Container self-storage business

[Grouse71]

Dear All

Just joined the community and would be grateful for any advice on the following, please:

I am looking to do a commercial property development to include small workspace units (1000-3000ft2) and container self-storage on the same, brownfield site.

I have a lot of experience in residential property but little in commercial. I'm at the early stage of this project and my biggest conundrum right now is where to start my site search. I'm based in based in North West London and it seems clear to me that the cost of land in my neck of the woods would not support a viable development of this kind or at least not at a scale which I could fund. I have good access to the M1, M4 and M40 so that radius more or less sets out my direction of travel. Considering areas such as Coventry, Birmingham, Leicester, Wolverhampton, Milton Keynes, Peterborough etc. Obviously I need to focus in on a few areas where the typical cost of land / existing industrial will make this accessible and viable, together with the right demographics and level of economic vibrancy. And of course, the geographic scope of my search area needs to be tight enough that I can build a network of agency contacts etc.

I am also looking to make contact with storage operators who might be able to give me some guidance on locations and share insights on setting up the storage side of the business. OK, this may sound naive - I don't expect operators to be encouraging competition in their back yard but if someone could give me some pointers or introductions that'd be great.

Thank you all in advance.

Grouse71

 

[MBE2017]

Can’t help with any real advice, but what I would say is small units with say a shutter door, toilet etc are like hens teeth. I would certainly look into that as a great potential niche, loads of larger units, or awful ones stuck in the middle of nowhere on dirty farms, but very few in major towns and cities.

 

[sarky]

Self-storage: I'm a customer and found it very difficult to get anything at all in Oxfordshire. Several people suggested not even adding me to the waiting list as there was such a demand. From my invoices I can see that there's a Self Storage Association - perhaps that might be helpful?

 

[GraemeL]

Old landing strips

 

[Grouse71]

Self-storage: I'm a customer and found it very difficult to get anything at all in Oxfordshire. Several people suggested not even adding me to the waiting list as there was such a demand. From my invoices I can see that there's a Self Storage Association - perhaps that might be helpful?

Thanks Sarky. Yes, SSA is a good idea for a starting point! I would have thought that land costs would be relatively high (and therefore viability a struggle) in Oxfordshire as it is a very prosperous part of the country ... but I will investigate.

 

[Grouse71]

Old landing strips

What a great train of thought ... !

 

[japancool]

Out of interest, are you also planning to convert containers into workspaces?

 

[Grouse71]

I have thought about it but no plans at this stage.

 

[MorrisChesterfield]

Hi,

I have a yard with 70 containers and around 90% full.

only issue with starting a site at the moment Is the container costs, i bought 30 just before covid at £1850 and now they are £3100….

land to actually buy is the biggest issue, can’t find any for expansion.

 

[Grouse71]

Hi,

I have a yard with 70 containers and around 90% full.

only issue with starting a site at the moment Is the container costs, i bought 30 just before covid at £1850 and now they are £3100….

land to actually buy is the biggest issue, can’t find any for expansion.

Thank you. I appreciate that feedback.

 

[Financial-Modeller]

There are plenty of plans available for converting containers into residential accommodation, so converting to workspace should be straightforward.

You seem to be wary of land costs, suggesting that you're planning to buy a site(?)

Surely you want a site that people want to visit rather than a cheap site that nobody wants to use. Pricing and occupancy will drive your return. SafeStore/BYG etc don't seems to be struggling, occupying relatively expensive sites in relatively high traffic areas.

 

[Grouse71]

Some very good points there, thank you. I am driven by location first as, obviously, if the side is in the wrong location it doesn’t matter what cost.
So, yes, the right side of the right price.

 

[Grouse71]

Some very good points there, thank you. I am driven by location first as, obviously, if the side is in the wrong location it doesn’t matter what cost.
So, yes, the right side of the right price.

Sorry, some very poor voice recognition in my last post! I should’ve said: the right site at the right price.

 

[Deleted member 59730]

There is a self storage site near me which has been full since it opened. The owner operates it remotely from Southern Spain.

 

[IanSuth]

I know a few in Berkshire which are in Barns or on the corner of farmyards.

Past experience as i grew up tells me you can get away with a fair amount on farms unless their is a nosy neighbour who reports the owner for "non agricultural" land use and of course access may not be great all year. But I am sure their are smaller farmers in the Denham/Iver type of area who would have space for a few shipping containers if you can get hold of them at a sensible price

HOWEVER

The closer to major transport routes you are the bigger a theft target you are and a farmyard is often not the most secure place - even with CCTV etc by the time plod have arrived the thieves have ground off the locks been in the containers and had it away with whatever they want. Your customers will want to feel their goods are secure

 

[Grouse71]

There is a self storage site near me which has been full since it opened. The owner operates it remotely from Southern Spain.

Thanks. Do you mind me asking where that is?

 

[Grouse71]

I know a few in Berkshire which are in Barns or on the corner of farmyards.

Past experience as i grew up tells me you can get away with a fair amount on farms unless their is a nosy neighbour who reports the owner for "non agricultural" land use and of course access may not be great all year. But I am sure their are smaller farmers in the Denham/Iver type of area who would have space for a few shipping containers if you can get hold of them at a sensible price

HOWEVER

The closer to major transport routes you are the bigger a theft target you are and a farmyard is often not the most secure place - even with CCTV etc by the time plod have arrived the thieves have ground off the locks been in the containers and had it away with whatever they want. Your customers will want to feel their goods are secure

Thanks for your insights. I am looking to buy the land out right so may be difficult to purchase a yard from a farmer but you’re right to say that they do have some very useful applications. There is a lot of poorly used farmyard space around the UK and Ireland in my experience!

 

[IanSuth]

Thanks for your insights. I am looking to buy the land out right so may be difficult to purchase a yard from a farmer but you’re right to say that they do have some very useful applications. There is a lot of poorly used farmyard space around the UK and Ireland in my experience!

Planning will be the issue - agricultural land use you can get away with a lot, as soon as it is commercial expect a lot of Nimby's to pop up.

We let a banger racing team use the side of a track 2 fields over from the road to prep cars (nothing mad just 2 or 3 cars max at a time, 1 of which was always on a trailer) and you would have thought we had opened a scrapyard from the complaints (and the councils reaction)

 

[Nigel Dawson]

Dear All

Just joined the community and would be grateful for any advice on the following, please:

I am looking to do a commercial property development to include small workspace units (1000-3000ft2) and container self-storage on the same, brownfield site.

I have a lot of experience in residential property but little in commercial. I'm at the early stage of this project and my biggest conundrum right now is where to start my site search. I'm based in based in North West London and it seems clear to me that the cost of land in my neck of the woods would not support a viable development of this kind or at least not at a scale which I could fund. I have good access to the M1, M4 and M40 so that radius more or less sets out my direction of travel. Considering areas such as Coventry, Birmingham, Leicester, Wolverhampton, Milton Keynes, Peterborough etc. Obviously I need to focus in on a few areas where the typical cost of land / existing industrial will make this accessible and viable, together with the right demographics and level of economic vibrancy. And of course, the geographic scope of my search area needs to be tight enough that I can build a network of agency contacts etc.

I am also looking to make contact with storage operators who might be able to give me some guidance on locations and share insights on setting up the storage side of the business. OK, this may sound naive - I don't expect operators to be encouraging competition in their back yard but if someone could give me some pointers or introductions that'd be great.

Thank you all in advance.

Grouse71

Hi Grouse71 - do you have a email address i can contact you on. I can help with the support you need.