Most storage lending advice assumes you already have tenants: a rent roll, deposits, a year of history. But a lot of the best yards are bought empty, or bought to start from scratch.
Here is how we finance a truck yard, RV and boat storage lot, or IOS yard that has no income yet, and how the loan grows once it does.
Can you get a loan on a storage lot with no tenants?
Yes. Start ups and empty yards with the right zoning qualify, at 50% of what you paid.
Our outdoor storage loans run from $30,000 to $1,000,000. Operating yards with a year of deposits get up to 65% of what you paid. Empty yards and start ups get 50%, with more available once the property is cash flowing. We fund purchases, refinances, and cash out refinances.
Need a loan on a truck yard or storage lot?
$30K to $1M, 50% of what you paid (65% with 12 months of deposits), close in 7 to 14 days. Written quote in 24 hours.
Get a Free QuoteOutdoor Storage LoansWhy do lenders treat an empty yard differently?
With no income, the loan rests on the land, the zoning, and what you paid, so the lender keeps more cushion.
An operating yard has deposits that prove what it earns. An empty yard only has a plan. Until tenants pay, the lender is lending against real estate that may be hard to sell if the plan does not work. That is why the start up tier is lower. Banks often skip the asset class entirely, because there is no building to appraise. See bank vs. private lender for outdoor storage.
How much can you borrow on an empty storage lot?
50% of what you paid, interest only, at 14% on loans of $100,000 and up.
| Example | Amount |
|---|---|
| Purchase price of an empty yard | $400,000 |
| Loan at 50% of what you paid | $200,000 |
| Rate | 14%, interest only |
| Monthly interest | $2,333 |
| Closing fee | $600 |
| Servicing | $25 a month |
| Exit fee at payoff | 2% |
Loans under $100,000 are 16%. There is a 5 month minimum on interest. A fully amortized option is available on request. This example is an illustration, not a loan offer.
What does the zoning need to show?
That storage or truck parking is allowed on the property, ideally by right, confirmed in writing by the municipality.
On an empty yard, zoning is most of the value. A use allowed by right is the strongest. A conditional or special use permit can work, but read the conditions. Get a zoning letter from the municipality before you apply. See truck parking zoning: by right vs. conditional use and what is IOS.
How do you get from 50% to 65%?
Build 12 months of deposits that match a real rent roll, then come back for more.
Run every tenant payment through one business account from day one. Cash collections that never hit a bank statement do not count. After 12 months, a rent roll that matches the deposits qualifies the yard for up to 65% of what you paid, so you can refinance or pull cash out. See what lenders want in a truck yard rent roll and cash out refinance on a storage lot.
What do you need to send for a start up storage loan?
The purchase contract, the zoning letter, a site description, and your plan for tenants.
- The signed purchase contract or, on a refinance, your settlement statement.
- A zoning letter or the municipality's written confirmation of the use.
- What is on the site: surface, fencing, gate, lighting, access for trucks or RVs.
- Your plan: who the tenants will be and how you will reach them.
We underwrite from the purchase price, zoning, and deposits, not from tax returns, and close in 7 to 14 days.
Frequently Asked Questions
Can I finance a truck parking lot with no tenants?
Yes. Damen Capital finances start up and empty truck yards with the right zoning at 50% of what you paid, and up to 65% once the yard has 12 months of deposits.
How much can I borrow on an empty RV or boat storage lot?
Up to 50% of what you paid, from $30,000 to $1,000,000, interest only at 14% on loans of $100,000 and up and 16% under $100,000.
What do lenders need for a start up storage lot loan?
The purchase contract, written zoning confirmation, a description of the site, and your tenant plan. Damen Capital does not need tax returns.
How do I qualify for more on my storage lot later?
Run all rent through one account and build 12 months of deposits that match your rent roll. That qualifies the yard for up to 65% of what you paid.