The site of a former topless coffee bar and motel in Vassalaboro, Maine, will be converted into a self-storage facility.

The portable building that once housed Grand View Coffee Shop on Route 3 will be torn down, while an existing structure will be converted into 24 self-storage units. David Coulombe, owner of Stoney Acres Investments LLC, received unanimous approval from the citys planning board last week to move forward with the proposed self-storage development.

The Grand View Motel and coffee shop burned down in June 2009. Owner Donald Crabtree built a new structure where the motel once stood and added a portable building to house the coffee shop. According to city records, Coulombe is purchasing the land from Crabtree.

The facility will have a hunter green roof and doors, and tan siding, similar to that of another self-storage facility Coulombe owns. Although there will be no fencing around the property, Coulombe said there will be a manager living on the property.

Education was the star of the Inside Self-Storage World Expo, Oct. 4-6 in Tacoma, Wash. Industry professionals, eager to learn effective and immediate strategies to improve their business, packed the seminar rooms at the Greater Tacoma Convention and Trade Center.  The fall show included five tracks of seminars including one designed specifically for Canadian storage professionals and another for facility owners.

The education program at every ISS Expo is always top-notch, and this show was no exception, says Inside Self-Storage Publisher Troy Bix. We work really hard to gather the best minds in the business, people who are in the trenches every day, to help our attendees become successful business leaders in their markets.

The Day-to-Day Operation and Facility Management track drew a steady audience of managers and owners. Industry attorney Jeffrey Greenberger used humor to tackle the very serious topic of rental agreements, reminding operators the importance of updating leases often. Anne Ballard of Universal Management Co. packed her slideshow with visuals to show operators how to create exceptional customer experiences.

The Facility Marketing and Sales track address topics such as video marketing, search-engine optimization and pay-per-click advertising. Day two featured two two-hour mini clinics, one focused on sales, the other on marketing. Brad North of Advantage Consulting & Management offered techniques to turn more callers and walk-in customers into renters, plus steps to overcome objections and competitive pricing. Tom Litton of Litton Property Management outlined 50 new and innovative marketing strategies.

Every session we went to was informative, says Larry Stewart. The Tucker, Calif., resident is looking to buy his first facility. The education program totally exceeded our expectations. All the speakers and topics were great.

One standout seminar for Stewart was the session by The BSC Groups Shawn Hill, who outlined new options and strategies for facility refinancing. In the past six months, new financing options have opened for self-storage owners and investors. This includes loans from the Small Business Administration and commercial mortgage-backed securities loans.

Lynn Prather, a member of the Washington Self Storage Association, was thrilled to have the ISS show in her back yard. We dont get a lot of national shows, says Prather, despite the Northwests strong economy and successful self-storage industry.

Julie Jackson, a manager at Mason Self Storage in Mason, Ohio, enjoyed the relaxed atmosphere of the show. She said the seminars focusing on operations were ideal for her. Thats what this was all about, she says of her attendance.

Other Events

In addition to the education program, the ISS Expo also included several networking events. On the first day of the show, expo attendees enjoyed a lively Q&A session with industry experts Mel Holsinger of Professional Self Storage Management LLC and Jim Chiswell of Chiswell & Associates LLC. The interactive session allowed operators, investors, builders and other industry professionals to discuss the issues they face today. The show also featured four workshops, a Buyers & Sellers Meeting on the tradeshow floor, and roundtable discussions.

The shows 50-plus exhibitors included developers and builders, brokers, financiers, insurance experts, door manufacturers, software vendors and many others. The opening of the exhibit hall coincided with the ISS Expo cocktail reception, allowing attendees and vendors to meet and greet in a relaxed setting. ISS always brings quality prospects for vendors to talk to, says Tron Jordheim of PhoneSmart. The solid education sessions taught by industry pros is a great draw.

Las Vegas 2012

Attendees and exhibitors are already buzzing about the much-anticipated annual ISS show in Las Vegas. The industry's largest conference and tradeshow is slated for March 14-16, 2012, at the Paris Hotel & Resort. The ISS Expo in Las Vegas will be the premier show of the year, Bix says. There will be industry leaders and new vendors, innovative products and services to explore, and an outstanding education program. Its the one show self-storage professionals cannot miss.

The education program will feature the industrys top consultants, developers, marketers and online experts addressing topics such as management, marketing, financing and more. The show will also feature two days of exhibits, add-on workshops and more. Details about the show will be available at www.insideselfstorageworldexpo.com.

INSOMNIAC self-storage kiosks qualify for the IRS Tax Code Section 179 tax deduction, effectively reducing the cost of a kiosk by 35 percent, according to the manufacturer, OpenTech Alliance Inc. Section 179 allows businesses to deduct the full purchase price of qualifying equipment or software purchased or financed during the current tax year.

