Affiliates of the Argus Self Storage Sales Network, which has 36 broker affiliates in nearly 40 markets, brokered three self-storage sales in July.

Joan Lucas, of Joan Lucas Real Estate Services, and Ben Vestal, of the Argus Self Storage Sales Network, represented the seller of Denver Storage Solutions. The Denver facility sold on July 30 for $3.5 million. Denver Storage Solutions has 58,687 square feet of self-storage and 39,270 square feet of outdoor storage with a total of 544 units. 

Jim Soltis, of Preview Properties.com, represented the buyer of Allstar Self Storage in Lansing, Mich. The 69,155-square-foot property sold for $2.1 million at a 10.9 percent cap rate.

Richard Minker and Tyler Trahant, of MinkerTrahant & Associates, represented the buyer of American Home Self Storage in Carrollton, Texas. The 44,321-square-foot property was purchased on July 30, by Metroplex Self Storage, which operates five self-storage facilities in the Dallas/Fort Worth area.

Based in Denver, Argus was formed in 1994 to assist self-storage owners and investors with their facility sales and purchases.
 
Related Articles:

Argus Affiliates Broker Three Self-Storage Facility Sales

Argus Self Storage Affiliates Sell Facilities in Nixa, Mo., and Sandwich, Ill.

Three Brokers Join Argus Self Storage Sales Network

Buying or Selling Self-Storage Property: Should You Hire a Broker?

BETCO Inc., a Stateville, N.C.-based single-source manufacturer of self-storage metal buildings, has hired two construction experts to its sales team.

Tom Esquibel is BETCO’s new western region sales manager. He brings 30 years of construction experience to the company, the last 16 of which were in the self-storage industry. His experience includes sales positions in the Western and Southwestern United States with two major self-storage manufacturers.

Esquibel has also owned and operated a company that supplied and erected self-storage buildings. His firm was responsible for several successful projects throughout the western region of the country. This experience resulted in his working closely with general contractors, architects, and owner and developers of medium-to-large building projects.

Joe Large also joined the BETCO sales team, responsible for sales throughout Indiana and western Ohio. Large, who has spent the past 30 years in Indianapolis, has been in both the conventional and pre-engineered construction business for the past two years.

Prior to joining BETCO, Large was involved in sales and marketing for building manufacturers, working with contractors in the areas of business development, as well as preliminary design and construction. 

 
  From left: Tom Esquibel and Joe Large

Related Articles:

Self-Storage Manufacturer BETCO Adds Texas Sales Reps

BETCO Allies With BVFR to Provide Self-Storage Financing

Boilini Joins BETCO as National Accounts Manager

Mahan and Seider Join BETCO’s Texas Sales Staff

Charles Redmond, owner of Red Mountain Storage in Chestertown, N.Y., has allegedly failed to comply with the state’s lien laws, according to an article in North Country Gazette.

New York State Lien Law, which regulates the seizure of goods from a self-storage unit for non-payment of rent, requires legal notice of the sale and conduction of an auction. The North Country Gazette article questions whether Redmond is complying with the law.

It states Redmond has been known to “seize a storage unit for alleged non-payment of rent and simply open the doors to conduct a garage sale of the seized goods, including allowing his own family members to take or buy goods from the seized property.” The act is prohibited under state law, the article states.

The article also claims Redmond isn’t properly notifying the public about the auctions because the ads posted in the local penny saver do not meet the requirements of the state law. Nor is he conducting a true auction as defined by state law.

Additional articles about Redmond’s battles with the city over zoning laws and other alleged infractions have been documented in the newspaper.
 
Source:  North Country Gazette, Ex-Cop Again Conducting Illegal Sales Of Storage 

Related Articles: 

Battle Continues Over Sign at N.Y. Self-Storage Facility

Florida Self-Storage Operators Thwarted in Effort to Improve Lien Law

AZ Governor Signs Bill That Benefits State Self-Storage Operators

The Self-Storage Lien Sale: Operators Will Get It Right or Pay the Price

The Storage Business Owners Alliance LLC (SBOA), an organization that enables small- to mid-sized self-storage operations to enjoy the benefits of bulk buying power, has grown to include more than 1,000 member facilities since its launch in February. The group has also increased its vendor connections to 35.
 
