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ISS Store Featured Products: New Self-Storage Mastery DVD Sets

Article-ISS Store Featured Products: New Self-Storage Mastery DVD Sets

Mastery of any discipline takes know-how, dedication and diligence. It also takes guidance. That’s why we’ve assembled four new Self-Storage Mastery DVD Sets, offering industry owners, managers, investors and developers insight to digital marketing, facility design, investing strategies and risk management. Each package includes five DVDs, bundling choice seminars recorded during recent Inside Self-Storage World Expo events.

  • Digital Marketing: Addresses online visibility, content strategies, Web design, technology trends, paid search and more
  • Facility Design: Offers insight to modern building options, site layout, municipal demands, case studies, conversions and more
  • Investing Strategies: Focuses on value-add deals, equity partners, capital raising, opportunity zones, lending options and more
  • Risk Management: Addresses lease language, lawsuit prevention, liability, disaster management, site audits, insurance coverages and more

Visit the ISS Store for full product details. Become a self-storage master today!

Woman Arrested After Man Dies in Glade Spring, VA, Self-Storage Fire

Article-Woman Arrested After Man Dies in Glade Spring, VA, Self-Storage Fire

Update 1/27/20 – New information has been released surrounding the death of Walter Lampkins, who was trapped inside a storage unit when a fire ignited on Jan. 18. Although the blaze is still under investigation, officials believe it might have originated from a space heater inside the unit Goff rented and Walter Lampkins occupied. He’d been sleeping in it for several days, police said.

Surveillance video shows Goff closing and locking the unit before leaving the facility. No one else was recorded entering or exiting the unit before or after the fire, according to a criminal affidavit filed by Marty Lloyd, a detective with the Washington County Sheriff's Office. Lloyd also stated that she could see the fire burning inside the unit and Lampkins trying to free himself.

Lampkins’ daughter, Abigail Lampkins, and her mother, Heather Lampkins, who was still married to but estranged from the victim, are now questioning whether there was any intention or premeditation on Goff’s part. Abigail Lampkins said her father had always been able to freely access the storage unit and Goff never locked it until that day, according to a source.

Abigail Lampkins last saw her father on Jan. 15 at the Econo Lodge, where he was staying with Goff, who lived and worked at the motel. “A majority of the time, he was in the motel room. Here and there, he would stay in the [storage] building,” she said, adding that he often visited the space after the couple fought and that he “couldn’t stand” Goff but depended on her for necessities. She encouraged her dad to cut ties with Goff, whom he’d known since high school, a source stated. She added that her father didn’t have a job, driver’s license or phone, but had been improving his situation over the past year.

Both Goff and Walter Lampkins have pending charges or convictions. Goff has been convicted of shoplifting, driving on a suspended license, credit card forgery and embezzlement. Walter Lampkins was convicted of marijuana possession and driving on a suspended license. He also had a pending drug charge in Smyth County, Va.

Goff is being held without bail at the Southwest Virginia Regional Jail in Abingdon, Va.


1/22/20 – Police have arrested a woman they believe locked a man in a Glade Spring, Va., self-storage unit on Saturday before it caught fire and claimed his life. Walter Brian Lampkins, 48, was trapped at Glade Spring Mini Storage when the blaze ignited just after 1:30 p.m. The fire at 33359 Lee Highway was likely sparked by a heater in another unit, then quickly spread, according to a source. In all, 25 units were damaged.

Kelly Goff, who has a child with Lampkins and once lived with him, has been charged with abduction and manslaughter. Lampkins may have been living in the unit, sources reported. Goff works at a motel next door.

When fire crews arrived, they discovered smoke coming from half of one row of buildings. “During the time we were trying to make our initial attack, we had a bystander come up and say there was a possibility of a civilian in the building somewhere,” said Ricky Stumbo, assistant fire chief for the Glade Spring Department.

It took crews about 10 minutes to get the fire under control. As they removed burnt debris from the units, they discovered a body. Washington County Sheriff Blake Andis later confirmed Lampkins’ identity.

