Storage Industry Surprisingly Highly Lucrative

Just because brick-and-mortar locations are closing, that doesn’t mean there’s been any sign of retail sales overall slowing down.

eCommerce’s impact on the retail industry has no doubt been immense over the past decade.

As such, it should come as no surprise that self-storage construction spending has soared over the past six months. With the low cost of operation, businesses like Public Storage and other storage facilities have seen $538 million in revenue for booking units for the first three months of 2017. The cost to operate these new storage industry leases is a fraction of the profits at just $149 million.

This type of profit margin has no doubt lured people into going into the storage industry for to store people’s prized possessions. Companies like Los Angeles-based Clutter takes its storage services up a notch by offering its customers more of an on-demand experience through online uploaded images of stored items.

While many self-storage units continue to pop up all over the country, there are some that are considering turning old brick-and-mortar stores into storage facilities. Think of this as a way to upcycle businesses that were once profitable but won’t achieve the same success in the same way as they did before the eCommerce boom.