Storage Point Capital

What makes self-storage unique among other commercial real estate assets? In the realm of real estate investment, one sector stands out for its unique blend of stability, low overhead, and high returns: self-storage. Often overlooked in favor of more glamorous property types like residential or commercial real estate, self-storage facilities have quietly become one of the most lucrative investments available. With a steady demand driven by various factors including urbanization, downsizing trends, and the rise of e-commerce, self-storage presents an enticing proposition for investors seeking reliable income streams and long-term growth potential. The fundamental appeal of self-storage lies in its universal demand. People across demographics, income levels, and geographical locations require storage space for various reasons. Whether it's individuals moving to smaller homes, businesses in need of inventory storage, or students seeking temporary storage during breaks, the need for extra space is ever-present. This inherent demand provides self-storage investors with a stable tenant base, reducing the risk associated with vacancies and economic downturns. Storage Point Capital is a rapidly expanding self-storage acquisition and development company. Follow us at Storagepointcapital.com to learn more about how you can actively or passively be a part of the best-in-class commercial real estate asset. Have a self-storage facility to sell or land for development? Let's talk call, text, or email me today! Ed Clement Director of Business Development, Storage Point Capital (727) 946-0745 https://lnkd.in/gdMsxQSg [email protected] #selfstoragebusiness #selfstorage #business #selfstorageinvesting #realestateinvestor #commercialrealestate #selfstorageindustry #selfstoragedevelopment #investing

How a bad manager can turn your Class A self-storage facility into a D- business. A bad manager can significantly impact the performance, reputation, and profitability of a self-storage facility. A manager with poor communication skills or a lack of professionalism can alienate customers, leading to complaints and lost business. Unsatisfied customers are less likely to renew leases or recommend the facility to others. Negative interactions may result in poor online reviews, which can deter potential new customers. Mismanagement of units, poor record-keeping, or failing to follow up on customer inquiries can create chaos. A manager who neglects repairs and cleanliness can cause the facility to become rundown, impacting its appeal and safety. If policies like access control, late fee enforcement, or unit allocation are applied inconsistently, it can lead to customer dissatisfaction and operational confusion. Failure to enforce payment deadlines or follow up on delinquent accounts can result in revenue loss. Ineffective marketing and poor customer relations can leave units empty, reducing overall income. A bad manager might provide unauthorized discounts or fail to properly price units. Poor leadership can demotivate employees, leading to decreased productivity and higher turnover. A bad manager might neglect to properly train staff, causing further inefficiencies. If a manager ignores customer complaints about security concerns, the facility's reputation as a safe place to store belongings can be damaged. A pattern of bad customer service, maintenance issues, or security concerns can tarnish the facility's reputation in the community. A tarnished reputation makes it harder to compete, especially in areas with multiple storage options. A manager who fails to actively promote the facility may miss out on attracting new customers. Poorly trained or disengaged managers may miss opportunities to offer additional services like insurance, locks, or packing supplies. A bad manager can create a ripple effect of inefficiencies and dissatisfaction that harm a self-storage facility's bottom line and reputation. Regular oversight, training, and performance reviews can help mitigate these risks and ensure the manager contributes positively to the business. Storage Point Capital is a rapidly expanding self-storage acquisition and development company. Follow us at Storagepointcapital.com to learn more about how you can actively or passively be a part of the best-in-class commercial real estate asset. Have a self-storage facility to sell or land for development? Let's talk call, text, or email me today! Ed Clement Director of Business Development, Storage Point Capital (727) 946-0745 https://lnkd.in/gdMsxQSg [email protected] #selfstoragebusiness #selfstorage #business #selfstorageinvesting #realestateinvestor #commercialrealestate #selfstorageindustry #selfstoragedevelopment #investing

