Population increases over the next few decades will continue to drive growth in self-storage, land and multi-family asset investments, according to Derek Peterson, senior vice president of business development for Walton International Group, a multi-national real estate investment and development firm. Peterson expressed his comments at the Real Estate Investment Securities Association (REISA) Spring Symposium, where he moderated a panel discussion. REISA is a national trade association specializing in alternative investments and the securities industry.

The U.S. population is expected to grow by 3 million people per year, reaching 400 million by 2050, Peterson said. Such growth is helping to fuel new-housing construction, which is expected to reach more than 1 million builds this year, he said.

Similarly, self-storage development is “drafting off the success of multi-family,” according to H. Michael Schwartz, chairman and CEO of Strategic Storage Trust Inc., a publicly registered non-traded self-storage real estate investment trust (REIT). Schwartz was a panelist during Peterson’s presentation.

“We’ve been buying self-storage every year since 2005 and have seen traditional cap-rate compression, but also development opportunities,” Schwartz said. “The lease-up opportunities from 2008 to 2011 are gone. We are now in a five-year phase of development.”

Strategic Storage Trust’s portfolio of wholly-owned properties includes 123 self-storage facilities in 17 states and Canada. Branded as SmartStop Self Storage, the properties comprise approximately 78,000 units and 10.3 million rentable square feet of storage space.

The panel also said market conditions called for direct investing in private placements rather than public REITs, in part due to a lack of development projects. “Public self-storage REITs are not developing, and this creates a nice alternative for investors in self-storage,” Schwartz said.

Direct placements also have tax efficiencies that can attract individual investors, according to Peterson.

Strategic Storage Trust Inc., a publicly registered non-traded self-storage real estate investment trust (REIT), recently acquired majority interest in a SmartStop Self Storage location in San Francisco. The company increased its stake in the facility by 86 percent and now owns 98 percent of the 76,200-square-foot building at 190 Otis St. Various investors from a Delaware statutory trust sold their interests, according to a press release issued by the REIT.

The property offers 1,120 storage units in seven stories and a basement. The structure was converted to self-storage in 2000.

"This San Francisco facility is located in one of the highest visibility locations in one of the most dense urban markets in the country," said H Michael Schwartz, chairman and CEO of Strategic Storage Trust. "The class-A building also offers prime freeway exposure as it is located adjacent to the 101 freeway."

Launched in 2008, Strategic Storage Trust operates a portfolio of 123 self-storage facilities in 17 states and Canada. Branded as SmartStop Self Storage, the properties comprise approximately 78,000 units and 10.3 million rentable square feet of storage space.

By Kay Miller Temple

Get that “to-clean” list out and tackle it with the energy and freshness that comes with spring! A spring cleanup will not only give your self-storage property and tenants a lift, it will invigorate you and your staff, too.

Step 1: Create an all-encompassing list.

• To see your property with "fresh eyes," walk around your grounds and buildings with a staff member, trusted business associate or even a family member.
• Develop a visual scan left to right, up and down to ensure a full view of the property inside and out.
• Don't forget to pay attention to those nooks and crannies, which signal “attention to detail” to potential and current tenants.
• Make note of items that can be done by you and your team and those that will require professional expertise.
• Consultations for job estimates from various professionals can provide valuable insight and trigger the need for additional items to add to your spring-cleaning list.

 Step 2: Make a completion-date column for all the items on your list.

• Make it fun by color-coding items by timeline, subject or other delineation.
• Scratching off to-do items on your list comes with guaranteed satisfaction! 

Landscaping

• Winter weather is bound to create plant debris, if not from your own property, then from other properties nearby. Take some time to clean up your landscaping.
• As clean-up proceeds, consider a landscape makeover that will require less ongoing effort like xeroscaping, which reduces or even eliminates the need for watering.
• For do-it-yourselfers, local plant nurseries and county extension agents are good sources for plant suggestions.
• If you use a landscape service, have a conversation about any new plant varieties that can be used to replace plants suffering from winter-kill.
• Green tip: If available, use your city's composting program for plant debris you've collected during your spring-cleaning efforts.

