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ISS Launches Self-Storage Training Institute

Inside Self-Storage officially launched its Self-Storage Training Institute (SSTI) at www.selfstorageeducation.com. The new website provides quality education resources for self-storage managers, operators and owners. Current products include audio-casts, e-books, webinars and video packages. Categories cover a range of topics including development, construction, finance, marketing, management, insurance, legal issues, specialty storage, staffing, service, sales and more. Check out the store at www.selfstorageeducation.com


 U-Haul Releases 2005 Migration Trends

U-Haul released the results of its 2005 Migration Trend Report, identifying the nations top-growth areas and destination cities. The report was compiled from more than 1.6 million U-Haul transactions last year, reflecting communities with more than 5,000 families moving in or out of an area, said John J.T. Taylor, executive vice president. Growth cities were then determined by calculating the percentage of inbound vs. outbound moves for each area.

Report findings include:

  • For states with more than 20,000 families moving, Florida had the highest percentage for growth, with 2.7 percent more families moving into the state than out.
  • For states with 5,000 to 20,000 families on the move, Maine had the highest percentage of growth for the fourth year in a row, with 14.6 percent more moving in than out.
  • For cities with more than 10,000 families moving, Austin, Texas, has the highest percentage of growth, with 6.5 percent more moving in than out.
  • For cities with 5,000 to 10,000 moves, Boise, Idaho, had the highest percentage of growth for the second year in a row, with 12.9 percent more families moving in than out.
  • Toronto was the top Canadian destination city for the fourth year in a row, while Calgary, Edmonton and Montreal held their respective positions for the second year. Ottawa, Vancouver, London, Hamilton, Kitchener and Halifax rounded out the top 10.

Phoenix-based U-Haul is one of the nations largest operators of self-storage. Visit www.uhaul.com


Buchanan Spearheads Band of Brothers

Eric Snyder, principal of Buchanan Storage Capital (BSC), Troy Mikulka of real estate investment firm Oxford Spectrum, and other BSC employees and leaders are spearheading a charity effort called Band of Brothers. The groups aim is to improve the lives of people in Central America by supporting aid organizations.

This year, the Band has chosen to support the Free Wheelchair Mission, which distributes wheelchairs to the disabled in foreign countries. The chairs combine traditional mountain-bike tires with a plastic patio chair to produce a sturdy wheelchair that can be manufactured and shipped for less than $50. Band of Brothers hopes to raise $55,000 in donations for the cause.

Band of Brothers is like an investment fund, but instead of investing in real estate, it invests in helping people, said Snyder. In August, he and the Band will travel to Central America to personally distribute wheelchairs with the help of a local humanitarian group.

To join Band of Brothers or pledge a donation, contact Snyder at 949.219.1201. For more information about the groups current charity effort, visit www.freewheelchairmission.org

BSC arranges debt and equity for self-storage owners nationwide. Visit www.buchananstoragecapital.com


Marcus & Millichap Releases 2006 Self-Storage Report

Real estate investment brokerage company Marcus & Millichap released the results of its 2006 Self-Storage Research Report, which shows storage continues to be a desired asset class among investors:

  • Strong net-migration, job growth and the housing boom lured investors to the West in 2005. Self-storage sales volume more than doubled to $600 million.
  • Despite natural disasters, sales in the south-central region increased by 10.5 percent in 2005. The median price rose 10.5 percent to $45.58 per square foot.
  • Portfolio sales, which account for 16 percent of national sales volume, doubled in the Southeast in 2005.
  • The Northwest continues to command the highest median sales price in the nation. Prices rose 8.6 percent to $82.73 per square foot in 2005.
  • In the north-central region, the median sales price for portfolio assets increased 61 percent in 2005, with many transactions in Ohio.
  • Cap rates for Class A facilities are in the 6.5 to 7.5 percent range. Class B properties are trading in the 7.5 to 8.5 percent range. Class C assets typically sell with an 8 to 9 percent cap rate.

For property market research on cities nationwide, visit www.marcusmillichap.com/Research/Reports.asp


Lackland Gives Big to College

David and Carol Lackland, owners of Lackland Self-Storage in New Jersey, recently committed an $8 million gift toward the renovation of Centenary College in Hackettstown. The small, independent school has launched a campaign to raise $33.6 million for the expansion of buildings and programs. The couple wishes to support an educational institution that shows so much promise. Carol is an alumnus of the college.


Jernigan Joins U-Store-It as CEO

After the recent resignation of President Steven Osgood and a dramatic dip in stock price, U-Store-It Trust hired industry heavyweight Dean Jernigan as its new chief executive officer. The move may help regain investor confidence, which appears to have waned since the Cleveland-based real estate investment trust missed recent quarterly projections.

Jernigan, a highly respected member of the self-storage community, served as founder, chairman and CEO of rival company Storage USA for 17 years. He was present for its inception in 1985, initial public offering in 1994, and ultimate sale to General Electric Co. in 2002. Since then, he has been president of private venture Jernigan Property Group LLC in Memphis, Tenn.

Osgoods resignation was official in April. Jernigans appointment as the new CEO and president has been received favorably by by analysts and investors. Visit www.u-store-it.com

Pacing Price Increases

Article-Pacing Price Increases

Raising rents to increase self-storage income is a common business practice. Yes, we can keep a close eye on operating expenses and look for deals on supplies and services, but that alone wont be enough to improve net income.

To keep pace with cost increases, we have to raise rents regularlymore often than yearly or even every six months. Lets look at some numbers to see how this works and the impact on the bottom line.