The property appears to have an attractive going in cap rate but what about the expense load? The expense load has a significant impact on the capitalization rate (cap rate) in real estate investments. The expense load refers to the total operating expenses associated with a property, such as property taxes, insurance, maintenance, utilities, and management fees. These expenses can and will change with new ownership and must be accounted for during due diligence. These expenses directly affect the Net Operating Income (NOI), which is the income generated from the property after deducting operating expenses. Increased operating expenses reduce the NOI. A lower NOI results in a lower cap rate for a given property value. If the expense load is disproportionately high relative to the income, it can make the property less attractive to investors. Reduced operating expenses lead to a higher NOI. A higher NOI results in a higher cap rate, assuming the property value remains constant. Properties with efficient expense management often attract investors seeking better returns. Properties with a lower expense load are typically more profitable and result in a higher cap rate, signaling better returns. Conversely, a high expense load lowers the cap rate, reducing the perceived attractiveness of the investment. Investors often assess expense load carefully to ensure that operating costs don't erode potential returns. Storage Point Capital is a rapidly expanding self-storage acquisition and development company. Follow us at Storagepointcapital.com to learn more about how you can actively or passively be a part of the best-in-class commercial real estate asset. Have a self-storage facility to sell or land for development? Let's talk call, text, or email me today! Ed Clement Director of Business Development, Storage Point Capital (727) 946-0745 https://lnkd.in/gdMsxQSg [email protected] #selfstoragebusiness #selfstorage #business #selfstorageinvesting #realestateinvestor #commercialrealestate #selfstorageindustry #selfstoragedevelopment #investing

Why are women the decision makers when it comes to self-storage facility selection? Women are often the decision-makers when it comes to self-storage facilities for several reasons tied to household dynamics, organizational tendencies, and shopping behavior. In many households, women traditionally take on the role of managing the home and organizing space. This includes deciding what items to store, whether for decluttering, moving, or safeguarding sentimental items. Women are frequently involved in family-related decisions, such as moving or home renovations, both of which often necessitate storage solutions. Studies suggest that women often value organization and tidiness more than men. Storage facilities provide an efficient way to manage excess belongings without sacrificing home aesthetics or functionality. They might take the lead in ensuring seasonal items, decorations, or children’s belongings are stored properly. Women are typically seen as more detail-oriented shoppers, researching and comparing options before committing to services like storage. This makes them key decision-makers in choosing the right facility based on factors such as security, location, and pricing. They are often more proactive in identifying needs for storage before a clutter issue becomes unmanageable. Women often spearhead plans for major life events that drive storage needs, such as weddings, childbirth, or caring for elderly relatives. These situations can require temporary or long-term storage solutions. Storage companies often market their services in ways that resonate with women, emphasizing convenience, safety, and family-friendly features. This targeted marketing reinforces women’s role as decision-makers in this space. By addressing these tendencies, storage facilities can align their services with what women often prioritize, such as cleanliness, security, and customer service, further solidifying their role as decision-makers. Storage Point Capital is a rapidly expanding self-storage acquisition and development company. Follow us at Storagepointcapital.com to learn more about how you can actively or passively be a part of the best-in-class commercial real estate asset. Have a self-storage facility to sell or land for development? Let's talk call, text, or email me today! Ed Clement Director of Business Development, Storage Point Capital (727) 946-0745 https://lnkd.in/gdMsxQSg [email protected] #selfstoragebusiness #selfstorage #business #selfstorageinvesting #realestateinvestor #commercialrealestate #selfstorageindustry #selfstoragedevelopment #investing

What makes a self-storage facility attractive to renters? Facilities close to residential areas, businesses, or transportation hubs are more attractive. Extended hours or 24/7 access is a significant advantage. Wide driveways, elevators, and ample parking simplify loading and unloading. 24/7 video monitoring and security cameras give renters peace of mind. Electronic gate access, individual unit alarms, and secure locks enhance safety. Having personnel on-site adds a layer of security and service. A range of unit sizes accommodates different storage needs. Climate control protects sensitive items from temperature or humidity extremes. Drive-Up units are convenient for renters who need frequent or large-item access. A clean, pest-free, and odor-free environment signals professionalism. Functional doors, lights, and other amenities reassure renters. Affordable prices compared to nearby facilities attract budget-conscious renters. Transparent contracts without hidden fees build trust. Promotions for first-time renters or long-term contracts are appealing. Helpful and knowledgeable employees create a positive experience. Availability by phone, email, or in person is important. Online reservation, payment, and account management enhance convenience. Positive online reviews and word-of-mouth recommendations build credibility. Offering boxes, tape, and packing materials on-site is a bonus. Dollies, carts, or even rental trucks can add value. On-site storage insurance for renters provides added convenience. Month-to-month contracts suit renters with varying timelines. Offers tailored to seasonal needs or temporary surges (e.g., student storage) attract specific markets. Energy-efficient lighting or solar-powered facilities appeal to environmentally conscious renters. Storage Point Capital is a rapidly expanding self-storage acquisition and development company. Follow us at Storagepointcapital.com to learn more about how you can actively or passively be a part of the best-in-class commercial real estate asset. Have a self-storage facility to sell or land for development? Let's talk call, text, or email me today! Ed Clement Director of Business Development, Storage Point Capital (727) 946-0745 https://lnkd.in/gdMsxQSg [email protected] #selfstoragebusiness #selfstorage #business #selfstorageinvesting #realestateinvestor #commercialrealestate #selfstorageindustry #selfstoragedevelopment #investing

