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Tenant TracingTracking down that tenant who escaped owing you money

Article-Tenant TracingTracking down that tenant who escaped owing you money

Tenant Tracing
Tracking down that tenant who escaped owing you money

By Pamela Alton

We have all experienced this scenario: You are doing your morning lock check and find a unit with the door wide open and the unit empty. Your first thoughts are: Did someone sneak in in the middle of the night and break into the unit, or did the tenant vacate after office hours? You return to the office and check your records--sure enough, the tenant was 10 days past due, but because your state lien laws say you can't overlock a unit for 14 days or more, the tenant gained access to the facility and vacated the unit while still owing rent. What do you do now?

Collections begin the minute you rent the unit by getting as much detailed information from the prospective tenant as possible. Making a copy of a photo ID is an absolute must. There are companies that sell cameras that will take a tenant photo along with a copy of the rental agreement and driver's license. If you don't have one of those, a simple desktop copier will do the trick.

Obtaining phone numbers of employers and emergency numbers of a friend or relative not residing with the tenant should be part of your rental process. Asking for a credit card is not out of the question either. You can hardly go to any Blockbuster Video store nowadays and rent a $3 movie without providing a credit card. Some "economically-challenged" areas use more cash than credit cards, and I wouldn't necessarily not rent to someone because they didn't have a credit card, but consider making it a company policy to ask for one--and a consistent policy at that. If you ask one person to provide one, you must ask everyone.

Have clear-cut and concise rental agreements, and rules and regulations sheets outlining company policy about move outs and money owed. If explained at the time the rental agreement is signed, it could help eliminate any misunderstanding when the time to vacate comes. When a tenant comes in to vacate, before you delete them off the computer, always walk the tenant out to the unit and verify they have removed all items and their lock. This will save you time removing abandoned property or finding that a tenant has left their lock on, in essence removing the unit from the rental market.

If you find the unit vacant, don't hesitate to call the tenant and ask him to come into the office, bring cash and sign a vacate notice. All vacating tenants should pay in cash only. This will prevent them from stopping payment on a check when vacating. If you find their numbers have been disconnected, call information or check the phone book. This is why it is extremely important to obtain additional phone numbers when renting the unit.

Daily lock checks are a must. If I find my managers are writing off an unusual amount of uncollected rents, then this could be an indication they are not out there on the premises, but sitting in the apartment watching Jerry Springer. Gates should be automatic and deactivate a tenant code after they are a certain number of days past-due. This will help eliminate some problems.

If you do find a need to turn a tenant over to a collection agency, the more complete the information, the better. I suggest you employ an agency that is in your local area. The chances of a company on the East Coast making phone calls to the West Coast to collect a few hundred dollars is almost nil.

Having a clear-cut company policy for the vacating tenant and explaining it to him at the time of rental could save you and the tenant a lot of headaches. Remember, collections begin at the moment of signing a rental agreement. Proper care could mean avoiding having to track the tenant down later.

Pamela Alton is the owner of Mini-Management®, a nationwide manager-placement service. Mini-Management also offers full-service and "operations-only" facility management, training manuals, inspections and audits, feasibility studies, consulting and training seminars. For more information, call (800) 646-4648.

Inside Self-Storage Magazine 12/99: Ask The Waldmans

Article-Inside Self-Storage Magazine 12/99: Ask The Waldmans

On My Last Nerve

DEAR WALDMANS: I recently started a new job working for a storage facility. It is a different atmosphere than what I have worked in before. The office is small and the only other employee that works with me has a real attitude problem. At first, I thought maybe it was just my own uneasiness being in a new job. It is evident that a lot of people are threatened by new employees. Some have a fear that the new person has only been hired to take over their position.

Now, I have tried to be nice to this person and not be a pest. It is hard when you are new and never worked in this kind of business before. I don't want to aggravate her more than she already is, but how am I suppose to learn if she has such a bad attitude? I found out yesterday she went to the manager and told him I ask too many questions. How can I possibly handle this situation in a diplomatic way? I am not sure of the relationship between her and the manager. This kind of environment is not good, especially when I need this job and want to learn so badly. Please give me some advice before I am so exasperated that I walk out the door--I know that is not the answer to this problem. Please help me.

--ON MY LAST NERVE in Mississippi

DEAR ON YOUR LAST NERVE: First, can you be certain that you have not agitated this woman? Sometimes, it is very difficult to know how personalities will coordinate. Maybe it has not been enough time for the two of you to become suitable co-workers. As for her going to the manager, I agree that was inappropriate. She needs to approach you upfront with her concerns.

It seems evident that she is not willing or, perhaps, does not know how to confront the situation. Some people go straight to management with every little problem. If I were in your place, I would tell her I need to have a talk about the two of you working together. I would also be honest and let her know that you know she had gone to management about your style. Be very professional and calm. At this point, your nerves are over the edge, but arguing will not be advantageous to the circumstance.

This sounds to be a difficult chore on your part, but I think it is time to develop some kind of working relationship both of you can live with. After all, you probably will be working with this individual more hours of the day than you spend with your family. Try to develop an association that will be beneficial to both of you. Maybe, once you have addressed the problem, she will divulge the real reasons that she dislikes you. There could be something else that needs to be discussed.

It sounds like you feel that she resents your being there. A few good questions to ask yourself before trying to analyze the situation are: Has she always been the only person in the office? How long has she worked there? Are you younger and more aggressive than she is? Maybe she feels apprehensive about you taking over. There could be many reasons for this kind of reception to you. If you initiate a meeting of the minds and develop an understanding, I am sure you can work out a better relationship. Sometimes, however, there are times when personalities or people just never mesh. If this happens to be the case, you must make a decision. Will you be happy with this type of arrangement? Or will you be better off to look for another job? Finding the answers to some of the questions above will help you come to a conclusion.

A father-daughter team, the Waldmans are self-storage owners/operators and attorneys. In addition, Ms. Waldman holds a master's degree in labor and employment law from Georgetown University. The Waldmans are co-authors of the industry's leading series of books on self-storage operations: Getting Started, Forms, Policies & Procedures and South Carolina Tools. Another creation of Ask The Waldmans are their colorful posters designed exclusively for the self-storage industry. Comments and questions for ASK THE WALDMANS may be sent to: The Waldmans, P.O. Box 21416, Charleston, SC 29413.

E-mail: [email protected]; Web: www.askthewaldmans.com

Views and opinions on legal matters are those of the authors. Professional counsel should be obtained before any determination or positive action is taken.

Marketing Self-Storage on the Internet

Article-Marketing Self-Storage on the Internet

Marketing Self-Storage on the Internet

By Jeff Miller

Mouse.jpg (14938 bytes)By now you have probably received solicitations from a variety of companies promising to bring you new business by advertising your facilities on the Internet. The purpose of this article is to: 1) clear up some common misconceptions about Internet advertising, and 2) give you the facts you need to decide if Internet advertising fits into your marketing strategy.