Sources:
Herald Courier, WCSO: Woman Arrested in Fatal Glade Spring Storage Unit Fire
WCYB, Sheriff: Woman Who Burned Man to Death Used to Live With Him, Had a Child Together
Bristol Herald Courier, Affidavit: Woman Locked Burning Storage Unit Door From Outside
Bristol Herald Courier, Family Says Man Killed in Glade Spring Storage Unit Needed Help

 

CubeSmart in Woodstock, GA, Wins Facility of the Year From Georgia Self Storage Association

Article-CubeSmart in Woodstock, GA, Wins Facility of the Year From Georgia Self Storage Association

A Woodstock, Ga., CubeSmart facility owned by Boardwalk Development Group LLC (BDG) recently won the “2019 Facility of the Year Award” from the Georgia Self Storage Association (GASSA). The award was presented at a GASSA meeting at The Georgian Club in Atlanta. Criteria evaluated included obstacles overcome during development, occupancy performance over projections, community impact, ingenuity of marketing campaigns, vendor collaborations and more, according to a press release.

Opened in April, the facility at 185 Woodstock Parkway is BDG’s first self-storage development. The proposal was denied twice before receiving approval from city officials. BDG executives called the project “highly controversial” due to the location at the city’s downtown gateway. Three of seven commissioners were against the proposal as well as the planning and zoning board. An affirmative vote from Mayor Donnie Henriques on the third attempt moved the project forward, the release stated.

“After two failed attempts, beads of sweat began forming on my and my business partner’s foreheads as the city of Woodstock was about to deep-six our first 100,000-square-foot, ground-up self-storage development opportunity for the third time,” said BDG CEO Raj Sheth. “Nearly one year of effort and $150,000 in due diligence and hard earnest money was about to be flushed away. Thankfully, at the last minute, the mayor changed his mind and voted in favor of the project, solidifying the votes needed for approval!”

BDG also owns five facilities in Georgia under the Boardwalk Storage brand. The company was formed in 2016 after Sheth sold his storage portfolio to National Storage Affiliates Trust in 2015. The company plans to acquire or develop more than 100 facilities in the Southeast in the next five years, the release stated.

CubeSmart is a self-storage real estate investment trust that owns or manages 1,171 self-storage facilities across the United States. Its operating portfolio comprises 79.4 million square feet.

Tennessee Development Firm Hutton Co. Pursues National Self-Storage Interests

Article-Tennessee Development Firm Hutton Co. Pursues National Self-Storage Interests

Hutton Co. Inc., a Chattanooga, Tenn.-based commercial real estate, development and investment firm, is set to begin its first two self-storage developments early next year. The company launched its self-storage division in 2019 and will use proceeds from the recent sale of a retail portfolio to fund its multi-family and self-storage interests, along with other investment activity, according to the source.

The company intends to seek self-storage acquisition and development opportunities nationwide, building facilities for other owners and operating its own assets, Aaron Breeden, vice president, told the source. “Due to the long-term fundamentals and positive economic outlook for the self-storage market, [the industry] has been on the company’s radar for quite some time,” Breeden said. “We’re looking forward to taking decades of experience in build-to-suit development as well as shopping-center development into the self-storage sector.”

The diversified, single-tenant portfolio used to fund the company’s foray into self-storage comprised 19 properties in 13 states. It sold in December for $34.4 million. “It is extremely exciting to close out a strong year with this substantial portfolio sale, while also launching and growing our multi-family and self-storage divisions,” said Karen J. Hutton, president and CEO. “We are kicking off 2020 and our next wave of investments with a lot of flexibility.”

Founded in 1998, Hutton specializes in the acquisition, development and management of multi-family, retail-center, self-storage and single-tenant properties. Its stabilized portfolio comprises more than 200 assets. In its history, the company has completed nearly 1,100 retail projects in 40 states.

Sources:
BusinessWire, Hutton Announces 19-Property, $34.4 Million Portfolio Sale
SpareFoot Storage Beat, Tennessee Developer Launches Self-Storage Division

Policy and Procedure: The Lifeblood of Your Self-Storage Operation

Article-Policy and Procedure: The Lifeblood of Your Self-Storage Operation

When’s the last time you took a good, hard look at the way you do things at your self-storage facility? Many people love the “If it isn’t broke, don’t fix it” rule, however, there’s one critical area that often gets overlooked—sometimes for years!

