Each year Storage Asset Management, Inc (SAM) announces the results of their managed self-storage properties compared to the 5 publicly traded self storage companies, REITS (real estate investment trusts), of CubeSmart, Extra Space Storage, Life Storage, Public Storage, and National … Continued
FAQ’s: Third Party Management
1. What does a third party management company do? What is included in management services? What is the cost?
Hiring a third party management company is the right step to increase your chances for continuing success. We are a full service management company that covers operations, accounting, and marketing. We work with owners on marketing, revenue management, training, financial reporting and general property management This includes finding and hiring your on-site staff, helping adjust your unit mix, helping with the design and layout of the front office, integrating your computer software and hardware, establishing a marketing plan, developing your rental agreements and forms, and establishing policies and procedures.
The cost for the management services can be discussed during the initial meeting.
2. What do you do that I cannot as an owner of the facility?
Since SAM Inc only specializes in self-storage, we bring years of experience in this industry. We act quickly when the tides change with the proper tools and resources, including a plan tailored to your specific property. We have an automated, data-driven revenue management tool, that will maximize the value of your property.
Additionally, we consistently monitor all of our facilities expenses and compare them to similar facilities to help increase everyone’s cost savings. We can use economies of scale to decrease costs for utilities, advertising, call center, etc.
Store managers also have a peers and team of experts supporting and training them.
3. Can I, as the self-storage facility owner, still be involved if I sign-up for management services?
Yes, with SAM Inc third-party management you can be involved in the day to day operations as much or as little as you choose. We are flexible in our partnership with owners. We have the ability to provide the owner with details or just an overview of important information.
4. What should I look for in a third party management company?
When choosing a third-party management company, you want to make sure it is a good partnership on both sides. You will want to choose a third party management that offers the level of engagement you want along with the fee structure that is comfortable for you.
Additionally, you want to research the management company’s track record. At Storage Asset Management, we can provide you with details on our success with year over year data along with references that you can speak to as well.
5. What type of reports do I receive about my facility?
We know how important having up to date information on your property is to you so we make sure that you have access to all the data you need. You will have access to the following reports:
- Bank Account and Financial Report Reconciliation
- Owner Distributions
- Income statements
- Monthly balance sheet
- Monthly Reporting on operations update (staff, market, site maintenance, etc.)
- Capital project suggestions
- Customer survey results
- Quick access to any additional reports requested
5. How often will be my facility be visited?
A District Manager is assigned to each storage property we manage. The District Manager will visit your site at least monthly, but often more frequently than that. The Store Manager will be on-site daily and trained in all SAM operations policies and procedures.
7. Can I keep my brand or do I need to change to yours?
Storage Asset Management understands the importance of branding identity. If you already have a brand, we will help to strengthen it the marketplace with our marketing expertise. If you do not have your own brand, we have developed a brand that you can utilize. Storage Sense is Storage Asset Management’s brand for facilities. If you choose to use this brand, the costs will allow for even better economies of scale with website and marketing expenses since the brand is established. If you are interested in licensing our brand, we can discuss that.
8. What type of marketing will be done for my facility?
Storage Asset Management’s marketing team takes a three part pathway approach to advertising for your self storage facility by focusing on the digital market, the local market, and the self storage property itself. We take pride in having state of the art websites to make sure any potential tenant can easily find your property online. With our websites you will be able to take online payments, customer reservations, and online move-ins. Our marketing focuses on localized marketing efforts, including events and grassroots marketing. We monitor the results and use the local self storage property manager’s feedback to customize on ongoing marketing plan for your facility. We encourage existing customers to refer their friends who need self storage units to your facility, and use the interior of the self storage property to advertise retail sales, protection sales, and referral programs.
9. What about my existing staff?
We will interview the existing staff first, and make our recommendation if they are a fit for SAM Inc.
10. What if my facility is located close to one you already manage?
In our contract with you, we will set a radius around your facility. We will not manage any other facilities inside that radius.