Construction Corner is a Q&A column committed to answering reader-submitted questions regarding construction and development. Inquiries may be sent to [email protected]. 

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Q: I recently purchased an old self-storage facility that has a long, single building with two stories. There is no elevator or lift of any kind, so the previous owners were restricted as to how they could market and rent those second-floor spaces. I would like to take down some partition walls upstairs and start renting those units for more money; but to do that, I will need some form of elevator. What do you recommend as an inexpensive solution?
Gary in Billings, Mont.

A: There are a couple of ways to go in this situation, though the direction you choose may be dictated by your local building department. A traditional elevator car can be very expensive and is probably not required for this application. There are companies that tailor lift systems specifically for the mini-storage industry. These systems are usually much less expensive than a regular passenger elevator. Please note, there are differences between a system that carries cargo only and one that also carries people. Be sure to consult your elevator company with your specific requirements when shopping around. (For information on possible vendors to assist you, visit the online buyers guide at www.insideselfstorage.com and click on Lifts & Materials Handling.)

Q: I own what I feel is a very nice facility; yet I have had several tenants tell me it is too cavernous, and they dont feel safe when inside. Without seeing my building, do you have any suggestions to make it less foreboding and tenants feel at ease?
Cindy in Apple Valley, Calif.

A: Lighting is going to be near the top of your list for improvements. Are hallways well-lit and bright, or are there dark spots with dull paint or walls? After lighting, there isnt anything like a surveillance-camera system to make tenants feel safe. You can choose to put cameras in only the common areas and on the exterior of the building(s), or strategically place them in the hallways.

After cleaning up the lighting and adding cameras, consider installing a comprehensive paging/music/intercom system throughout the facility. Music makes tenants feel like they arent alone when inside your building. The paging system allows you or your manager to quickly call tenants when they are on site. The intercom makes tenants feel there is someone close by if necessary. All of these elements will not only increase your tenants ease while on site, but will provide a great way for you to market your facility to new customers.

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Tony Gardner is a licensed contractor and installation manager for QuikStor, a provider of self-storage security and software since 1987. For more information, visit www.quikstor.com.

Capco Steel Inc.
Constructing life-long relationships

By Kimberly Hundley

If self-storage builder Capco Steel Inc. were an individual, it would be old enough to vote, marry, serve its country and buy beer in Canada. The San Antonio-based construction company is 19 years old, a veritable elder statesman in the realm of self-storage history. When founder and CEO Charles Plunkett talks about his business, he even sounds a bit like a seasoned senator at the podiumwith one exception. Plunkett means every word.

We are one of the oldest companies in the industry, and we are known as one of the highest-quality companies, he says. The level of repeat business and referrals we get from our customers is extremely high. A lot of people use the word loosely, but I believe we really demonstrate quality in the work we do. To us, quality of craftsmanship is not another slogan, its what distinguishes us.

In fact, Plunkett struck out on his own nearly two decades ago because of ethical conflicts with his employer, a manufacturer/installer of steel stairs and framing systems. Confidant in his belief that good morals make for good business, his ambition was to earn a fair dollar in exchange for top-notch service.

So, at the age of 25, I left and founded Capco Steel, Plunkett says. I basically had nothing to start with but an idea I could do it for myself. A mini-storage developer gave the young entrepreneur a chance to build one project, then another and another. The rest is Capco history.

Today, most people in the storage industry know the name Capco Steel and its reputation for award-winning work. The company took home the Facility of the Year Award five of the last nine years and has completed hundreds of developments throughout 42 states. Projects include construction of single- and multistory facilities, conversions, mini offices, boat/RV shops, and basic design services.

Building Relationships

As the self-storage product advanced, Capco evolved with the industry. We started out building single-story installations that werent terribly complicated; and now were building facilities up to five stories high, some of which are extremely architecturally complex, Plunkett says. One thing that hasnt changed, however, is his commitment to building relationships along with facilities. The company is in it for the long run, and Capcos extensive experience translates to diamond-studded value for clients.

We often get involved very early in the stages of our customers developments. We have a wealth of knowledge in self-storage. We dont just know about steel buildings; we can help people navigate a myriad of issues, such as special-use permits, zoning and pre-evaluations of sites based on constructability, Plunkett explains. We become a central part of the development team and help clients avoid mistakes. Were not about Lets close this deal today. We look at each project as the potential for a long-term relationship.

Owners may send Capco a property survey with goals for a new facility. Company staff will work an initial site plan, and help with laying out buildings on the property, planning for turning radiuses and traffic flow. Then well work with a designer to refine that plan to meet the objectives, Plunkett says. Its not uncommon for us to encounter a civil engineer who is working for the owner but isnt experienced in self-storage. The engineer may not understand the elevation of the driveway is directly related to the intended use of the buildings. We work with him on how to do that.

The Cost of Ignorance

Owners may get more information than they bargained for when working with Capco Steel. Plunkett strongly believes its important for owners to understand what their suppliers are supplyinghes seen too many get burned by unscrupulous companies with murky bids. With us, there is no room for misinterpretation. We bid a project according to specifications and plans down to the letter of the law. We write out in clear language exactly what they are getting.

Educating potential customers on the companys value has been key in guiding it beyond the wave of rival upstarts to its enduring success. Cheapest doesnt mean best, after all. Or, as Plunkett likes to say, If you think education is expensive, just try ignorance.

For most owners, the longevity and reputation Capco offers is highly attractive. They know their builder will still be around in 10 years to be accountable. Another Capco perk is its integrated, centralized structure. The salesperson you talk to the first day remains involved with production, crew coordination, etc. Customers arent handed off to someone else. Everyone knows whats going on with the project, Plunkett says. I think that gives us a high degree of control over what is happening in the field.

Over the last few years, numerous construction companies have plunged into the self-storage marketplace, and Capco has responded with streamlined efforts and reduced margins to remain competitive. Still, the company wants to get as good as it gives: quality.

I dont believe there is a project in the self-storage industry we arent capable of building; but we dont want to build everyones project, Plunkett says. We want to work with quality customers. They dont have to be big; they just have to be committed to a fair and equitable relationship with us. We provide a top-quality service for them, and in return theyre happy to pay us a reasonable amount.

For more information, call 210.493.9992; e-mail [email protected];  visit www.capcosteel.com.  

Understanding Inventory

By Gregg Salkovitch

Inventory is an issue every retailer must understand. Successful retailers will tell you inventory management is vital to their operations. Selfstorage managers need to realize retail sales are not only an added convenience but a very controllable way to increase revenues. A facility that sells retail products promotes the idea of one-stop shopping, which appeals to people and their busy lifestyles. But many managers do not grasp the basics of inventory management. They often overlook inventory counts and product ordering, which directly impacts their ability to increase sales and profits.

