SSAA Insider Edition 124

Insider

124

APRIL / MAY 2022

MAGAZINE OF THE SELF STORAGE ASSOCIATION OF AUSTRALASIA

design & construction

Italy leads the way in innovative design

Bringing together design, construction, technology and customer experience

Getting started in self storage The self storage evolution

The importance of building compliance INDUSTRY NEWS | COMMUNICATION | HUMAN RESOURCES | OH&S | LEGAL | TRADE DIRECTORY

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CONTENTS 3

SSAA BOARD OF DIRECTORS

Chairman – Michael Alafaci Storage King Group, New South Wales Shaun Bain Keepsafe Storage, Western Australia Ryan Coom National Mini Storage, New Zealand Martin Coote Lock Distributors, New South Wales Ned Coten City West Storage, Victoria

12

16

Wayne Dade Glenelg Self Storage and Western Self Storage, South Australia David Daddow Able Self Storage, South Australia

Sandra Evans Office Manager

www.selfstorage.org.au TOLL FREE – AUS: 1800 067 313 TOLL FREE – NZ: 0800 444 356

T: +61 3 9466 9699

Address: Unit 4/2 Enterprise Drive, Bundoora Vic 3083 E: admin@selfstorage.com.au Connect to our Social Media via our website

STORAGE DESIGN

Getting started in self storage Italy leads the way in innovative design

15 TECHNOLOGY TRENDS

Latest technology for modern design techniques

LIFETIME MEMBERS

Makala Ffrench Castelli CEO

12

Architects and self storage developments

Thomas Whalan Rent A Space, New South Wales

SSAA STAFF

TIPS TO GET STARTED

14 ARCHITECTURE

Ivor Morgan Jim’s Self Storage, Victoria

Mark Bateman Frank Cooney Elaine Coote Liz Davies Dallas Dogger John Eastwood Simone Hill Neville Kennard Sam Kennard Bob Marsh Jim Miller Jon Perrins Phil Robbie Mark Snooks Richard Whalan

8

24 REGULARS 4 6 11 22

CEO’s Report Chairman’s Report Industry News

MEMBER SPOTLIGHT

Hayden Gage, Steel Storage 23 Membership Desk

36 OH&S

Planning to extend or build a new storage facility?

38 LEGAL

To comply or not to comply 40 Trade Directory

16 CONSTRUCTION

Storco’s take on the evolution of self storage

20 INVENTIVE STORAGE SPACES TAXIBOX creates local storage in St Kilda, Melbourne

24 INNOVATIVE MIXED-USE SITE National Storage Moorooka

26 THE LAY OF THE LAND

The construction landscape, Regis Built

28 RESEARCH

Work wellbeing

30 INTERNATIONAL NEWS

SSAA Asia Annual Industry Survey shows growth, opportunities

33 NEW MEMBER DEBTplacer

34 SECURITY

Experience counts when it comes to security

Insider is published and edited by: Social Ties / E: vforbes@socialties.com.au

Designed by: Keely Goodall / E: keely@itsallgood.net.au

Printed by: Homestead Press / E: printing@homesteadpress.com.au Insider magazine (Insider) is published bi-monthly by the Self Storage Association of Australasia Limited (ABN 23 050 341 725). This publication may not be reproduced or transmitted in any form, in whole or in part, without the express, prior written permission of the publisher. While every care has been taken in the preparation and publication of Insider, none of the Insider’s publisher, editor nor any of the publisher’s employees, subcontractors or contributors give any warranty as to the completeness or accuracy of the publication’s content, nor do any of them assume any responsibility or liability for any loss, damage or expense which may result from, or arise in connection with, any inaccuracy or omission in the publication. The views or opinions expressed in Insider are not necessarily those of Insider’s publisher or editor. Furthermore, Insider has the right to accept or reject any editorial and advertising material. All letters addressed to Insider will be regarded as ‘for publication’ unless clearly marked ‘Not for Publication’. All submissions to Insider may be edited for reasons of space or clarity and opinions expressed in letters published in Insider are those of the author, not of Insider’s publisher or editor.