Misconception #1

It doesn't matter who puts me on the Internet, as long as I'm there. (Also known as "If you build it, they will come.")

This couldn't be farther from the truth. The Internet currently contains several hundred million pages of information. Having a page on the Internet means absolutely nothing unless people are actively brought to that page. Without proper marketing, an Internet page is like an advertisement in a Yellow Pages book that has never been delivered to the target market.

Your money will be best spent placing an advertisement with an online service that will make the necessary expenditures to consistently attract large numbers of users to its Internet site. Chances are, most of the services that have contacted you won't even spend a dime to bring people to your page. Always ask the vendor, "How do you market your site?"

Misconception #2

I don't have Internet access, so I can't possibly advertise online.

You don't have to read the newspaper in order to run an advertisement in it. Likewise, you do not need Internet access or even a computer to advertise your facility on the Internet. Online services will do all of the programming for you and even send you print versions of your online advertisements so that you can see what they look like. Some services can even make your advertisement interactive by allowing prospective renters to send inquiries directly to your fax machine from your Web page.

Misconception #3

Internet advertising is just a bunch of hype. No one is really renting self-storage after finding a facility on the Internet.

Wrong. This advertising medium definitely works. Storage companies advertising on the Internet are reporting a large number of monthly rentals. Even more interesting, tenants from the Internet have been shown to rent more space for longer periods of time. Self Storage Net, an online service specializing in self-storage, records thousands of searches each day through its interactive self-storage directory at www.selfstorage.net.

Why would people use the Internet to find storage? Imagine what you would do to find suitable housing, self-storage and other relocation information if you were moving to another city or state. The Internet has made this proposition much easier, and it has fundamentally changed the way people relocate.

There are more than 100 million people on the Internet today, and these people are increasingly turning to their computers for the information they need. Products such as WebTV are putting Internet access in the homes of millions of people who couldn't have normally afforded a computer, so this medium will continue to grow in importance for even the simplest businesses.

Misconception #4

Internet advertising is expensive and complicated.

Mark these words: When done with a legitimate service, Internet advertising can be very cost effective. In fact, compared to your Yellow Pages advertisements, Internet advertising can be a true bargain. It has been estimated that advertising dollars spent on the Internet will surpass those spent on the Yellow Pages in just a few short years. Internet advertising is not a luxury, it is a necessary investment. With a successful Internet marketing strategy, you may find that it is possible to reduce the size of your Yellow Pages ads and actually reduce your overall advertising costs.

As for Internet advertising having a complicated start-up--try about five minutes. Most of your work has already been done for you. By submitting a copy of your print ad and a few pieces of basic information, your facility can be online and in front of potential renters within as little as 48 hours.

The Facts

Conceptually, Internet advertising is no different than any other form of advertising you may utilize. You first have to get a highly targeted group of people to see your ad and then present enough information in a way that will compel them to act on it. The high-quality services will publish color photographs, maps, unlimited text descriptions, facility amenities and, most importantly, direct e-mail or fax links from your ad to your office. More importantly, they will also spend a lot of money to market their site and get people to see your information.

Don't make the mistake of assuming that all services offering to put your facilities online are the same. They are quite different from each other. Spend a few minutes and educate yourself about the differences between the services soliciting your business. It won't be that difficult to figure out who is legitimate and who is trying to profit from all the hype. Look for a company that understands more than the technical aspects of Web publishing. The service you choose should be able to demonstrate marketing skills. Your Internet presence should not be about technology, it should be about marketing, advertising and sales.

The truth is that there are only a few online services that have proven their ability to produce rentals. Those services truly work well and will introduce renters to you much faster than you expect. You will literally see leads coming out of your fax machine as soon as your ad is published. Ask around the industry; the successful services will be easy to spot.

Easy to Test

One final piece of advice: Give Internet advertising a try. It is inexpensive enough to test a few different services to see which one brings you the most renters. Who knows? You may find that Internet advertising is so successful that those expensive Yellow Pages ads are a thing of the past.

Jeff Miller is the national product manager of Self Storage Net, a division of Rent Net. For more information, call (415) 229-1000.

Fire Prevention and Safety

Article-Fire Prevention and Safety

Fire Prevention and Safety

By David Wilhite

Fire Prevention Week is held annually to commemorate one of the worst fires in American history--the Great Chicago Fire of 1871. According to popular legend, at about 9 p.m. on Sunday, Oct. 8, a cow in a barn behind Katherine O'Leary's cottage at 137 DeKoven St. kicked over a lantern that started the blaze. Unusually brisk fall winds caused the fire to quickly race out of control, and by 1:30 a.m. the entire downtown business district was in flames. By dawn, nearly 300 Chicago residents were dead and more than 17,500 buildings had been destroyed.

In 1922, President Warren G. Harding established National Fire Prevention Week to honor the memories of the victims and to help drive home the importance of fire safety. Today it is important to remember that fire prevention should be practiced every day, not just one week each year. By following safety procedures and recognizing potential hazards, you and your employees can prevent fires at your facility and help save lives. Remember, the best way to survive a fire is through prevention--start by becoming aware of any potential hazards that exist on your premises and take steps to correct them immediately.

Smoke detectors save lives. Smoke detectors are one of the most important safety devices available for protecting your premises against fire. Low in cost and easy to install, smoke detectors are unobtrusive in size and require little in the way of maintenance. Most importantly, smoke detectors can provide the early warning you need to detect and contain a fire before it can destroy your business. When choosing a smoke detector, be sure that it has an easily-accessible test button and a long-life battery backup. The alarm should be tested monthly for proper operation and a new battery should be installed at least once a year (or whenever the detector starts to "chirp"). Be sure that the type of smoke detector you choose can be daisy-chained with all of the other smoke detectors on your premises so that an alarm condition will trigger all of the alarms in the chain.

General Fire-Prevention Guidelines

  • Conduct a general fire-hazard check when you secure your facility at the end of the business day.
  • Periodically check all smoke detectors for correct operation and replace backup batteries.
  • Lock all sprinkler control valves in the wide-open position using sturdy locks and chains.
  • Keep an adequate number of fire extinguishers on hand and recharge them regularly.
  • Keep heating, air conditioning and maintenance areas clean and free of any flammable materials.
  • Use light bulbs that are the proper wattage for your lighting fixtures. A bulb of too high wattage or the wrong type may lead to overheating and cause a fire.
  • Don't plug one extension cord into another.
  • Keep fire exits and escape routes clear and well marked.
  • If possible, provide around-the-clock security patrols.
  • Periodically inspect your premises for any new fire hazards.