Assume we have 500 units and our unit mix is as follows:

If we raise rents by 5 percent for existing and new customers, our monthly income potentially increases thus:

Over a year, the rate hike yields an additional $29,670, possibly more if remaining units are rented. Consider how regular rent increases can significantly enhance this number. Lets say we raise rents for existing and new customers and the latter arent resisting the price after a three- or four-month period. Should we raise the board or asking price again? Of course; we should continue to push the rates as long as new customers show no resistance, asking ourselves each month if we can increase them again.

Rate Hikes for Existing Renters

Raising rents gets sticky when dealing with existing tenants. How often could or should we do it? Is once a year reasonable, or can we push rates and raise them every six or nine months? The answer isnt always clear. Ask yourself these questions:

1. Are we at or above our competition?
2. Do we turn over our property every year? In other words, in a 500-unit facility, do we have 500 or more new customers each year?
3. Are we willing to risk losing existing tenants over a rent increase, knowing well probably get new renters at the higher rate over a reasonable length of time?
4. Are expenses increasing faster than rental rates?
5. Do we tend to become too personal with customers?

If you answered yes to any of the above questions, you should be regularly increasing rents. Most owners would like the onsite management team to create more revenue by following such a policy. Managers have a hard time presenting higher prices to existing tenants because theyve become friendly with them and dont want to make their buddies unhappy. Its OK to be sociable, but dont forget the goal of business is to make money.

In most cases, managers are willing to raise board rates for new tenants. Do this first; if you dont get price resistance from potential customers, slowly implement increases for existing tenants too. For example, increase 5-by-10 units first and see how tenants react. If only a few move out because of the price hike, raise rates on another size. Remember, its typical to have a few incensed customers vacate when prices go up. Remind yourself the next person signing a contract will be paying the higher rate.

Putting a Policy in Place

My company-wide policy is this: If we are at least 95 percent full in any unit size for three consecutive months, we raise the board rate. Weve raised board rates three or four times in one year at some facilities but maintained a high occupancy. We also raise rates with existing customers if theyve been under contract for nine months or longer and our occupancy rate exceeds 95 percent. This way, income increases steadily; we never have too many customers getting rate increases at any one time; and we can back off price hikes if we encounter any resistance.

Self-storage managers take pride in building and maintaining occupancy. Although 100 percent occupancy sounds good, it means the unit mix is too low and youre missing out on potential income. Its better to have a facility 92 percent occupied with rent increases three or four times a year than a full-up site with lesser rates. Usually, a business with a lower occupancy rate will make more money than one that is 100 percent occupied. After all, the objective is to bring in dollars.

Raising rates is always work. Managers may not be comfortable increasing rents, but if you have a policy in place like the one described above, it can become a matter of business practice. And, like anything else, practice makes perfect. Moreover, the rewards of a higher-income property will always pay off in the long run.

Mel Holsinger is president of Professional Self Storage Management LLC, based in Tucson, Ariz. Professional Self Storage Management offers facility management, consulting and development services to the self-storage industry. For more information, call 520.319.2164; visit www.proselfstorage.com.

Media Watch

Article-Media Watch

As the self-storage industry permeates our communities, it receives increasing attention from mainstream media outletsand not always favorably. As industry professionals, we should be aware of how self-storage is presented to the public. Media Watch is devoted to policing and summarizing general news coverage.


Developer Pushes Mall Self-Storage

From Miami Herald, 3.2.06 

A proposal for a storage facility to be constructed at the Hammocks Town Center was presented to the West Kendall (Fla.) Community Council. Larry Jordan, development manager for Mike Carter Construction, proposed a 96,000-squarefoot facility at Hammocks Town Center. Jordan said self-storage facilities within shopping centers is an emerging trend.


Old Site Gets New Storage 

From Belleville News-Democrat, 3.09.06 

After years of trying in vain to find a new use for the site of the abandoned Meyer Oldsmobile garage, Swansea, Ill., leaders believe they have a project thats a go. A St. Louis developer plans for a 65,000-square-foot self-storage facility and 21,000-square-foot retail center on the sunken land along Illinois 161.


Brothers Accused of Stealing From Storage 

From WFSB TV 3, 3.14.06 

Newington, Conn., police said two brothers are charged with breaking into units at Planet Self Storage, hitting the business 81 times and stealing $13,000 worth of goods. The suspects are accused of stealing power tools, bikes and lawn and garden supplies and selling some of the items on eBay. Police said those who bought the goods could also be in trouble.


Man Busted for Producing Meth in Storage 

From Southeast Missourian, 3.29.06 

A Court Cape Girardeau. Mo., man who admitted to producing methamphetamine in the Golden Eagle Self-storage facility was sentenced to 120 days in prison with a possible seven-year prison term following. The man was arrested in August after allowing police to search his three storage units, where authorities found a bag of meth, two cylinders that tested positive for anhydrous ammonia, and other drug-making chemicals.


Couple Faces Burglary Charges 

From Portland Press Herald, 3.15.06 

A Biddeford, Maine, couple faces charges of stealing more than $100,000 in tools and other items from storage facilities and worksites throughout southern Maine, police said. The two are accused of receiving stolen property and burglary in connection with more than a dozen break-ins and thefts at self-storage units, construction sites and hardware stores since August.


U-Haul Tenant Fights Back 

From Courier-Post, 4.12.06 

After an electrical fire destroyed $750,000 worth of property at U-Haul Self-Storage in Lindenwold, N.J., police accused a day-laborer of causing the blaze. The man admitted hed once lived in the 300-squarefoot storage unit where the fire started, but said hed not been in residence for a year. Faulty wiring is believed to be the cause of the fire, and the accused maintains the problem existed before his tenancy. Public records confirm that U-Haul staff assisted by Lindenwold police ejected the man from the facility in February 2005.


