Bridge Self Storage in Toms River, N.J., sold for $5.7 million to Strategic Storage Trust Inc., a publicly registered non-traded real estate investment trust targeting the self-storage market. Its the companys fifth purchase in the New Jersey market. The facility will be rebranded under the SmartStop Self Storage trade name.

Built in 2006, the facility has 81,000 square feet on 2.8 acres. Its comprised of 630 storage units, 63 of which are drive-up exterior units with the remaining units interior climate-controlled. The two three-story buildings include a rental office and a rooftop solar-power generation system. Located at 3200 Route 37 East, this highly visible site is the first self-storage facility just over the bridge serving Toms River and the Barnegat Peninsula on the Jersey Shore. 

John H. Gilliland and John E. Barry of Investment Real Estate LLC represented the seller and buyer. The company provides self-storage brokerage, construction, feasibility and consulting services in the Northeastern and Mid-Atlantic states. 

Since the companys launch in 2008, Strategic Storage Trust Inc.s portfolio has expanded to include 79 facilities in 17 states and Canada.

CD Prizm Storage in Ellensburg, Wash., sold to a private investor for $1.5 million. The sale price was $50,000 over the list price.

The facility, 1011 Cascade Court, includes 370 self-storage units and a total of 49,200 net rentable square feet. Built in 1995, the facility is on 3.25 acres. It offers two levels of storage, interior and exterior storage and wide driveways.

Joel Deis and Christopher R. Secreto, investment specialists in the Seattle office of Marcus & Millichap Real Estate Investment Services, represented the seller and buyer, a limited liability company.

Marcus & Millichap specializes in commercial real estate investments. The company has more than 1,200 investment professionals in offices nationwide.

The Storage Business Owners Alliance LLC (SBOA), a cooperative organization that enables small to mid-size self-storage businesses to enjoy enhanced buying power, has partnered with StorageClicks.com to create a new Web directory of self-storage facilities at ineedstoragenow.com. From its launch, the website will include more than 3,000 locations. Its goal is to attract potential tenants to facilities nationwide, providing customer leads for participating self-storage operators.

SBOA members as well as members of the CubeSmart Network and customers of SMD Software Inc. (SiteLink) may list their self-storage facilities on the directory for free for the first year.

The SBOA enables smaller self-storage operations to enjoy the benefits of bulk buying power. The group has grown to include more than 2,200 member facilities and 30 vendor partners. Members pay an annual membership fee to save on items such as packing and moving supplies, marketing services, payroll services, UPS shipping and more.

StorageClicks.com is an Internet-marketing platform for the self-storage industry. Its principals have more than 30 years of combined self-storage management experience.

Launched in April 2009 as the U-Store-It Network, the CubeSmart Network offers online marketing solutions for storage companies nationwide. Network members get a free listing where customers can find facility information and reserve a storage unit.

Established in 1996, SMD is the producer of SiteLink property-management software for self-storage and portable-storage operations.

By Bob Owens

Your self-storage business is only as strong as your most valuable assetsyour employees. In a competitive landscape, protecting their health and enhancing productivity by incorporating green-cleaning practices can positively affect your bottom line.

There are many stories of unhealthy environments in workplaces across the country. Employees are falling ill with respiratory problems, chronic headaches and other health issues. Increased absenteeism and high health-insurance costs all adversely affect a companys bottom line. Still, company owners dont understand why many workers are missing so many days. What most of them dont know is the answer may lie in the actual buildings in which their businesses operate.

According to the American Institute of Architects, 30 percent of U.S. workers suffer from health problems caused by volatile organic compounds from carpeting and furniture, inadequate air circulation, poor lighting and mold buildup. The U.S. Environmental Protection Agency estimates workers take up to $3 billion worth of sick days annually to recover from the ailments and numerous other health conditions stemming from unhealthy work environments. In addition, a recent Consumer Federation of America study shows about $100 billion annually in healthcare costs and lost earnings can be attributed to sick building syndrome (SBS) and the reduced productivity it causes.

Although this poses a serious health and productivity threat to the American workforce, the good news is more companies are realizing the importance of a healthy work environment. A manifestation of this increased environmental awareness is the awareness that green cleaning is good for employeesand the company.

Benefits of Green Cleaning

Green cleaning uses a combination of products, practices and equipment to clean effectively while protecting the environment and the people who work there. Recent studies suggest that its effects are substantial. According to the Indoor Environment Department at the Lawrence Berkley National Design Laboratory in California, improved air quality achieved through sustainable design, building and cleaning strategies can lower SBS symptoms by 20 percent to 50 percent, while cold and influenza are reduced by 9 percent to 20 percent, and allergies and asthma drop 8 percent to 25 percent.

Taking a green approach to cleaning involves using certified cleaning products. For example, instead of taking the mop-and-bucket approach to cleaning, use spray cleaners with microfiber floor polishers that are either reusable or disposable so they dont introduce dirty water to the floor.

