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Articles from 2008 In March


Need Professional Help? A Guide to Third-Party, Outsourced Management

White-paper-Need Professional Help? A Guide to Third-Party, Outsourced Management

Managing a self-storage site takes a great deal of know-how and skill, particularly in today's sophisticated markets. Thanks to competition, a more demanding customer base and technological tools, facility operation is increasingly complex. For this reason, many owners and operators are considering third-party and automated management options. This book serves as a guide to fee-based management: why to use it, what you should get, what it costs and more. It also highlights a few remote-management methods for those interested in running unmanned sites.

ISS Nashville Expo Includes Self-Storage Golf Tournament

Article-ISS Nashville Expo Includes Self-Storage Golf Tournament

The Inside Self-Storage Expo in Nashville, Tenn., Oct. 7-10, 2008, will include a golf tournament at the Gaylord Springs Golf Links. The ISS Golf Classic will take place  at 1 p.m. on Oct. 7. The format is a four-person scramble with a modified shotgun tee-off.
 
Designed by former U.S. Open and PGA champion Larry Nelson, the course is part of the Gaylord Opryland Resort and Convention Center, where the Expo will take place. The Scottish links-style, par-72 layout is surrounded by limestone bluffs and federally protected wetlands. At the signature fourth hole is the century-old springhouse from which the club derived its name. Last year, the course was voted among “Best Places to Stay in Tennessee” by Golf Week. Details about the course can be viewed at www.gaylordsprings.com.
 
A $155 entry fee per player will cover all tournament fees, transportation to and from the course, golf-cart use, practice balls, golf giveaways, logo golf balls, a beverage coupon, lunch and raffles. Lunch will be held prior to the tournament at 11:30 a.m. A short awards ceremony will follow the game. (One individual prize may be awarded for the hole-in-one contest.)
 
Clubs are available to rent for $75. Club rentals must be secured in advance through ISS Expo staff.
 
The ISS Expo is dedicated to the needs of self-storage owners, operators, managers, investors, developers and suppliers. It includes four full days of educational, networking and exhibit opportunities. For information and to register, visit www.insideselfstorageexpo.com.

ISS Blog

Shout Out to Green Supporter Watson

Article-Shout Out to Green Supporter Watson

Conrad Watson, the owner of Storage Plus in Massachusetts, has not only invested in environmentally friendly vehicles (three Toyota Prius hybrids), he's about to drop $45k on a solar-panel energy system at his facility. Granted, he'll save $5k per year on energy costs in the long run, and he got a $19,240 rebate from the state toward this effort, but I say Watson sets a fantastic example for the storage community in particular and the business community in general.

He says its mainly for economic reasons and because of pressure from his family, especially his daughter, who's an activist. (At least that's what he told The Daily News Tribune last week.) This is one of those ends-justify-the-means kinds of things. Or the means justify the ends? In any case, Watson's panels will generate 6,900 watts of power per hour once installed at the end of May. So whatever his personal motivation, the result is good for this company and the world at large.

Watson's enterprising drive doesn't just stop at the green depot, either. He's pushed forward with extensive add-on services at his storage site as well. The 23-year-old company offers self-storage, moving, mobile storage and records storage. It also provides pickup, inventory and delivery services.

Can you invest in environmental upgrades at your own site, getting a financial kickback from your state? Watson's rebate came via the Commonwealth Solar Energy Program offered by the Massachusetts Renewable Energy Trust. I don't know which other states offer similar programs; I'd welcome feedback from any readers with info on this. You can click on the "Leave Comment" link below or send me a message at [email protected]. I'll be happy to transmit your insights to fellow operators.

OpenTech and MiniCo Partner on Asia Self-Storage Venture

Article-OpenTech and MiniCo Partner on Asia Self-Storage Venture

OpenTech Alliance Inc., developer of the INSOMNIAC line of self-storage kiosks, has entered a joint venture with MiniCo Asia Ltd. to form OpenTech Asia Ltd. The new company combines MiniCo's 34 years of self-storage operational experience in the United States and Hong Kong with OpenTech's self-service technology expertise to deliver self-storage products and services to Asian markets. 

OpenTech Asia sells and services a line of self-service kiosks specifically designed for the Asian consumer base. The Hong Kong version of the companys kiosk supports English and Cantonese. Two of the units are already in use by MiniCo facilities in Chai Wan. 

OpenTech is also in negotiation with other self-storage suppliers to provide them with a distribution channel into Asia. For more information, visit www.opentechalliance.com.

ISS Blog

Northern Prosperity

Article-Northern Prosperity

I admit I'm biased toward Canada. My mother is Canadian, and I lived on both coasts for several years.

And I'm by no means an economist, but I keep an eye on the financial activities of my second home, largely through the ubiquitous Internet. News on the Canadian money front has been more than heartening; it has been exceptionally good.

The Missoulian, a Montana newspaper, reported yesterday that the Canadian economy is booming, and its national debt represents just 30 percent of the Canadian GDP. According to the Globe and Mail out of Toronto, Canadian inflation is at a six-month low. A few days prior, the newspaper talked about the 43,000 new jobs created in Canada in February, far more than expected.

There are many reasons for Canada's recent economic strength. The country has vast natural resourcesoil, minerals, timberit has carefully husbanded. It's known for its conservation policies and has maintained natural preserves in the face of demands to allow oil and mineral extraction.

However, the country's economy is tied inextricably with that of the U.S., and there are the beginnings of some strain as the U.S. sub-prime debacle continues to take is toll. The recent parity of the Canadian dollar with the U.S. has caused some consumer concerns.

