Update 9/30/21 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of additional activity happening in September 2021.

Development and real estate firm InSite Property Group, which operates the SecureSpace Self Storage brand, purchased A Storage Center in the Parkland neighborhood of Tacoma, Washington. The facility at 220 112th St. E. comprises 66,773 square feet and is surrounded by multi-family housing. Based in Redondo Beach, Calif., InSite has more than 40 facilities operating or under construction.

Advance Self Storage Center in Hager City, Wisconsin, sold. The facility at 1563 US Highway 63 comprises 61,560 square feet in 376 drive-up units and 62 vehicle-storage spaces. The buyer and the seller were represented in the transaction by Gabriel Coe, Brett Hatcher and Brian Kelly, investment specialists with The Hatcher Group of Marcus & Millichap (M&M), a commercial real estate investment firm with offices throughout Canada and the United States. They were assisted by Todd Lindblom, Wisconsin regional manager for M&M.

Box Self Storage in Overland Park, Kansas, sold to National Storage Affiliates Trust, a Maryland-based real estate investment trust (REIT). The 2.7-acre property at 12180 W. 135th St. comprises 71,185 square feet in 612 units. The seller was represented in the transaction by Ashley Compton, national director of Colliers Self Storage Group, which offers self-storage brokerage and advisory services.

Carrollton Self Storage in Carrollton, Georgia, sold to an out-of-state buyer. Built on 4.4 acres, the facility at 595 Columbia Drive comprises 186 units. The seller was represented in the transaction by J. Kris Knowles, a broker for Midcoast Properties Inc., a commercial real estate brokerage focused on self-storage in Alabama, the Carolinas and Georgia.

Chapel Creek Storage in Fort Worth, Texas, sold to Montfort Capital Partners, a Dallas-based storage group. The facility at 10113 First Chapel Drive comprises 56,650 square feet. The buyer and the seller, a private partnership, were represented in the transaction by Danny Cunningham and Brandon Karr, investment specialists for M&M.

A three-property portfolio managed by self-storage REIT CubeSmart in the Southeast sold. Opened in 2019 and 2020, the facilities are in Atlanta and Clarkson, Georgia, and Winter Park, Florida. At four stories each, they yield a total of 254,437 net rentable square feet. The Winter Park property also has eight ground-level retail spots. The seller was represented in the transaction by The Hatcher Group.

Freedom Self Storage in Walton Beach, Florida, sold. The 8.23-acre property at 1500 Freedom Self Storage Road has room for facility expansion. It currently comprises 97,250 net rentable square feet in 768 climate-controlled and drive-up units, plus 44 outdoor vehicle-storage spaces and eight retail plots. The seller was represented in the transaction by The Hatcher Group.

Andover Properties LLC, which operates the Storage King USA brand, purchased the two-property Green Light Storage portfolio in Seguin, Texas. Together, the facilities at 430 E. Interstate 10 and 1842 W. Interstate 10 comprise 97,175 rentable square feet in 740 units. One is pre-approved for a 65,000-square-foot expansion. The acquisition was the company’s second and third in the San Antonio, Texas, metropolitan area and 29th and 30th in the state. Established in 2003, New-York based Andover owns and manages 103 storage properties in 16 states, comprising more than 7.8 million square feet.

John Fayard Self Storage in Gulf Shores, Alabama, sold to USA Storage Centers, which operates 24 locations in the South. Opened in 2019, the facility at 21371 Coastal Gateway Blvd. comprises 48,075 net rentable square feet in 418 climate-controlled units. A $9 million renovation was recently completed. The seller was represented in the transaction by The Hatcher Group.

Northway Storage in Merrill, Wisconsin, sold to a first-time self-storage buyer. Built on 24 acres at W4661 County Road C, the facility comprises more than 27,000 rentable square feet, plus room for expansion. The property was operated without management software, a website and other modern features the buyer intends to add. The seller, who is retiring, was represented in the transaction by Bruce Bahrmasel of EquiCap Commercial, an affiliate of the Argus Self Storage Advisors, a Denver-based network of real estate brokers who specialize in storage properties.

A Middle Island, New York, property managed by self-storage REIT Public Storage Inc. sold. The facility at 901 Middle Country Road comprises 74,061 rentable square feet in 726 units. It was 91% occupied at the time of sale. The seller was represented in the transaction by The Hatcher Group of M&M.

SafeKeeping Self Storage in Weatherford, Texas, sold to a local self-storage owner. The facility at 445 Ric Williamson Memorial Highway comprises 68,715 square feet. The buyer and the seller, a private partnership, were represented in the transaction by Cunningham and Karr.

Solana Beach Storage in Solana Beach, California, sold for $48.5 million to a partnership between Baranof Holdings, a Dallas-based self-storage developer, and Invesco Real Estate, a global real estate investment manager. The 3.5-acre property at 545 Stevens Ave. W. comprises 83,000 rentable square feet in 895 units. The buyer was represented in the transaction by Luke Elliott, executive managing director, Mike Mele, vice chairman, and Greg Wells, managing director for Cushman & Wakefield, a provider of real estate services including consulting and appraisal, debt and equity financing, and sales and acquisitions.

SpareBox Storage, which operates 91 self-storage facilities in eight states, has acquired 28 properties in Michigan and Ohio, primarily under the Stop-N-Stor and U-Store Self Storage brand names. The portfolio comprises 1.9 million rentable square feet and adds seven Midwest markets to the growing SpareBox footprint. The seller was represented in the transaction by Kenneth Cox, executive managing director, and Aaron Swerdlin, vice chairman, of the Newmark Self Storage Group, an entity of commercial real estate firm Newmark Group Inc. Launched in 2020, SpareBox is sponsored by Rizk Ventures, which owns and operates commercial and healthcare properties in eight states as well as Colombia, South America.

Storage Lounge in Mankato, Minnesota, sold for $8.1 million. The 2-acre property at 1721 Premier Drive comprises 75,734 rentable square feet in 759 units, spread across two stories. The buyer and the seller were represented in the transaction by Tom Flannigan, Matt Haugen and Alex Ihrke of KW Commercial Minneapolis, an Argus affiliate.

Summit Secure Storage in Insanti, Minnesota, sold for $2.25 million. The facility at 1442 277th Lane N.E. comprises 33,190 rentable square feet in 199 units. The buyer and the seller were represented in the transaction by Flannigan, Haugen and Ihrke.

The three-property Watertown Storage portfolio in Evans Mills and Watertown, New York, sold. Together, the facilities comprise 172,999 rentable square feet in 1,307 units. The sites are within 10 miles of each other, with two less than a mile apart. The seller was represented in the transaction by The Hatcher Group of M&M.

Boardwalk Development Group LLC (BDG), a private-equity investment company focused on self-storage, acquired three facilities in Alabama, Georgia and Tennessee. The purchases include a 31,000-square-foot facility Opelika, Alabama; a 36,000-square-foot property in Dahlonega, Georgia; and a 61,000-square-foot location in Chattanooga, Tennessee. All will be expanded. They were the first acquisitions made through the company’s Boardwalk Storage Fund IV. Founded in 2016 and based in Suwanee, Ga., BDG is a real estate acquisition, development and management firm. It's made 18 self-storage investments.