APRIL / MAY 2022 INSIDER 124

4 CEO’S REPORT

Makala Ffrench Castelli CEO SSAA

S

ome of the most visible and significant changes to the self storage industry over the past 10 years have been in facility design and construction.

When we surveyed our design and construction providers in 2020, already more than 60% of facilities being built were more than two levels and operators were trending towards staging developments in line with occupancy growth.

In 2021, the SSAA Industry Snapshot highlighted the unprecedented amount of supply forecast over the next few years, underpinned by strong industry fundamentals.

More than 75 facilities were proposed or under development in metro markets last year and we understand the count continues to climb as we push into 2022.

This year, we’re seeing some new facilities set to reach heights of more than five or six levels, a wide range of expansion projects underway and more mixed-use developments, as featured on pages 16 and 24. I’m looking forward to seeing what other trends the design and development questions in State of the Industry 2022 will unearth later this year.

In this edition we talk to people at the forefront of design, construction and customer experience – three aspects of self storage that are now more connected than ever. From local insights to global ones, it’s clear that customer experience is now top of mind for owners and operators alike.

The industry continues to attract new interest, so for our growing number of provisional members we feature a selection of articles for those contemplating their first facility. There’s much to consider and it’s a delight to be part of an industry that generously shares its experiences.

I hope this edition provides some inspiration for your next self storage project. l

online move-ins

online payments

sales & marketing

access control integrations

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extensive reports

finance exports

local support single or multi site

facility map

Tomorrow’s self storage software, today!

6 CHAIRMAN'S REPORT

Michael Alafaci Chairman SSAA

I

’m delighted to be penning my first column to members as Chair and looking forward to delivering on our commitments around advocacy, support and engagement this year.

There’s much on our agenda, with the transformation of our industry presenting its fair share of opportunities and challenges.

We’re looking to opportunities in education and training, based on feedback from members who are eager to learn more and

expand their knowledge base across operations, technology, marketing and more.

Insurance remains a significant challenge and we continue our work on a range of potential solutions in this space. We are acutely aware of the importance of insurance for our members and the industry as a whole, which is why we’ve committed to exploring a number of alternatives.

The complex regulatory landscape together with a wide range of stakeholders and recent severe weather events haven’t made it easy, but we’re leaving no stone unturned.

We’re also focused on firming up our investments in research through State of the Industry and thinking strategically about

“

There’s much on our agenda, with the transformation of our industry presenting its fair share of opportunities and challenges. the opportunities we should be leveraging to continue to raise the profile of our asset class.

As you can see, there’s a lot of opportunity and a great foundation for us to build on.

All the Directors are looking forward to our events program later in the year and I look forward to being able to meet many of you in person! l

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8 TIPS TO GET STARTED

Operational readiness – are you considering operating the facility yourself, engaging a third party management provider or thinking about full automation? Whatever the scenario, consider your operating model ahead of time. There’s insurance, technology, security solutions, marketing and customer experience to consider so don’t leave it all until the build is nearly done.

What’s inside counts

Getting started in self storage?

The SSAA has welcomed many new members recently who are considering embarking on their first self storage project.

Based on the combined experience of our members over many years, we share some hard-earned wisdom with those just getting started.

Do your research

Self storage is a local business, so it’s important you understand your local market inside and out. You can engage a range of advisors to help with research and feasibility studies and it is worth seeking out experts in self storage for the task. Don’t underestimate how important these fundamentals will be to the success of your self storage venture.

You should be researching your chosen location and primary target market, including demographics and suburban trends. Keep a keen eye on operators already in market. Insights from surrounding facilities on style, sizes and rates might help you identify a gap in the market or model the potential for your facility.

INSIDER 124 APRIL / MAY 2022

Location, location, location

Self storage is a real estate business after all. Customers are seeking convenience and accessibility so a great location is key. A high degree of visibility, access to main roads or major thoroughfares and passing traffic all make for great self storage locations. Think about opportunities for branding and signage as you’re assessing your location options.