Policies and procedures are the lifeblood of your organization. As the framework for your daily operation and a reflection of your values, they guide employees to success. Because they define standards for conduct, they play a large role in creating your company culture. They can also equip you to meet strategic goals, reduce risk and identify opportunities for improvement.

So, why do so many self-storage operations lack written staff requirements? Could having a formal set of guidelines positively impact your business? You bet!

Policy vs. Procedure

As you consider your policies and procedures, it’s important to understand the difference between the two. According to “Risk Management” Magazine, policies are high-level principles that “set the directional tone” of your organization. Procedures, on the other hand, define lower-level processes. People often refer to an employee handbook as a “policy and procedure” manual, however, these should be addressed as separate resources.

It can be difficult to know where to start. Writing can be a long, involved process. Much of the work is preparation; but because these documents impact everyone at work every day, it’s important to get them right. Keep in mind that getting these foundational pieces in order can prevent more work for you and your team in the long run.

It’s helpful to keep the end goal in mind. Don’t make up stuff just for the sake of having a larger manual. Consider why you’re writing your new standards and let that inform the specifics along the way.

Writing

Using a standard template will make your policy documents clear and organized, ensuring they’re easy to understand and navigate. Adhering to a structure will also streamline the writing process and save you time.

In addition to organizing your policies, you’ll want to determine which sections and information to include for each. Here are a few to consider:

  • Header: Include the policy title and any effective/revision dates.
  • Introduction/purpose: What is the policy about and the reason for having it?
  • Policy statement: What is the position of your organization in regard to the topic?
  • Definitions: It’s important to define terms as you go, especially for words and phrases that can have multiple meanings. This will make policies clear and could help prevent you from arguing about definitions if you ever face litigation.
  • Procedures: Include step-by-step instructions for routine tasks and operations. Visuals are recommended. For example, use screen shots of software, leases, forms, etc.

Don’t try to tackle every policy at once. Create a list of new policies that need to be written and existing ones that need revisions or updates. They can be developed in anticipation of and in response to change and growth. Your organization must constantly assess its activities, responsibilities and environment to identify the need for new best practices.

Ensure the wording, length and complexity of each policy are appropriate for those who’ll be expected to understand and implement it. To ensure your policies and procedures make sense, you need to see them in action, too. It’s always a good idea to go back to the employees who do the daily work and get their feedback.

For those of you who don’t have the time to create your own manuals, look to industry resources to get started. If you buy or “borrow” someone else’s manual, customize it to your organization. You certainly wouldn’t want employees to see a different company name in those pages, or a policy that doesn’t relate to your business.

Implementation and Compliance

Writing your policies and procedures is just the beginning. Next, you need to come up with an implementation plan to ensure compliance.

The first step is distribution. Housing your important documents online means employees will be able to access them anytime from anywhere, making it easier to search for the information they need. You can ensure your team reviews and understands your policies by having them electronically sign these documents. While this is easiest, there’s also nothing wrong with a good, old-fashioned binder at the store as well.

Remember, it isn’t enough to simply send employees a bunch of documents and expect compliance. You need to develop and provide training, so staff understand your expectations.

Updates

Because laws and best practices are always evolving, your policies likely will, too. Part of a healthy, robust policy-management process is establishing timelines for review. Some policies, such as those that relate to technology and social media, might need frequent review, while others might only need to be examined annually or once every few years. Forward planning will ensure your policies are never out of date.

Whether you’re reviewing and revising old policies or developing new ones, be attentive to detail and keep the big picture in mind. Your manuals set the tone for conduct and ultimately define your daily operation. By taking the time to ensure their success, you’re taking a big step toward positively developing your organization.

Susan Haviland is the owner of Haviland Storage Services, which specializes in auditing, manager training, market studies and operational reviews. She has more than 32 years of industry experience, from serving as a site manager to acting as vice president of operations at Extra Space Storage Inc. and Price Self Storage. She's a frequent speaker at industry conferences and tradeshows. For more information, call 760.401.0297; visit www.havilandstorageservices.com.