Why do some storage facilities sell thousands of dollars in retail products monthly while others sell less than a few hundred dollars worth? What separates the top performers from those that are not as successful? Could it be the demographics of some properties are significantly better than others? Location is important; but often facilities within a couple of miles of each other have completely different retail-sales numbers. Do facilities with more units sell more retail product because they have more customers? Records show retail sales for facilities with more than 500 units do not always measure up to those of facilities half their size.

I decided the best way to determine why some facilities thrive more than others was to call managers directly. After all, what better way to find out why operators are not achieving higher sales numbers than to ask them personally? So I began by asking our customers, How are your retail sales? Do you need to reorder any products?

The facilities with successful retail programs said their sales were great and their shelves were full. Conversely, three-quarters of the facilities with suffering sales responded with, Im so glad you called. I need to order more supplies because my shelves are empty. I had to refer my customers to a competitor down the street. I was dumbfounded. First, I could not believe such easy sales opportunities were being lost because managers would not take 15 minutes a month to check inventory. Second, they were referring customers to their competition.

These managers have failed to comprehend that referring a customer to another facility not only results in decreased overall sales, it eliminates opportunities for referrals and future purchases. The competition gets the retail sale and the potential for new rental business.

There is a very simple solution to this dilemma: Keep your shelves full. Establish a steady reorder cycle and inventory-management procedure. Count your retail products and order supplies on the first or 15th of every month. Order before you are out of stock, not when you are empty. If you follow a regular ordering cycle and take regular inventory counts, you can be assured of higher overall sales.

Gregg Salkovitch is an account manager at Supply Side, which distributes packaging as well as moving and storage supplies. The company has developed merchandising programs for many leading companies, including Storage USA, the U.S. Postal Service, Kinkos and Mail Boxes Etc. For more information, call 800.305.6110 or 216.738.1200; e-mail [email protected].

Renew, Renovate, Remodel
Remarkable products to create an aesthetically pleasing facility

By Amy Campbell

We all know an extensive marketing program and a good location are key factors to self-storage success. Excellent customer service is equally important. But often, owners and managers focus so much energy on sales and service they forget another key componentfacility maintenance. A well-maintained facilityinside and outtells tenants you care about them and their belongings. Leaky roofs, noisy birds and cracked tile or stained office carpet shouts neglect. Its important to keep your facility in the best shape possible. This month, Inside Self-Storage brings you some innovative ideas to renew, renovate and remodel your facility.

Up on the Rooftop

One of the biggest liabilities a self-storage owner has is the facility roof. Damage to the roof in any form can expose tenants goods to the elements. Snow, sleet and rain are obvious causes of concern. But what about high winds? Small openings into storage units can allow dust and debris to blow in and cause damage. Because a good roof only lasts about 25 years, you can expect to replace it. But rather than replacing the entire roof, you may want to consider retrofitting.

Previously, youd have to remove that old roof to put on a new one, and expose the interior of the building, says Dale Nelson, president and co-owner of Roof Hugger Inc., an Odessa, Fla.-based company. All of the items that are stored are then exposed to the elements while the new roof is installed. That includes dirt, rain, wind, sunlight and the debris that falls during installation, which could take up to three or more days. With our system, that exposure is eliminated, Nelson explains.

The Roof Hugger system is a subpurlin, specifically engineered to fit over existing ribbed metal roofs of any profile. The notchpunched subpurlin nests into and over existing ribs and fastens directly into the structural purlin below. New panels are then installed over the old. The subpurlins are made of hitensile, 16-gauge structural steel. They are G- 90 galvanized, pre-punched to match existing roofing profiles, pre-punched for fasteners, and come in 10-foot lengths that are banded, crated, shrink-wrapped and shipped directly to the jobsite.

The end result is a building with two roofs, considered virtually impenetrable by the elements, says D.V. Red McConnohie, co-owner and designer of the patented system. Two roofs are much better than one, and the air cavity between them makes the building much cooler in the summer and warmer in the winter, and gives it more stability overall.

The dead air space between the existing and new roof acts as an insulating cavity, Nelson explains. Of course, you need to ventilate that cavity to ensure there are no condensation issues. It really does a tremendous job of not letting that heat act like a radiator down through the interior of the building. Without even adding insulation, you get a great thermal benefit. If you do spend a few extra dollars and put insulation in that cavity, you get a really terrific system.

The cost of retrofitting, which should be done by a professional, runs about 35 cents to 60 cents per square foot. You would have to compare that to tearing off the old roof, exposing tenants belongings to the elements, and disposing of the roof you just removed, Nelson says. It is very often less expensive to use our retrofit framing system than it is to go through all the other steps.

Another advantage to retrofitting is the ability to add colored panels. The new generation of paints and finishes are really excellent, with outstanding colors that will last 30 years, Nelson says. It can really allow owners to update, modernize and add value to their facilities. In addition to a new roof, it also adds curb appeal that will increase the resale and marketability of the facility.

Attracting customers is, after all, the ultimate goal. Retrofitting a new roof over the old one is a very nice, one-time, long-term fix. You can easily expect another 30 or 40 years of uninterrupted performance from your new roof, Nelson says. Also, youve increased the facilitys marketability, the curb appeal and the resale value.

Bye-Bye, Birdie

Another roof-related problem is birds. Self-storage facilities can quickly become bird havens. Birds are attracted by three things: a food source, a water sourcewhich is often created by condensation from air conditionersand shelter, says Bruce Donoho, owner of Bird-B-Gone Inc. The Mission Viejo, Calif., company manufactures products that prevent birds from landing and nesting.

There are many reasons birds of any kind are unwelcome selfstorage tenants. They can cause damage to units and stored items, and they are messy, causing health concerns. Birds carry 36 known, transmissible diseases. Its carried primarily in their feces, says Donoho, adding that many storage owners or managers underestimate their bird troubles. When they do acknowledge a problem, they run off to buy a well-know product: the plastic owl. Plastic owls dont work, he says. Thats usually the first thing people try because it is inexpensive and they think it will work, but it doesnt.

Bird-B-Gones product line includes bird spikes and bird gel, both of which prevent birds from landing; electrified track systems, which deliver a mild shock; bird netting that can cover a small or large area; ultrasonic systems and more. The product a facility owner needs will depend on the type of bird roosting on the property. Donoho suggests owners talk to one of the companys bird-control specialists. We can help them solve the problem, or we will refer them to one of our authorized nationwide installers who will look at the property for free, make recommendations, and give an estimate. Some of the products can be installed by the facility owner or manager.

