Update 10/22/19 – Storefriendly has released a new ad campaign that not only highlights its GObots self-storage service but displays the power of artificial intelligence (AI). Advertising agency UltraSuperNew Singapore Ptd. Ltd. used an AI program and machine learning to create the music track that accompanies the storage operator’s new “Make Space for the Future” video by feeding it 200 pieces of Storefriendly-related information, according to the source.

The result is a colorful ad featuring Gary the GObot that illustrates the operator’s services, use of technology, and reasons why customers choose to store items. The video can be viewed on Storefriendly’s Singapore YouTube channel.

---

9/10/19 – Store Friendly Management Pte. Ltd., which operates the Storefriendly self-storage brand in Asia, has opened a new location in Paya Lebar, Singapore. The facility features technological amenities including “GObots,” pallet-like robots that retrieve cabinet-style units on command and bring them directly to customers. Customers retrieve their storage cabinets via a mobile QR code scanned at a self-serve kiosk, according to the source.

The robot-enabled units are kept in an air-conditioned, no-man zone. The facility design allowed Storefriendly to offer lower rental rates and create 30 percent more storage space than its traditional properties by requiring less walking space, the source reported. “The consumer gets a greater product—safer, faster, ultra-modern for less,” said Jes Johansen, CEO.

Storefriendly has another Singapore location in Clementi as well as a facility under development in Bukit Merah. Founded in 2002, the company has more than 130 locations across Hong Kong, Macau and Shanghai, China; Singapore and Taiwan. Its portfolio comprises more than 40,000 units. It’s an operating partner of Amicus Investment Management Pte. Ltd., a real estate asset-management firm specializing in industrial and self-storage properties in Hong Kong and Singapore.

Source:
Branding in Asia, Storefriendly Ad Features A.I. Created Soundtrack – But Fear Not Music World, Your Jobs are Safe
Channel News Asia, Asia's Largest Self-Storage Operator Storefriendly Opens Flagship Outlet

It’s been more than two years since the British public voted to leave the European Union (EU), and British politics were subsequently thrown into unprecedented chaos. Businesses, including self-storage, still have no certainty on what leaving the EU will mean to trade, employment and other key issues. Westminster politicians seem to be clear about what they don’t want but can’t agree on what they do want.

The U.K. Parliament agreed to trigger the Brexit process on March 29, 2017, setting a two-year deadline to get a deal or leave without a deal, relying instead on World Trade Organization conditions until trade agreements can be set. Since then, legislation now requires all of parliament to approve a deal rather than just cabinet members. One extension has been sought and agreed to by the EU.

British members of parliament (MP) then passed further legislation to force the prime minister to ask for another extension to the process if a deal wasn’t reached by Oct. 20. In essence, the British are attempting to negotiate a divorce from the EU (a process that’ll require significant compromise on both sides), while they’re being pressured to get a winning deal. While the U.K. parliament is in open disagreement, the EU has continually voiced a more consistent position. It doesn’t want a “no-deal” Brexit but won’t compromise the principles of the original deal agreed to by the EU parliament to avoid it.

As if all this wasn’t complicated enough, the current U.K. governing party doesn’t have a majority in parliament. In fact, it has a massive minority after expelling more than 20 people from its own party for voting for the extension bill.

In normal times, this would be a free kick for the opposition to take control of parliament and call a general election. However, no one in opposition wants to call a general election until a no-deal Brexit is off the table. EU legislation says the U.K. must leave without a deal by the deadline unless a deal is made, which means the only way to truly take the no deal off the table is to agree to a deal.

As I write this, the EU and U.K. officials have agreed to another deal, which must go to the U.K. Parliament for approval. Its passage is uncertain, in part because the Irish party that previously gave the government the votes required for their minority government opposes it, along with the opposition. This will force the prime minister to ask for an extension, which the EU is currently saying it’ll refuse.

Are you confused yet? I haven’t even touched on the issues of a hard border in Northern Ireland, the push by MPs to scrap Brexit entirely, or the Scottish party campaigning for a referendum to leave the U.K. next year. What’s more, by the time you read this, no doubt something else will have changed, and we may even have another new prime minister!

The Uncertainty

The result of all this chaos is an extended period of uncertainty for businesses, particularly in the U.K. and countries like the Netherlands, which relies extensively on trade with the U.K. Self-storage, fortunately, is a localized business. It doesn’t import or export goods nor rely extensively on immigrant employment. So, deal or no deal, the self-storage sector won’t be directly impacted by Brexit as much as other industries, such as hotels, student housing, manufacturing, etc. Something to consider, however, is that self-storage is a relevantly young and small industry in Europe, and it’ll be impacted by the macroeconomic fallout of Brexit, even if it’s less than other industries.