Garage Full? Rent a New One 

From The Leaf-Chronicle, 3.30.06 

The newest trend in storage isnt plastic boxes, cubbyholes for kids toys or storage ottomans for seldom-used things. Now rental storage units, once the province of furniture-between-moves, are increasingly used as remote additions to a house. Once you get them in here, theyll stay for two or three years, said the manager of All American Self Storage in Clarkesville, Tenn.

For Sale

Article-For Sale

Many state statutes governing self-storage have a section on auctioning goods. Generally, sales are required to be commercially reasonable. Many operators dont understand just what those two words mean, and they conduct their lien sales in different ways.

For example, facilities might transfer stored items to an offsite auction house to sell in mass with other goods. Some owners take sealed bids rather than solicit bids from the public. Or they may dispose of property on the day of sale, rather than sell it. Another example is a private sale where a hauler or auctioneer buys all the goods for $1 to sell at subsequent auctions.

These options arent necessarily wrong in every state. But Im trained to take all words in statute seriously and consider what they mean.

The term commercially reasonable is not one you can simply look up in a law dictionary to get a definition. The majority of states with self-storage statutes have also adopted the Uniform Commercial Code (UCC), which addresses the buying, securing, and selling of goods and commercial paper.

The UCC sets out a 12-part test on what makes a sale commercially reasonable. Remember, this test has nothing to do with self-storage in particular; it looks at the sale of any type of collateral or liened propertyfrom a repossessed car to commercial equipment. But it gives us a good glimpse into what a judge may consider in the event a tenant sues you for an improper sale:

1. The nature of the collateral, including its fair market value 
2. The resale price of the collateral 
3. The nature and amount of advertising to get buyers to a sale 
4. The use of genuine, reasonable efforts to reach the appropriate market best able to use the collateral 
5. Whether the secured partys efforts are reasonably calculated to reach a reasonable number of bidders or potential purchasers in the appropriate market 
6. The method used to solicit bidders or potential purchasers 
7. The number of potential buyers contacted prior to the sale 
8. The nature of the sale (Was it public or private? Was it conducted in a reasonable manner under normal business conditions using standard business practices?)
9. Were the services performed by an experienced, professional auctioneer?
10. The number of bids actually received 
11. The presence of collusion or self-dealing 
12. The good faith of the secured party

Testing, Testing

What can we learn from this test? Part 1 is of concern if the stored property has some real value and isnt bags of garbage. Perhaps selling a unit with a $5,000 fair market value to a sealed bid for $1 cant be defined as commercially reasonable. The same is true for test part 2. If someone else resells the collateral for a lot of money, your price to the bidder may make your sale unreasonableand expose you to liability.

Test parts 3 and 4 relate to your advertising and its reach. While many self-storage statutes require advertising in a paper of general circulation for two consecutive weeks, some opt for less-expensive and less-circulated newspapers. However, if you open a unit and see items of potential value, like antiques, it would seem the test imposes upon you a duty to reach antique dealers, above and beyond advertising in your local newspaper.

Test part 8 addresses whether the sale was public or private. Could a private sale expose you to additional liability? Perhaps, if the sale was not really open to all bidders who may show up that day and have an opportunity to drive up the price. In other words, you sell to your hauler and he is the only bidder because there is no real auction or public sale. One bid is taken for an amount agreed on in advance, and that bid is the winner. A judge could say that your practice violates test part 8. An auctioneers services are the topic of part 9. Apparently, the UCC considers that auctioneers raise more money than selling it yourself in the format of a public sale. Again, not every one of these tests is iron-clad; using an auctioneer isnt necessary to prove you conducted a reasonable sale, but its a factor to consider.

The biggest concern is test part 11: collusion or self-dealing. This comes into play if you, as the operator, are the only or winning bidder. Or perhaps a certain person usually wins because you or your manager helps that bidder understand the value of a units contents. If a unit contains valuable items that havent been disclosed in the inventory or cant be seen from the outside, this could be a violation of the test and expose you to liability.

We certainly hear stories of managers taking more formal inventories or rummaging through units to know whether its worthwhile for the owner or a friend to bid. When they dont disclose the information in the inventory or advertisement for the unit, everyone isnt dealing with equal and fair information and that could violate the test.

Sale Advice

The purpose of this column is to set off an alarm bell with you. Many operators are highly aggravated with a tenant by the time they have moved to auction. Usually, months of rent have accumulated, the tenant has been uncooperative or uncommunicative, and the sale seems like a complete waste of money, adding advertising, certified mail, auctioneer fees, etc., to an uncollectible delinquency.

In some cases, the sale is a big waste of time and money. Unit contents are frequently valueless to anyone but the tenant, and it may be hard to get a single bid no matter how much you invest in advertising. That doesnt mean you disregard the sale. Just one lawsuit by a tenant claiming you didnt sell his goods in a commercially reasonable manner could cost more than youll spend on auction advertising for the next 20 years. Thus, I urge extraordinary caution when planning a sale and strongly recommend you speak with your legal counsel to review your sale strategies. You need to determine whether your sales process crosses the line of commercially reasonable in your jurisdiction.

As always, its best to avoid a sale at all costs, at any time, under any circumstance. I always urge my clients to find any other way to settle, even if its for less than full value. Selling property in a commercially reasonable way is almost too difficult for self-storage operators. A lot of effort, expense and risk is involved. So, think long and hard about your sales pre-procedures and sale-day procedures.

Jeffrey Greenberger practices with the law firm of Katz, Greenberger & Norton LLP in Cincinnati, which primarily represents owners and operators of commercial real estate, including self-storage. This column is for the purpose of providing general legal insight into the self-storage field and should not be substituted for the advice of your own attorney. Mr. Greenberger is licensed to practice in the states of Ohio and Kentucky, and is the legal counsel for the Ohio Self Storage Owners Society and the Kentucky Self Storage Association. He is a regular contributor to Inside Self-Storage magazine and the tradeshows it sponsors. For more information, call 513.721.5151; e-mail [email protected].

