By nearly any measure, the self-storage market in the United States is BIG BUSINESS. ResearchAndMarkets.com came out with its 2020-2025 self-storage market trends report a few months back, and the results are pretty telling. The U.S. currently holds a 90% share of all self-storage inventory, making it the undisputed, largest self-storage market in the world. This includes several large brands and companies like Public Storage, U-Haul, ExtraSpace Storage, and CubeSmart, along with countless numbers of independent, local storage facility businesses. The 2020-2025 report reveals that the personal storage segment of the self-storage market is expected to show the highest rate of growth, but that the business segment is also expected to continue its growth trend as well.
Why is self-storage such a big business in the U.S.? There are many reasons why the demand for storage facilities has exploded in recent years. In terms of the personal storage market, much of it points to the fact that the urban population has grown while consumer spending on various goods and services has grown right along with it. More people in smaller spaces, combined with more accumulated “stuff,” means a greater need for convenient and effective storage options. And while self-storage was originally designed for personal usage, businesses have caught on to realize the positive benefits of taking advantage of self-storage facilities themselves. Self-storage has proven to be a cost-effective method for addressing both short-term and long-term storage needs.
If you’re considering getting into the self-storage industry for yourself, here are a few key trends for 2020 that are worth following, according to Inside Self-Storage:
Because self-storage facilities continue to be placed in more central, visible locations, municipalities are starting to get more stringent about their development approval process. These areas are now expecting better architectural detail, nicer landscaping, enhanced lighting, and other requirements. Some communities are even placing moratoriums on further self-storage development.
Because the bar is being raised for appearance, it’s a good idea to hire both an architect and a landscape professional to help you achieve a more polished look for your facility.
Climate-controlled storage has become more prevalent in the industry, and that’s where demand continues to be the greatest. Climate-controlled units command a higher rent and are preferable for storage of vehicles and other valuables.
Developers continue introducing technologies which allow facilities to be operated remotely, without any need for full-time staffing. Some of the tools currently being built into new projects include self-serve kiosks, keypads & gates, and security cameras.
Since self-storage has earned a reputation as a positive investment over the past couple of decades, the result has been something of a construction boom in large markets. For this reason, overbuilding and market saturation are something to bear in mind, depending on what locations you’re considering. Make sure to do your research about prospective customer occupancy before you pull the trigger on a new project.
Attractive SBA loans became available in 2010, but some lenders are now looking to recoup more equity as a result of the recent self-storage construction boom. You’ll want to make sure to read the fine print and consider all the pros and cons before moving forward with securing a loan for a commercial self-storage project.
Choosing to move forward with a self-storage commercial project can still be a great investment, as long as you do your homework, do your research, and plan for success. But what if you’re simply an individual who’s looking for some reliable storage space for yourself? Which is better, renting space at an offsite facility or having your own storage space built on your property? Some of that will depend on whether your storage needs are likely to be short-term or long-term, but many times it can actually be CHEAPER to go with having your own personal steel storage building!
What are some reasons to consider installing a custom metal building on your property over simply renting some offsite space? Here are several:
If you’re looking to invest in a facility to help you kick-start your own self-storage business, Carport Central can provide you with a custom-engineered, made-to-order steel building of up to 300’ in width, and we can accommodate your specified building length and height needs, too. Or perhaps you just need a reliable, rugged storage building for your own personal use – Carport Central has you covered there, too! We’re the premier provider of metal structures in the continental U.S., plus we deliver and install at no extra cost to you! Ready to get the conversation started? Just reach out to one of our friendly and knowledgeable building specialists at (980) 321-9898. You can also connect with us online by filling out this simple form. We’ll be happy to work with you to help you find the perfect metal building solution to suit your needs, as well as your budget!
Remember, at Carport Central, we’re about more than just selling you a building. We’re About Providing Shelter For Your Way Of Life!