The strongest evidence we’re seeing is currently in the London market. Traditionally, London has been the peak of the European self-storage market. Property is hard to acquire and it’s expensive, which poses significant barriers to entry. For operators that have stores in London, occupancy has traditionally been strong, and rental rates tend to be much higher than the rest of the U.K.

Self-storage operators in London were impacted during the last recession significantly less than those in the northern cities. However, over the last 12 months, we’ve seen a softening of self-storage inquiries in London that aren’t reflected in the rest of the U.K. Fewer people are moving, and there’s been less investment in property. The ongoing uncertainty with Brexit means people are putting plans on hold until the issue is resolved. Migrants aren’t coming to London because they’re unsure of their future. Property investors and homebuyers are holding off in case the market drops due to a no-deal. People are considering their savings rather than spending on non-essential items. This has had an impact on the number of people using self-storage.

Uncertainty is the worst situation for self-storage. During a downturn, people use storage for downsizing, the number of home-based businesses increase and so forth. When the economy is good, there are more house moves, vacation-takers and hobby users. The problem with the current situation is the people with money aren’t spending it as much—yet the economy is still relatively strong—so the recessionary drivers of self-storage haven’t kicked in. The best outcome for the self-storage industry is to have a decision made. Be it hard or soft Brexit, it doesn’t matter so much, but people need to know what’s going to happen so they can make decisions.

More Investing

Interestingly, institutional investors are showing self-storage increased attention, but whether this is Brexit-related or just a sign of a maturing industry is hard to tell. What’s certain is more investors are looking to self-storage as a “safe haven” during these times of uncertainty and potential economic downturn. The handful of publicly listed storage companies have seen serious increases in their share prices in the last couple of years, performing well above market averages. Legal & General Investment Management Ltd., a Europe-based asset manager, recently entered the European self-storage market. Other investors are circling, looking for the right platforms or opportunities to become available.

Some would also argue that a Brexit-related economic downturn is likely to be short-lived and could provide opportunity for the self-storage industry. Access to property for development remains the biggest barrier to growth for the industry. If property prices fall, this may give operators with access to equity opportunity to buy new development sites at a good price. The percentage of debt to equity is certainly much lower in the industry now than before the last recession, so operators are better prepared to capitalize on opportunities that present themselves.

The bottom line for the self-storage industry is operators want a decision—be it deal or no deal—so some certainty can return to the market. Of course, even if a deal is reached, it’ll have an extensive implementation period, and creating new free-trade agreements during the transition will be a challenge. Perhaps the quickest way is for the no-deal deadline to be triggered, forcing the rapid creation of new trading conditions, not just between the U.K. and EU, but globally. Only time will tell.

Rennie Schafer is the CEO of the Federation of European Self Storage Associations as well as the Self Storage Association of the United Kingdom. For more information, visit www.fedessa.org.

A 26-year-old man working at a self-storage construction site in Buckeye, Ariz., suffered second- and third-degree burns over 50 percent of his body last Thursday when he came into contact with high-voltage power lines while on an elevated scissor lift. The extreme current caused significant burns of varying extents throughout his body. The incident occurred around 9 a.m. on Yuma Road east of Watson Road, according to the Buckeye Fire-Medical-Rescue Department.

Emergency responders treated the unidentified worker at the scene. He was later airlifted to a local burn unit in critical condition. The incident is under investigation by the Buckeye police and fire departments. It is likely to be addressed by Occupational Safety and Health Administration as well, according to a source.

Sources:
Arizona Central, Man Suffers Second-, Third-Degree Burns at Buckeye Construction Site
KTAR News, Buckeye Construction Worker Badly Burned in Electrocution Accident
The Legal Herald, Buckeye, Arizona, Worker Suffers Severe Burns After Electrocution On Yuma Rd Construction

Officials in Evanston, Ill, have included a 5 percent self-storage tax as part of the city’s proposed budget for the 2020-21 fiscal year. This “user fee” is included as one of several new revenue streams officials are considering within the $317 million budget submitted on Oct. 14, and is expected to generate $50,000 next year. It’s being considered alongside a recreational-marijuana tax, a 5 percent amusement tax and an increase in parking-meter rates to $2 per hour, according to the source.

These proposed solutions are intended to offset rising expenses, including $1.8 million in salary and wage increases, health insurance, and pension contributions. The city council agreed earlier this year to raise the local sales tax from 1 percent to 1.25 percent, which is expected to bring an additional $1.5 million in tax revenue next year, the source reported.

The city expects more than $5 million in additional revenue from a property-tax levy and has indicated it anticipates the tax burden to shift from residential to commercial properties, which have experienced much higher increases in assessed value.