Global investment firm KKR acquired five self-storage facilities in Atlanta (2), Phoenix (2) and Orlando, Florida, for $92 million. Comprising a total of 3,884 units, they were purchased in separate transactions with two sellers. All were built or renovated between 2017 and 2020. KKR sponsors investment funds that invest in private equity, credit and real assets, and has strategic partners that manage hedge funds.

---

9/16/21 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of additional activity happening in September 2021.

Shurgard Self Storage Europe SARL, the European affiliate of U.S.-based real estate investment trust (REIT) Public Storage Inc., acquired the four-property A&A Self Storage portfolio in England. Three facilities are in Central London, with the third northwest of the city in Watford. Shurgard has three more acquisitions in the region under negotiation. The company operates more than 245 facilities comprising 1.2 million net rentable square meters in Belgium, Denmark, France, Germany, The Netherlands, Sweden and the United Kingdom.

Alpine Mini Storage in Huntsville, Alabama, sold. The facility at 1815 Jeff Road N.W. comprises 9,700 rentable square feet in 84 units. The seller was represented in the transaction by Patrick Kidder, president of Meridian Storage Group, a self-storage brokerage and advisory firm. Kidder also secured the buyer, a first-time self-storage investor.

American Storage in Ellijay, Georgia, sold to an out-of-state buyer. Built on 7.6 acres, the facility at 167 Hefner St. comprises 33,434 rentable square feet in 248 units. It also has eight office suites and an onsite apartment. The seller was represented in the transaction by Dale C. Eisenman, president of Midcoast Properties Inc., a commercial real estate brokerage focused on self-storage in Alabama, the Carolinas and Georgia.

Cypress Park Storage in Denham Springs, Louisiana, sold to a national buyer. The facility at 2257 S. Range Ave. comprises 62,880 square feet and is surrounded by retail. The buyer was represented in the transaction by Dave Knobler, senior vice president of investments, and Mixson Staffel, associate, of Marcus & Millichap (M&M), a commercial real estate investment services firm with offices throughout Canada and the United States.

Dardanelle Mini Storage in Dardanelle, Arkansas, and Village Self Storage in Hot Springs, Arkansas, sold in a single transaction. Together, the properties at 1148 State Highway 22 and 101 Terlingua Drive, respectively, comprise 127,185 rentable square feet. The deal was brokered by John Lindsey and Jim Ritchie of Lindsey Self Storage Group, a Durham, North Carolina, brokerage.

Eagles Nest Storage in Flagler Beach, Florida sold to a national buyer. The facility at 2601 Moody Blvd. comprises 98,340 rentable square feet in 651 units. The seller was represented in the transaction by Kidder of Meridian Storage Group, who also secured the buyer.

A Tigard, Oregon, facility managed by REIT Extra Space Storage Inc. sold to Red Hat Enterprises for $20 million. Built in 2002, the five-story property at 7600 S.W. Atlanta St. comprises 86,623 rentable square feet in 950 units. Extra Space manages all 12 of Red Hat’s self-storage assets. The seller, Trailblazer Development, was represented in the transaction by Tom de Jong, senior vice president of the National Self Storage Group for real estate firm Colliers International.

Houston Mini Storage in Houston sold. The facility comprises 34,660 net rentable square feet in 256 units. The buyer, Houston Mini Storage LLC, and the seller, Salt Lake City-based TPH SPE LLC, were represented in the transaction by Bill Bellomy and Michael Johnson of Bellomy & Co., a commercial real estate firm with offices in Austin and Houston, Texas.

Jeff Road Extra Storage in Huntsville, Alabama, sold. Built on 6 acres in 2019, the facility at 290 Jeff Road N.W. comprises 20,200 net rentable square feet with room for expansion. It also contains a 2,704-square-foot home. It’s been rebranded as Life Storage. The seller was represented in the transaction by Gabriel Coe and Brett Hatcher, investment specialists with The Hatcher Group of M&M.

Loma Rica Ranch Self Storage in Grass Valley, California, sold to a first-time investor based in the state. The facility at 12358 Loma Rica Drive comprises 15,000 square feet in 110 units. It also contains three commercial warehouses for rent. The transaction was brokered by Dean Keller, president of Bancap Self Storage Group, a California-based real estate firm that has completed more than $1.4 billion in self-storage sales.

Park 79 Self Storage in Hutto, Texas, sold to Wasatch Storage Partners LLC, a Utah-based real estate investment firm specializing in self-storage acquisitions and development. Built in 2019 on 3.2 acres, the facility at 244 Benelli Drive comprises 780 units in two buildings, one of which has two stories. It’ll be managed by REIT CubeSmart and branded under its name. The seller, Park 79 Storage LLC, was represented in the transaction by Steve Mellon and Brian Somoza, managing directors with JLL Capital Markets, a global provider of capital solutions for real estate investors and occupiers. Wasatch operates seven self-storage facilities in Massachusetts, Minnesota, New York and Utah under various brand names.

Premier Mini Storage in Bryan, Texas, sold. The facility at 1742 Earl Rudder Freeway comprises 12,150 square feet of storage and has 3.5 acres for expansion. The seller, a private investor, was represented in the transaction by Knobler for M&M.

Ring Road Self Storage in Elizabethtown, Kentucky, sold. The facility at 2927 Ring Road comprises 44,100 square feet in 178 units, plus 15 outdoor vehicle-storage spots and two retail spaces. The buyer and the seller were represented in the transaction by Coe and Hatcher. They were assisted by fellow broker Colby Haugness,

Sea Coast Self-Storage in Fort Pierce, Florida, sold for $5.2 million to a limited-liability company that owns self-storage in the state. Situated on 2.23 acres at 2448 North U.S. Highway 1, the facility comprises 35,585 net rentable square feet in 414 units and vehicle-storage spaces. The seller, a private investor, was represented in the transaction by Tim Lamson, Hunter Robey and Chris Travis, investment specialists with M&M. The buyer was represented by the Travis Self-Storage Group.

Self Storage Plus in Middle River, Maryland, sold to StorageMart, which operates more than 225 self-storage properties across Canada, the United Kingdom and the United States. The facility at 3000 Eastern Blvd. comprises 65,825 net rentable square feet. StorageMart was represented in the transaction by Steven Cornblatt and Coleman Tirone of Trout Daniel & Associates, a Maryland-based commercial real estate brokerage. The seller, an affiliate of Blue Ocean Realty, represented itself.

Sentinel Self Storage in Rosharon, Texas, sold to Andover Properties LLC, which operates the Storage King USA brand. The newly constructed facility at 10223 FM 521 offers 146,000 net rentable square feet in 282 climate-controlled and drive-up units, plus outdoor vehicle-storage spaces. Established in 2003, New-York based Andover manages 102 storage properties in 16 states, comprising 7.8 million rentable square feet across 56,000 units.