There are also a number of products considered green you can purchase from maintenance suppliers and even your local grocer. Be careful, however, as not all products that claim to be eco-friendly truly are. Look at the products labels for specific green ingredients such as grain alcohol instead of toxic butyl cellosolve as a solvent, and plant-oil disinfectants such as eucalyptus, rosemary or sage instead of triclosan. There are also a number of websites with recipes for mixing your own environmentally friendly cleaning products using simple ingredients such as vinegar, baking soda, lemon juice, borax and others.

When cleaning floors, be sure your vacuum cleaner is equipped with a high-efficiency particulate air (HEPA) filter that traps small particles that would either be left behind by conventional vacuum cleaners or worse, lifted and spread into the air. Self-storage operators should also consider using recycled bathroom paper productstissue paper and paper towelsbecause theyre biodegradable.

By maintaining healthier, happier employees and a more sustainable workplace, green cleaning provides long-term health and cost benefits that clearly make the switch from traditional cleaning advantageous. If you havent incorporated these products and techniques into your self-storage business, nows the time to start.

Robert Owens, co-founder and president of O,R&L, has more than 22 years of experience in the real estate management and construction industries. Under his leadership, O,R&L Facility Services has become an industry leader in facility management, property management and janitorial services for properties and companies. Hes also the co-founder and president of Owens Realty Network, a Winter Park, Fla.-based realty brokerage firm. For more information, visit www.or-l.com.

CubeSmart, a self-storage real estate investment trust, is offering 20,000,000 common shares in an underwritten registered offering. The pricing for the common shares is $9.20 per share. Gross proceeds from the offering will be approximately $184 million, subject to customary closing conditions.

The company also plans to grant the underwriters a 30-day option to purchase up to an additional 3 million common shares to cover over-allotments, if any. Wells Fargo Securities and BofA Merrill Lynch are the joint book-running managers for the offering.

The company expects to use the net proceeds from the offering for a portion of the acquisition of 22 self-storage facilities from Storage Deluxe and for general corporate purposes.

The common shares will be offered under the company's existing effective shelf-registration statement filed with the Securities and Exchange Commission. A prospectus supplement related to the offering will be filed with the Securities and Exchange Commission. Any offer, solicitation or sale will be made only by means of the prospectus supplement and the accompanying prospectus.

A copy of the prospectus supplement and accompanying prospectus relating to these securities may be obtained, when available, by contacting Wells Fargo Securities LLC, Attention: Equity Syndicate Department, 375 Park Ave., New York, N.Y., 10152, at 800.326.5897 or e-mail a request to cmclientsupport@wellsfargo.com.

CubeSmart is a self-administered and self-managed real estate investment trust that owns or manages 456 facilities across the United States and operates the CubeSmart Network, which consists of approximately 838 additional self-storage facilities.

Stor-n-lok Warehouses Inc. acquired three self-storage facilities in the Portland, Ore., area from Stor-room Mini Storage LLC for $11.25 million, an average of $81 per square foot. Although the three acquisitions were separate transactions, they closed on the same day.

The properties include a 59,661-square-foot facility at 4534 SE 17th Ave. in Portland. Built in 1990, the property sits on 1.8 acres. The facility sold for $6,188,072.

The second property, 24635 S.E. Stark St., in Gresham, Ore., sold for just over $3 million. The 48,004-square-foot facility is on 2.5 acres and was built in 1991.

The final property sold for about $1.8 million. The 30,400-square-foot facility, 1900 N.E. 181st Ave., was built in 1965. The Portland facility includes 1.3 acres.

Alan Wells of Commercial Associates in Corvallis, Ore., represented both parties in the related transactions.

StorageMart, a self-storage operator with more than 130 facilities across the United States and Canada, recently signed an agreement with JCM Capital to install 640,000 square feet of solar collectors on the roofs of its Toronto properties. Engineering work is under way, and installation should proceed during the first quarter of 2012.

Once installed, the solar panels will generate approximately 3 megawatts of power per year. "We look forward to the completion of this project, which will be one of the largest solar-generation projects on self-storage in North America, said Mike Burnam, CEO.

In 2009, the province of Ontario launched the Feed-in-Tariff (FIT) Program, North Americas first comprehensive guaranteed-pricing structure for renewable-electricity production. It offers stable prices under long-term contracts for energy generated from renewable sources including biomass, biogas, landfill gas, on-shore wind, solar photovoltaic and waterpower.

Enabled by the Green Energy and Green Economy Act of 2009, the FIT Program is being implemented by the Ontario Power Authority, which purchases energy generated from renewable sources. The program aims to phase out coal-fired electricity generation by 2014, boost economic activity and the development of renewable-energy technologies, and create new green industries and jobs.

In addition to this its environmental effort, StorageMart supports charities in the communities in which it operates, including Habitat for Humanity, Ronald McDonald House, adoption and foster programs, animal-rescue missions, and others. The company also funds the ScholarSmarts program, which awards $10,000 in higher-education scholarships annually.