City staff has also been asked to prepare a report on the possibility of a vacant-property tax, which could generate additional revenue and help spur commercial development. Similar actions have been considered or enacted in other municipalities including Oakland, Calif., and Washington, D.C., according to the source.

A special city council meeting to discuss the budget is scheduled for Oct. 26.

Sources:
Chicago Tribune, Evanston Plans for Increased Fees, Higher Property Tax Levy in Proposed Budget
City of Evanston, Fiscal Year 2020-21 Proposed Budget

The self-storage job market has never been more competitive and those seeking positions need to be prepared. Whether you’re new to the industry or looking to change roles or companies, follow the below advice to ensure you’re an employer’s top candidate.

The Résumé

Every month I review dozens of résumés from people seeking self-storage management positions. Some are impressive at first glance, while others look as if a child wrote them. Not everyone knows how to prepare a professional-looking résumé. For those who don’t, an Internet search will yield numerous templates. There are also third-party companies that can prepare a quality résumé for a small fee. Keep in mind, you only have 15 to 20 seconds to make that first impression, so give it your best shot!

First you need to choose a style for your résumé: chronological or functional. Chronological is the most common. It lists your job titles and places of employment, along with dates, beginning with the current position first. These are usually listed on the left side of the page, with the job duties on the right. When listing duties, you don’t need to specify each one. Rather, include bullet points of your achievements such as “increased annual income by X amount,” “reduced delinquency by X amount,” “increased occupancy levels by X amount” and so on. Just keep it simple.

The functional style is used when a person has either an abundance of similar experience or a lack of it. It can better the chance of a candidate whose experience may look weaker on a chronological résumé. It can also be useful for those amid a career change, such as when applying for a district-manager position from facility-manager spot. Again, list your achievements so the company sees your skills and mindset.

Whichever style you choose, include your name, address, phone number (including area code) and e-mail address centered at the top of the first page. These should be in a 14- or 16-point, easy-to-read font. Don’t use script, fancy lettering or borders. You’re trying to be professional. Here are a few other tips:

• Make sure the margins are correct, bullet points are in the right place and everything looks professional.
• If you’re sending a hard copy, use quality paper, but nothing with marble or a heavy texture.
• It’s important to know your audience. Use the language of the self-storage industry.
• Use active words: achieved, expedited, managed, ability, capacity, leader, actively, substantially and effectively. Keep it positive.
• Finally, read your résumé several times and even have someone else proof it. While you should definitely use your spell-checker, be aware of homophones. There’s a difference between there, they’re and their. Your spell-checker won’t tell you if these words are being used incorrectly.

The Cover Letter

Your cover letter is your introduction. It should highlight information about you that isn’t in the résumé. For example, you might include a sentence or two explaining why you’re looking for a change.

Be honest about why you’re seeking new employment, especially if you were at a position for less than six months. If you left a position because of a clash in personalities, say it was due to “personal reasons.” Always be prepared to explain why you left a job or desire a new position; just don’t dwell on the negative. Be positive. For example, you might say it was better that you left and found a position better suited to you.

References

When submitting your résumé, include a current list of reference. Ask anyone you might consider for this list in advance if it’s OK to include them. When possible, obtain letters of reference from employers before leaving a position.

Your references should be business acquaintances such as former employers or supervisors. No one wants to speak past tenants who’ll say how great it was to store their belongings with you. Family, friends and other storage managers don’t count as references, either. Potential employers need to know what kind of employee you are!

The Interview

A potential employer liked what he saw in your submitted package and reached out for an interview. Great! Make sure you’re ready. Just as with a résumé, you never get a second chance to make a first impression. Whether you communicate with the company on the phone, via e-mail or in person, if you come off as disinterested, distracted or unprofessional, you’ll never advance to the next step in the process.

On interview day, show up early, dress professionally and have a copy of your cover letter, résumé, references, etc. Be prepared to discuss your work experience and skills. Explain your achievements and your objective in seeking a change in employment. Put your best foot forward and be positive!

Also, consider what questions you might ask your interviewer. You want to get to know the company as much as he wants to learn about you. Here are a few questions you might as a self-storage employer.

• What are the work hours?
• Is this a resident position? If so, what’s the housing situation? 
• What’s the compensation?
• Is there a bonus program?
• Does the facility have relief staff?
• Why did the last manager leave and how long was he with the company?
• How many facilities does the company operate?
• What’s the facility’s occupancy level?
• What’s the company culture like?
• What software and technology does the company use?
• Are there any opportunities for advancement within the company?

At the end of the interview, if you’re still interested in the position, say so! Ask what comes next. Then, follow up with a phone call or e-mail at a minimum. A handwritten thank-you note makes a great impression and could set you apart from other applicants. If you aren’t ultimately chosen for the position, ask the employer to keep your résumé on file for the next opportunity.