What To Do in the Event of a Fire

Knowing what to do in the first few minutes when a fire breaks out at your facility is essential for minimizing property losses, preventing injuries and saving lives. In the event of a fire, call the fire department immediately, regardless of the size of the blaze (never assume this has been done). Many businesses have been destroyed by small fires that got out of control in the time needed by the fire department to arrive. You should also activate the nearest fire-alarm pull station if one is available on your premises.

A special note for indoor-storage owners: If you or your employees have any doubt about the size of a fire or your ability to contain a blaze, you should evacuate the premises immediately and be sure to close all doors and any windows behind you. If you encounter smoke, take an alternate exit or crawl underneath it, staying low to the floor where the air is cleanest.

A note about fire extinguishers: In the event of a fire, fire extinguishers will almost certainly be your first line of defense. When choosing a fire extinguisher, you need to be aware there are four basic types suitable for different situations: Type I is rated for use on small paper or wood fires; Type II is rated for use on grease fires; Type III is rated for use on electrical fires; and Type IV is rated for use on all of the above. Although a Type IV extinguisher costs a bit more than the others, it is preferred for the added protection it offers.

Remember, as a facility owner you are responsible for:

  • Preparing a fire safety plan and training program;
  • Posting fire emergency exit procedures for tenants; and
  • Conducting employee fire drills on a regular basis.

As part of your operation's safety program, your employees should know:

  • Their responsibilities in the event of a fire according to your fire safety plan;
  • The location of the two exits closest to their work area;
  • The location of the nearest fire-alarm pull station (if available on your premises); and
  • The phone number for the nearest fire department (calls dialed to 9-1-1 may be subject to unnecessary delays).

Fighting Small Fires

The very first thing you or any employee should do in the event of a fire is to call the fire department (or dial 9-1-1) and ensure everyone has evacuated your premises. Once that has been done, you may attempt to control a small fire with a fire extinguisher that is properly rated for the type of fire you are fighting (paper, electrical, etc). Remember, the most important concern when a fire breaks out is your safety and that of your tenants and employees. Keep the following three points in mind:

  • Never fight a fire if it is large or spreading.
  • Never fight a fire if your escape route may be blocked by the spread of fire.
  • Never fight a fire if you are unsure how to correctly use of the extinguisher or are unsure of the type of fire.

David Wilhite is the marketing manager of Universal Insurance Facilities Inc. Universal offers a complete package of coverages specifically designed to meet the needs of the self-storage industry, including loss of income, employee dishonesty, comprehensive business liability, hazardous-contents removal and customer storage. For more information, contact Universal at Box 40079, Phoenix, AZ 85067-0079; phone (800) 844-2101; fax (480) 970-6240; www.vpico.com/universal.


Reducing the Likelihood of Arson at Your Facility

Arson is one of the leading causes of commercial fires. In fact, fire-safety experts estimate that nearly one-quarter of all fires affecting businesses may be the work of arsonists, many of whom are vandals or burglars attempting to destroy any evidence of their break-in. Listed below are some common-sense guidelines that you and your employees can follow that can help reduce the likelihood of arson in your facility:

  • Watch out for strangers who appear to be loitering on or around your premises; notify the police in the event of any suspicious behavior.
  • Be especially alert for any threats from, or unusual behavior by, disgruntled employees.
  • Be sure that all doors and windows are securely locked after working hours.
  • Make sure that outside doors, windows and alleyways around your premises are well-lit in the evening hours.
  • Keep trees and bushes trimmed low near buildings so they can't be used as cover by an intruder or present a fire hazard.
  • Keep all public areas in your facility clear of any flammable materials.

Secrets to Successful StaffingUnderstanding the legalities of hiring and firing employees

Article-Secrets to Successful StaffingUnderstanding the legalities of hiring and firing employees

Secrets to Successful Staffing
Understanding the legalities of hiring and firing employees

By Scott Zucker

There are numerous state and federal laws that restrict employers in their hiring and firing decisions. As a result of these laws--many of which can impose significant penalties for violations on employers--it is crucial that all companies understand the laws and apply them to their employment practices.

Hiring

One of the most important laws involving employees' rights comes from Title VII of the 1964 Civil Rights Act. This legislation prohibits employers from making adverse employment decisions based upon race, gender, national origin or religion. The law therefore restricts the level of pre-employment inquiries that an employer can make in order to avoid discriminatory hiring.

Since 1964, there have been many other laws enacted to protect individuals from potentially discriminatory inquiries, for example in the areas of age and education. With the passage of The American with Disabilities Act in 1990, there have been sweeping reforms in certain employment practices since the law requires that all qualified individuals should be considered for employment, even those with disabilities, as long as the disabled individual can perform the essential functions of the employment position with reasonable accommodation. The ADA provides that an employer may not require pre-employment medical examinations or medical histories, but may condition a job offer on the results of a post-offer medical examination. A test that screens out or tends to screen out a disabled person on the basis of the disability must be job-related and consistent with business necessity.

The ADA also narrowed the field of appropriate questions that can be asked as part of the hiring process, especially in the area of prior drug or alcohol use. Although it is illegal to ask questions in the pre-employment stage concerning the past use of drugs, an employer can make an offer of employment conditional upon passing a drug test, provided all new hires are required to do so.

Based upon the state and federal laws, job applications should be nondiscriminatory and should not contain questions about the applicant's race, sex, age, religion or national origin, marital status, number or ages of children or other dependents, or the existence, nature or severity of a disability. Job announcements, advertisements and other recruitment notices should include information on the essential functions of the job. The laws, however, do allow inquiries into an applicant's credit history and criminal history, as long as the applicant approves of such an inquiry. Employers can be held liable for an employee's actions where the employer failed to perform an adequate investigation of the employee's background prior to hiring and the employee commits a criminal act or causes injuries to persons or property. Such claims of "negligent hiring" can be defeated where the employer has conducted a thorough background check on the prospective employee.

During Employment

One of the best methods to limit disputes during the employment relationship is with the use of employment agreements and handbooks. The use of employment agreements between self-storage owners and managers has continued to flourish over recent years. One of the reasons for this growth is the mutual desire of both owners and managers to formalize their relationship. Employment agreements allow both parties the opportunity to clarify their roles and responsibilities in the operation of the business. Most importantly, an employment agreement includes what is necessary to record the understanding of the parties so as to avoid future disputes over issues such as the employee's duties, compensation and benefits.

The purpose of an employee handbook is to communicate to the employees the personnel policies and standards of the company, and to provide to the employer written guidance as to how to implement and enforce those policies and standards. The most important function of an employee handbook is to create consistent guidelines for both employees and employers so as to reduce the risk of disparate treatment. If used properly, a handbook can protect employers from lawsuits by making clear to employees that treatment by their employers will be fair and uniform.

