• Due Diligence Protects Buyers
    Due diligence is the process of discovery and confirmation of the financial and physical attributes of an investment property. In all too many cases, this important process is rushed or, worse yet, skipped entirely in the excitement of buying a selfstorage facility. But ...More
    February 1, 2005 John H. Gilliland Posted in Articles, Development
  • Cap Rates & Property Valuations
    What’s a self-storage facility worth? In terms of establishing a quick, initial value, most buyers and sellers agree the use of a direct capitalization method, or cap rate, is effective when used to compare similar properties in comparable markets. A cap rate is a basic ...More
    February 1, 2005 Rob Schick Posted in Articles, Finance
  • The State of Self-Storage Real Estate
    In this industry, we tend to forget we are actually part of two businesses: self-storage and real estate. When self-storage was relatively new, supplies were limited and customers were just learning to use it. Demand was seemingly infinite, and almost no projects failed. ...More
    February 1, 2005 Michael L. McCune Posted in Articles
  • MANAGERS' WORLD
    I recently signed a management contract on a facility in central California that was a Small Business Administration (SBA) foreclosure. The site had obviously been mismanaged or the SBA would not have taken it back. There was no on-site manager, just a person brought in by ...More
    February 1, 2005 Pamela Alton Posted in Articles, Development
  • Buy vs. Build
    Many investors struggle with the decision to develop a self-storage property from scratch or acquire an existing site. Their answer is likely to be a matter of economics, but additional considerations should be included in the analysis. This trite but true real estate ...More
    February 1, 2005 RK Kliebenstein Posted in Articles, Development
  • Records Storage for Everyone?
    Most business owners would like to try new money-making opportunities with little or no risk. It’s easy to say, but can be difficult to do. If you already have a self-storage or moving and storage operation, you have little or no business risk when you provide commercial ...More
    February 1, 2005 Cary F. McGovern Posted in Articles
  • Sell Your Worst Feature First
    An effective rule of selling is: Sell your worst feature first. If there is something about your facility you feel could negatively affect a rental, bring it the forefront early in the sales process. And don’t just reveal it to the customer—sell it to him. A mere mention ...More
    February 1, 2005 Tron Jordheim Posted in Articles
  • Nuts and Bolts of Marketing, Part II
    We've come quite a way since our first article in January. It's now pay-off time! Set the rates. Then, multiply by the number of units and feel good about being in business. We've all done it, but there's more. Our discussion will show that pricing is more than what it ...More
    February 1, 2005 Harley Rolfe Posted in Articles
  • Value PLACE
    Storm Nolan’s story probably sounds much like your own. His company, Whitt Properties of Fort Smith, Ark., owns self-storage facilities. He likes the business. He’s pleased with the profit margins. He’s not so pleased, however, when it comes to finding markets for new ...More
    February 1, 2005 Posted in Articles
  • Next Gen
    We have all heard people refer to self-storage facilities as being first, second, third or even fourth generation. I’d like to talk about what might be the next generation of self-storage: small facilities with no on-site management. We normally see these types of sites in ...More
    February 1, 2005 Charles Ray Wilson Posted in Articles, Development