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Bad Roof = Bad Self-Storage Business

Article-Bad Roof = Bad Self-Storage Business

Self-storage operators use a rental agreement that generally protects them from liability for damage to or loss of tenants' goods, whether due to fire, flood, theft, etc. But there are grey areas in which the question of negligence comes into play, and those are the ones for which you have watch out—and possibly take responsibility.

Last week an article on DCist.com outlined a situation in which tenant goods at a self-storage facility were damaged due to leaks in the roof. We all know leaks can happen, but in this case, the owners admit to knowing the roof was faulty—and for more than a decade. Even still, they say the fault lies with the contractor who was brought in to repair the roof ... and with the renters themselves.

According to the owners, the contractor hired to do the work failed to tarp the portions that were in progress. Heavy rain that occurred in mid-May soaked through the roof in those areas and pooled in units. After the damage was discovered, the contractor was kept on to finish the job and handle the water extraction. But though the facility owners hold the contractor liable, they claim renters should know "Things can happen to your stuff in storage."

So the owners admit to having consistent problems with the roof over many years,  experiencing "minor roof and water infiltration in that building" since it was purchased in 1998. But they want to blame the contractor for the recent water damage and tenants for being surprised and upset. Huh?

I encourage you to read the story and give this some thought. Some might say it's negligence on behalf of the owners to have not replaced and/or repaired the roof long ago. Or to have assumed exposed areas were being tarped by the contractor without confirming it for themselves. Or to have failed to notify tenants of the work being done and the potential for complications.

If I were a tenant of a self-storage facility undergoing a roof restoration, I'd like to know of the work and have the option to tarp and/or pallet my own goods. Would you? Better yet, I'd like to be informed of the building's history of water infiltration and be properly armed to make the decision about renting there.

If this were your facility, what would you have done? Would you come clean with tenants from the get-go? Notify them of work being performed over their goods? Take a different approach to repairs? Please comment here on the blog or, if you want to jump into an active discussion, check out these threads on Self-Storage Talk:

Want tips on keeping your roof in tip-top shape? Check out these past articles from ISS:

Why We Love and Hate Metal Roofs: Rekindling the romance through repairs and retrofits

Got It Covered: Metal-roof maintenance, repair and restoration

Public Storage President to Present at REITWeek 2010 Investor Conference

Article-Public Storage President to Present at REITWeek 2010 Investor Conference

Ronald L. Havner Jr., president and CEO Public Storage Inc., will present on June 9 as part of the REITWeek 2010 Investor Conference, an annual event hosted by the National Association of Real Estate Investment Trusts (NAREIT). The presentation will take place at the Hilton Hotel in Chicago at 2:15 p.m. CST.
 
The presentation will also be aired online at Publicstorage.com (click on Company Info / Investor Relations / Upcoming Events). An audio archive will be available through June 23.
 
REITWeek is the world’s largest investor forum focused on REIT and publicly traded real estate investment.
 
Glendale, Calif.-based Public Storage, a member of the S&P 500 and The Forbes Global 2000, is a real estate investment trust that primarily acquires, develops, owns and operates self-storage facilities. As of March, the company had interests in 2,009 self-storage facilities in 38 states and another 188 throughout Europe.
 
The company also owns a 41 percent common equity interest in PS Business Parks Inc., which owns and operates approximately 20.5 million rentable square feet of commercial space, primarily flex, multi-tenant office and industrial.

Related Articles:

NAREIT to Host REITWeek 2010 Investor Conference

Public Storage Releases First-Quarter 2010 Operating Results

Public Storage to Buy 30 Self-Storage Facilities for $189M

Uncle Bob's Self Storage Collects Books for Summer-Reading Program

Article-Uncle Bob's Self Storage Collects Books for Summer-Reading Program

Uncle Bob's Self Storage is collecting books to support a student summer-reading program in the Austin, San Marcos and San Antonio, Texas, areas. Community business leaders and individuals have already donated approximately 3,000 books for distribution to local children and teens, according to Monty Rainey, area manager. Volunteers will distribute free books while supplies last during the following dates and times:

  • Uncle Bob’s Self Storage, 2216 IH-35 South, San Marcos, June 7, 10a.m.-Noon
  • Uncle Bob’s Self Storage, 8227 N. Lamar Blvd., Austin, June 9, 10a.m.-Noon
  • Harmony Science Academy, 8505 Lakeside Parkway, San Antonio, June 11, 10a.m.-Noon

For more information, visit www.unclebobs.com/summerreading.
 
