Nectar has a unique platform that combines clear eligibility and qualification of assets to qualify for funding, but with a speed and precision to close on funding that enables investors the ability to grow and scale with an edge on competitors. -Sebastian L., self-storage investor*
About the Borrower
Sebastian L. is a highly successful owner and operator of storage units in Indiana. At the time of his application for Nectar funding, Sebastian had $50M in AUM and owned 14 properties, with four more properties under development.
Sebastian plans to expand to 500 locations in just five years, and he applied for Nectar financing to help him achieve that goal more efficiently.
Accessing Fast Capital to Continue a Construction Project
The self-storage industry experienced a pandemic-era boom that led to record high rental rates and 92% occupancy. In this environment, along with record low cap rates in 2022, savvy self-storage operators like Sebastian were able to generate strong cash flow, high operating margins, and strong valuations.
But even the most successful investors will often reach a point where an infusion of capital can help accelerate their growth.
In Sebastian’s case, there was a need for quick cash to fund a construction project at one of his storage facilities. Sebastian was waiting on his usual lender to fund a construction line of credit, but a Nectar Affiliate broker mentioned to him that Nectar was now funding self-storage operators and could provide the fast, flexible financing he needed.
When the lending process wasn’t moving fast enough for his liking, Sebastian decided to turn to Nectar.
A Simple Process for a Quick Cash Infusion
No matter how qualified you are or how immediate your cash flow needs may be, institutional lenders tend to move slowly.
Their qualification processes are also complex and difficult to understand. You can get denied for funding without anyone clearly explaining why you weren’t the right fit.
At Nectar, on the other hand, our processes are incredibly clear and straightforward. We base our underwriting on the net cash flow of your entire portfolio, becoming less restrictive as you grow, instead of more restrictive.
“The clear qualification [process] and speed to execute and close were the primary motivations for using Nectar,” Sebastian explained.
With Nectar, first-time applicants can receive funding in as little as 7 days. And for returning borrowers, funding can arrive in as little as 24 hours.
Rapid Expansion with a Rinse and Repeat Financing Solution
With funding from Nectar, Sebastian was able to continue his construction project and get one step closer to achieving his growth goals.
He plans to continue partnering with Nectar in the future for additional financing needs.
“[Nectar’s] speed and precision to close on funding… enables investors the ability to grow and scale with an edge on competitors,” Sebastian explained.
*Name changed for borrower privacy