The 5 Ps

You know the saying. Proper preparation prevents poor performance – or whatever version you’re familiar with. It rings just as true in self storage.

There are three aspects of proper preparation you’ll want to consider when you’re starting out: Business planning – make sure you’ve considered all aspects of your strategic plan, particularly where external investment or funding is concerned. Do the numbers stack?

Project management – an experienced project manager will add value at every step and ensure things run as smoothly as possible.

The execution phase of your build will include everything from structural engineering to ventilation and electrical design, fire safety, approvals and much more. If you’re managing the project yourself, make sure your reach out to your service providers to ensure you’ve covered every aspect.

Maximising your available space or net lettable area (NLA), determining the most efficient unit mix (the size, type and layout of units) and choosing the right fit out are all essential for success in self storage.

There are a wide range of self storage solutions including different types of partition systems, doors, lockers, modular units and more. If this is your first experience with self storage then engage an expert for valuable advice. What you invest at this stage will return dividends both in operating revenue and if it comes time to divest down the track.

Budget surprises

The 5Ps should help limit any budget surprises. Beyond your initial purchase, design, development and operating costs, don’t forget to consider: l External building requirements such as parking, signage and landscaping costs l Internal requirements such as a retail space or box shop and associated fit outs, bathrooms, office furniture and other amenities l Insurance l Security setup and any ongoing monitoring costs l Technology l Retail merchandise l Staffing l Marketing; and l Maintenance

Looking for support?

The SSAA is here to support new entrants to industry. Check out the SSAA Self Storage Supplier Guide for case studies, resources and a range of experienced industry suppliers.

Login to your SSAA Member Portal to learn more. l www.selfstorage.org.au

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INDUSTRY NEWS 11

Sentinel sees alignment between US and Australasian distributors

Sentinel Systems Australasian distributor Sentinel Storage Security has recently undertaken its biggest transformation with alignment and control by its US parent brand Sentinel Systems.

The past 20 years has seen Sentinel products distributed by Sentinel Australasia, and now Sentinel Storage Security, at pace with self storage industry growth throughout Australia, New Zealand and Asia. The marketing of Sentinel Storage Security as a one-stop security shop to also include CCTV, office alarms, gates, as well as other security features in recent years, has been instrumental in accelerating growth which has seen the Australasian team dramatically increase with dedicated local support and operational staff.

CBRE has bolstered its Valuation & Advisory Services – Alternative Assets business by recruiting a leading self storage specialist valuation team led by Dylan Adams, National Director. Dylan is joined by Emily Quick, Associate Director and Jack Seymour, Assistant Valuer as experts in self storage valuation and advisory throughout Australia and New Zealand.

The new alignment was paired with a significant investment in the US that saw the Sentinel Systems foundation owners make available their shareholdings to several personal investors with more than 100 combined years of management software, digital marketing and security experience. The new investment, directorship and expansion will see the US and Australasian businesses align and synergise in both regions.

This earmarks an evolution for Sentinel across the two regions in product, research and development, and opportunities for future growth. This announcement has created excitement for both businesses and staff in what the future holds.

“Sentinel Storage Security are thrilled with the outcome, as this transition to a wholesaler from a regional distributor of Sentinel products means the US will be playing a more active part in the Australasian market,” said Tony Harvey, sales manager.

“In effect, this means we used to buy Sentinel products from the US, but now we are directly part of the Sentinel family.”

Rest assured Sentinel Storage Security will continue with the same Australasian team in Support and Sales, with the same local passion and same local awareness but with the added might of US backing from Sentinel Systems.

Dollar Match Day campaign raises $80,000+

Queensland’s iconic Mater Foundation received an additional $82,951.36 thanks to National Storage’s Self-Donation Dollar Match Day campaign.

