There’s an interesting article in The Wall Street Journal this week about the rising demand for wine storage. This could be an opportunity for self-storage facilities who made the investment in wine storage areas. Here’s an excerpt from the article:
America is a nation of wine lovers—U.S. sales topped $30 billion in 2007, according to the Wine Institute—but we’re also a nation of wine hoarders, as evidenced by the number of wine-storage facilities.
Enterprising companies offer lovers of the grape a place to stash those precious wines in secure, temperature-controlled settings worthy of a four-figure bottle of Bordeaux. There’s a reason for all the fuss: Wines not stored at the proper temperature (typically 55 to 58 degrees) or in the proper environment (somewhere dark) can easily go bad. Many storage facilities take service a step further, from helping collectors catalog their bottles to accepting shipments directly from out-of-town wineries or wine sellers. To see if such storage businesses live up to the hype, we visited four facilities of various sizes, styles and prices.
International Wine Storage in Miami offered some of the lowest rates—starting at just $22 per month to rent a shelf that can hold up to 12 cases (or 144 bottles). If you’re looking for storage with a certain upscale pedigree, you might be in the wrong place. The facility is part of a much bigger, all-purpose self-storage firm, replete with a loading area where used books and office furniture were on sale.
Read the rest of the article in The Wall Street Journal.
March 5th, 2010
My friends at eHow are getting into the self-storage selection business. Check it out:
Americans move more frequently these days than in generations past, relocating for job opportunities and other reasons. Whether you own your home or rent, you may well need somewhere to temporarily store your less mobile belongings. Unless you have access to a permanent storage space, such as a large family attic or basement, you probably need a good self-storage facility. Once you’ve located some self-storage businesses, there are a few things to consider to pick the right one for you.
Here’s their take on choosing a self-storage facility. Do you agree?
March 3rd, 2010
n March 10, 2010, Mike Parham, Founder and President of Noah’s Ark Development, a Parham Group company, will present a free webinar to help self-storage professionals understand the complexities of the self-storage pro forma, a critical document in the financing process. The Parham Group will sponsor the presentation entitled “Understanding a Self-Storage Pro Forma,” which will address the following topics:
- Overall pro forma analysis
- Anticipated development variables
- Normal operating expenses
- How to determine development costs
- Future fair market value determination
The Parham Group includes Noah’s Ark Development, Maverick Investments, NDS Construction, Cross Metal Buildings, and Joshua Management. Poppy Behrens, Publisher, MiniCo Publishing, will moderate the presentation as part of the ongoing Mini‑Storage Messenger Self-Storage Webinar Series. For more information or to register, visit www.ministoragemessenger.com. Online registration is required for this free live event.
March 3rd, 2010
In an all-cash transaction, Strategic Storage Trust, Inc. (SSTI) — a publicly registered non-traded REIT targeting the self storage market — recently acquired two facilities located in Fort Lee, N.J. and Weston, Fla. for a combined purchase price of approximately $23 million.
“These facilities represent newer Class A properties in prime markets,” said H. Michael Schwartz, SSTI’s chairman and CEO. “Both properties offer the latest generation of secured climate-controlled self storage featuring convenient access to major roads and interstates.”
Built in 2000, the Fort Lee facility is situated on a 1.2 acre site located at 550 Main Street in Fort Lee, Bergen County, NJ. The Class A property is 88.2% occupied, offering 965 climate-controlled units. The three-story building offers a three door, drive-in, covered loading/unloading area. Additionally, the property contains a cellular tower, leased to multiple tenants located on the roof.
The Fort Lee facility is located approximately two miles north of Manhattan in close proximity to the George Washington Bridge. The self storage property, which is based in Bergen County, is accessible via the New Jersey Turnpike (I-95) and the Garden State Parkway. The turnpike provides access to upstate New York and New England to the north and Philadelphia and Washington D.C. to the south.
The Weston facility was built in 2005 and is situated on a 1.97 acre site located at 16400 State Road 84 in Weston, Broward County, FL. The four-story building is currently 86.1% occupied and offers 651 climate controlled units. The city of Weston is located in western Broward County. Primary access to the facility is provided by Interstate 75 and Interstate 595. The Sawgrass Parkway, located just to the north of the facility, connects the area to the Florida Turnpike and Interstate 95. The Weston area is currently in a stage of growth and development, as evidenced by new construction occurring in the overall market.
“Due to the recent development of the Weston community, the city has become a desirable environment for dining, nightlife and shopping among the community’s many shopping plazas. “The Ft. Lauderdale/Miami market is one where we see opportunity,” said Wayne Johnson, senior vice president of acquisitions for SSTI. “We are pleased with the high quality of storage we can provide to the Ft. Lauderdale/Weston market and surrounding region with this acquisition.”
Since the launch of the REIT a year and a half ago, the REIT’s portfolio of properties has expanded to include 28 properties in 14 states (Georgia, Mississippi, Florida, Virginia, New Jersey, Kentucky, Alabama, Arizona, California, Nevada, Texas, South Carolina, Tennessee and Pennsylvania). The seller of both properties, Chicago Five Properties, LLC, was represented by CB Richard Ellis.
