Third-Party Management Fuels Acquisition Activity at Life Storage

Third-party management is turning out to be an acquisition goldmine for Life Storage. Joe Saffire, CEO of the Williamsville, NY-based self storage REIT, said roughly one-third of the 75 facilities purchased so far this year were part of Life Storage’s third-party management platform. Saffire called the company’s third-party platform a “robust acquisition pipeline.” “The hard work of our acquisitions and third-party management teams over the past several years executing on our relationship-based strategy to be well positioned when opportunities become available is clearly paying off,” Saffire said in a Nov.…

Investor Demand for Self Storage Soars – What Does This Mean for the Sector?

The self storage industry has transformed over the last decade with acquisition volume increasing by more than 35x since 2011 – annual acquisition volume in 2011 totaled approximately $508 million and is expected to reach $18 billion for the year 2021. The resiliency, stable cash flow and low CapEx requirements continue to draw real estate investors to self storage, but more than anything, investors have recognized its relative value versus other real estate asset classes. As stabilized cap rates in the multifamily and industrial sectors compress to historic lows (below…

Protecting Your Investments from Inflation

In today’s investment market, the main concern on everyone’s mind is the potential for a significant uptick in inflation. Over the past ten years, the average rate of inflation in the U.S. was about 1.8%. However, many experts are now calling for higher than normal inflation due to the impacts of the coronavirus stimulus bill, low interest rates and a rapidly recovering economy flooding the market with cheap money. The result will be increased competition for goods and services resulting in rapidly rising costs and inflation. The general way to…

How to Deal with Fake or Negative Reviews

Online reviews are the new “word of mouth.” For years businesses relied on happy customers to relay their satisfaction to friends and family—aka, potential new customers—via word of mouth. But in today’s mobile world, word of mouth has been effectively replaced with online reviews. With easy access to the Internet, consumers have changed the way they shop for pretty much every product or service available. Rarely does anyone make a purchase without looking up reviews online. It’s simply part of the decision-making process now, and it can be argued that…

How Safe Are Your Access Control Solutions? Part Two

In the current climate, operating a successful self storage operation requires a Herculean effort. There’s no end to the tasks owners and operators face every day, from sales and marketing to site maintenance and security. It’s essential to not cut corners when it comes to the safety of your security system, but you don’t have to be a technology expert — start by following a few best practices: Vet both the solution and the provider. In addition to vetting the solution, evaluate the solution provider. Look for a technology vendor…

CubeSmart Launches Management Reporting App

Today, CubeSmart (NYSE: CUBE), the third-largest owner and operator of self storage properties in the United States, introduced SmartView by CubeSmart, its proprietary mobile app, designed to connect users seamlessly to key performance metrics. Utilizing SmartView, third-party management clients have easy access to their data wherever and whenever they want. SmartView is the latest enhancement from CubeSmart as part of an ongoing focus to build innovative technology to help drive the self storage industry forward. “SmartView is our newest way of leveraging technology to enhance our third-party management experience by…

How Safe Are Your Access Control Solutions? Part One

Safety and security are hallmarks of today’s self storage industry. In competitive markets, solutions that protect tenants’ physical safety and the security of their possessions are differentiating factors — they separate market leaders from the rest of the pack. Increasingly, the quality of your operation’s safety and security solutions directly impacts tenant acquisition and retention. Yet it may be tempting for owners and operators to inadequately evaluate their choice in security solutions — a mistake that can have serious consequences for the bottom line of your business. If a single…

The Power of a Positive Review

In this day and age, we’re all aware that a positive review is a hot commodity. As a consumer, we live in a time when combing through reviews is a common practice, especially when making important purchasing decisions. What tends to be thought of as a “black spot” are negative reviews. However, positive and negative reviews build consumer confidence, increase knowledge and validate the offered services. Isn’t that crazy!? That means a customer’s one-star-review about after-hour access issues is just as valuable as the five-star review, which details the excellent…

What Is Social Media’s Role in SEO?

One of the most frequently asked questions we get from our self storage clients is whether investing in social media will help their facility’s search engine optimization (SEO) strategy. The short answer is…it’s up for debate. So let’s talk about it! Links on Social Media If someone links to your facility’s site on social media, this doesn’t directly help your search engine results page (SERP) rankings on Google. This can be confusing as you may have heard that getting backlinks from high-authority sites helps your SEO. And aren’t sites like…

The Current Self Storage Landscape

Over the last twelve months, the self storage industry has gone from a desirable asset class to one of the most sought-after investments in the commercial real estate landscape. The uncertainty of the COVID-19 pandemic created a pause but 2020 would demonstrate very strong year-over-year rental growth and occupancy across most major markets. With strong performance during and emerging from the pandemic, we have seen a wave of new inventory hit the market for sale and record pricing in many markets. What is driving this wave of inventory? What is…