Thank you!! Mark my words I’m getting into my first storage facility in the next 12 months. Your content is much appreciated, if you have a favorite charitable cause let me know, what you do is awesome huge value 🙌
Hey @monkeybusinesspictures1971 - Fantastic! Congrats on starting your storage journey! Head over to my site www.selfstorageincome.com/ to get my free self-storage starter pack and join our free newsletters to keep your education journey going! 💪
Thanks Brian! I'm loving getting this stuff out to you guys. We have a ton more video and podcasts coming down the line that I'm really excited about too. Thanks for the awesome feedback and I'm excited to hear you're looking at getting into storage.
I am just getting started in the self storage journey and all of these videos are just golden nuggets that help me as a new business owner overcome before I confront them.
Thanks for the awesome feedback Masha! I love being able to share this stuff with everybody and I'm really excited about all these new videos (they're waaaaay better than my older ones lol).
@5:14….what the hell is that floating in the upper left?! The ghost of kiosks past? 😮 Great video, I’ve been wanting to get into this business for many years, but could never find the right opportunity, or enough money,or both. I’ll be checking out your videos for more info!
Hey! So I am currently collaborating with someone for her game called The Edge, and we're trying to figure out tasks throughout the game on how to take care of a storage unit since the setting of the game takes place on a old storage unit. Are there any other ways you can do to organize a storage unit? Just wondering.
Hey @samuelbegle3580 - thanks for commenting! We own a storage software company, Tenant Inc, that is constantly innovating with technology in the storage industry. Check it out: www.tenantinc.com/
Hey AJ, From the Tri-cities, WA and looking to break into the space with a partner. I have residential rental experience but haven't touched commercial yet. Self-storage is what is calling my name. The NOKE company you speak of in the video seems very good for all they have to offer in terms of the security automation and the ability to link up with management software to cut back the need for an on site employee on your typical 7 days a week schedule in conventional storage. How was it working with this company? Have you used them while converting/rehabbing an older facility or only for "new builds"? Additionally, in terms of "overlocking" as stated in the video does the NOKE or other automated systems not have the capability to lock out a non-paying tenant without the need to overlock? Thanks again for the quality content - it is a super beneficial resource for breaking into the space and I'm assuming it's also beneficial for other senior self-storage professionals.
Hey what's up Austin! Storage is definitely an awesome asset class to be in. Your first question - yes. We've used Noke on both our expansions and new builds. Their products can easily integrate with most operating systems and can be fitted to facilities. They even have a program called R3 which is their facility rehab program that helps people bring their facilities up the new standard. Second question - yes. Noke has the ability to automatically overlock delinquent tenants which is great. You bet man! Thanks for hanging out and for the support. Love seeing the impact it's having and being able to connect with tons of great people.
Love the content, AJ. Keep bringing the 🔥. Quick Q for you...knowing what you know now and if you had a goal to achieve a monthly NET income of $45K/month would you: Go after smaller facilities (250 units or less), self automate, and scale the business to the aforementioned goal as a "solo-preneur"? Or, go after larger facilities, raise capital, and manage a larger enterprise with a selective team to achieve said goal?
I personally would go after larger facilities, raise capital and go the enterprise route. But this is purely personal preference based on my own investing goals. You could go either route and achieve great results. Thanks for the support and the comment here Chad!
@@SelfStorageIncome thanks for the response. I actually just sent out over 1500 direct mailers and am now getting some pipeline of properties. I have one in particular that looks interesting. Mind if I run it by you?
That's awesome news man! I actually don't do any one on one's anymore, but you can absolutely reach out and connect with me and my team through the Cedar Creek Wealth website regarding potential deals.
@@chadacerboni3176 hey Chad I see that this comment was from two years ago and I’m just wanting to touch base with you to see if you ever managed to close on the self storage facility and how is working out for you? I am from Canada so things may be a little bit different but what road did you decide to go? Raising capital for a large purchase or starting with smaller facilities and building up from there? Do you use automation at all for your facilities and if so, what would you recommend? Right now we just have a small facility with 50 units and a larger commercial building but I’d like to expand into the nearby cities I’m in Saskatchewan Canada, thanks Chad
My pleasure zonechaser1! Happy to help. Thank YOU for tuning in, hanging out, and for the great comment. Love hearing people enjoy this stuff as much as I do.
Hey man, I’m wondering which tech stack or complete automation company that you went with? Our facility right now is quite small, but I’m working on building. a larger facility that I would like to fully automate
Hey @miketrillo8067 - thanks for the comment! Generally speaking 50K net rentable square feet and below is REALLY tough to hire someone full time because it eats up so much of your revenue.
