Landvest Corp., a property-management firm specializing in self-storage properties, has broken ground on a new project in Derby, a suburb of Wichita, Kan. The facility at Madison and Rock Roads will operate as Derby Storage. Though Landvest operates six facilities in the state, this will be its first in the city, according to a press release.

“We’re excited to expand our footprint in the Wichita MSA! We have operated here since 1985, and love the community,” said Brian Byrd, chief operations officer. “There is no doubt that this facility will amaze our neighbors, our customers and the community as a whole. This will be like nothing Derby self-storage users are accustomed to!”

Landvest is also developing a new Security Self Storage in Colorado Springs, Colo. The company operates four Security properties in the region, but this will be its first multi-story facility in the market.

Founded in 1985 and based in Wichita, Kan., Landvest manages a portfolio of more than 50 self-storage facilities in seven states under the Countryside, Iron Horse and Security Self Storage brand names. Its managed portfolio comprises more than 2.6 million square feet.

Update 12/7/18 – Reliable Mini received unanimous approval from the city council on Nov. 29 to build its self-storage facility in Apple Valley.

Prior to the vote, community-development director Bruce Nordquist presented a side-by-side comparison of the Reliable Mini and Wasatch projects. Reliable Mini was required to provide 97 parking spaces while Wasatch needed 164. In addition, city staff also reviewed the emergency-vehicle access for both projects and found them to be satisfactory.

“Although Wasatch continues to challenge staff on the quality of the development, [the council] appreciated all the other responses,” Nordquist said.

Bergman said he was ready to move forward with a vote. “I also believe the other petitioner that was here. That was kind of unique for us, kind of off from what we’re normally used to,” he said, adding that city staff and the planning commission always examine the quality of projects.

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A self-storage development proposed for the northeast corner of Evendale Way and Upper 147th St. was tabled in Apple Valley, Minn., on Nov. 15 after concerns were raised by city council members and another self-storage owner. Reliable Mini Warehouses of Apple Valley is seeking approval to construct six buildings containing 52,100 square feet of storage on the vacant parcel. The council postponed its decision to Nov. 29 so members can gather more information about the project, according to the source.

During the meeting, the council was expected to approve the final plat, development agreement, site plan and building permit for the facility, all of which are typically passed with a single motion without discussion, the source reported. However, it was pulled from the consent agenda for further discussion. Although the meeting wasn’t considered a public hearing, the council permitted comments about the project, which was unanimously approved by the Apple Valley Planning Commission on Sept. 19.

Scott Wyckoff, president and chief development officer for Wasatch Storage Partners, which operates a self-storage facility near the proposed site, said he only recently learned of the proposed development and commented on several aspects of the project. There are disparities between the approval process for the two sites, he said. For example, Wasatch had to provide 165 parking spaces, while Reliable Mini is only being asked for 75 to 80. In addition, the new facility should include cosmetic and architectural elements that are compatible with surrounding buildings, just as Wasatch was required to complete aesthetic improvements. The current design resembles “first-generation” storage facilities or residential buildings, he said.

“We don’t feel like this project has been thoroughly vetted comparable to the way our project was vetted. We obviously don’t like the idea of a competitor moving in next door, but if it does move in, we’d like it to be consistent with the same design standards and the same requirements we had to meet,” said Wyckoff, who requested the council hold off on approving the project until his concerns were addressed.

Alex Sharpe, city planner and economic-development specialist, said the planning commission believes the project is consistent with city code, and members specifically commented on the residential feel of the buildings. “They made comments at that meeting that it was a good transition to the residential next door and kind of a marriage of both worlds between the industrial and the residential,” said Sharpe.

As for the building’s look, the city “does not evaluate sites on the perceived quality of an operation,” he said. “We do have performance standards for some of the materials and worked quite extensively with the applicant to change up some of their operations to add additional quality standards,” Sharpe added.

Nino Pedrelli, who represented property owner Patina Apple Valley LLC, said the project does meet the city’s industrial codes. Several attempts have been made over the last decade to the develop the site, but previous projects were rejected, he said.

