Maintenance A Competitive Edge
November 1, 1997
Maintenance A Competitive Edge
By Tom Berlin
Self-storagehas become significantly more competitive over the past few years. New facilityconstruction is exceptionally strong in most markets across the country and shows no signof stopping. The four self-storage REITS are continuing their market-share consolidationin the major metropolitan markets by purchasing many of the choicest properties. As anindependent self-storage operator, you need to ask yourself how you can compete.
An often overlooked component of the "storage decision" is the appearance andmaintenance of our facilities. With so many options, self-storage customers are moreselective about which facility they choose for their storage needs. Small differencesbetween competitors can decisively influence a potential customer's storage decision.
Maintenance is one factor playing a greater and greater role in the success or failureof a facility. It doesn't matter how old a facility is or what amenities are offered, ifmaintenance has been neglected, potential customers will go elsewhere and profits willdecline.
Cleanliness
The firstimpression a potential customer gets when they pull into your facility can determinewhether they will rent space or move on to a competitor. A new facility that looks dirtywill give potential customers a worse impression than an older location that isimmaculately clean.
Storage buildings and lot. The area around the storage buildings must be keptfree of all kinds of litter. This includes manmade litter, such as bottles, cans, paper,etc., and natural litter, such as leaves and twigs. Cigarette butts are often overlooked,but their presence around the office and storage buildings makes a store look unkempt,regardless of how clean it is otherwise.
Nothing should be stored anywhere outside, regardless of whether it is equipment usedin maintaining a lot, trash bins, pallets for tenants or similar items. They should alwaysbe kept inside a unit.
The manager should patrol the lot at least once a day for a variety of reasons, one ofwhich is clean-up. During the inspection, the manager should pick up any debris. Dailycleaning is easy and fast, and ensures an immaculate appearance at all times. Our managershave golf carts with 50-gallon, plastic trash cans on the back to help make clean-up alittle easier.
Not only do our managers keep our facilities clean, but they pay attention to the areasurrounding our sites as well. It is both neighborly and good business to help take careof trash on the other side of the fence. Rarely do people comment on how poor a job yourneighbor is doing when trash sits on his side of the fence vs. your side.
Dumpster area. Dumpsters should be enclosed within some kind of privacy fencingto keep them out of sight. How often they are emptied will depend on the facility, but itshould be often enough so that the lids can be kept closed at all times.
Whether you allow tenants to use the dumpsters is an individual decision. We do at somelocations, but at others, tenant use is prohibited without approval from a manager.Experience should be your guide on this matter. If your manager is spending a great dealof time cleaning up trash left by tenants, you may want to leave your dumpster unlockedand encourage tenants to use it, or consider charging the tenant for its use.
Rentaloffice. The rental office must be spotlessly clean. The floor should be vacuumed,swept or mopped at least daily. During the winter, this may need to be done several timesa day. We have found it is cost effective to use a commercial mat service for officewalk-off mats. The service will pick up dirty mats and replace them with clean ones on aregular schedule. Sundry-item displays should be dusted weekly and always kept fullystocked. Counters should be kept free of clutter and cleaned frequently. Pay carefulattention to the area behind the counter--it should always be neat and clean. Nothing isless professional than a messy desk or a manager searching around piles of paper to findsomething.
One area that is easily overlooked by managers is the public restroom. It must besparkling clean whenever it is used by a customer, and supplied with handsoap andappropriate paper goods.
Lawn Care and Weed Kill
Weed kill should be used regularly anywhere weeds may appear, but especially in thecracks between the building pads and the pavement. Weeds in these areas seem to growfaster than anywhere else and can look extremely unsightly. We have had asphalt crack fillinstalled in these areas with a great deal of success. All shrub and flower beds should befree of weeds and mulched regularly. Lawns should be cut weekly. We also have aprofessional landscape company apply fertilizer and weed killer to the lawn periodicallyduring the summer months. Each of our locations has an irrigation system thatautomatically waters all lawns and flower beds.
Building Maintenance
Masonry and metal. Storage buildings need regular maintenance, regardless oftheir construction type. The exteriors of all buildings should be regularly inspected fordamage caused by people or nature. Cracks in masonry buildings should be filled to preventwater leakage into the units. Rust on metal buildings should be removed and the arearepainted in order to prevent further deterioration.
Tenant-caused damage. Damage to buildings should be repaired as soon as it isdiscovered. It could cause a potential tenant to question how secure his belongings willbe at your facility. Most damage to storage buildings occurs on the corners when acustomer misjudges the turning radius of his vehicle. An effective way to minimizebuilding damage in these areas is to install bollards (metal pipes filled with cement) ateach corner, approximately one foot from the building.
