storedge quick tips: how (and why) to prevent live-in renters

STOREDGEQUICK TIPS

HOW (AND WHY) TO PREVENT LIVE-IN RENTERS

If you’re a veteran of the self storage industry, then you’ve probably heard about the increasing issues concerning live-in renters. Facilities all around the U.S. have experienced some fairly serious instances of tenants moving into their rented storage units.

Perhaps you’ve already encountered the problem at one of your storage facilities. Even if you haven’t, the phenomenon is an interesting one and, if you’re anything like me, you’re probably asking yourself a single, sincere question...

HAVE YOU HEARD OF THE INCREASING ISSUES CONCERNING LIVE-IN RENTERS AT STORAGE FACILITIES?

As a storage owner, you know better than anyone else that a storage unit is a less than ideal place to live. With that in mind, what would make a person or family want to move into a storage unit?

1. To save money

2. To cope with severe economic hardship

Let’s explore these further.

WHY WOULD ANYBODY WANT TO LIVE IN ASTORAGE UNIT?

I pulled nearby information for a 10’x30’ storage unit and an average studio apartment space within five miles of each other.


TO SAVE MONEY

PRICE/MONTH

SIZE (sq. foot)

PRICE/YEAR

PRICE/SQ.FOOT

STUDIO APARTMENT STORAGE UNIT

$410

400 sq. feet

$4,800

$1.03

$173

300 sq. feet

$2,076

$0.58

The price per square foot in your old studio apartment is, perhaps unbelievably, about twice as much as a new, spacious storage unit. So, by switching to a storage unit, you would save more than $2,000 in rent payments over the course of a year.

Even if you could afford a more pricey dwelling space, think of how you could use that saved money to pay off debts or provide more essentials for your family. This is why many people willingly choose to live in storage units.


TO SAVE MONEY

While some view the prospect of living in a storage unit as a way to quickly save more in their budget, others are simply desperate to make ends meet.

When you look at the numbers and facts for your city and truly put yourself in the mindset of an individual or family facing dangerous economic times, a storage unit doesn’t seem like such a bad place to turn.


TO COPE WITH ECONOMIC HARDSHIP


TO COPE WITH ECONOMIC HARDSHIP

KANSAS CITY STATISTICSprovided by Synergy Services

1. Synergy’s Women’s Center hotline received 3,011 calls in 2007.

2. Traditional homeless shelters don’t accept unaccompanied youth under 18.

3. 314 young people were sheltered by Synergy House in 2007.

If you ever find yourself confronted with a live-in renter, if may be difficult to stick to your guns, especially when you remember the extreme financial difficulties that many Americans are facing.

But let’s not forget that there are some very relevant concerns that arise when people move into your units...

THE NECESSITY OF A FIRM STANCE

1. Storage units are unsafe to live in.

2. Live-in renters compromise the security of the storage facility.

3. One live-in renter may start a domino effect.

4. As owner, you will be held liable for damages if you allow a renter to live in a storage unit.

5. Storage facilities are commercial (not residential) businesses.

THE NECESSITY OF A FIRM STANCE

We’ve established some very good reasons why you simply cannot allow a tenant to move into their unit. But how can you actively prevent against it?

Luckily, there are many ways that you can go about avoiding this issue, ranging from big changes to your facility to small steps you can take in your day-to-day activities.

HOW CAN YOU PREVENT YOUR TENANTS FROM SETTING UP CAMP AT YOUR STORAGE FACILITY?


1. Provide training to educate your staff. Consider including a section of training that demonstrates your approach to live-in renters.

2. Make your storage units uncomfortable to live in. While it’s up to you to decide what’s plausible for your business, consider ways you can ensure that your units are desirable for self storage and self storage only.

3. Offer a “transition assistance program” to your community. You’ll help local residents and you can play a part in their financial recovery without compromising the well-being and security of your facility.

CONSIDER SOME BIG CHANGES


1. Keep a gate log and check it regularly. By simply keeping tabs on who is spending several hours on facility property or who isn’t checking out, you can likely spot a problem quickly.

2. Schedule regular check-ups of your storage units. You can even use this opportunity to do regular maintenance on the units, checking the lights, locks, and insulation of the space.

3. Check video recordings against your gate log. Be vigilant and check out the cameras against the records of your gate log. You may be surprised at what you learn about your facility.

STICK TO A SCHEDULE


1. Check your rental agreement. If there isn’t one already, make sure that there is a section in your rental contract that outlines the prohibition of live-in renters. This one step will make your stance clear and potentially help you out legally should a renter decide to move in unnoticed.

2. Keep pamphlets for local shelters/resources in the office. Even though you have a business to run, you can still be sensitive to the financial struggles of those around you. While this step may not directly prevent a renter from moving in, it can point them in the right direction of getting help before they think about living in one of your units.

FIND SMALL WAYS TO MAKE A BIG IMPACT

Even if you agree with the points I’ve made or find that the preventative steps listed here are plausible, you could have initial difficulty sticking to them in the face of a desperate renter.

Whether you’re approached by a straightforward customer or you discover a tenant living in their unit after the move in, remember that you can be helpful and kind without endangering yourself, your employees, your customers, or your storage facility.

TAKING A STANCE DOESN’T MAKE YOU A BAD PERSON

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storedge quick tips: how (and why) to prevent live-in renters

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