Persistence Is Key

Finding a suitable position in the self-storage industry won’t always come easy. It takes research and preparation. Have a professional résumé. Include a cover letter and valid references. Include any certificates you’ve earned by attending seminars or training. If you get to the interview stage, be professional, honest, courteous and positive. Express your interest and ask questions.

After all this, you might not always get the job, even if you thought the interview went well. Don’t be discouraged. Keep trying. When the right job comes along, you’ll get hired!

Pamela Alton is the owner of Mini-Management Services, which has been placing self-storage managers in positions all over the United States since 1991. She also offers staff training, operational consulting, facility audits, due diligence inspections and joint ventures. For more information, call 844-646-4648; e-mail [email protected]; visit www.mini-management.com.

Conducting due diligence on a self-storage acquisition isn’t glamorous, but it’s critical in determining your success. As the discovery phase of investment, this is how you’ll determine—before you write a big check—if a property will meet your goals. Your purchase agreement will outline a full list of items needed to perform due diligence, but let’s examine some of the most crucial areas and what you should include at a minimum.

Financial Information

At a minimum, make sure you have:

• Three years of profit-and-loss (P&L) statements
• Monthly P&Ls for the past 12 months
• Three years of Schedule E tax returns
• Bank statements for the past 12 months
• Security-deposit account statement

This information provides the valuation of the property’s income stream. It’s critical to assessing the investment. When you request it, you may receive a pro forma statement of income and expenses. “Pro forma” literally means “to form,” but translates to “as if.” This statement represents the property’s income, with certain assumptions that may or may not be true. Keep in mind that you need the reality.

In valuation, you must use the most recent, actual operating income performance. It’s a cardinal rule. Three years is a good length of time to gain a sufficient track record for the facility, including seasonality, but may not tell the whole story.

Operating Information

At a minimum, make sure you have:

• Copies of all leases
• Current rent roll as well as the past three years
• Utility bills
• Insurance-declaration page
• Vendor agreements for management software, website, service contracts, etc.
• Third-party management contract, if applicable
• List of capital improvements

Income properties are sold subject to existing leases. Therefore, it’s critical to review every rental agreement, matching each with the physical unit during a walk-through. Leases should also be checked against the rent roll to verify the operating statement. In addition, the original lease documents must be delivered to you at closing.

The rent roll is a convenient report that consolidates the lease information. A basic report should show each unit number, tenant name, rental rate and lease expiration date. Some reports are more detailed and may contain payment history, outstanding balances and the lease start date.

Utility bills play a vital part in determining operating expenses; however, annual or monthly costs revealed on an operating statement aren’t enough to determine if expenses and use are in line. I recommend getting copies of monthly bills going back at least two years. If the owner doesn’t have previous bills, it’s fairly easy to obtain them from the utility company by submitting the account number.

Insurance coverage is another important piece. Once you have the current declarations page, use the information to gather competitive bids. Compare the amount of loss insured, policy type and standards of coverage (replacement cost, business interruption, etc.), any riders for additional property or casualty coverage (flood, disaster, etc.), and any coverage exceptions.

Review all vendor contracts and agreements to see if they can be canceled following the acquisition or if there are any automatic-renewal clauses. These might include contracts for third-party management, lawn care/landscaping, snow removal, pest control, trash pickup, janitorial supply, truck rentals, moving supplies, etc.

Also, make sure you see the property’s business or retail license. This should be displayed on a wall or kept in the owner’s files. If the jurisdiction doesn’t require a business license, this should be verified with the local government.  

Physical Information

At a minimum, make sure you have:

• Property-tax assessment
• Any site/building plans
• Copy of previous title work

Property taxes are most likely the highest expense item and should be analyzed for rate increases over time. This information can be found on the source document or from the local taxing authority. In any estimate of future expenses, always plan for increases, especially after the sale. Some municipalities will reassess property taxes on a set period, such as annually or every two years, while others automatically reassess the property after a sale. If the latter is true for your acquisition, you may need to plan for a significant increase.

It’s always a good idea to have copies of any existing architectural, engineering or utility plans in the seller’s possession. This can be helpful and possibly save you money if you decide to develop additional buildings on the site.

Instances of personal property must be dealt with case by case. Though not essential to the initial analysis, a discussion and mutual agreement should be made whether it will transfer to you after the sale.

Third-Party Information

At a minimum, make sure you have:

• Past appraisals
• Past engineering/inspection reports
• Phase I environmental report
• Zoning information

Lenders will almost always want to order a new appraisal, but some cost may be saved if an existing appraisal is less than two years old and the property hasn’t undergone any major changes. Most lenders have a short list of appraisers approved by the bank to perform updates or obtain a new report.

