The Storage Business Owners Alliance LLC (SBOA), a buying group for the U.S. self-storage industry, has partnered with office-solutions provider Global Office Solutions (GOS) to offer self-storage operators an online program for ordering office supplies. Accessed at sboa.globalofficesolutions.com, the platform allows operators to take advantage of affordable prices and quick shipping, according to an SBOA press release.

GOS currently provides office supplies for nearly 1,000 self-storage facilities nationwide. It has 42 distribution centers and offers free, next-day delivery on more than 100,000 products, the release stated.

“The GOS program has created several economic and operational efficiencies for self-storage owners. The program is making further advancements with the new and improved ordering platform,” said Theresa Gallas, vice president of sales and marketing for SBOA.

SBOA members can take advantage of pre-negotiated discounts on goods and services from more than 30 preferred vendors, including SBOA Merchant Services and SBOA Tenant Insurance. The company has nearly 5,000 member facilities.

GOS is part of a buying consortium and serves clients throughout Canada and the United States. Its product offerings include coffee services, copiers and printers, furniture, and office supplies.

Brunwick Development Group LLC, an Arkansas limited-liability company led by Carl Baumeister, purchased Air-Tight Self Storage in Springdale, Ark., for $2.3 million. The seller was Haizen Investments LLC, a limited-liability company based in North Pocola, Okla. The acquisition was funded in part by a nearly $2 million loan from BancorpSouth Bank of Tupelo, Miss., the source reported.

The property at 2571 E. Robinson Ave. includes 6.3 acres. The facility has 543 self-storage units and a 1,680-square-foot office. It also offers U-Haul truck rentals.

This is the second time the property has changed hands in less than a year, according to the source. Haizen, which is co-owned by Patrick Byrd, purchased the property in August 2014 for $2.2 million from real estate firm Alpine Properties LLC.

Around the same time as the Air-Tight acquisition, Baumeister and Byrd, who are partners in Fayetteville, Ark.-based 3B Storage LLC, purchased All-Stor Mini Storage at 2325 W. Shady Grove Road in Springdale, Ark., for $636,000, the source reported. All-Stor is on 3.2 acres and includes 213 storage units.

Byrd is also the CEO of 1912 Walton LLC, a brand-development company.

Spaceship, a Singapore-based business specializing in valet self-storage services, has added a special “buddy” service designed for the country’s national servicemen (NSmen), military personnel who serve similarly to reservists in the United States. In addition to pickup, storage and delivery service, the “Kaki” (Malay for “buddy”) program offers uniform laundry and sewing service as well as equipment replacement for additional fees, according to the source.

Essentially, the program stores and prepares army uniforms and gear before and after NSmen participate in in-camp training, the source reported. NSmen comprise 80 percent of Singapore’s military defense, according to information published by the Singapore government.

Pickup, storage and delivery of army backpacks or duffel bags and their contents is $60 per year. Laundry service is $20 for 10 items, while sewing and equipment-replacement services are at “Beach Road rates,” a reference to prices at military-surplus shops, according to the source. Deliveries are made within 48 hours.

"It is like a butler service,” said Yeo Zhi Wei, 29, co-founder of Spaceship, who is also an NSman. “If we can make things a little easier and more convenient for NSmen, why not?"

Spaceship has had more than 100 NSmen sign up for the Kaki service since launching it last month, the source reported.

Edward Lim, a 29-year-old infantryman who gets called for in-camp training each year, was among the first to pay for the service. “I don't own a car, so it is quite a burden to carry the bulky bag around and travel to and from camp," Lim told the source. "I use the duffel bag only once or twice a year, so it is better to just put it away than let it take up space and collect dust in the house."

Spaceship launched its valet-storage service in January after receiving financial backing from Ardent Capital, a group of entrepreneurs interested in growing and developing technology-related enterprises in Southeast Asia. The company uses an online platform that allows customers to schedule free item pickup, keep track of belongings through a dashboard, schedule delivery of items home, or send items to a friend.

Tron Jordheim, who serves as chief marketing officer for Columbia, Mo.-based StorageMart, which owns and operates 163 self-storage facilities in Canada and the United States, as well as director of PhoneSmart, which provides call-center services and sales training to the storage industry, was recently profiled as a “Person You Should Know” by the “Columbia Business Times,” a local media outlet. In the profile, Jordheim discusses his background and shares highlights of his life and career. Interesting tidbits include how he started his first business in the sixth grade with a roll of paper towels and a can of window cleaner, and his stint as a dog trainer, selling protection dogs to police departments and private citizens. Jordheim also managed one of Culligan’s top U.S. bottled-water franchises, promoted rock bands and cleaned offices prior to entering the world of self-storage.