Still, overall, our Northern neighbors continue to look like a good prospect for prosperity. I have touted these findings to a few individuals in the storage industry, and some have expressed interest in the prospects of expanding north. To them, I say Canada is worth investigating by anyone looking for a little international self-storage expansion.

Self-Storage Sector Slips As Analysts Downgrade Stocks

Article-Self-Storage Sector Slips As Analysts Downgrade Stocks

Stock shares of self-storage companies dropped today after Extra Space Storage Inc. and Public Storage Inc. were downgraded by several investment banks. Shares of Public Storage fell $4.21, or 4.5 percent, to $90.29 in midday trading. Shares of Extra Space declined 64 cents, or 3.7 percent, to $16.50.
 
Bank of America Securities analyst Christy McElroy changed her rating to "Neutral" from "Buy" for Public Storage and Extra Space in a client note, saying the stocks have reached her price targets. She also downgraded the entire self-storage sector to "Marketweight" from "Overweight."
 
Other banks downgraded Public Storage, too. Wachovia Capital Markets LLC cut its rating to "Underperform" from "Market Perform," while Merrill Lynch cut its rating to "Sell" from "Neutral."
 
In a note to investors, Wachovia analyst Jeffrey Donnelly said Public Storage has already outperformed its peers, and while investors may believe self-storage stands to benefit from the rise in home foreclosures, this hypothesis may be getting too much enthusiasm.
 
Other self-storage companies were also trading lower today. Shares of Cleveland-based U-Store-It Trust were down 24 cents, or 2.1 percent, to $11.13. Sovran Self Storage Inc., based in Buffalo, N.Y., dropped $1.18, or 2.7 percent, to $43.27. And AMERCO, the parent company of U-Haul International Inc., slipped 25 cents to $59.06.

ISS Blog

Cultivating Business

Article-Cultivating Business

Yesterday, ISS Editor Amy Campbell began the blog discussion on spring and cleaning and freshening up your self-storage site. It echoed back to my weekend, in fact, when I walked around my yard to assess how it weathered the winter. With spring in the air, I am optimistically obsessing about how I can expand my gardening knowledge while beautifying my property.

The real work began at the hand of my husband and his chainsaw. Together, he and I took out a lazy, overridden patch of lilac trees. I hesitate to actually say trees though, because these were traumatized by windstorms and stunted by lack of care. We kept a few of the best and lopped off the others, leaving behind a large patch of stumps and the problem of how best to cover them.

Im new at this gardening game but enjoy learning something new, and I like this new hobby. Ive bought some used books (does anyone else love www.amazon.coms used-book affiliates more than me?) and have started to pick some potential favorite blooms.

Nothing makes a house look more like a home than flowers in a garden. Same could be true for a self-storage site. A few blossoms could spiffy up your place and create curb appeal thats never before curbed a passerby. Flowers say, Welcome! and send a message of We care.

Upon more reading, I learned my garden selections were all wrong for my zone. If you dont have any idea what your hardiness zone is, check out the National Gardening Association website and hardiness map, which will identify your regional climate and guide you to selecting plants that will survive and thrive in your area. This site offers a ton of info about gardening, providing photos, growing tips (even for urban areas), pest control, you name it.

If you have space for one, plant a garden near your entryway. If youre surrounded by gravel or pavement, consider window boxes are putting in a few garden containers, which can be very easy to care for and equally as rewarding. Visit these sites for pointers: www.containergardeningtips.com and www.container-gardens.com.

Visit your local garden center to get more info about what will flourish in the space you have to offer. Nurture your plants just a little and the rewards could be manydrawing customers to your site and possibly cultivating new business in colorful ways.

New Self-Storage REIT Registers $1B IPO

Article-New Self-Storage REIT Registers $1B IPO

Strategic Storage Trust Inc., a public, non-traded self-storage REIT, has registered a $1 billion initial public offering with the U.S. Securities and Exchange Commission. The SEC deemed the companys registration filing effective on March 17, after a four-and-a-half month period, according to Powell Goldstein LLP, the law firm that assisted in the filing.
 
Incorporated last August with plans to qualify as a REIT beginning with the taxable year ending Dec. 31, 2008, Strategic Storage is offering up to 1 million shares of common stock at $10 per share. Funds from the IPO will be used to build up the company's portfolio through investments in self-storage facilities and related self-storage real estate. Shares will be offered until March 17, 2010.

Strategic Storage, which currently owns no properties, plans to target markets across the United States and possibly internationally.

ISS Blog

Spring Cleaning

Article-Spring Cleaning

Last Thursday marked the official beginning of spring. While many in the Eastern part of the country are just beginning to thaw, those of use out West are already enjoying warmer weather. Spring days typically bring many thoughts to mind: kite flying, bright flowers, lush grass and cleaning. Yes, along with spring comes cleaning.

While year-round maintenance is always on a managers to-do list, spring is a chance to renew and refresh. After hunkering down through winter, its now time to replant the flower gardens, hose off exterior doors and windows, and replace faded signage. And dont overlook the front office. Get rid of tired and ratty-looking furniture or carpet, add a fresh coat of paint, clean those windows, and order new uniforms in spring-friendly colors like red, yellow and purple.

To help you create the best spring cleaning to-do list, check out this ISS archived article on the topic. Also, look for more on maintenance and remodeling in the July print edition of ISS.

If youd like to share your best spring-cleaning advice, hit the post a comment button or head over to Self-Storage Talk and start a new thread.

Training Teleseminars

Article-Training Teleseminars

USstoragesearch.com, a firm specializing in online marketing for the self-storage industry, is offering a series of free monthly training teleseminars to help its members increase occupancy through higher conversion ratios. The seminars will cover a variety of self-storage marketing and sales topics. Some will include industry experts as guest speakers. Info: www.usstoragesearch.com