Inspections are generally required by all lenders, but even if you’re paying cash, I highly recommend you have an inspection performed on any property you purchase. A building inspector will test the property’s systems, evaluate structural components and note any deferred maintenance or deficiencies. For multi-story facilities with a freight or passenger elevator, there are regulations that may require an elevator-inspection report.

A Phase I environmental report is conducted to determine the environmental status of a property. It includes a review of public records and databases maintained by state and federal governments for environmental “events” or known contaminations onsite or in the vicinity. Based on the findings, a conclusion will be offered as to whether any further action is recommended.

Zoning certification must be obtained from the municipal jurisdiction, usually at the local planning and zoning office, or from the economic-development office. Current zoning compliance can usually be verified with a phone call to the appropriate office.  

Market Information (3- to 5-Mile Radius)

At a minimum, make sure you have:

• Competitor market survey
• Existing market supply index
• Feasibility study (optional)
• Department of transportation traffic information
• Demographic report

Most sellers will have some sort of survey available, but it may not be sufficient to satisfy your lender. Most lenders require a commercial real estate survey that meets the minimum standards set by the American Land Title Association (ALTA) in 1999. The ALTA survey requires that the surveyor and title company work together to determine whether the property’s physical presence and legal description match.

The surveyor will refer to the title commitment for the property’s legal description and any encumbrances (exceptions) on the title. He’ll then provide the title company with the information to ensure the title to the land and improvements match to the degree required.

Decisions, Decisions

The purchase agreement will state that at the end of the inspection period, you must accept the property and allow the earnest money deposit to go at risk, or reject the property and have the deposit returned in full. Your investigation will almost always reveal conditions that differ from the seller’s representations or render the property undesirable. These may warrant an adjustment in the price or terms of the sale. This is up to you, of course, and may cause further negotiation with the seller, depending on inspection findings and the amount of money required to rectify any unforeseen problems.

Due diligence is your chance to investigate a property and eliminate most of the risk that stems from a lack of knowledge. Remember, this is your only opportunity to obtain information when the seller is required to help. The benefit of being thorough is it gives you the confidence to act decisively, and with assurance that you have a clear picture of the current value of the facility and have mitigated the risk of future problems.

Scott Meyers is the president and owner of Indianapolis-based Kingdom Storage Holdings LLC. He’s been involved in the self-storage industry as a developer, owner, syndicator and operator since 2005, owning and operating 23 facilities across seven states. His education platform, www.selfstorageinvesting.com, offers information, software and seminars to help individuals launch and grow a self-storage business. To reach him, e-mail [email protected].

Self-storage operators and suppliers that possess the private information of any New York resident must be in compliance with the breach-notification amendment of the Stop Hacks and Improve Electronic Data Security (SHIELD) Act by Oct. 23. Passed in July, the New York measure broadens the scope of information covered under the state’s notification law and updates the requirements for incidents of data breach. It also updates data-security requirements, which will take effect on March 21, according to a blog post on the national Self Storage Association (SSA) website.

In addition, the SHIELD Act broadens the definition of what constitutes a data breach to include an unauthorized person gaining access to information. It requires businesses to maintain “reasonable data security,” provides standards tailored to business size, and implements protections from liability for certain entities, according to the bill summary.

Though the measure is a New York law, its scope affects any business outside the state that possesses the private information of any New York resident. The move is similar to other recent updates to data-security and privacy laws passed in California and Nevada as a way for lawmakers to keep pace with evolving threats and technology, SSA officials said. New York-based businesses that have the private information of state residents must also ensure they have required data-security safeguards and notification systems in place.

The law includes a provision that requires “small businesses” to comply with only some of the data-protection requirements. Under the measure, these are defined as those with fewer than 50 employees, less than $3 million in gross annual revenue in each of the last three years, or less than $5 million in year-end total assets.

“If a [self-storage business] anywhere in the country has the private information of a customer or tenant who is a New York resident, that business is now covered by the SHIELD Act and must take the necessary steps to comply as well,” wrote Daniel Bryant, legal and legislative counsel for the SSA. “It is best to consult with a data-security attorney and/or specialist to fully understand the technical nuances of the law and what businesses must do to make sure their data security system provides the minimum protection required by the SHIELD Act.”

Under the law, private information is defined as including a resident’s personal information in combination with several data elements such as Social Security number and driver’s license number. There are also several defining provisions for combinations of information that could constitute a breach, according to an SSA memo. These include:

• Credit or debit card numbers in concert with account information, passwords, access codes, etc., that would provide access to someone’s financial account
• Personal information in combination with a username or e-mail address, along with a password or security question and answer that would permit access to someone’s online account

Enforcement of the law falls under the New York attorney general’s office, which can seek injunctive relief as well as monetary civil penalties. In instances in which a business is determined to “knowingly and recklessly” violate the SHIELD Act, enforced penalty could be $5,000 or up to $20 per violation of failed notifications, whichever is greater, but not to exceed $250,000. Failure to comply with the data-protection requirements could result in penalties up to $5,000 per violation, according to the memo.