Vince Schroeder, a partner for Reliable Mini, told the city council he had reached out to Wasatch “in an attempt to get along.” His facility, which won’t offer climate-controlled storage, will refer customers who desire that feature to Wasatch or nearby Menards Self Storage. “From our point of view, we understand there’s a need for storage in the city. We found a piece of land that has permitted use, and we changed our plans to meet with all the city council’s requirements, and we’re excited to be here,” Schroeder said.

Councilmember Tom Goodwin said he has spoken with residents, who claimed the Reliable Mini facility was “the best the city was going to get.” The community had disapproved of previous proposals for the property, including an apartment complex and bus garage, Goodwin noted.

Councilmembers John Bergman and Ruth Grendahl weren’t ready to vote on the project pending unanswered questions. “I understand being consistent with city code. I also want to know that we have the same standards for everybody,” Grendahl said. “We have a minimum code, I understand that, but people work with staff and do different things. I just want to make sure people have been treated consistently in the process here.”

Because the development had already been approved by the planning commission, councilmember Clint Hooppaw said he was ready to vote. “I think staff has answered these [questions] sufficiently for me. I think this went to the planning commission process—the opportunity was there. I watched the planning commission video. I read the packet. I’m ready to move forward,” he said.

Mayor Mary Hamann-Roland hoped for a unanimous decision and believed the council could get there if some questions were answered. Bergman, Goodwin, Grendahl and Hamann-Roland voted to postpone the vote, while Hooppaw cast the dissenting vote.

Reliable Mini operates three facilities in Chippewa Falls, Elk Mound and Menomonie, Minn.

Based in American Fork, Utah, and founded in 2015, Wasatch specializes in self-storage acquisitions, development and property management. It operates five facilities in Arizona, Colorado, New York and Tennessee under various brand names. It also has a project under construction in Federal Way, Wash., and a pending land-acquisition deal in Inver Grove Heights, Minn.

Source:
Sun This Week, Concerns Raised Over Proposed Self-Storage Facility in Apple Valley
Sun This Week, Apple Valley City Council OKs Self-Storage Facility Project

In the self-storage industry, we generally deal with customers who are going through some sort of moving process. Life is full of transitions, and we facility operators are often on the front line. To be of help, it’s common for us to recommend local moving companies to our tenants. We hand them a business card or flier, wish them luck, and then the mover makes the money.

Why leave that ancillary revenue on the table? Perhaps it’s time to consider the addition of moving services to your list of offerings. It can bring profit to your business, but it also adds value to your brand and customer experience.

Choosing a Method

If you’re interested in providing moving services, there are two options to consider. You can either establish yourself as an agent who refers customers to a third party in exchange for part of the revenue, or you can launch your own moving company. There are pros and cons to each.

Partnering with a local mover is often cheaper than launching your own service. There are fewer regulations and less liability for your company. On the other hand, you have to share the income and won’t have total control over the quality of service provided.

If you go this route, establish a proper operating agreement with the moving company. Identify the terms to which you should both abide, including simple stipulations for cancellation in case you decide to end the relationship. Don’t get trapped in a partnership that doesn’t work for you. A contract can decrease stress if issues arise between your company and the mover.

If you launch you own service, you must consider startup costs, insurance requirements, equipment, ongoing vehicle maintenance and staffing needs. You also need to properly establish your company and follow any federal and state protocols. The reward is all the revenue stays in-house and you can control the operation.

No matter which method you choose, it’s wise to contact your state department of transportation or the Federal Motor Carrier Safety Administration to learn about applicable laws governing agents or moving companies. If you partner with a mover, it’s important to pick one that follows the rules.

Making Money

The profit from moving services can be substantial. If you partner with a mover, you easily earn revenue by referring qualified leads. Your staff doesn’t need to know all the ins and outs of the business since they’re only giving referrals. They help convert prospects to customers, sending the mover new business it might not otherwise have had. That said, it’s up to the mover to close the deal. Let it handle the quoting process.

If you launch your own moving service, revenue will be dependent on several factors. These include how many vehicles you provide, how much staff you can commit to the operation, and monthly expenses such as insurance and truck maintenance.

