Advantage Storage (Managed) — Sale in Lovington, NM

  • Price: Contact for price
  • Listing type: For sale
  • Asset type: Business
  • Location: Lovington, NM 88260

Photos

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Investment Figures

Cap rate
6.79%

Derived from the asking price and operating figures published for this listing. Informational only — not an appraisal, valuation or financial advice. Verify independently before relying on any figure.

Description

Advantage Storage is an institutional quality 45,200 rentable-square foot facility located in Lovington, New Mexico that was built between 2016 – 2020. Resting on one parcel, the facility features 59 climate units and 204 drive-up units distributed between seven single-story metal buildings that feature standing seam roofs, garage-style roll up doors, and brick / stucco cosmetic accents. The property also includes wrought iron perimeter fencing, concrete drives, a formal leasing office, manager’s residence, and 24/7 video surveillance. The subject property is the only “Class-A” facility in the entire Lovington market, and it’s positioned on one of the town’s most highly trafficked residential / commercial thoroughfares. Lovington is located less than 25 miles from the Texas border only an hour and a half away from both Midland/Odessa and Lubbock. The 81 percent economically occupied facility has been generating a predictable income stream for years, but multiple opportunities for value creation remain. To be sure, despite a local trade area featuring only 6.29 square-feet of storage space per capita (five-miles), and an average market occupancy rate exceeding 90 percent, Advantage Storage’s drive-up street rates remain approximately 8 percent below market (see Broker for details). Additionally, the management company’s revenue algorithm appears to have dislodged itself from actual market demand. Despite maintaining a stabilized physical occupancy rate for years, and despite the fact Advantage Storage is the most recently-delivered storage property in Lovington, many of the facility’s current street rates are at least 20 percent below what existing tenants have been willing to pay for years. Lastly, current ownership recently spent approximately $175,000 laying asphalt for 47 more uncovered parking spaces that will begin leasing mid-August 2026. At a purchase price of $5,180,000 a new operator will be acquiring a facility capable of generating unlevered yields approa

Market Context

This commercial property in Lovington, NM is listed for sale. It is offered at an approximate 6.8% capitalization rate, a key benchmark for income-producing commercial property assets. Compare it against other commercial property listings for sale in Lovington, NM — view the full market.

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