He also playfully claims to be one of the originators of rap music, having co-written “a funky little groove with spoken word rhymes” called “The Rap” in 1978 with James Brickhouse. “‘Rapper’s Delight’ by The Sugar Hill Gang came out the next year, and the rest is history,” Jordheim says in the article.

A frequent speaker at the Inside Self-Storage (ISS) World Expo and a regular contributor to the ISS magazine and website, Jordheim has also written a book about how StorageMart managed its business during the Great Recession titled “The First Rule of Selling: How StorageMart Led an Industry Out of Recession.”

The profile also includes some of Jordheim’s philosophies on marketing and management. “Marketing is not for the weak. You take many calculated risks. You lose almost as often as you win. Bigger and better-funded competitors are always kicking you in the teeth,” he said. “Managing people is only for people who like people and enjoy watching them develop and succeed. And being a leader is great if you have some realistic expectations.”

Founded in 1999, StorageMart serves more than 75,000 self-storage customers across Canada and the United States. The company operates in Chinese, English, Punjabi, Quebecois French  and Spanish, according to the source.

U.K. self-storage company Lok'nStore Group PLC has reported a strong performance based on figures from the first half of its 2015 fiscal year, which ended Jan. 31. The company reported a 13.6 percent increase in group revenue and 15.9 percent increase in self-storage revenue compared to the first half of 2014. Occupancy was up 5.5 percent year over year, and average price per square foot increased 6.7 percent compared to the same period last year.

Total group revenue reached £7.63 million during the period, up from £6.7 million in 2014. Self-storage revenue was £6.71 million, an increase from £5.79 million in 2014. Revenue from records storage was £920,000 during the six months, a 4.3 percent increase year over year. The number of stored boxes increased 33.6 percent compared to the same period in 2014.

Store earnings before interest, tax, depreciation and amortization (EBITDA) rose 27.4 percent to £3.65 million. EBITDA margins increased 5 percent year over year to 54.6 percent. Funds from operations (FFO) increased 37.2 percent to £2.52 million compared to the first six months last year. FFO per share was 20.1 pence, an increase of 33.1 percent.

“With tight cost control, group EBITDA profit margins have expanded to 38.3 percent from 32.4 percent last year,” said Andrew Jacobs, CEO. “As well as increasing our turnover, margins and profits, we continue to invest in the future growth of the business.”

Lok'nStore opened a new facility in Reading, England, last October and sold an older asset in Reading for £2.9 million. The company has four other sites under development in Aldershot, Bristol, Chichester and Southampton, England. Aldershot is expected to open in May, while Chichester is scheduled to open later this year. The Bristol and Southampton projects are expected to open in 2016.

“The strength of the existing business, good asset management and Lok'nStore's conservative debt means that this major expansion can be financed out of cash flow and our existing bank facility,” Jacobs said. “This will enable the business to continue to deliver increasing dividends for our shareholders."

Lok’nStore builds, buys or leases large warehouses or industrial buildings and rents storage units to customers on a weekly basis. Around 60 percent of the company's 7,000 customers are residential and 40 percent are commercial. Lok’nStore has more than 920,000 square feet of net rentable space, which is evenly split between freehold and leasehold.

Update 4/27/2015 – The new Compass Self Storage in River Grove, Ill., is now open. It’s the fifth storage facility the company has opened this year. The property currently offers more than 56,000 net rentable square feet of storage space, and Compass plans to add drive-up self-storage in the future.

"We are thrilled to open this brand new, state-of-the-art self storage center in River Grove. We will serve as a convenient, one-stop shop for the moving and storage needs of our customers," said Todd Amsdell, president.

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4/14/2015 – The Amsdell family of companies is converting the former Fort Lock Corp. property in River Grove, Ill., which has been vacant since 2006, into a 90,000-square-foot storage facility. The 3.5-acre property at 3000 River Road is expected to open next week and will be operated by Compass Self Storage LLC.