Slips, Trips and Falls: The Cost of Common Accidents and How to Prevent Them at Your Self-Storage Facility

Article-Slips, Trips and Falls: The Cost of Common Accidents and How to Prevent Them at Your Self-Storage Facility

One of the most common accidents that can occur at a self-storage facility is when someone slips or trips, then falls and suffers an injury. Following is a real-life case study of an incident at a California facility, how the operator was affected, and expert advice on how to prevent this from happening to your business.

It was a rainy day, making it difficult for the self-storage manager to keep the tile floor clean. When someone walked through the office door, the employee suggested she not walk on the floor, which had just been mopped, but the customer failed to heed the advice. The woman slipped and fell, breaking her nose and injuring her back, which required surgery as well as months of physical therapy. An unfortunate sequence of events followed.

At first, the incident seemed typical of an accident of this type. The insurance company allocated a $7,500 reserve to cover the eventual settlement. The self-storage owner then received additional demands from the customer. What was expected to be a “simple” closed claim was reopened with a reserve of $500,000.

The customer sued the storage company and the case went before a jury. It was determined there were signs of negligence, as the manager had just mopped the floor but failed to put out the necessary warning signs. The court deemed the fall caused the need for additional surgeries to the woman’s nose, teeth and back, racking up more than $130,000 in medical bills. (Somehow, the fact that she had been in two auto accidents before the incident and another two afterward was dismissed as insignificant.) The owner was ordered to pay $100,000 to the woman plus cover all legal fees.

Though the operator lost time dealing with the case, he didn’t pay any out-of-pocket costs, as legal expenses were included in his company’s insurance policy. He wasn’t so lucky when it came to his insurance premium, however. When an insurance company pays hundreds of thousands of dollars on a claim, rates go up. A claim of this magnitude might even lead the insurance company to refuse a policy renewal.

It isn’t an easy message, but an insurance company must be profitable like any other business. In this case, it did renew the self-storage owner’s policy and considered the incident a one-time fortuitous claim. The deciding factor in the owner’s favor was his reputation of being hands-on and running an incredible operation.

Advice From the Pros

Safety should always be a primary focus at your self-storage business. Investing a little time and money up front to have a safe and clean facility goes a long way. In the case above, a simple solution would’ve been to mop the floors after hours. If they must be mopped during office hours due to a storm or spill, dry the floor as much as possible and put up signs announcing the floor is wet.

It isn’t just wet floors that could lead to a fall, either. What would happen if someone tripped and fell on your icy sidewalk? Yes, you may have insurance to cover it, but what’ll happen to your rates and your reputation in the neighborhood? If it could have been prevented, how will the insurance company consider this at renewal? In this case, it’s smarter to have a snow-removal company keep your ground clear of snow and ice!

Additional slip-and-fall hazards include ladders, electrical cords, potholes, uneven walkways, any wet surface, loose or torn carpeting, trash or debris, and grease or oil. Any of these can create an unsafe environment.

No self-storage operator is immune to this type of accident, but there are steps you can take to minimize the risk. First, have procedures in place to reduce the likelihood of a slip, trip and fall. Employees should receive proper training on when and how to complete maintenance tasks as well as how to spot and resolve a potential problem. In addition, make sure you have the proper insurance coverage in case this kind of accident happens at your site.

This article is courtesy of Jenny Bortman, vice president at Universal Insurance Programs, which has created and provided specialized insurance coverages to the self-storage industry for more than 20 years. For more information, call 602.222.8300; visit https://uiprograms.com.

ISS Blog

Paycheck Problems: Self-Storage Operators Grapple With New Minimum Wage and Overtime Rules

Article-Paycheck Problems: Self-Storage Operators Grapple With New Minimum Wage and Overtime Rules

In case you haven’t heard, new federal overtime regulations went into effect on Jan. 1. About 1.3 additional Americans workers are now eligible to collect overtime pay, according to a September ruling issued by the U.S. Department of Labor (DOL). This could greatly affect many self-storage owners and their staff.

The rule raises the pay threshold for exempt workers to $35,568 per year or $684 per week, from the current level of $23,660 per year or $455 per week. Chances are, there are more than a few self-storage operators whose salary fall in this range. Of course, there are exceptions to every rule, and this one has them, too. There are four situations in which employees with a minimum salary can be exempt from the overtime rule. It’s important to learn what they are and how you or your staff could be affected.

