For more than 40 years, Market Capital Lending has helped investors and operators buy and refinance income properties — part of the $375 million+ we've arranged for our clients. Self-storage is a favorite for its steady, low-overhead cash flow, and it's financeable through both SBA (for owner-operated facilities, including business goodwill) and conventional commercial programs underwritten on occupancy and income. We're a veteran-owned lender and brokerage. Below, here's how self-storage financing works.
Buying vs. refinancing a storage facility
For acquisitions and construction, owner-operated facilities can use SBA 7(a) or 504 — financing the real estate and, as a special-use business, the goodwill of an operating facility. For refinancing — lowering your rate, pulling cash out to expand, or replacing a maturing loan — conventional commercial and DSCR-style programs underwrite on the facility's net operating income and occupancy. See our commercial real estate loans and, for repositioning or quick closings, bridge loans. (Rates, approval, and terms vary by credit, collateral, occupancy, loan amount, and underwriting.)
What we finance
We arrange self-storage acquisitions, ground-up development, expansions, rate-and-term refinances, and cash-out refinances — for single facilities and portfolios. Whether you're a first-time operator using SBA financing or a seasoned investor optimizing a portfolio, we match the deal to the right lender.
Why choose Market Capital Lending
Self-storage lenders vary widely in what they'll fund and how they price it. As a veteran-owned broker with a network of 40–50 lenders, 40+ years of experience, and $375M+ funded, we find the lender whose leverage, terms, and occupancy requirements fit your facility. Start your application or call us.
Self-Storage Facility Refinancing
Self-storage facility refinancing can lower a rate, restructure a term, or pull cash out for expansion. A rate-and-term refinance resets pricing and maturity; a cash-out refinance frees equity for a new project; and a facility still stabilizing occupancy may use bridge financing before it qualifies for permanent debt.
Related: current commercial mortgage rates, bridge loans, and CMBS loans.
Frequently asked questions
Can I refinance my self-storage facility to pull cash out?
Often, yes. Cash-out refinances on stabilized storage facilities are common — typically underwritten on the facility's income, occupancy, and value.
Can I use an SBA loan to buy a storage facility?
For owner-operated facilities, yes — SBA 7(a) and 504 can finance the real estate and business goodwill. Pure investment facilities usually use conventional or DSCR-style financing.
How do lenders size a self-storage loan?
Mainly on the facility's net operating income, occupancy, and value, plus the borrower's credit and experience.
Do you finance new self-storage development?
Yes — ground-up storage development can be financed with a construction loan and a path to permanent financing.