The White House has extended its social-distancing mandate to April 30 in an attempt to slow the spread of the coronavirus (COVID-19) in the United States. While it’s a necessary precaution to prevent infection, the resulting isolation can be difficult for people to embrace. Self-storage operators who’ve managed to stay open during the outbreak find themselves with little to do as their offices are closed to customers, and collections and lien sales are halted. Once the cleaning is done, how do you fill the time?

In this thread on Self-Storage Talk, the industry’s largest online community, members are sharing what they’re doing to keep boredom at bay during work hours. How are you keeping sane during these trying times? Read others’ suggestions and add your own to this motivational thread.

As I write this, the coronavirus (COVID-19) continues to mount its attack throughout the world, with the United States reporting more than 500 deaths and thousands infected. Most states have declared a “state of emergency” as residents suffer hardships to avoid contamination and slow further outbreaks.

Whereas most people understand that, after natural disasters like hurricanes and tornadoes, it’s illegal to ramp up the cost of construction and building materials, what isn’t typically discussed is the impact of these emergency declarations on other businesses like grocery stores, hotels, freight companies and even self-storage facilities. While it’s typical for storage operators to raise rents annually or even more frequently, it would be challenging to do so in the middle of a declared emergency, even one that involves a virus rather than a storm.

Most states have laws that would likely prevent a self-storage operator from instituting any rent increase—even one unrelated to the events of the day—after a declared state of emergency and upward of 30 days or more thereafter (depending on the state) without risking civil and criminal penalties. For example, under California Penal Code Section 396, upon proclamation of a state of emergency “and for a period of 30 days following that proclamation,” it’s unlawful for a person, contractor, business or other entity to sell or offer to sell any “storage services” for a “price more than 10 percent greater than the price charged by that person for those goods or services immediately prior” to the declaration.

What makes the California law particularly challenging is that over the last few years, having weathered numerous fires and severe storms, the state has been in a nearly constant state of emergency. It was during one of these declared emergency periods that one large self-storage operator was accused of price gouging for raising rent after a series of state-wide wildfires. The claim was resolved with the company paying $140,000 in penalties and fines. It also issued refunds to its customers and additional courtesy credits. But this action demonstrated the seriousness of the government's potential enforcement efforts relating to these claims and the precedent that these laws will also include self-storage businesses.

Be Aware

California isn’t unique. Price-gouging laws, which arise during a period of declared emergencies, can be found in most states, and many will experience even more ambiguous and stringent restrictions. Many of these laws charge penalties for charging “unconscionable prices” or “for more than acceptable market prices” or even simply “at higher costs than they were immediately prior to the declaration,” which could mean practically anything from the perspective of an alleged aggrieved customer. Some states have penalties of up to $5,000 per violation, with other states exceeding $50,000.

As this COVID-19 crisis continues, self-storage operators must be aware of their state law restrictions and be conscious of any price increases that either exceed their state limits or could be perceived as excessive based on current pricing. As with most emergencies, one can hope that these restrictions in self-storage business operations will be limited. As they say, this too shall pass.

Note: This article was originally published in the author’s “Legal Monthly Minute” Newsletter.

Scott I. Zucker is a founding partner in the Atlanta law firm of Weissmann Zucker Euster Morochnik & Garber P.C. and has been practicing law since 1987. He represents self-storage owners and managers throughout the country on legal matters including property development, facility construction, lease preparation, employment policies and tenant-claims defense. He also provides, on a consulting basis, advice to self-storage companies in the areas of foreclosure and lien sales, premises liability, and loss-control safeguards. To reach him, call 404.364.4626; e-mail [email protected].

Metro Storage LLC, which operates 140 self-storage properties in 14 states, has expanded its online and phone-based services to enable contact-free rental process for customers during the coronavirus (COVID-19) crisis. Initiatives deployed across the company’s portfolio allow tenants to select and pay for a unit, complete their rental paperwork, and manage their accounts online, according to a press release.

“Metro Self Storage already had phone and online rental options in place for several years, so we were able to easily modify our existing rental process to make it contact-free for our customers,” said Marc Harris, vice president of operations. “The percentage of online rentals has doubled in the past two weeks.”

The service expansion will reduce face-to-face interactions between customers and facility managers. Metro made the move in accordance with protocols established by the Centers for Disease Control and Prevention, the release stated.

“Total customer satisfaction has always been one of Metro Self Storage’s guiding principles,” said Marty Gallagher, president. “We are pleased to offer this enhanced service to our customers. It’s a win-win for our customers and our staff.”

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 more than 9 million square feet of storage space.