SBOA members pay $99 per year to join the organization and take advantage of savings on items such as packing and moving supplies, marketing services, credit card processing services and more. Participating vendors include ADP, ConstantContact, Creative Blend Design, Janus International, Lighting Supply Co, Monster, Office Max, Strategic Marketing Solutions and Supply Side USA.
 
The group website at TheSBOA.com provides access to webinars about the using the service, a list of participating vendors, membership details and more.

Related Articles:

Storage Business Owners Alliance Presents Webinar on Website Features

Self-Storage Veterans Launch Storage Business Owners Alliance

A K9 officer and police dog will now conduct regular patrols at any facility that participates in the Wichita Falls Police Department’s Crime-Free Program in Wichita Falls, Texas.

The police department introduced the program in 2008 hoping to reduce criminal activity in the city. The program first targeted apartment communities, and was later opened to self-storage facility owners and managers. The three-hour class is provided free of charge by the police department.

Wichita Falls K-9 Officer Teddie Whitefield, and his canine partner, Ben, will now patrol the premise of any certified self-storage facility. Most recently, the police duo patrolled Hot Shots Moving & Storage, one of four facilities certified by the program. Andy Borchardt, co-owner of the facility, added a new sign announcing the facility’s certification.

According to WFPD, self-storage businesses provide a unique target for criminals because many items of valued are stored there. Additionally, criminal conduct can go unnoticed due to low traffic in the area. The new class provides solutions to many of these problems. The International Crime Free Association has found self-storage businesses can reduce their calls for service by as much as 60 percent, WFPD said.
 
Source:  Texoma’s Home Page,  Wichita Falls K-9 Officer Will Now Patrol Certified Crime Free Self-Storage 

Related Articles:

Crime-Prevention Classes Now Available to Wichita Falls Self-Storage Businesses

Texas Crime-Watch Program for Self-Storage Facilities Helps Crime Rate Drop

Creating the ‘Illusion’ of Self-Storage Security

Self-Storage Talk: Safety Tips and Advice

Registration for the Florida Self Storage Association’s Executive Retreat, Oct. 8, is now open. The event will take place at the Disney Yacht Club Resort in Lake Buena Vista, Fla. Speakers and topics include:

• Will Weatherford of Florida House of Representatives will talk about the legislative agenda for the state.
• Chris Oakley, vice president and regional executive of Federal Reserve Bank Atlanta, will provide an outlook for the regional and national economy.
• Dean Jernigan, CEO of U-Store-It Trust, will talk about what his company is doing to increase net operating income and the value to its shareholders.
• George Miliotes, master sommelier for The Capital Grille, will explain how Darden Restaurants has approached the recession across its brands, including pricing and wine strategies.
• Scott Enos, promotions director of global alliance marketing for Disney Destinations, will share how the Disney theme parks adjust to difficult economic challenges.

The FSSA is a non-profit organization comprised of individuals who have an interest in the self-storage industry in Florida. Members include facility owners, operators, developers, investors, managers and suppliers.

Related Articles:

Florida Self Storage Association Hires New Executive Director

Florida Self-Storage Operators Thwarted in Effort to Improve Lien Law

Florida Self Storage Association Hosts Legal Seminar, May 5

Florida Self Storage Association Introduces New Board Members

Sentry Self Storage LLC, which provides management services to independent self-storage owners and investors, been awarded the management contract Airport Discount Storage in Kissimmee, Fla. The facility has 522 units and 85,776 square feet.

Sentry Self Storage LLC, based in Coral Spring, Fla., manages more than 40 properties in several states, and works with 18 ownership groups.

Related Articles:

Sentry Self Storage Introduces New President

Sentry Self Storage Awarded Brooksville Management Contract

Sentry Self Storage Gets Kissimmee Management Contract

Sentry Self Storage and Florida Association Support Toys for Tots

Although our boat- and RV-storage facility is in a resort town—with 85 percent of its tenants residing up to 2,800 miles away—an active and inspired marketing still plays a critical role in its success. Marketing doesn’t have to be expensive to be effective. Here are some low-cost ideas for attracting new tenants and showing appreciation to your current ones. These strategies can easily be modified to fit your budget and tenant demographics.

Seek Marketing Partners

Trading services with other businesses in your community can be a huge benefit for your facility. Look for a business that needs storage and will offer some return for you, such as a local magazine or newspaper in which you can advertise. Perhaps you can find a maintenance company and trade a unit for its services. You can also work with boat or RV dealerships to cross link your website with theirs. This will help your facility increase its online presence.

