Offering summary
Blue Door Property II DST is an all-cash self-storage offering comprising properties located in Pasadena, TX, Corinth, TX, and Orlando, FL. The trust acquired the assets for an aggregate purchase price of $54,100,000, reflecting an acquisition capitalization rate of 6.11%. The total offering equity is $64,766,336 with no debt financing utilized, resulting in an acquisition and offering LTV of 0%. Projected investor cash flows reflect an initial Year 1 income distribution of 4.4% and an average full-term distribution of 4.81%. Front-end fees and offering expenses total $6,800,465, with $1,854,800 allocated to reserves. Property management is overseen by SmartStop, an operator with an owned or managed portfolio of 229 properties across 23 states, the District of Columbia, and Canada as of June 25, 2025.
Capital raise
0.0% of the offering is closed
$64,766,336 still available
$64,766,336
$0
0.0% of offering$0
Pending subscription$64,766,336
Open for subscriptionThe offering is raising $64,766,336 in common equity with Orchard Securities, LLC serving as the Managing Broker-Dealer. Selling commissions are capped at up to 6.0% for Selling Group Members, with total selling commissions and related expenses not exceeding 9.5% of total sales. The offering is fully unhedged and unencumbered by third-party debt.
Offering terms
Sector
Self-Storage
Investment Category
DST
Projected First Year Cashflow
4.4%
Avg. 4.81% over term
Min. Cash Investment
—
Min. 1031 Investment
—
Total Offering Price
$64,766,336
$394 per unit
Offering Debt
—
All-equity offering
LTV
0%
On acquisition price
Units / Tenants
164,300
Pasadena, TX 77505; Corinth, TX 76210; Orlando, FL 32822
Property Age
—
Blue Door Property II DST represents a $64,766,336 equity raise for a self-storage portfolio across Texas and Florida. The offering operates with 0% leverage, mitigating debt refinancing and interest rate risks. Initial Year 1 cash flow is projected at 4.4%, expanding to a full-term average of 4.81% on an acquisition cap rate of 6.11%.
Strengths & considerations
Key strengths
Unleveraged Structure
0% LTVZero debt on the acquisition and offering eliminates refinancing exposure, mortgage payments, and lender foreclosure risk.
Acquisition Yield
6.11% Cap RateAcquisition cap rate of 6.11% supports a projected 4.4% Year 1 distribution and a 4.81% full-term average.
Asset Management Terms
$0 FeeThe annual asset management fee is stated at no cost, reducing ongoing non-operational overhead for trust investors.
Key considerations
Front-End Fee Load
$6,800,465Total front-end offering expenses and fees represent approximately 9.5% of the total offering equity.
Property Management Fee
6.0% of Gross RevenueProperty management compensation is structured as $3,000 or up to 6% of monthly gross revenue.
Disposition Expense
2.0% FeeThe sponsor or affiliate receives a 2.0% disposition fee on the gross sales price upon property liquidation.
The primary strength of the offering is its 0% LTV debt-free structure, eliminating lender covenants, maturity risk, and mortgage service obligations. Additionally, the asset management fee is listed at no cost, and property operations are handled by an established self-storage sponsor managing 229 properties. The transaction is supported by an upfront reserve allocation of $1,854,800.
Sources, uses & fee assessment
Capital Sources
- $64.77M
Offering Equity
100.0% of offering
Where the Capital Goes
- $57.97M
Acquisition Cost
89.5% of offering
- $6.80M
Offering Expenses
10.5% of offering
- $1.85M
Reserves
2.9% of offering
Total Offering
$64.77M
All equity — no mortgage debt
Acquisition Cost
$57.97M
89.5% of offering to the property
Total Fees & Expenses
$6.80M
9.50% of offering
Reserves
$1.85M
2.9% of offering
Sources consist entirely of $64,766,336 in offering equity with no third-party debt proceeds. Uses include $54,100,000 in asset acquisition costs, $1,854,800 in reserve funding, and $6,800,465 in total front-end fees, commissions, and offering expenses.
Risk read
Tone reflects relative strength, not a rating
Leverage Risk
Favorable0% LTV removes lender default, covenant compliance, and interest rate fluctuation risks entirely.
Front-End Fee Burden
CautionaryTotal front-end fees and expenses equal $6,800,465, creating an equity load of 9.5% over the purchase price.
Operating Compensation
NeutralProperty management fee is $3,000 or 6% of gross revenue, alongside an acquisition fee of $1,630,500 and a 2.0% disposition fee.
Liquidity & Reserves
FavorableInitial capitalization funds $1,854,800 into reserves for property improvements and operational contingencies.
Key considerations include an upfront load of 9.5% ($6,800,465 in front-end fees and expenses) relative to the $54,100,000 asset acquisition price. Property management fees may reach up to 6% of gross monthly revenue, and dispositions carry a 2.0% gross sales fee. Ongoing cash flow relies entirely on operational execution across the three assets in Texas and Florida.
Calculated underwriting metrics
Syndicated Cap Rate
—
NOI ÷ offering price
Upfront Load
9.50%
Total fees ÷ offering price (all-equity offering)
Premium / Discount
—
Offering price vs. appraised value
Offering vs. Acquisition
119.7%
Offering price ÷ acquisition price
Price per Unit
$394
Offering price ÷ 164,300 units
The total acquisition cost including reserves is $57,965,871 against a total offering price of $64,766,336, creating a spread of $6,800,465 (9.5% load on offering price). This front-end load covers $1,630,500 in acquisition fees, $2,266,822 in dealer fees, $250,000 in carrying costs, $130,571 in title and recording costs, and up to 6.0% in selling commissions. Total upfront reserves are established at $1,854,800.
Sponsor
Sponsor
Sponsor not disclosed
SmartStop is an established national self-storage sponsor managing an owned or operated portfolio of 229 properties across 23 states, the District of Columbia, and Canada as of June 25, 2025. The firm has demonstrated experience in syndicating self-storage Delaware Statutory Trust programs.
As of June 25, 2025, SmartStop has an owned or managed portfolio of 229 operating self-storage properties in 23 states, the District of Columbia, and Canada.
Properties owned or managed
$5,000,000
Across all programs
—
Prior DST offerings
—
DST-held assets
—
Disclosed headcount
Self-Storage
Stated strategy
SmartStop and its affiliates serve as the sponsor and manager, bringing historical experience in self-storage real estate and Delaware Statutory Trust offerings. As of June 25, 2025, the sponsor operates or manages 229 self-storage facilities across 23 states, the District of Columbia, and Canada. Property management fees are set at $3,000 or 6% of monthly gross revenues, while annual asset management fees are waived.