Source:
PRWeb, Metro Self Storage Offers ‘No-Contact’ Rental Process at All Stores

Guardian Storage, which operates 25 self-storage facilities in Colorado and Pennsylvania, has taken several steps to ensure employee and customer safety during the coronavirus pandemic, including a contact-free rental and move-in process for customers and remote-working solutions for staff. The company’s entire portfolio remains fully operational, according to a press release.

“We quickly recognized the seriousness of the situation and came together as an organization to first make sure our employees were provided the resources needed to work from home successfully, while also focusing 100 percent of our resources on providing our customers with a contact-free experience during these uncertain times,” said Steven Cohen, president. “With the help of a new software system, we’re able to manage inquiries and call-backs remotely, take payment over the phone, and provide new tenants with the information needed for a seamless move-in, including their access code and a map of the property to show exactly where their unit is located. The software also allows us to provide uninterrupted care to our existing tenants and see which tenants have visited properties.”

Each facility is checked each morning to ensure good condition and operation. It’s at this time that managers collect mail and remove overlocks from newly rented units. The company has also implemented a daily routine for site sanitizing.

Guardian’s remote-working initiative allows staff to remotely monitor security cameras and share immediate updates on system refinements as well as policies and procedures. The self-storage operator has also suspended all planned rate increases for April and canceled any planned auctions. Any customer late fees incurred in April will be considered case by case, the release stated.

“As we navigate this new normalcy, it’s important that our customers and employees feel secure knowing we’re taking every precaution necessary to help keep them healthy physically and financially,” Cohen said. “There is so much uncertainty right now in light of this new pandemic, but one thing is for sure, we will do our part to stop the spread of this disease and provide our employees with the resources they need to continue caring for our customers from afar.”

Established in Pittsburgh in 1987, Guardian operates 18 locations in the greater Pittsburgh area, with a new property under construction in North Strabane, Pa., and seven locations in Colorado.

Simply Self Storage (SSS), which owns or manages more than 100 self-storage facilities in the United States and Puerto Rico, has launched “Simple Rental,” which provides online rental capability to customers in the wake of the coronavirus pandemic. The new tool allows users to rent a storage unit using a computer, tablet or mobile phone, without having to deal with facility staff in person.

Simply Rental involves an easy, one-page checkout process. Customers can use it to view rental promotions, choose add-on products such as locks and tenant insurance, and sign up for autopay.

“Our new, online-rental capability changes the game for consumers, making it easier than ever to rent their next storage unit online,” said CEO Kurt O'Brien.

Founded in 2003 and headquartered in Orlando, Fla., SSS properties comprise more than 11 million square feet of storage space.

Source:
PR Newswire, Simply Self Storage Announces 'Simple Rental' Online Rental Capability for All Customers

 

The business of records storage has changed dramatically since the term “paperless office” was first used in a 1975 edition of “Business Week.” The article in question predicted that by 1990 most records handling would be electronic. So, why is it that 45 years later, businesses still aren’t paperless? Sociologists believe the use of paper is so ingrained in our daily lives that it’s simply too daunting for any business to take it away entirely.

There’s little doubt that the volume of business records sent to offsite storage locations, including self-storage facilities, has reduced dramatically over the last 20 years, and the use of cloud storage for documents continues to grow exponentially. However, boxes of records remain prevalent in most businesses, even in 2020. Companies like Access Information Management, Iron Mountain Inc. and others store hundreds of millions of them. The average growth rate is zero to 1 percent, but volume hasn’t decreased in several years.

An Opportunity for Self-Storage?

Is now still a good time for self-storage operators to venture into the records-storage business? The answer is yes, but it isn’t the same business model it once was. In the early 2000s, my former business saw an average of 35 new records-storage start-ups in the self-storage industry annually. Some of those clients have since cashed out, but others maintain the service as a healthy complement to their self-storage business. There are:

• Those who sold. Several sold their records-storage contracts without touching their real estate investment. Some had amassed hundreds of thousands of boxes, while others had as few as 50,000. These sales typically netted three to three and a half times the annual records-storage and service revenue.
• Those who remained. Some have done very well adding new accounts with little or no additional sales or marketing costs. Sales remain an over-the-counter offering to business customers or as an add-on to existing self-storage needs. The pitch is simply, “Let me tell you about our small-business records-storage package” No muss, no fuss, no bother.
• Those who are unaware. Today, most self-storage operators are unaware of the value of records storage as an ancillary service. Let’s change that.