Reno-Sparks, Nev.

Article-Reno-Sparks, Nev.

The area along the eastern slopes of the Sierra Nevada Mountains in western Nevada is growing, according to metropolitan area statistics. Beyond being a gaming destination with world-class vacation and recreational amenities, the region is home to a thriving business community. Reno-Sparks offers a pro-business climate with tax benefits (no corporate, personal income, unitary, inventory or franchise taxes), reasonable property and sales taxes, and business-friendly regulations. Reno-Sparks strategic location and accessibility to the Western markets, availability of commercial, industrial and office space, role as a transportation hub, and business benefits attract commerce to the region.

Market Demographics

  2004 2009 Growth Rate
Total Population 384,239 433,545 12.8%
Total Households 148,610 166,332 11.9%
Average Household Income $66,478 $73,855 11.1%

Market Statistics

  Surveyed Identified/Projected
Total Facilities 31 76
Total Units 26,503 40,285
Net Rentable Area (SF) 2,912,447 5,030,590
Average Unit Size (SF) 125
Average Facility Size (Units) 726  
Average Facility Size (SF) 108,831  
Households Per Unit
(With 30% Commercial Tenants)
4.13  
Net Rentable Feet Per Capita 11.6  

Operating Statistics

Pasadena, Calif.-based Self Storage Data Systems Inc. publishes the ISS Flash Report, the Self- Storage Performance Index and other statistical data on self-storage operation. It also reports on supply-and-demand factors affecting the industry. For more information, call 626.304.2920; visit www.ssdata.net.

Holey Rooftops!

Article-Holey Rooftops!

If rust has pin-holed through metal-roof panels, theres no question its time for roof restoration. But just how much of the roof needs to be replaced?

Even on problematic metal roofs, the majority of panels retain their integrity. Leaks develop at seams, fasteners and around penetrations. Replacing damaged panels and following a complete maintenance program can return a roof to its original performance. The combo substantially reduces the expense of a full roof replacement.

Nip Budding Problems

Comprehensive maintenance means more than stopping rust or leaks. Stringent measures can help cool buildings, making them more energy efficient. Roof surfaces can also reduce thermal movement and related maintenance costs.

For years, storage owners have hired maintenance crews to stop leaks with plastic roof cements, often considered an economical solution. But after just a few freeze-thaw cycles, the problem returns, and its usually worse this time around. New leaks pop up, and fasteners rust and pull out because theyve lost their seals. Owners postponing inevitable roof replacement are now in dire straits. The truth is, ignoring problems just exacerbates the situation. Its best for owners and managers to face roof repairs as they crop up, preventing the need for premature replacement.

Some owners think tearing off an old roof and replacing the whole thing solves every problem. But a new roof usually has a construction warranty only, nothing covering leaks. New roofs cost nearly three times more than restoration and have to be amortized over 39 years of the expected roof life.

Downtime and lost rents must also be considered. A facility cant rent units without roofs. If panels are being replaced, the only units affected are those nearby; for full roof replacement, all of them must be vacant. Plus, with a warranted restoration system, leak repair is much less expensive. For all these reasons, more owners are selecting quality roof restoration, with lowest costs over the life of the warranty and an immediate deductibility.

A Comprehensive Approach

To get the most bang for the buck, a roof needs a comprehensive maintenance program. Do your research and find products that prevent rust; keep fasteners tightened; eliminate future roof leaks by guarding seams; and coat the entire roof with a durable and weather-resistant barrier. Todays advanced elastomeric coatings provide long-term solutions for metal-roof problems. To simply overcoat a metal roof or take pot shots at repairs just doesnt make sense.

Check with contractors to see what they recommend. Theyve worked with numerous roof systems and products, so theyre in the best position to offer advice. Ask contractors and manufacturers for referrals, too. No amount of effort can equal the power of a testimonial from one satisfied customer.

Some manufacturers offer certification programs in which contractors are trained to the standards of their application procedures. Advertising, sales tools, product specifications and technical support is provided for the contractor to complete projects skillfully.

Follow-up is just as important. Manufacturers should require yearly inspections to identify problem areas before they lead to costly leaks or permanent damage.

Start to Finish

The process should always start with a complete and thorough examination of the roof surface. Consult facility managers and maintenance staff about past problem areas. Also check insulation and the underside for wet insulation or condensation; these are major causes for callbacks due to improper ventilation. Fasteners should be inspected to see if they are loose or stripped, then tightened to torque or replaced with larger fasteners. Extra fasteners must be added to areas where gaps are present, especially at end laps.

After the roof is repaired mechanically, restoration begins. All rust must be treated according to the coating manufacturer and power washed to obtain a clean dry surface. Seams and fasteners deserve specific attention; reinforce them with compounds for the greatest elongation and tensile strength to expand and contract with the roof as temperatures change.

HVAC units, stacks, vents, etc., must be similarly reinforced. Before the first application of the field coat, the roof should be walked and additional repair material applied. After the project is complete, your roof should be leak-free, seamless and quieter.

All roofs need a preventative maintenance program. They should be inspected at least once a year for clogged drains, gutters and downspouts, and the effects of time and weather. Penetrations, seams and fasteners need to be monitored and fixed when necessary. A comprehensive approach provides constant peace of mind for the building owner. This is a perfect example of how a stitch in time saves nine! 

