By Marc Goodin. There are only two ways to fail in self-storage. #1 You do not find land or #2 you buy the wrong property. They are both easy to overcome.
I have made the assumption you have the cash needed to get a bank loan to build the facility.
Don't try to reinvent the wheel. Meet with the experts! Ronald has given me good advice over the years - and now I see they are following us - using kiosks.
Let's start with number 2. There is no reason to buy the wrong property. The required information about the land and the demand is easily accessible. And there are great experts available to help you do your due diligence long before you buy the land or overspend. The problem is too many people get so anxious to find land they go with their gut and don't take the time to find and review the facts.
At Storage Authority we get regular calls from people with land who swear they have done the research and their property is perfect for self-storage. Nine out of 10 times they are wrong for one reason or another.
Before you look for the land you should have enough of your team together so you can make a list of the dozen-plus items a good location must have and actually have a specific qualifier for each item So instead of the traffic requirement being a main road use 10,000 cars minimum a day and preferably 25,000 cars a day because it is specific and measurable.
And make a list of the physical features of the land that can quickly disqualify a property such as being in the 100-year flood zone and how you can confirm each of these items.
#1 not finding land should not be an option either if you are willing to do the work. The problem is most people do not truly understand the work involved and or do not have a reason to work so hard. As we have posted previously there are only 4 ways to find land and via a real estate broker is not one of them.
4 to 8 hours of research and a quick hand sketch and you should have a pretty good idea if a property is suitable for your self-storage needs and ready for an offer and additional due diligence.
So how much work does it take? One full day (8 hours) a week plus constantly month after month? Maybe for several months or just as likely a year or even more. Before you start looking for land ask yourself what happens if you do not find land. if the answer is not much. Don't even start looking. But if your answer is this is my financial so I don't have to rely on my job (JOB = Just Over Broke)
Want to learn more? Lets have a 15-minute call: Marc 860-830-6764
PS, in my book there is one more way to fail and that is ending up being a typical real estate self-storage business and missing out on significant. profits. In the end Premium operations, sales, and Marketing is key to huge success. And unless you have your detailed game plan, over-the-top sales and marketing plan, and manuals ready before you start looking for land you are making the same mistake that just about every new developer does
Get more information on Storage Authority Franchise at www.storageauthorityfranchise.com/opportunity3
Marc Goodin is the President of Storage Authority Franchising. www.StorageAuthorityFranchise.com He owns 3 self-storages he designed, built, and manages. He has been helping others in the self-storage industry for over 25 years. He can be reached at marc@StorageAuthority.com or directly at 860-830-6764 to answer your franchising, development, marketing, sales, and operations questions. His best selling self storage books are available on Amazon.