The majority of the storage building will contain climate-controlled units, the source reported. Compass plans to add drive-up self-storage in the future. Additional features include electronic gate access, individually alarmed units and video cameras. The property will also offer U-Haul truck rentals and the sale of packing and moving supplies.

Although there are already two self-storage facilities in the area, the new one will fill a need for business storage in the community, according to Ray Bernero, River Grove’s director of economic development.

“A lot of small-business people rent storage space,” he said. "I don't think Compass will take away from the others based on the need for storage. It's been a long time coming and we're going to reopen one of our many vacancies."

Compass Self Storage will also spur economic growth for other companies in the area, Bernero said. "Hopefully, when they come to the storage facility, they will patronize and support the other surrounding businesses.”

Headquartered in Cleveland, the Amsdell Cos. draws its roots from the family-owned construction company founded in 1928. The company, which owns and operates self-storage properties in Florida, Georgia, Kentucky, Michigan, Mississippi, New Jersey, Ohio, Pennsylvania and Tennessee, has since been active in several billions of dollars worth of real estate ventures with a primary focus in self-storage.

A driver lost control of his 2004 pickup on April 26 and crashed into Lakeside Mini Storage in Lakeside, Mont., damaging four units. The single-vehicle crash happened about 5:30 a.m. at 7188 U.S. Highway 93 S. The driver suffered serious but not life-threatening injuries, the source reported. No one else was injured.

The 27-year-old, who was the alone in the car, crashed into a utility pole, then through the storage facility’s fence and into the units, the source reported. Facility manager Martin Tetachuk called the incident “bad luck” for his tenants.

"It's unfortunate for the people who are renting these units. We've got to find other units for them, and then clean up,” he said.

The driver, a resident of Missoula, Mont., was transported to Kalispell Regional Medical Center.

Online billpay. Cloud services. Short message service and other product integration. Self-storage management software has come a long way in just a few short years. Today’s programs do so much more than process move-ins, adjust rental rates and send collection notices. They streamline the entire rental process and add convenience for facility operators and customers.

This showcase offers insight to various programs, features and integration available from several of the industry’s software providers. Find out what’s new and how your application can improve your storage operation.

Editor’s Note: The following information was provided by participating companies. Inside Self-Storage doesn’t endorse any specific product or company. Companies are listed in alphabetical order.

 

 

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Centreforce Technology Group

www.centreforceit.com.au 

Product: RapidStor V3

Description: The online move-in technology interacts with SiteLink Web Edition. The product offers enhanced features including merchandise sales and specials, and the new interactive space calculator. RapidStor V3 uses SiteLink's API to gather information in real time from the company’s user database, displaying information on users’ websites in real time with a call to action.

Hot new feature: RapidStor V3 is now integrated with Sitelink’s new eSign functionality, allowing fully automated leases with digital-signature technology. Site managers can also use RapidStor V3 on a tablet to take payments, reservations and even move-ins.

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Qstrom LLC

www.district-manager.com  

Product: District Manager

Description: District Manager is the only income-maximization software in the self-storage industry. It can potentially increase the value of each facility by a million dollars or more by finding income being left on the table through concessions, manager giveaways, rent discounts, and even theft through automatic auditing.

Hot new feature: District Manager will soon release an advanced revenue-management system that uses 106 different parameters for determining which particular customers get a rent increase, by how much, when and why. It uses sophisticated algorithms to analyze each individual’s capability, not just unit type and size.

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QuikStor Security & Software

www.quikstor.com

Products: 3-D Facility Maps, E-commerce Online Rentals/Payments/Reservations, QuikStor Express, QuikStor OnDemand, SmartClient Multi-Site Management Suite

Description: Express is designed to automate an operator’s daily routine and streamline common tasks. Automated billing and delinquency, detailed reporting and access-control integration are just some of its time-saving features. SmartClient offers instant access to real-time data for any number of facilities. Users can quickly and easily perform global updates across any combination of facilities simultaneously. E-commerce allows tenants to manage their accounts and pay bills online. Prospective tenants can view real-time unit availability and even rent or reserve a unit from the website. OnDemand is a read-only, Web-based portal. The at-a-glance dashboard provides an instant graphical status of a facility, and the Report Center offers more than 150 reports. 3D Site Graphics allows operators to view the site at a glance with real-time gate activity updates.

Hot new feature: The next generation of management software, QuikStor Cloud, will debut this fall.