Mobile Fixtures

• With vehicles or mobile-storage units, make sure winter slush and dirt is washed off the exterior.
• Clean windows for good visibility. This also helps avoid sun glare.
• Shop vacuums are a great tool for getting at the dirt and debris on floors that accumulated from melting snow on winter footwear.

 Building Components

• Gutter clean-out is a must on every spring-cleaning list since they are a largely ignored area during winter. Late fall leaves and twigs can block water flow from snow melt and rain. Get to that debris before it becomes disgusting with warmer temperatures.
• Doors are another important focal point. Sometimes "clean" comes only as the result of a fresh layer of clear coat or paint when soap and water just doesn't seem to remove the dinginess.
• Include elevator interiors on your walk-around. Cold temperatures and wind chills lend to unconventional trash left in protected, out-of-the-way areas.

Office

The office is the heart of your operation, and extra efforts will pay off big! Here the basics of traditional spring cleaning are easily applied.

Ceilings/ceiling fans

• First take a look at your ceilings from the altitude of a good, stable ladder to assess cleaning needs. Take note and assemble the needed supplies.
• Cleaning corner cobwebs with a duster, mop or cloth-covered broom works well.
• Fan blades usually need a bit  of soapy water to cut through dust and grime.
• Don't rush these jobs. Make sure you are on a height-appropriate, steady ladder so you don't put your body through unsafe contortions leading to loss of balance and injury.

Windows

• Using a two-person team can actually be a time-saver for window cleaning. Positioned on both sides of windows, team members can signal each other regarding missed areas.
• Cloth cover treatments such as drapes should we washed and ironed. Blinds or other window treatments can usually be cleaned with soap and water.
• Green tip: A homemade mixture of water, ammonia and vinegar is a great cleaning fluid that can be applied by a spray bottle. Recycled newspapers function as wipes, or use those handy reusable terry cloths or jersey wipes that can be purchased in bulk.

Walls

• Use a soft brush to vacuum, and then wipe down with a cloth-covered broom or mop.
• Patch any holes with drywall-repair kit.
• Consider a fresh coat of paint to liven up dull walls.

Furniture

• Wipe non-fabric chairs and benches with mild soap and water.
• Repair or replace any furniture that’s ripped or has broken springs.

Counters

• Declutter! Recycle unnecessary and expired paperwork.
• Remove everything to get a the dust accumulation in nooks and crannies.
• Clean all surfaces.

Floors

• Winter weather is tough on carpets and even tile. Spring is a good time to invest in a professional tile-revitalization or carpet-cleaning service.
• If your flooring is in good shape, give it a good clean by taking out all the furniture and do a thorough mopping or vacuuming.

Restrooms/kitchenette

• Daily maintenance should leave nothing to add to a spring-cleaning lists for these areas, but it may be a good time to reassess decor and equipment needs.

Office equipment and electronics

• Canned air works great to safely clean food particles in keyboards and dust in other areas. Otherwise, clean according to manufacturer's directions.

Security equipment

• Spring cleaning is a traditional time for security equipment checks such as carbon monoxide and smoke detectors, and to change batteries.

 The results of spring cleaning give your property that well-maintained look that keeps your current tenants and catches the eye of potential customers.

Kay Miller Temple is a physician and recent graduate from the master’s program at Arizona State University’s Walter Cronkite School of Journalism and Mass Communication. To reach her, e-mail [email protected].

SmartStop Self Storage, the retail brand for Strategic Storage Trust Inc., has donated $25,000 to San Juan Hills High School in San Juan Capistrano, Calif., for the construction of a new scoreboard at its baseball field. The nine-inning scoreboard will take two months to make and is expected to be installed by the end of this year’s baseball season or shortly thereafter, according to a company press release.

“This will be a top-notch scoreboard, one of the best for a high-school field,” said Jeremey Wooten, the school’s head baseball coach. “Our team is extremely proud and excited to have such an amazing new scoreboard. The community has wanted this for a long time, and it’s been a long time coming. But that makes it that much more exciting.”