Expanding Your Customer Relationships

Generally, self-storage customers have a shorter contract term (months) than records-storage customers (years). What if you could lengthen the term of your self-storage tenants’ stay simply by adding small-business records-storage packages to your relationship? This doesn’t extend your self-storage contract all by itself, but it may give your business tenants a reason to stay with you beyond their normal storage needs.

The problem has always been that records storage is more complicated, and it has certain liability issues. However, small-business packages are clean, simple and structured to bring in higher return per square foot while limiting liability in the contract to $1 or $2 per box in storage, a tactic used in the commercial records-storage industry for decades.

New Ways to Offer Records Storage

If you’re interested in adding value to your relationships with business customers, consider offering three records-storage packages:

• Small, or Bronze: Limited to 25 boxes
• Medium, or Silver: Limited to 50 boxes
• Large, or Gold: Limited to 100 boxes

Pricing would be tiered. For example, your small package might be $29.95 per month, medium $44.95 per month, and large $79.95 per month. You’ll store boxes ranging in size from 1.2 to 3 cubic feet and charge by the cubic foot. You’ll likely stack them three or four high, even without any shelving. If you’re strategic in your price structure, the yield per box ranges between $1 and $2.

When a customer’s records-storage volume reaches its maximum, he simply rolls up to the next package and price. If he reaches max capacity for your largest package, you have three options:

• Add a new package.
• Convert the account to a standard records-storage account like a traditional commercial-records storage provider would offer.
• Sell the account contract one at a time for multiples of annual storage rental.

Enterprising self-storage operators who want to truly maximize their records-storage revenue can offer various add-on services. At a minimum, you must offer box check-in and check-out at your service counter, but you can also consider box pick-up and delivery by a third-party courier.

A Few Final Tips

Carefully plan and price your records-storage offering. Promotion can be limited to over-the-counter sales, or you can include the service in your wider marketing efforts. Create a brochure that articulates pricing, terms and inclusions. Be clear about the manner in which you transfer contracts from one package size to another or an ultimate end stage.

Finally, use a standard records-management industry contract, which is used by hundreds of commercial records centers worldwide. You might have to adapt it to your limited services, but it has long been used to limit liability of the storage vendor.

While the model for records storage has changed greatly, it can still be a valuable profit center for self-storage operators in the right market.

Cary F. McGovern is a trainer and mentor for commercial records storage, records destruction and document imaging as a business opportunity. During his 45-year career, he’s consulted in the development of more than 500 commercial records centers, trained 3,500-plus students and performed more than 2,500 client-needs assessments in 39 countries. He’s written 300-plus articles for industry trade magazines and spoken at dozens of conferences. For more information, call 504.669.0559; e-mail [email protected].

Self-storage has changed a lot in the last five years. With so many new facilities popping up, it can be difficult for older businesses grow without an effective digital-marketing strategy. The competition is fresh and knows exactly how to influence the online market by leveraging technology, particularly Progressive Web Apps (PWAs) and search engine optimization (SEO).

Search-engine rankings are a crucial pain point that needs to be addressed to remain competitive in a saturating market. When a potential tenant searches for self-storage in your area, does your facility show up on the first page of Google results? Now that nearly 80 percent of Internet sessions take place on mobile devices, it’s important to have an in-depth understanding of evolving marketing strategies and website development. From improving the tenant experience with high-end, user-friendly software to helping search engines find and rank your website, the decisions you make today will affect how your business will perform tomorrow.

The key going forward is to continually improve your SEO performance and adopt innovative solutions like PWAs. Let’s take a closer look at both to see how—together—they can help you compete in an increasingly competitive market.

SEO and Outsourcing

SEO is the process that determines where your facility appears on Google and other search engines when someone looks for self-storage in your area. Think of it like your credit score. You may not understand every tiny detail of how it’s determined, but you can stay up-to-date on the best practices that keep your score high.

SEO practices are constantly changing, and without due diligence, it can be easy to fall behind the larger operators in your neighborhood. Some practices have been in use for years and are well-adopted by the industry’s reputable SEO specialists. With most operations already leveraging the basics, the trick to finding an edge lies in staying current with the latest Google updates. With market saturation at high and competition fierce, leveraging Google, which maintains nearly 90 percent of the search engine market, is a surefire way to ensure prospects will find you online.

For self-storage operators, it’s more important than ever to fully maximize SEO. Though every market is different, you can begin to set up your operation for increased growth and brand awareness by encouraging tenants to leave positive reviews on Google, Yelp and other websites. In addition, claim your facility’s Google My Business page. This allows you to take full control of the hours, contact information and company description that displays on Google or within Google Maps. Many industry SEO providers offer services that can enhance and optimize your profile, but claiming it and keeping it factually correct is the first crucial step.

