Recent changes in the economy have created new challenges for self-storage managers, owners, investors and developers.

On the operational side of the business, competition is up and occupancies are down in many areas. Some operators battle for market share using concessions and discounts, while others crank up the heat through facility marketing programs and service. The emphasis on industry promotion is at an all-time high, with managers and owners learning all they can about online marketing, social media, community outreach and traditional advertising methods. Gone are the days when a facility could lease up with little effort; today’s self-storage operators must be marketing smart, sales proficient and customer service-oriented.

Development/investment has been stunted by a lack of ready financing and stringent underwriting standards. Health is slowly returning to the building market, but developers and investors must be more prudent than ever in regard to facility location, competition, amenities and marketing.