Creating Value

A moving service creates great value for your customers, as they don’t have to deal with multiple businesses to get all the assistance they need. When they have to use different companies for storage, packing supplies and moving services, it can quickly become a large chore. When you offer multiple services under one roof, it makes their life much easier. You’ll relieve them of a lot of stress.

Your brand will also increase in value, not only because you’ve created a competitive advantage for your business, but because you’ve enhanced the customer experience. When you’re able to satisfy more or all of your tenants’ needs in one place, you bring more quality to the market.

Training Staff

Once you’ve established your moving service, you’ll need to train your staff to sell it. Any time you create a new product, there’ll be a learning curve. Having a proper training process, holding a company meeting, and creating a few call scripts or sales guides can help your team have productive conversations with prospects and turn them into qualified leads.

It’s important to keep the sales process simple and easy to understand for staff and customers. If selling these services becomes too difficult, you may find yourself wasting time and resources.

Marketing

A marketing strategy is important to get the service off the ground. Create a few messages about your offering and add them to your overall campaign. This will help you develop a following and bring in new customers. A few tactics to consider include:

• Create pay-per-click ads.
• Add a new page or link on your website.
• Consider sending an e-mail to existing and past customers.
• Pass out fliers.
• Hang up bulletins in the office.
• Create ads or announcements on social media.

If you’re partnering with a third party, it’s important to create a method for tracking which leads come through your business so you get credit for these customers. An e-mail or online contact form is a perfect way to follow activity.

As with any new offering, you need time to let it grow roots. Be diligent with your mission but patient through the start-up process. You may not see an immediate return on your efforts, but over time, customers will learn about the services you offer and come to your door for help.

Maintaining Quality

Once you’ve established your service and process, it’s critical to maintain a high standard of quality. If you use a partner, you’ll need to ensure customers receive top-notch service from the company. It’s important that the mover live up to the quality of your own brand. If it doesn’t share your values, it could be time to look for a new partner.

If you start your own moving company, you’ll need to oversee and evaluate the level of service your employees provide. This means damages, timeliness and efficiency must be tightly controlled to ensure customers are getting the best experience possible.

Whether you partner with a mover or do it yourself, moving services can create value for your bottom line, customers and brand. The more comprehensive your offerings become, the more you’ll enhance the customer experience. Remember that your prospects are likely in the middle of some sort of transition. Why not give them a one-stop-shop for everything they need?

Joseph Biard is operations manager for U Storage, which operates four self-storage facilities in Arkansas. He leads a growing team of facility managers and works to develop the company’s operational framework. He has experience in team development, sales and marketing management, budgeting, and facility maintenance. To reach him, e-mail [email protected]; visit www.myustorage.com.

Metro Storage LLC, which operates more than 135 self-storage properties in 14 states, has opened new facilities in Buffalo Grove, Ill., and Chadds Ford, Pa. Together, the properties comprise 168,000 net rentable square feet in 1,784 units. Both include climate-controlled units and interior loading bays, according to a press release.

The Buffalo Grove location at 847 Deerfield Parkway opened on Nov. 19. The three-story facility comprises 85,000 rentable square feet in 850 units. The site is Metro’s 24th in the Chicago area. It’ll also serve the communities of Lincolnshire and Long Grove.

The Chadds Ford property opened on Nov. 8 at 16 Wilmington West Chester Pike, or Route 202. Near the Pennsylvania/Delaware border, the multi-story facility comprises 83,000 rentable square feet in 934 units, with freight-style elevators and drive-up buildings. It’s Metro’s 10th location in Pennsylvania.

“These are exceptional stores in great markets,” said Marty Gallagher, president. “Both these stores are located in areas with strong demographics, excellent visibility, and features that will serve the storage needs of the surrounding communities.”

The properties were developed in partnership with Fremont Realty Capital, the real estate, private-equity affiliate of the Fremont Group in San Francisco.

Headquartered in Lake Forest, Ill., Metro Storage operates the Metro Self Storage brand. The privately owned, fully integrated real estate company specializes in the acquisition, development and management of self-storage facilities in Brazil, Central America and the United States. Its facilities comprise about 8.7 million square feet of storage space.

