10 Federal, a technology-driven leader in automated self-storage operations, announced record-breaking first-quarter 2025 results across its investment platforms, Self-Storage Acquisition Companies 3 and 4 (10FSSAC3 and 10FSSAC4). Additionally, the company finalized a $100 million credit facility with First Horizon Bank, enhancing its capacity for continued growth and strategic acquisitions.
Q1 2025 Performance Highlights:
10 Federal’s value-driven approach and proprietary technology continue to deliver significant financial gains:
- 10FSSAC3: Achieved a 9.0% year-over-year increase in same-store revenue and a remarkable 45.1% surge in Net Operating Income (NOI), driven by a 12.8% reduction in operating expenses across its 15 facilities totaling 713,458 net rentable square feet (NRSF).
- 10FSSAC4: Reported an 11.9% year-over-year increase in same-store revenue and a 42.9% rise in Net Operating Income (NOI), with expenses reduced by 1.5%. The fund currently operates 21 facilities encompassing approximately 1.19 million NRSF and continues to actively deploy capital within its investment period.
Strategic Development and Expansion:
- Development Initiatives: The company’s most recent development offering is progressing on schedule and within budget. Over the past year, four permit-ready sites have been secured, with three under construction and one in pre-construction. These Class A, multi-story, climate-controlled facilities are strategically located in high-growth metropolitan statistical areas (MSAs) including Austin, TX; Savannah, GA; Charlotte, NC; and suburban Atlanta, GA. The first facility is slated for completion in Q4 2025, positioning 10 Federal to meet increasing demand in these expanding markets.
- Expansions: The company recently completed large-scale expansion projects in Magnolia and Montgomery, TX, adding over 100,000 sq. ft. and 650 new units. These units are currently leasing, contributing to the fund’s long-term performance.
Capital Management & Acquisitions:
- Credit Facility: 10 Federal secured a $100 million credit facility with First Horizon Bank to fund ongoing expansion projects and new acquisitions in 10FSSAC4. This substantial credit facility not only underscores 10 Federal’s strong and sustained access to both equity and debt markets but also reflects the confidence of financial partners in the company’s strategic vision and the strength of its investment platform.
- Strategic Acquisition: Acquired a three-property self-storage portfolio in Keller, TX, encompassing 177,353 net rentable square feet (NRSF). This acquisition, secured at a cost significantly below replacement value, strengthens 10 Federal’s presence in the Texas market and exemplifies its strategic investment approach.
Andrew Capranos, President of 10 Federal, stated, “Our exceptional financial results are the product of relentless optimization through automation, predictive data analytics, and operational discipline. Amidst industry-wide economic pressures, our proprietary technology enables us to sustain substantial NOI growth, significantly outperforming the market.”
Cliff & Brad Minsley, Co-Founders of 10 Federal, emphasized, “Our disciplined capital strategy complements our technological capabilities, providing a robust foundation for continued growth and long-term value creation.”