Andover also purchased Storage 365 Centerville in Garland, Texas. Built in 2019, the facility at 2404 E. Centerville Road comprises 78,720 net rentable square feet in 678 units and vehicle-storage spaces. . This was the company’s 11th acquisition in the Dallas metropolitan area and 30th in the state.

Smallwood Storage in Waldorf, Maryland, sold to a private buyer. The facility at 11615 Rubina Place comprises 33,185 rentable square feet in 266 units. The seller was represented in the transaction by Taylor Dooley, senior associate for Meridian Storage Group. Dooley also secured the buyer.

Sure Safe Self Storage in Englewood, Florida, sold to Ziff Real Estate Partners in an all-cash deal. Built in 1988, the facility at 728 N. Indiana Ave. comprises 24,719 rentable square feet in 138 units and 20 vehicle-storage spaces. Ziff intends to expand and renovate the property. The seller was represented in the transaction by The Hatcher Group of M&M. Founded in 1991 and based in Charleston, South Carolina, Ziff invests in office, retail, self-storage and small-bay warehouse properties.

Terminal Storage in North Myrtle Beach, South Carolina, sold. The facility at 3200 Airport Blvd. comprises 75,000 rentable square feet. The seller was represented in the transaction by Parker Sweet, president, and Cameron Vale, senior vice president, of Berkshire Hathaway Storage Group, an affiliate of investment firm Berkshire Hathaway Inc., led by CEO Warren Buffett. Sweet and Vale also secured the buyer.

Thornton Road Self Storage in Stockton, California, sold. The facility at 8627 Thornton Road comprises 78,743 rentable square feet in 689 units. It was 100% occupied at the time of sale. The seller was represented in the transaction by The Hatcher Group of M&M.

A joint venture between ASB Real Estate and Arcland Property purchased an eight-property portfolio in Maryland and Vermont from Chesapeake Resources. Together, the facilities comprise 595,888 square feet. ASB invested on behalf of its open-ended ASB Allegiance Real Estate Fund, which now owns 10 facilities in eight states and Washington, D.C.

Wentworth Property Co. purchased a newly built Phoenix property at Certificate of Occupancy for $17.5 million. Near the intersection of 7th Street and Maryland Avenue, the facility comprises 87,499 net rentable square feet in 947 units across two stories plus a basement. It was developed by Empire Group and will be managed and branded by Extra Space. The buyer was represented in the transaction by Norman Herd, designated broker for Quantum Property Advisors, a Phoenix-based real estate services firm that specializes self-storage.

A three-property portfolio in Greenville, South Carolina, and Chattanooga, Tennessee, managed by Public Storage, sold. Together, the facilities comprise 154,840 square feet in 1,435 units with room for expansion. The two Chattanooga locations are three miles apart. The seller was represented in the transaction by Coe and Hatcher of The Hatcher Group of M&M.

---

9/2/21 – Self-storage properties are constantly changing hands, and Inside Self-Storage is regularly notified of these market transactions. Here’s an overview of activity happening in September 2021.

10 Federal Self Storage in Winston-Salem, North Carolina, sold to Burlingame, California-based RJR Road LLC for $3.7 million. The facility at 4955 Indiana Ave. comprises 50,000 square feet. The seller, 10FSS Indiana Ave LLC, is an affiliate of 10 Federal Storage LLC, which operates about 50 self-storage facilities in eight states.

AA Augusta Storage in Augusta, Georgia, sold. The facility at 2218 A Rosier Road comprises 10,075 rentable square feet. The seller was represented in the transaction by Sauls Storage Group LLC and Commercial Realty Services of West Georgia, affiliates of the Argus Self Storage Advisors, a Denver-based network of real estate brokers who specialize in storage properties.

AAA Storage Depot in South Plainfield, New Jersey, sold to a New York-based investment firm. The 1.3-acre property at 1500 Jersey St. contains four buildings comprising 33,552 square feet in 387 units. The buyer and the seller, who developed the property in 2003, were represented in the transaction by Linda Cinelli and Edan Cohen of LC Realty, an Argus affiliate.

Advance Self Storage Center in Hager City, Wisconsin, sold. The facility at 1563 US Hwy 63 was purchased and has been rebranded by Blue Sky Self Storage, which operates 27 facilities in seven states. It offers 61,560 net rentable square feet in 376 drive-up units and 62 vehicle-parking spaces. The seller was represented in the transaction by The Hatcher Group of Marcus & Millichap (M&M), a commercial real estate investment services firm with offices throughout Canada and the United States.

American Harbor Self Storage in Dallas sold to Simply Self Storage, which operates more than 120 locations nationwide. The facility at 7227 S. R L Thornton Freeway contains 15 single-story buildings comprising 65,950 square feet in 660 units. The seller, a private owner, was represented in the transaction by Dave Knobler, senior vice president of investments, Charles "Chico" LeClaire, executive managing director of investments, and Adam Schlosser, senior vice president of investments for M&M.

A-One Self Storage in Carroll, Ohio, sold to Rhino Storage Group, which operates 12 facilities in Ohio and Pennsylvania. The facility at 3900 Columbus-Lancaster Road N.W. comprises 222,430 net rentable square feet in 1,434 units and 46 vehicle-storage spaces. The seller was represented in the transaction by The Hatcher Group of M&M.

The three-property A-Plus Self Storage portfolio in Pennsylvania, sold. Together, the facilities at 617 Moon Clinton Road in Coraopolis, 4073 Constitution Blvd. in Darlington and 3739 New Castle Road in West Middlesex comprise 71,325 rentable square feet in 672 units. They were built between 2008 and 2010. The seller was represented in the transaction by The Hatcher Group of M&M.

SpareBox Storage, which operates 62 self-storage locations in six states, entered the Arkansas market with the separate acquisition of four facilities worth a combined $17.8 million. The transactions include Bentonville’s Best LLC at 10620 State Highway 72 in Bentonville and 805 & 570 S. Collins St. in Gentry. The other properties are Securecare Self Storage LLC at 13820 State Highway 279 in Hiwasse and Westside Storage Inc. at 1192 N. Rupple Road in Fayetteville. Launched in 2020, SpareBox is sponsored by Rizk Ventures, which owns and operates commercial and healthcare properties in eight states as well as Colombia, South America.

Budget Storage in Hutchinson, Kansas, sold to Laramie, Wyoming-based Storage Space III. The facility at 2511 E. 17th Ave. comprises 53,700 square feet. It’s near retail and the local airport. The seller was represented in the transaction by Larry Goldman of Goldman Investment Advisors, an Argus affiliate.

Colonial Self Storage in Montgomery, Alabama, sold to an out-of-state buyer. The 2.8-acre property at 1118 E. South Blvd. offers 54,620 rentable square feet in 481 units. The seller was represented in the transaction by Dale C. Eisenman, president of Midcoast Properties Inc., a commercial real estate brokerage focused on self-storage in Alabama, the Carolinas and Georgia.

