts for 21 of the 55 loans in the Missouri 7(a) storage cell, and $51.3 million of its $80.2 million, and that concentration, more than size, marks this cell off from Missouri as a whole and from storage across the country. Missouri ranks ninth for storage on loans counted, while storage is thirteenth of 39 among Missouri's classes. The median loan is $740,000, 0.76x the national 7(a) storage figure, and the central half runs from $397,650 to $1.8 million. Franchised loans are 3.6%.

The rest of the table

OakStar Bank holds 6 loans and $9.4 million, and Bank Five Nine 6 loans and $2.6 million, so the first has a larger average. SBA lists loans held now or formerly, and says nothing of method. A borrower in Missouri who studies this table sees a specialist national lender, a regional bank and a bank with small tickets. Saint Louis County has 7 loans, Greene 4, and Jackson, Jasper, Jefferson, Johnson, Phelps, Saint Charles and Taney 3 each, with Boone at 2.

A peak at FY2021

Approvals were 3, 5 and 1 in FY2017 to FY2019, then 6 in FY2020 at $11.8 million and 12 in FY2021 at $17.2 million, the highest of any year. FY2022 had 9, FY2023 8 at $11.6 million, FY2024 3 at $5.4 million, FY2025 5 and FY2026 3 for $7.0 million. The record shows the peak and the slowdown but does not explain them.

Cancellations and coding

Cancelled approvals were no fewer than 14.9% of those made to FY2024, a share that undisbursed loans do not alter. Charge-off figures are absent for lack of mature loans. Boat and camper parking has no separate code, so some loans may finance vehicle lots.

A Missouri storage study

The study must show supply and rents for the market, with counts of units per resident in the smaller counties on the list such as Phelps or Taney, which are driven by students and tourism. It should model construction cost and lease-up by month, the rent needed to cover debt service, and the effect of a competing project. Because the cell relies on one dominant lender, the study should be written to meet a specialist's usual questions on phasing, reserves and occupancy at stabilisation. The appraisal should set value on completion and on stabilisation, with a downside case.