In this engaging discussion, Brian Cohen, CEO of Andover Properties, shares his journey in scaling a self-storage empire while focusing on alternative investments. He highlights why self-storage thrived during the Global Financial Crisis and discusses the challenges of lease-up timelines post-COVID. Brian reveals compelling insights about avoiding third-party management and the allure of buying properties below replacement costs. With wild anecdotes from the self-storage world and a deep dive into AI strategies, he offers a fresh perspective on emerging opportunities in real estate.
57:45
forum Ask episode
web_stories AI Snips
view_agenda Chapters
auto_awesome Transcript
info_circle Episode notes
insights INSIGHT
Self-Storage Recession Resistance
Self-storage is recession-resistant, showing only a 7% NOI decline during the GFC.
People store belongings to save costs during business closures, making storage more stable than other real estate.
insights INSIGHT
Lease-Ups Slowed Post-COVID
Lease-up times for self-storage have doubled post-COVID from 18 months to up to five years.
Developers face distress due to slower lease-ups and doubled interest rates, creating buying opportunities.
volunteer_activism ADVICE
Build a Lending Platform
Start a lending platform to fill private credit gaps, especially for long lease-up assets like self-storage.
Partner with institutional credit providers to access specialized funds for granular loans.
Get the Snipd Podcast app to discover more snips from this episode
Season 3, Episode 5: Brian Cohen, CEO of Andover Properties, joins the show for a candid deep dive into how he scaled a self-storage empire and why the best buying opportunities today are in the asset classes no one wanted a decade ago.
From distressed storage deals and long lease-ups to launching a credit platform with Angelo Gordon, Brian breaks down what makes Andover different and why data, automation, and institutional discipline give them a lasting edge.
We discuss:
– Why self-storage outperformed during the GFC
– How lease-up timelines have doubled post-COVID
– What most operators miss about private credit
– Wild stories from inside storage units
Brian also shares why he avoids third-party management, what makes below-replacement-cost deals so compelling, and how Andover uses AI to make smarter decisions across all verticals.
TOPICS
00:00 – Intro and Sleep Tech Rant
02:00 – From Tishman Speyer to Self-Storage
06:00 – Lack of Sophistication in Early Storage Industry
10:00 – Lease-Up Timelines and Developer Distress
14:30 – Loan Acquisitions and Launching a Lending Platform
19:00 – Why They Avoid Third-Party Management
22:30 – Drug Busts, Guns, and Other Storage Finds
26:00 – The Car Wash Thesis and Token Economics
30:00 – AI Tools and Andover’s Data Strategy
34:00 – Buying 50% Below Replacement Cost
38:00 – Cycle Outlook and What’s Next for Andover
Shoutout to our sponsor, InvestNext. One platform to raise and manage capital for real estate investment.
For more episodes of No Cap by CRE Daily visit https://www.credaily.com/podcast/
Watch this episode on YouTube: https://www.youtube.com/@NoCapCREDaily
About No Cap Podcast
Commercial real estate is a $20 trillion industry and a force that shapes America’s economic fabric and culture. No Cap by CRE Daily is the commercial real estate podcast that gives you an unfiltered ”No Cap” look into the industry’s biggest trends and the money game behind them. Each week co-hosts Jack Stone and Alex Gornik break down the latest headlines with some of the most influential and entertaining figures in commercial real estate.
About CRE Daily
CRE Daily is a digital media company covering the business of commercial real estate. Our mission is to empower professionals with the knowledge they need to make smarter decisions and do more business. We do this through our flagship newsletter (CRE Daily) which is read by 65,000+ investors, developers, brokers, and business leaders across the country. Our smart brevity format combined with need-to-know trends has made us one of the fastest growing media brands in commercial real estate.
No Cap by CRE Daily