Columbia Self Storage in Columbia, South Carolina, sold. Built on 3 acres, the facility at 3520 Leesburg Road comprises 14,750 rentable square feet in 79 units, seven offices and an apartment. The seller was represented in the transaction by Gabriel Coe and Brett R. Hatcher, investment specialists for The Hatcher Group of M&M.

Cooper Self-Storage at 1326-1327 National Highway in Thomasville, North Carolina, sold to AAA Storage Management 29 LLC for $5 million. The seller was the John L. and Linda M. Cooper Revocable Living Trust of Lexington, North Carolina. The buyer is an affiliate of Greensboro, North Carolina-based AAA Self Storage, which operates 18 facilities across the state.

Strategic Storage Trust VI Inc. (SST VI), a private real estate investment trust (REIT) sponsored by an affiliate of SmartStop Self Storage REIT Inc., acquired Coyote Lakes Cool Storage in Surprise, Arizona. Built in 2017, the two-story facility at 11658 W. Bell Road comprises approximately 72,800 square feet in about 665 units. It’s the fourth acquisition for the newly formed SST VI and the sixth property owned or managed by SmartStop in the Phoenix market. Based in Maryland, SST VI invests in self-storage and related real estate investments in Canada and the United States.

A CubeSmart-managed self-storage facility in Wakefield, Rhode Island, sold. Built in 2020, it comprises 56,130 net rentable square feet in 583 units and has rooftop solar panels. The seller was represented in the transaction by The Hatcher Group of M&M.

Another CubeSmart-managed facility in Grand Prairie, Texas, sold. It offers 93,970 net rentable square feet in 587 units and 35 vehicle-storage spaces. The seller was represented in the transaction by The Hatcher Group of M&M.

The two-property Dixie Storage portfolio in Radcliffe, Kentucky, sold to an out-of-state buyer. Located a half-mile apart, the facilities at 1736 S. Dixie Blvd. and 1295 S. Dixie Road comprise 31,300 net rentable square feet in 220 units. The buyer and the seller were represented in the transaction by Coe and Hatcher of The Hatcher Group of M&M. They were assisted by M&M Broker Colby Haugness.

REIT Extra Space Storage Inc. acquired four New Mexico facilities from Titan Development that were already under its management. Two of the properties are in Santa Fe, with one each in Albuquerque and Rio Rancho. Together, they comprise about 380,000 square feet. The facility at 1911 Ladera Drive N.W. in Albuquerque comprises 103,000 square feet, while the two-building location at Corrales Road and Highway 528 in Rio Rancho encompasses 88,000 square feet. In Santa Fe, the property at 2977 Rodeo Park Drive E. is 101,000 square feet, while the facility at 1410 Vegas Verdes Drive is 88,000 square feet. These self-storage assets were the last four in the Titan Real Estate Development Fund I portfolio, which was established in 2017 by Titan Development, a real estate development and private-equity firm. Headquartered in Salt Lake City, Extra Space owns or operates 1,973 self-storage properties in 40 states and Washington, D.C. The company’s properties comprise approximately 1.4 million units and 152.6 million square feet of rentable space.

Buchanan Street Partners, a real estate investment firm, purchased a newly built Extra Space Storage facility in Chula Vista, California. The asset sold for $26.4 million in an off-market transaction. The seller was HomeFed Corp., the master-plan developer of the neighboring Village of Escaya. The three-story building at 3296 Heritage Road comprises 95,000 square feet. Self-storage owner and management company The William Warren Group will oversee the property, which will be rebranded as StorQuest Self Storage. Based in Newport Beach, California, Buchanan focuses on investing in commercial and multi-family direct ownership and debt investments.

A Spring, Texas, facility managed by Extra Space Storage sold to an institutional partnership. The 4.5-acre property contains nine single-story buildings comprising 74,845 square feet in 529 units and 51 vehicle-storage spaces. The seller, a Texas-based partnership, was represented in the transaction by Knobler and LeClaire.

A Surfside Beach, South Carolina, facility managed by Extra Space Storage sold for $9.7 million to Prime Group Holdings LLC, a New York-based real estate group that owns self-storage and other types of real estate. The 6.39-acre property at 610 US-17 Business contains six single-story buildings comprising 60,295 square feet in 706 units. The seller was represented in the transaction by James Ashley Compton, national director of the Self Storage Group for Colliers International.

EZ Werks Storage in Tomball, Texas, sold. Opened in January 2020, the facility at 23512 Kuykendahl Road comprises 59,975 rentable square feet in 504 units and 10 vehicle-storage spaces. It has room for expansion. The seller was represented in the transaction by The Hatcher Group of M&M.

K2 Storage in Seguin, Texas, sold to New York-based AGAP Seguin Lettau LLC. The facility at 122 Lettau Ave. comprises 53,650 square feet in 321 units. The seller, KTCK2 Management LLC, was represented in the transaction by Bill Bellomy and Michael Johnson of Bellomy & Co., a commercial real estate firm with offices in Austin and Houston, Texas. Bellomy and Johnson also procured the buyer.

Lone Star Boat Storage in Port O’Connor, Texas, sold to a personal trust. The facility at 2417 W. Monroe Ave. comprises 77,358 square feet. The buyer and the seller, a private investor, were represented in the transaction by Knobler of M&M.

North West Hills Self Storage in Temple, Texas, sold. The facility at 515 Cottingham Drive comprises 69,075 square feet in 443 units. The seller, an individual, was represented in the transaction by Jon Danklefs and Arol Horkavy, investment specialists for M&M.

Oracle Mini Storage in Tucson, Arizona, sold in conjunction with another Pinal County property for $3.7 million. Spanning just under half an acre, the storage facility contains 125 units. The seller was represented in the transaction by Jeff Gorden, president of the Gorden Cos., an Argus affiliate.

Phoenix-based U-Haul International Inc. acquired Pinnacle Self Storage in Dayton, Ohio. Constructed on nearly 7 acres, the seven-building facility at 4892 Burkhardt Road comprises 327 units. The property will be managed remotely. Established in 1945, U-Haul owns and manages more than 72 million square feet of storage space nationwide.

United Storage of America in Swansea, Massachusetts, sold to 2121 Burleson Storage LLC for more than $6.3 million. The 468-unit facility at 1614 Grand Army of the Republic Highway was built in 2000. The seller was Angels Meadow LLC.

A three-property self-storage portfolio in Georgia sold to an investor whose interests are primarily in the multi-family sector. The portfolio includes a primary facility in Watkinsville, along with satellite locations in Arnoldsville and Crawford. The seller was represented in the transaction by Sauls Storage Group and Commercial Realty Services.

A newly constructed self-storage facility in Athens, Alabama, sold to an out-of-state buyer. The property, about 25 miles from Huntsville, Alabama, comprises 60,234 square feet in 460 units. The seller was represented in the transaction by Coe and Hatcher of M&M.