"Section 179 is a great deal for self-storage operators considering a self-service kiosk, but they have to order their kiosk soon, said OpenTech President Robert Chiti. To qualify for the deduction in 2011, the kiosk must be in operation by the end of the year." More information can be found at www.section179.org.

OpenTech provided the following example of tax savings that can be enjoyed in relation to its INSOMNIAC 770 kiosk, which costs $15,500. The calculator presents a potential tax scenario based on typical assumptions that may not apply to every self-storage business. The indicated tax treatment applies only to transactions deemed to reflect a purchase of the equipment or a capitalized lease purchase transaction. OpenTech advises that interested parties consult their tax advisor to determine the tax ramifications of acquiring equipment or software for their business.

Phoenix-based OpenTech is the developer of the INSOMNIAC line of self-storage kiosks, now with seven models. The company also offers the INSOMNIAC Live! call center and the INSOMNIAC Self Storage Network for online storage reservations and rentals.

LifeStorage of Aurora, part of the 18-facility LifeStorage self-storage chain, hosted a garage sale and charity cookout on Oct. 1 to benefit the Hope D. Wall School, a special education facility operated by East and West Aurora Districts for Aurora students residing in Districts 131 and 129.

The event took place 10 a.m. to 4 p.m. and provided tenants of the facility to sell their unwanted items from their storage spaces. Facility managers Ginger Smith and Dan O'Neil felt it was a perfect opportunity to help out a community school while creating foot traffic for the business.

I not only work in the community, but I live here as well, and I believe that helping the local community is best way to show my support, Smith said. The Hope D. Wall School helps so many young people in our community that is great to know that we are giving back to those who need our support.

The Hope D. Wall School opened in 1971 and is a cooperative public school, with students ranging in age from 3 to 21. The school's mission is to value diversity in the population, and to promote effective communication among the students, families, staff, and community members. Its programs provide an educational service that assist students in achieving their academic potential, providing an educational setting that enhances their emotional and social adjustment and development, and prepares them to function as productive members of society.

LifeStorage Centers LLC has 18 self-storage facilities throughout the ChicagoLand area. The company was founded in 2002 by owners Jean Jodoin and Christopher Barry.

The South Carolina Self Storage Association (SCSSA) will host a lunch and learn meeting on Oct. 13, featuring a presentation by self-storage attorney Scott Zucker. Zucker will discuss the South Carolina lien law and other important topics for the states self-storage operators.

The event will take place at noon to 4 p.m. at the Holiday Inn Express & Suites in St. Columbia, S.C. It will include a networking session and lunch and is free for all self-storage professionals. More information can be obtained by e-mailing [email protected] or visiting http://scselfstorage.org/newsandevents.html. Interested parties can also contact SCSSA president J. Wallace at 843.562.6736.

The Oct. 13 program will update self-storage owners and managers of recent legislative changes that will affect their business. Attendees will learn about lien-sale issues under South Carolina law, how to legally use e-mail as part of a self-storage operation, strategies for collecting payments and avoiding lien sales, and tips for avoiding wrongful-sale claims.

Zucker is a partner in the Atlanta law firm Weissmann Zucker Euster Morochnik P.C., where he specializes in real estate and business litigation. He represents self-storage owners and managers nationwide on legal matters including property development, facility construction, lease preparation, employment policies and tenant-claims defense. He also provides advice to self-storage companies in the areas of foreclosure, lien sales, premises liability and loss-control safeguards.

Zucker is legal counsel to several state self-storage associations. He is also the author of Legal Topics in Self Storage: A Sourcebook for Owners and Managers and a partner in the Self Storage Legal Network, a subscription-based legal service. 

The Texas Self Storage Association (TSSA) recently elected new officers for 2011-2012. Members of the executive committee are:

• President: Tom McCloskey, MC Self Storage, Lytle
• Vice President: Mark Skeans, Mission Road Mini-Storage, San Antonio
• Secretary: Amy Nolan, The Storage Place, Corpus Christi
• Treasurer: Mike Gately, Daughtry Properties, San Antonio
• Immediate Past President: Robert Loeb, Castle Hills Self Storage, Victoria

Other members of the board of directors are:

• Paul Glover, Storage Choice, Dallas
• David Hunt, Access Self Storage, Lancaster
• Ricky Jenkins, The Jenkins Organization, Houston
• Jay Kanter, O'Connor Self Storage, Dallas
• Jill Schwengler, Texan Self Storage, Wimberley
• Charles Plunkett of Capco Steel Inc. in San Antonio is the vendor member representative

Currently serving as ex-officio members of the board are: Lolita Bader of A Better Place Self Storage in Boerne; Josh Parrott of AAA Storage Centers in Lubbock; Dan Small of Diamond Self Storage in Pearland; and Kathy Tautenhahn of Tautenhahn Holdings in The Woodlands.