Wooten and supporters of the baseball program have been trying to obtain a state-of-the-art scoreboard since 2008, a year after the high school opened. The coach said he received approval from the school district this year but still needed money to make the purchase.

A student’s parent put Wooten in touch with SmartStop chairman and CEO H. Michael Schwartz, and after an hour-long meeting with the coach, Schwartz decided to donate the money. “Michael’s an amazing person,” Wooten said. “He’s clearly a dynamite entrepreneur with a passion for helping the community in any way he can.”

“We are honored to be able to contribute to this amazing school and athletics department,” Schwartz said. “Our goal is to help the local community build quality amenities for students, athletes and parents. A new scoreboard can make a huge difference in team spirit.”

Strategic Storage Trust is a publicly registered non-traded self-storage real estate investment trust. Launched in 2008, the company’s portfolio of wholly-owned properties includes 123 properties in 17 states and Canada. The portfolio, branded as SmartStop Self Storage, includes approximately 78,000 self-storage units and 10.3 million rentable square feet of storage space.

(From left) San Juan High School baseball players Brandon Scorpato and Austin Willard, SmartStop CEO H. Michael Schwartz, SJHHS head baseball coach Jeremey Wooten, and players Josh Robison and Mario Morales.

E-SoftSys, a provider of self-storage management software, has partnered with PayNearMe to integrate the electronic cash-transaction network’s cash-payment option into its Self Storage Manager (SSM) software program. The solution will enable SSM users to accept cash payments via an electronic network.

Through PayNearMe, self-storage tenants can pay their monthly rent with cash at more than 17,000 retail locations nationwide, including 7-Eleven, ACE Cash Express and Family Dollar stores. To pay their bill, they simply bring their PayNearMe payment code to a participating outlet, and the cashier will scan the barcode and accept the cash. Storage customers can also use PayNearMe’s mobile payment option. With the software integration, SSM will post these transactions automatically.

"We are excited to offer all of our clients a fully integrated remote cash-payment option through PayNearMe,” said Kat Shenoy, CEO of E-SoftSys. “This new system ensures that tenants pay only the correct amount and that their payment data flows into our tenants’ payment ledger in real time so that no mistakes occur."

"By integrating PayNearMe with Self Storage Manager, operators will be able to reduce onsite cash payment traffic and allow their respective staffs to attend to leasing and other aspects of managing successful self-storage businesses,” added Christopher Volgenau, vice president of business development at PayNearMe.

StoragePRO Management Co., a third-party management and consulting firm that operates 28 California self-storage properties, will be the first E-Softsys client to implement the system in its daily operation. The option will be available to other customers by the end of April, E-Softsys officials said in a press release.

"Reducing the cash payments that our onsite managers handle frees up their time to focus on leasing and operations,” said Steven Mirabito, CEO of StoragePRO. “We also expect to reduce the delinquency rate by giving our tenants the ability to pay at a convenient dollar store, 7-Eleven or ACE Cash Express location across the street from their homes or across the country. This solution provides clear value to both StoragePRO and our tenants. We’re delighted to be the first to roll it out."

As part of the system, self-storage managers can determine the correct required payment amount and may opt to absorb the cash-transaction fees, which are similar to the fees merchants pay for credit-card transactions, PayNearMe officials said.

The PayNearMe cash-transaction network enables consumers to pay rent, repay loans, buy tickets and make online purchases with cash.

E-SoftSys, a Microsoft Gold Certified Partner and ISO 9001:2008 certified company, provides software products for the self-storage industry, including SSM and e-CRM. The company also offers add-on modules such as the INSOMNIAC kiosk interface, online payments, online reservations and rentals, the QlikView Business Intelligence and Analytics interface, and the iPad/tablet-based Site Audit and Walk Through Application.

DBCI, a manufacturer of self-storage roll-up doors and other building components, has introduced Curl-Lok, a new door constructed of replaceable panels. It’s engineered with curls that lock along the edges rather than seam together. The door can be quickly repaired on site without any specialty tools, company representatives said in a press release.