New Sources:
IPE Real Assets, Open-Ended ASB Fund Partners Arcland to Buy Self-Storage Portfolio
JLL, New Suburban Self-Storage Facility Near Austin Sells
List Self Storage, Berkshire Hathaway Sells Myrtle Beach, SC Self Storage Facility
List Self Storage, Colliers Consults on $20 Million Self Storage Deal
List Self Storage, Jeff Road Extra Storage
List Self Storage, Public Storage (Managed) Three Property Portfolio
List Self Storage, Recent Closings: 9.7.21 – 9.13.21
List Self Storage, Storage 365 Centerville
Marcus & Millichap, Marcus & Millichap Arranges the Sale of a Self-Storage Facility With Freeway Frontage and Expansion Land in Bryan, Texas
Multi-Housing News, Portland-Area Self Storage Commands $20M
PR Urgent, American Storage in Ellijay, GA, Sold
REBusiness Online, Bellomy Negotiates Sale of 256-Unit Self-Storage Facility in North Houston
REJournals, Marcus & Millichap Sells 44,100-Square-Foot Self-Storage Facility in Kentucky
Business Wire, KKR Grows Self-Storage Portfolio With New Acquisitions in Major Sun Belt Markets
Globe Newswire, InSite Property Group Acquires A Storage Center in Tacoma, WA
Marcus & Millichap, Marcus & Millichap Arranges the Sale of a 56,650-Square Foot Self-Storage Facility
Marcus & Millichap, Marcus & Millichap Arranges the Sale of a 68,715-Square Foot Self-Storage Facility
Multi-Housing News, Self Storage Facility Commands $49M
PR.com, Argus Broker Affiliates Announce Sale of Minnesota Self Storage Facility
RE Journals, Marcus & Millichap Sells 61,560-Square-Foot Self-Storage Center in Wisconsin
Valdosta Daily Times, SpareBox Storage Acquires 28 Stabilized Self Storage Properties in Michigan and Ohio

 

Previous Sources:
Market Screener, Self Storage: Jeff Gorden of The Gorden Group Arranges the Sale of Oracle Mini Storage in Tucson, Arizona
PR.com, Argus Broker Affiliates Announce Sale of Georgia Self Storage Facility
REBusiness Online, Buchanan Street Partners Buys Self-Storage Facility in Chula Vista, California for $26.4M
Business Wire, Strategic Storage Trust VI, Inc. Acquires Self Storage Facility in the Phoenix Metropolitan Area
Multi-Housing News, Investment Trust Buys Phoenix-Area Self Storage
PR.com, Argus Broker Affiliates Announce Sale of Georgia Self Storage Portfolio
PR Newswire, U-Haul Now Operating at Former Pinnacle Self Storage in Dayton
The Herald News, Greater Fall River Real Estate: Swansea Storage Complex Sells for $6 Million
TB&P, Real Deals: Self-Storage Startup Locks Up 4 Properties for $17.8M
Winston-Salem Journal, Thomasville Self-Storage Property Sold for $5 million
Winston-Salem Journal, Winston-Salem Self-Storage Facility Sells for $3.7 Million

When self-storage operators think about marketing, they often assume it involves grand, extravagant expenditures. But the truth is, you can market your facility without breaking the bank. The trick is to make the best use of the dollars you have to spend—however many they might be. You need to create and adhere to a budget.

A solid budget will help you keep your goals in focus and costs under control. Building one may feel like a monstrous task, so let’s break it into manageable parts:

• First, you need to identify and define your marketing goals. These can be large or small, something as simple as getting more phone inquiries or filling a specific unit size. Write them down, be specific, and keep them simple. An example would be something like, “rent all 10-by-10, climate-controlled units at a 12% profit,” or maybe you’d like to attract more college students or business renters. Set a tentative deadline for each objective.
• Set your total budget amount. This involves a bit of math, but nothing too strenuous. The numbers are entirely within your control and should reflect your means and goals.
• Decide what types of marketing programs and initiatives you want the budget to cover.
• Update your budget based on results.

Now, let’s look at these last three steps in more detail.

Setting a Budget Amount

To set your budget limit, review your current self-storage revenue and decide on a percentage of income you’re willing to devote to your marketing spend. Consider these three approaches:

Safe. A safe marketing budget would be 1% to 5% of facility revenue. You can quickly recoup this expenditure with unit upsells, add-ons, late fees or retail extras. There’s a tiny bit of wiggle room for you to play and get your toes wet. If your business is barely breaking even and you'd like to give paid advertising a go, this gives you enough to start.

With a safe budget, it makes sense to have someone in house do the work. For example, if you have an employee with a talent for web development, graphic design or some other marketing skill, this is an ideal way to test the waters. If you’re looking to outsource, you'll need to account for agency fees.

Objective. With an objective budget, plan to spend 4% to 12% of your current revenue. This is the better choice of you plan to outsource. It allows you to use pursue multiple marketing avenues at once, ensuring access to a broader audience and potential client pool.

Most self-storage marketing agencies have package deals you can buy to get started. Just remember two things. First, you need to know the company’s area of expertise. If it doesn't know self-storage, keep looking. Second, what are the guarantees? An agency should be able to show you results. What does it have to offer and in what timeframe? Ask questions, and if you’re uncomfortable with any of the answers, look elsewhere.

Adventurous. If you’re ready to spend money to make money, go for this option, which is usually 15% to 30% of revenue. While this is a big number, it can pay off in significant ways. It’s a simple approach, really:

• Hire a full-service marketing agency with self-storage expertise.

• Let the experts tell you where and how to spend your money.
• Sit back and let the revenue roll in! While there are always exceptions, making this level of investment will surely yield results.

Choosing What to Buy

There are many ways to market your self-storage facility, and new options seem to pop up all the time. Still, they generally fall into one of four buckets: digital, print, mass media and community (also known as grassroots). As you decide how to allocate your budget, you may want to try a bit of each.

Digital marketing. This includes things like social media, Google Ads and online business listings. It’s perfect for reaching large audiences and engaging customers. Digital marketing has quick uptime and gives you unlimited customer interactions. You generally have exclusive control over visuals and context, plus it’s easy to track via analytics. That said, it does require some know-how to leverage it properly, so if your staff doesn’t have experience in this area, consider hiring an expert.

Print marketing. This includes billboards, banners, yard signs, doorhangers, fliers, brochures, business cards and mailers. Print materials are great for that flash of wow. Your message can be personal and local, and you can control the distribution. They’re also ideal for sharing with neighboring businesses! The biggest drawback is print can be easy for customers to ignore. It’s also nearly impossible to track without specified promotions or custom contact information. (More on that below.)

Mass media. Local TV or radio commercials, or ads in local newspapers are ideal for reaching a non-technical audience and promoting brand awareness in the community. You can even target customers geographically. On the flip side, it takes time to set these up, and they can be pricey. They can also be difficult to track unless you’re using a specific promo code or contact number or email with each campaign. There may also be aspects of the presentation that are out of your control.