Seeing birdsand the mess they leave behindat a self-storage facility is almost a guarantee a customer will look elsewhere to store his goods. If a customer goes to a facility and sees birds feces and nests, theyre not going to want to put their belongings in a place where they could get damaged, Donoho says. It also affects the overall appearance of the buildings exterior.

In the Green

Self-storage owners may want to consider adding more green to their propertiesno, not money, but grass! Some commercial developers are leaving asphalt and concrete in the dust in favor of a new grass system called grass pavers. The three-dimensional product allows access on top of the grass without damaging the root zone, which is key to a grass systems survival, says Dustin Glist, media and information director for Aurora, Colo.-based Invisible Structures Inc., a manufacturer of a porous paving system called GrassPave2.

GrassPave2 is 100 percent grass coverage, so you dont really see the root zone at all, Glist says. Made up of sand, it is considered the best medium for growing grass. Then you have an engineered base course, which is a sandy gravel mixture under the system. It is similar to what is underneath asphalt or concretethats the actual load-bearing component. Our grass pavers disperse that weight from contact with the tire to that base course. Thats how you can have a drivable or parkable surface.

According to Glist, there are four key reasons more developers are choosing grass pavers over traditional materials: economics, storm-water management, aesthetics and the environment. The most obvious, he says, is aesthetics. A self-storage facility with lush lanes of grass will be more attractive than one with concrete sidewalks and asphalt driveways.

Possibly more important, however, are storm-water-management and environmental issues. There are federal laws mandating businesses keep the same amount of storm-water on a site as during predevelopment, Glist says. Porous pavers can do that. They allow the water to percolate back into the groundwater supply without causing flooding and detriment to other peoples sites or overloading the citys storm-sewer system. In addition, the pavers actually clean the storm-water. It cleans the pollutants from cars and trucksthe hydrocarbons, the heavy metals, and the nitrous oxideskeeping them from reaching streams and waters, Glist points out.

Economically, porous pavers will save a self-storage owner money in the long run. You dont have to have a detention system. You dont have to put in other components to help you meet some of these requirements.

Because pavers are essentially gigantic lawns, they need to be maintained like any grassy surfacemowed, fertilized, watered and plowed in snowy climates. While that may seem like more maintenance than an asphalt drive requires, Glist disagrees. Studies have shown asphalt needs to be resurfaced every four to five years, and replaced every eight to 15 years. Grass pavers can last 60 years. It is 100 percent grass coverage, so the plastic will never be exposed to the sun. There wont be the resurfacing costs, replacement costs, and drainage and conveyance components that come with asphalt.

Installation costs run close to that of concrete and slightly more than asphalt. But after that first four years, youll be saving a lot of money by using these types of products, Glist says. One area of savings could be cooling. Developed areas encompassing buildings, roofs, concrete and asphalt structures absorb the suns UV rays and emit them back into the atmosphere, causing higher temperatures in those areas. Its what scientists refer to as heat-island mitigation.

Basically, they convert the light into heat. In cities and parking lots, you end up with significantly higher temperatures than you would in a natural zone, Glist says. GrassPave2 can mitigate some of that heat-island occurrence. It absorbs more of that UV radiation instead of emitting it back into the atmosphere, so you end up with a significantly cooler surface. In addition, the CO2a greenhouse gasemitted from the grass pavers is converted into oxygen. It actually cools the immediate surrounding area. It both mitigates the heat island and provides an air-conditioning effect.

Catching Rays

Climate-controlled facilities could benefit from new high-tech, solar-power systems such as the one by Bergquam Energy Systems Inc. The Sacramento, Calif.-based company developed a hot-water method of solar heating that is used for solar HVAC systems and provides air-conditioning and space heating to buildings. Because selfstorage facilities have ample rooftop space, solar collectors are an ideal method for heating and cooling, says owner James Bergquam. Ironically, solar collectors produce cold air using heat. Chilled water can be circulated through the coils, then distributed as cold, conditioned air, Bergquam says.

Although more costly up front than a traditional heating and cooling unit, solar panels are more cost-effective in the long run. Rather than running off electricity as most common air-conditioners do, they run off heat from the sun, which is free, Bergquam says. Because solar panels have no moving parts, such as a motor, there are very little maintenance or replacement costs. The energy savings pay back the cost between a solar and a conventional cooling system in about eight years.

A Splash of Color

Theres no doubt curb appeal plays a huge factor when it comes to occupancy levels, and a bright facility will attract more attention than a drab one. Typically, selfstorage owners have turned to paints in bright hues do the job. Now, some have shied away from buckets and brushes in favor of panels and stuccos, products that require less maintenance, last longer, and can even add exterior protection.

One such product is a composite panel by United Panel Inc., a division of Stabilit America Inc. The Mt. Bethel, Pa.-based company manufactures Stenni® Composite Panels, an aggregate-faced composite wall panel used in new construction or retrofit projects. The panels can give a facelift to older buildings with failing brick or block, or dented and damaged corrugated metal siding, says Lee Anne Slattery, the companys marketing manager. Many zoning ordinances are now mandating that something other than corrugated metal be used on self-storage buildings, something more visually appealing. This is where Stenni can offer a solution.

The panels are durable, impact- and abrasion-resistant, and maintenance-free. They are available in a wide variety of colors, textures and sizes. The panel face can be routed to simulate brick, block or raked Precast, and dramatic designs can be achieved by combining colors and rout patterns on the buildings. All of the panels are made to order and can be cut to required sizes at our factory, so you are only paying for material you actually need for your job, Slattery says. Once at the jobsite, the panels can also be cut or drilled, and easily installed by any contractor or carpenter. They can withstand all types of weather from bitter cold to high heat.

The companys Vermont White Stenni panels were recently used in a major selfstorage renovation project in Swoyersville, Pa., on a building more than 100 years old.

The owner of Wyoming Valley Space Plus wanted to turn this former mill and manufacturing plant into a multistory, climate-controlled self-storage facility. Our panels were chosen to reclad the building, along with bright blue aluminum to cover the brick pilasters, Slattery says. Stenni panels had a dramatic effect on the appearance of the building. It went from having an old, run-down appearance to a bright, new, aesthetically pleasing one.

Another way to dress up a facility is with an elastomeric acrylic finish from Redmond, Wash.-based Stuc-O-Flex International Inc. The resilient, 100 percent acrylic polymer compound looks and feels like traditional stucco. Its thermoplastic and elastomeric nature allows building movement while maximizing resistance against cracks in the finishes. Available in 20 standard colors, it can cover a variety of substrates, systems and metal to create a unique building exterior.

It can really add curb appeal, and design elements can be incorporated into the building very economically, says Dan Johnson, the companys technical sales manager. At a cost of about 40 cents per square foot, the acrylic finish is easy to install and can even be done by a motivated do-it-yourselfer, Johnson adds.