Arlan Kopel is president of Topps Products. Based in Overland Park, Kan., the company manufactures Topps Seal, a liquid-applied 100 percent rubber system for protecting metal roofs in all climates. For more information, call 800.867.7177; e-mail [email protected]; visit www.toppsproducts.com

Set Your Own Standard

Article-Set Your Own Standard

Why is upkeep so important? It makes a facility more marketable, increases safety and prevents litigation and customer dissatisfaction. Sound maintenance practices save money over the long-term and give your project a professional image.

Types of Maintenance

Maintenance strategies can be categorized in two ways: reactive and planned.

Reactive maintenance tasks require immediate attention because they were overlooked too long. Reactive maintenance tends to be more expensive to resolve. In most cases, you haven’t budgeted for the problem, damaging cash flow because you can’t shop competitively for best solutions or prices. Reactive maintenance is stressful for managers, vendors and owners.

Planned maintenance, on the other hand, is addressed regularly and usually isn’t as expensive. These items have been budgeted, alleviating last-minute decisions.

Standards

What type of maintenance standard do you want to maintain?

1. Casual maintenance. This approach minimizes expenditures throughout the life of the project. It requires a well-built facility, perhaps with concrete drives instead of asphalt, and other superior provisions such as top-of-the-line hardware, doors, locks, AC units and gate-operator motors.

2. Average maintenance. Middle-of-the-road standards require you to set a budget each year and follow through with it. Include maintenance contracts on elevators, lifts, gate operators, golf carts, etc. You may also want to allot a budget for snow removal and to have the on-site drainage system flushed every year, regardless of the amount of silt, trash or debris.

3. Above-average maintenance. This standard includes impeccably kept facilities. Sites may be in affluent communities such as Santa Barbara, Calif., or owned by developers demonstrating to city governments how their projects enhance communities.

Most self-storage facilities fall into the casual or average categories. Wherever you fit, set an appearance standard and maintain it. Define a budget to mirror your expectations, figuring $2 to $5 per unit a year for costs. Also establish a reserve account for foreseeable projects such as asphalt resealing and the repair of roofs, doors, landscaping, gates and security systems.

Who’s in Charge?

A manager can perform many daily and long-term maintenance functions, but some duties are beyond their capabilities, requiring trained service personnel or subcontractors.

Outside vendors should perform the following:

  • Large-scale painting projects 
  • Landscaping replacement 
  • Electrical installation or replacement 
  • Repairs to lifts or elevators 
  • Repairs to gates, operators or equipment 
  • Adjustments to door alarms, cameras or security equipment 
  • Asphalt repairs or replacement 
  • Door spring repairs or replacements 
  • Door curtain removal and re-installation 

For liability reasons, don’t allow staff members to work on certain equipment even if they have competency in the area of service. Hired subcontractors have liability policies protecting them and your facility. If one of your own employees—who may be a retired electrician—makes a repair that ends up harming himself or a tenant, you’ll be liable for damages.

Managing Maintenance

Tackling the myriad of maintenance jobs can become mind-boggling, but here are suggestions for keeping it all straight:

Make lists. The best strategy is to use monthly checklists. Establish your standards, make a list, check off items and keep files for all maintenance performed.

Become a fanatic about cleanliness. When equipment is always clean, a small hydraulic oil leak becomes readily apparent, for example. At the first sign of trouble, investigate the source of the problem.

Walk around. You’ll be amazed how easy it is to spot upkeep issues if you walk around or climb on the roof periodically.

Track your expenses. Some owners invest too much money in repairs. It’s a common mistake, but if you track and review expenses, you might find less-costly alternatives. For instance, if your gate needs continual attention and costs thousands in service calls, it might be better to replace it with a new, low-energy consumption model. The only way to be cognizant of actual expenses is to track them.

Get With the Program

Keep a watchful eye on all of the following areas to make sure your maintenance program is comprehensive:

Moving trucks. Impeccable maintenance records are a must. Follow the owner’s manual for maintenance and inspection intervals. Safety-inspect the truck every week, paying close attention to tires, brakes and steering equipment. Keep all repair and maintenance invoices. Don’t allow cans, glass or plastic bottles in the cab of the truck!

Office. Use a carpet-cleaning service every other month. Mop, strip, wax or vacuum floors frequently. Keep the office clean and sweet smelling. Look around: Is it inviting, professionally decorated, color coordinated and contemporary?

Restrooms. Keep restrooms immaculate and in working condition at all times. Provide seat covers, soap, towels and paper.

Landscaping. It’s best to hire a professional landscaper. Plant flowers for added color and change landscaping yearly. Place lighting in trees. Keep sprinklers repaired and working properly. Aerate and fertilize lawns annually.

Facility grounds. Walk your entire facility daily. Check fencing and gates. Inspect drains, gutters and downspouts. Turn on all timers and lights to make sure they work. Finally, drive through your facility to get a visitor’s perspective.

Fire-protection system. Your vendor should inspect and test the fire system quarterly. Check for discharged or stolen extinguishers. Are your gate valves chained? Leaking sprinkler heads? Remove turn handles from all system drains, and hydro test your system every five years. The fire department will inspect at any time.

Office equipment. Defrag and optimize computers every month. Install a virus scanner and use it. Good housekeeping is the best maintenance on most office equipment. Make sure backup disks have data on them, every month. Recalibrate computer times monthly. Use www.worldtimeserver.com to ping the atomic clock.

Electrical. Lock all electrical panels, time clocks and junction panels. Test emergency lights every month. Check exit signs for burned-out bulbs. Monthly test timers, switches, lights, and GFI breakers in the restrooms and kitchen areas. Inspect the smoke detector for proper operations, replacing the battery if needed.

Gate system. Inspect for proper clutch operation monthly. Adjust open/close limit switches if needed. Each week, check the reverse sensor, safety loops and the touch-pads, which should also be cleaned. Lubricate wheels, joints and axles monthly. Check the chain and adjust. Keep the gate operator locked at all times.

