JOLLY STORAGE

Investment Overview

Facility Specifications

Facility Name

Jolly Storage

Address

13435 FM 1764 N, Santa Fe, TX, Galveston County

Parcel Number

7056-0000-0217-004

Lot Size

1.00 AC

Year Built

1975

Significant Expansions / Renovations

1996 and 2015

Total Units

103 (56 Climate Controlled / 47 Non-Climate Controlled)

Net Rentable SF

±13,733

Unit Occupancy

85%

Property Highlights

Jolly Storage features wide drive aisles for easy vehicle and trailer maneuverability, excellent visibility along FM 1764, with secure perimeter fencing, cameras, and gated access, providing tenants both accessibility and security.

The facility is currently operating at approximately 85% physical occupancy, with additional upside through the implementation of existing customer rent increases, presenting investors with a clear path to increased revenue and improved NOI.

Capital improvements completed in 2015 include:

• Office renovation

• Installation of a new security system

• Construction of new non-climate units and a climate-controlled building with awning

• Exterior lighting upgrades throughout the property

The property is also well suited for remote or semi-absentee ownership, with security cameras, automatic gate access, keypad entry, and management software already in place. Automated collections and minimal on-site payroll further reduce overhead and simplify operations.

Competitive Position & Market Opportunity

Jolly Storage holds a “micro-monopoly” for climate-sensitive goods in the immediate 3–5 mile trade area. The nearest climate-controlled competitor is approximately 6 miles away, providing a significant advantage for tenants requiring temperature-sensitive storage close to home.

A recent market survey identified additional unmet demand for climate-controlled capacity among the local demographic. This gap may be addressed by developing adjacent land currently available for purchase from a neighboring landowner, presenting a compelling expansion opportunity.

The climate-controlled buildings’ HVAC systems have been installed with twice the required capacity and are gently used.

Area Growth & Demand Drivers

Santa Fe and the surrounding corridor are experiencing meaningful commercial and residential expansion:

• Tractor Supply and other commercial interests are actively moving into the area, signaling broader retail and economic development momentum.

• Center Point Energy is relocating operations from Galveston Island to the Santa Fe area, bringing employment and increased storage demand.

• New residential developments, including Mulberry Farms, are adding housing inventory and expanding the local customer base.

• Galveston County and the broader Houston metro area continue to experience sustained population growth, driving increasing storage demand.

• The region supports strong demand from contractors, service companies, and trades requiring equipment and material storage.

• Proximity to Galveston Island creates additional demand from coastal property owners seeking off-island storage solutions.

Strategic Location

The property is located in Santa Fe, Texas, within the rapidly growing Houston–Galveston metropolitan corridor. Santa Fe provides a strategic location between the Houston metro area and the Texas Gulf Coast, creating consistent storage demand from residents, contractors, and coastal property owners.

Several cities including Alvin, Dickinson, Hitchcock, League City, La Marque, and Texas City are located within roughly 10 miles of Santa Fe, providing access to a large and growing customer base.

City

Distance

Houston, TX

36 miles

Galveston, TX

16 miles

League City, TX

14 miles

Texas City, TX

11 miles

Alvin, TX

8 miles

Additional Facility Advantages

• High visibility location along FM 1764 (traffic count 14.974)

• Strong surrounding population base within 10 miles

• Secure gated facility with perimeter fencing

• Remote and semi-absentee management capable

• Stable existing tenant base

• HVAC infrastructure installed at 2x required capacity – gently used

• Nearest climate-controlled competitor ≈6 miles away

• Adjacent land available for future expansion

*To provide a transparent and institutional-grade view of the asset's performance, the historical financials have been adjusted to reflect a "Market Standard" operating model. Specifically, we have removed non-operating owner expenses—including personal travel, non-business mobile plans, and home-office internet—as well as non-cash entries like depreciation, which do not reflect the property’s actual cash-generating power. Furthermore, maintenance costs have been normalized; while the previous two years included significant one-time owner-directed projects, the facility's modern 2015 expansion and durable steel construction mean a typical operator should anticipate recurring maintenance at approximately 50% of those historical levels. Under a standard management structure, an investor will experience a streamlined, low-overhead operation that focuses purely on the storage facility’s high-margin performance, justifying the professional 4.8% Cap Rate at the $2,100,000 valuation.