The finish will last for decades with little or no maintenance. A water-bleach solution is all that is required. These products have all been tested to withstand 30 years of exposure, Johnson says. They are breathable membranes. They keep the water out of the building. They can be subjected to freeze-thaw cycles or basically any type of weather. We sell it from Siberia to Nigeria.

One other advantage to using the acrylic finish is it creates an additional exterior barrier resistant to fading, UV radiation, salt spray, humidity and mildew. Thats one of the main objectives of the product, Johnson says. As a finish, it kind of functions like Gortex. Its basically color, texture and a weathering membrane. Wind-driven rain at 100 miles per hour can penetrate the coating from the outside; yet because the product is breathable, water vapor that may be behind the coating or in the wall cavity can be drawn out by the sun.

The stucco wall panel manufactured by TransAmerican Strukturoc Inc. of Minneapolis uses 20-gauge, galvanized substrate primed with an epoxy-baked primer. The proprietary finish contains four sizes of marble crush. With an unlimited color selection, the rollformed panels can add color and design to a facilitys exterior.

Photo courtesy of Strukturoc Inc.

The panels are easy to install, and require no special equipment or installation kits. In most cases, erection of the panels is facilitated by the same people who set the wall framing or apply the roof. There is no need for an additional subcontractor whose schedule may effect timely completion of the project, says company President Gary Stoecker. Because our system is factory finished, delays due to weather are also diminished.

The cost of the panels is based on the amount of material needed. However, it is not uncommon to see up to 40 percent savings when compared to other masonry-type products, Stoecker says.

The panels also require very little maintenance. They will not peel or crack like field-applied stucco or EIF systems, according to Stoecker. Power spraying every few yearsdepending on the location of the buildingis all thats required. Our wall system has a working life of more than 50 years.

This is made possible by using G90 galvanized steel with primer applied to both sides and a covering of Strukturocs proprietary marble finish. Strukturoc can take the place of lower-end painted steel panels that do not offer the aesthetic appeal increasingly demanded by our communities, Stoecker says. Giving a fresh look to an old building is simple and cost-effective and allows an owner to keep in step with a communitys need for good-looking, desirable buildings.

Concrete Design

Another trend some self-storage owners are favoring involves the inside of the facility. Rather than use traditional flooring such as carpet and tile, some owners are choosing to paint, stain and shine existing concrete floors. Whether youre building or remodeling, this is a very economical way to go, says Dana Boyer, owner of ConcretiZen Innovative Concrete Surfaces, a Phoenix-based company specializing in decorative concrete finishes. You can give your building a facelift, make it cutting edge, state of the art and decorative.

Although the process is called acid staining, the acid isnt the ingredient that creates color, according to ConcreteNetwork.com. Metallic salts in an acidic, water-based solution react with hydrated lime in hardened concrete to create insoluble, colored compounds that become a permanent part of the concrete. This allows for very creative flooring.

In recent years, many self-storage owners have begun to favor the easy maintenance of tile over stain-prone carpets. But tile has its limitations. Styles and colors are discontinued as manufacturers create new designs. Ceramic tile and flagstone also require regular maintenance beyond regular sweeping and mopping. With tile, the grout gets dirty and needs to be cleaned and resealed. Thats a lot of tedious work, Boyer points out.

With concrete finishing, facility owners can choose from a multitude of designs, patterns and colors. Staining, etching and scoring concrete is also very affordable, Boyer says. For example, quality tile and carpet can cost up to $30 a square yard. The cost for professionally installed concrete finishes is similar. However, Boyer says, over time, concrete will be the more economical choice. Five years from now, carpet will be worn and stained and need to be ripped up and replaced, she says. With tiles, manufacturers stop making certain patterns after a set amount of time. What happens when the tiles break or you have to remove part of your floor? You will never be able to get that same pattern again.

Concrete maintenance is also simple. The floors need to be swept and dry mopped. A mild degreaser can be used as needed. Depending on usage, the floor may need to be waxed once or twice a month, Boyer says. Its very easy to maintain. If you take care of it, it will last a lifetime.

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Bollard Covers

Bollards are a must-have at every facility. They can protect the store front, units and landscaping from accidents. But bollards can require a lot of maintenance to keep them looking fresh. Two productsIdeal Shield® and Post Guardcan help a facility keep bollards looking new without the hassle of major maintenance.

Owners and managers of self-storage properties know maintaining a clean and secure premise is important to their customers, says Stuart Burnstein, vice president of Farmington Hills, Mich.-based Encore Commercial Products Inc. Why paint bollards? The product saves time and money by eliminating painting and scraping. Post Guard provides self-storage facilities with attractive, maintenance-free bollard protection.

Post Guard and Ideal Shield are bumper post sleeves that easily slide over existing guard posts. Installation is effortless, Burnstein says. You dont need an engineering degree to install Post Guard. Its really quite simple. The sleeves are kept in place by neoprene tape. Once installed, the sleeve cannot be easily removed and requires no maintenance. Prices run from $30 to $70 per cover, depending on the size.

 

Made of thick polyethylene thermoplastic, the shields are designed to withstand any type of weather. Soap and water will remove most dirt and grime. Tougher scuff marks can be removed with nonabrasive cleaners, Burnstein says. In addition to eliminating maintenance issues, the bollard sleeves come in a variety of fade-resistant colors so owners can match their facilitys facade. Sleeves with reflective tape for better nighttime visibility are available. Ideal Shield can also mold company logos onto the sleeves.

By eliminating unsightly rusty bollards, the bumper-post sleeve improves a storage facilitys appearance, says Chris Parenti, vice president of Detroit-based Ideal Shield. The sleeves will help enhance the facilitys image and give it that brand new look for years to come. The sleeves also provide an overall cleaner environment, which is necessary to meet the expectations of Americans today.

Reliable Roof Maintenance
Preserve your building and your bottom line

By Rick Dodge

Roof maintenance is one of the most overlooked aspects of self-storage building preservation, yet it is simple to perform. To increase the life of your roofs, as with any other major purchase, check-ups and periodic upkeep are required. When was the last time you inspected the tops of your storage buildings?

Whether your have a built-up system consisting of tar and gravel or a metal roof, inspections are important to increasing the life of your building. The fact is, most property owners or managers do not properly maintain their roofs, causing accelerated deterioration and a state of disrepair. The roofs wear out before their time. Following are lists of simple items to look for during a regular roof inspection and maintenance program, categorized by roof type.

