Self Storage Feasibility Study in Georgia

Georgia self storage: a heavy share of the class

Georgia leans on SBA lending for self storage (location quotient 1.65x), and the state ranks 6 of 50 for the class on 122 loans and $169.7 million over FY2017 to FY2026; within Georgia, storage places 14 of 39. Georgia's median storage loan, $1.0 million, is 1.08x the national midpoint, and the middle half runs from $542,750 to $1.6 million. No figure is distinct against Georgia's SBA record and storage lending nationally.

A 504-heavy market with many certified development companies

SBA 504 carried 51 of the Georgia storage loans and 7(a) 71, a high 504 share. Florida Business Development Corporation holds 14 Georgia storage loans worth $24.6 million, Small Business Access Partners, Inc. 11 worth $15.6 million, and CSRA Local Development Corporation and Capital Partners Certified Development Company 9 each. In 7(a), Live Oak Banking Company has 18 Georgia storage loans worth $26.6 million, Bank Five Nine 10 worth $18.1 million and The Huntington National Bank 6 worth $11.7 million. Franchising is absent, at 0.00%. Lending is spread thinly across the state: Hall County has 11 loans, Chatham 7, and Carroll and Cobb 6 each.

Clean repayment, high cancellations

Georgia storage loans have not failed: of the 58 disbursed in FY2017 to FY2021, the charged-off share is 0.00%, to date or within five years, which stays a floor while loans are open. Cancellations are the issue. At least 17.1% of Georgia's FY2017 to FY2024 storage approvals were cancelled, and the ceiling of 21.9% shows how many recent approvals had yet to disburse. The open question in each deal is whether it reaches funding.

A Georgia self storage study has to test demand in the trade area: households, renters and businesses within a short drive, existing and planned storage supply, and the rents and occupancy those competitors achieve. Cost covers land, construction or conversion, and the lease-up carry. Coverage should be shown at stabilised occupancy reached on a realistic schedule, with rate concessions during lease-up. The appraisal will rest on stabilised income, and the study's forecast must reconcile with it. One caution on the data: boat and RV storage lacks a dedicated code, so in Georgia it sits inside self storage or is filed as other warehousing, and it cannot be pulled out of these figures.