February 26th, 2010
In an all-cash transaction, Strategic Storage Trust, Inc. (SSTI) — a publicly registered non-traded REIT targeting the self storage market — recently acquired two facilities located in Fort Lee, N.J. and Weston, Fla. for a combined purchase price of approximately $23 million.
“These facilities represent newer Class A properties in prime markets,” said H. Michael Schwartz, SSTI’s chairman and CEO. “Both properties offer the latest generation of secured climate-controlled self storage featuring convenient access to major roads and interstates.”
Built in 2000, the Fort Lee facility is situated on a 1.2 acre site located at 550 Main Street in Fort Lee, Bergen County, NJ. The Class A property is 88.2% occupied, offering 965 climate-controlled units. The three-story building offers a three door, drive-in, covered loading/unloading area. Additionally, the property contains a cellular tower, leased to multiple tenants located on the roof.
The Fort Lee facility is located approximately two miles north of Manhattan in close proximity to the George Washington Bridge. The self storage property, which is based in Bergen County, is accessible via the New Jersey Turnpike (I-95) and the Garden State Parkway. The turnpike provides access to upstate New York and New England to the north and Philadelphia and Washington D.C. to the south.
The Weston facility was built in 2005 and is situated on a 1.97 acre site located at 16400 State Road 84 in Weston, Broward County, FL. The four-story building is currently 86.1% occupied and offers 651 climate controlled units. The city of Weston is located in western Broward County. Primary access to the facility is provided by Interstate 75 and Interstate 595. The Sawgrass Parkway, located just to the north of the facility, connects the area to the Florida Turnpike and Interstate 95. The Weston area is currently in a stage of growth and development, as evidenced by new construction occurring in the overall market.
“Due to the recent development of the Weston community, the city has become a desirable environment for dining, nightlife and shopping among the community’s many shopping plazas. “The Ft. Lauderdale/Miami market is one where we see opportunity,” said Wayne Johnson, senior vice president of acquisitions for SSTI. “We are pleased with the high quality of storage we can provide to the Ft. Lauderdale/Weston market and surrounding region with this acquisition.”
Since the launch of the REIT a year and a half ago, the REIT’s portfolio of properties has expanded to include 28 properties in 14 states (Georgia, Mississippi, Florida, Virginia, New Jersey, Kentucky, Alabama, Arizona, California, Nevada, Texas, South Carolina, Tennessee and Pennsylvania). The seller of both properties, Chicago Five Properties, LLC, was represented by CB Richard Ellis.
February 26th, 2010
Strategic Storage Trust, Inc. (SSTI), a publicly registered ($1 billion of common stock registered) non-traded REIT targeting the self storage industry, has completed the transition to a new transfer agent.
DST Systems, Inc. will handle the processing of new accounts, ongoing recordkeeping, transfers, tax reporting, account statement and distribution processing and other reporting for all of its real estate investment programs. Based in Kansas City, Mo., DST Systems is an information processing and computer software company servicing the financial services industry.
“When we began our transfer agent search, DST clearly stood out at as the industry leader,” said H. Michael Schwartz, SSTI’s chairman and CEO. “The company’s advancements in technology and stringent attention to security issues were also key components to our decision. Representatives can now access SSTI client information through DST Vision(R), a web-based system that provides intermediaries with real time access to client information on a consolidated program across product platforms, including other non-traded REITs and mutual funds.”
“SSTI has experienced significant growth since the business launched two years ago, and its recordkeeping needs have evolved. We’re proud to be able to offer a full suite of solutions — including access to DST Vision to support SSTI’s distribution needs and AWD, our business process management offering, to streamline its business processes,” said Tom Schmidt, vice president, DST Systems. “We look forward to helping SSTI achieve further business expansion.”
SSTI is continuing its focus as one of the leading purchasers of self storage properties across the United States in conjunction with a nationwide branding initiative which began in the fourth quarter of 2010. The non-traded REIT’s current portfolio has expanded to include 26 properties in 14 states.
February 23rd, 2010
Three self storage industry veterans just formed the Storage Business Owners Alliance LLC (SBOA), an organization that aims to help small- to medium-sized self storage owners and operators drive greater profitability.
By leveraging the combined “strength in numbers” of its membership, SBOA members can take advantage of substantial savings on everyday expense items such as office supplies, credit card processing fees, and payroll processing, as well as expense items more specific to the self storage industry such as retail supplies for resale.
SBOA’s Founding Members include more than 200 member-facilities such as Sentry Self Storage, Planet Self Storage and the facilities managed by Investment Real Estate Management LLC. “As a 50-store operation, we are thrilled with the cost savings the SBOA offers us to improve our bottom line,” said Rick Yonis of Sentry Self Storage. “Especially in today’s economy, we are pleased to be able to pass along some of savings to customers as well.”