Sources:
Self Storage Association, Operators With New York Customers Must Prepare for New Data Security Requirements
New York State Senate, Senate Bill S5575B

Seven dogs including three puppies were rescued Tuesday morning from a self-storage unit in Brooksville, Fla. An anonymous call led deputies from the Hernando County Sheriff’s Office to the facility in the 1000 block of Hale Avenue. When they arrived, they heard dogs barking in a unit that was supposed to be vacant according to the facility owner but was secured by a large padlock.

Using a bolt-cutter, police opened the door and discovered one dog tethered to a short lease and several others in metal cages. Two chihuahuas were locked inside a metal crate on top of another that held a female dog and three puppies between six and eight weeks old. Only the leashed dog had access to water, and the unit had no ventilation, according to several sources.

“I mean, no one should have a dog if they’re going to treat them like that,” said Sandy Smiley, who lives near the storage facility. “We want to keep animals safe, people safe, kids safe. There’s a lot of people in this neighborhood who really care.”

The animals were taken to Hernando County Animal Services and evaluated by a veterinarian, who said they were in “fairly decent condition.” Based on their health, he doesn’t think the dogs were in the unit for an extended period.

Deputies are searching for the owner of the dogs. The storage facility doesn’t have video cameras, but the owner is cooperating in the investigation. Anyone with information should call 352.754.6830.

Sources:
ABC Action News, Deputies Free Several Dogs Locked Inside Self-Storage Unit in Hernando County
WTSP, Deputies Use Bolt Cutter to Free Animals Locked Inside a Self-Storage Unit

Update 10/17/19 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of additional activity happening in October 2019.

International Self Storage in Highland, Calif., was sold to a local investment company. The facility at 7932 Leslie Lane comprises 17,905 square feet in 172 units. The buyer was represented in the transaction by Keith Phillips, an associate of The LeClaire Group of M&M. The seller was self-represented in the deal.

KeepIt Mini Storage in Mineola, Texas, sold to a Dallas-based buyer fulfilling a 1031 exchange. The facility at 1113 County Road 2220 comprises 88,800 square feet in 509 units and four outdoor parking spaces. The property includes a 1,800-square-foot business center, which is available for rent on a daily basis. Built in 1994, the facility was expanded in 2017. The deal was brokered by Danny Cunningham, senior associate, and Brandon Karr, senior vice president, of Karr Self Storage Group, an affiliate of M&M.

VLC Enterprises LLC sold a self-storage facility in Peoria, Ariz., to Guardian Storage Centers LLC in a Certificate-of-Occupancy deal for $12.85 million. The property at 8620 W. Northern Ave. comprises 95,992 square feet in 1,046 units and 108 RV-parking spaces. The newly constructed facility was built on nearly 7.5 acres and has an additional 4.7 acres available for expansion. Guardian will brand the facility under its StorAmerica name. The company is a participating regional operator of National Storage Affiliates Trust, a REIT and third-party management firm, which operates more than 700 self-storage facilities in 35 states and Puerto Rico. The buyer and seller were represented in the deal by Norman Herd of Quantum Property Advisors, a Phoenix-based brokerage firm specializing in self-storage real estate.

South Bank Secure Storage in Rifle, Colo., sold to an unidentified buyer. The facility at 1453 Airport Road comprises 60,020 square feet in 376 units and 218 outdoor parking spaces. The property expanded onto 2.16 acres across the street in 2018 to accommodate additional RV storage. The seller was represented in the transaction by Charles "Chico" LeClaire, executive managing director of investments, and Adam Schlosser, senior vice president of investments, for the LeClaire Group of M&M.

The two-property Storage House portfolio in Chambersburg, Pa., was sold to a private investment group. Together, the facilities comprise 53,000 net rentable square feet in more than 190 units. The four-building facility on Progress Road sits on 2 acres while the six-building facility on South 4th Street sits on 1.5 acres. The sites are less than a mile apart and operated remotely from an office a few miles away. The buyer and the seller were represented in the transaction by IRE.

Sycamore Self Storage in Sycamore, Ill., was sold to established self-storage owners. The facility at 1420 Dekalb Ave. comprises 22,000 rentable square feet. The seller was represented in the transaction by Bruce Bahrmaselm, an Argus affiliate.

