It’s no secret that the self-storage market continues to grow. With the population consistently rising, competition is fierce. Small business owners are also making waves in the industry with their eyes on expansion. Here are a couple of companies that made a big splash in 2013 and are on target to continue their streak this year.
Amsdell Companies – Compass Self Storage – amsdellcompanies.com
This Cleveland-based company operates under the name Compass Self Storage. They own 40 facilities in approximately 10 states, 11 of those purchased in 2013. The company has plans to continue expanding their portfolio with acquisitions with four projects already underway.
William Warren Group – StorQuest – williamwarren.com
This California-based company is a self-storage and third-party management company who expanded their portfolio in 2013 with 18 properties between South Carolina and Florida. The company also opened a regional office facility in Tampa, Florida. This company currently manages over 80 facilities and plans continued expansion throughout the year.
Strategic Storage Trust, Inc. – SmartStop Self Storage - strategicstoragetrust.com
Headquartered in Ladera Ranch, California, this company has plans to go major. They filed paperwork in 2013 for a $1.1 billion IPO. If successful, they will become the fifth publicly traded self-storage company in the United States. They added 12 facilities in 2013, including five properties in Dallas-Fort Worth. They own more than 120 facilities spanning 17 states and Canada.
Stein Investment Group – steininvest.com
This real estate firm based in Atlanta, Georgia has major acquisition plans in store for 2014. The company plans to acquire properties in Denver, Nashville and Phoenix for redevelopment and new development opportunities.
Devon Self Storage Holdings LLC – devonselfstorage.com
This self-storage management company based in Emeryville, CA acquired 22 properties from CubeSmart LLP in October. These included 10 facilities in Memphis, Tennessee. They have plans to continue acquisitions in 2014 and redevelopment.
Morningstar Properties LLC – mstarproperties.com
Morningstar sold 43 properties to Public Storage for $315 million. They also purchased six properties with seven under contract. The company is set to rebuild their portfolio with 20 to 25 facilities.
National Storage Affiliates – nationalstorageaffiliates.com
This was a merger between Northwest Self Storage, SecurCare Self Storage and Optivest Properties. The initial merger was 64 facilities, with a gradual contribution of all the properties of the three. This will give the company 220 facilities, making it the largest private self-storage operator in the United States
While these are definitely companies to watch, other businesses and online aggregators can beef up their marketing efforts in these cities to compete. Making sure the business is technologically up-to-date with the latest software and internal processes could be a major factor in the longevity of the company. Utilizing these tactics and watching the market can give you leverage going forward and ideas on which markets to target. Strategic moves are key when competing against firms that have their eyes set on being number one, especially if your company does not have the same level of cash flow. Now is a good time to watch, listen and learn.