Thank you for sharing your experience and knowledge. I've seen a few vids now with you. You seem like a nice guy who also doesn't bs or ussyfoot around a situation. Can't tell you how much I appreciate that combination in humans. One of my concerns as I've been looking at these things is that beyond the gates, once you have keyless doors you then have IT issues. Does Noke have a system in place to deal with failure issues for you? And do you provide any Wi-Fi on site for any parts of your automation?
I appreciate the kind words dar! I feel the exact same way! This is a great question - yes, Janus/Noke has a system in place to help deal with technical issues/failures. They also handle all of the internet/wifi/bluetooth connections of the tech. Thanks for hanging out dar!
Yes, automated self storage is somewhat if a misnomer. There always needs to be someone to clear out the units on turnover. Smaller storage can increase their margins greatly, by utilizing some automations, marketing, locks, gates and s few more. Thus reducing costs from labor intensive tasks.
I have 44 acres I can purchase, and the idea I have is for RV, camper/boat storage. I would love to find a program to help me figure layout and give me a better idea of metrics on what kind of $ can be made utilizing 75% of the space for outside storage and using a small percentage of the remaining space for storage units.
I’m looking at my first storage unit .It is a closed grocery store, approx 30 yrs old. Fairly nice shape. 60,000 sq ft is there a price per sq ft you look to be at, or price per rentable sq ft A.R.V. And by using the example you used it seems that approx 75% of the gross space is rentable. From my competition it looks as if the average price per sq ft for climate controlled self storage is $1.30 per sq ft. So my gross revenue for 45000 sq ft would be $58,500 per month and say NOI at 65% would be $38,025 per month
Hey Devin! Thanks for tuning in! Setting any kind of general rules on aspects such as this is really hard and something I stay away from. It really just depends on what your expense ratio is for your facility, regardless of the size. This is a question you'll have to figure out your own answer to.
Hey @Mzgoldenhoney - great question! In many cases, hiring a call center can be cheaper than paying for self storage staff, especially if the call center services multiple businesses, allowing costs to be spread out among clients. However, the decision depends on the size of your facility and your specific needs and preferences, as on-site staff can offer more direct control and a personal touch with customers.
I just got done renting from an automated small self storage facility and it was absolute worst experience ever. A call center on the west coast was the only personal contact. Never again. I want a real person manning a place I choose to store at. If you look at the ratings on these unmanned facilities.. they are terrible. I made the mistake of not checking out reviews before I rented. Another thing that bugs me about this is that Self Storage take up a huge amount a real estate. Why not pump some money into the local economy and just hire a real live person.
Yeah that doesn't sound like a great experience! This is one of the biggest misconceptions about the industry I find - people think you can, or even try to fully automate facilities that should not be fully automated/"man-less". It can cause a ton of problems (probably similar to what you might have experienced). True, self storage can take up a lot of space, but in comparison to other assets, the impact that self storage has on an area is generally far less, which I like. It's not retail, high density, high traffic or anything like that. Thanks a ton for the comment and for hanging out Liz!
![How Much Money Do You Need to Get Started in Self Storage? [Your First Facility]](http://i.ytimg.com/vi/Ma1zSDJzTYY/mqdefault.jpg)
![How Much Money Do You Need to Get Started in Self Storage? [Your First Facility]](/img/tr.png)
Thank you!! Mark my words I’m getting into my first storage facility in the next 12 months. Your content is much appreciated, if you have a favorite charitable cause let me know, what you do is awesome huge value 🙌
Hey @monkeybusinesspictures1971 - Fantastic! Congrats on starting your storage journey! Head over to my site www.selfstorageincome.com/ to get my free self-storage starter pack and join our free newsletters to keep your education journey going! 💪
Great videos. What are your thoughts on conversion of 2 story office building to SS facility?
Looking at getting in to the storage business and your videos are simply amazing! Thank you for what you are doing.
Thanks Brian! I'm loving getting this stuff out to you guys. We have a ton more video and podcasts coming down the line that I'm really excited about too. Thanks for the awesome feedback and I'm excited to hear you're looking at getting into storage.
Have you started yet?
I am just getting started in the self storage journey and all of these videos are just golden nuggets that help me as a new business owner overcome before I confront them.
Too cool to hear Jerry. Happy to hear this!
I really appreciate your transparency I learned a lot. Thank you for making this video. I have liked and subscribed
Hey thanks for the feedback! Love being able to get this stuff recorded and out to all of you.
Thanks for the content! Definitely applying this for our first facility!!