An employee handbook can also motivate employees by informing them that the employer has carefully considered benefits available to them such as workers' compensation, health insurance and vacations. There should be an affirmative statement in the handbook, both repeated in the introductory section and throughout the text, that the handbook does not constitute an employment contract and that the employment relationship remains as one terminable at will.

"Employment at will" is based on the concept that an employee may quit his job at any time for any reason, and that the employer has the equal right to terminate an employee at any time for any reason. When an employer hires an employee to work for an indefinite period of time and the employee does not have a contract limiting the circumstances under which he can be discharged, the employer can terminate the employee at any time without legal liability with or without cause. Yet, employers must still act in good faith, even under an employee-at-will relationship. Wrongful discharge arises when a termination is made in bad faith and involves the violation of a legal right of an employee.

Firing

Improperly handled employee terminations can create significant liability for an employer; it is, therefore, crucial that policies be in place to assist an employer in properly handling such stressful events. Terminations with "at-will" employees can be "for cause" or "without cause." There are certain actions that are overwhelmingly supported as "for cause" reasons for dismissal. These are falsification of records, theft or any other violation of law, disorderly conduct or abusive behavior, repeated acts of insubordination or failure to comply with company policy, drunkenness at work, substandard performance of work, indecent conduct at work, acts of sexual harassment, and excessive unapproved absenteeism or tardiness.

Many of these acts provide grounds for immediate dismissal without prior notice, such as in the case of verbal or physical threats from the employee. Other acts may result in termination only after repeated violations. In those cases, where the employer has properly documented each infraction in writing in the employee's file, the employer should be able to produce documentation for the employee to establish cause for the termination. Discharge decisions should be made only by top management and should be handled only by those trained to issue terminations. Disciplinary actions leading to terminations should be consistently handled as to all employees.

Court rulings have determined that an employee cannot be fired for filing worker's compensation claims, filing charges with the Department of Labor, reporting OSHA violations or for receiving garnishments for debts. Certainly, just as the laws do not allow discriminatory practices in the area of hiring, nor do the laws allow discrimination in termination decisions based on an employee's race, sex, age, religion, national origin or disability.

In order to prove discrimination, an employee has to have at least a satisfactory job performance record. Such a good employee record might suggest that the termination occurred for reasons other than job performance. An employee with a bad job-performance record has a more difficult time in pursuing a discrimination claim since the lawsuit may be perceived as a retaliatory act by the employee for the loss of their job. Therefore, it is important that employers document all disciplinary actions that occur in the workplace and keep a record of those actions.

There are numerous guidelines to follow when it comes to employment laws and potential liabilities, but an employer can protect himself if it complies with a few basic guidelines:

  • An employer should have a hiring plan that includes a written job description for the employee to be hired and identifies the essential functions for the position;
  • The company should use an updated job application that limits the questions to those pertinent for the position to be filled, and all hiring materials should be revised to eliminate all references to an applicant's medical history, and physical or mental disabilities;
  • The person responsible for conducting interviews for the company should be trained to focus all questions on job-related functions and avoid any pre-employment inquiries concerning whether an applicant has a disability or medical condition;
  • Companies should check references and perform background checks on all potential hires;
  • Companies should use employment handbooks and agreements; and
  • Employers should document all employee discipline actions and be consistent on all discipline and discharge decisions.

Through compliance with these few items, an employer can reduce the likelihood of employment claims and costly litigation by disgruntled employees.

Scott I. Zucker is a partner in the law firm of Weissmann & Zucker, P.C. Mr. Zucker is an expert in the field of self-storage law and represents self-storage owners and managers throughout the country in matters that include contracting for construction, preparing lease agreements, defending tenant claims and handling employment disputes. He can be reached at (404) 364-4626 or via e-mail at [email protected].

Store Wars: The Saga ContinuesA development update on self-storage in Phoenix

Article-Store Wars: The Saga ContinuesA development update on self-storage in Phoenix

Store Wars: The Saga Continues
A development update on self-storage in Phoenix

The Phoenix real-estate market is in its sixth year of a flourishing self-storage boom. The most elusive element with any cycle is knowing when it has reached its peak and the slide downward has begun. With more than 200 people per day moving to the Valley, storage demand soars. The number-one threat to real estate has always been oversupply, which puts downward pressure on rental rates, occupancy and net-operating income. Investors then begin applying higher cap rates, resulting in lower values for your facility.

So, where are we in the latest self-storage cycle? There have been three major decades in the history of the Phoenix self-storage industry. The '70s, '80s and '90s were each a distinct period. It's important to review the history of each to understand where we are headed.

In the Beginning...

The birth of self-storage in Phoenix began in 1970 and continued for a decade. Averaging annual additions of 400,000 square feet, while reaching 2.6 square feet per person, a healthy industry developed.

The 1980s: Boom and Bust

The 1980s boom began in 1982 with the abundant flow of syndication capital. The rumble of self-storage construction was heard throughout the Valley as 6.7 million square feet (more than one million square feet per year) was added to the base. An incredible all-time record was established in 1985 with the erection of 37 facilities totaling more than two million square feet. The '80s topped out in 1987 with an all-time record supply of 5.38 square feet per person. The bust hit in 1988 with the Savings-and-Loan failure and the lack of available capital. The bust lasted for nearly seven years and yielded almost no construction.

The Roaring '90s

The roaring '90s came alive in 1994 with the revival of construction. There was pent-up demand in many parts of the Valley. Interestingly, more than 50 percent of the new construction in 1994-1995 was by first-time self-storage developers. In fact, during the '90s, there have been 27 facilities opened by developers new to the industry. Construction continued to grow throughout the decade with annual construction nearing one million square feet since 1996.

So where does 1999 fall in the cycle and where will the new millennium take us? Six new properties have opened in 1999, and 12 more are under construction. More alarming are the 21 that broke ground in the second half of the year and another 46 proposed for the future. More than one million square feet of storage was added during 1999. Despite all of the fears associated with overbuilding, the current overall occupancy rate remains near 80 percent.

The Battle

The unprecedented growth in new residential construction and the increase in population is driving the current cycle of self-storage construction. Population increases of 80,000 per year create an absorption level of 320,000 to 400,000 square feet. So why are we adding one million square feet annually, and will this create an overbuilt situation?

It seems that the self-storage industry is increasingly viewed as a niche business. We must, therefore, look at the submarkets rather than the overall market. Developers and operators have replaced their three- to five-mile competitive analysis and are focusing more frequently on a two- to three-mile competitive radius. Successful developers are employing more sophisticated tools in their site selection. Global positioning, system-based demographics and competitive analysis are now common. On the surface, it seems that self-storage has been overbuilt. However, some of our older space is functionally obsolete and is being replaced by state-of-the-art product. The new product offers features such as climate control and advanced security features.