How does self-storage employ the KISS principle? If you've ever managed a business facility or residential building, you are aware of the unique issues they present. Tenants have needs, repairs pile up, and there’s always something to fix or update. In addition, the cost of utilities such as heat, power, and water can be high. To handle everything, you could even need to engage a property management business, which raises expenses even further. It is far easier with self-storage. Some facilities that tenants in other types of homes demand are not necessary for people renting storage units. They're content as long as their unit is safe and tidy. This simplicity significantly reduces your costs. What then makes self-storage so appealing to investors? It comes down to this: the more profit you keep, the less money you have to spend on property management. Higher net operating income (NOI), or the amount of money you generate after covering your costs, is correlated with lower expenses. In addition to putting more money in your pocket, a higher NOI raises your property's total worth. Storage Point Capital is a rapidly expanding self-storage acquisition and development company. Follow us at Storagepointcapital.com to learn more about how you can actively or passively be a part of the best-in-class commercial real estate asset. Have a self-storage facility to sell or land for development? Let's talk call, text, or email me today! Ed Clement Director of Business Development, Storage Point Capital (727) 946-0745 https://lnkd.in/gdMsxQSg [email protected] #selfstoragebusiness #selfstorage #business #selfstorageinvesting #realestateinvestor #commercialrealestate #selfstorageindustry #selfstoragedevelopment #investing

Here are some funny and creative names for self-storage facilities. Stash & Dash Storage Hidey-Hole Depot Stow & Go The Storage Emporium Space Invaders Storage Stuff-N-Store Your Junk’s Bunk Pack Rat Palace Lock & Leave The Stash Pad Boxed Up & Gone No-Tell Hotel for Stuff Narnia Self Storage Hideaway Haven The Secret Stash Store It Like It’s Hot Keep It Closet The Vaulted Storage Treasure Chest Storage Tetris Towers Storage Point Capital is a rapidly expanding self-storage acquisition and development company. Follow us at Storagepointcapital.com to learn more about how you can actively or passively be a part of the best-in-class commercial real estate asset. Have a self-storage facility to sell or land for development? Let's talk call, text, or email me today! Ed Clement Director of Business Development, Storage Point Capital (727) 946-0745 https://lnkd.in/gdMsxQSg [email protected] #selfstoragebusiness #selfstorage #business #selfstorageinvesting #realestateinvestor #commercialrealestate #selfstorageindustry #selfstoragedevelopment #investing