A newly constructed self-storage facility in Toronto sold to a joint venture between Strategic Storage Growth Trust II Inc (SSGT II) and its Canadian development partner, SmartCentres REIT. The six-story facility at 1120 Dupont St. was built on .34 acres. Completed earlier this year, it comprises about 47,000 net rentable square feet in approximately 735 units. SSGT II is a private REIT sponsored by an indirect subsidiary of SmartStop Self Storage REIT Inc. SmartStop owns or manages 135 self-storage facilities in Toronto and the United States. Its portfolio comprises about 10 million net rentable square feet. SmartCentres is a Canada-based REIT that owns and manages 34 million square feet of retail space. It also has interests residential, retirement, office and self-storage properties.

---

10/4/19 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of activity happening in October 2019.

ABR Self Storage in Rijswijk, The Netherlands, sold to Shurgard Self Storage Europe SARL, the European affiliate of U.S.-based real estate investment trust (REIT) Public Storage Inc. The facility comprises 1,750 square meters in 355 units and has room for expansion. It’s been rebranded under the Shurgard name. Shurgard operates 231 self-storage facilities comprising 1.2 million net rentable square meters in Belgium, Denmark, France, Germany, The Netherlands, Sweden and the United Kingdom.

PS NC III LP, an affiliate of REIT Public Storage, purchased Assured Storage in Winston-Salem, N.C., for $6.65 million. The facility at 4191 Bethania Station Road sits on 3.84 acres and contains two buildings. The seller is Assured Storage of Winston-Salem LLC of Honeoye Falls, N.Y.

The five-property A-Z Storage portfolio in Easthampton, Northampton and Southampton, Mass., was sold for $12.2 million to an investment group. The portfolio contains 33 buildings and comprises nearly 124,000 square feet in more than 930 units. The sites are within a three-mile radius and were operated from a satellite office at 165 Northampton St. in Easthampton. The seller was represented in the transaction by Justin Quinto, a brokerage advisor for Investment Real Estate LLC, a provider of brokerage, construction, development and management services to self-storage owners and investors since 1998.

Dominion Verrado Self-Storage in Buckeye, Ariz., sold to 20825 W. McDowell SP LLC, an affiliate of The William Warren Group (WWG), a privately held real estate company that operates the StorQuest Self Storage brand. Built in 2018, the facility at 20825 W. McDowell Road comprises 81,318 square feet in 524 climate-controlled units. The buyer and seller were represented by Paul Boyle, Rick Danis and Greg Wells of Cushman & Wakefield, a provider of real estate services including consulting and appraisal, debt and equity financing, and sales and acquisitions. Founded in 1994 and based in Santa Monica, Calif., WWG acquires, develops and operates more than 165 self-storage facilities in Arizona, California, Colorado, Florida, Hawaii, South Carolina and Texas.

A subsidiary of Extra Space Storage Inc., a self-storage REIT and third-party management firm, sold a facility in Ballston Spa, N.Y., to a Philadelphia-based private-equity firm for $7 million. The property comprises 77,965 net rentable square feet in 691 units, and encompasses 14 single-story buildings. The deal was brokered by Hans Hardisty and Nick Malagisi of the SVN National Self Storage Product Council. Headquartered in Salt Lake City, Extra Space owns or operates 1,752 self-storage properties nationwide and in Puerto Rico.

The two-property Fort Knox Mini Storage portfolio in Imlay City and Lapeer, Mich., sold to an unidentified LLC. Together, the facilities comprise 48,645 square feet in 337 units and 46 parking spaces. Both properties received renovations, including “major maintenance,” asphalt repaving and new roofs within the last five years. The buyer and seller were represented in the transaction by Thomas Berlin and Zachary Munce, investment specialists with Marcus & Millichap (M&M), a commercial real estate investment services firm with offices throughout Canada and the United States.

PAG Investments, a real estate investment and management firm, purchased Heritage Self Storage in Endicott, N.Y. The facility at 301 Glendale Drive comprises 109,813 square feet in 570 units. Situated on 13.89 acres, it also contains 200 vehicle-storage spaces. The seller was represented in the transaction by Robert Streicher, a sales consultant for real estate firm Striker Investment Realty LLC. Headquartered in New York City, PAG is focused on the acquisition, development, redevelopment and management of industrial, office, retail and self-storage in the Northeast and mid-Atlantic.

Investment firm VanWest Partners acquired Marsh Harbor Self-Storage in Mary Esther, Fla., through its new storage fund, VanWest Storage Fund I LLC. Established in the second quarter of 2019, the fund owns and operates a facility less than a mile from the acquisition, according to Jacob Vanderslice, managing partner. Built in 2007, the facility at 2193 W. Highway 98 contains 12 buildings comprising 28,800 square feet in 128 units. It’ll be rebranded under VanWest’s ClearHome Self Storage management platform. VanWest and its affiliates have invested in 15 self-storage projects totaling more than 800,000 rentable square feet. They include multi-story ground-up development, adaptive reuse and value-add to existing facilities.