It appears that the real-estate axiom of "location, location, location" is in full gear in the Phoenix market. An audit of successful new stores finds high absorption rates for well-selected sites with lagging leaseup in poorly positioned properties. One store filled completely in five months with another currently leasing three per day. On the other hand, there are stores that have been open for two years that are having real difficulty reaching their lease-up projections. Competing objectives present a challenge for the independent developer. While the independent developer seeks a site based upon an initial desired return, the national REITs sometimes are driven by the desire to increase market share.

As we enter the new millennium, only one thing is certain: The self-storage industry will be shaped by its developers and owners. Development planned solely for the "high returns offered by self-storage" must give way to responsible development in demand-driven niches. Development returns on new properties, as well as the value of existing facilities, are sure to decline from the high levels of the recent past unless sound fundamentals replace speculative overbuilding. Let's hope for the pursuit of responsible development, which remains well focused and selective.

Kent Greenwald is a first vice president of CB Richard Ellis Self Storage Advisors, which has participated in the sale of more than $350 million worth of self-storage properties. Mr. Greenwald may be reached at (602) 735-5519.

Buying Contaminated?Effectively managing environmental issues that affect property purchases

Article-Buying Contaminated?Effectively managing environmental issues that affect property purchases

Buying Contaminated?
Effectively managing environmental issues that affect property purchases

By Michael D. Frede

Many people involved with real estate in the self-storage industry are familiar with how environmental liabilities can significantly affect the profitability and viability of a self-storage development. However, recent changes in environmental regulations have created new opportunities for purchasing sites previously considered to be environmentally "risky." Developers can now more seriously consider buying a contaminated site because environmental issues, when effectively managed, are less likely to hinder the overall business plan.

History of Regulatory Trends

Originally, the liability for environmental contamination was to be borne by the entity that caused the contamination. However, the reauthorization of the Superfund Act in 1986 (SARA) shifted the liability to the current property owner, whether he caused the contamination or not (it cost the government too much to chase down the responsible party).

This simple change caused a tidal wave of changes in the public and private sectors. The lending industry was now more at risk because it was forced to choose between foreclosing on contaminated property (and taking on the responsibility of the site conditions) or writing off a loan. The environmental-consulting industry, almost nonexistent prior to that point, absorbed a huge increase in work it wasn't overly experienced at, and implemented programs for the research and development of new technologies. The legal industry was forced to establish new precedents in lawsuits brought to allocate the responsibility for the costs of contamination between current and past landowners. Lawmakers were forced, without adequate technological data, to implement new policies that would protect our natural resources without significantly affecting the lending industry or private-property owners.

Also, the rapidly changing regulations threw a scare into the entire real-estate industry because the future risks could not be defined. As time has passed, pressure from lenders and private-property owners, as well as experience gained by the consulting industry, have demonstrated that the original regulations were too strict. Their strict policies caused many contaminated sites that didn't really pose a risk to human health or the environment to be remediated.

Typical Environmental Conditions

The inexperienced developer typically thinks that environmental risks are rare (something that happens to the other guy) and are limited to large industrial properties, such as steel mills, chemical plants--and "those large facilities with smoke stacks." However, the most common properties with contamination--and those most likely to affect self-storage developers--are existing or former gasoline stations, dry cleaners, auto-repair businesses, paint shops, etc. Although these types of properties usually are not a Love Canal kind of situation, they can have contamination that previously would cost hundreds of thousands of dollars to investigate and remediate--enough to bankrupt a smaller developer or at least significantly affect the financial viability of a self-storage project.

Another common type of environmental condition is land that has been filled. Frequently, the fill contains materials that can cause contamination (e.g., chemical barrels, foundry sand, asphalt debris and wood chips from utility facilities). In addition, many properties are contaminated because they lie near other contaminated sites. Contaminants will migrate downward with rainwater infiltration until they reach the groundwater table, then migrate horizontally as the groundwater flows through the soils or bedrock. In either case, the presence of contamination is an issue that needs to be evaluated, whether it was caused by the owner or originated on site or not.

New Purchaser Advantages

In recent years, regulators have developed a more relaxed attitude that has resulted in reduced economic risk for many contaminated properties so they may become financially viable development options. Regulators have been convinced that not all contamination needs to be remediated. Liability-limitation statutes have eased concerns that future regulatory changes may result in undefined risks that make lenders, lawyers and developers nervous.

Many states have written new rules that also limit the maximum cost of remediation when specified investigation guidelines are followed. Regulators are also willing to offer third-party indemnification letters when contamination is found on a site that is proven to originate off site. Court cases have established precedents that define responsibility for contamination; this helps lenders and owners identify their risks. Also, lender liability has been reduced when they demonstrate that they were not involved in the operations of the business.

Many states have developed alternatives to costly remediation efforts, such as institutional controls (e.g., well and construction restrictions and deed notices) and engineering controls (e.g., covering an area with pavement) so that health concerns are still addressed. Many public agencies have established special "brownfield" grant and loan programs to not only assist, but encourage, the development of contaminated property, although these programs have limited access for the private, for-profit development sector. In fact, the local government entity routinely assists in numerous ways when someone is willing to develop a contaminated parcel.

In addition, the insurance industry has created policies that can be purchased by property owners to replace financial uncertainty with specified costs. Although premiums for such policies can be pricey, these policies place a ceiling on potential cleanup costs. With all these advantages, purchasing and developing a property with environmental issues is not as costly and risky as it used to be.

Recommendations Before Purchasing Property

Prior to purchasing any property, you should become familiar with its history and geological conditions. It is prudent to identify any unusual environmental and construction costs for budgetary reasons. It is also prudent to protect the large investment needed to develop a site from unexpected costs. Prior to providing a loan, lending institutions will complete an environmental-screening questionnaire to determine the necessity for a Phase I environmental site assessment. A Phase I consists of historical research and a site reconnaissance, and its purpose is to evaluate the potential for contamination to exist from past site or nearby activities. Completion of an ASTM Standard Phase I is necessary to qualify for the "innocent landowner defense."

If the Phase I concludes that there is a potential for contamination to exist, a Phase II should be conducted. A Phase II consists of collecting soil and/or groundwater samples at specific areas for specific chemicals to confirm the presence or absence of contamination. A Phase II does not define the size of the contaminated area or determine if remediation is warranted.