Shipping replacement panels rather than an entirely new door will reduce associated freight costs and increase delivery speed, company officials said. “This is a huge advancement for our customers,” said Larry Miller, vice president of operations. “In the past, the only options for a damaged door was to either live with it or replace the entire thing. Now damaged panels can be changed out at significantly less cost.” DBCI also expects many self-storage operators will keep replacement panels on site to keep unusable units to a minimum.

“Curl-Lok is simply a more cost-effective door solution for the self-storage industry,” said Roc Hughes, general manager. “It’s a convenient and efficient product that extends the life of a door and helps facilities remain profitable into the future.”

The product is the result of more than three years of development and testing. “DBCI is a company that lives and breathes innovation,” said Bray Allen, who works in the company’s research and development department. “We realized that one component of the rolling-sheet door our industry has taken for granted is the curtain itself. We saw that as an opportunity. The result is an efficient and dependable door unlike anything else in its category.”

Customers can find more product information and a demonstration video at curl-lok.com. The company is also launching a marketing campaign to announce the product in various trade publications.

DBCI designs and manufactures commercial-grade, steel roll-up doors as well as frames and panels, wall systems, interior-hallway systems, mezzanine systems, portable-storage units, and wine lockers. Headquartered in Douglasville, Ga., the company also operates production facilities in Chandler, Ariz., and Houston.

Owning a self-storage business involves more than just budgeting and paying the bills. It also entails creating successful marketing programs, hiring and training staff, measuring performance, and much more. Self-storage owners looking to improve their operation this year will find information at this year’s Inside Self-Storage World Expo, March 30-April 2 in Las Vegas.

The Ownership Track on March 31 will include six seminars designed to help owners more effectively manage their business. The first session, at 9 a.m., focuses on the five mistakes owners make that limit their ability to dominate their markets and create revenue. Speakers Jim Ross and Matthew Van Horn, co-founders of 3 Mile Domination, will address manager training, marketing techniques, the facility website, customer conversion and revenue management.

In the 10 a.m. seminar, “Self-Storage Manager Motivation and Retention,” Stephanie Tharpe, district sales manager for A Plus Storage of Tennessee LLC, will discuss staffing. She’ll talk about how to know if you have a bad manager, create a bonus structure, implement pay raises and improve staff retention.

The 11 a.m. seminar, led by Alyssa Quill, co-owner of Storage Asset Management, will offer advice on creating an operations manual. Owners will learn how to create policies and procedures for their facility. Quill will also share a manual outline and insight for how to best use and maintain the new guide.

Owners unfamiliar with facility audits should attend the 1 p.m. seminar, “Self-Storage Facility Auditing: Does Your System Meet Up-to-Date Standards?” Led by Susan Haviland, owner and lead consultant for Haviland Storage Services, the session will explore the importance of the facility audit, when and how to conduct one, and what the experts look for when they perform an audit.

At 2 p.m., self-storage owners can learn about staff training. Frank Certo, director of property management for Guardian Storage, will highlight how to build a quality training program, including key points to consider. He’ll also discuss the importance of follow-up training.

The final seminar of the day, at 3 p.m., focuses on management reports. Anne Ballard, president of marketing, training and developmental services for Universal Storage Group, will identify 12 key reports and what owners should glean from each. Attendees will learn which reports to examine and how often, key indicators of foul play, and how to identify customers’ needs.

The expo’s concurrent education program, March 31 and April 1, includes nine tracks covering issues related to self-storage ownership, management, marketing, investment, finance, building, development, liability and more. Five add-on workshop options are also available, focusing on day-to-day management, development, facility ownership, legal issues and social media.

The conference and tradeshow will take place at the Paris Hotel & Resort. Discount registration rates are available through March 28.

Created for self-storage owners, managers, developers, investors and suppliers, the ISS Expo is the industry’s largest conference and tradeshow, comprising four days of education, exhibits and networking opportunities. The event focuses on strategies for generating revenue, best practices, current trends, and new products and services. Details and online registration are available at www.insideselfstorageworldexpo.com.