Uncle Bob’s is owned by Sovran Self Storage Inc., a real estate investment trust in the business of acquiring and managing self-storage facilities. The company has more than 160,000 customers in 24 states.

Related Articles:

Uncle Bob's Self Storage Launches 'Uncle of the Year' Contest With Syracuse Crunch

Hawaii Self Storage Gives Elementary Students Books

Facility in the Spotlight: Uncle Bob's Self Storage of Richmond ...

Uncle Bob's Opens Self-Storage in Midlothian, Va.

ONeil Software Helps Raise Funds for Ronald McDonald House

Article-ONeil Software Helps Raise Funds for Ronald McDonald House

Customers and vendors of O’Neil Software, a provider of records-management hardware and software, raised $21,257 for the Orange County Ronald McDonald House during its 2010 Strategic Partner Conference, April 21-23, at the Hilton Waterfront Beach Resort in Huntington Beach, Calif. The participants painted their renditions of the OC Ronald McDonald House on canvas, which were included in a silent auction along with other industry-related items.

The Ronald McDonald House offers temporary housing for families with seriously ill children receiving treatment at medical facilities. Since opening its doors in 1989, The Ronald McDonald House charity has welcomed more than 10,000 families from 22 countries.

Related Articles:

O'Neil Software Supports OC Ronald McDonald House

Westy Self Storage of Danbury Collects Donations for Four Charities

Tennessee Self-Storage Facilities Participate in Blanket Donation Drive

Self-Storage Talk: Helping Local Non-Profits

Human Bones Found at Ontario Self-Storage Construction Site

Article-Human Bones Found at Ontario Self-Storage Construction Site

Human remains were found this week at a self-storage construction site in the west end of Kingston, Ontario, Canada. Fill that had been dumped at the 2880 Princess St. property was found to contain old bones, which are currently being evaluated by a forensic team.
 
Police are sifting through the 35-acre property to ensure all remains have been found. Paul Martin, the Kingston businessman who owns the planned 5,000-unit self-storage site, said someone had illegally dumped the fill on his land, probably sometime in the last two weeks.
 
It’s unclear if the bones were accidentally removed from a burial or if suspicious activity is involved. The founder and circumstances of the bone discovery were not disclosed.  
 
Source: The Kingston Whig-Standard, Human remains found

Related Articles:

Man's Ashes Found in Self-Storage After 10 Years

Girl’s Body Found in Michigan Storage Unit

Reno Funeral Home Evicted From Self-Storage for Storing Embalmed Bodies

Self-Storage Talk: Scariest Thing That's Ever Happened at Your Facility

Premier Self Storage Stores Shoes for Teen's Charity Effort

Article-Premier Self Storage Stores Shoes for Teen's Charity Effort

Premier Self Storage in Egg Harbor Township, N.J., donated space for a New Jersey teen to store shoes as part of Shoes 2 Share, a Delaware-based shoe charity that distributes shoes to Operation THERE (The Haitian Earthquake Relief Effort) and other causes worldwide. Brian Honick, a junior at St. Augustine College Prep, began the shoe drive as part of a service project. The teen says he chose a shoe charity because his dad is a podiatrist.

The goal was to collect 1,000 pairs of new and used shoes for adults and children including sneakers, sturdy sandals and work boots between April 19 and May 14. A total of 1,501 pairs of shoes were collected at the various schools and churches and stored at the Premier Self Storage.

The shoes will be transported to a warehouse in Delaware where they'll be sorted and cleaned, then distributed. .

