From Dentistry to Self Storage Development and Beyond - Wayde Elliott

Retire on Rentals Podcast: From Dentistry to Self-Storage Development and Beyond with Wayde ElliottEpisode Overview:In this inspiring episode of Retire on Rentals, host Nicholas Cook sits down with Wayde Elliott, the visionary behind STORE IT, to discuss his remarkable transition from a 20-year career in dentistry to becoming a self-storage developer. Wayde shares his journey, from a forced career pivot due to injury to building a thriving storage business, offering insights into development, operations, and the mindset needed to succeed in real estate. Packed with practical advice and lessons learned, this episode is perfect for aspiring investors looking to break into self-storage or optimize their real estate ventures.Guest:Wayde Elliott, Founder and Visionary, STORE ITFormer dentist turned self-storage developer with over 15 years in the industryFocuses on ground-up development and conversion projects to add value for investorsKey Topics Discussed:From Dentistry to Self-Storage (Timestamp: 2:30)Practiced dentistry for 20 years until a spinal injury forced a career changeInspired by a patient’s lifestyle of freedom through self-storage ownershipTransitioned after learning from the patient, valuing time over trading hours for moneyFirst Storage Deal: Diving into Development (Timestamp: 6:00)Built first facility in St. Helens, Oregon, facing challenges like wetlands, highway access, and environmental issuesBenefited from bank financing based on appraised value, a luxury not available todayLearned through trial and error, emphasizing the importance of not knowing what you don’t knowHitting a Home Run with the Second Deal (Timestamp: 10:15)Sold first facility to fund a conversion project in Forest Grove, repurposing an old lumber yardEasier project with existing infrastructure led to greater profits than 20 years of dentistrySparked accelerated growth and team-building for STORE ITSTORE IT’s Business Model (Timestamp: 13:00)Focuses on adding value through ground-up development or converting warehouses/lumber yardsAvoids buying existing facilities due to limited value-add potentialTargets larger sites (e.g., 5 acres) for economies of scale, supporting on-site managers and property managementDue Diligence and Market Selection (Timestamp: 16:30)Evolved from gut-based decisions to sophisticated feasibility studies, pro formas, and geotech analysesEnsures profitability and investor confidence with a systematic playbookOperates in Oregon, Washington, and California, open to new markets meeting strict criteriaLessons from Dentistry Applied to Storage (Timestamp: 20:45)Carried over core values like exceptional customer service and a fun, light cultureEmphasizes trust, team input, and accountability, fostering a collaborative environmentTreats work as play, blending passion with business to maintain engagementChallenges in Self-Storage Development (Timestamp: 24:00)Site selection: Only 1 in 30 sites meets value-add criteriaNavigating bureaucratic hurdles with cities, counties, and agencies (e.g., annexation disputes)Access to capital reframed as a “resourcefulness problem,” not a resource issueOperational Insights: Maintenance and Tenant Issues (Timestamp: 32:00)Low maintenance needs: Concrete, steel, and garage doors minimize costs compared to multifamilyMonitors facilities with 50–75 cameras per site to prevent misuse (e.g., unauthorized living)Abandoned units rarely yield treasures; legal processes handled by management companies to avoid selling possessionsTechnology and AI in Self-Storage (Timestamp: 38:00)Early adoption of AI for site research and 24/7 camera monitoring with remote speakers for securityOpen to tech advancements but cautious, learning from industry conventions before investingCore value of seeking opportunities drives exploration of efficient solutionsAdvice for Aspiring Storage Investors (Timestamp: 42:30)Recommends buying small, cash-flowing facilities (e.g., 100 units) or joining syndications to learnEncourages attending self-storage conventions to network and gain insightsHighlights the collaborative nature of the industry, with operators open to sharing knowledgeMarket Expansion and Focus (Timestamp: 46:00)Stays hyper-focused on storage, including boat/RV storage, avoiding other asset classes after losses in ventures like cannabisCompetes in smaller markets with less REIT presence, leveraging local knowledge and sophisticationDifferentiates through customer service and core values, avoiding practices like bait-and-switch pricingRegulatory Comparison: Storage vs. Multifamily (Timestamp: 50:00)Benefits from simpler regulations in storage; non-payment results in gate lockout vs. complex evictionsDiscusses Portland’s inclusionary zoning, reducing multifamily permits by two-thirds due to unfeasible economicsNotes how regulations harm housing supply, benefiting existing owners but not the broader marketMemorable Quotes:“I was forced into it… What I believed to be a curse ...