Awesome! You're welcome! I love hearing and seeing everybody getting out there and getting after it. Thanks for hanging out Abraham!
Super quality video production with super valuable information
Thanks for the awesome feedback Masha! I love being able to share this stuff with everybody and I'm really excited about all these new videos (they're waaaaay better than my older ones lol).
@5:14….what the hell is that floating in the upper left?! The ghost of kiosks past? 😮
Great video, I’ve been wanting to get into this business for many years, but could never find the right opportunity, or enough money,or both. I’ll be checking out your videos for more info!
Haha I think that's "Samsung" wanting a cameo in the video 😆 thanks for watching!
Hey! So I am currently collaborating with someone for her game called The Edge, and we're trying to figure out tasks throughout the game on how to take care of a storage unit since the setting of the game takes place on a old storage unit.
Are there any other ways you can do to organize a storage unit? Just wondering.
Thanks for the great content...going to be calling you soon!
It's a pleasure Taylor! Thanks for the awesome feedback. I'm loving all the new videos and have more coming down the pipe. Sounds great!
This is a really helpful video what software do you use?
Hey @samuelbegle3580 - thanks for commenting! We own a storage software company, Tenant Inc, that is constantly innovating with technology in the storage industry. Check it out: www.tenantinc.com/
@@SelfStorageIncome thank you! We’ll check it out.
Hey AJ,
From the Tri-cities, WA and looking to break into the space with a partner. I have residential rental experience but haven't touched commercial yet. Self-storage is what is calling my name.
The NOKE company you speak of in the video seems very good for all they have to offer in terms of the security automation and the ability to link up with management software to cut back the need for an on site employee on your typical 7 days a week schedule in conventional storage. How was it working with this company? Have you used them while converting/rehabbing an older facility or only for "new builds"?
Additionally, in terms of "overlocking" as stated in the video does the NOKE or other automated systems not have the capability to lock out a non-paying tenant without the need to overlock?
Thanks again for the quality content - it is a super beneficial resource for breaking into the space and I'm assuming it's also beneficial for other senior self-storage professionals.
Hey what's up Austin! Storage is definitely an awesome asset class to be in. Your first question - yes. We've used Noke on both our expansions and new builds. Their products can easily integrate with most operating systems and can be fitted to facilities. They even have a program called R3 which is their facility rehab program that helps people bring their facilities up the new standard. Second question - yes. Noke has the ability to automatically overlock delinquent tenants which is great. You bet man! Thanks for hanging out and for the support. Love seeing the impact it's having and being able to connect with tons of great people.
Love the content, AJ. Keep bringing the 🔥. Quick Q for you...knowing what you know now and if you had a goal to achieve a monthly NET income of $45K/month would you: Go after smaller facilities (250 units or less), self automate, and scale the business to the aforementioned goal as a "solo-preneur"? Or, go after larger facilities, raise capital, and manage a larger enterprise with a selective team to achieve said goal?
I personally would go after larger facilities, raise capital and go the enterprise route. But this is purely personal preference based on my own investing goals. You could go either route and achieve great results. Thanks for the support and the comment here Chad!
@@SelfStorageIncome thanks for the response. I actually just sent out over 1500 direct mailers and am now getting some pipeline of properties. I have one in particular that looks interesting. Mind if I run it by you?
That's awesome news man! I actually don't do any one on one's anymore, but you can absolutely reach out and connect with me and my team through the Cedar Creek Wealth website regarding potential deals.
@@chadacerboni3176 hey Chad I see that this comment was from two years ago and I’m just wanting to touch base with you to see if you ever managed to close on the self storage facility and how is working out for you? I am from Canada so things may be a little bit different but what road did you decide to go? Raising capital for a large purchase or starting with smaller facilities and building up from there? Do you use automation at all for your facilities and if so, what would you recommend? Right now we just have a small facility with 50 units and a larger commercial building but I’d like to expand into the nearby cities I’m in Saskatchewan Canada, thanks Chad
Great videos. Thank you all your hard work. I am evaluating systems now. Appreciate your advice
My pleasure zonechaser1! Happy to help. Thank YOU for tuning in, hanging out, and for the great comment. Love hearing people enjoy this stuff as much as I do.
Hey man, I’m wondering which tech stack or complete automation company that you went with? Our facility right now is quite small, but I’m working on building. a larger facility that I would like to fully automate
Thank you for the information
@davidacosta8060 - Pleased it was beneficial! What other themes should we focus on in our future video releases?
Thanks for the video AJ. At what square footage or monthly income should someone consider hiring a full time staff?
