Setting up self storage business in South East London.

[iykeland]

I’m into buy to let property investment. With the present interest rate hikes, the business is like walking on a tight rope. A friend has recently given me the idea of diversifying into container self-storage. I have decided to explore this route and I am looking for resources and information about how to setup this business correctly, which seems to be scarce on the internet, I may be wrong. Are there any courses/mentorship available? I couldn’t even find anything on YouTube produced by people based in Uk except for those based in USA. Grateful for your support in my research!

 

[DoolallyTap]

Containerised self store is a simple business to operate.
You need some land, preferably visible from a main road, you need the containers, you need security, fences, gates cameras, perhaps a website or local advertising. Insurance etc.
Easy, how much capital can you raise? 100 containers, about £800 each, plus the land etc, deep pockets or access to capital.

 

[BusterBloodvessel]

If you've no experience but access to the land/capital, could be worth looking into a franchise with easyStorage, perhaps.

 

[Mark T Jones]

Your first consideration is the right land - with focus on access, planning and neighbours.

As an aside, it's not a bad time to be in BTL - as long as you have a long strategy and haven't fallen into the "top-slice millionaire' myth. My friends in this sector have bought 3 houses for BTL in as many months.

 

[kantanLiving]

You should also consider renting one yourself for a week, to get an idea of how others run it. Practical experience will probably solve a lot of your questions and how to add USP to your business to win over competitors.

 

[JEREMY HAWKE]

I think its a fantastic idea in London if you can get the land and set up a secure site a lot of our London and collection and delivery points are businesses using self store sites
I don't like the idea of joining a franchise you would regret it down the line

I do a very small amount of storage for our customers here in Devon and the demand is high

 

[iykeland]

You should also consider renting one yourself for a week, to get an idea of how others run it. Practical experience will probably solve a lot of your questions and how to add USP to your business to win over competitors.

Thank you for your advice. I will try using a self storage myself as it sounds like a great idea for learning.

 

[iykeland]

I think its a fantastic idea in London if you can get the land and set up a secure site a lot of our London and collection and delivery points are businesses using self store sites
I don't like the idea of joining a franchise you would regret it down the line

I do a very small amount of storage for our customers here in Devon and the demand is high

Thank you for this encouraging information, coming from someone who has some firsthand experience. Do you use the containers for the small storage you provide in Devon?

 

[JEREMY HAWKE]

Thank you for this encouraging information, coming from someone who has some firsthand experience. Do you use the containers for the small storage you provide in Devon?

Yes and they adequate enough provided they are insulted The one not insulated we just use for overnight storage of loads

 

[iykeland]

Your first consideration is the right land - with focus on access, planning and neighbours.

As an aside, it's not a bad time to be in BTL - as long as you have a long strategy and haven't fallen into the "top-slice millionaire' myth. My friends in this sector have bought 3 houses for BTL in as many months.

Thank you for your input which I appreciate. It is quite good you touched on some of the areas I am thinking about, I wonder if you could tell me more about planning considerations and neighbours you mentioned or sign post me to where I can get more information about those considerations.

 

[iykeland]

Containerised self store is a simple business to operate.
You need some land, preferably visible from a main road, you need the containers, you need security, fences, gates cameras, perhaps a website or local advertising. Insurance etc.
Easy, how much capital can you raise? 100 containers, about £800 each, plus the land etc, deep pockets or access to capital.

Thank you for your input which is encouraging. I am looking to start small and gradually grow the business. What type of container would cost about £800 each?

 

[JEREMY HAWKE]

Thank you for your input which I appreciate. It is quite good you touched on some of the areas I am thinking about, I wonder if you could tell me more about planning considerations and neighbours you mentioned or sign post me to where I can get more information about those considerations.

I don't really know about planning permission as a I rent a small yard on a new rural industrial estate.
The company I rent from have an operating licence for 25 arctics so a few shipping containers don't need planning here

 

[iykeland]

I don't really know about planning permission as a I rent a small yard on a new rural industrial estate.
The company I rent from have an operating licence for 25 arctics so a few shipping containers don't need planning here

Within 10-15minutes drive from where I live in south East London, I can think of three different industrial areas that I have always thought there are yards that are outrightly vacant or under-utilised. I have been of the opinion that such sight should be ok. As you have mentioned planning, I will look into this further.

 

[iykeland]

Yes and they adequate enough provided they are insulted The one not insulated we just use for overnight storage of loads

If you don’t mind me asking, do some containers come insulated and some don’t? What seizes of containers do you use? Do you use brand new containers or secondhand?

 

[Mark T Jones]

As @JEREMY HAWKE has said, the location itself will give some clues as to planning - if you are on a reading estate it's likely to be more relaxed than in a residential area.

Beyond that, the nurture of facility/service will be relevant. Things like

24 hour access

Floodlights

Security fencing etc etc.