Community (grassroots). Connecting with local residents and businesses is the best way to become a part of your community and gain brand recognition. You can participate in local events or sponsor businesses or sports teams. Consider school fundraisers, collegiate events and donation drives for nonprofits. Much like print and media, these can be difficult to track.

Change It Up

Once you've decided on marketing budget, you’re by no means stuck with it. Just remember that where you choose to spend your marketing money plays a considerable role in the success or failure of your self-storage business.

One of the biggest mistakes operators make is to stick with a campaign or method that isn’t working,. If a strategy isn’t successful for your operation, move on to something else. You’re free to adjust your plan at any time. It’s helpful to note that it usually takes up to four months to really see the results of any marketing campaign.

How can you tell if a campaign is working? With tracking, of course! Consider some combination of the following:

• Survey: Ask customers how they found you. This approach is simple, straightforward and perfect for do-it-yourselfers and in-house marketing teams.
• Analytics: Most digital marketing comes with analytics. You might need help deciphering the numbers, but they’ll show you where your traffic comes from and what interactions were taken with each campaign.
• Unique information/codes: Use an exclusive phone number, email or promo code with every marketing campaign, which makes it easy to track the leads generated from each.

Don’t be afraid to try multiple strategies at once; just remember to track them separately. Once you’ve gathered your tracking data, you can see how each marketing method is performing and the return on investment. Based on that information, you may decide to tweak your allocations.

There’s no exact science to self-storage marketing. It’s more of a template that leads you in the right direction. Once you’ve stumbled on a formula that works, you’ll have to remain fluid. Marketing is constantly evolving. As such, your goals, planning and budgeting should be, too. So, are you ready to market?

Mohala Johnson is the director of web technology for Tellus Development Ltd., a real estate and development firm that operates more than 30 self-storage facilities in the Southeast. With more than 10 years of management and customer-service experience, she handles the company’s digital and print marketing. Writing has always been a passion of hers, and she’s excited to share her knowledge with the self-storage industry. Connect with her @MohalaJohnson on Twitter or www.linkedin.com/in/mohalajohnson.

Storage King, which operates 29 self-storage properties in the United Kingdom, is giving financial support to YoungMinds, a U.K. organization that provides mental-health awareness and services to children and teens. A portion of all new Storage King unit rentals will be allocated to assist the charity in its endeavors, according to a press release.

“We are incredibly excited to be Storage King’s charity partner who, through their fundraising and awareness-raising, will help to show young people that they’re not alone with their mental health,” said Vanessa Longley, director of development for YoungMinds. “The pandemic has had a devastating impact on children and young people’s mental health, and we are grateful that the money Storage King raises will significantly help us to be there for young people at this truly crucial time.”

In addition to helping kids and teens, YoungMinds assists their parents, teachers and other adults with whom they interact. The group offers online resources and training courses, and authors reports and surveys. It recently published a study in which 67% of young respondents said they believe the pandemic will have a long-term negative affect on their mental health. An estimated five children in every U.K. classroom grapple with a mental-health issue, the release stated.

“When we were placed under the first lockdown, it put significant mental strain on everyone throughout the U.K., regardless of age or social status,” said Storage King CEO Robin Greenwood. “As a business, we knew that we had to focus on driving awareness of mental well-being and support organizations [that] are on the front line each and every day, helping those in need during what can only be described as an incredibly difficult and uncertain time. We are greatly appreciative of our partnership with YoungMinds and look forward to making a positive change alongside them.”

The Storage King portfolio includes owned facilities as well as properties under licensing and management agreements. It was acquired in 2017 by Stor-Age Property REIT, which operates the Stor-Age Self Storage brand in South Africa.

The city council in Clanton, Alabama, this week unanimously approved two changes to its zoning ordinance that’ll prohibit self-storage development along its highways. The Sept. 27 vote also created new requirements for metal buildings in these areas.

Self-storage development will be prohibited on Alabama State Routes 22 and 145 as well as U.S. Highway 31 and Lake Mitchell Road within the city limits. Self-storage is allowed in the M-1 manufacturing district, and the ordinance doesn’t apply to existing facilities.

The second change requires metal buildings outside the manufacturing zones near these highways to incorporate masonry on the entire structure. The design plan will also need to be approved by the Clanton Planning Commission.

Source:
The Clanton Advertiser, Clanton Adds Requirements for Self-Storage, Metal Buildings

CubeSmart, a self-storage real estate investment trust (REIT) and management company, has been named to the “Soaring 76 List” of fastest-growing companies in Greater Philadelphia by the “Philadelphia Business Journal.” The list recognizes local businesses that have “sustained strong financial performance over a three-year period,” according to a press release. CubeSmart is headquartered in Malvern, Pennsylvania.

“We are proud to be contributing to our hometown economy and to be recognized by the ‘Philadelphia Business Journal,’” said Christopher P. Marr, president and CEO. “We have a strong operational platform and a talented team with a proven track record of execution, which generates meaningful growth for all of our stakeholders.”

Earlier this month, CubeSmart was one of five self-storage operators named among “America’s Best Customer-Service Companies” for 2022 by “Newsweek” magazine and data-research firm Statista. In August, it was recognized as one of the “50 Most Engaged Workplaces in North America” in 2021 by Achievers, which offers a cloud-based employee-engagement program. The annual campaign recognizes top employers that display leadership and innovation in engaging their teams.

CubeSmart owns or manages 1,252 facilities nationwide. Its operating portfolio comprises 87 million square feet.

Source:
CubeSmart, CubeSmart Ranked as One of Philadelphia’s Fastest-Growing Companies in 2021

Update 9/29/21 – BDG has closed on its first three self-storage acquisitions under Boardwalk Storage Fund IV. The properties in Alabama, Georgia and Tennessee will add about 128,000 square feet to the company’s portfolio.

The purchases include a 31,000-square-foot facility Opelika, Alabama; a 36,000-square-foot property in Dahlonega, Georgia; and a 61,000-square-foot location in Chattanooga, Tennessee. All three will be expanded, according to a press release. The Dahlonega project will add 27,000 square feet of climate-controlled space, while the other two will get more traditional, climate-controlled and boat/RV-storage space.

---

8/24/21 – BDG has launched its fourth self-storage investment fund. Similar to Fund III, Boardwalk Storage Fund IV will pursue property acquisitions in secondary and tertiary markets throughout the Southeast. BDG plans to use the vehicle to purchase 12 to 15 cash-flowing facilities with the intent of operating them with “low-cost automation,” such as self-serve kiosks and online rentals, according to a press release.

The company didn’t disclose the amount of the fund but indicated it has raised $15 million from a private-equity group and high net-worth investors.

---

7/28/20 – Boardwalk Development Group LLC (BDG), a private-equity investment company focused on self-storage, has launched Boardwalk Storage Fund III, intended for storage-property acquisitions in secondary and tertiary markets throughout the Southeast. BDG plans to use the fund to purchase “stable and cash-flowing” facilities with the intent of operating them with “low-cost automation,” such as self-serve kiosks and online move-in features, according to a press release.

