Mortgage guide
Getting a mortgage on a storage unit
Storage facility lenders assess operator experience, occupancy, rental agreements and sustainable income. Read how those factors affect valuation and mortgage terms.
- Published
- 4 Aug 2026
- Last reviewed
- 4 Aug 2026
- Reading time
- 3 min
Getting a mortgage on a storage unit
We assist borrowers with commercial mortgages for storage unit and self-storage facilities, supporting acquisitions, refinances, and expansion of storage operations. Storage unit mortgages are a specialist area of commercial lending and are typically available at up to 75% loan-to-value (LTV), subject to operator experience, income stability, and asset quality.
This level of leverage allows investors and business owners to scale efficiently while retaining capital for operational growth and site optimisation.
Experience and Lender Appetite
Operator experience plays a material role in determining mortgage terms for storage facilities.
Experienced operators (typically 2-3+ years in self-storage or similar asset classes) generally access the most competitive rates, higher leverage, and wider lender choice.
New entrants can still obtain funding, but underwriting is usually more conservative, with tighter stress testing, higher pricing, or additional conditions.
Where experience is limited, lenders will look for other risk mitigants, such as strong financial backing, professional management, or a clearly evidenced demand profile.
Key Underwriting Considerations
When assessing storage unit mortgages, lenders focus on:
- Occupancy levels and churn
- Rental structure and pricing
- Formal lease or licence agreements for each unit
- Operating costs and net income sustainabilityLocation, access, and local competition
Ensuring that units are formally leased or licensed is critical, as lenders rely on documented rental income to assess affordability and valuation.
Valuation and Income Assessment
Storage unit facilities are typically valued on an income-led basis, with lenders assessing sustainable net income rather than headline turnover. Well-documented rental evidence, consistent occupancy, and scalable pricing structures materially improve valuation outcomes and borrowing capacity.
How We Help
As a whole-of-market commercial mortgage broker, we assist storage facility borrowers by:
- Matching experience level to the right lenders
- Structuring applications to reflect lender income requirements
- Managing valuation methodology and rental evidence
- Supporting new entrants through stronger underwriting presentation
A storage unit commercial mortgage can be a highly effective way to invest in a resilient asset class, provided lender criteria, experience expectations, and income structure are aligned correctly from the outset.
Commercial mortgage calculator
Choose owner occupier for a business buying or refinancing premises it trades from, assessed on adjusted net profit before tax from the latest accounts, or investment for property let to tenants, assessed on lease income.
Commercial mortgage criteria
For context, these are the wider product terms covered by this guide. Availability and eligibility depend on your circumstances and the lender.
| Criteria | Detail |
|---|---|
| Max Loan to Value (LTV) | 80% LTV Care Home Mortgages, 100% LTV Medical Commercial Mortgages, 75% Commercial Investment |
| Max Term | Up to 40 years |
| Completions | From 4 weeks |
| Repayment options | Capital repayment and Interest only |
| Commercial mortgage rates | From 6.19% |
| Rate options | Variable, Base Rate Tracker, 2, 3 or 5 year fixed mortgage options |
| Valuation methods | Going concern/Investment (Market value 1, MV1), MV2, MV3 or bricks and mortar |
| Flexible Leases | Rolling leases, weak covenants and short time remaining accepted |
| Adverse credit | Accepted on some products on a case by case basis |
| Locations | Available in England, Scotland, Wales and Northern Ireland |
| Experience | Not required on certain products |
For context, these are the wider product terms covered by this guide. Availability and eligibility depend on your circumstances and the lender.
| Feature | Detail |
|---|---|
| Max Loan to Value (LTV) | 65% |
| Product fee | 5% (4.74% for existing customers) |
| Fixed rate (5 years) | 6.34% |
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Frequently asked questions
What is the process for getting a commercial mortgage for a care home?
The process includes initial assessment, valuation, regulatory review, underwriting, legal due diligence, and completion. Each stage focuses on both financial performance and compliance with care sector regulations.
Can you get a 90% commercial mortgage?
Yes, 90% loan-to-value commercial mortgages are possible, but only in limited sectors such as healthcare properties, pharmacies, or certain convenience stores with strong trading history. For most other commercial properties, maximum lending is typically capped at around 70% to 75% LTV.
What documents do I need to apply for a mortgage with Mortgage Lane?
You will usually need proof of identity, proof of income, bank statements and details of the property you are buying or investing in. The exact requirements depend on the mortgage product and your circumstances.
How long does it take to obtain a mortgage offer?
It depends on the lender, and each mortgage case is different. Digital mortgages can produce an offer quickly where the lender's automated checks are satisfied, while traditional lenders usually take longer. Cases that need more underwriting can take longer.
Talk it through with an adviser
Speak to a Mortgage Lane adviser about your circumstances and the next steps.
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Contact us
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- Call our team
- +44 333 231 8206
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- +44 7487 829005
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