In America, the average homeowner cannot park a car in their garage. The garage has become a storage receptacle and the cars sit in the driveway. Relocations force people to make choices about keeping their belongings or starting fresh. Let’s face it: we like our stuff. We don’t often want to start fresh. We prefer to hold onto items because we might need them and don’t want to be wasteful.
Some quick facts on storage in America:
- 65% of self-storage renters have a garage in their home
- 47% of self-storage renters have an attic
- 33% of self-storage renters have a basement
- 8.3% vacancy rate for self-storage in the US
If you’re looking to add self-storage to your business portfolio, now is a great time to do so. It is always a great time to invest in self-storage. Building a new self-storage property takes longer, so finding the right existing property is another option.
Let’s discuss the search for great properties that might need extra attention. Investors may find that current self-storage locations that are aging or small provide a unique opportunity for growth.
Here are four steps to take to begin your search.
- Search the Argus Self-Storage Affiliate Network.
- Search for properties that are currently for sale on the Internet.
- Look for underperforming properties.
- Look for properties without a lot of bells and whistles.
Search the Argus Self-Storage Affiliate Network.
Begin your search on the Argus Self-Storage website to find a national network of commercial real estate brokers who specialize in self-storage properties. Coastal Storage is the Argus network affiliate for most of the state of Florida. This resource lists U.S. properties that are currently for sale. We can assist you in locating properties that fit your budget and your needs.
Search the Internet.
Locating properties on the Internet may produce some good options. Find reputable sites that feature commercial properties for sale.
Look for underperforming properties.
It’s best to look for underperforming properties. Some properties are not maximizing their potential, and the right owners can breathe new life into an existing business. The business may not be fully rented out, need repair, or have a low net operating income (NOI). Net operating income would need to be lower than other properties on the market to get the best price on the acquisition. It’s a great time to make new connections. Stop into a self-storage and meet the owners. Share interest in acquiring the property. Spend some time networking and asking questions. Sometimes doing things the old-fashioned way produces the best results.
Look for properties without a lot of bells and whistles.
Pay attention to properties in need of repair. Look for properties without security features or other enhancements that can be added. Think of what’s missing that can be added to attract new customers.
- Is there land to expand to also offer boat and RV storage?
- Can a fence and gate system be added for security and privacy?
- Does the current business offer other items that are necessary like property insurance, UHaul or other truck rentals, packing supplies, and the like?
- Does the property offer 24/7 access?
- Does the property have smart locks or an outdated padlock system?
- Does the property need better lighting?
Coastal Storage works with self-storage-focused investors to find the best properties available. We do the research and locate business opportunities to meet specific needs and desired goals. Call us today at 904-591-0140 to speak with our team of self-storage experts.