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20.01.2014 admin
Revenue management for self-storage facilities is ultimately comprised of two components: the price of your units and managing price increases under existing tenants. While many self-storage operators may set their own prices, the process of managing price increases remains an area that most operators overlook or aren’t doing at all. The current known industry standard is to increase rent on existing tenants by 7% every 9 months. For example, if you get 90% of your business from drive-in customers and rarely hear that your prices are too expensive, maybe it’s time to raise prices. Raising prices can indeed seem tricky and a dangerous gamble, the greatest risk of all being that you may end up losing customers.
Essentially, it could be better to wait for the customer who is less price sensitive and will take the more expensive unit. In another case, if you only raise the price of your 10x10s and keep everything else the same, people who aren’t price sensitive will definitely take a 10×10 unit. At the end of the day, however, revenue management is an extremely tough process to do by hand, which is why Sitelink and other similar programs exist–they focus on changing prices based on occupancy at the unit level. Welcome.The Storage Facilitator is the modern self-storage professional's destination for useful education, intriguing news, diverse expert perspectives, technology updates, and beyond. Get our free white paperThe Four Pillars of Profitable Self-Storage Management is an in-depth resource that empowers facility owners and managers to get more out of your business and stay ahead. The information contained herein has been obtained from third parties and we cannot guarantee the accuracy or completeness of the information.
Storage unit auction finds are fast becoming a popular way to earn stay at home mom income. With the economy being as hard as it is right now, many people are unable to pay the rent on their storage units. Simply click the link for more information on how you can participate, and save some money this year. A popular show on A&E called Storage Wars highlights this very idea and takes it a step further by setting up a storage unit auction. Often they only get a few minutes to take a peek at the contents of the unit and then the bidding war begins. This strategy is another way to locate items for resell on eBay, Craigslist, or even at flea markets. If this is something that interests you, you will definitely want to check out the video course Insider Secrets To Making Money With Storage Auctions.
Insider Secrets To Making Money With Storage Auctions - The Auction Hunter's Guide To Winning The Storage Wars. As mentioned in Insider Secrets To Making Money With Storage Auctions, storage unit owners aren't concerned with what's in the unit itself.
Insider Secrets To Making Money With Storage Auctions also talks about the types of things that can be found in storage units. If you are going to a storage unit auction with the intention of bidding, you may need to bring transportation big enough to carry away whatever is in the unit. The Insider Secrets To Making Money With Storage Auctions video course can help guide you in making these decisions. If you are worried about bigger items, like a car or motorcycle, don't forget about Craigslist.
My husband is absolutely obsessed with starting a business with storage shed auctions so we've been to several of them.
We bid, it got up to $800, and we made the decision to pass on it because there were still 3 more units. The next units consisted of a drawer-less dresser, and two units full of what looked like trash.
If you need guidance in learning more about the exciting world of a storage unit auction, be sure and check out the video course Insider Secrets To Making Money With Storage Auctions! The climate-controlled facility recently signed a new tenant that has transformed the rooftop on the two-story building into an urban farm. Five years ago, Wave Self Storage owner Beau Reinberg was living with his wife and children in downtown St. One of the big stumbling blocks for expansion for the non-profit has been finding available land for long-term lease.
Urban Harvest installed a green roof system on the entire roof of the self-storage facility. Taking an unused space and transforming it into space that a community can use is a growing trend nationally, especially in urban centers where green space is in short supply. Adding the rooftop garden made further sense for Wave Self Storage because Urban Harvest paid to put a brand new roof on the building that would be able to accommodate the farm over the long-term. Creating a green roof also has broader sustainability benefits for a community in that it helps to reduce the heat island effect, mitigate storm water run-off, increase biodiversity and clean the air, Ostafi said.

