What it costs to build a self storage facility in Vermont in 2026
A 75,000 net sq ft climate-controlled storage facility runs $13 million to $26 million, about $229 per net sq ft all-in. On Vermont's own rents, vacancy and lending terms the typical case does not pencil. Every figure below has its source; checked October 28, 2026.
Cost to build, typical case
| Land | $2,573,529 |
| Hard cost | $9,905,660 |
| Soft cost | $2,476,415 |
| Contingency | $742,925 |
| Interest reserve | $772,059 |
| Developer fee | $686,275 |
| Total, a 75,000 net sq ft climate-controlled storage facility | $17,156,863 |
| Range, low to high case | $12,574,850 to $25,581,395 |
Terrapin 2026: multi-story climate-controlled hard cost $105 to $170 per gross sq ft plus 25 to 40% site and soft, at 80% efficiency. Rule of thumb: Required rent per sq ft per month is roughly all-in cost per net sq ft divided by 80. At $175 per sq ft that is $2.19, which is why Dallas, Houston and Austin are oversupplied.
Would it get financed
- Loan a lender would size$6,574,370, limited by DSCR
- Rate and amortization7.25%, 25 years
- Equity required$10,582,492 (62% of cost)
- Net operating income, stabilized$712,800
- Yield on cost against target4.2% against 8.1%
- Debt service coverage1.25x
Verdict on statewide numbers: Self storage of this size does not pencil at typical cost and rent; the gap is 3.9% of cost in yield.
The Vermont market
People and jobs
644,663 residents in 2025, growing 0.05% a year since 2020. 250,787 private jobs in Q1 2026, -0.9% in a year.
Census Population Estimates (Vintage 2025); BLS QCEW private employment.
Rents and vacancy
Median gross rent $1,193 a month; a new build leases at roughly a premium to that. Rental vacancy 3.4%. 73,304 renter households with a median income of $45,289.
US Census ACS 5-year 2023, tables B25064, DP04, B25003, B25119.
Permits in 2025
1,287 single-family homes, 131 units in 2 to 4 unit buildings, and 876 apartment units permitted statewide.
US Census Building Permits Survey, state annual file.
Competing supply
25 self-storage facilities in Vermont, 3.9 per 100,000 residents.
US Census County Business Patterns 2023.
How self storage facility projects get financed
Who lends. Banks and credit unions for construction; CMBS and life companies at stabilization; SBA 504 for owner-operated facilities.
Typical stack. 25 to 35% equity conventional; SBA 504 to 90% of project cost when the owner operates it.
SBA. Eligible since 2010. Now classified special-purpose under SOP 50 10 8, so new construction requires an independent feasibility study; SOP 50 10 8.1 underwriting took effect October 1, 2026.
What a lender will ask for
- Independent feasibility study (SBA requirement for new builds)
- Three-mile supply study: square feet per capita and planned facilities
- Lease-up pro forma with an interest and operating reserve
- Operator or third-party manager
- Site traffic and visibility
SBA and most banks require an independent self-storage feasibility study ($7k to $22k). This screen is the supply check you run before commissioning it.
Assumptions
| Input | Low | Typical | High | Source |
|---|---|---|---|---|
| All-in cost per net sq ft | $140 | $175 | $220 | Terrapin 2026: multi-story climate-controlled hard cost $105 to $170 per gross sq ft plus 25 to 40% site and soft, at 80% efficiency (2026) · estimate |
| Rent per sq ft per month | 1.1 | 1.35 | 1.75 | Proprise: non-climate $0.80 to $1.40, climate $1.20 to $2.00 per sq ft per month; national $1.18 (Marcus & Millichap Sept 2026); Texas 10 to 15% below national (2026) |
| Stabilized occupancy | 85% | 88% | 92% | REIT physical occupancy 92.9% Q2 2026; economic occupancy 3 to 8 points lower (2026) |
| Operating expense share | 35% | 40% | 45% | Proprise self-storage underwriting; management fee 5 to 6% (2026) |
| Lease-up or ramp | 18 mo | 24 mo | 36 mo | 2 to 4 points of occupancy a month (2026) · estimate |
| Exit cap rate | 6% | 7% | 7% | Marcus & Millichap 2026 average 6.59%; Class A 5.0 to 6.0%, tertiary 7.0 to 7.5% (2026) |
| Permanent loan to value | 65% | 70% | 75% | Bank and CMBS 65 to 75%; SBA 504 to 90% of project cost when owner-operated (2026) |
| Permanent rate | 7% | 7% | 8% | Bank and CMBS storage debt 2026 (2026) · estimate |
| Debt yield floor | 9% | 10% | 10% | Storage lenders (2026) · estimate |
| Construction loan to cost | 55% | 62% | 70% | HVS 2026 survey commentary: lenders requiring larger equity (2026) · estimate |
| Debt service coverage floor | 1.2 | 1.25 | 1.35 | Proprise multifamily underwriting primer (2026) |
Questions
- How much does it cost to build a self storage facility in Vermont?
- A 75,000 net sq ft climate-controlled storage facility runs $13 million to $26 million all-in in 2026, about $229 per net sq ft in the typical case: land $2,573,529, hard cost $9,905,660, soft cost $2,476,415, contingency $742,925, interest reserve $772,059, developer fee $686,275.
- How much of it will a lender finance?
- About $6,574,370 (38% of cost), limited by DSCR, at 7.25% over 25 years. The sponsor brings $10,582,492 of equity. 25 to 35% equity conventional; SBA 504 to 90% of project cost when the owner operates it.
- Does a self storage facility pencil in Vermont right now?
- On statewide numbers the typical case does not pencil: yield on cost 4.2% against a target of 8.1% (exit cap 6.6% plus a development spread). Your city, site and rents change the answer; the $299 Capital Projects screen runs it for your address.
This screen is an informational estimate built from published 2025–2026 benchmarks and public datasets for the county you named. It is not an appraisal, a feasibility study, a market study, an offer or commitment of financing, or investment, legal, tax, construction or financial advice. "Stabilized value" and similar figures are formula outputs (net operating income divided by a benchmark capitalization rate), not opinions of market value. Neur LLC is not a licensed appraiser, broker, lender or engineer. Lenders, the SBA and HUD require independent third-party studies and reports before committing capital; obtain them before you buy land, sign a contract or borrow. Figures are estimates with ranges and will differ from actual bids, rents and loan terms. Use of this screen is subject to neur.co/terms.