Elevator/lifts. Check daily to make sure everything is working right. Always purchase a maintenance contract for lifts and elevators. Use diamond-plate steel on the floors. Never bypass safety devices or attempt repairs on lifts or elevators; instead, hire qualified professionals. Inspect the emergency phone weekly.

Golf carts. Check daily for proper operation. Use only distilled water in the batteries. Never overcharge carts. Keep them clean at all times, taking special care on the seats and using Plexiglas cleaner on windshields. Lubricate all grease fittings monthly and check tire pressures weekly. Golf carts are your biggest liabilities; treat them like automobiles.

Security system. Check daily. Adjust computer times weekly. Perform backups daily. Respond to all triggered alarms. Keep housings locked at all times and all equipment repaired.

Company equipment. Never remove safety guards. Follow manufacturer recommendations for maintenance, oils, lubricants, gas, etc. Inspect parts and operation monthly. Store gasoline in flame- and vapor-proof containers only.

Heating and air conditioning. Service according to manufacturer recommendations. Inspect condensation drains and clean them monthly. Establish acceptable temperature ranges for the office, apartment and facility and monitor them with temperature gauges. Install an electrostatic filter in the office. Service your system seasonally.

Keep your property looking sharp and upgrade systems when money allows. This will always give you a competitive advantage in terms of marketing, curb appeal and eventual resale. 

Tom Litton is president of Litton Property Management Inc., based in Lodi, Calif. He is a well-known industry expert and professional seminar presenter. Litton Property Management specializes in self-storage as well as provides manager training, seminars, manuals, instructional guids, development, feasibility and management consulting. For more information, call 209.334.3800; visit www.littonmanagement.com

Tackling Computer Maintenance

Article-Tackling Computer Maintenance

Discussions of self-storage maintenance usually center on doors, roofs and landscaping. But every operator should also be concerned with keeping computer systems primed and running as smoothly as possible.

Computer maintenance entails a four-fold attack against deterioration of hardware, security threats, software bugs and performance degradation. Each can seem overwhelming or even insignificant, but considering the importance of computer systems to operations, the cost and time are trivial compared to the hassle of getting a system up and running after a crash.

A New Drive

Most people understand the importance of getting a vehicles oil changed every 3,000 to 5,000 miles. But when I ask people about the last time they had their hard drive replaced to maintain their computer, I normally get a blank stare. People do that? theyll ask.

No, they typically dont, and thats one reason for a billion-dollar computer resolution industry devoted to solving IT issues. A new hard drive costs less then $100 and an experienced IT professional can swap drives and data within a couple of hours. When you turn on your updated computer, it will have exactly the same software, settings and data as before. The cost? Less then $300.

The reaction here is usually: Why dont I just buy a new Dell for a little over $300? You can. In fact, you should upgrade the entire computer every three years or so, but youll have to transfer all the data and software from the original computer, whereas a hard-drive swap is a transparent upgrade.

How often should you replace the hard drive? It depends on how important you consider your computer system. Our company replaces every drive in every computer once a year as part of normal maintenance. Todays high-speed computers use multiple fans to prevent components from overheating, so we also verify all fans are in working order.

Software designed to warn users of impending hard drive crashes is another low-cost option for computer maintenance. Some hard drives manufactured in recent years include self-monitoring analysis and reporting technology, or SMART, developed by major hard disk-drive manufacturers to increase reliability. It enables computers to predict future hard disk-drive failures and report them to monitoring software. Through SMART, many potential problems are flagged, allowing users to repair or replace them before any data is lost or damaged.

Security

Books have been written on this topic, but Ill be brief. Minimally, your computers should be running active firewall and antivirus software packages. Active means the software is loaded at startup and is continually securing your computer system from outside intrusion of viruses, Trojan horses, spy-ware, ad-ware and worms. A common misconception is computers not accessing the Internet dont need security software. Viruses can travel inside Excel spreadsheets sent by your business associates or even through a free game your son installed on Bring Your Kids to Work Day. Active security software stops these intrusions and saves your computer system from being compromised.

Software Updates

Keeping up to date with the latest software patches and upgrades, especially with security software, is hugely important. Firewall and antivirus software without updated virus definition files are nearly useless in protecting your computer system, which is why I recommend you update security software weekly. Many software packages have an option for automatic updates with no user interaction required; choose this option and leave the rest up to your computer.

The second stop for software updates should be the website for your manufacturers operating system. This holds true whether youre running Windows, Mac OS or Linux. Microsoft and others understand the importance of fixing bugs and security flaws in operating systems, thereby offering free updates to maintain software. Many viruses enter businesses not because they are unknown to the software companies, but because the business didnt update its software to block known threats. Check for OS updates monthly.

Finally, update research updates for each of your computers commonly used software. Most manufacturers allow you to download minor upgrades for free, charging only for major upgrades. Some charge for every upgrade or offer a maintenance plan that includes software updates as part of the package. Do you need to upgrade all your software packages? No, but you should do a little research into what new features or bugs have been fixed since your last version. This will reveal whether any annoying software issues have been resolved on your current version or a requested feature has been added. Check software updates quarterly.

Performance Degradation

Computers often have too many temporary files cluttering the system, a fragmented file system, viruses/spyware/ adware, and unnecessary programs running on startup. Windows XP has several software packages to help clean up systems, including Disk Cleanup, Disk Defragmenter and ChkDsk. Each speeds up computers and is easily used by novices.

Another useful Windows program is the MsConfig utility, offering the option of turning off auto startups of many programs; however, novices should beware that turning off too many auto startup programs can leave computers in startup limbo.