You can also offer discounts to businesses that complement your facility in exchange for referrals. Is there an RV park or marina close to your site? Offer them a discount on a rental unit or use of the wash bay, if you have one. This will encourage them to send customers your way when need arises.

The chamber of commerce can also be an excellent source of referrals. Visitors will often turn to the chamber when looking for services in a new town. The chamber also hosts community events or monthly mixers. Ask if you can be an event sponsor or even host a mixer at your facility.

Have a Solid Referral Program

Most storage-facility operators would agree referral programs are one of the best marketing strategies. The cost to create referral cards or fliers is very low, and can usually be done in-house. The goal is to get people to refer business to your facility, so there must be an incentive.

Consider offering a $20 gift card to anyone who refers a new customer to your facility. If a tenant refers someone, offer him $20 off his next month’s rent. Create fliers you can hand to tenants whenever they stop by the office. Post one by the vending machine or near retail items—any place where tenants will see them.

You can also market your referral program by meeting face-to-face with local business owners. Take a couple of brochures and business cards with you, and tell them about your referral program. The only real cost is gas and time.

Onsite Marketing

There are also a number of low- or no-cost marketing approaches you can use on site:

Baked goods and other treats. It may sound silly, but the smell of freshly baked cookies can be an enticement. Tenants love the gesture, and the cost is minimal. Of course, cookies aren’t the primary reason tenants rent with you, but they do make a memorable impression. Also consider having a candy bowl in the front office. You can even have a separate bowl for sugar-free treats.

Make a great impression with Mom and Dad by handing out small gifts to children. Consider coloring books, Frisbees or other low-cost items. Always ask the parents before mentioning the gift.

Cold bottled water. With your facility logo or without, bottled water is a great customer-service piece. You can offer them to prospective tenants, or pass them out to current ones on a hot day. It also gives you a chance to see what tenants are storing without appearing intrusive. 

Onsite tools. Some facilities keep a few basic tools in the office to loan to tenants in case of an emergency. A battery charger, screwdriver and other tools are a minimal expense and a great convenience to your tenants. Be sure to write your facility name in bold letters with permanent marker. If you have to frequently replace these items, it can become costly.

Regardless of which marketing programs you implement, the most important factor is to track your results. Always ask prospective tenants, “How did you find out about us?” If you don’t ask, you won’t know which marketing strategies are working—and which are failing. If your management software doesn’t allow you to aggregate this information, record it on a spread sheet. Regularly review what’s working and capitalize on those marketing programs to draw tenants and increase your facility’s revenue.

Terri Heil is the business development manager and Ed Heil is the manager of operations and security at Lake Havasu RV & Boat Storage of Lake Havasu City, Ariz. They belong to the Arizona Self Storage Association and national Self Storage Association. For more information, call 928.764.1961; visit www.lakehavasustorage.com.

Related Articles:

Offering Value-Added Services to Tenants of Boat- and RV-Storage Facilities: Operators Cruise Past the Competition Via Amenities

Online Marketing Strategies for Boat/RV- and Mobile-Storage Businesses: Operators Generate More Leads With a Quality Website

Legal Considerations of Storing Boats, RVs and Other Vehicles: A Self-Storage Operator's Guide for Avoiding Pitfalls

“It was the best of times, it was the worst of times, it was the age of wisdom, it was the age of foolishness, it was the epoch of belief, it was the epoch of incredulity, it was the season of Light, it was the season of Darkness, it was the spring of hope, it was the winter of despair, we had everything before us, we had nothing before us...”
 
~From A Tale of Two Cities, Charles Dickens
 
If you’ve read A Tale of Two Cities and know the history of its author, Charles Dickens, you know he was about possibility, rebirth and transformation, the kind of visionary we desperately need in the boat/RV-storage building market right now.

If you’re interested in developing a facility, your rate of success will depend heavily on which “city” you choose: the real one, which involves risk but offers future rewards, or the misguided one in which development is being touted as unfeasible. The following discussion should guide you in your choice, dispelling common myths and highlighting some positive trends.
 
