However, you must play your cards right to invest strategically in storage units. Otherwise, you could deal with constant complications instead of enjoying a high return on your investment.
Here’s what you need to know.
Self-Storage is a Growing Market — and a Popular Investment Choice
If you’re investing in self-storage in the Georgia area, you’re getting involved in a market with a high-income potential. Investing in self-storage can also be convenient for various reasons. These include:
1. The relatively low initial investment.
Whether building a new self-storage facility from the ground up or investing in existing infrastructure, these facilities are cheaper to build and maintain than most other rentable structures.
2. The ability to gradually improve your facility and business.
If the self-storage facility you’re investing in is relatively basic, you can start renting units immediately. Then, as time passes, you can add different types of storage, add more units, and vary the leases you offer or the clientele you market to.
3. The short-term leases.
People need self-storage for a bewildering variety of needs — and lengths of time. You’ll likely have enough short-term leases to ensure your units don’t go unused for long. You’ll also enjoy a relatively efficient return on investment.
That ROI can be pretty impressive. After all, the self-storage industry is massive. Nearly 40% of Americans reported using self-storage units in 2021, and the market was valued at almost $50B in 2020. Moreover, these numbers aren’t expected to slow anytime soon.
Of course, not all self-storage locations are the same. So you’ll need to research and provide the specific type of storage unit that the people in your area are looking for.
The Different Types of Self-Storage Units
Are the people in your market looking for a safe place to store treasured, fragile art pieces?
Is your ideal client a family who needs extra space for a week while moving from an old home into a new one?
Knowing this matters because each of these clients is looking for something specific. Depending on the needs of the people in your area, you may want to make sure that your self-storage unit offers the following:
1. Outdoor or drive-up self-storage.
When considering investing in a GA-based self-storage unit, this may be what you pictured. These storage facilities will consist of rows of buildings with side-by-side doors that roll upward. These steel buildings are economical to build, don’t require much maintenance or staffing, and will meet the needs of most people who require storage.
2. Climate-controlled self-storage.
Some goods — think tech, art, and musical instruments — can’t be subjected to extreme humidity or heat. Georgia has hot, humid summers, so offering climate-controlled storage can help meet a specific need for your local clients. These facilities are a little more involved in building and maintenance, but you may be able to charge a more premium price for their use.
3. Vehicle storage.
Customers who need to store an extra vehicle often require temperature-controlled, ultra-protected units. While traveling, they may seek a storage solution for a practical, regularly-used vehicle. On the other hand, they may wish to keep an expensive older car in a safe place away from their property. Either way, you can make your units more attractive to your market by ensuring your units are spacious, located strategically (e.g., near an airport or harbor), and secure.
Got More Questions About Steel Storage Units? We’re All Ears
Peak Steel Contractors is a GA-based steel contracting industry firm. We’re passionate about high-quality steel construction, and we’re always happy to pass on our expertise to construction firms and real estate investors in our area.
Want to know more about what we can offer? Click through our gallery to see what we’ve been up to, and please don’t hesitate to give us a call if there’s anything we can do to assist.