Westport Properties Inc. (WPI)/US Storage Centers acquired an unidentified storage facility in Middleton, Mass. The property at 193 S. Main St. comprises 85,260 square feet in 780 units. It’s the company’s second purchase in the Boston market this year. Charles Byerly, president and CEO, indicated WPI will continue to look for opportunities to expand the company’s footprint in Boston and statewide. It operates more than 120 self-storage facilities nationwide.

Oversized Storage in Willis, Texas, sold to an undisclosed buyer. The facility at 11741 FM 830 comprises 61,520 square feet on about 5.75 acres. The property has room for expansion and could be considered for redevelopment, according to a press release. The seller, a private investor, was represented in the deal by Dave Knobler, an investment specialist for M&M.

WPI bought a Planet Self Storage facility in Waltham, Mass., for $5.95 million. The property at 115 Bacon St. comprises 34,176 net rentable square feet in 446 units. The facility was converted from a former watch-manufacturing plant in 1983. The deal was brokered by Connie Neville of SVN.

Saf-T-Loc Self Storage in Dallas was sold to Bargain Storage. The facility at 11359 Reeder Road sits on 3.8 acres and comprises 95,256 square feet. The seller was represented in the transaction by Richard D. Minker and Chad Snyder, brokers with Dominus Commercial, an affiliate of the Argus Self Storage Network, a Denver-based network of real estate brokers who specialize in storage properties.

Scotty’s Storage in Killeen, Texas, was sold to Iron Guard Storage. The facility at 5400 E. Central Texas Expressway sits on 5.37 acres. The buyer was represented in the transaction by Minker and Snyder.

StorGard Self Storage in Buford, Ga., was acquired in July by Phoenix-based U-Haul International Inc., which operates more than 1,500 self-storage facilities across North America. The facility at 3556 Buford Drive comprises 703 indoor units. Established in 1945, U-Haul owns more than 38 million square feet of storage space nationwide.

Life Storage Inc., a self-storage REIT and third-party management company, purchased the three-property Stor-More Self Storage portfolio in Greater Seattle. The properties at 1802 A St. E. in Auburn, Wash., and 1612 S.W. 114th St. and 2850 S.W. Yancy St. W. in Seattle total 204,906 rentable square feet. The buyer and the seller were represented in the transaction by Hugh R. Horne, a principal with Charmel Storage Capital, a Los Angeles-based boutique commercial real estate brokerage firm focused exclusively on the self-storage industry.

Jernigan Capital Inc. (JCAP), a merchant bank and advisory firm serving the self-storage industry, purchased five properties in South Florida from MCSS Development and Investment. Together, the facilities in Brickell, Coconut Grove, Doral, Pembroke Pines and Sweetwater, Fla., comprise 367,088 rentable square feet in 4,141 units. MCSS now operates six locations totaling more than 700,000 square feet. It also has several developments underway. JCAP is a real estate investment trust listed on the New York Stock Exchange. It provides financing to private developers, operators and owners of self-storage facilities.

Watson Storage Center in Denham Springs, La., sold to an unidentified LLC. Constructed on more than 20 acres, the facility at 8245 Commerce Drive comprises 26,050 square feet in 194 units and 12 parking spaces. Built in 2001, the site underwent an expansion in 2006. The buyer and seller were represented in the deal by Gabriel Coe, Brett R. Hatcher and Brian Kelly, investment specialists for M&M.

New Sources:
Commercial Property Executive, Texas Storage Facility Changes Hands
Investment Real Estate LLC, IRE Announces Sale of The Storage House Portfolio in Pennsylvania
REBusiness Online, Marcus & Millichap Brokers Sale of 172-Unit Self-Storage Facility in California’s Inland Empire
Yahoo Finance, Strategic Storage Growth Trust II Inc. Acquires Newly Constructed 735-Unit Self Storage Facility in Toronto, Canada

Previous Sources:
BusinessWire, VanWest Partners Acquires New Storage-Fund Asset
Connect Boston, US Storage Centers Acquires 780-Unit Self-Storage Facility in Middleton
CoStar, Local Investor Sells Dominion Verrado Self-Storage for $9.1 Million
Daily Journal of Commerce, Self-Storage Sites Sell for $40M
NEREJ, Neville of SVN National Self Storage Handles $5.95 million Sale of a Planet Self Storage Facility
Winston-Salem Journal, The Briefcase: Winston-Salem Storage Property Sells for $6.65 Million
Yahoo Finance, PAG Investments Acquires Self-Storage Facility in Endicott, NY