If the Phase II confirms the presence of contamination, a complete remedial investigation/feasibility study (RI/FS) is necessary to determine the need and costs for remediation. Usually, the buyer and seller will enter into negotiations to determine who will be responsible for completing the RI/FS, and how the selling price may be affected. An RI/FS consists of a thorough scope of soil and/or groundwater sampling to define the extent and degree of contamination, determine the necessity for remediation, and identify the most appropriate method of remediation, if needed. Prior to this phase, the regulatory agency has not been involved in the process. This is the point that the new regulatory attitude, which affects the need and scope of cleanup actions, can significantly reduce project costs.

Unlike other industries, the self-storage industry can take advantage of some of the emerging alternatives to costly remediation methods. One alternative consists of paving an area of contamination to inhibit the infiltration of rainwater or melting snow. Since storage-facility sites are covered with pavement and buildings, this option is a natural fit. Also, environmental problems don't create the stigma that would exist with many other types of businesses, such as restaurants, day-care centers and office buildings.

Market forces (i.e., perceived liability risks) that can affect the costs of a project still exist, but those forces are increasingly less significant as the private real-estate market continually gains experience in dealing with environmental issues, and prime locations become more scarce. Also, what an owner can gain in reduced costs needs to be weighed against the increased time it may take to obtain a "closure letter" from the regulatory agency because additional requirements for investigating and monitoring a site may be requested before the regulator is comfortable with the conditions.

Conclusions

Recent changes to environmental laws have created more financially viable properties because of the lower cleanup standards. More entrepreneurial and private companies can readily take advantage of these changes. Buyers do not have to walk away from an otherwise attractive property because, not only are potential remediation costs lower, but limited grant and loan programs and liability-limitation laws can reduce out-of-pocket costs.

A savvy, knowledgeable buyer can use the historical attitudes that promote lower property values on contaminated sites to obtain otherwise viable sites that others have avoided at below-market prices. This can increase the potential net-operating income and equity of the development. Environmental risks still exist, but are more manageable than in the past and actually can be less significant in the financial viability equation than many other factors.

Michael D. Frede is a registered professional engineer, and the president and owner of King Development LLC and Drake Environmental Inc. Mr. Frede has more than 15 years of consulting experience in the fields of geotechnical and environmental engineering. He has conducted geotechnical and environmental investigations in 32 states.

Mr. Frede wishes to extend his appreciation to two professionals who contributed their valuable time and knowledge to assist him in producing this article: Mr. John M. Van Lieshout, environmental attorney with the Milwaukee, Wis., office of Reinhart, Boerner, Van Deuren, Norris & Rieselbach, S.C.; and Mr. R.K. Kliebenstein, vice president of integration, Extra Space Storage, Las Vegas, Nev.


Definitions

ASTM--American Society for Testing and Materials: an organization that develops consensus standards and related technical information for industry.

Closure letter--A letter from the governing regulatory agency indicating that additional investigation or remediation of a contaminated property is no longer necessary. Closure letters are either unconditional or conditional, and their requirements vary from state to state. An unconditional closure effectively places no restrictions on the property--the property may be treated the same as a property that was never contaminated. A conditional closure places one or more restrictions on the property that are typically enforced by a deed restriction or notification. Such restrictions may limit certain uses of the property (such as for potable water) or may require certain actions (such as maintaining a cap or barrier to isolate contamination).

Innocent landowner defense--That defense to the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) provided in 42 USC ß9601(35) and ß9607(b)(3). One of the requirements to qualify for this defense is that the party make "all appropriate inquiry into the previous ownership and uses of the property consistent with good commercial or customary practice." (ASTM, Standard Practice for Environmental Site Assessments: Phase I Environmental Site Assessment Process, E 1527-97, p. 5.)

Remediation--The implementation phase of a site cleanup that follows a remedial investigation/feasibility study (RI/FS); may consist of active or passive methods to eliminate soil and/or groundwater contamination.

RI/FS--Consists of a remedial investigation, an in-depth study designed to gather the data necessary to define the extent and degree of contamination, followed by a feasibility study, consisting of the analysis of potential cleanup alternatives for a site and, possibly, an evaluation to determine whether a proposed remedial method will be effective considering the environmental conditions of the subject site.

SARA--Superfund Amendments and Reauthorization Act (1986); federal law reauthorizing and expanding the jurisdiction of CERCLA.

Site reconnaissance--A site visit during which visual and physical observations are made to the subject property and any structure(s) located on the property to the extent not obstructed by bodies of water, adjacent buildings or other obstacles (ASTM, p. 13).

Superfund:--The program operated under the legislative authority of CERCLA and SARA that funds and carries out the Environmental Protection Agency's solid waste emergency and long-term removal and remedial activities.

Third-party indemnification (i.e., liability exemption)--In the case of environmental contamination, an owner's legal exemption from the liability associated with the presence of contamination on the owner's site when the contamination originates from off site.


Brownfields
What they are, how to use them to your advantage

By Michael D. Frede

King Development LLC was created by the owners of Drake Environmental Inc. to purchase and remediate contaminated properties to either sell or develop with self-storage facilities. King Development focuses on a specific type of contaminated property; brownfields. Brownfields are abandoned or underused industrial or commercial properties where site upgrading or redevelopment is hindered by known or perceived environmental contamination.

At all government levels, the interest in cleaning up and returning brownfields to productive use has moved this specific environmental issue to a major public-policy issue. The Environmental Protection Agency estimates there are 450,000 brownfields in the United States. In the State of Wisconsin alone there are an estimated 8,000 brownfields, 1,500 of which are believed to be tax delinquent. If left as is, these properties present health, economic, environmental and social challenges to the communities in which they are located.

Some brownfields exist because property owners have been unable or unwilling to incur the costs to investigate or cleanup their land when contamination is suspected or known to exist. Consequently, the property is abandoned, which forces the lender (if a mortgage exists) or government entity (if back taxes exist) to consider foreclosure. Many lenders and government bodies will not foreclose on environmentally questionable property due to liability, and the property may remain abandoned for years. When the environmental conditions go uncontrolled, a property becomes an eyesore and adversely affects the tax base.

The process that King Development follows varies from site to site. Due to the company's unique experience in investigating and remediating contaminated properties, it can select the most financially feasible brownfield sites to purchase. Then, in some cases, it will purchase the property directly from the current owner at a discounted price, depending on the estimated costs of investigation and cleanup, site preparation, and any back taxes or liens that exist. For some properties, King Development may work through a foreclosure action with the government body to obtain ownership. In these cases, the company will also be able to purchase the property at a discounted price, especially since all liens and back taxes are usually eliminated.

An important factor that makes brownfields projects financially viable is the regulatory changes that have recently occurred in the area of cleanup standards. These changes have greatly reduced the costs necessary to remediate contaminated land. In many situations, no remediation is warranted because the investigation results demonstrate that the conditions do not exceed the new cleanup standards and are not harmful to human health or the environment. Consequently, closure letters from the regulatory agencies, which state that no further investigation or cleanup is necessary, are more easily obtained.