JCM Capital is a boutique investment firm that focuses exclusively on financing in the solar-energy industry. Through an international network of industry partners, the company provides a full range of capital across the development spectrum. Past transactions include development loans, acquisitions, take-out equity and long-term debt.

StorageUnitAuctionList.com, a nationwide directory of self-storage unit auctions, is offering yearly subscribers a free copy of its 63-page publication, The Complete Guide to Storage Auctions. Valued at $19.99, the guide provides auction tips from self-storage industry experts as well as information for auction hunters on how to sell the goods they win at auction. It also includes a bluebook-style guide for valuing commonly stored items.

The giveaway is part of the companys desire to become the leading online resource for people who want to profit from storage auctions, according to a press release. The guide is just another step toward helping our members profit from what they love to do, said Maddison Lake, founder and president.

StorageUnitAuctionList.com is a national database provided by a network of self-storage facility owners and auctioneers. Launched in January 2011, the website helps members keep an organized schedule of upcoming auctions with resources such as maps, calenders and tables. It also provides detailed information on self-storage laws to help protect facility owners, auctioneers, buyers and tenants and establish best practices for self-storage auctions.

By Lucia Darnell

Self-service storage is a relatively new concept in Latin America, which comprises Mexico as well as the Caribbean, Central America and South America. Companies providing self-storage in these regions have only been around about 20 years or so compared to the United States, where theyve existed for almost half a century. But though self-storage is young in this region, its growing, with support coming from word of mouth, new laws, a growing customer base and an industry-specific association.

Spreading the Word

Most Americans are at least somewhat familiar with self-storage. Even those whove never used the service are aware of what it is and have a basic idea of how it works. This is due to many factors such as the vast number of storage facilities along roadsides and in neighborhoods, word-of-mouth testimonials from current and past tenants, and even popular television shows.

But industry familiarity is not at all the case in Latin America. Since self-storage is such a new concept in these countries, its important to get the word out to potential customers. Its common for facility operators to employ outside sales personnel whose main job is to visit office buildings, manufacturing companies, apartment complexes and so on, promoting the advantages of renting storage space.

New Laws

Passing laws and regulations that pertain specifically to self-storage is essential in Latin America, both for facility owners as well as tenants. Laws act as guidelines for self-storage operators, and can even protect  them from hefty fines resulting from lawsuits. In addition, self-storage legislation can regulate rental agreements, lien sales and value limits on items stored, which protects all parties involved.

For example, in the United States, its understood that each tenant is responsible for the items in his own individual unit. If someone stores stolen property or other contraband, that person alone is held accountable. But if this situation were to occur in some Latin American countries, the entire self-storage complex might be shut down and all business brought to a halt until justice is decided. This obviously can cause a severe hardship to the owner as well as customers renting space at the facility.

Emerging Customer Base

The few self-storage companies that exist in Latin America have been well received and are going strong. Their tenants consist mostly of businesses, tourists and wealthy individuals.

Businesses often find it much cheaper and even safer to rent storage space for things such as surplus merchandise, boxes of files, large equipment, etc. It can be more economical to rent offsite storage than to lease a bigger office or build a new warehouse.

Because of the large number of businesspeople who are tenants, many storage companies furnish an area dedicated to this group of clientele including features such as workstations with computers and Internet capabilities, fax and copy machines, conference rooms, and other business-related amenities.

Touristsparticularly American touristsare accustomed to the idea of self-storage, and they like their stuff! So renting a storage space to park a car for a month while visiting a foreign country or store vacation gear during the off season is very common. This can be much easier than hauling everything back home to the States.

At present, most people who rent self-storage in Latin American countries are in the economic upper class. This is why many storage companies offer amenities that are not commonly available in the United States, for example, a concierge service for tenants to assist them with their moving and storage needs. The concierge can arrange rides for tenants to the airport or other locations. It can even provide a mechanic for basic vehicle maintenance such as battery changes and flat-tire repair, which is great for automobiles parked for long periods.

But the future of self-storage in Latin America definitely lies with the emerging middle class. Although not wealthy by any means, many people in these countries are becoming far more financially secure. With new money comes the desire to buy new stuff, and with new stuff comes the need for space.

Association Support

The Latin American Self Storage Association (LASSA) was formed to assist and advise anyone involved with self-storage in the region to deal with the trials and tribulations of this new industry. Its an alliance of people working together to further the development of the businesscolleagues as well as competitorswith the common goal of improving the environment for all. Members are owners, vendors and other self-storage personnel who collaborate to enact favorable laws and determine what works well for the industry today and in the future.

Between getting the word out about the benefits of self-storage, new laws being enacted, and a whole new group of potential customers emerging, the outlook for self-storage in Latin America is promising. The association will be there to provide support to facility operators and help improve the business for everyone involved.

Lucia Darnell is secretary for the Latin American Self Storage Association and the Spanish business director for PhoneSmart, an off-site sales force that provides self-storage operators with call-center services and employee-training programs. She can be reached at lucia.darnell@phone-smart.net . For more information about LASSA and self-storage development in the region, visit www.laselfstorage.org .