There’s also some good news around minimum wage this year. Sadly, it’s not on the federal level, where minimum wage hasn’t moved since 2009. It’s still stuck at $7.25 an hour. Good grief! I combo meal at McDonald’s costs more than that!

Fortunately, many state lawmakers are on the ball, slowly raising their state’s minimum wage each year. As of Jan. 1, it increased in 21 states, with Washington, D.C., at the top with $14 per hour (and climbing to $15 mid-year), and Washington and California on its heels at $13.50 and $13, respectively. Nevada clocks in at $8 if an employer offers health benefits, and $9 if not. Ohio comes in at $8.70, followed by New Mexico at $9. While all operators need to pay attention to these numbers, those with facilities in multiple states should be even more vigilant.

Manager compensation has been a hot topic in the industry over the past decade as self-storage has moved from an industrial product to a retail one. Managers, once seen as “caretakers” of the property, have dynamic job these days that involves so much more than just renting units. As such, there’s been an ongoing dialogue about manager pay. To complicate matters, many self-storage businesses still employ managers who live on the property. The rental-free residence along with other perks is typically rolled into the compensation package.

Unlike in other industries, there’s no real pay baseline for the job title “self-storage manager,” whether living onsite or not. No wonder employers and staff are confused about what makes a decent wage!

It’s imperative as a self-storage owner that you fully understand these wage and overtime requirements. Not doing so could open your business to liability, lead to poor customer service—which can hurt your facility—and even high staff turnover. And managers who aren’t being compensated according to the law should let it be known or find an employer who’s in line with current legislation.

Employment law doesn’t end with worker pay, either. There are other vital areas employers and workers need to understand. These include guidelines about resident managers, immigration regulations, rights for women in the workplace, sexual harassment and more. If you’re unclear about any of these important topics, you need to get up to speed.

While I understand many people—those outside and in the industry—still view a self-storage manager’s job as simple and even entry level, that’s simply no longer true. I’ve met heaps of managers who are top-notch employees and 100 percent responsible for their facility’s success. They’re the reason people rent units, the property is clean and inviting, crime never happens, and customers stick around. Let’s give these great managers some credit. Offering $9 an hour doesn’t do that. In fact, it’s insulting. These aren’t teenagers serving up greasy fries out of a drive-thru window. They’re the storage professionals that you depend on every day.

Today’s manager is a retail professional, so let’s pay them as such. If you’re not sure what that is, talk to others in the industry. Ask your state association’s members, other owners you know or an industry consultant. What you pay your managers shouldn’t be based on your state’s minimum wage but on what they bring to the job. How much are you willing to pay the person operating your multi-million-dollar business?

NY Self-Storage Operator Men on the Move Wins ‘Angie’s List Super Service Award’

Article-NY Self-Storage Operator Men on the Move Wins ‘Angie’s List Super Service Award’

Men On The Move, which operates a moving service and two self-storage facilities in New York, earned an “Angie’s List Super Service Award” for maintaining exceptional ratings and reviews on the home-service company’s website in 2019. It’s the ninth year the company has received the honor since first appearing on Angie’s List in 2006.

“We are proud to continuously win this award year after year; it is a true testament to the quality of work our team provides in our moving and self-storage divisions. We look forward to continuing this level of quality in our newest division, Storage Cube,” said Geffen Rodik, assistant director of marketing and real estate development for Men On The Move.

To receive the award, winners had to meet strict eligibility requirements, such as maintaining an “A” rating in overall grade, recent grade and review-period grade. They also had to be in good standing and undergo additional screening.

“Service pros that receive our ‘Angie’s List Super Service Award’ represent the best in our network, who are consistently making great customer service their mission,” said Angie’s List founder Angie Hicks. “These pros have provided exceptional service to our members and absolutely deserve recognition for the exemplary customer service they exhibited in the past year.”

Founded in 1985, Men On The Move operates facilities in Farmingdale and Woodbury, N.Y., and provides moving services along the East Coast. It launched a mobile-storage division called Storage Cube last year.

Founded in 1995, Angie’s List is an online directory that allows users to read and publish crowd-sourced reviews of local businesses and contractors. It collects information on more than 720 services.