The money matched the funds raised from RACQ International Women’s Day Fun Run held earlier this year. National Storage is proud to continue to support the Mater Foundation and women with breast cancer – a disease that has touched the lives of so many of their staff, family and friends.

www.selfstorage.org.au

New partnership with Storage Investments Australia The Maras Group, a successful property development group, has entered into an exciting new partnership with Storage Investments Australia (SIA), to roll out a number of new storage facilities in New South Wales and Victoria.

SIA manages one of the largest national portfolios of self storage assets in Australia.

The first project for Maras Group and SIA will be in Oran Park, south-west Sydney, within the Macarthur Region and in the Camden Local Government Area (LGA), and will comprise some 6500sqm of NLA over four levels.

Con Tragakis, Chair and Director – said “Self storage continues to strongly outperform in the property sector and we are excited to partner with Maras Group to build, own and operate a portfolio of high-quality self storage facilities”.

APRIL / MAY 2022 INSIDER 124

Italy leads the way in. innovative design.

Have you ever thought about making a storage facility look a lot different than just roller doors? It is possible, and Casaforte Italy leads the way. By Casaforte Self Storage.

C

asaforte is the biggest self storage operator in Italy, with more than 20 facilities located in the peninsula.

The first facility opened in 2000, and it has continued its expansion ever since. Casaforte is always trying to find new and innovative self storage solutions, first in Italy and then in Switzerland with its facilities in Lugano, Bedano and Basilea.

It has been able to profoundly innovate the self storage industry, doing something no one had done before, so how did they do it?

Casaforte has always focused on people, with its motto “Our people come first”. It invests in its employees with ongoing training and courses, both professional and personal, as well as ensuring customers receive dedicated (obsessive) attention. This ensures attention to people’s needs is its primary mission.

INSIDER 124 APRIL / MAY 2022

www.selfstorage.org.au

STORAGE DESIGN 13

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Casaforte has always focused on people, with its motto “Our people come first”.

Embracing people and their needs fosters innovation and ideas. This extreme attention and desire to understand the needs of its customers has pushed Casaforte to conduct specific studies to find ways to better support them.

Casaforte decided to break the golden rules of self storage that advocated the opening of large facilities and introduced a small plant in the heart of the beautiful city of Milan, kicking off a new era of self storage: the Casaforte Express. l

Cesare Carcano, president of Casaforte Self Storage, said: “For some time, we were wondering if it could be possible to realise something different, a full of beauty and cosy facility which could meet the needs of our customers.”

Casaforte did it. It created a beautiful and pleasant environment, setting up majestic trees in the facility’s centre, complete with electrical sockets for mobile phone recharging.

The facility’s corridors are decorated with evocative images of mountains, sea, cities, spaces where people live that may remind them of the objects they will deposit in the store.

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This facility is entirely new and innovative, rich in beautiful murals and art that transforms a sterile environment into -one of colour and emotion.

The most fascinating and attractive part of this innovation is that Casaforte reserved an entire wing for modern art, including the character Valentina by Guido Crepax, an Italian cartoonist known around the world for his beautiful and evocative drawings.

The new Casaforte Express has brought value to customers and the environment by restoring old structures instead of starting afresh, therefore saving land and redeveloping the city districts.

Casaforte has brought self storage closer to the people by creating a pleasant, unique and more reassuring environment that helps customers relax and meet their needs. www.casaforte.it email: info@casaforte.it

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APRIL / MAY 2022 INSIDER 124

14 ARCHITECTURE

Architects and self storage developments

By David Cahill Director | Architect at MCHP Architects.

A

rchitects are often involved in projects from the early design stages through to the completion of a project. They can work with a client to help investigate the feasibility of a property from a functional design perspective and potential floor space yield. They can then develop building and site concept designs and layouts, architecturally design and document submissions for authority approvals, whether council, state authorities or certifiers. Other architectural services include documenting for construction and assisting during the construction process.

As well as architects, there may be various other design and consulting professionals involved in a project. They may include town planners, civil and structural engineers, mechanical, hydraulic, electrical, energy, access, traffic, ecology, arborist, bushfire, flood and National Construction Code consultants. An architect will generally assist to coordinate these consultants as part of developing the project design.