Source:
PRWeb, Metro Storage LLC Opens Two New Self Storage Facilities in November

Self-storage supply in Northwest Arkansas has grown 19 percent during the last four years, growing by more than 1 million square feet, according to a report from news website “Talk Business & Politics.” The growth has been concentrated in Benton and Washington Counties, where there’s about 260,000 square feet of self-storage under construction and another 630,000 square feet in various stages of planning. The combined total represents 14 percent of current space, with more than 70 percent concentrated in Benton County, the source reported.

Despite the growth in added space, occupancy remains strong at existing facilities. Managers from more than 20 storage locations contacted by the source indicated vacancy ranged from below 1 percent up to around 10 percent.

Real estate activity has also been high, with more than 25 self-storage facilities purchased within the two counties during the past two years. Those sales represent a total transaction value of more than $57 million. Many of the new property owners have re-branded and upgraded their acquisitions, the report stated.

“The Northwest Arkansas [real estate] market has experienced a surge in self-storage construction over the past few years, and this is likely a result of low vacancy levels and rising rental rates, together with a strong local economy and larger national trends,” wrote author Jordan Karnes of Arkansas-based Reed & Associates Inc., a real estate research and valuation firm. “Our research suggests vacancy rates in both counties are at healthy levels. Stakeholders, however, will need to monitor the amount of new product being delivered to the market over the next six to 18 months.”

Supply is expected to continue to meet local demand as long as current population and employment growth in the area continues, Karnes said.

Source:
Talk Business & Politics, Self-Storage Investors Find Strong Prospects in NWA

A self-storage owner accused of allowing people to live in units at his Elkton, Md., facility is facing charges after police visited the property more than two dozen times in a six-week period. Wilbur James Whalen Jr., 66, was arrested last week and charged with maintaining a drug-related common nuisance and disorderly house at Whalen Mini-Storage, 402 W. Main St. Elkton Police Department (EPD) officers responded to 26 calls for service between Oct. 9 and Nov. 26, including those for drug possession and overdose, fighting, theft, and a stabbing, according to the source.

The charges come on the heels of a similar criminal case filed against Whalen, who also operates Whalen Radiator Repair at the storage property. He was arrested on Oct. 11 and charged with the same two offenses as well as additional drug charges. Whalen allegedly possessed heroin/fentanyl, morphine and two prescription painkillers, according to Cecil County District Court records.

Police have identified multiple people claiming to live at the storage facility, some with violent or criminal histories, court records show. “There are no residential structures on the property and it is not zoned for such use,” according to EPD Lt. Holly Smith, the arresting officer.

The first criminal case against Whalen identifies 33 people living at the site, with the most recent case naming 12 more, the source reported. “The rumor is he is taking cash to let people live in his storage units. He is a facilitator and his property is acting as a flophouse. On a weekly, if not daily basis, we are handling calls for service there, and it [the property] is a plight on the neighborhood. The residents in the neighboring homes were thankful when he was arrested,” EPD Capt. Joseph Zurolo told the source.

During a Nov. 22 service call, officers discovered people inside several units that were outfitted as living environments with items such as furniture, a coffee-maker and a propane heater. When officers spoke with Whalen about it, he said he didn’t “wish for anyone to be removed from the property.”

An Oct. 13 stabbing across the street from the facility led to an arrest of another person who claimed to live in a unit. EPD officers also handled an assault at the facility on Oct. 29, responded to a drug overdose on Nov. 3, and conducted a court-approved drug raid on Nov. 11.

The service calls include an Oct. 24 burglary complaint in which $7,880 in property was stolen from a storage unit. “The investigation led to the arrest of two individuals who had already been identified as renting a storage unit for use as a residence at Whalen’s,” according to court records.

Whalen has ignored repeated warnings from authorities and declined offers from city and state officials to remove the residents. “Wilbur Whalen Jr. resides on the property of the business in violation of zoning and is aware of the individuals residing in the storage units and office/garage space. He is aware of the nuisance issues and crimes regarding [drugs] being committed on the property,” court records state. “Wilbur Whalen Jr. has ignored the use of extension cords by his ‘tenants’ to run electrical appliances to storage units, the use of propane tanks and heaters inside storage units, the use of storage units and the business office for [drug] administering/use, and has put the surrounding businesses at risk of fire.”