Also, dont forget to put dusting on your to-do list. Excessive dust buildup inside your computer can cause overheating, which degrades performance as well accelerates wear and tear on interior parts. If youre not already familiar with opening your computer to do a little dusting, hire an IT professional for a thorough cleaning job. The cost should be minimal, especially if you request it during the yearly hard-drive swap.

If your computer is still operating slower than expected, look into software packages to run deep checks of entire systems, inspecting its registry, missing shortcuts and Windows files. These programs can increase system performance by removing thousands of unneeded registry settings from uninstalled software, cleaning up unnecessary programs from startup, and removing the deluge of temporary files stored on everyones computer.

Spend some time and money taking care of your computer system and it will reward you with years of reliable service. 

Tredd Barton owns Tredds Software Solutions, a developer of self-storage software for nine years. His company just released version 6.2.9 of its software and recently hired a new sales and marketing manager to accommodate expanding business. For more information, call 724.484.7801; e-mail [email protected]; visit www.tredd.com

Why We Love and Hate Metal Roofs

Article-Why We Love and Hate Metal Roofs

Lets face it: The self-storage industry has a love-hate relationship with metal roofs. We love them because metal roofs can usually be built at a lower initial cost. They provide fire resistance, are easy to maintain and, when installed correctly, can provide many years of trouble-free service.

We hate metal roofs that leak. They wear out, or maybe werent installed correctly in the first place, and require continual maintenance to keep out water.

Fortunately, there is a solution for owners to rekindle their romance with metal roofs. Retrofitting offers many benefits to satisfy the needs of self-storage operations. But first you must identify and understand the causes of your roofing problems.

Leaking

Leaks are the enemy of metal roofs. To guard against them, know the likely causes:

Expansion and contraction. Expansion and contraction of the metal panels due to temperature change or wind create opportunities for leaks. In through-fastened systems, this movement makes fastener holes become slotted, compromising the seal and water-tightness. In addition, it may cause aged sealants and caulks to fail around stacks and other penetrations.

Roof traffic. Foot traffic on metal roofs can lead to failure of lap seals and may crack light-gauge metal, allowing moisture to enter.

Rust and corrosion. Snow, rain and pounding water combined with rooftop contaminants will eventually lead to rusted, corroded panels. In addition, condensation on the inside of the building mimics a roof leak. If not corrected, condensation can eventually cause failure from the inside out.

Drainage. Ice dams in winter and other debris such as grass, balls and rags can block drains and force moisture through roof seams.

Transitions. Movement between roof sections at valleys, transitions and interior gutters tends to weaken soldered or caulked seams, resulting in moisture infiltration.

Fixes for Leaky Roofs

While metal retrofitting is the right choice for many building owners, numerous factors should be considered before selecting your system:

  • Activity inside the facility 
  • Current system-failure mode 
  • Building-code requirements 
  • Weight and structural limits 
  • Service-life expectations 
  • Chemical-resistance requirements 
  • Budgeting 
  • Selection of the proper roofing contractor

Coatings

Coating systems address surface corrosion and improve the roofs overall appearance. Reflectivity of a white coating helps reduce thermal-heat gain resulting in lower interior temperatures. If the existing roof is sound with minimal or controllable movement, and loose fasteners can be tightened or replaced, a liquid-applied system can correct leaks at panel laps and fasteners. A variety of coating systems, featuring different properties and prices, is available.

Sprayed polyurethane foam (SPUF) can be applied over an existing metal roof of sufficient gauge, that otherwise meets manufacturer requirements. Since the system is somewhat rigid, a SPUF system doesnt accommodate movement well but has the distinct advantage of adding R-value. This also virtually eliminates damage from expansion and contraction because metal panels are now insulated from daily temperature changes, a primary cause of movement. Its not necessary to apply reinforcing fabric over the laps and at fasteners.

During the application of foam and coatings, changes in weather, humidity and temperature can adversely affect installation quality and long-term performance. In some geographic areas, the ideal application window is limited. A trained and trusted contractor is required for proper application.

In some cases, you might consider replacing the roof with a new metal system, an expensive option that disrupts facility activities. A new metal roof also can be installed over an existing low-slope, metal-roof system, but the existing building structure must be sufficient to withstand the added weight. This system can be installed with minimal interruptions to the buildings interior activities and contents.

With a single-ply metal retrofit system, a new roof is installed directly over an existing metal roof. It requires minimal maintenance, reduces energy expenses through increased insulation and can be installed while business operations continue.

Installation

In the installation process, the appropriate insulation (polyisocyanurate, extruded or expanded polystyrene) is cut to fit in the flutes and fitted between the standing seams of the existing metal roof deck.

A cover board or insulation board providing additional R-value is then mechanically fastened over the top to provide a consistent and flat substrate to which the roof membrane will be adhered. In the final step, a single-ply membrane is laid out and fully adhered or mechanically fastened to the existing deck and structure.

If aesthetics are an issue and you like the look of a ribbed metal roof, consider ribbed single-ply systems, which have a similar appearance. Check with a roofing contractor to decide which roofing system is right for you.

Michael OBryant is a Western regional manager for D.C. Taylor Co. He has more than 35 years experience in the roofing industry. For more than 50 years, D.C. Taylor Co. has delivered expert roofing, repair and preventive maintenance services nationwide. For more information, call 800.876.6346; e-mail [email protected]; visit www.dctaylorco.com.


Six Steps to Rooftop Safety

Whenever you hire a contractor to perform work on your property, you take a risk. Make sure your next roofing project is a success by considering the following safety factors before you begin.

1. Culture: Does the contractor just talk about safety, or does he incorporate safety into every part of the work process?

2. Management Commitment: Does your roofing contractor financially support safety programs and enforce safety policies?

3. Training: Are ongoing training programs provided to the contractors employees?

4. Risk Analysis Process: Is there a process in place to identify hazards and develop countermeasures to reduce the risk?