Planning officers should be forthcoming with advice (in a perfect world)

 

[iykeland]

As @JEREMY HAWKE has said, the location itself will give some clues as to planning - if you are on a reading estate it's likely to be more relaxed than in a residential area.

Beyond that, the nurture of facility/service will be relevant. Things like

24 hour access

Floodlights

Security fencing etc etc.

Planning officers should be forthcoming with advice (in a perfect world)

Thanks a lot. Very helpful!

 

[JEREMY HAWKE]

If you don’t mind me asking, do some containers come insulated and some don’t? What seizes of containers do you use? Do you use brand new containers or secondhand?

Second hand As far as know they don't come insulted the insulted ones were done on site by a chap with a spray gun

 

[iykeland]

Second hand As far as know they don't come insulted the insulted ones were done on site by a chap with a spray gun

Thanks for the very useful info.

 

[MOIC]

If this is a long term project and you have sufficient finance (budget for at least x 2 of what you think you'll need).

Some pointers to consider:

• Source one-time use containers.
• Concrete & level ground.
• Option of containers on top of each other.
• 20ft & 40ft container sizes.
• Security, Security, Security.
• Legally prepared comprehensive contracts.
• Planning permission will be a hurdle to many sites you locate.

If done right, it's a lucrative business.

 

[iykeland]

If this is a long term project and you have sufficient finance (budget for at least x 2 of what you think you'll need).

Some pointers to consider:

• Source one-time use containers.
• Concrete & level ground.
• Option of containers on top of each other.
• 20ft & 40ft container sizes.
• Security, Security, Security.
• Legally prepared comprehensive contracts.
• Planning permission will be a hurdle to many sites you locate.

If done right, it's a lucrative business.

Thanks a lot for your insightful and encouraging response.

 

[Socio South West]

Thanks for the very useful info.

Another cheap and effective way to reduce the extremes in the containers is to put a single layer of pallets on the top with board on top of the pallets. Make sure the area under the pallets (ie along the sides) stays open to allow the air to circulate freely.

 

[IanSuth]

An extra income which i have seen being done here and would work in London is storage for students over holidays

There is a firm who will take and securely store students belongings over the summer holidays, collected form the uni and delivered back to in the Autumn. Once you have the storage premises, given the number of international students, their £ and the relatively small amount of storage required for each plus zero access requirements that could be an extra income stream

like this lot - https://theboxco.co.uk/pages/studentstorage

If you already run BTL you might be able to sell it to your current renters to use between lettings even

 

[blundens]

@iykeland - we have unique insight into the world of self storage. Happy to chat.

 

[Liam118]

I’m into buy to let property investment. With the present interest rate hikes, the business is like walking on a tight rope. A friend has recently given me the idea of diversifying into container self-storage. I have decided to explore this route and I am looking for resources and information about how to setup this business correctly, which seems to be scarce on the internet, I may be wrong. Are there any courses/mentorship available? I couldn’t even find anything on YouTube produced by people based in Uk except for those based in USA. Grateful for your support in my research!

Hi, did you have any luck with this question? I’m currently in the same boat and finding it very difficult to get started! Doesn’t seem to be a great deal of info out there, or at least nothing I can find…

 

[Liam118]

@iykeland - we have unique insight into the world of self storage. Happy to chat.

Hi, I’d be very interested to hear what info you have if you get a chance? Many thanks! Liam

 

[Linada]

I’m into buy to let property investment. With the present interest rate hikes, the business is like walking on a tight rope. A friend has recently given me the idea of diversifying into container self-storage. I have decided to explore this route and I am looking for resources and information about how to setup this business correctly, which seems to be scarce on the internet, I may be wrong. Are there any courses/mentorship available? I couldn’t even find anything on YouTube produced by people based in Uk except for those based in USA. Grateful for your support in my research!

Hi @iykeland great thread. I was doing my own research on starting a self storage business. I'm also SE London based. Let me know if you'd like to connect!

 

[paultervit]

Jumping into this one a bit late so hoping some of the guys on here have made some progress. I'm currently at the early stages of looking into a similar business in Central Scotland. First hurdle I'm having is finding a suitable site. Any pointers on how to progress would be appreciated.

 

[JEREMY HAWKE]

Jumping into this one a bit late so hoping some of the guys on here have made some progress. I'm currently at the early stages of looking into a similar business in Central Scotland. First hurdle I'm having is finding a suitable site. Any pointers on how to progress would be appreciated.

Look at industrial estates where any planning permission would be easier to gain

 

[iainnib]

I've got a friend who runs a tech business helping self storage sites manage the tech. It's been a while since I caught up with him but I think you can launch the website, take bookings and manage the whole operation remotely. It's called Stora.

 

[paultervit]

I've got a friend who runs a tech business helping self storage sites manage the tech. It's been a while since I caught up with him but I think you can launch the website, take bookings and manage the whole operation remotely. It's called Stora.

Ive been looking at that. It looks lie a really useful tool he runs.