Rental rates are low in my area can I build a self storage given the interest rates?

by Marc Goodin I can not properly answer that question without more data. More information on the owner's game plan and mindset is needed for the best answer. If you have the same question you are welcome to email me your info and game plan so I can help you make the best game plan for your situation. Marc@storageauthority.com

What is the key when the competition has low rates?

Here is my response to the question & POV:

I am glad you emailed me with your question about low rates in your area. I would be happy to have a conference call with you. The answer depends on your search area, your mindset, abilities, time available for self storage, and $$ to invest. It is not a one-size-fits-all all answer for everyone.

How about next Tue 10 - 3 or Wed 12 - 3. Let me know what is good for you and I will set up the video conference.

We are certainly in a unique time with the interest rates being hiked so many times. This is causing all developers in all businesses trouble and crushing many.

About 70 to 80% of the nation is in the same situation as you. With the remaining areas having rates closer $1.6/sf

Can you provide some information so I can best answer your questions:

What rates are you observing for a 10 x 10 non cc and cc and for a 10 x 20 non cc and cc

What facility has the highest rates in a 20-mile radius from you? Can you visit the facility and tell me about the facility & rates?

What 2 cities have the highest rates in your state? Storetrack.com can provide you with this information.

What is the going rental rate for inside and outside parking for RV 's?

How much more do you believe you can charge for a 10 x 10 unit than your competition?

This provides the best way to over come competitions low rental rates.

https://www.storageauthorityfranchise.com/post/the-1-key-for-new-self-storage-development-today If you don't know the answer this is a must-read!

How much do you have to invest?

Would you consider a partner?

Would you consider looking further away for land?

How many hours did you spend in the last 4 weeks looking for self storage? What was the time spent on?

Do you have a list of zones that permit self storage in your town and the several abutting towns?

Do you have the Regride app on your phone and computer?

Did you attend our last owner's development conference finding Land in 4 months and also check out the previous development conferences?

Once you open your facility how many hours are you going/willing to work improving your facility operations/sales & marketing?

Are you willing to work the office on Saturday and Sunday 9 - 3 for the first year to save money but more importantly to become an expert and rent up faster at higher rates?

Have you been looking at facilities already built? Occasionally they can be the same or even less than the new construction.

I built two facilities I own today in the great depression of 2008 so I have been through tough times. There were no SBA loans at the time so every month I had to cover the expenses out of my pocket. I had no choice but to be self storage 100% of the time or not make my mortgage payment. But I certainly understand that few if any are ready to give up that much time and money.

I look forward to reviewing your options and developing a game plan.

You Can Count on Us! Marc Goodin President Ps Check out our Storage Authority Photo Gallery Storage Authority, LLC 677 N Washington Blvd. Sarasota FL 34236 Marc@StorageAuthority.com 860-830-6764 Connect with Marc: LinkedIn - Facebook - Twitter www.StorageAuthorityFranchise.com We're BIG on Your Succe$$!