When selecting an SEO provider, be wary of any company that promises specific ranking growth. No one can guarantee you’ll land in the first spot or even on the first page of results, but that doesn’t mean you shouldn’t make every effort to improve your rank.

The Future of Online Rentals

PWAs are Google-developed applications that work similarly to traditional mobile apps but don’t require a user download from an app store or ongoing updates. In fact, they bypass built-in device app stores and are available to a much wider range of potential users. They’re also SEO-indexable, meaning they show up on Google and other search engines. This is a crucial feature that sets them apart from traditional mobile apps, which don’t show up on search engines.

Even if you don’t know the term “Progressive Web Apps,” that doesn’t mean you haven’t used one. A PWA looks and feels like a normal website when used on a desktop computer, so you may not have even noticed. Twitter, Uber and even “Forbes” magazine all use PWA software to increase engagement and conversions. In fact, when “Forbes” switched to a PWA, its impressions went up 10 percent and overall engagement rate doubled!

Another advantage of PWAs is they use up to 25 times less device storage than mobile apps and are, on average, 15 times faster to load. This makes them an appealing option for users who may be worried about space or data use on their devices.

In self-storage, PWAs are the future of online rentals. When combined with a successful online rental tool, they provide an all-in-one solution. Still, despite their accessibility and search-engine advantages, PWAs are only as effective as the rental tool you offer on your facility website. So, before you upgrade, you need to ensure that tool meets your needs and provides tenants with a great experience.

Power in Combo

When a PWA is combined with expert SEO, search rankings can flourish. A well-built PWA should be fast and easy to navigate, which are two critical functions Google looks for and values when determining search rankings. To be clear, there isn’t a direct link between PWAs and improved SEO. Rather, the technology on which PWAs are built incorporates many of the features Google favors when determining rankings.

Other features PWAs use to improve SEO are high-end security, responsive design for a seamless experience across devices and compatibility with all browsers. These are vital pieces to your SEO success. If a traditional mobile app isn’t compatible with a device, the user won’t be able to access any of its features or complete the self-storage rental process. The ability to work across all devices means PWAs appeal to a larger audience than traditional mobile apps, which are only compatible with mobile devices and are often dependent on the specific app store through which they are downloaded.

Combining a PWA with a comprehensive SEO plan can help drive revenue growth by making it easier for prospects to find your self-storage facility and rent a unit. It’s estimated that more than half of all Web traffic originates from organic search results. If your operation isn’t shining on search-engine results pages, it’s safe to assume potential leads are finding other facilities instead of yours.

Take the Leap

If your website isn’t already a PWA, make that the first step to improve your customer experience, software and online presence. Once you’ve got an expert-built PWA design, hand off the SEO functions to experts. While you can perform SEO on your own, a professional is more likely to drive clear, positive results. Select a provider that specializes in self-storage and doesn’t outsource its services. Ensuring the company performs its own work allows you to directly talk to and learn from those who are maintaining and updating your website. In many cases, your SEO provider and website developer can be the same company, which helps create a cohesive digital presence.

Adopting a PWA strategy and improving SEO are great first steps to protect against market saturation. Together, they can help increase self-storage occupancy rates and overall revenue. When it comes to successfully leveraging technology, staying ahead of the curve is the key to success in 2020 and beyond.

Laura Gattis is a marketing specialist for The Storage Group, a provider of self-storage marketing and technology services including website design, search marketing and industry Progressive Web Apps. She earned a master’s degree in media innovation from the University of Nevada. Her expertise lies in social media management, digital marketing and strategic communications. For more information, visit www.storageinternetmarketing.com.

Update 3/26/20 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of additional activity happening in March 2020.

A-American Self Storage in Fresno, Calif., sold to an unidentified LLC. Built on 4.85 acres, the facility at 2455 N. Marks Ave. comprises 77,053 square feet in 717 units. The buyer and the seller were represented in the transaction by Jacob Becher, Gabriel Coe and Hatcher of M&M.

AJ’s Self Storage in Toccoa, Ga., sold to a regional buyer. The property at 2700 Mize Road comprises 210 units and outdoor vehicle storage. The seller was represented in the transaction by Eisenman and Morrison of Midcoast, who also secured the buyer.

Cherry Road Self Storage in Rock Hill, S.C., sold. The facility at 1022 Hearn St. sits on 3.76 acres and comprises 63,980 net rentable square feet in 495 units. The seller was represented in the transaction by Eckert, Spencer and Spencer Jr. of TSAG, and agents with Resource Realty.

