Marcus & Millichap closed the sale of the five-facility Double D Storage portfolio in Monahans, Texas, at 98% occupancy, procuring an acceptable offer within one week of listing. The 529-unit, 64,200-square-foot portfolio sold to a Colorado-based private investor making his first self-storage acquisition.
The deal is a textbook tertiary-market transaction in a year when institutional capital chased scale through Public Storage's $1.2 billion Canada close and regional buyers kept filling the middle market.
What Did Marcus & Millichap Sell in Monahans?
The Double D Storage portfolio at 810 S. Stockton Ave. consists of five self-storage facilities and a centralized leasing office on 4.54 acres in Monahans, a city of roughly 8,500 people in West Texas between Midland and Pecos.
| Metric | Detail |
|---|---|
| Units | 529 |
| Net rentable square feet | 64,200 |
| Acreage | 4.54 |
| Year built | 1993 |
| Occupancy at sale | 98% |
| Facilities | 5 + centralized leasing office |
Monahans is not a primary institutional market. It sits in the Permian Basin, benefiting from proximity to the Midland-Odessa employment corridor without the pricing competition of a major MSA.
The seller spent years assembling and operating the portfolio before deciding to exit. He engaged Marcus & Millichap's Karr-Cunningham team after tracking their self-storage track record in Texas.
Who Bought a 98%-Occupied Portfolio in a Tertiary Market?
The buyer is a Colorado-based private investor acquiring his first self-storage facility. He previously worked for a national self-storage developer, giving him operational context without an existing portfolio to manage.
Both parties requested anonymity. That profile fits the 2026 buyer mix: experienced operators and adjacent-industry professionals entering through smaller, high-occupancy assets rather than competing for REIT-scale portfolios.
Marcus & Millichap's Danny Cunningham framed the marketing challenge directly.
Despite the facility's tertiary location, we were confident in our ability to generate offers that met the seller's expectations. Utilizing our national network of active investors, we procured an acceptable offer within one week of putting the property on the market.
The deal closed on time at more than 95% of the original contract price. A small environmental issue surfaced during due diligence but did not derail the transaction.
Why Does the Permian Basin Still Draw Storage Capital?
West Texas self-storage benefits from energy-sector employment volatility and limited new supply in smaller cities. Monahans is not Midland, but it captures overflow demand from workers who live outside the metro core.
Marcus & Millichap cited three value-add levers for the buyer: rate optimization, ancillary income programs, and digital marketing. On a 1993-vintage portfolio at 98% occupancy, the upside is operational, not lease-up.
That is the same thesis behind 10 Federal's Springtown and Azle acquisition in the northwest Fort Worth corridor: buy occupied secondary-market assets and run them better.
Texas broadly remains a bifurcated state for storage investors. Major metros face supply strain and rate correction. Tertiary Permian Basin markets offer occupancy stability without the delivery pipeline pressure.
How Does This Deal Compare to Other August 2026 Transactions?
The Monahans sale sits in the middle of a busy August for Marcus & Millichap's Fort Worth self-storage desk. The same Cunningham-Karr team closed the 950-unit Springtown and Azle portfolio for 10 Federal on August 28, 2026.
The contrast is instructive:
| Deal | Units | Market Tier | Buyer Profile |
|---|---|---|---|
| Double D / Monahans | 529 | Tertiary (Permian Basin) | First-time private investor |
| Springtown & Azle | 950 | Secondary (DFW exurbs) | Institutional (10 Federal) |
Both closed at more than 95% of asking price. Both drew multiple offers. The buyer profiles diverge, but the broker playbook is identical: market occupied assets aggressively, close on timeline, and let the buyer's operational plan extract the next increment of NOI.
What Should Operators and Sellers Take From the Monahans Close?
High occupancy in a tertiary market is not a consolation prize. It is the product. The seller assembled five facilities over years, ran them at 98%, and exited through a competitive process that produced an offer in seven days.
For buyers, the lesson is entry-point math. A first-time operator can acquire a stabilized Permian Basin portfolio without competing against REIT balance sheets for the same asset class.
For brokers, the Cunningham quote is the operating thesis: national investor networks can place tertiary assets when the seller's basis and occupancy support institutional underwriting, even at smaller scale.
The Numbers Worth Writing Down
- 529 units across 5 facilities plus a centralized leasing office
- 64,200 net rentable square feet on 4.54 acres
- 98% occupancy at the time of sale
- 1993 original development year
- >95% of list price achieved at closing
- 1 week from listing to acceptable offer
- Colorado buyer, first self-storage acquisition
Tertiary Does Not Mean Unmarketable
The Double D Storage sale proves that occupancy and broker reach matter more than MSA rank on a spreadsheet. Monahans will never be Austin or Dallas. It does not need to be.
A 98%-occupied, 529-unit portfolio in the Permian Basin found a qualified buyer in seven days. That is the market clearing price for operational excellence in a year when everyone is watching REIT consolidation headlines.
The middle market is still transacting. The buyers are just smaller, hungrier, and willing to drive to West Texas to prove it.
Sources
- Marcus & Millichap Arranges Sale of Double D Storage Portfolio in Monahans, Texas, Marcus & Millichap
- Marcus & Millichap Brokers Sale of 529-Unit Self-Storage Portfolio in Monahans, Texas, REBusinessOnline
- Self-Storage Real Estate Acquisitions and Sales: August 2026, Inside Self-Storage