The design of a self storage centre is generally based on financial drivers, the unique opportunities and constraints of a site, council or state planning codes and authority approvals, and then the building function to create a centre that meets the needs and demands of customers.

INSIDER 124 APRIL / MAY 2022

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Designs need to consider traffic flow, functional use of the centre, security, what amenities are required and how it appeals to the customer and the local community.

Developments may be one completely new building, or there may be several buildings in a development where a masterplan is developed and the centre is developed in stages. A self storage centre design may need to work with an existing building or sometimes it may just be alterations and additions to an existing centre to adjust to changing customer demands.

Designs need to consider traffic flow, functional use of the centre, security, what amenities are required and how it appeals to the customer and the local community.

Branding, customer understanding and the feel of a centre is also of consideration.

Site opportunities and constraints have particular impacts on design.

City properties generally demand high values and accordingly, a financial return on those properties will likely require a multi-storey

storage centre. It may be located on a smaller site, vehicle access and movement may be more compact, lifts required, consideration given to the building appearance and various council and authority constraints. There are different requirements under the National Construction Code, including fire resistance and protection, fire isolated egress stairs, etc plus construction access may be more difficult. These factors all influence the design and construction of a centre and increase the build cost per square metre.

Alternatively a self storage site may be on a non-city site. Council requirements and functional and financial requirements of the development will often create a lower scale and more spread-out development. There may be different issues, such as flooding, bushfire and other environmental considerations.

It may have one- or two-storey self storage buildings surrounded by driveways. The construction of up to two storeys has different demands under the National Construction Code and are generally developed with a more generic style of self storage industrial building to keep the build cost per square metre lower.

An architect can work with a client to assist to create an appropriate development for a particular site. l www.selfstorage.org.au

TECHNOLOGY TRENDS 15

Javier Rezzonico.

Latest technology for modern construction techniques

By Javier Rezzonico, Managing Director | Storcad Self Storage Design.

I

t’s no secret that retrofitting a self storage facility into the worst building on the best street is one of the most cost-effective ways to get into the market. However, unlike a greenfield development, a retrofit can come with some risks. Older buildings generally have a poor documentation history, leading to costly variations once onsite construction has commenced.

Luckily, technology is starting to catch up in the construction industry to reduce the risk of these types of developments. One of the best ways to prepare for a retrofit is to conduct an onsite 3D laser scan.

What is a 3D laser scan?

3D laser scanning is a technology breakthrough in surveying a building and its surroundings. Within minutes, a 3D laser scanner can fully capture in 3D the shape of existing buildings, structural elements, fire services, landscapes, and large objects. It does this by collecting thousands of 3D coordinates or points, resulting in a tightly packed point cloud www.selfstorage.org.au

Example of project Point Cloud with roof removed.

“

Technology is starting to catch up to the construction industry to reduce the risk of these types of developments. One of the best ways to prepare for a retrofit is to conduct an onsite 3D laser scan. ‘constellation’ that creates a supremely accurate output that can be used for a range of purposes to help manage the design process of your development.

This point cloud is then overlaid into Storcad’s architectural software to ensure accuracy when modelling the facility. The point cloud ensures that the proposed self storage design will not clash with existing building elements such as structural columns or reduced roof heights.

Once the design is completed using the point cloud as the base point, you will be comfortable knowing that the risk of onsite structural challenges has been eliminated. It is then time to finalise the visual aspect.

This type of design documentation is then enhanced with real-time rendering.

Real-time rendering is an exported version of your 3D model that gives you the visual check that you have selected the correct colours and materials. It is the most accurate representation of what your design will look like as a completed project. It is the perfect solution for those who have trouble visualising what your 2D drawings will look like. It is also a handy tool to assist with council approvals as it is a standard requirement across all council areas to have an attractive façade.