The biggest determining factor is structural capacity to support the added weight of a rooftop farm or garden. A harvest of Scotch Bonnet peppers, just one of the many crops grown on the Food Roof Farm.
One of the things that really made the Food Roof Farm work is the caliber of people behind the project, Reinberg said. Urban Harvest is a very professional organization that has done a good job of keeping their operation clean and well maintained, Reinberg said.
This is a very interesting development project indeed that is also rare at the same time in most neighborhoods. Savvy self-storage operators always are on the lookout for ways to ramp up revenue, boost foot traffic and gain a competitive edge in a growing industry.
Over the years, properties have dabbled in a variety of business endeavors, ranging from selling packing and shipping supplies to hosting cell towers.
Bledsoe’s company manages a portfolio of about 30 self-storage facilities, primarily in the Mid-Atlantic region. Most self-storage operators like the idea of having a billboard or a cell tower on site that can generate additional income without a lot of extra work.
Compass Self Storage has operated a variety of business lines within its self-storage facilities over the years, ranging from filling propane tanks to hosting an on-site post office.
Business centers and pack-and-ship operations in particular can be a boon to revenue and foot traffic at self-storage facilities, Bledsoe said. Especially for self-storage properties that are in the lease-up stage, UPS franchises are a great way to get in front of new customers.
Certainly, adding an on-site business to a self-storage facility comes with challenges or potential pitfalls. In some cases, a side business might not be a perfect match with a self-storage facility, and that can cause a bigger management headache. In fact, Compass Self Storage has downsized or eliminated other business ventures at its properties, Amsdell said. If you’ve never had a customer call and balk at your prices for being too expensive, then maybe you’re underselling.
But if your customers are price sensitive, they may take another unit that’s cheaper than the 10×10. But Keith wanted to remind operators that there are also some basic pricing tactics they can do on the fly. This white paper identifies major trends and best practices in rate management, occupancy analysis, rental contracts and profit management. Old sewing machines, comic book collections, treasure chests full of pirate gold -it makes the imagination go crazy thinking about all the wonderful little gems that could be hiding away in one of those things. When that happens, the storage facility claims the contents of the unit and can then resell whatever is inside by auctioning it off to the highest bidder.
What's fun about this show is that you never know how much something inside the unit could be worth. Half the fun of attending storage shed auctions is the thrill of not knowing what could happen. The old saying about one man's trash is another person's treasure could definitely be applied to the methodology behind a storage unit auction.
They want to free up the property so it can be rented again and just need the space cleaned out. Cars, stoves, sewing machines -these are just a few things that you might find, but often it's the smaller treasures that can bring in more money for reselling. While selling them on eBay or at Half Price books is certainly on option for making a little money off of them, look into Amazon's FBA option (fulfillment by Amazon). The first time we spent half a morning going to 3 separate storage unit locations which one auctioneer was running. You could tell everyone was wondering if the boxes were filled with household items or if they really had the speakers inside. Join me in my fantastic company and let me train you on how to build a successful business.
Most of the property downtown was either already in use by buildings or parking lots, or was very expensive.
It took about four years of planning and extensive fundraising for it to get off the ground.
At the same time, property owners are increasingly recognizing the rooftop as an underutilized building amenity that can add value to a property. Urban Harvest pays rent for its rooftop space at Wave Self Storage—close to $10,000 per year.
They visited other rooftop farms, such as the Brooklyn Grange Farm in New York, and talked with farmers to get an idea of what worked and what didn’t.

However, nothing is impossible as long as hard work and cooperation are being put in place.
Those added business lines not only are on the rise, but are expanding to include complementary business operations such as on-site truck rental, business centers and pack-and-ship franchises. Storage Asset Management manages self-storage properties but often is charged with managing other on-site businesses that have included concepts such as Budget and Penske truck rental, as well as franchises for The UPS Store. Now, offering more products and services, such as rental trucks and moving supplies, is standard for many self-storage facilities, said Todd Amsdell, president and CEO of the Amsdell Cos. Those sidelines work on a case-by-case basis, depending on the property, the location and the surrounding customer base, Amsdell said.
As of mid-June, Storage Asset Management managed three locations that include UPS Store franchises. The small business customers that frequent those stores also are an attractive target market. Meanwhile, small business customers who use self-storage might use UPS for mail delivery, printing and shipping.
Like any business, it’s important to have good staffing and good managers to operate these side businesses. For example, properties that also run truck-rental operations must consider that people will be calling every day to reserve trucks, and to pick up and return those vehicles. Having managers filling propane tanks or tackling other tasks that aren’t relevant to the self-storage customer can take attention away from the primary self-storage business, Amsdell said. And while this little nugget of wisdom is useful, it’s hardly easy information to acquire by an individual facility–you may know your own occupancy, but not those of your competitors. In extreme cases, you’re turning the customer away and putting them somewhere else–but don’t forget that you have a range of products, and that a lot of them are interchangeable.
If someone shows up at your facility with no other storage options, for example, he suggested charging them the full amount. Vintage clocks, antique cameras, a box of old baseball cards and even motorcycles are sometimes left in storage units, too.
It had a woodstove in it, a guitar case, some furniture, a fridge, and tons of nice looking boxes. His wife was involved in community garden program where she rented a plot from Urban Harvest to grow fresh produce for their family. But, Urban Harvest opened its Food Roof Farm on the roughly 9,000-square-foot roof of the storage facility this past summer.
They also are using raised beds for a community garden, hydroponic towers, container gardening and a greenhouse. Building owners are converting those rooftops to community gardens, rooftop restaurants or other event space as a way to add value.
The 17,000-square-foot-facility has 250 climate controlled storage units on three levels including the basement. The roof needs to be sound in order to act as a waterproofing membrane and a root barrier for the plants. Lots of prime real estate there and a much better idea than boring old solar panels at any rate! The self storage owner has got nothing to lose renting out its roof space toward a good cause while being paid rent. The typical location is about 1,200 square feet, compared with 500 to 700 square feet for a self-storage office. So, it’s important to have staffers in place who understand domestic and international shipping laws, know how to run digital printers and can notarize documents. They work with advanced statistical models, something for which most self-storage operators have neither the resources nor time. As such, most facilities will manage their businesses until they’re at 70% occupancy before beginning to think about revenue management and raising prices.
Reinberg was helping out with the watering one day and happened to meet Urban Harvest Director Mary Ostafi and her husband Joe. The expectation is that the Food Roof Farm will generate utility savings of 20 to 30 percent during the summer and up to 40 percent during the winter, Reinberg said. It also has to be a flat roof with good sun exposure, which is not always easy in cities where there are a lot of tall buildings. However, the self-storage locations offer the same services as bigger stores, such as mailboxes, packing-and-shipping supplies and services, printing services and computer services.

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