Monthly Archives: April 2017

James Bond’s Lotus Car/Submarine Found In Storage Unit

This may seem strange.  But, James Bond’s Lotus from “The Spy Who Loved Me” was sold in  a self-storage auction because the owner did not pay the storage rent.  This resulted in the owner forfeiting the car that was auctioned.

The new owner later discovered he had bought a multi-million dollar Lotus for a few hundred dollars.

Click here to watch 10 Weirdest Things Ever Found In Storage Lockers/Units.

This just goes to prove the point made in an earlier post here, “The Hotest Way To Invest In a 6,000 Year Old Industry.”

The Hottest Way To Invest In a 6,000 Year Old Industry

Boat & RV Storage

Introduction...In our last issue of the Self-StorageInsider.com, we discovered the first self-storage facilities were probably in China. About 6,000 years ago, the Chinese would often store their possessions in clay pots in public underground storage pits. These pits were monitored, to make sure that nobody could remove any pot or its contents except for their own.

What drives today’s industry…You’ve run out of room to stash that old cherrywood table, your high school sports trophies, Grandma’s wedding dress and those bulging boxes of tax records. What to do? Rent a 10-by-15-foot storage unit, for about $100 per month, and stick all the excess stuff in there. Even if your home doesn’t come with an attic, you have one now.

And where can you store your boat and RV.  Most residential neighborhoods don’t allow you to store them in front or behind the house.  The demand is so strong for boat and RV storage, that you are wise find storage before you buy that boat or RV.  Prices for these storage units run $200 to $500 per month.

As commercial property goes, self-storage has none of the sex appeal of a gleaming office building or a ritzy shopping mall. There are more than 50,000 self-storage facilities in the U.S. — nondescript warehouses filled with cubicles where Americans keep the belongings that don’t fit into their homes. But even though self-storage is about as unassuming an industry as you can get, it turns out to be a pretty solid investment — often better than other kinds of real estate.

For several years, the wealthy’s favorite kind of real estate investment was the apartment property. But in the last several months, they’ve shifted to self-storage, a property type that seems a little humdrum.

Why? It is recession-resistant. There are other interesting factors that I’ll explain. But first, here’s some good news. Though some of the most exciting types of self-storage investments are restricted to only the wealthiest investors, anybody can get in on this trend. Ordinary investors can participate in the self-storage real estate market.

And even very wealthy investors can learn a lot about the sector by studying self-storage REITs and taking a cue from Forbes 400 member B. Wayne Hughes, who built his $2.4 billion fortune on self-storage. Mr. Hughes founded Public Storage in 1972 which is now the largest self-storage REIT with 2,200 locations in U.S. and Europe, totaling 142 million square feet of rentable space.

In conclusion…Does self-storage intrigue you?  Drop me a note at bill@billmoist.net and we can discuss in private.

The Renaissance of A 6,000-Year-Old Industry

Ancient Chinese Pottery

Introduction...The first self-storage facilities were probably in China. About 6,000 years ago, the Chinese would often store their possessions in clay pots in public underground storage pits. These pits were monitored, to make sure that nobody could remove any pot or its contents except for their own.

Thousands of years later, the British had refined the concept, for the sake of dignitaries who had to be away from home for extended periods, by crating these items and placing them in stables – often with watchmen to secure them. These arrangements for storage were made by bankers, who procured such storage through third parties.

In the 1850s, the storage business came to America with the creation of Bekins, which was founded by Martin Bekins, son of a Dutch immigrant. Bekins recognized the new migration of Americans to the west, and was the first to build a facility for the storage of household goods and valuables.

In modern times…1906, Bekins built the first reinforced steel and concrete warehouse in Los Angeles, and the second in San Francisco. It is interesting to note that during the great earthquake of 1906 in San Francisco, this warehouse was one of the few structures that did not collapse.

On the east coast, more storage was being constructed by such companies as Minneapolis Van Lines and Weimer Storage. Indeed, the 1920s saw a large number of companies enter the self-storage industry. In 1928, Arthur Trachte, of Trachte Building Systems, built interconnected metal garages for “cars without homes”.

The modern self storage industry began in roughly the 1960s. But the large- scale, institutional side of the business began in 1972, with the first Public Storage facility in El Cajon, California.

Today, there are around 52,000 self-storage facilities in the U.S. The total area of this storage is three times the size of Manhattan – under roof! The industry generates over $5,200,000,000 in revenue each year. One in every ten families in the U.S. rents a self-storage space.

In Conclusions…The Renaissance of A 6,000-Year-Old Industry is taking place in America today and you can be a part of it.  There are 52,000 facilities in the U.S.  But experts in industry are saying that the earliest the U.S. demand will be satisfied is 2025.  There still is room for you to participate.

Continued Next Week…Get ten little known secrets this industry produces  steady real estate income.  Click here to make sure you can be a part of this Renaissance.

How A Dull & Boring Segment May Be The Best Way To Invest In Real Estate

Introduction…As commercial property go, self-storage has none of the sex appeal of a gleaming office building or a ritzy shopping mall. There are more than 50,000 self-storage facilities in the U.S. — nondescript warehouses filled with cubicles where Americans keep the belongings that don’t fit into their homes.

But even though self-storage is about as unassuming an industry as you can get, it turns out to be a pretty solid investment — often better than other kinds of real estate.

Why is self-storage so popular with investors?

  • Recession-resistant
  • Lowest default rate among commercial real estate
  • Low operating expenses
  • Easy tenant lock-out for non-payment
  • Make ready is a broom
  • Trade area is 3 miles so easy to analyze and monitor
  • My favorite – no toilets

Self-storage properties can be bought in all sizes and prices.

On the low end,  it is a classic mom-and-pop operation, owing to the low level of upkeep and capital spending required.

On the high end, one 724 unit, 70,000 square foot class A self-storage property recently sold for and estimated $18 million.

A local investor could find a smaller property to purchase, invest in a larger private offering, or even a Real Estate Investment Trust (REIT) if one likes public offerings.

Click here to watch “How A Dull & Boring Segment May Be The Best Way to Invest in Real Estate.”

In summary…Very successful investors have watched Forbes 400, B. Wayne Hughes, build his $2.4 billion fortune on self-storage.  Mr. Hughes founded Public Storage in 1972 which is now the largest self-storage REIT with 2,200 locations in U.S. and Europe, totaling 142 million square feet of rentable space.