The new board members and officers will be introduced at the annual TSSA Convention and Trade Show, Oct. 16-18 in Austin. Established in 1986, the TSSA is a non-profit trade association dedicated to enhancing the quality of the self-storage industry in Texas. The TSSA provides opportunities for members to increase their knowledge of the self-storage industry through education, research, discussion and exchange of information.

A company in the United Kingdom is helping residents rent portions of their homes to those looking for storage. Registered users of Storemates.co.uk can list available space in their homes or search for storage for free. No percentage of the rental income is taken. Storemates.co.uk requires a one-time arrangement fee, equivalent to the first two weeks of rent. Those looking for space can do so for free by registering on the site. Homeowners can rent out extra space in a loft, garage, spare room, attic, shed or another area of the home.

The service is part of a movement being called collaborative consumption, in which community members pool their resources for mutual benefit. Many people, especially those who live in flats, have items which they only need occasionally, cluttering up their living space. With self-storage units being so expensive, Storemates.co.uk offers a simple solution thats cheap, convenient and completely carbon neutral, said Ben Rogers, Storemates co-founder and a former environmental campaigner.

Rogers acknowledges that not all people would feel comfortable at first storing their belongings at a strangers house due to security concerns. But Storemates has built a range of safety measures into its service to create trust and confidence between renters and storage providers. Storemates' users can review and read about each other through the secure site. They have to follow strict safety guidelines and a code of conduct, plus we provide a detailed legal contract, similar to a tenancy agreement for both parties to sign once they are ready to enter into a storage arrangement, he said.

CBRE Group Inc., a commercial real estate services firm, promoted Steve Hryszko to first vice president of the companys National Self Storage Advisory Group.  Based in Cleveland, Hryszko enhances the investment side of the self-storage business and is actively involved in serving large national and regional institutional owners as well as local clients.

Steves continued success is a testament to his hard work and thorough market knowledge, said David Browning, managing director in CBREs Cleveland office. With more than $1 billion of self-storage dispositions and acquisitions, were honored to have Steve leading the self-storage business team.

Hryszko joined CBRE in 2006 with a distinguished track record in the self-storage sector. He served as vice president of acquisitions for U-Store-It Trust Inc. and was directly responsible for self-storage acquisitions and disposition for the firm. Additionally, he negotiated transactions and performed financial analysis, site selection and all financial due diligence. Prior to his career at U-Store-It, Hryszko worked in corporate real estate for Amsdell Cos. and at Lesco Inc.

Hryszko is a member of the national Self Storage Association.  A native Clevelander, he graduated from Cleveland State University with a Bachelor of Science Degree in Business Administration.

CBRE Group Inc., a Fortune 500 and S&P 500 company headquartered in Los Angeles, employs approximately 31,000 employees, excluding affiliates, and serves real estate owners, investors and occupiers through more than 300 offices worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting.

There was a time when someone could build a self-storage facility and watch it grow without much effort. Rent-up would be swift, income would rise, expenses would level out and, in 24 months, you could refinance your construction loan and make a nice return. There were no websites, no advanced marketing techniques, and Facebook was still a dorm-room project at Harvard.

Self-storage facility offices were the size of your first apartment, had no furniture, and if there was coffee, it was brought down from the facility managers apartment, not brewed in a nice, single-serve Keurig Machine. Competition studies were easy because there were only three competitors in a five-mile radius, instead of 13 in a three-mile radius. Security was scarce, driveways were gravel, and automatic gates were a luxury. You may be reading this, scratching your head, thinking, I dont remember it ever being like this. Well, like the time of the dinosaurs and the British Empire, this era has long since passed.

Now that were well into the 21^st century and part of the Googles online world, what do we need to know about our self-storage competition? Lets focus on these specific facets: identifying your competition, management, amenities, curb appeal and pricing.

Identify Your Competitors

Do you know how many facilities you compete against in your market? How far does your facility market share reach? Start by identifying your competitors. Use Google, the Yellow Pages or an online self-storage directory site obtain a list of the facilities in your area. Second, map them out. The easiest way to do this is to purchase mapping software. Two popular programs are Microsoft Map Point and Google Earth Pro. These allow you to push pin or identify on a map where each of your competitors are located.

Once you have all the facilities in your area mapped out, use the measurement functions in the software to create a radius around your facility. If youre in Manhattan, N.Y., your market area will be blocks. If youre in a more rural area, it may be five to 10 miles. Most self-storage market areas settle between three and five miles.

You can accomplish this on a standard map if it makes you feel more comfortable, but I suggest the mapping software so you can manipulate the data in the future. Once you have this information, you can identify your competition.

