Beyond The Hype - The Truth About Today's Rapid City Self Storage Industry
There's a small group of real estate investors making a killing by accommodating the American public with our propensity to store junk. You won't find these folks at your local REIA meetings or seminars. Your most likely chance of meeting them is on the golf course or a cruise ship. They are quietly enjoying their growing cash-flow and building their net worth through the virtually unknown investment arena of Rapid City Self Storage or mini-storage. What keeps the common real estate investor from joining this exclusive club?
Elementary economics- Some reports have assumed that the recent rise in mini-storage businesses has outstripped demand, threatening the success of new ventures. In truth, the self-storage industry has grown leaps and bounds since its beginnings in the 1970's but the demand has grown as well. Surprisingly, the increased supply of personal-storage units has managed to stimulate customer interest.
Personal-Storing Popularity Spurs Market Expansion- As communities have become more familiar with personal-storing enterprises, the market has expanded to include the needs of local businesses. Easy access, convenient office hours, and no long-term rental agreements make personal storing facilities very attractive to retail, contractor, and home-based businesses. According to a report from the Personal Storing Association in 2000, storing files, medical records, excess inventory and equipment makes up as much as much as 30 percent of the business in today's personal-storing market.
Many of us are fans of things like vintage cars, ski boats etc. If you keep them at home they occupy lot of space. This will create a big problem if you do not have enough room to keep those items. Keeping these items in a personal storing unit will not only free up space but will also protect them from weather conditions. So is the case with items like paintings, collectibles, important documents etc. They will be saved from mold and mildew at storing units.
The very first facility I purchased was in an overbuilt market in Florida. Every facility in town was running in the 75 percent range in occupancy. After a short 18 months, the occupancy was at 92 percent with an increase in cash flow of almost $6,000 per month. Meanwhile, my competitors were still in the 70 - 80 percent occupancy range. Don't let anyone convince you that you can't make money in today's market.
Partners with industry experience offer advantages- Manufactured steel buildings offer quality space at a minimum cost and can help minimize the stress of getting your new business underway. Choosing the right supplier before you build your mini-storing site can help you overcome a lot of obstacles. An experienced supplier will guarantee durability, suggest reputable construction crews, and provide you with buildings that meet the specific regulations for your site.
The smart investors are buying existing, older facilities that are poorly operated and need minor repairs. These properties are not on the radar screen of the big companies and can be picked up at great prices. With these facilities, you often start with a positive cash flow and once the repairs have been made and you operate it professionally, the money really starts rolling in.
Maybe the worst hype about the personal-storing industry is that new personal-storing owners face many trials and tribulations on the road to success. Like any new venture, the personal-storing business does have its challenges, but with a little research and the right space most mini-storing start-ups thrive without tremendous struggles
Elementary economics- Some reports have assumed that the recent rise in mini-storage businesses has outstripped demand, threatening the success of new ventures. In truth, the self-storage industry has grown leaps and bounds since its beginnings in the 1970's but the demand has grown as well. Surprisingly, the increased supply of personal-storage units has managed to stimulate customer interest.
Personal-Storing Popularity Spurs Market Expansion- As communities have become more familiar with personal-storing enterprises, the market has expanded to include the needs of local businesses. Easy access, convenient office hours, and no long-term rental agreements make personal storing facilities very attractive to retail, contractor, and home-based businesses. According to a report from the Personal Storing Association in 2000, storing files, medical records, excess inventory and equipment makes up as much as much as 30 percent of the business in today's personal-storing market.
Many of us are fans of things like vintage cars, ski boats etc. If you keep them at home they occupy lot of space. This will create a big problem if you do not have enough room to keep those items. Keeping these items in a personal storing unit will not only free up space but will also protect them from weather conditions. So is the case with items like paintings, collectibles, important documents etc. They will be saved from mold and mildew at storing units.
The very first facility I purchased was in an overbuilt market in Florida. Every facility in town was running in the 75 percent range in occupancy. After a short 18 months, the occupancy was at 92 percent with an increase in cash flow of almost $6,000 per month. Meanwhile, my competitors were still in the 70 - 80 percent occupancy range. Don't let anyone convince you that you can't make money in today's market.
Partners with industry experience offer advantages- Manufactured steel buildings offer quality space at a minimum cost and can help minimize the stress of getting your new business underway. Choosing the right supplier before you build your mini-storing site can help you overcome a lot of obstacles. An experienced supplier will guarantee durability, suggest reputable construction crews, and provide you with buildings that meet the specific regulations for your site.
The smart investors are buying existing, older facilities that are poorly operated and need minor repairs. These properties are not on the radar screen of the big companies and can be picked up at great prices. With these facilities, you often start with a positive cash flow and once the repairs have been made and you operate it professionally, the money really starts rolling in.
Maybe the worst hype about the personal-storing industry is that new personal-storing owners face many trials and tribulations on the road to success. Like any new venture, the personal-storing business does have its challenges, but with a little research and the right space most mini-storing start-ups thrive without tremendous struggles
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You can get excellent tips on how to pick a Rapid City self storage company and more information about a reputable company at http://www.depotstoragerapidcity.com now.
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