Dahn Corp., which operates the Mini U Storage brand in Colorado and Texas, acquired Chester Heights Self Storage in Glen Mills, Pa., for $12.8 million. The facility at 15 Stoney Bank Road sits on 5 acres and comprises 79,705 square feet in 713 units. The buyer and the seller, a private investor, were represented in the transaction by Robert Bloch, Luke Elliott, Michael Mele and Noah Obuchowski, investment specialists for the Self-Storage Advisory Group of Cushman & Wakefield, a provider of real estate services including consulting and appraisal, debt and equity financing, and sales and acquisitions.

Private investment firm Nicol Investment Co. purchased a mixed-use CubeSmart facility in Nashville, Tenn., for $14.5 million. Opened in late 2019, the building at 4305 Alabama Ave. sits on 0.7 acres and offers self-storage and retail space. CapStar Bank provided the $8.7 million loan. The seller, an LLC affiliated with Hattiesburg, Miss.-based York Development, was represented in the transaction by Compton from Colliers.

Spacebox Storage in Nashville, Tenn., sold for $14.5 million to Stratford at LaFayette LLC. The facility at 4305 Alabama Ave. comprises 60,078 square feet in 629 climate-controlled units. The seller, Spacebox West Nashville LLC, was represented in the transaction by Compton of Colliers.

Guardian Storage Centers acquired Storage at Anthem in Anthem, Ariz., for $18.2 million. The facility at 39998 N. Gavilan Peak Parkway sits on 7.5 acres, containing nine two-story buildings comprising 96,409 square feet in 784 units. The seller, a partnership between Lockhart Capital and The Bell Group, was represented in the transaction by Devin Beasley, Elliott, Brian Fulton and Mele of M&M. First Bank provided the $14.2 million acquisition loan.

Strategic Storage Growth Trust II Inc. (SSGT II) acquired a newly constructed Storage King USA facility in Homestead, Fla. The four-building facility at 1235 N.E. 12th Ave. was built on approximately 3.2 acres. Completed last year, it comprises about 91,400 net rentable square feet in 970 units. The site also has 30 RV spaces. The seller, a New York-based institutional investor, was represented in the transaction by Elliot and Mele. SSGT II is a private REIT sponsored by an indirect subsidiary of SmartStop Self Storage REIT Inc. SmartStop owns or manages 142 self-storage facilities in Toronto and the United States. Its portfolio comprises about 10.7 million net rentable square feet.

Sunshine Mini Warehouse in Waynesboro, Pa., sold to a private buyer. The facility at 11981 Broad St. sits on 2.7 acres, containing seven storage buildings comprising 35,000 net rentable square feet in more than 190 units. It also offers outdoor vehicle storage and warehouse space with loading docks. The seller, Oyer Brothers Partnership, was represented in the transaction by IRE.

Merit Hill Capital purchased Upland Self Storage in Upland, Calif., for $12.2 million. The facility at 135 S. Campus Ave. sits on 5.2 acres, containing 11 single-story buildings comprising 70,570 square feet in 834 units. JPMorgan Chase provided the acquisition financing. The seller, Bernie Svalstad, was represented in the transaction by Beasley, Elliott and Mele of M&M.

Whites Creek Pike Self Storage in Nashville, Tenn., sold to an unidentified LLC. Built in 2012 on an 8.53-acre lot, the facility at 2730 Whites Creek Pike comprises 44,385 square feet in 369 units. The property encompasses five single-story buildings. The seller, also an LLC, was represented in the transaction by Gabriel Coe and Hatcher of M&M. Sean M. Delaney, an investment specialist with M&M, represented the buyer.

Miami City Self Storage (MCSS) purchased three facilities in South Florida for $44.3 million. Together, the portfolio comprises 237,000 rentable square feet in 1,836 units. The facilities at 490 N.W. 36th St. and 1100 N.E. 76th St. in Miami are managed by CubeSmart. The third site, 812 N.W. First St. in Fort Lauderdale, is managed by Public Storage Inc., a self-storage REIT and third-party management firm. Dustin Stolly and Jordan Roeschlaub, vice chairmen, and Chris Kramer, senior managing director, of Newmark Knight Frank negotiated the loan from Värde Partners. The variable-interest mortgage is set to mature in 2025.

MCSS is a joint venture between Rivergate Companies and SJM Partners, which was formed by industry veterans Steve Garchik, Jay Massirman and Steve McBride. It has 2 million square feet of storage in various stages of development and lease-up. Based in Glendale, Calif., Public Storage has interests in 2,483 self-storage facilities in 38 states, with approximately 169 million net rentable square feet.