Built-Up Roofs

• Bubbles in the asphalt topping
• Cracks in the asphalt topping
• Water-ponding
• Loose flashing attachments
• Exposed sealants with cracks and/or bubbles
• Loose or damaged gutters and downspouts

Thru-Fastener Metal Roofs (With Screw-Down Panels)

• Missing screws
• Screws that pop up
• Deteriorating rubber washers
• Separating lap joints
• Loose flashing fasteners
• Exposed sealants with cracks and/or bubbles
• Loose or damaged gutters and downspouts

Standing-Seam Metal Roofs

• Separating panel laps
• Loose flashing fasteners
• Exposed sealants with cracks and/or bubbles
• Loose or damaged gutters and downspouts

Regardless what type of roof your facility has, the most commonly overlooked problem areas are the gutters and downspouts. Manmade debris that gets thrown onto the roof and natural refuse, such as twigs and leaves, are the biggest causes of water-drainage restrictions. Downspout exits become blocked, and the water backs upmost often into the buildingat the eaves.

Roof Repair

For older roofs in need of major repair, retrofit roofing may provide a solution. The process involves installing a new roof over the existing one, which can save money and time as well as enhance the facilitys appearance. Retrofit roof systems are generally lightweight and add very little dead load to your existing structure. They also add positive drainage, which can minimize further deterioration to old roof structures and erosion to your building.

Some other advantages are:

• No expense for disposal of old roof materials.
• No disruption of normal business operation.
• Additional insulation can be added to increase thermal efficiencies.
• The speed of completion.

Retrofit roofing most commonly uses standing-seam metal-roof panels, which are installed using hidden fastener clips, eliminating the need for exposed attachments. Standing-seam roofs are standard for most commercial and industrial facilities and increase a sites value.

Retrofit roofing is affordable and can be phased into a project over time. Since most self-storage projects have multiple buildings, retrofitting one or two at a time can help defray costs rather than absorbing them at once. This also allows the owner to prioritize his roof problems and resolve the most serious ones first.

Basic metal re-roofing costs start at just under $3 per square foot. This provides for a new slope of at least 1/4:12, with light-gauge framing members attached to the existing building; a Galvalume, standing-seam roof-panel system; and pre-painted flashings such as gutters, downspouts and gable trim. Other considerations must be made for parapets, roof steps and roof penetrations, such as HVAC units, firewalls and vent pipes. Insulation can be added to increase the efficiencies of mechanical systems. Product warranties are generally for 20 years, and installation warranties vary by vendor.

Dont wait for your roof to be a problem. Inspect it periodically and develop a program for maintenance. This will increase your project life expectancy and provide the high rewards you expected.

Rick Dodge is vice president of sales and operations for Rib Roof Metals Inc., a Rossville, Tenn.- based manufacturer of metal-roofing systems, retrofit-roofing systems and light-gauge building systems for the self-storage industry. The companys services include design, engineering and nationwide installation. For more information, call 800.876.9062; visit www.ribroof.com.

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Roof Glossary

Source: Cudahy Roofing (http://my.execpc.com/~cudahyrf/roof.html)

AsphaltA dark brown to black, highly viscous, hydrocarbon produces from the residue left after the distillation of petroleum, used as a waterproofing agent.

Built-Up Roof (BUR)A roof consisting minimally of a BUR membrane but may also include insulation, vapor retarders and other components.

Built-Up Roof MembraneA built-up roof consisting of plies or layers of roofing felt bonded together on site with bitumen, either tar or asphalt.

Dead LoadThe constant designed weight of a roof and any permanent fixtures attached above or below.

DownspoutThe metal pipe used to drain water from a roof.

FastenersA general term covering a wide variety of screws and nails that may be used for mechanically securing various components of a building.

FlashingConnecting devices that seal membrane joints at expansion joints, walls, drains, gravel stops, and other places where the membrane is interrupted or terminated.

GableThe end of a building as distinguished from the front or rear side. The triangular end of and exterior wall from the level of the eaves to the ridge of a double sloped roof.

GutterMetal trough at the eaves of a roof to carry rain water from the roof to the downspout.

InsulationMaterial that slows down or retards the flow or transfer of heat.

LapTo extend one material partially over another; the distance so extended.

MembraneA generic term relating to a variety of sheet goods used for certain built-up roofing repairs and applications.

PondingA condition where water stands on a roof for prolonged periods due to poor drainage and/or deflection of the deck.

RoofThe assembly of interacting components designed to weatherproof and, normally, insulate a buildings surface, separated from adjacent assemblies by walls or changes in elevation.

Roof SystemGeneral term referring to the waterproof covering, roof insulation, vapor barrier (if used) and roof deck as an entity.

SlopeIncline or pitch of roof surface.

Standing SeamA type of joint often used on metal roofs.

Vapor Retarder (Barrier)A membrane placed between the insulation and roof deck to retard water vapor in the building from entering the insulation and condensing into liquid water.

Understanding Software Reports

By Pamela Alton

When I first started in the self-storage business, in what now seems like the Dark Ages, a lot of facilities used the old peg board system of record-keeping. It was used to track numbers of units, tenant information, rental rates, late fees and letters sent. Letters were often just photocopied, and you filled in the tenant name, unit number and amount past due. All that changed when computers and self-storage software became available.

Today, we have more than a dozen self-storage software programs from which to choose. Many of them provide the same information, just in different forms. One thing is for certain: With computerization, we are in a much better position to maintain tenant information, and track income, late fees, move-ins, move-outs and transfers, along with financial information about our facilities. We can look at computer-generated reports and see at a glance our occupancy level, monthly income, and how many units are rented, vacant, on reserve or past due.

The data, generated by software specific to our industry, can be viewed and printed on a daily, weekly or monthly basis. The reports themselves may be called something different in every program; but this shouldnt cause managers difficulty if they learn how to read the reports, and decipher and understand the information they contain.

Manual Tasks to Technical Understanding

I like programs that offer single-page summary reportsa recap, if you will, of a facilitys financial statistics. All of my site managers use a manual end-of-week report that uses information from the computerized data. Wait a seconddid I say manual? Didnt I also say computers generate reports so we no longer have to do things by hand? Yes, I did!

I purposely have managers fill out their end-of-week forms by hand because I want them to read and understand the reports our software generates. Why? Because managers are the ones who operate facilities on a daily basis andafter allthis is a business that can generate well over $100,000 per month at some sites. Shouldnt the person who sits behind the counter and at the computer every day know what is going on at the facility he manages?

Know What You Know

Computer-generated reports provide a wealth of facility information, such as how many units have rented, who rented those units, when their rent is due, if they are current or past due, how much is owed, and if and when to over-lock units. These reports also indicate how much income is received month- and year-to-date, as well as other necessary financial information.