The court documents also mention a February 2014 fire that destroyed several units at the facility. The blaze caused an estimated $800,000 in damage and happened nine days after firefighters battled a smaller fire on the property, the source reported. Fire authorities reported a person or people had been living in a unit in which the fire started. “Evidence of sleeping materials and use of electrical appliances was located inside the unit during the on-scene investigation,” a fire marshal said.

Following his most recent arrest, Whalen posted a $7,500 bond. He’s awaiting trial for both criminal cases.

Source:
Cecil Daily, Police: Storage Unit Owner Renting to Tenants

Phoenix-based U-Haul International Inc., which operates more than 1,500 self-storage facilities across North America and frequently recycles existing structures for its new locations, is converting a former Ultra Foods grocery store to self-storage in Kanakee, Ill. The city council unanimously approved a conditional-use permit on Monday for the 77,000-square-foot building at 1200 Kennedy Drive, in the Shoppes at Meadowview complex, according to the source.

U-Haul will invest $5 million to $6 million to add between 50,000 and 55,000 square feet of storage to the building. Trailer and truck rentals are currently available at the site, the source reported.

U-Haul spent about two years searching for a suitable conversion property in the Kankakee-Bradley-Bourbonnais region, according to Aaron Freeman, marketing president for U-Haul Co. of Illinois. About a dozen sites were considered before the company chose the grocery store.

For now, U-Haul plans to lease the building but could purchase it outright along with the surrounding 14 acres in early 2019, according to Dan Wander, a senior vice president with Terraco Real Estate, one of the companies that owns the shopping center.

Prior to U-Haul’s offer, city officials as well as Terraco and its business partner, Frontline Real Estate Partners, had hoped another grocer would move into the building, which has been vacant since September 2017.

“This was not our first pick,” said Mayor Chasity Wells-Armstrong of the self-storage facility. “We lost the store, and we worked hard to get a store, but we just weren’t able. This won’t be generating $200,000 in sales tax, but I certainly didn’t want it to sit there for three years.”

In addition to storage, the facility will offer bike and kayak sales, said Freeman, who expects sales of outdoor equipment to be successful due to the facility’s proximity to Kankakee River. “We will find out what customers want and provide more of it,” he said.

Established in 1945, U-Haul owns more than 32 million square feet of storage space. The company’s corporate sustainability initiatives, which support infill development to help local communities lower their carbon footprint, has led to dozens of conversion projects in recent years.

Source:
Daily Journal, U-Haul Takes Over Ultra Foods Site

A manager at an Extra Space Storage facility in Fairfield, N.J., last week stumbled upon two pounds of marijuana after mistakenly opening a package addressed to one of the company’s tenants. The manager notified authorities after realizing the parcel delivered by mail to 593 Route 46 W. contained two vacuum-sealed packages of the suspected cannabis, according to the source.

Shortly after detectives arrived on site, a man claiming to be the tenant called the property, asking if his package had arrived. He was told it had. When a man, later identified as Mark Barsoum, arrived to claim it, he was arrested. A search of his vehicle also turned up three pounds of suspected marijuana and 1,200 vapor cartridges, some of which were filled, police said.

Investigators also discovered that several other storage units in Clifton, Fairfield and Totowa, N.J., had been leased by Barsoum under a false name, and contraband from California was delivered to each. Barsoum had visited the facilities that day to pick up the packages. The Fairfield Extra Space was the last one on his stop, police said.

Barsoum faces charges of second-degree possession of more than five pounds of marijuana, possession of marijuana with intent to distribute, conspiracy and possession of drug paraphernalia, the source reported. Additional charges are pending, according to police, who are still investigating the case.

Headquartered in Salt Lake City, Extra Space owns or operates 1,568 self-storage properties in 39 states; Washington, D.C.; and Puerto Rico. Its properties comprise approximately 1.09 million units and 119 million square feet of rentable space.

Source:
Tap Into, Marijuana Shipment to Fairfield Storage Unit Results in Arrest