Source:
The Island Now, Men on the Move Win Super Service Award

Self-Storage REIT Life Storage Reduces Job Commitment But Keeps Tax Breaks in Hicksville, NY

Article- Self-Storage REIT Life Storage Reduces Job Commitment But Keeps Tax Breaks in Hicksville, NY

Life Storage Inc., a self-storage real estate investment trust (REIT) and management company, received permission to reduce the job commitment for its facility in Hicksville, N.Y., without suffering a decrease in its Nassau County tax breaks. The reduction was requested “based on changing business operations,” according to Kate White, the operator’s senior vice president of human resources.

Certain tax breaks were granted to Life Storage when it bought the property at 65 W. John St. in 2013. An adjustment was made to the REIT’s 15-year incentive agreement with the county’s Industrial Development Agency (IDA) in November, reducing its promised employment from three and half full-time or equivalent positions to three. The company paid a $1,000 amendment fee to make the change, applicable through 2028, according to the source.

The four-story facility isn’t busy enough to justify a workforce of three and a half full-time equivalents, according to Melissa R. Zizzo, legal real estate manager for Life Storage. The site averages one move-in and one move-out per day. This equates to about 20 minutes of staff time, which includes getting the space ready for re-rental, she said.

Most of the REIT’s 850 facilities operate with two employees but aren’t open as long as the Hicksville location, Zizzo wrote in a September letter to the IDA. The facility has increased and dropped its workforce since it was acquired. It jumped from three and a half people in 2013 to four in 2014, then to just two in 2015. In 2016 and 2017, the facility employed six, then dropped back to three in 2018, which led the company to request the amendment, the source reported.

Employees at the Hicksville location earn an average of $33,836 annually. The company’s property-tax savings totaled $90,436 in 2016, according to records obtained by the source under the Freedom of Information Act.

Offering tax breaks to self-storage companies has come under fire from some IDA board members, homeowners and good-government groups. They claim it violates a state law that prohibits retailers from receiving IDA aid, and self-storage companies employ too few people to warrant the benefit.

This week, IDA Chairperson Richard Kessel acknowledged the discontent and noted these types of deals are no longer available to self-storage operators. “This was not approved by the current board. We do have a policy that we adopted against doing self-storage facilities because they don’t produce enough jobs,” he said, adding that the board didn’t consider reducing the Life Storage tax breaks because it didn’t want to “quibble” over half of a job.

Based in Buffalo, N.Y., Life Storage operates facilities in 29 states and Ontario, Canada. Its portfolio of owned and managed facilities comprises more than 60 million square feet.

Source:
Newsday, Life Storage Gets OK to Cut Job Promise Without Losing Tax Break

Self-Storage Operator’s Zoning Request Denied in Blair, NE

Article-Self-Storage Operator’s Zoning Request Denied in Blair, NE

Downtown Storage in Blair, Neb., got a two year-extension on its non-conforming-use permit last April, but the operator’s efforts to permanently rezone the area to allow self-storage were denied last week. The city council rejected the company’s request to create a mixed-use, residential overlay district for its facility at 230 N. 20th St., which would have made self-storage a permissible use within an RML (residential, multi-family, low-density) area under a conditional-use permit. Some council members are concerned the change would make future storage-development applications difficult to dismiss, the source reported.

Rejecting a self-storage application within an overlay district in which the use is technically allowed would require the council to provide “good, sound, supportable reasons why you're not going to allow it here, but you're not going to allow it somewhere else [either],” noted City Administrator Rod Storm.

Councilmember Brad Andersen and City Attorney Desirae Solomon were among those who argued that not being able to deny a permit based solely on reasonable neighborhood complaints could open the city to liability.

“[Self-storage facilities] are the most dangerous kind of development when it comes to mixing it with homes because they are so cheap to put up, and a lot of times they are put up by investment companies and ignored from afar,” Andersen told the council. “The neighborhood has no cause of action, and the city can't do anything.”

A non-conforming-use permit was originally required for the storage facility because the zoning on the land changed to RML after the business was built. Facility owner Steven Saal was required to make improvements as part of the extension agreement.

Source:
Pilot-Tribune & Enterprise, Council Denies Overlay District That Would Have Allowed Storage Units in Residential Areas