The More Things Change the More They Stay the Same in the Self Storage Industry

Posted on Jan 17 2014 - 11:25pm by Holly Robinson

For things to get better we are often told they have to change. At the same time we often here that we just need to stay the course; that if we just continue doing as we always have things will be alright. The only constant in both scenarios of course is that whether something changes or not it still exists.

That is true if you are referring to things on a personal level or professional; whether it’s for an individual, business, or even an entire industry—like the self storage industry.

How can an industry that provides people with space change? Easy—it can grow. In spite of the economy it has done just that over the last decade to more than 50,000 self storage facilities around the country and counting.

Not only are more loans being approved for new construction, but the market for buying and selling existing self storage has become robust as well. For example, Manchester Self Storage in Connecticut sold for $4 million. The facility was built in 2009 and along with the land has been valued at $3.67 million.

Brokers have been taking advantage of the market as well by creating a portfolio of self storage properties. Last Novermber the Pegasus Group spent $41.5 million on seven self storage facilities in Minnesota.

No matter how much the size or make up of the industry changed there is something that will not—the size of the heart in those involved in it. The philanthropic efforts of those in the industry are well known. A-1 Self Storage in California is a perfect example.

Every year the company makes a number of donations to local, state, national, and even international charity organizations. With the number they make a skeptic might assume that the actual donation to each must not be that big. While there is no telling about all of them, at least one is quite substantial– $1.85 million.

“Barbara and I are blessed to be fruitful in our family business A-1 Self Storage, and we’ve always felt it is important to give back and help others,” said Terrance Caster, the company’s founder and a member of the Rotary Club of La Mesa. “As a result, we are involved in numerous charities. But as a Rotarian, I can think of no cause more worthy than Rotary’s work to end polio and promote world peace.”

While the size of the industry may fluctuate the philanthropic heart will never change.

Sources Used:

“Manchester Self Storage Company And Restaurant Sold.” The Courant; 16 January 2014.

“Rotary receives $1.85 million from San Diego business leader.” PRNewswire; 15 January 2014.

“Who’s got your stuff? Portfolio of storage units sells for $41M.” Minneapolis/St. Paul Business Journal;11 November 2013.