Expansion Not Just Good for Business in the Self Storage Industry—it is the Business

Posted on Jul 31 2013 - 11:23pm by John Stevens

Clothing manufacturers have gotten smart. Many of them will know include built in expanders to their pants or shorts so when a person happens to put on a few pounds they will not necessarily need to run out and buy new clothes. They just have to adjust their pants or shorts accordingly. Ask anyone that owns a pair of shorts or pants like that and they’ll gladly say—expansion is good.

People sometimes need to be able to expand more than just their pants. Sometimes after a lifetime of gathering stuff—expanding our belongings– we find that we need to ‘expand’ the space they own. They need to find more space in order to store some of their stuff, and it is that need that has helped make the self storage industry as successful as it is.

“We’re not any bigger consumers than other generations, but we are living longer and we have accumulated so much stuff that it’s become a problem,” Leslie Abelson, president of a moving company called Platinum Move said. “We are a very cluttered generation.”

That accumulation of stuff has helped the self storage industry grow to over 50,000 facilities strong nationwide and make it one of the more reliable investments in financial circles.

As people across the nation continue to expand the sum of their possessions (and not have enough space to hold it all) the self storage industry is going to need to do the same—expand. Many companies have been busy doing just that by buying existing facilities, converting existing structures, and building new ones.

For example, LifeStorage was once an Illinois-area company with self storage facilities in and around the Chicago-area. In recent years they have steadily worked at expanding their holdings and now have four facilities in the Las Vegas area as well as one in Wisconsin.

“We have learned a lot by managing 40 self-storage locations, and we are busy putting our best practices to work,” said Kenny Pratt, Direct of Operations at LifeStorage. “We hope our customers will like the changes.”

LifeStorage is not the only facility that has been expanding lately. Extra Space Storage acquired 20 self storage facilities in California last month for $196 million. That brings the total number of Extra Space self storage facilities in California to 240 in a number of cities including Anaheim, Bakersfield, Stockton, Hayward, Irvine, and many more. 

Sources Used:

“Self-storage facilities expand to meet residents’ growing need for space.” Lohud.com; 30 July 2013.

“COWs Mobile Storage is now in Houghton Michigan.” PRLog; 26 July 2013.

“Extra Space Storage Inc. Announces Agreement to Acquire 20 Self Storage Properties.” PRNewswire; 17 June 2013.