Source: NBC40, Shoe Drive Collects Thousands of Pairs to be Donated Around the Globe

Related Articles:

Westy Self Storage of Danbury Collects Donations for Four Charities

Tennessee Self-Storage Facilities Participate in Blanket Donation Drive

StorageMart Donates Free Space to Durham Children’s Aid Foundation

Self-Storage Talk: Helping Local Non-Profits

Amazing Spaces Sells First Self-Storage Franchise

Article-Amazing Spaces Sells First Self-Storage Franchise

Amazing Spaces, a Houston-based provider of self-storage and a provider of self-storage franchise opportunities nationwide, sold its first franchise, to a father and son team in St. Louis, Mo. The buyers come from the film and veterinary industries respectively. Amazing Spaces plans to open additional locations in the St. Louis area and will be seeking franchisees, according to principals Kathy and Scott Tautenhahn.

Established in 1998, Amazing Spaces currently operates three self-storage facilities comprising 2,100 units and 274,280 net rentable square feet of storage space. It will open a fourth facility with 800 units and 141,942 this year in Houston’s Medical Center.
 
Amazing Spaces Franchising LLC has opportunities in all 50 states and is targeting interested investors in major metropolitan areas. The company provides continuous training and support to its franchisees, complete with proprietary software that helps convert leads into rentals.

Related Articles:

Amazing Spaces Awarded The Woodlands 'Best' in Self-Storage

Amazing Spaces Launches Self-Storage Franchise Program

Amazing Spaces Expands Staff, Franchise Agreements

Amazing Spaces Loses Court Case Regarding Trademark of Texas Star

Article-Amazing Spaces Loses Court Case Regarding Trademark of Texas Star

This week a federal appeals court in New Orleans upheld a September 2009 ruling that self-storage company Amazing Spaces Inc. cannot trademark the Texas star for its exclusive marketing use.

Last year the company sued Landmark Interest Corp., a self-storage construction company, and Metro Mini Storage, a competing self-storage operator, for using the Texas star on their buildings, claiming to have a valid trademark on the image. This week the court upheld that use of the Texas Star cannot be trademarked and all Texans are free to use the famous icon. It was demonstrated in court that at least 29 other self-storage companies and businesses in 63 other industries use the symbol. 

Last year in Houston, Judge Lee Rosenthal recognized the star as “a common symbol long associated with Texas,” ruling that it doesn’t qualify for trademark protection. Amazing Spaces appealed the decision, which was upheld this week in the U.S. Court of Appeals for the Fifth Circuit. The court claimed the symbol is not used in a unique or distinctive way by Amazing Spaces, and dismissed the case.

Related Articles:

Federal Court: Texas Star Not Copyrighted; Landmark Interest Cleared to Use Symbol

Taking the Sting out of Lawsuits

Contending With a Lawsuit

Self-Storage Talk: Has Your Facility Ever Been Sued

Three Ways for Self-Storage Operators to Boost Their Online Presence

Article-Three Ways for Self-Storage Operators to Boost Their Online Presence

There are three key elements to marketing your self-storage facility online. First, you must have an effective website that generates calls and leads. Second, people need to be able to easily find your website on the Internet. Third, you must convert the calls and leads generated from your website into renters. This article will focus on the second point, helping people find your website.

All of your marketing should promote your website; however, most of your website clicks will come from people looking for self-storage using one of the major search engines such as Google, Yahoo, Bing and others. To have an effective online presence, you need high ranking on the major search engines. A high ranking means your site is among the first few websites promoted when a certain keyword is searched.

You should shoot for the first page of the search results because many people looking for something on the Internet will stop looking after the first page. There are three basic ways to get listed on the first page of any major search engine:  

  • Organic results: A result of search-engine optimization.
  • Paid results: Often called pay-per-click, you pay each time your ad is clicked.
  • Directories: You pay to be listed in a directory. 

Boosting Organic Results

Let’s first talk about organic, also called natural, results. These are the main results of a search. You do not pay when someone clicks on an organic link to your website. Search engines have their own criteria and algorithms to determine the order in which websites will be listed. Your website must be designed to be relevant to Internet search engines.

The process of increasing a website’s natural clicks is called search-engine optimization, or SEO. You should have SEO in mind when designing and constructing your website. If you conduct a search for your facility’s website on the major search engines and don’t see your site, then you need to improve your SEO.

