The Simple, Smart, Secure
Self Storage Solution
S3 Storage Solutions is a real estate development firm focused on developing modern self-storage facilities for our customers and providing exceptional returns to our investors.
LEADERSHIP
S3 Storage Solutions was founded and is led by Andy Bilmanis, a self-storage entrepreneur with a strong background in mechanical engineering and construction. Andy oversees all aspects of the business, including underwriting, syndication, development, construction, and management of new self-storage projects. He is also an active member of the North Carolina Self Storage Association.
VISION
We are committed to developing modern Class-A self-storage facilities, and delivering exceptional value to our investors through above-market returns. We integrate industry-leading practices and advanced technology into every facility, ensuring a safe and secure environment for our customers to store their belongings with confidence. Discover why we are the Simple, Smart, and Secure choice for self-storage.
EXECUTION
Our proven business plan is built on conservative underwriting, industry best practices, and strategic partnerships to bring our vision to life. For each property, we conduct comprehensive feasibility studies and thorough due diligence to validate market conditions and mitigate risk to our investors. This approach allows us to deliver high-quality storage facilities similar to those owned by the national REITs.
Self-storage is a thriving $29 billion industry. In the U.S. alone there are over 60,000 facilities and 2 billion square feet of space. Tailored for renting individual spaces with flexible month-to-month terms, it supports lifestyle changes and transitions.
DEMAND
Through the years, as populations and household median incomes increased, the demand for self-storage has steadily grown in the United States:
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11.1% of US households utilize self-storage
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Average of 7.40 SF per person in United States
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More than 40% of customers utilize storage for greater than 12 months
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Customers typically live within a 3 to 5 mile radius of the facility, mainly for convenience
BARRIERS TO ENTRY
The barriers to entry for self-storage are much more attractive than other commercial real estate asset classes such as Office, Retail, and Multifamily, due to simplistic nature of construction and lack of features typically required for human occupancy.
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When comparing self-storage to other asset classes (dollar per SF)
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40-60% Lower Development Costs
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10-20% Lower Operating Costs
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Equal or greater Rental Income
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Only about 27% of self-storage facilities are owned by the national REITs in the United States
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Third-party operations companies can handle operations of facilities for owners and allow them to compete with the larger REITs
INVESTMENT OPPORTUNITY
The increase in demand and lower barriers to entry for self-storage assets has made it very attractive for investors in addition to the following reasons:
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Great for Passive Investors – Self-storage has performed well during economic downturns and also during economic expansion, as storage demand is driven by change.
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Recession Resistant – Less than 1% default rate after 2008 market collapse and after the COVID pandemic. Continues to have the lowest default rate when compared to other asset classes as interest rates have risen.
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Pandemic Resilient – During the COVID pandemic, self-storage demand increased. Self-storage has favorable tenant-landlord laws as compared to other asset classes, and the majority of municipalities have classified it as an “Essential Use” asset.
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Returns – The self-storage asset class has the highest total returns over 5 and 10 year averages per NAREIT.
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Value Creation - In recent years, Wall Street and private equity firms have realized the benefits of self-storage investments, which has resulted in significant investment demand and increases in property values.
We have a proven track record of delivering high-quality self-storage facilities to meet evolving customer needs, strategically positioned in underserved, high-growth markets.
COMING SOON
S3 Storage Solutions is currently working through our rigorous due diligence process on our next self-storage development project. More information coming soon.
DISPOSED PROPERTIES
The Storage Haven self-storage facility in the Mountain Island Lake area of Charlotte, North Carolina was a ground-up development from entitlement to operations by S3 Storage Solutions. This is a 91,000 square foot, Class-A facility offering climate and non-climate controlled space with Boat/RV parking. The property was comprised of two bi-level structures and one single level structure. All of the 604 storage units are accessed from the ground level access with no elevators. The facility opened for business in the Fall of 2020 and was ultimately sold in May 2021 to a private equity group. This project produced returns for its Limited Partners greater than originally projected and in roughly a third of the intended hold period. The property is currently managed by Extra Space and is located at 10023 Callabridge Court Charlotte NC 28216.