I travel all over the United States visiting facilities and speaking with managers. I ask things like, How many units do you have? and What is your current occupancy level? Most know the answers to these questions. But I am amazed that a vast majority of managers do not know how much rentable square footage they have. This is when I know they have not been taught, either by their owner, management company or software company, how to read reports and obtain this type of information.

If you are an owner, do you teach your managers how to decipher and understand reports, or do you bar them access to this information? How can a manager operate a multimillion-dollar investment when he doesnt know how his facility is performing this year compared to last, its occupancy level, or how much square footage is available? To effectively manage a storage facility, the on-site staff needs to understand the facility reports.

We have come a long way since I entered this wonderful business of self-storage 13 years ago, and I see it evolve year after year. Facilities now have retail centers, which offer a whole new challenge of recordkeeping (cost of goods vs. retail sales price, collection of sales taxes, etc.). As years pass, our industry will become ever more sophisticated. There is no time like the present for site managers to learn to read and understand the reports generated by their management software. They offer information that can only help educate staff and make them top-notch managers.

Pamela Alton is the owner of Mini-Management, a nationwide manager-placement service. Mini- Management also offers full-service and operations only facility management, training manuals, inspections and audits, feasibility studies, consulting and training seminars. For more information, call 800.646.4648.

The Free Report

By Fred Gleeck

As a promotions strategy, self-storage marketers frequently recommend operators use a giveaway item they can distribute to key influential people in their areas, such as apartment-complex managers. The idea is to visit these folks personally and leave them something that will help them remember the facility. Most of the time, the item is candy or some other consumable, usually in a coffee mug printed with the facility name. Then, the operator or manager goes back to these individuals on a regular basis to refill the cup or whatever else he brought them.

This is a great marketing idea, but there is an even better one. Why not give business owners and other influencers something they can, in turn, distribute to their own customers, something with real value? My suggestion is a free, informational report about self-storage. Free reports arent the same as brochures, as they are generally longer and a lot more detailed. A brochure is general, a report is specific.

The purpose of the free report is to provide valuable information on specific storage-related topics to groups who may have an interest in the product. Walk into any chiropractors office, and you will see great examples of the free-report concept. If you ask for a brochure from the same practice, you will get a more general piece that advertises its specific services. A free report first informs, then sells. This is crucial for every storage owner to understand.

Your facility brochure and your free report both have their place in the operation of your business. The brochure is cheaper to produce and, therefore, should be given to just about anyone who asks. The free report is more expensive and should be given out more selectively. It can be produced in smaller quantities as needed.

The free report, like your facility brochure, should not be too slick, nor should it look cheap. I prefer to have it saddle-stitched (stapled two or three times down the middle), with card stock used for the cover. The report should be a minimum of 16 pages, but you can make it as long as you wantthe longer the better. I have seen some as long as 48 pages, packed with just about everything you could possibly think of as it relates to storage.

The free report must also have a price printed on its cover, even though you give it out for free. People are more apt to hold onto items to which there is an assigned value. If you print free report on the cover, people will be more likely to throw the report away. The goal is longevity, so when people require storage, they will look to your materials and, hopefully, contact you.

The Content

The report should address a specific target group or a storage-related question. It should be highly informational and start with a story that illustrates how a particular market segment uses the self-storage product. This will provide readers real-life examples of the value of storage.

You can gather the content for your report from anywhere: the Internet, industry publications, self-storage associations, even your competitors. Include any and all information that relates to storage, such as tips on what and what not to store, how to pack specific household items, how to determine how much can fit to a particular size unit, etc. Dont hold backthe more information you include, the more credibility the report will have with readers.

Make sure the report provides the phone numbers of any available information hotlinesparticularly the one for your own facility. The report should pull people into your marketing system in a variety of ways. After all, some readers will be convinced to store with you after reading the report; others will need more convincing. If they call your personal hotline for more information about storage, they will be looped back into your marketing efforts. Similarly, you can refer callers to your hotline or facility phone to your free reportthey all work to support each other.

Of course, the report will also include your facilitys pertinent details: name, phone numbers, mailing address, web address, etc. Place these subtly toward the back of the piece, remembering you want people to distribute the report as an educational item, not advertising. Finally, include a coded coupon for your facility so you can track the marketing success of the piece.

Be a Specialist, Not a Generalist

If you are handling your marketing right, you are carving up your market into bit-sized piecesin other words, niche marketing. In doing this, you are not selling to everyone; you are selling your services to a few very definable groups. For example, residential renters can be further broken down into apartment renters vs. and homeowners. You can then break them down into even smaller categories if you so desire.

The reason niche marketing makes sense can be illustrated with a story. Lets say a pharmaceutical rep walks into your facility. He is looking for storage space and visiting several facilities to determine which one he will use. You happen to rent to a number of pharmaceutical reps and have designed a report that specifically targets that group. The prospect will likely rent from you, because you have demonstrated specific knowledge of his profession and its use of storage. You have targeted his unique needs.

Consider this: When you have a heart problem, do you go to a general practitioner? Of course notyou go to a cardiologist because he is the specialist in the field you require. It is possible for you, as a storage operator, to specialize in more than one niche market? Absolutely. With this in mind, you should produce multiple reports to distribute to the niches you serve, such as boat/RV storage renters, commercial renters, residential renters, wine-storage renters, etc.

Its great to have freebies to give directly to potential customers or to those who may have contact with your prospects. Why not come up with something much more powerful than candy or some other valueless item? Why not create a free report, which has low cost, high perceived value and market credibility?

Fred Gleeck is a self-storage consultant who helps owners/operators during all phases of the business, from the feasibility study to the creation of an ongoing marketing plan. He is the author of Secrets of Self Storage Marketing SuccessRevealed!, available for purchase at www.selfstoragesuccess.com, as well as the producer of professional training videos on self-storage marketing. To receive a copy of his Seven-Day Self-Storage Marketing Course and storage marketing tips, send an e-mail to [email protected]. For more information, call 800.FGLEECK; e-mail [email protected].

Remodeling & Conversion Projects
Turning old buildings into profitable investments

By Nicholas Jodhan

In spite of the softening of some real estate markets caused by reckless overbuilding, developers are proving self-storage remains a viable investment. Although new construction is still the most common approach, the ever-evolving storage product has found yet another avenue: the infill conversion. Similarly, remodeling projects transform older storage sites into upscale, state-of-the-art facilities with new amenities and profit-making options.

Having been tapped by developers in the past, this segment of the market is no great secret. However, the opportunity may be broader than originally anticipated. A combination of creative thinking and high-level expertise has proven to be successful in rendering a useless building into a cash-flow producing storage facility. Take a look at the following case studies that prove the point.