There are changes you can make to your site that will increase your SEO, and a number of companies who will, for a fee, handle the SEO of your website. If you want people to find your site, you need to have high ranking on the search engines, and SEO is the way to achieve it.
 
Trying Pay-Per-Click

Pay-per-click advertising is exactly that—you pay each time your link is clicked. These links are located on the top and right-hand side of the Web page and titled “Sponsored Results.” With pay-per-click advertising, you can be on the first page of the major search engines in a couple of hours.

You determine the keywords you want to promote your ad, and when those keywords are typed by a user, your ad will appear. The price you pay per click is determined by a bid for the keyword. You determine what you’re willing to bid for a keyword, designating a daily and monthly budget.

Pay-per-click advertising gives you flexibility and can be used as an effective way to get people to your website. It can act as a great supplement until your organic ranking improves. Pay-per-click campaigns are easy to set up; you can do it yourself or pay a company to handle it for you.
 
Using Directories

Directories are another way to get a higher ranking in the search engines. With this type of advertising, you pay to be a part of a directory, which will do its job to maintain a high ranking on the search engines so customers will visit included sites. When a customer visits a directory, he see the various storage facilities who advertise with it.

The advantage of a directory is it can get visitors to your website or calls to your facility. The disadvantage is you’re usually listed alongside other storage facilities in your market. When choosing in which directories to advertise, make sure they have a good ranking on the search engines. If not, few people will use them.

In today’s competitive marketplace, it’s not enough just to have a website—it must attract visitors. By implementing strategies to get your facility ranked high on the search engines, using pay-per-click marketing or directories, you’ll increase the number of visitors to your site. When this happens, you’ll have the opportunity to increase occupancy and revenue.

Rick Jordan is president of RWJ Storage Management LLC, which provides third-party management, training and consulting for self-storage businesses. To reach him, call 562.682.5003; visit www.rwjstorage.com.

Related Articles:

Offering Online Reservations to Self-Storage Customers: Knowing the Options, Choosing a Partner

The Internet as the Best Self-Storage Storefront: Online Payments, Rentals and Account Management

Building and Marketing a Successful Self-Storage Website

Self-Storage Talk: Webmasters Unite

Self-Storage Leads Gains for REIT Industry So Far in 2010

Article-Self-Storage Leads Gains for REIT Industry So Far in 2010

Self-storage was among the sectors that led gains for the REIT (real estate investment trust) industry during the first five months of the year, according to the June 2010 MediaUpdate released by the National Association of Real Estate Investment Trusts (NAREIT). The update, summarizing REIT-performance data through May 31, indicates that the apartment and lodging/resorts sectors are also leading the pack in 2010, while regional malls, apartments and the office sector are outperforming the industry on a 12-month basis.
 
For the first five months of 2010, apartments delivered a total return of 23.91 percent; the lodging/resorts sector delivered 19.05 percent; and self-storage delivered 15 percent. For the 12 months ending May 31, regional malls delivered a 78.93 percent total return; the apartment sector delivered 76.54 percent; and the office sector delivered 66.04 percent.
 
According to the NAREIT summary, U.S. REITs have demonstrated an eleven-fold performance advantage over the broader equity market for the year ending May 31. The FTSE NAREIT Equity REIT Index delivered an 11.13 percent total return. The FTSE NAREIT All REITs Index was up 10.58 percent. By comparison, other major market benchmarks were in negative territory for the year. The S&P 500’s total return was -1.5 percent. The Dow Jones Industrial Index delivered a -2.79 percent return for the year, and the NASDAQ Composite’s return for the period was -.53 percent.
 
REITs also more than doubled the performance of the broader market. The FTSE NAREIT Equity REIT Index delivered a 55.98 percent total return for the 12-month period through May 2010, and the FTSE NAREIT All REITs Index’s total return for the period was 53.54 percent. By comparison, the S&P 500 returned 20.99 percent for the year.
 
To read more, visit NAREIT.com.

Related Articles:

NAREIT to Host REITWeek 2010 Investor Conference

NAREIT Launches New Publication for Commercial Real Estate Investors

NAREIT Launches New Website for 'All Things REIT'