BDG didn’t disclose the amount of the fund but indicated it received capital from a private-equity group. The acquisition strategy is in line with its previous funds and comes on the heels of expanding corporate leadership through hiring directors of acquisition and development. The company launched an $80 million fund in 2017, a year after it’s initial $10 million fund.

Founded in 2016 by Raj Sheth, BDG is a real estate acquisition, development and management firm based in Suwanee, Ga., a suburb of Atlanta. It operates 11 self-storage facilities in the Southeast and plans to acquire more than 100 storage properties in the next five years.

When faced with an old metal roof that no longer looks or functions as it should, most self-storage owners will naturally think they need to remove the existing roof and install a new one in its place. But doing so would mean exposing the building’s contents to the elements. It would also require security for those exposed storage units. Thankfully, there’s a simpler, safer way of getting the job done without disrupting daily operation.

Retrofitting is an excellent alternative to roof replacement. Structural steel sub-framing members are installed on top of the existing roof, fastened through to the building. The members are designed so the new roof can meet all current wind- and snow-load code requirements, and there are a plethora of other benefits. Let’s look at what they are and some important factors to consider.

Time to Make Upgrades!

A retrofit provides the perfect opportunity to make key improvements to your self-storage roof system. First, you’ll have the chance to upgrade an older screw-down or through-fastened metal roof to the newer standing-seam type that’ll have few if any exposed fasteners. This is an option you don’t have if you remove the existing roof without making significant structural modifications to the framing.

Workers creating airspace between the old and new roof

Retrofitting also creates an airspace between the old and new roof structure, which is an opportunity to add insulation for energy efficiency. Sub-framing systems can be designed for different heights to reach greater R-values, enabling a self-storage owner to turn a traditional storage building into a climate-controlled structure.

The airspace can also be used to create a dynamic, convective ventilation system for non-climate-controlled buildings. This is what they call “above sheathing ventilation.” Basically, it takes the heated air beneath the new metal roof and ventilates it through the ridge of the building. The benefit is the roof becomes a radiant barrier that reduces heat transfer through its assembly by as much as 45%. This system can be integrated with new insulation as well.

Finally, once the retrofit is complete, consider adding photovoltaic solar panels. With the use of specialty attachment clamps, these panels can be secured to the new roof without any penetrations, and standing-seam metal roofs make an excellent platform. In fact, they’re the only roof system with a longer lifespan than the solar panels themselves!

Solar-panel systems have declined in price to where they’re much more affordable. Plus, there are many incentives to offset the costs. They can supply your self-storage building with all or most of the electricity it needs. You might even be able to sell the excess to the energy company and generate revenue for your business!

Solar panels on a standing-seam metal roof

Other Benefits of Retrofitting

Long lifespan, low lifetime cost. Metal roofs require very little maintenance and outlast roofs made of any other material. Because they have the best lifespan, they also have the lowest lifetime cost. Several metal-roof products have finish warranties of up to 40 years. New Galvalume, standing-seam roofs have a service life of 60-plus years! This is roughly three times the life of the nearest competitive product. When you invest in a retrofit, it’s comforting to know the roof will perform properly for decades to come.

Code compliance. By using a fully engineered retrofit sub-framing system, the new self-storage roof will meet today’s strict wind-uplift and snow-load requirements. It’ll be designed to reinforce to the roof zones most affected by Mother Nature.

Insurance benefits. More insurance underwriters want to know the self-storage property they cover complies with current building codes. A retrofit system will demonstrate your conformity.

Federal tax credits. Putting a new roof on a commercial building is a large expense that usually requires planning and budgeting; however, changes in the tax law allow owners to expense a new commercial roof in a single year, making it less of a financial burden. The Tax Cuts and Jobs Act of 2017 allows self-storage owners to deduct the full costs of a roof replacement up to $1 million in the year it’s completed. If your facility needs a new roof, the one-time deduction might make it more affordable. Check with your tax professional for advice.
 

Retrofit framing over an existing roof

Find a Specialist

Before you proceed with a self-storage roof retrofit, find a contractor who specializes in roofing for metal buildings. The typical roofer might be skilled with shingles, or built-up or single-ply systems, but metal roofs are totally different. I suggest you call your building manufacturer for a recommendation, as it’ll have a network of builders and installers. If the roof is repairable, this’ll protect any remaining warranty you may have. (Be careful to not inadvertently void your warranty with an improper patch or coating.)

A metal roof is a top-of-the-line system, but you need an experienced company to guide you. Ask any provider you consider for your retrofit how it intends to do the work and request references.

Before starting a roof replacement, consider the many benefits a retrofit can provide. I’ve given you lots to consider! Just one final thought: By employing integrated retrofit technologies, there are several ways in which your project can pay for itself, and what self-storage owner doesn’t like that?

Dale Nelson is president of Roof Hugger LLC, a Tampa, Florida-based manufacturer of retrofit framing systems for existing metal roofs. Dale holds contractor and real estate broker licenses in Florida. He’s been in general contracting since 1973, constructing commercial and industrial buildings of all construction types including wood column and beam, masonry, formed and poured, tilt-wall, and pre-engineered steel buildings. For more information, call 800.771.1711.

When a self-storage tenant fails to pay their monthly rent, the facility operator has a legal remedy they can invoke to address the problem: the state’s lien law. By following the process correctly, the business owner can recoup lost revenue and regain the space. However, even when lien-sale protocols are followed meticulously, complications can arise. For example, the defaulting tenant might push back and demand a lien hearing to state their case and possibly stay the sale.

Do you understand what a lien hearing is, how it works and what to do if a customer requests one? In this thread on Self-Storage Talk, the industry’s largest online community, members are sharing what they know, how they’d react, and whether their lien letters and rental agreements address the topic. Read their advice and share your own experience with this type of legal appeal.

As a self-storage operator, what are you supposed to do when a law-enforcement officer requests information about one of your tenants or wants access to an occupied unit? Understanding your rights is crucial, especially as the resulting search has implications for the customer, your business and the law-enforcement agency.

Any concern is absolutely justified. After all, it’s disconcerting when police arrive, as it suggests there’s a problem on your property. It’s up to you as the owner or manager to properly handle the investigative process that’s about to occur. In general, here’s how you want to respond:

• Be friendly and cooperative. Although the situation may be unnerving, you’ve done nothing wrong, so there’s no reason to not be helpful and polite.
• Ask for identification. Depending on what’s being asked, explain that you’ll need to prepare an incident report and, therefore, need the officer’s name and contact information. They’ll likely have a business card, which is sufficient.

If the officer simply asks for what you’ve seen and heard concerning a situation, you can go ahead and provide that information. There are no privacy concerns about what you may have personally witnessed. There will be times, however, when an officer requests private tenant information or unit access. These cases could require a subpoena or search warrant. Consider the following guidance to understand what to expect and how to protect your business from liability.

When Is a Subpoena Necessary?