The Epoch of Incredulity
Let’s take a look at some misconceptions many self-storage investors and developers may have about boat and RV storage: 

• Because the buildings are larger than typical storage with wider drive isles, they yield less square feet of building coverage per acre of land.
• The potential market for boat/RV storage is smaller than that of the storage for household and commercial goods.
• The rate per square foot of rent is less for boat/RV storage. 

As a result of the amount of land required for a boat/RV facility, along with the difference in the return on investment, many developers choose to build traditional self-storage, leaving a great demand for boat/RV storage in most regions. However, the facts show customers who own luxurious RVs and large boats are not as affected by the economy, still have disposable income, and are looking for a safe, secure, convenient place to get their toys out of the weather.

In addition, construction material and labor costs are lower now than they were even two to three years ago, and much more so than four years ago. Some great sites are becoming available at more reasonable prices all the time. Developers and investors wary of jumping into the boat- and RV-storage market should steer clear of mistaken beliefs and focus on the facts.
 
The Epoch of Belief
Bottom line, there are still many lucrative markets out there, and this is a really good time to build. The self-storage market is finally seeing money loosen up a bit, with equity requirements that are improving all the time. It comes down to having the nerve to move forward in this economic environment.

Keep in mind that in most parts of the country, any project you’re just starting will most likely not even be out of the ground for at least six months, maybe eight to 12 months in some areas. What will the economy be like in a year? It’s a great question, but hasn’t that really always been the question?

We recently heard an industry “leader” say, “You would have to be a fool to get in this business right now.”  Who’s the fool? The one who starts something in this kind of economic environment and patiently waits to reap the rewards when things turn around, or the one who looks back with the all-too-familiar regret, “I wish I had...”?
 
Everything Before Us—Within Our Budget

Yes, building now is indeed a risk, so building smarter is crucial. Obviously the numbers have to be just right to make a project work. But you can’t lose site of your goal, which is to build a quality facility, within a set budget, that will someday pay for itself and have adequate cash flow. Sound simple? Well, we see a lot of people lose site of this goal and build monuments instead of functional and profitable facilities.

Before you invest money into all the bells and whistles, ask yourself, “If I spend additional money on X, will I get it back by Y?” If it adds value to your project, marketability to potential customers, and saves money over the life of the project, then spend the money. The most important factor is to put your money where the rent is. Will a customer pay more for a unit than for one down the street because of some service or amenity?

Ted Dietz, developer of Eucalyptus at Beaumont, an upscale boat/RV-storage facility in California, discovered through research and online polling that having a dump station at a boat/RV-storage facility is low on the list of priorities for most vehicle owners. The majority of them don’t want to make the return trip home with the additional weight—or with the mess and smell—so they dump waste before they leave, lock the door and stay out of the bathroom.

Dietz’s research also found the first priority for the majority of boat and RV owners is to have wider drive isles. A wash bay is also considered an added amenity they like. Other profitable add-ons include an onsite mechanic and well-stocked retail area to supply boat/RV essentials. But before adding too many amenities or services, you must first consider the costs and whether these will benefit your proposed project.
 
The Season of Light

Just as with any other successful business, you have to be creative and work hard to win customers. The days of whatever you build immediately renting to capacity and spitting out cash are gone for now. Storage is still a low-maintenance and low-overhead business, but nonetheless takes savvy and effort to make it a profitable investment. When you run the numbers and see the returns, you’ll find it’s still a wise investment.
 
Recalled to Life

So get off of the farm and pick the real of the two cities. It would appear most developers are willing to hide in the suburbs until someone else takes the risk and starts the ball rolling. Entrepreneurs don’t wait for things to turn around, they turn things around. They don’t stand around waiting for someone to bail them out; they bail themselves out, time and again. They take the big risks, but also get the big rewards. What are you waiting for?  
 
L. Bruce McCardle is vice president of eastern division operations for Mako Steel Inc. Caesar Wright is president. Based in Carlsbad, Calif., Mako designs, supplies and installs steel buildings for the self-storage industry, including boat/RV storage, multi-story and custom buildings. For more information, call 800.383.4932; visit www.makosteel.com.

Related Articles:

The Challenge of Financing a Boat/RV-Storage Operation: Understanding Demand Generators and Today's Lending Parameters

Risk-Proofing Your Boat/RV-Storage Operation: Insurance and More

Getting on Board With Boat and RV Storage

Self-Storage Talk: New Boat and RV Storage