What is impervious coverage and how does it affect my self-storage development site? Impervious coverage refers to surfaces on a property that don’t allow water to infiltrate into the ground. Examples include rooftops, paved parking lots, roads, sidewalks, and compacted gravel. In the context of land development, like a self-storage facility, impervious surfaces increase the amount of stormwater runoff, which can have environmental and regulatory impacts. Increased runoff means you’ll likely need to install stormwater management systems like retention ponds, infiltration basins, or underground detention systems to control and treat runoff. Many local governments set maximum limits on impervious coverage, and you may be required to implement additional measures to stay within these limits. Impervious surfaces can lead to downstream flooding, erosion, and water quality degradation. Excessive runoff can carry pollutants like oils, sediments, and chemicals, impacting local waterways. Zoning laws often dictate the maximum allowable impervious coverage for a property. Exceeding these limits may restrict your development plans or require additional mitigation measures. Some regions calculate maximum coverage as a percentage of the total site area. To stay compliant and manage runoff effectively, you may need to incorporate permeable pavement, rain gardens, or green roofs into your design. These features reduce runoff by allowing water to infiltrate or absorb. Impervious coverage limits may reduce the amount of usable space for storage units, drive aisles, and parking, affecting the overall footprint of your development. Review local codes for specific impervious coverage limits and consult a civil engineer for a comprehensive stormwater management plan to ensure your project complies with regulatory standards. Storage Point Capital is a rapidly expanding self-storage acquisition and development company. Follow us at Storagepointcapital.com to learn more about how you can actively or passively be a part of the best-in-class commercial real estate asset. Have a self-storage facility to sell or land for development? Let's talk call, text, or email me today! Ed Clement Director of Business Development, Storage Point Capital (727) 946-0745 https://lnkd.in/gdMsxQSg [email protected] #selfstoragebusiness #selfstorage #business #selfstorageinvesting #realestateinvestor #commercialrealestate #selfstorageindustry #selfstoragedevelopment #investing

Getting a site rezoned for self-storage is easy. Right? Getting a zoning change (or "rezoning") can vary significantly in difficulty depending on several factors, including local regulations, the current zoning designation, the proposed change, community opinion, and political dynamics. A major change, like shifting from residential to commercial, is often more difficult than a minor adjustment, such as a variance for building height. Cities typically have a "comprehensive plan" outlining growth and development goals. If the proposed change aligns with this plan, approval may be easier. Rezoning requests can attract opposition from neighbors, especially if the change could lead to increased traffic, noise, or a shift in neighborhood character. Many jurisdictions require public hearings for rezoning requests, where residents can voice support or opposition. This feedback can heavily influence the outcome. Rezoning decisions usually need approval from elected officials or a planning commission. Their priorities and political considerations play a role. Cities facing housing shortages may be more amenable to rezoning for higher-density residential, while those with commercial vacancies might resist new retail zoning. Many zoning changes require studies to assess impacts, which can be expensive and time-consuming. Applying for rezoning often involves legal fees, consultant costs, and filing fees, which can be high in some areas. City planners can offer insights and guidance to ensure your proposal is complete and aligned with local goals. Rezoning requests often involve multiple reviews, so be ready for delays or adjustments. While getting a zoning change can be challenging, being well-prepared and proactive often improves the likelihood of approval. Storage Point Capital is a rapidly expanding self-storage acquisition and development company. Follow us at Storagepointcapital.com to learn more about how you can actively or passively be a part of the best-in-class commercial real estate asset. Have a self-storage facility to sell or land for development? Let's talk call, text, or email me today! Ed Clement Director of Business Development, Storage Point Capital (727) 946-0745 https://lnkd.in/gdMsxQSg [email protected] #selfstoragebusiness #selfstorage #business #selfstorageinvesting #realestateinvestor #commercialrealestate #selfstorageindustry #selfstoragedevelopment #investing

How Does Self-Storage Rank in the Real Estate Spectrum? Office: High revenue potential, significant impact from economic cycles, high operating costs. Retail: High revenue potential in prime locations, vulnerable to e-commerce trends, higher operating costs. Multifamily: Stable demand, higher revenue potential, significant operating and maintenance costs. Industrial: Growing demand due to e-commerce, moderate operating costs, lower tenant turnover. Self-Storage: Resilient during downturns, lower operating costs, moderate revenue potential, high tenant turnover. Self-storage ranks highly for investors seeking stable, low-maintenance investments with resilience to economic fluctuations. It is particularly attractive for those looking for diversification and steady cash flow with lower operational complexities. Storage Point Capital is a rapidly expanding self-storage acquisition and development company. Follow us at Storagepointcapital.com to learn more about how you can actively or passively be a part of the best-in-class commercial real estate asset. Have a self-storage facility to sell or land for development? Let's talk call, text, or email me today! Ed Clement Director of Business Development, Storage Point Capital (727) 946-0745 https://lnkd.in/gdMsxQSg [email protected] #selfstoragebusiness #selfstorage #business #selfstorageinvesting #realestateinvestor #commercialrealestate #selfstorageindustry #selfstoragedevelopment #investing