An affiliate of Public Storage acquired a three-property portfolio in Massachusetts and New York from affiliates of Banner Real Estate Group. All three facilities, constructed in 2018 and 2019, are in core urban areas of Greater Boston and New York City. Together, they comprise 3,596 units. The two New York properties are at 5002 2nd Ave. in Brooklyn and 479 5th Ave. in New Rochelle. The Boston-area property is at 490 Eastern Ave. in Malden. The sellers were represented in the transaction by managing directors Stephen Mellon and Brian Somoza, and senior managing directors Coleman Benedict and Andrew Scandalios, for JLL Capital Markets, a full-service global provider of capital solutions for real estate investors and occupiers.

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3/11/20 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of additional activity happening in March 2020.

The two-property All Safe Mini Stor-It portfolio in Wisconsin sold to a limited-liability company (LLC). Together, the facilities at N14W24789 Bluemound Road in Pewaukee and 1515 Manhattan Drive in Waukesha comprise 76,484 net rentable square feet in 548 units. The sites encompass 6.55 acres. The buyer and the seller, also an LLC, were represented in the transaction by Gabriel Coe, Brett R. Hatcher and Brian Kelly, investment specialists for M&M. They were assisted by regional manager Todd Lindblom.

Buchanan Partners LLC and Decem Holdings sold a three-story CubeSmart self-storage facility in Sterling, Va., to Arcland Property Co. for $17.4 million. Built in 2017 on 3.95 acres, the property at 24263 Liberty Harvest Court comprises 77,350 square feet in 882 units. It was at 64 percent occupancy at the time of sale. It’s managed by CubeSmart, a real estate investment trust and third-party management firm. The seller was represented in the transaction by Compton from Colliers. Based in Washington, D.C., Arcland is a real estate development and investment firm specializing in self-storage. It’s portfolio also includes properties in Florida, Washington, D.C., and West Virginia.

Double A Storage in St. Marks, Fla., sold to an LLC. The facility at 630 Port Leon Drive sits on 5 acres and comprises 23,550 net rentable square feet in 56 storage units, 56 vehicle-storage space, two offices and a retail space rented to a hairdresser. The seller, also an LLC, was represented in the transaction by Gabriel and Nathan Coe, Hatcher, and Meir D. Perlmuter with M&M.

East River Mini Storage in Coon Rapids, Minn., sold for $630,000. The buyer is using the property at 730 86th Ave. N.W. as a replacement in a 1031 exchange. The seller was represented in the transaction by Tom Flannigan and Alex Ihrke of KW Commercial Minneapolis, an affiliate of Argus Self Storage Advisors, a Denver-based network of real estate brokers who specialize in storage properties.

Edisto Storage Express in Orangeburg, S.C., sold to 512 Holdings LLC. The property at 4129 North Road comprises 168 units. The buyer and the seller were represented in the transaction by Dale C. Eisenman and Michael Morrison of Midcoast Properties Inc., a commercial real estate brokerage focused on self-storage in Alabama, the Carolinas and Georgia.

Kips Mini Storage in Chiefland, Fla., sold to an unidentified buyer. The two-property portfolio was built on 4.4 acres and comprises 25,000 square feet in 229 units. The seller was represented in the transaction by Josh Koerner and Frost Weaver of the Weaver Realty Group, an Argus affiliate.

The seven-property Maxi-Space portfolio in Washington sold. The sites include self-storage, office and industrial space as well as acoustically equipped band rooms and other specialized units. The portfolio comprises 182,255 rentable square feet. The seller was represented in the transaction by Andrew Burachinsky, Bill Sitar Jr. Esq., and Spencer Jr. for The Storage Acquisition Group.

Millis Mini Storage in Millis, Mass., sold for $3 million. The facility at 1485 Main St. contains 250 units. The new owner plans to add a three-story, 500-unit building. The seller was represented in the transaction by Dan Waldman, principal of Waldman & Associates, a commercial real estate, leasing and sales firm based in Westwood, Mass.

A two-property Stagecoach Storage portfolio in Elk Point and Vermillion, S.D., sold to an unidentified buyer based in Minneapolis. The facilities comprise 48,000 net rentable square feet in 174 units and two warehouse spaces. They were 67 percent occupied at the time of the sale. The Omaha, Neb.-based seller was represented in the deal by Bellomy & Co., which also procured the buyer.

