Grandstone Investment Sales is pleased to present the State Storage Portfolio, comprising French Creek Storage (95 units, 30,100 NRSF, Saegertown, PA) and Backyard State Storage (449 units, 74,300 NRSF, Conneaut Lake, PA), totaling 544 units across 104,400 NRSF. The portfolio features substantial scale, diversified unit types, and strong operational upside, creating a compelling value add opportunity.
Both properties exhibit high physical occupancy—94.39% at French Creek and 87.90% at
Backyard State—while economic occupancy lags, providing immediate potential to enhance revenue through optimized pricing, modernized management, and streamlined collections.
Projected NOI growth from $841K in Year 1 to $977K by Year 5 demonstrates the near-term upside potential across the portfolio.
The portfolio offers a strong income profile with a current blended cap rate of 5.55%, projected to grow to 8.14% by Year 5. Supported by $1.33M in gross potential rent and a net operating income of $666K in the current year, the State Storage Portfolio demonstrates both stable cash flow and upside potential. Situated in resilient Pennsylvania markets with limited climate-controlled competition, this portfolio represents a rare opportunity to acquire high-quality self-storage assets with immediate income and long-term value creation.
INVESTMENT
HIGHLIGHTS
- IMMEDIATE REVENUE CAPTURE
Closing the 23% gap between physical and economic occupancy via online leasing platforms and automated management systems unlocks substantial trapped cash flow without requiring major structural changes. - RAPID NOI AND YIELD EXPANSION
Projected Year 1 NOI growth from $841,086 to $922,363 across the portfolio drives strong revenue momentum, expanding blended cap rates from 5.55% to over 7.69% by Year 2. - LEAN, SCALABLE OPERATIONS
The 25-mile proximity between French Creek and Backyard State Storage enables shared management, consolidated maintenance, and streamlined operational oversight, reducing overhead and
maximizing efficiency across the portfolio.
- STRONG MARKET DEMOGRAPHICS
The portfolio is positioned within Western Pennsylvania markets showing stable household formation, rising incomes, and robust demand for self-storage, supported by limited climate-controlled supply and strong regional trade areas. - PORTFOLIO STABILITY & UPSIDE
High current occupancy of 89.3% and economic occupancy of 66.5% across the portfolio provides a stable income base, while under-rented units and market rent growth create clear potential for NOI expansion and long-term value creation.
Brian Brockman | Pennsylvania Inc | Bor@bangrealty.com | License: RM432816