SBOA has established vendor relationships with prominent industry brands such as Site Link (software), StorageClicks (search engine optimization), Janus International (unit partitions and doors), and Michaels Wilder (Yellow Pages advertising). Members also benefit from steep discounts from such nationally known merchants as Staples, ADP (payroll processing), Sprint and Federal Express.
Other notable discounts include the ability to save more than 25% on typical credit card processing fees (North American Bankcard), and a 42% discount on print subscriptions and a 10% discount on digital subscriptions on MiniCo’s Mini Storage Messenger magazine.
Although SBOA’s major focus is expense savings, there are significant revenue-generating benefits as well, including a cooperative program with the U-Store-It Network (Internet lead conversion) and a revenue-generating pay-with-rent insurance program with Minico, Inc. that pays the member an above average administrative fee each month on every tenant insurance transaction.
Future offerings will include a property/liability insurance program with steep savings on annual premiums for participating SBOA members.
The SBOA was founded by Morgan Hanlon, Ian Burnstein and David M. Levenfeld, owners and operators of multiple self storage facilities, who realized an industry need for small- to medium-sized owners to band together to better compete with the larger storage companies.
“The automated features of the SBOA website make signing up and implementing immediate savings as easy as possible,” said Hanlon. “The SBOA allows the owner of just one or a few facilities to enjoy the buying power of a major national company. We believe our members will find the discount opportunities to be extremely compelling.”
Enrollment is open to any self storage facility owner or operator. For more information or to join, please visit www.theSBOA.com or call 508-425-7111.
February 16th, 2010
Self Storage Finders, an online self storage directory, just rolled out its website redesign. This should serve as an example to the self-storage industry — the web is a vital part of your business and will become moreso in the months and years ahead.
The new design is a key factor in order to establish brand awareness, provide clarity of communication and foster business to business marketing and lead generation.The website incorporates sleeker design architecture with clean, aesthetic lines optimizing the overall consumer experience. The simple and clean site design is part of the company’s mission to continuously meet the needs of its Members and potential renters by providing improved navigation, better organization of content, interactive communication functions, user friendliness and current website technology.
The website redesign is one of several tactics Self Storage Finders has incorporated into their integrated marketing campaign. “We are happy to unveil our new website redesign. Being able to stay current on technology advances is a priority for us. As an innovator in the online storage industry, we must give the customer and client a positive user experience. We are confident the new redesign will achieve this objective,” said Brian Barwig, Marketing Director of Self Storage Finders.
“I am very pleased with the new site,” says Barwig. “It is not only aesthetically pleasing but it also has enhanced load speeds and design flexibility.” He adds the site will continue to grow as Self Storage Finders does saying, “We are constantly evolving and adapting while encouraging our Members to be vocal about what they like and do not like about the website.”
Enhancements have also been made to the sites general website directory and blog organization.
We continue to strive for excellence and have designed the site to be a primary source of storage information on the internet – a one-stop resource for potential renters.
All of the updates allow users to more easily find the information they are searching for, in the most logical places, and to support them in their research, evaluation and selection of a storage unit. The redesign will continue to contribute to the value Self Storage Finders customers and Members receive through the company. The redesign is another step in efforts to continually enhance user and Member experiences, as well as to deliver additional functions and features.
The website was redesigned by Fox Web Creations, a Kansas City based company servicing various businesses in several industries.
February 16th, 2010
StorageSeeker.com, a self storage search directory, just rolled out a new Pay-Per-Result pricing plan is available to self storage companies and managers that sign up for its service. Instead of a recurring monthly subscription fee that most storage directories charge, Storage Seeker now gives its customers the option to only pay when they receive a storage unit Quote Request from a prospective self storage tenant.
This is a smart move in an age where pay-per-performance advertising is making an impact. With this model, there’s no reason why every self-storage facility shouldn’t sign up for the service. Hopefully, StorageSeeker.com will report back to us with the results of this new campaign.
February 5th, 2010
Hundreds of millions of users are now actively logging on to social networking sites such as Facebook, Twitter and LinkedIn, to access both personal and business information. Self-storage facilities have joined the growing list of businesses that are putting social media to work.
On January 20, 2010, Rebecca Morse, Circulation and Social Media Manager for MiniCo Publishing, and Derek M. Naylor, President of Storage Marketing Solutions, will present the free webinar “Self‑Storage + Social Media: How to Make it Work Without Wasting Time & Money.” The webinar is open to all self-storage professionals and will introduce participants to various social networking sites. Topics will include the following:
· The ever-growing social network
· Live demonstrations of social media sites
· Time-saving tools to increase efficiency
· How self-storage facilities are using social media
· Getting started
· Best practices for your facility
The webinar of will be co-sponsored by MiniCo Publishing and Storage Marketing Solutions and moderated by Poppy Behrens, Publisher, MiniCo Publishing, as part of the ongoing Mini‑Storage Messenger Self-Storage Webinar Series. For more information or to register, visit www.ministoragemessenger.com. Online registration is required for this free live event.
January 14th, 2010
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