Hey @miketrillo8067 - thanks for the comment! Generally speaking 50K net rentable square feet and below is REALLY tough to hire someone full time because it eats up so much of your revenue.
This was great, very informative. Thank you!
You bet Kurshot! Thanks a ton for watching!
Thank you for sharing your experience and knowledge. I've seen a few vids now with you. You seem like a nice guy who also doesn't bs or ussyfoot around a situation. Can't tell you how much I appreciate that combination in humans. One of my concerns as I've been looking at these things is that beyond the gates, once you have keyless doors you then have IT issues. Does Noke have a system in place to deal with failure issues for you? And do you provide any Wi-Fi on site for any parts of your automation?
I appreciate the kind words dar! I feel the exact same way! This is a great question - yes, Janus/Noke has a system in place to help deal with technical issues/failures. They also handle all of the internet/wifi/bluetooth connections of the tech. Thanks for hanging out dar!
@@SelfStorageIncome thank you!
Yes, automated self storage is somewhat if a misnomer. There always needs to be someone to clear out the units on turnover. Smaller storage can increase their margins greatly, by utilizing some automations, marketing, locks, gates and s few more. Thus reducing costs from labor intensive tasks.
AJ, why did you go to a towing company for your "boots on the ground" management rather than say... a handyman or a residential management company?
They were simply the best option that we could find in that area at the time lol. Worked out great though.
After 3 years of use, how does the Noke lock system hold up?
I have 44 acres I can purchase, and the idea I have is for RV, camper/boat storage. I would love to find a program to help me figure layout and give me a better idea of metrics on what kind of $ can be made utilizing 75% of the space for outside storage and using a small percentage of the remaining space for storage units.
What vendors do you used for the automation?
Tenant Inc. is a great place to start. We also use the Janus NOKE system. Great question!
I’m looking at my first storage unit .It is a closed grocery store, approx 30 yrs old. Fairly nice shape. 60,000 sq ft is there a price per sq ft you look to be at, or price per rentable sq ft A.R.V. And by using the example you used it seems that approx 75% of the gross space is rentable. From my competition it looks as if the average price per sq ft for climate controlled self storage is $1.30 per sq ft. So my gross revenue for 45000 sq ft would be $58,500 per month and say NOI at 65% would be $38,025 per month
What is the name and where can I find this automated system?
Do you still have your facility in Reno? I'm in Reno and I'd like to drive by and take a look at it.
Yes, you should check it out! Look for Storelocal.
@@SelfStorageIncome Thanks, will do!!
@@SelfStorageIncome Message me the next time you're in Reno and I'll take you to lunch so we can gossip about the other real estate investors. :)
Excellent!
At what size does it make sense to have a full-time employee?
Hey Devin! Thanks for tuning in! Setting any kind of general rules on aspects such as this is really hard and something I stay away from. It really just depends on what your expense ratio is for your facility, regardless of the size. This is a question you'll have to figure out your own answer to.
Will hiring a call center be cheaper than paying for staff?😊
Hey @Mzgoldenhoney - great question! In many cases, hiring a call center can be cheaper than paying for self storage staff, especially if the call center services multiple businesses, allowing costs to be spread out among clients. However, the decision depends on the size of your facility and your specific needs and preferences, as on-site staff can offer more direct control and a personal touch with customers.
Auctions no longer take place at the facility outside of California. The vast majority of states now allow for online storage auctions post covid.
Very interesting
I just got done renting from an automated small self storage facility and it was absolute worst experience ever. A call center on the west coast was the only personal contact. Never again. I want a real person manning a place I choose to store at. If you look at the ratings on these unmanned facilities.. they are terrible. I made the mistake of not checking out reviews before I rented. Another thing that bugs me about this is that Self Storage take up a huge amount a real estate. Why not pump some money into the local economy and just hire a real live person.
Yeah that doesn't sound like a great experience! This is one of the biggest misconceptions about the industry I find - people think you can, or even try to fully automate facilities that should not be fully automated/"man-less". It can cause a ton of problems (probably similar to what you might have experienced). True, self storage can take up a lot of space, but in comparison to other assets, the impact that self storage has on an area is generally far less, which I like. It's not retail, high density, high traffic or anything like that. Thanks a ton for the comment and for hanging out Liz!
If you lock someone out for not paying. Can you get the stuff for yourself rather than auctions
Sometimes! Best to consult an attorney on this one and also verify what your states laws look like in regard to this. Thanks Colt! Great question.
Daily visitation of sites helps deter theft.
❤
Online rentals are automatically charged for locks.