Get to Know the Managers

Now that you know who your competitors are, its time to make a few visits. First, the most important part of any self-storage operation is the management. If a facility has great managers, it can overcome a poor location, low budget, etc., and vice versapoor management can destroy the best facility in a market.

Walk into the facility and inquire about renting a unit. How did the managers treat you? Are they pleasant? Do they have a sense of humor? Were they in the office or did they come out of their onsite apartment? Try to be as objective as possible. Did they offer to show you a unit or give you a price and show you the exit? Did they give you gate and office hours, pricing, specials, a walk through, etc. Did they explain what makes their facility the best? Would you feel comfortable storing your most prized possessions there?

Consider Amenities and Curb Appeal

Next, while youre visiting with the managers, notice what kinds of amenities the facility offers. What type of access hours does it have, and does the access change based on unit type or location? Can you get 24-hour access? Does the facility have cameras, door alarms or a secured gate? Does it have an onsite manager?

Take a look at the overall site construction, design and layout. What kind of construction comprises the facilitysteal, concrete or wood? Are the walls steel, drywall, wood or chain-link? Is the facility built fortress-style, or is there fencing around the property? If theres fencing, what kind of material was used? Does the facility have climate-controlled units, drive-up access, large truck access, wine storage, or RV and boat storage? Does it have a loading area or more than one gate or access point?

Be sure to ask about facility amenities. Does it offer moving carts, packing supplies, a coffee area or bottled water? Curb appeal is equally important in the management of any self-storage facility. Is the facility clean? Do you see roaches or mice running across the hallways? Do the doors and hasps work correctly, or does the facility manager have to fight with each unit door? Are the units clean? These are just a few of the amenities that people want.

Evaluate Pricing

Pricing can be one of the most dynamic aspects of managing a self-storage facility. In any market in America, your facility can be the highest priced facility or the lowest. You can raise rents on your existing tenants or not. You can offer the best move-in special, include an administration fee, or adjust your late fees. However, a few things about pricing are certain.

First, if youre 100 percent occupied, you need to raise your facilitys prices because youre losing money. Yes, you may lose some occupancy in the short term, but the remaining units will rent up at a higher street rate and the increase on the remaining tenants will go right to your facilitys net operating income. The idea is to maximize revenue above and beyond occupancy. Trust me, electricity isnt getting any cheaper.

Second, do not market or rely strictly on price. Stanford University did a study on what motivates someone to purchase a good or service. The results are:

• 17 percent of people will purchase a good or service at the highest price point.
• 13 percent of people will purchase a good or service at the lowest price point.
• The remaining 70 percent will purchase a good or service for a reason other than price.

Learn to sell your store on value, not price. Last, check prices in your market at least monthly. Theres nothing wrong with being the highest-priced facility in your market, but be aware of what your competitors are doing.

Remember, good management and competitive advantages are two things that will help you control your market. The self-storage facilities that provide the best value for their customers are the ones that will win in any market, regardless of price.

Matthew Van Horn is vice president of Cutting Edge Self Storage Management, a full-service management company specializing in management, feasibility studies, consulting and joint ventures within the self-storage industry. Mr. Van Horn is well known for finding hidden profit centers in self-storage operations. For a complimentary Hidden Profit Discovery Session, e-mail [email protected] . For more information, call 866.970.EDGE; visit www.cuttingedgeselfstorage.com . Follow the company on Twitter at Cuttingedgemgt and on Facebook at Cutting Edge Self Storage Management.

Access Self Storage in Dallas was honored Sept. 30 with a Humanitarian Award by the Metropolitan Dream Center of Dallas for the companys commitment to the homeless community. The self-storage operator received the award at the Metropolitan Dream Centers annual musical.

For the past five years, Access Self Storage has donated storage space to the Center to house clothing, food and other supplies as well as advertising the Centers annual Harvest Fest. Its always what we want to dohelp people in need in our communities, said owner Doug Hunt. Access Self Storages ongoing commitment to helping others has already garnered recognition and numerous awards from organizations across the city. We really love how hard the ladies at the Dream Center work at a job that never ends and is done often without thanks, Hunt said.

The Metropolitan Dream Center is a faith-based, non-profit organization with nearly 20 years of experience aiding the homeless and less fortunate. By partnering with local churches, the Center is able to provide necessities like food, clothing and transportation to an average of 150 indigent citizens each month.

That number swells each year at the Centers annual Harvest Fest, an event designed to capitalize on the generosity of the Centers donors and volunteers and to reach as many needy individuals as possible. At this years Harvest Fest, scheduled for Nov. 12, the Center hopes to pass last years record of 2,000 people helped.

Access Self Storage has six locations in the Dallas area. The operation's website features a "community" tab, which highlights contests, events and outreach.