A subpoena is a court order. It doesn’t entitle the right to search but does require the recipient to produce the requested information. There are many situations in which a subpoena would be necessary. For example, if an officer asks to view a self-storage tenant’s file, which contains personal information such as address, Social Security number, billing info, etc., you’re within your rights to deny such a request until a subpoena is provided.

However, there are times when police can demand such information without a subpoena, such as during “exigent” circumstances when a person’s life is at risk. You should never refuse to provide information when an officer demands its turnover. That’s why it’s important to prepare an incident report to record the event. It may later turn out the search was unreasonable. If it was, you can’t be held responsible for providing the information, since its disclosure was incident to a demand from law enforcement.

Normally, a self-storage operator would resist providing information about a tenant based on a concern that they’re infringing upon that customer’s privacy rights. In most cases, it probably isn’t a violation to disclose the names of the tenants at your facility, as that information is part of the business records. However, for the company’s protection, it’s probably best to request that the officer first obtain a subpoena for the documents before you provide copies of any tenant files.

When Is a Search Warrant Needed?

If an officer asks to enter a self-storage tenant’s unit, the answer is the same as with a subpoena. Generally, you’re within your right to deny such a request until a search warrant is provided. But again, there could be exigent circumstances in which you shouldn’t refuse. The general rule is that the search and/or seizure of a tenant's property must be conducted only with judicial approval or, in other words, with a search warrant issued by the court entitling the officer to obtain access.

When an officer first requests access, ask them to produce the warrant. Review the document to confirm it properly identifies your storage facility as well as the tenant's name and unit number. If there’s any conflicting information, ask for clarification. For example, if name provided on the warrant doesn’t match the name of the person listed on the rental agreement for the unit in question, ask about it. Similarly, if you recognize the name but the unit number is wrong, let the officer know.

However, if the officer isn’t willing to clarify the warrant’s information and insists on proceeding with the search, don’t interfere. You aren’t expected to judge the correctness of a search warrant and can’t be held liable for obeying the commands of an officer acting within the scope of their authority.

Exceptions to Search Warrants

As in all legal matters, there are certain exceptions to these rules. First, you can clearly allow an officer access to vacant units or any areas of your facility deemed to be common. However, if said access has been provided and the officer decides a rented unit looks suspicious and requires further investigation, they should return with a search warrant.

Another exception would be when an officer seeks access to a unit for which the tenant is delinquent. If you’ve already overlocked the unit or, better yet, cut the tenant's lock to perform inventory, it appears to be your right to allow access to that unit without a search warrant.

The case of State of Colorado v. Upshur (Colorado Court of Appeals, 1996) raised the issue of the landlord’s right to provide access to law enforcement. A self-storage manager contacted police about a series of break-ins at the property. He then told them about his suspicions regarding a specific tenant, who happened to be delinquent on rent. The manager notified the officer of the default and the business’ right to enter the space under the lease. He then offered to cut the lock to allow police to search the unit. Upon entering, the officer observed weapons and explosive detonators.

As part of the defendant’s motion to suppress the evidence, they argued the tenant hadn’t been delinquent and, therefore, the manager didn’t have the authority to allow access. The court concluded that even if the manager was wrong in their belief as to the right to enter, the police took their action upon the “objectively reasonable belief” that the manager had the authority to allow access and upheld the lower court’s denial of the motion to suppress.

In State of Wisconsin v. Thiede (Wisconsin Court of Appeals, 1981), the issue of “expectation to privacy” was considered. In this case, a self-storage tenant’s unit was opened and inventoried as part of a lien sale. Those conducting the inventory found two boxes they believed to contain marijuana. They contacted the police, and the tenant was arrested and charged with drug possession.

In attempting to suppress the evidence found in the storage space, the tenant argued he had an expectation of privacy to the contents of his storage unit and a search warrant was required. The court disagreed, finding that both the tenant’s rental agreement and the applicable law permitted the landlord to enter the space. Furthermore, the operator could consent to the warrantless search based on the tenant’s rent default and their enforcement of the lien statute. There was a similar holding in Harris v. State (Arkansas Court of Appeals, 1984) in which the court held that a self-storage owner had the right to permit law enforcement to enter the unit because the rent was six months past due.

There have also been cases that addressed the issue of plain-view searches and reasonable access. In State v. Bobic (Washington Supreme Court, 2000), the court upheld a search by law enforcement of one storage unit when viewed by the police from an adjacent empty one. It found police were authorized to look into the locked unit through a hole in the wall.

In U.S. v. DeTurbiville (Ninth Circuit Court of Appeals, 2000), the court upheld the right of authorities to enter a locked storage unit where permission was provided, not by the tenant, but a friend who’d been given the key and code. The court found the tenant assumed the risk that their friend would allow others to enter the space, even police.

Search Warrants and Drug-Sniffing Dogs

Another issue that has come up in the context of self-storage and law enforcement is the right to have drug-sniffing dogs on the premises. In the case of State of North Carolina v. Washburn (North Carolina Court of Appeals, 2009), the defendant was being investigated for selling drugs based on a tip from an informant. Police were led to a storage facility, where they asked for permission to enter the premises and conduct a “random sweep” with a dog trained in drug detection.

The facility manager allowed the access, and the search was conducted in random areas. The police didn’t know where the defendant’s unit was located. Eventually, the dog alerted the officer outside a unit that turned out to belong to the defendant. A search warrant was obtained, drugs were found, and the defendant was arrested.

In seeking to suppress the evidence, the defendant claimed he had an “expectation of privacy.” The court relied on a number of federal decisions that clarified that the dog sniff of an area in front of a rented storage unit didn’t constitute a search. Moreover, in that the manager consented to allow the police to enter the facility, the need for an initial search warrant was obviated. The court found that police were on the property lawfully, and the motion to suppress was denied.

A similar situation led to a slightly different decision in State v. Carter (Supreme Court of Minnesota, 2005). In this case, the court agreed that while a drug-detection dog sniff in the area immediately outside of a self-storage unit isn’t a “search” under the Fourth Amendment of the U.S. Constitution, it would be considered as such under the Minnesota Constitution. Therefore, the need for probable cause must exist. Here, the facts that led to the search were found to be insufficient for the court, as statements that led to the issuance of the warrant failed to meet the basis for probable cause.

Easing the Way

As police searches at self-storage properties occur more frequently, facility operators should consider amending their rental agreements to explain their and protections in these matters. For example, the lease should state that the business retains the right to provide authorities information concerning all its tenants. Such provisions may make you feel more comfortable answering questions about a tenant instead of worrying that you’re violating privacy laws.

Scott I. Zucker is a founding partner in the Atlanta law firm of Weissmann Zucker Euster Morochnik & Garber P.C. Practicing law since 1987, he represents self-storage owners and managers on legal matters including property development, facility construction, lease preparation, employment policies and tenant-claims defense. Scott is a presenter at industry conferences and the author of “Legal Topics in Self Storage: A Sourcebook for Owners and Managers.” He’s also a partner in the Self Storage Legal Network, a subscription-based legal services for self-storage operators. To reach him, call 404.364.4626, or email [email protected].