South Florida

This 38,000-square-foot, dock-high building in Fort Lauderdale, Fla., had approximately 15 feet clear to the roof line, hardly leaving room for the second floor needed to increase square footage. Among the solutions discussed was the possibility of raising the roof. In some cases, this is not cost prohibitive and can be a good solution. In this instance, however, a more thorough examination of the building produced a better answer.

Destructive analysis revealed the original construction to be at ground level, with the columns sitting on column pads. The interior dock-high floors were actually a retrofit application. This meant removing the interior floor would create more available head height, which would allow for the pouring of a new slab and insertion of a second floor. The additional 40,000 square feet make the project work and the pro forma sing.

Puerto Rico

My partner, John Wilson of Construction Processes International Inc., requested my attention on this project in Puerto Rico. An industrial site with loading docks was being vacated by rental tenants, and its owners were committed to converting the building to self-storage. As the former tenant was a large distributor, the loading docks were a necessary accoutrement to the building. However, the new intended use made the dock configuration obsolete. My first thought was to eliminate the dock and dock-high floor, which would lower the first-floor elevation. This proved to be impossible because, unlike the Fort Lauderdale project, the dock and building floor were totally integrated. If it were even possible to separate the two, it would be entirely too costly a procedure.

So, the dock had to stay. Given its height from the ground elevation, loading through the dock doors was impractical in a self-storage application. The trick was to determine a use for it and integrate it into the design. We met the challenge by doubling the docks width, adding a couple of drive ramps, and constructing a building between them. The new structure would have unit access from the ramp and ground levels. Another of the buildings on site had a clear height of 35 feet, so we immediately added two upper floors, which significantly increased the square footage.

Because the site was very large and we needed to provide as much drive-up storage as possible, we designed additional buildings to be integrated into the overall layout. This project is still under way, but the images shown here represent the complexity of the project and the creative solution that took it from 41,700 to 95,700 square feet of profit-producing storage product.

At first blush, an industrial building with a loading dock may seem an easy conversion to self-storage because of the frequent use of trucks at these facilities by tenants. But the reality is dock-height tractor trailers are seldom used. A more common visitor to a storage facility would be a large wheel-base moving truck, which has a much lower floor. If the dock does not have a leveler, it may be an obstacle to the viability of the conversion. Though some dock configurations may be used as is, most will require some type of modification.

Being conscious of your market, determining the likelihood of a docks use, and assessing the value of keeping vs. the costs of removing it will help extract as many rentable square feet as possible from a site. A little creative thinking augmented with expert advice and innovative design can produce a handsome return on your investment in this niche of the self-storage market.

Nicholas Jodhan has been involved in the development of self-storage for the past seven years, designing and developing self-storage facilities in several major cities. He continues to develop creative ways of addressing the new parameters of the modern self-storage industry. He is the owner of Gemini Plus LLC, a full-service consulting company. Mr. Jodhan can be reached at 941.366.9730; e-mail [email protected].

Not in My Back Yard (NIMBY)

By Fred Grauer

How many times have you heard the comment, Boy, I hope they dont put that thing in my neighborhood? Car washes, storage facilities, pet crematoriums, C-stores and gas stations seem to get a bad rap, along with adult book stores and used car lots. The question is, is it deserved or not?

I dont know a lot about some of these businesses, but I do have a good working knowledge of business in general, as well as pretty decent common sense. I believe the thing that made this country so terrificand continues to beckon so many to our shoresis the chance to create so much out of so little. The United States is the world leader in small business. Our financial strength and complete freedom to be what we can be, is unequalled.

Look around your neighborhood and you will see hundreds of entrepreneurs investing in their communities, providing opportunities, goods and services from which we all benefit. So with all this bustling of activity and acknowledgement, why is it people say not in my back yard? I contend this sentiment is a result of a few things. First, most of these businesses are seemingly less sophisticated, less expensive to start, and provide work for many entry-level employees. Second, most are owned and managed by entrepreneurs with varying levels of refinement. Finally, many of the sites chosen for these business are in areas where real estate values are lowerthey dont attract those businesses you do want in your back yard.

If this is accurate, we need to enable our budding entrepreneurs and existing business owners to further invest, grow and provide the diversity that refreshes and stimulates our communities and economy. A really simple solution that would open the flood gates and kindle investment would be to modify the process of site approval. Tear down the doors, eliminate zoning and planning boards, and let the strong survive! But then I guarantee not in my back yard would be replaced by something far more unpleasant. So then, where do we start?

Instruct the Masses

Education is the foundation of successful business. Therefore, before we begin, we must learn to educate our citizens on the worthiness of our enterprises. In the car-wash business, lack of stepping up to the plate working with neighborhood groups, city representatives and other professionalsspells instant disaster. Recently, I was privileged to watch our government process first-hand.

The planning-board meeting I attended was supposed to be a slam dunk. (By the way, if you ever are told that, be prepared for the worst. There is no such thing as a slam dunk when it comes to public process.) All appeared to be normalanother dead giveaway that trouble was brewing. As the meeting opened and everyone had an opportunity to testify, it soon became apparent that not enough time was spent getting all constituents comfortable with the coming of a first-class car wash. The result? Years of planning and a great deal of cost got tabled rather than passed. The good news is the owner has another shot at convincing the public a firstrate car wash is good for the neighborhood.

What should have been done? It appeared all the preparations were made properly, and it should have been a done deal. The issues that turned the tables against the owner were:

• The effect on adjacent residential property values.
• The sites potential for acting as a gathering place for juveniles.
• The perception the site could have been used for a more acceptable business.
• Safety.
• The belief the building would be a blight on the scenic attributes of the neighborhood.

All these objections are valid, but only because we missed some important preselling and educational opportunities. And most important, these perceptions were only subjective opinion.

Business success is based on facts. In our case, had there been a clear understanding of the issues, a factual case could have been presented. Realtors, chambers of commerce, appraisers, and public agencies such as the police and fire departments all need to be polled and, in most cases, make accurate factual presentations regarding safety. Economic justification should never be placed in the hands of citizens or process boards. It is an issue for the investor and his stakeholders.

For those of us looking to place a car-wash, self-storage or other similar business into a community, remember this: Unless you are a doctor, banker, lawyer, insurance company or some other perceived non-threat to a community, your offer will most likely cause contention. Being forewarned is part of the success formula.

Now you know what you have to do: You have to educate, demonstrate and participate; and when youve done it once, do it again. You must interview your neighbors. They need to know you dont have two heads, you care about them, and you are willing to be a positive and active participant in their communities. All our community leaders and those responsible for the safety and welfare of our towns want to know is you will bring and create value. In a car wash, you will not only use and improve a site, you will provide employment, tax revenues and a safe place to wash vehicles, as well as benefit the environment.