5. Proactive vs. Reactive: Does your contractor identify risks or hazards before they happen? Or does he react only after a problem has occurred?

6. Safety Record: What is the contractors safety record?

Sound the Alarm!

Article-Sound the Alarm!

Without security systems, self-storage facilities dont have a prayer of keeping tenants belongings safe and sound. Systems need to be maintained, checked regularly for damage and repaired whenever necessary. In time, systems and components may need to be upgraded or replaced altogether. While this might sound expensive, it can save you money in the long run.

Lighting

Lighting is your best line of defense. The better the lighting, the less security trouble youll have. Take time to clean fixtures at least quarterly and also check to see if they are working. If you have photocells or timers, make sure lights are coming on at the correct times.

If your lights are old, maybe its time for updating. Todays systems offer new features to save money by cutting back on electricity bills. Of course, youll have to pay out of pocket for equipment and installation labor, but the upside is worth it.

Most new fixtures have built-in photocells to control lights individually, saving more money because you only use the lights you need, not a whole group. If your site has dark areas, think about adding lights, taking care not to overload a circuit in the process.

Interior lights should be on motion sensors rather than timers. People usually set timers for much longer than needed, and lights stay on, burning bulbs and wasting electricity. This adds up to a lot of dollars over a year.

Switching to a motion detector means no more than changing out a light switch. Install motion sensors in units with lights, or if you have an alarm system, change to an alarm switch that also turns on the light. Both reduce your electric bill. Ever walk by a unit and notice the light on with no one home? Motion detectors eliminate the problem.

Keypads

Your customers see and use keypads every time they set foot in your facility. Make sure theyre in great working order. Are the numbers worn? Can you see the display? Are the numbers hard to enter? Is the instruction label still readable? If not, its time to get them in for a fix-up. A few dollars spent means youll have keypads looking and working as good as new. Equipment vendors have tune-up programs to update keypads and replace wearable parts such as number pads. You can also look into replacing the rubber number pad for a new backlit metal version.

If youve been to a tradeshow or shopped for keypads lately, you know the new models can integrate with cameras and intercoms, as well as offer other features. Messages may be customized for individual tenants, notifying them of rents due, upcoming events or unit availability.

By installing the new technology you send the message to customers your priority is to stay up to date with security technologies. Transitioning to the new keypads is easy for tenants, wholl enter the same codes as before. You might need to upgrade your software, but maybe its time for you to update your whole computer anyway!

Alarms

Its shocking how many managers and owners have no idea whether their alarm systems are working. Checking is as easy as watching someone enter, and looking on the readout to see if the entry, open, close and exit appears. If you dont see it, its not working!

Sometimes the system just needs a switch alignment. Maybe its only missing a magnet, or wires were cut or have bad connections. Then again, the problem could be much worse. Regardless, its imperative you check alarm systems frequently, and take care of occasional maintenance tasks. Problems with one unit canand often doaffect other units and the overall system. If you need a service tech to look at alarm problems, try to learn as much as possible about the system. Also, its easiest to inspect alarms when units are empty, so whenever someone vacates, make it a habit to check that the alarm system is working, no loose or hanging wires have developed, and the switch is securely fastened.

If you dont have alarms but are considering them, go wireless. Its hugely expensive to wire for alarms on already constructed buildings. Wiring on the outside of the building using a high-security switch is cost prohibitive.

The good news is wireless systems have come of age. Theyre reliable and affordable, providing a real solution for retrofitting units with alarms. Keep in mind you may have to change keypad systems to have wireless alarms, but the only way to stop break-ins is with individual door alarms. The alternative may be lower occupancy and move-outs.

Cameras

If you havent got rid of that VCR yet, do it now. DVRs are easy to install and use, and they offer great features. Cameras can be set to record only when theres motion, resulting in higher-quality recordings that use less space. Plus, you can speed up search functions.

Shop for a stand-alone DVR with its own hard drive instead of one that works on your PC. It has the capacity to handle cameras, along with ample storage space for long recordings, whereas your old computer may not.

Clean your camera enclosures regularly, and make sure wires arent hanging down too far. They should be in a flexible conduit, not run from the building to the camera unit. On that note, make sure all wires are in a sealed conduit. Wires deteriorate in the open air. If you have damaged conduits, have them repaired. Open-ended conduits should be sealed to keep dirt, rocks and water out.

Assure your cameras are in focus, which is best tested at night. We prefer to focus cameras after sunset, allowing us to get the cameras adjusted to the best possible picture, then, well double check it in the daylight. If a camera continues to go out of focus, its time for servicing.

Advanced cameras offer better resolution at lower light levels. An auto-iris lens enables cameras to self-adjust, and IR illuminators allow them to see in the dark, making them perfectly suited for low-light areas. You can upgrade to color cameras that change to black and white in low light. Avoid color-only cameras, which give poor resolution in low-light conditions.

Installing new cameras wont necessitate new wiring systems, although you may have to change the power supply if requirements are dramatically different. You might also be able to salvage the lens, enclosures and wall mounts of your previous system, lowering changeover costs.

Self-storage facilities dont have to keep up with the neighbors, but they do need to keep up with the times. Maintaining security systems is the best way to stay on top of repairs, as well as make educated decisions about investing in upgrades. Customers today are savvy enough to recognize when security devices are up to date or hanging on by a thread. Keep your systems in good working condition and the rentals will keep rolling in. 

Chester A. Gilliam works for Centennial, Colo.-based Wizard Works Security Systems Inc. and has been involved with self-storage security systems for the past 19 years. For more information, call 303.798.5337; e-mail [email protected]