In summary, King Development is able to identify properties that can be purchased and brought into environmental compliance at a cost less than the fair market value. Because King Development evaluates the environmental and economic conditions prior to purchasing a selected property, which provide an indication of the financial viability of the property as a self-storage facility, additional equity and higher net-operating income (NOI) can be achieved.

Changing Attitudes in Self-Storage

Article-Changing Attitudes in Self-Storage

Changing Attitudes in Self-Storage

By Cary McGovern

1999 marks the year that records management changed in the self-storage industry. More and more operators are adding the service to their business lines. What's caused this change in attitude? Why are more and more people interested in records management?

A New Mindset

For years and years, records management has been considered incompatible with self-storage--self-storage consultants who do not understand the nature of the records business have fostered that myth. Commercial records operators have been busy grabbing existing business from self-storage businesses. This is true because most self-storage operators do not understand the reasons that their customers left them for the traditional, commercial records centers. The best part of the records business is its longevity; records tend to stay in your facility forever.

1999 in Retrospect

During 1999, I personally felt as though I was on a quest, which was to help educate the self-storage industry in records management. I believe that I have been somewhat successful. This year, my company answered more than 300 requests from self-storage operators that were received by fax, phone, e-mail and personal visits. We have assisted nearly 100 operations this year alone in getting started in the records-management business. My monthly column in this magazine has been a principal means for delivering the basic message. Since we are limited in our ability to explain complex issues in columns, we have created much more in the way of educational and training materials. I have also delivered the message at each of the Inside Self Storage Expos and provided several start-up seminars for clients.

Available Resources

Articles. If you have missed any of my columns over the last two years, you can access them free of charge from the Inside Self-Storage Web site at www.insideself storage.com; simply go the archive search and enter my last name or the key words "records management." You can also access them at www.fileman.com. If you don't have Internet access, just call me and I will get copies to you.

Software. The resources for software have been fairly consistent over the last few years. Both the O'Neil system and the Andrews system continue to be the only traditional commercial-records software that I recommend. However, I consider the self-storage industry to be a more nontraditional player in the commercial-records market. Some owners aren't willing to spend the big bucks on software for a modest start-up. For those clients, a metered, Internet-based software product is available where you pay only for each transaction.

Organizations

Records management as an industry has been around since the late 1940s. As a mature industry, there are several organizations that foster education and collaboration in records management. I highly recommend that you join them when you venture into the business.

ARMA International is the organization of practitioners in records management. With some 5,000 members, it is the largest organization in the world dedicated to continuing education in that arena. In affiliation with ARMA is the ICRM, the Institute of Certified Records Managers. This is an organization that provides certification for records-management professionals. The ICRM is recognized in our profession as a symbol of both professionalism and integrity.

PRISM International (formerly ACRC) is the Association of Commercial Records Centers. This organization of more than 500 traditional, commercial records centers is the primary focus for education and idea exchange for the records-storage industry. PRISM and ARMA jointly sponsor an annual event focused on commercial records management.

AIIM is the Association of Image and Information Management. This organization's focus is electronic document management, including electronic records. It is primarily a vendor organization and a showcase for new products.

Elements for Success

Remember these keys to a successful records-management business in a self-storage facility:

  • Use of existing storage units
  • Leased racking, one unit at a time
  • Metered software (pay per access)
  • Standardized operating processes
  • Canned marketing techniques
  • Outsourced courier services
  • Retrievals done by the courier
  • Outsourced monthly billing with electronic deposits
  • Video, audio and computer-assisted training

You can be profitable in the business within 90 days with little or no new cost. You already do records storage if you are in the self-storage business; records management is the next step. If you don't provide the service, you are the primary target for new business of traditional, commercial records centers.

Recently, I interviewed a salesman for a client. This salesman has worked for one of the competitor commercial-records centers in a major market. He told us that he has been in our facility dozens of times over the years to get the records business away from us. This is nothing new--for years commercial records centers have looked at the self-storage industry as an easy mark to find new records-management customers. Keep those accounts by transforming them from records storage to records management.

The New Millennium for Records Management

Look for more records-management columns in the year 2000. We have only scratched the surface in getting the self-storage industry into records management. You are positioned to provide the services better than any other industry. You have all of the requirements. All you need is the desire.

Regular columnist Cary F. McGovern is a certified records manager and owner of File Managers Inc., a records-management consulting firm that also provides outsourcing services, file-room management and litigation support services for the legal industry. For more information about records management, contact Mr. McGovern at File Managers Inc., P.O. Box 1178, Abita Springs, LA 70420; phone (504) 871-0092; fax (504) 893-1751; e-mail: [email protected]; www.fileman.com.


Resources for Records Management

Software

Andrews Software
One Andrews Circle
Beckville, OH 44141
(800) 807-2093
www.andrewssoftware.com

FileMan (FIRMS)
P.O. Box 1178
Abita Springs, LA 70420
(877) FILEMAN (toll free)
[email protected]

O'Neil Software Inc.
8 Mason
Irvine, CA 92618
(949) 458-1234
www.oneilinc.com

Organizations

ARMA International & ICRM
(800) 422-2762
www.arma.org

PRISM International
(800) 336-9793
www.prismintl.org

AIIM International
(888) 838-3165
www.aiim.org

Keeping Your Facility Fresh and New

Article-Keeping Your Facility Fresh and New

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Keeping Your Facility Fresh and New

By Harley F. Rolfe

Your self-storage facility needs to be as enticing at its 15th birthday as the new customers coming to visit it. The facility must attract prospective tenants for decades. There's no sentiment among prospects.--they don't care that you have been paying your dues for a number of years.

The "newborn" facility will get attention just because of the bustle of new construction. Let's admit it: There is a lot of natural curiosity about a new project of any kind, which translates into the prospect focusing his attention away from you. Plus, the added prospect kicker: A new facility may mean deals. The more new facilities that appear, the greater the possibility that there will be discounting. You know it, the prospect knows it. Though no solace, you were once the new kid, and your facility once got its share of the attention. But that's no help now, is it? You still need to be signing up new tenants.

You can be "new" forever--that's the function of marketers. The key to appearing fresh in the market is to change. Change catches the eye. It's basic to the human psyche, which registers change and motion. We want to accommodate those human characteristics, make them work for us. Remember sales rule numero uno--get attention!

In previous articles, we mentioned that the two favorite promotion themes were "new" and "free." The great Chicago advertising innovator, Leo Burnett, first enunciated these. While you must make your changes relevant to the needs of each market segment, doing so is not difficult. What you're after is a series of announcements to continually remind your prospects there is always something interesting going on at your facility that is relevant to them.