Using the latest surveying and design techniques is the best way to reduce your future retrofit development risk. l

APRIL / MAY 2022 INSIDER 124

16 CONSTRUCTION

Member Survey Results & Roadmap

Storco’s take on the. evolution of self storage.

Storco’s story dates back to 1980, when the Layton family-owned business opened its doors in Orange, New South Wales. With more than 20 years in the business, Managing Director Jonathan Layton has seen many changes.

Rent a Space - Brookvale

INSIDER 124 APRIL / MAY 2022

www.selfstorage.org.au

Storage King - Woonoona

O

ne of the most significant changes has been in facility design. In years gone by, Jonathan remarked that self storage facilities were much more industrial. In contrast, the current desire is to make facilities much more commercially appealing. He believes it is essential to keep up with trends worldwide. For example, innovation from the United States has played an important part in design trends, as it has generally been a more mature market than Australia. The Laytons regularly attend trade shows and visit storage facilities in America and then take that knowledge, adapt it, and improve it to meet Australia and New Zealand requirements. As self storage builds change, Storco has evolved its product too, by seeing the potential and bigger picture.

Jonathan and the team are always

www.selfstorage.org.au

“

One thing that hasn’t changed over the years is the benefits that great partnerships deliver. looking at ways to improve existing models and regularly take on feedback and ideas from installers, staff, clients, and owners.

Jonathan said the current evolution of self storage has seen an increased number of floors in self storage facilities. The recent trend with regional facilities is changing from exclusively single level to a mix of single and two-level buildings, and city sites that, in the past, were developed as two- to three-level sites are now as high as seven. He believes this change is primarily due to rapidly increasing land prices.

Another change in recent years has been in the materials used to construct self storage developments. Storage facilities are now fitted out with customised products developed specifically for the self storage market. Storco take great pride in developing many of these products locally, which is one of the drivers behind the decision to build a new stateof-the-art factory. The factory will increase from 3500 square metres to 7000 square metres and is due for completion mid-year . It will house equipment unique to Australia, which will create significantly more advanced products than what is currently available across the self storage industry.

One thing that hasn’t changed over the years is the benefits that great partnerships deliver. Jonathan emphasises that partnerships built over time with developers, designers

APRIL / MAY 2022 INSIDER 124

18 CONSTRUCTION

Safeguard Self Storage – Gisborne

and construction companies such as Patterson Building Group, Mettle (who delivered Woonona Storage King) and Total Construction Group have all helped evolve the industry to the high quality storage solutions we see today. Ninety per cent of Storco’s work is repeat or referral business which is testament to the relationships formed right across the industry. The trust that forms over time, knowing that people will do what they say, take the time to understand needs and work together to achieve them is what sets projects up for success.

It’s enabled Storco to deliver projects for all major operators and independents alike - in metro markets, the regions and right out into rural areas.

INSIDER 124 APRIL / MAY 2022

Advice for new entrants

If you are considering building or renovating, Jonathan’s advice is to ensure you have the necessary funding, and allow a financial buffer as the process can be drawn out . You will also need to be patient. Councils can now take up to 12 months for approvals, materials costs have increased, and there are delays in shipping.

Terry King from Safeguard Self Storage in New Zealand seconds this advice. Terry has been in the industry for 13 years, and Storco has built all of Safeguard’s facilities. Due to this close relationship, the process has become seamless. Storco is in the process of building 10 new sites for Safeguard across the North and South Island. Terry said three years ago, the planning process was a lot simpler.

The builder came in, the product

came in, and it was built. In the past 12-18 months, there have been delays, and they are spending more time sourcing materials, arranging deliveries and labour. Terry has had to spend a lot more time upfront, planning and establishing timelines to minimise delays. This has helped significantly, and Terry recommends everyone to do the same. Even though it can be a laborious process up front, it is well worth the effort.

Storco currently has 70 projects underway in Australia and New Zealand. Looking ahead, Jonathan predicts that the current growth of self storage will continue for the next couple of years and then potentially reduce to the levels seen before COVID-19. l For more information: Storco.com.au www.selfstorage.org.au

www.selfstorage.org.au

APRIL / MAY 2022 INSIDER 124

TAXIBOX. creates local storage. in St Kilda, Melbourne.