Lets hope that if we do our job correctly, the term NIMBY will vanish from our vocabulary, our wonderful country will remain an entrepreneurs Mecca, and we will welcome these great businesses in our back yards with pride and enthusiasm.

Fred Grauer is the vice president, distributor network, for MarkVII Equipment LLC, a carwash equipment manufacturer in Arvada, Colo. He has made a life-long career of designing, selling, building and operating car washes. He can be reached at [email protected].

The Big Box Project
U.S. Storage Depot conceives industry-first shopping/storage center

By Kimberly Hundley

Storage Depot CEO Ronald Hagen may have accomplished a worldwide first in the self-storage industry. The designer/builder has blended national retail with climate-controlled self-storage and mini-offices in a mammoth shopping complex. Created through a joint venture with Schonsheck Inc., Willow Creek Center spans 22 acres in Canton Township, Mich. The complex contains two out parcels and 10,000 square feet for national restaurants, 200,000 square feet of commercial retail space, and 70,000 square feet of business self-storage. It already boasts such big-name retailers as Pier 1 Imports, Michaels and PETsMART.

In its previous life, Willow Creek was a real estate albatrossa vacant big box off the interstate. Though highly visible, the gargantuan building had zero appeal in todays penny-pinching business climate. U.S. Storage Depots conversion thoroughly revitalized the property, attracting shops, small businesses, and commercial and residential storage.

The mixed-use concept for self-storage construction is Hagens brainchild, and he believes it holds the power to salvage abandoned real estate across the country. Many communities, especially in the Midwest, are struggling to find viable uses for their empty big boxes, he says. This strategy could be the solution for those buildings currently standing vacant in many desirable high-visibility areas.

Although Saline, Mich.-based U.S. Storage Depot played the white knight to Canton Townships property in distress, the community was not initially receptive. Getting the enterprise off the ground was a tremendous challenge, says Hagen, whose team spent more than two years convincing city officials to approve the unique project. The area wasnt even zoned for self-storage.

We first had to educate and gain the understanding of the community, tenants and builders on how we would blend everyones requirements into a unified, coordinated design, Hagen says. Combining business self-storage with retail is a mutually beneficial relationship. The retail enjoys maximum use of the frontage, while the storage utilizes what, in most situations, is a disadvantage: the rear of the complex. In our case, weve been so successful, our retail tenants are starting to wrap around us. They took the sides and the front of the building.

Parking is another happy trade off. Willow Creeks design requires self-storage tenants to drive inside the complex, leaving coveted parking spaces for retailers. The internal loading and unloading set-up also enhances security, convenience and privacy for storage tenants. Plus, storage activity occurs behind the scenes, away from retail clientele.

One-Stop Shop for Businesses

Willow Creeks self-storage portion, located in the core of the building, is designed primarily for business rather than residential users. Tenants have the option of small offices with a bathroom, phone and fax. Interior storage walls are adjustable so customers can rent only the space they need in 200-square-foot increments; if a tenants storage needs grow, the space is easily expanded. A business center in the lobby, which operates much like a Kinkos, provides support services such as private mailboxes, copy machines, UPS drop stations and Internet access. Other amenities include racks, shelving and palate jacks, provided free for tenants use.

Were set up to be a one-stop shop for business people, Hagen says. However, we dont discriminate against residential usewe encourage it. And tenants still get all the perks, like loading inside. They never have to worry about rain, snow, wind and dust.

U.S. Storage Depot has begun incorporating small-business incubator units into all its newer facilities. Hagen calls the approach the next generation of self-storage, fulfilling a growing need in the modern business environment. More and more people are starting small businesses at home, he explains. If they want to move out of the home, we are the next step. Current tenants include manufacturing reps, a silk-flower producer and a mail-order catalog business. Office rental fees are a little below market, Hagen reports, but higher than income off self-storage.

Big-Box conversions renderings of Willow Creek Center, due to open in August.

Crucial Advantages

U.S. Storage Depots focus on the business customer could be an important new direction for self-storage, according to Hagen. Today, everyone in this industry is designing their facilities, advertising and marketing programs for the residential user, he says. Were doing a lot of unique things to adapt to the changing needs of businesses and our society. We want to be innovative and service those people. Thats what our mission is, and what makes us a little different.

Diversification allows U.S. Storage Depot to combat a persistent self-storage handicap as well: the winter seasonal slump. Offices are let under annual or bi-yearly leases, leveling off the occupancy rate. But the real advantages, according to Hager, are security and financing.

A combined-use project gives you different sources of income, helps increase profits, and makes earnings more secure because you dont put all your eggs in one basket, Hagen says. Banks love us now. It gives them greater security in their investment.

Some predict the nations self-storage market is reaching saturation. To remain viable, Hager advises developers to look for new ways to draw customers and secure financing. The beauty of the U.S. Storage Depot concept is its adaptable and can efficiently use big boxes, regardless of the size or configuration of the building and land.

The model also follows a national trend in city planning in which retail and residential developments are integrated for safer, more efficient land use. Big-box conversion allows developers to penetrate prime retail locations for self-storage. Willow Creeks storage business, for example, has no competition in the area, because zoning simply doesnt allow for a single-use storage facility.

U.S. Storage Depot has several other projects on the go, including an innovative selfstorage facility under construction near Ann Arbor, Mich. Blueprints include a climate-controlled, three-story building; an outdoor single-story structure; and a building designed especially for contractors, with 14- foot ceilings and 10-by-10 doors. When completed, the facility will be 160,000 square feet, making it the largest self-storage shop in the state.

The Future

Hagen is proud of his teams accomplishments and eager to share the big-box concept. Ive known a lot of people in the industry for many years, and a lot of developers out there are hurting. Id like to give them some insight. We all learn from new ideas someone pioneers an area and other people will modify it and possibly improve upon it. U.S. Storage Depot is in negotiations to develop a similar big-box conversion in the Chicago area, while seeking other ideal sites across the country. Hagen says every community is different and needs to be dealt with on a case-by-case basis. But experience should make the process easier next time.

We have assembled a team that is expert in working with cities and contractors, he says. It takes a lot of negotiations when youre introducing something unfamiliar and untried. People are a little reluctant and nervous. I started on the Willow Creek Center three and a half years ago, and its just now being completed. Even with the builders and engineers, the first thing you hear is, Well, we havent done this before. Climate-controlled self-storage takes a certain kind of engineering that is different than a shopping center, so you have to blend the two together.

Hagen says big-box conversion with multiple uses is an idea whose time has come. Developers of the future will have a whopping head start, too. When selling retailers and zoning boards on the concept, they can point to Willow Creek Center as a living example of property once thought dead.

U.S. Storage Depot has more than 22 years experience in the self-storage industry, designing and building award-winning facilities. For information, call 734.944.1803.