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Sentinel System Corp.

www.sentinelsystems.com

Products: WinSen Property Manager, WinSen Platinum Property Manager, WinSen Online Payments, WinSen Site Graphics, WinSen Universal Interface

Description: Designed exclusively for the self-storage industry, Sentinel software includes a wealth of features to aid operators in day-to-day operation. WinSen Platinum is cloud-based, allowing all of the facility’s data to be stored centrally so it can be accessed from any Internet-connected device at any time. Features include but are not limited to automatic posting of late fees, automatic printing or e-mailing of notices, integration with Sentinel and Platinum security systems, inventory control, online payments and reservations, and a report menu consisting of more than 100 various reports.

Hot new feature: Along with the new release of WinSen Platinum Property Management software, the company has released the Sentinel Platinum Access Control system, which gives storage customers the ability to use their smartphones to access the facility, pay their bill, view account history and more.

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SiteLink

www.sitelink.com

Products: SiteLink Stand-Alone, SiteLink Web Edition

Description: SiteLink integrates with more than 30 technology partners’ products and services including call centers, kiosks, insurance offerings, mobile devices, websites and other platforms. Built-in features such as SiteLink Merchant Services deliver payment processing without a third-party provider. SiteLink eSign offers electronic signature, online rentals and lease archival. The programs also offer revenue management, built-in customer-relationship management, and e-mail and text-messaging capabilities.

Hot new feature: SiteLink Merchant Services now offers another choice in credit card processing, which eliminates the need for a third-party provider. It also offers SiteLink's EMV (Europay, MasterCard and Visa) integration.

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Space Control Systems Inc.

www.spacecontrol.com

Products: Insight, Onsite

Description: Space Control’s two-product software suite—containing Insight and Onsite—separates management from counter operations to give operators the best of both. Insight was designed for off-site management of one location or many. It uses graphics to instantly show how each facility is performing overall and what part of the business requires attention. A red flag indicates where to allocate time to reap the most benefit. Accounting reports are complete, clear and correct, and include accrual as well as cash accounting.

Onsite improves service at the counter with a customer ledger display that provides clarity and ease of use. The software makes it easy for employees to handle any situation with complete confidence including fewer mistakes, cleaner data and happier customers.

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Storage Commander (Empower Software)

www.storagecommander.com

Products: Storage Commander V4, Net Commander, Storage Commander V5

Description: Storage Commander V4 is a self-standing facility-management system that resides on the computer at the site. It provides a full-featured management solution that includes customizable late-step policy and discounts as well as auto-generation of customer notices. It also includes a comprehensive report suite that features financial, operational and manager reports, and a fully interactive graphical site map. Net Commander provides remote management, online payments and reservation capabilities as a Web-enabled component to the Storage Commander V4 facility-management system.

Hot new feature: Storage Commander V5 can be operated as a Web-based program or locally on a computer or laptop. Reworked from the ground up, V5 offers all of the functions found in the original management-software system with an added list of features such as multiple-window functionality and new hardware integrations. The software is connected with a variety of industry partners for a complete user experience.

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storEDGE

www.storedge.com

Product: Marketing Suite, Management Suite

Description: Key features of Management Suite include a user-friendly interface, phone and lead integration, built-in customer-relationship-management capabilities, smart reporting and analytics, freedom to work with your preferred vendors, and a cloud-based system that can be used anytime and anywhere. Marketing Suite offers comprehensive Web-marketing services for brands of any size. With a focus on online presence and converting leads to rentals, the program’s solutions include search engine optimization websites with unique content, social media management, professional photography and more. Each website is optimized for search engines, created for analytics and designed just for the operator’s brand.

Hot new feature: The storEDGE Management Suite offers a clean, organized and streamlined interface. With color-coded tenants, units and bills, hover cards filled with quick information, and a modern look and feel, it allows operators to complete everyday tasks in as few clicks as possible.

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Syrasoft Self Storage Software

www.syrasoft.com

Product: Self Storage Management Software

Description: Syrasoft Version 9 is Payment Card Industry PA-DSS certified. The software interfaces with access-control systems, automatic credit card and ACH payment systems, barcode-scanner hardware, remote access and backup, customer online payments, reservations, and rentals via the Internet Manager’s add-on software. Version 9 uses Web-based online reporting with the Enterprise Hub, kiosks, QuickBooks (desktop) and accounting software.