Roofs.Customers expect that their stored possessions will be kept dry; therefore, regular roofinspections are essential. Managers should always check the ceilings of units that havebeen vacated to determine if there is any evidence of water leakage. We believe roofs tobe so important that we have a consultant inspect the roofs at our facilities every twoyears and provide us with a report of their condition. Necessary repairs are madeimmediately. One of the few certainties in life is that small problems will become bigproblems if they are not addressed quickly.
Gutters. One frequent source of water leaks and flooding is clogged gutters. Thesite manager should check the gutters frequently to make sure they are free of leaves andother debris. Our managers "formally" clean the gutters every spring and in thefall after most of the leaves are off the trees. Also, make sure down spouts do a good jobof draining water away from the buildings; if not, consider extenders.
Doors. A door that is difficult to open will anger even the most easygoingtenant. Door springs need to be lubricated regularly to keep them operating smoothly. Ifthe doors at your facility have a tension regulator, as many new models do, they should beadjusted as needed. While the procedure is very simple, managers need to be trained in theadjustment method.
Pull cords on units doors are essential for tenants to be able to get the door closed.Missing or worn pull cords should be replaced. Door latches should be lubricatedfrequently and should always be easy for customers to operate. Replacing latches is easyto do and goes a long way in maintaining positive customer relations.
Painting. Storage buildings, unit doors, bollards, keypad holders and the officeshould be repainted if they look "tired." Be sure to check with the manufacturerof metal buildings and doors for their recommendations on what kind of surface preparationand paint should be used. Not doing so could result in a paint job that will peel.
Vacated Spaces and Open Units
Storage units should be cleaned as soon as a tenant vacates and kept clean until theyare re-rented. Our managers use a vacated-unit checklist to make sure that all rubbish hasbeen removed, the unit is broom clean, the door springs have been oiled, pull cords havebeen replaced as needed, door latches are working easily, there is no evidence of leaks orbugs, and needed repairs are identified and made.
Open units are an invitation for trouble. Tenants may mistakenly move into the wrongunit or discover that they need more space once they start moving in and commandeer anempty unit. Occasionally, a tenant who is moving out of one unit will use a vacant unit asa receptacle for their trash. We have even had a case of someone living in a secluded,vacant unit at one of our sites. The easy solution is to lock all vacant units withinexpensive yellow padlocks that are all keyed alike. This also helps tenants feel saferbecause there are fewer places for people who do not belong on site to hide.
Signage
At our facilities, anywhere from 25 percent to 60 percent of our new tenants learnabout us by driving by the location. Therefore, the main sign in front greatly contributesto a facility's success. Whenever the sign face starts to age or the lettering andgraphics start to fade, we have them replaced. Don't forget that bulbs in signs also needto be replaced regularly. Over time, lamps will weaken and lose some of theirillumination, and nothing makes a facility look shoddier than a sign with a burnt-outlamp. Unit numbers, building identification, directional signs, rules and other signageshould also be fresh-looking and easily visible.
Paving
Paving should always be stripped as necessary and in good condition and repair. Weinspect all paving every spring, and have repairs made and cracks filled before the startof the busy season. Regular maintenance of paving will help to prolong its useful life anddelay the need for full replacement.
Seal coating is a good way to spruce up a facility's appearance. In addition, theasphalt industry maintains that seal coating replaces oil that evaporates from the pavingand makes it last longer. We also have our lots swept regularly by a commercial sweepingservice and whenever strong summer storms have dumped leaves and other debris on site.
Lighting
Good interior and exterior lighting is critical. It is one of the best ways to detercrime and help potential tenants choose your store over another. Not only must there beenough fixtures to adequately illuminate all corridors, driveways and areas betweenbuildings, but they must also be in working order. Bulbs and photo cells must be replacedregularly. Our policy is that a burnt-out light bulb must be replaced in 24 hours.
Gates and Fences
The computerized entry-gate system and the perimeter fencing are key components of yoursecurity system and how potential tenants view your facility. The key pads of thecomputerized entry gate need to be clean, with instructions for use. The perimeter fencemust be free of holes and, if damaged by vehicles, repaired. The gate-operator mechanismshould be regularly maintained according to the manufacturer's maintenancerecommendations.
Create a Reserve
Identifying items that need maintenance and having the money to pay for them are twodifferent things. A maintenance budget should be established at the start of each fiscalyear for routine items such as lawn care. In addition, a reserve should be created andcontributions made regularly so that funds are available when high-cost capitalimprovements, such as roof and paving replacement, need to be made.
Maintenance is one of the most important aspects of a self-storage operator's job. Itis neverending, but the appearance of the self-storage facility can make the differencebetween a potential tenant choosing you vs. your competitor and, ultimately, success vs.failure.
Tom Berlin is vice president of operations for Pogoda Management Co., one of thelargest owners and operators of self-storage facilities in the Midwest. For moreinformation, call (248) 855-9676.
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