Sharon Commons, a mixed-use development in Medina, Ohio, sold to Valley Storage Ohio LLC for $6.15 million. The property comprises 64,320 square feet of self-storage space in 272 units. The complex also includes an 11,700-square-foot office space anchored by Cleveland Clinic and a 14,000-square-foot warehouse occupied by TimerBeast Axe Throwing and Triad Technologies. There’s room to expand on an additional two acres. Valley Storage is based in Williamsport, Md. It was represented in the deal by Jerry Fiume of SVN Summit Commercial Real Estate Group.

Storage Depot in West Memphis, Ark., sold for nearly $8.9 million to Murray, Utah-based AKA Partners LLC. The new owner intends to expand the property at 701 Highway 77 onto an adjacent 3-acre parcel. The facility will be operated by Argus Professional Storage Management LLC. The seller was DSB of West Memphis, a partnership between Scott Ferguson, David Reagler and LaRand Thomas. DSB was represented in the deal by Larry Goldman of RE/Max Commercial, an affiliate of the Argus real estate brokerage.

Sumas Mini Storage in Sumas, Wash., sold for $1.25 million to buyers completing a 1031-exchange after selling a small apartment complex. The facility at 446 Harrison St. sits on 1.38 acres and comprises 23,448 square feet. The seller, a local LLC, was represented in the transaction by Christopher R. Secreto, senior managing director investments for M&M.

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3/2/20 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of activity happening in March 2020.

Merit Hill Capital LP sold A-American Self Storage in Keaau, Hawaii, to Storage Star. The property at 16-151 Melekahiwa St. comprises 60,118 rentable square feet in 707 units. Storage Star intends to rebrand the facility under its name and make upgrades. The location will be the company’s first in Hawaii. Its 24-property portfolio is spread across seven states and comprises 2.1 million square feet. Based in Brooklyn, N.Y., Merit Hill acquires, develops and manages self-storage facilities nationwide.

Academy Mini Storage in Little River-Academy, Texas, sold. Built in 2003, the facility at 2617, 706 TX-95 comprises 27,000 net rentable square feet in 208 units. It also has 9 acres for expansion. The seller, a local family trust, was represented in the transaction by Bill Bellomy and Michael Johnson of Bellomy & Co., a commercial real estate firm with offices in Austin and Houston, Texas.

Prime Group Holdings, a New York-based real estate group that owns self-storage and other real estate interests, acquired CrossTrax Self Storage in Charlotte, N.C., for $9.2 million from a private investor. The facility at 9400 Bob Beatty Road sits on 11.9 acres and comprises 116,350 square feet in 666 units. Prime received financing from LMF Commercial LLC. The deal was negotiated by Scott Eckert, associate appraiser, Jonathan Spencer, associate, and Cowles M. “Monty” Spencer Jr., CEO and group president, for The Storage Acquisition Group, a division of Mid-Atlantic Commercial Real Estate.

Miramar Storage LLC, an affiliate of Taylor/Theus Holdings Inc., sold a newly constructed self-storage facility in Miramar, Fla., to GFN Miramar LLC for $14.8 million. The facility at 14900 S.W. 30th St. comprises 111,000 square feet on 2.24 acres. It’ll be managed by self-storage real estate investment trust (REIT) Extra Space Storage Inc. and branded under its name. GFN is an affiliate of Boca Raton, Fla.-based investment firm Kayne Anderson Capital Advisors LP.

An Extra Space facility in Charleston, S.C., sold to an unidentified buyer. The property at 2455 Ashley River Road comprises 60,250 rentable square feet and 6,825 square feet of retail space. The facility includes 12 single-story storage buildings, a separate retail structure and nine portable buildings. The seller was represented in the transaction by James Ashley Compton, national director of the Self Storage Group for Colliers International Group Inc.

Lake Warehouse & Storage in Eustis, Fla., sold to affiliates of Compass Self Storage, a member of the Amsdell family of companies. The facility at 36622 County Road 19A comprises more than 58,500 net rentable square feet. The property is the 23rd for Compass in Florida and its 92nd nationwide. Headquartered in Cleveland, the Amsdell Cos. draws its roots from the family-owned construction company founded in 1928.

Lebanon Self Storage in Lebanon, Pa., sold to a private buyer. The 5-acre property at 309 Lincoln Ave. contains nine buildings comprising more than 40,000 net rentable square feet in 310 drive-up units. The seller was represented in the transaction by Investment Real Estate LLC, a provider of brokerage, construction, development and management services to self-storage owners and investors since 1998.

Legacy Self Storage in Plano, Texas, sold to a Dallas-based investor. Built in 2002 at 6900 Alma Drive, the facility comprises 15,628 square feet in 128 units. The seller, a private family partnership, was represented in the transaction by Danny Cunningham, first vice president of investments, and Brandon Karr, senior vice president of investments, for Marcus and Millichap (M&M), a commercial real estate investment services firm with offices throughout Canada and the United States. The brokers also secured the buyer, for whom this was the second self-storage acquisition.