Hot new feature: Syrasoft Version 9 now offers full short message service (SMS) integration, which reduces late payments and postage costs. Facilities can ensure a nearly 100 percent open rate of text messages when sending important notifications to tenants via SMS.

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Yardi

www.yardi.com/products/selfstorage

Products: Store Enterprise, Store Advantage, Yardi Genesis²

Description: Store Enterprise and Store Advantage are cloud-based applications that integrate seamlessly with call centers, centralized mail services, mobile devices, corporate office websites, Web aggregators, websites and other business systems. They offer solutions for small-business owners and management firms to the largest self-storage operators.

Hot new feature: Yardi Genesis² is the latest cloud-based real estate management application developed on Yardi’s platform. It delivers a powerful solution in a single database with unprecedented capabilities and add-on products, including dashboards, integrated workflows, online portals and payment processing.

By Derek M. Smith

A little more than six years ago, Jonathan Brett and his wife, Allison, began their journey toward financial security and independence when they began construction of Highlands Self Storage in Franklin, N.J. Little did they know their simple dream would develop into a unique, revolutionary standard for self-storage facilities specifically and businesses in general.

“We said when we retired, our goal was to buy a motorhome and see the country,” Brett recalls. “What business could you run from the motorhome?”

Self-storage offered the potential income that would allow them to depart from their full-time jobs, become their own bosses and pursue their dream of travel. Unfortunately, the market in 2008 seemed to conspire to turn their dream into a nightmare, and the couple struggled to get the facility built.

“Everything went crazy,” Brett says. “One of the things Ally and I learned is that we are not builders. It was horrendous building the first phase! For four years, we didn’t sleep.”

Financial fluctuations, contractor difficulties and other issues were constant roadblocks. Upon completion of the first two buildings (phase one), the Bretts didn’t expect to proceed with a second phase. But in time, the pain of the initial construction became more distant, and Jonathan felt it was time to expand. This time, however, he wouldn’t be content with just another traditional storage building. He intended to offer something distinctive to his patrons—wine storage.

Expanding the Plan

“There are a lot of wineries and approximately nine different wine clubs here,” Jonathan explains. “The next town over has the third-largest wine cellar in the country. The residents here love their wine. They have all this wine and no place to put it.”

Thus, the decision was made to build a state-of-the art, climate-controlled wine-storage area into the new building. The choice appeared insightful, as a waiting list developed for space before construction even began. “In this area, it’s truly a unique facility,” Jonathan says. “There’s no storage facility in this area that has it.”

Power costs for running the building looked to be potentially expensive. The Bretts had installed solar panels on the first two buildings, so Jonathan felt confident that adding solar to the new wine-storage building would be the right call. He called on Kautz Construction Co. in Lancaster, Pa., and its subsidiary, KC Green Energy LLC, to construct the building and offer solutions to meet its energy needs.

This time, they decided to go a step further, aiming for the solar to provide the all of the building’s power. “Everything in it is run on electric generated by the solar. It’s a net-zero facility,” Jonathan says.

Another bonus: The net-zero building manufactures more energy than it uses. It’s self-sustaining and has a back-up generator in case of power loss during an emergency. Such buildings are being hailed by experts as the next step in environmentally responsible construction.

The benefit of such a facility was readily apparent after its completion and the required month of operation on the local power grid. “We had to turn the electric on for a month before we could hook the system up,” explains Gordy Kautz, general manager of Kautz Construction. “They had to see actual consumption in a month before they would let us commission the system so they knew we were sized correctly and they would let us fire it up.” The bill for one month’s operation was more than $3,000.

Brett’s dream of financial independence was solidified by the pillar of energy independence, allowing him to look to further expansion. The sleepless nights of apprehension are a distant memory, and the future appears brighter through innovative construction. “Life is good,” Brett says. “I’m sleeping fine now.”

Derek M. Smith is a freelance journalist with more than 18 years of photojournalism and broadcast-journalism experience with the U.S. Army Reserves. A veteran with numerous deployments, he has been published in numerous military and civilian publications and is a regional Emmy awardee. To reach him, call 717.687.0703; e-mail [email protected].

Kautz Construction Co. is a general contractor specializing in energy-efficient building practices. The company also has a green-roofing division and a wholly owned company, KC Green Energy LLC, which specializes in solar-photovoltaic installations and high-efficiency heating and cooling systems including geothermal. For more information, e-mail [email protected]; visit www.kautzconstruction.com.