Flywheel Equity is happy to provide the self storage underwriting spreadsheet (SSDA for short) it uses to underwrite hundreds of self storage deals. The SSDA is available for free to all operators and investors.
The SSDA is Opinionated
While we believe the SSDA is powerful and useful for the majority of use cases, it was developed with a very specific investment and usability philosophy. Those include:
- Simplicity: There should be no tab-switching in the course of underwriting. All information should be logically presented in one main screen.
- P&L is truth: Underwriting isn't about hitting high-level numbers, it's about presenting a realistic and operationally sound P&L statement over the life of the deal. As such, the P&L is the most important deliverable and should front and center at all times.
- IRR is folly: Perhaps the most controversial of our underwriting opinions is that any metrics based on unknowable assumptions (such as exit cap rates) should not be used when evaluating a deal. As such, the only summary investment metrics included are the stabilized return on cost and debt yields.
- Monochrome: There are no green/red color indicators for go/no-go hurdles or criteria. Humans are illogically influenced by visual indicators and underwriting is much more nuanced than that.
- Cloud-based: We don't do Excel here at Flywheel Equity. The SSDA is a Google Sheet and will always be cloud-native (if you are committed to Excel, please inquire for our commercial services which can accommodate an Excel-based product).
How to Use the SSDA to Underwrite a Self Storage Deal
If these opinions are more or less inline with yours, I encourage you to give the SSDA a try. I've put together a short video here briefly covering the main points of the SSDA, the philosophy behind it, and how to underwrite a deal using it:
Download the SSDA
There's nothing to download since the SSDA is cloud-based, but here's how to get your own copy of the SSDA for yourself:
- Go the most recent version of the SSDA here
- Go to the File menu and select Make a Copy
- Save it in your Google Drive
- Alternatively you can download it as an Excel file in File -> Download, but note that we don't provide any support for its usage in Excel
Paid Support & Features
As of now the SSDA is purpose-built for our internal needs. However, If you are interested in specific features or ongoing support, feel free to email for commercial options. You can use the contact form at the bottom of the SSDA page to submit your contact info and somebody will reach out to you to see what options we have for you.