Your product or service offering can and should consist of a lot more than just your physical plant. The trick is to renew your offerings, not your facility. There is a need to present to the market a fresh new face ... continuously. It is important for a couple of reasons: Current owners need to be attractive to the population of new users. Then, there is the need to be able show prospective facility buyers that they will be able to maintain and grow the income stream through the coming period of their ownership. The last thing the current owner needs is to have worked to get the facility income in good shape only to see the prospective buyer want to discount the capitalized value because he's convinced he can't improve revenue.

Of course, a buyer may use any pretext to get the price down but, fundamentally, he will buy if the price is correctly related to current income and he is convinced that he can grow the income into the future. He is not just buying your physical asset. What he really wants is an improving income stream. He needs to inherit a program that you have already installed, which is poised to deliver those revenue enhancements. How can he know this to be the case? Because it's working for you.

Mercifully, the least of the "age" problems is the physical deterioration of the plant. We're not confronted with pesky mechanical systems that get very expensive to live with or replace. We can keep the appearance of the place respectable, so you can concentrate on value-enhancing programs indefinitely.

In addition to the long-term effects of intelligent marketing are the short-term "bennies." On a day-to-day basis, marketing efforts are aimed at getting the prospect to include you on his short list of facilities when he gets ready to select a self-storage facility. How do you do that? Part of it is to recognize that the product you're selling is not confined to the bricks and mortar making up your facility.

The use of "packaging" gives you the chance to change and update your offerings to the various segments that utilize your facility. (I have taken the liberty of using some terms outlined in previous columns, which are available on the Web at www.hardnosed.com.You might wish to review specifically the March and May articles, which offer more orientation on the process of identifying segments and using packaging.) The units are in good physical shape. But you now need to adjust the various other things that you can wrap into your offerings. These "other things" depend on the segment with which you're dealing. Those changes become the source of your announcement of something new. Packaging is your "Fountain of Youth."

Next you must consider how to get the word out. It may be sufficient to use your packaging plan in responses to incoming calls generated by the Yellow Pages. You may be more aggressive in using other kinds of media. But preceding any of that is the need to create change and make relative offerings (as viewed by the prospect).

The bottom-line is that you have only four ways to respond in a competitive market: You can fight with price, keep lowering price or control the supply (be the only game in town). Or, you can engage in product differentiation. Packaging is one way to do that.

Some may feel this is not at all what they bargained for when they entered this business. I don't make the rules. I try to report them to you in a useful way. Take a look at the larger world. Look at the array of promotional activity using these approaches. Each supplier is vying with his competition, seeking to distinguish himself to prospects. The rules employed are rooted in our humanness and, as such, are universal.

If your facility is moving along OK, then by all means, don't get involved with marketing. It's a lot more trouble than working with a commodity. And trickier. As the old adage goes, "If it ain't broke..."

Missed some previous issues? Check the Web site at www.hardnosed.com, which has been modified to include a search engine. It permits you to locate an expanded discussion of certain terms or concepts as they appeared in the original nine-part series.

Harley Rolfe is a semi-retired marketing specialist whose career included executive-level marketing positions with General Electric and AT&T. He also owned lodging and office facilities for more than 20 years. Mr. Rolfe holds a bachelor's degree in economics from Wabash College and a master's degree in business administration from the University of Indiana. He can be reached at his home in Nampa, Idaho, at (208) 463-9039. Further information can also be found in Mr. Harley's book Hard-Nosed Marketing for Self-Storage.

QuikStor Mini-Storage Management Systems

Article-QuikStor Mini-Storage Management Systems

Product Focus

QuikStor Mini-Storage Management Systems

QuikStor is a Sherman Oaks, Calif.-based producer of self-storage management software for both DOS and Windows applications. Following is a highlight of the company's product offerings.

Access Controls

QuikStor's access controls provide tenant access using a keypad or any magnetic card, allowing delinquent tenants to use their credit card to pay at the gate. The available 80-character display provides intelligent feedback to the tenant; the intercom allows communication from the manager's office; and the camera will automatically display a picture of each person attempting access, storing it digitally on your computer for later reference.

Computer-controlled access allows entry only to those people who should be on your property. Tenants can have more than one access code or several units on one code. The system can also be custom programmed to allow access during certain days and hours on a per-tenant or per-unit basis. These access-control devices help you take control over delinquencies, prevent break-in and tenant theft, and allow extended hours for selected customers. QuikStor permanently records all gate activity, which may be accessed by time of day or customer, for any date range, eliminating time-consuming searches through endless reams of gate printouts.

Gate Readers

QuikStor gate readers include a rugged 12-button keypad, the same familiar design used in outdoor pay phones. They also include a long-life magnetic-card reader similar to those used at gas stations. You don't have to distribute the access cards used with this form of access control--the tenant can use a credit card, AAA card, driver's license or practically any card with a magnetic stripe on the back. You swipe it once to store it in QuikStor's databases so that each time a tenant comes to access the facility, it compares the card they are using with the list of stored cards. The card reader provides additional security because the tenant must have physical possession of the card, unlike a key-code that can be passed along for others to use.

Tenants are announced as they enter the facility, and the time and duration of their visit is added to their permanent record. When delinquent tenants attempt to access the gate, they are denied. At this point, the QuikStor gate can accept the tenant's credit card for payment, meaning fewer headaches for the manager and instant payment of rent and late charges for the owner.

Door Alarms

Wireless alarms provide easy installation and security you can rent to your tenants for an added profit center. QuikStor offers a retrofit solution with tamper-resistant sensors that install outside the unit. These sensors are in operation at self-storage facilities across the country, including those owned by Public Storage.

These are the same wireless-door sensors already in use by the U.S. Armed Forces, Secret Service, Federal Bureau of Prisons, Department of State, CIA, FBI and others. QuikStor also provides other sensor products, such as freeze and overheat sensors that may be applicable to climate-controlled units; smoke detectors and motion sensors that may be useful in hallways; portable panic and gate-open pendants for the manager; and glass-break sensors that work well for RV storage. All of these sensors are 100 percent wireless.

QuikStor individual door alarms can protect one million square feet of storage in desert heat and freezing temperatures. Redundant transmissions provide reliability and performance. Furthermore, every door automatically checks in every hour of every day. Each door sensor is designed to transmit for more than 20 years without requiring a battery change or service and, yes, batteries are included.

The security systems features wireless sensors that encase the reed switch, transmitter, battery and all the electronics safely inside a compact housing. The only other required component is a magnet that gets mounted onto the storage door. This presents a clean finish and a visual deterrent to thieves.

For more information, including an on-line tour and the opportunity to download free demonstration software, visit the QuikStor Web site at www.quikstor.com, or contact Eric Young and Doug Carner via e-mail at [email protected]; phone (800) 321-1987. International customers call (818) 990-5575.