There are 300,000 things in the average American home. U.K. and E.U. homes aren’t far behind. People are drowning in stuff! The self-storage business continues rapid growth.
Industry estimates a value of $49.24 billion by 2024, a 135% increase. Self-storage business entrepreneurs know it takes certain features to capture customers.
To clarify, first-class storage facilities command first-class prices. Consumers want safety, security, privacy, convenience, and more. Above all, self-storage owners want easy maintenance, long life, and low operations costs.
Looking to upgrade or renovate your storage facility? Read on to learn more.
Give the Customer What They Want
The mini-warehouse business started in the U.S. in the 1960s. Today, there are now more than 2.5 billion square feet of rentable space in the U.S. There are nearly 45 million square feet in the U.K.
In short, demand shows no signs of stopping.
Historically surplus real estate, self-storage facilities evolved into purpose-built buildings. The self-storage business is one of the most efficient real estate investments available. You need little capital to develop storage units compared to office buildings or homes.
Trends in self-storage include storage valet services, “pod” storage and indoor climate control. So, demand for solo-entry drive-up facilities has not abated.
Location, Location, Location
The old real estate advice about location holds true for self-storage. Storage facilities depend on traffic and the market for customers. A location close to universities or military bases has more demand than a more rural facility.
Visibility and ease of access affect demand. Certainly, people need to see your location and get to your facility. An out of the way location in a little-used industrial park on the edge of town commands a lower rent than near neighborhoods.
Location influences what your typical customer stores. In some places, it’s boats or recreational vehicles. In other places, it’s the contents of a dorm room or apartment for a few months.
Self-storage Business Decisions
However, the changing nature of self-storage means that low rows of single storage rooms aren’t the only option. For instance, stackable and movable units offer flexible possibilities. Maximize your rentable square footage for the best returns on investment.
Is the cost per square foot of new construction is less than or equal to the renovation of existing buildings? Does your customer base need small closets or open spaces suitable to park a boat out of the weather?
The right kinds of spaces mean higher occupancy rates. To clarify, unit-mix renovations are cost-effective. Higher occupancy means more money flowing in your direction.
Reuse Existing Buildings
Think about using modular interior walls. Divide interior spaces into rentable storage space. As the client needs change, move the walls.
Framing and securing new doors and windows is more efficient than building from the ground up. Consider unit security and cost.
For example, some renovations benefit from inserting complete storage units into existing spaces. This adds square footage without displacing or inconveniencing tenants.
Add amenities like climate control for higher rents. Services like pick-up, delivery or furniture disassembly services can add to the bottom line. These don’t require permanent changes to your facilities.
Budgeting and Materials
Cost-benefit analysis can point the way for materials and construction. From scratch building takes time. Common choices for storage facilities include concrete or cinderblock construction.
Nothing beats a pre-fabricated building for speed and ease of construction. Consider using custom storage units to fine-tune your rentable square footage. To do so, use our standard units to scale your business rapidly.
Therefore, accommodate changes easily, disassemble units when no longer necessary and replace and remix units in a configuration that makes sense.
That is to say, you can even place our units inside an existing building to provide secure and weatherproof storage.
Doors, Floors, and Locks
Security and maintenance are of concern to the self-storage entrepreneur. Theft, arson, and vandalism take their toll on profitability. That is to say, site security plans should include access control, surveillance and perimeter monitoring.
The standard self-storage unit has a steel roll-up door secured by a padlock. For additional security, outfit individual units with alarms and automatic locks. Electronic locks are a popular upgrade.
Many storage units have unfinished concrete floors at ground level. Therefore, consider adding a moisture alarm to prevent interior damage caused by seepage. Fluid -resistant composite flooring prevents damage and can be a selling point.
Exterior Walls and Office
In many places, the traditional garage fortress look is a municipal no-no. Improve your aesthetic with new insulated composite panels at a fraction of the cost of rebuilding. Use our pre-built site offices or resident manager quarters.
In addition, we have two-story buildings that look great and add some visual elevation changes. Renovations that increase curb appeal offer the best return on investment. After adding rentable square footage, of course.
Changing the building envelope with molding, windows (or mock windows) and fresh paint makes a difference. All other factors being equal, a building that looks modern, clean and secure rents faster than one that doesn’t.
A clean, professional office makes a good impression, too. So, eliminate clutter and keep it modern looking. Light your space well and use neutral colors.
Landscaping and Maintenance
Simple, well-designed landscaping makes sense. However, watch out for maintenance that affects your bottom line. Weeds and dead plants make your facility look dated and unpleasant.
Consequently, choose easy to maintain landscaping and use it sparsely. Focus your efforts on street-facing presentations. Grafitti-proof exterior walls with coatings, textures and color schemes.
Plan to Make Money Now and in the Future
To sum up, the self-storage business continues to grow and change each year. Take advantage of flexible building systems to maximize your rentable square footage. There are several types of construction available to minimize tenant disturbance.
Adding rentable square footage is the most cost-effective renovation. Likewise, unit mix renovations follow closely. Exterior curb appeal improvements can also improve your bottom line.
Analyze your occupancy rate to determine the most profitable changes.
Ready to discuss the design with our professionals? We design, engineer and build our own durable and eco-friendly storage business systems. In other words, let our experts introduce you to our standard custom solutions for your self-storage business.
So, contact us for a quote today.