25
Nov
“Success is not the result of spontaneous combustion. You must set yourself on fire.” – Arnold H. Glasow
By Global Empowerment Leadership (GEL) in collaboration with Skyline Property Advisors, LLC
Executive Summary
Self-storage expansions are wealth accelerators—but most investors leave 300–400 bps of IRR on the table because they finance like it’s 2010.
This practitioner-grade analysis stress-tests three capital stacks on a real $7.3M Central Florida deal:
Key Finding: Structure alone swings IRR 15.8% → 19.2% and lets $10M equity control $16M vs. $52M in assets.
Your move: Pick the stack that matches your risk appetite, capital, and exit horizon—then execute like a Navy SEAL.
🔥 THE OPPORTUNITY: $7.3M → $14.6M–$16M in 24 Months
Value Levers:
🛠️ OPTION A: ALL-CASH + CONSTRUCTION LOAN
Philosophy: Own the dirt. Control the destiny.
Why Winners Choose It: ✅ Bulletproof flexibility – pause construction if rates spike ✅ No refinance cliff – convert to perm or hold forever ✅ Downside armor – 14.8% IRR even at 6.75% exit cap
Best For: First-timers, family offices, risk-averse institutions.
🚀 OPTION B: BRIDGE-TO-PERM
Philosophy: Leverage hard. Refinance harder.
Why Daredevils Love It:
✅ Capital efficiency on steroids– 4.6× deals vs. Option A
✅ Early capital return– recycle into next deal Year 3
✅ 27.2% cash-on-cash post-refi
Warning: Refinance risk = career-ending if mistimed.
Best For: Battle-scarred operators confident in 2026–2027 perm market.
🏦 OPTION C: PREFERRED EQUITY WATERFALL
Philosophy: Let someone else’s capital take the first punch.
Why Institutions Scale With It:
✅ Preferred cushion– $1.5M mezz absorbs first loss after senior
✅ Non-recourse senior– liability burns off at stab
✅ Portfolio diversification – $52M AUM from $10M equity
Trade-off: Waterfall math + investor management = PhD-level CRE.
Best For: Funds raising LP capital, operators building 10–20 asset empires.
📊 HEAD-TO-HEAD WINNER’S MATRIX
⚡ ROBUST CALL TO ACTION
“Opportunities come infrequently. When it rains gold, put out the bucket, not the thimble.” – Warren Buffett
1. GEL Newsletter: Level-up your empowerment & leadership game. [ ] Subscribe to Global Empowerment Leadership by clicking this link: Subscribe on LinkedIn https://www.linkedin.com/build-relation/newsletter-follow?entityUrn=7060440518475804672
2. Skyline Property Advisors, LLC: Model your deal in <48 hrs. 📞 Call 786-676-4937 | 📅 Book: calendly.com/slp-zee | 💬 DM “STACK”
Don’t let sub-optimal capital leave millions on the table.
#CapitalStackMastery #SelfStorageEmpire #RealEstateScaling #GELxSkyline
Global Empowerment Leadership × Skyline Property Advisors, LLC — Where Vision Meets Execution.