Storage Wins

S2E20: The Problem with This Deal That Cash Flows Day One


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In this episode of Storage Wins, Alex Pardo and Dan Wentzel break down a live deal opportunity that checks many of the boxes investors are looking for: strong current revenue, below-market rents, and favorable seller financing terms. But as the numbers start to come together, the real conversation shifts from the deal itself to something deeper—confidence.

Dan walks through a 32,000 square foot facility in Washington state that's generating roughly $275,000 in annual revenue with clear upside potential. With seller financing on the table at just 5% interest and no money required out of pocket, the opportunity presents a realistic path to immediate cash flow and long-term growth.

As Alex breaks down the numbers in real time, the deal begins to take shape: from roughly $2,000 per month in current cash flow to a projected $4,500+ per month after implementing operational improvements and raising rents. But despite the strength of the deal, hesitation still shows up—highlighting a key truth for every investor: the biggest obstacle isn't always the deal, it's the belief that you're ready for it.

This episode is a powerful blend of tactical deal analysis and mindset coaching—showing you how to evaluate opportunities through worst-case, likely-case, and best-case scenarios, while also challenging the fear that can hold you back from moving forward.

You'll Learn How To:

  • Evaluate deals using worst-case, likely-case, and best-case scenarios
  • Break down cash flow, NOI, and debt service in simple terms
  • Identify strong opportunities based on current performance—not just projections
  • Leverage seller financing to acquire deals with little to no money down
  • Decide when to bring in an equity partner versus taking down a deal yourself
  • Move quickly on opportunities without overanalyzing

What You'll Learn in This Episode:

[0:00] Recap of the journey and the importance of documenting the process

[2:14] Celebrating wins and rebuilding momentum after a reset

[5:15] The opportunity: 32,000 sq ft facility in Washington state

[6:33] Why seller financing at 5% changes the entire deal

[8:59] Understanding occupancy and what it reveals about pricing

[11:03] Breaking down revenue and estimating NOI

[14:07] How to calculate cash flow after debt service

[17:09] Why this deal works with no money out of pocket

[21:23] Projecting future upside through rent increases and tenant protection

[23:59] Moving from $2K/month to $4.5K/month in cash flow

[26:04] The real hesitation: confidence vs capability

[30:14] Why fear shows up when the opportunity is real

[33:40] Equity partner vs doing the deal yourself

[36:10] Negotiating terms: price, duration, and flexibility

[40:20] Due diligence, earnest money, and structuring offers

[45:26] Why imperfect action beats waiting for certainty

[48:00] The next step: take action and control the deal

Who This Episode Is For:

  • Investors evaluating their first real deal opportunity
  • Listeners who understand the numbers but hesitate to act
  • Anyone unsure how to structure creative financing deals
  • Entrepreneurs dealing with fear when the stakes get real
  • People ready to move from learning into action

Why You Should Listen:

  • The deal doesn't change—but your belief in yourself does.
  • This episode shows how even a strong opportunity can feel uncertain when you're stepping into something new. By breaking down the numbers and the mindset side by side, you'll see exactly how to evaluate deals objectively—and how to push past the hesitation that comes with growth.
  • If you've been waiting for the "right" deal or the "right" moment, this conversation will challenge you to trust your preparation, take action, and step into the opportunity in front of you.

Follow Alex Pardo here:

  • Alex Pardo Website: https://alexpardo.com/
  • Alex Pardo Facebook: https://www.facebook.com/alexpardo15
  • Alex Pardo Instagram: https://www.instagram.com/alexpardo25
  • Alex Pardo YouTube: https://www.youtube.com/@AlexPardo
  • Storage Wins Website: https://storagewins.com/

Have conversations with at least three storage owners, brokers, private lenders, or equity partners inside the Storage Wins Facebook Group. Join for free here:

https://www.facebook.com/groups/322064908446514/

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Storage WinsBy Alex Pardo

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