The two-property Millers Self Storage portfolio in Carmel Valley and Monterey, Calif., was sold. The Carmel Valley location comprises 16,219 net rentable square feet in 135 units, while the Monterey site contains 25,075 net rentable square feet in 405 units. The seller was represented in the transaction by Bobby Loeffler, president, and Tyler Skelly, national director, of the Loeffler Self-Storage Group Inc., which specializes in self-storage real estate in California and Nevada.

Regal Self Storage in Spring, Texas, sold to LandPark Advisors LLC, a Houston-based commercial real estate, investment-management firm. Built in 2005 on about 1.8 acres, the facility at 19526 Kuykendahl Road comprises 43,025 square feet in eight single-story buildings. LandPark intends to renovate the property extensively. The facility will be managed by affiliate Right Move Storage LLC and rebranded under its name. Founded in 2013, Right Move manages a portfolio of more than 35 self storage facilities comprising 2 million square feet.

Baranof Holdings LLC, a Dallas-based self-storage developer, purchased Storage by George in Napa, Calif., for $40.5 million. The facility at 1135 Golden Gate Drive will be managed by Extra Space and branded under its name. Owner George Cohen opened the facility more than 20 years ago. It includes 1,000 self-storage units, 320 wine lockers and room to store 500 pallets.

LV 8250 LLC, a company associated with REIT Life Storage Inc., purchased a newly built facility at 33620 21st Ave. S.W. in Federal Way, Wash., for $21.7 million. The seller was Wasatch Storage Partners (WSP), which acquired the land in 2017 for $4.1 million and developed it. Based in American Fork, Utah, and founded in 2015, WSP specializes in self-storage acquisition, development and management.

New Sources:
NEREJ, Waldman Sells Self-Storage Facility For $3 Million - Expansions Are Planned
RE Journals, Marcus & Millichap Sells Two-Property Self-Storage Portfolio in Wisconsin
RE Journals, SVN Summit Closes $6 Million Commercial Sale in Ohio
Commercial Property Executive, Merit Hill Capital Grows Inland Empire Presence
Commercial Property Executive, Suburban Philadelphia Self Storage Asset Trades for $13M
Commercial Property Executive, Guardian Storage Acquires Phoenix-Area Facility
Commercial Property Executive, Miami Self Storage Portfolio Commands $44M Refi
Nashville Post, Sylvan Park Commercial Building Sells for $14.5M
PR Newswire, Strategic Storage Growth Trust II Inc. Acquires 970-Unit Self Storage Facility Near Miami

Previous Sources:
Commercial Realty Executives, Charlotte Self Storage Asset Trades for $9M
Daily Journal of Commerce, $22M Sale for Self-Storage Units
Napa Valley Register, Napa's Storage by George Business, Land, Sold for $40.5 Million
REBusiness Online, Bellomy Negotiates Sale of 208-Unit Self-Storage Facility in Central Texas
South Florida Business Journal, New Broward Self-Storage Facility Sells for $15M

Life Storage Inc., a self-storage real estate investment trust (REIT) and third-party management company, has launched “Rent Now 2.0,” the second generation of its online rental platform, to increase digital rental services for customers during the coronavirus (COVID-19) crisis. The platform offers value- and convenience-based pricing to customers and is integrated with the REIT’s operating, revenue-management and security systems. Following a pilot program that began in January, Rent Now is available at more than 350 locations, with plans to deploy it across the entire portfolio during the second quarter, according to a press release.

Life Storage mapped its properties to create a three-tiered pricing structure based on customer needs and preferences. Value-tiered units are the most competitively priced. “Premium” units provide more convenience to customers, while “Standard” units balance price and convenience, the release stated.

“We are pleased to provide an enhanced, contact-free, skip-the-counter service to our prospective customers, including students as they transition off campus, in these challenging times,” said Joe Saffire, CEO. “With almost 25 percent of rentals coming through Rent Now last week, this alternative promotes the health and safety of our teammates and customers, while continuing to meet their storage needs.”

Based in Buffalo, N.Y., Life Storage operates more than 850 self-storage facilities in 29 states and Ontario, Canada. Its portfolio of owned and managed facilities comprises more than 61.8 million square feet.

Source:
Yahoo Finance, Life Storage Inc. Incorporates Enhancements to Rent Now, its Contact-Free, Self-Serve, Fully Digital Rental Platform