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roviding flexible and convenient solutions has always been at the top of the priority list for TAXIBOX. For many years, the team have been working behind the scenes to continuously innovate in the industry, finding ways to expand on the mobility of TAXIBOX services and therefore extend its capabilities and reach as a business.

With this in mind, it identified an opportunity to launch hyper-local storage locations. Premised on using TAXIBOX’s existing infrastructure to create 24/access, these self storage centres use smart-access technology, allowing them to operate unmanned. Unlike traditional storage locations, the capital costs required to get a facility up and running are particularly low as all that’s required is space and leveraging TAXIBOX’s existing metal units.

Due to the mobility and flexibility of their units, TAXIBOX can occupy underutilised space to create local

INSIDER 124 APRIL / MAY 2022

storage sites, including inactive lots, corporate car parking spaces, unused car parking space in large format retail, etc. This opportunity exists in both metropolitan as well as regional areas.

The most recent acquisition was a joint venture with the landlord of a vacant block of land in St Kilda, Melbourne. This site is a flagship proving ground and an example for any future projects for TAXIBOX. It was an opportunity to step forward by refining the model, technology, and processes.

The site offers local flexible services to residential customers and commercial services (i.e. nearby retail, e-commerce delivery network, and local businesses).

As this concept rolls out to other areas, the plan is to provide hyper-local 24/7 storage to residential customers, local retail and commercial operators. It has also identified opportunities for providing a flexible solution as a mid-step in consumer logistics

such as delivered goods, food and beverage, etc as TAXIBOX also provides cool rooms.

A lot of hard work behind the scenes was required to make this happen. Local storage by TAXIBOX is something of a technological world first using mobile storage in this capacity, fully equipped with impressive innovation to run an unmanned, yet secure storage centre.

The key benefits of this type of storage offers:

l Low capital outlay for set-up and quick set-up time l Hyper-local storage with 24/7 access offered at competitive pricing without fixed contracts l Digital bookings and onboarding l Smart-access technology for units, security, gates, cameras. l Unmanned facilities l Ability to move units between local centres l Expands TAXIBOX’s network to interstate and regional areas www.selfstorage.org.au

“

INVENTIVE STORAGE SPACES 21

Local storage by TAXIBOX is something of a technological world first using mobile storage in this capacity, fully equipped with impressive innovation to run an unmanned, yet secure storage centre.

St Kilda (and particularly Grey St) is known for its ‘colourful’ demographic and there have been some operational challenges in administering unmanned facilities. TAXIBOX has found that most of these issues have been overcome with surveillance and active monitoring. Since setting up operations in September last year, the site has reached nearly 95% occupancy. According to TAXIBOX, the response has been tremendous with cross-sharing of leads taking place between the existing mobile storage and local storage side of the business.

The next step in the journey for TAXIBOX is to continue to refine the model and work with strategic partners to identify and secure properties within major Australian cities and regionally. l

www.selfstorage.org.au

APRIL / MAY 2022 INSIDER 124

22 MEMBER SPOTLIGHT

Member Spotlight Hayden Gage This issue of Insider Member Spotlight is with Hayden Gage, National Sales Manager of Steel Storage Australia.

We asked him a few questions on where he sees the industry going from a design and construction perspective.

Insider: You've been in the industry for just over a year now tell us about your background?

Hayden Gage:I have been working

in the construction industry for the past 15 years. Starting as a carpenter-joiner apprentice before progressing through to project management within corporate commercial fit-outs. This has provided me with experience across a broad array of projects and clients throughout Australasia. I fell into sales approximately seven years ago. By understanding the endto-end challenges faced in fitting out onsite and not carrying the car salesman mindset helps me consult with clients to deliver projects.

IN: What surprised you most about self storage?

HG: The biggest shock I had coming

into the industry was the industry's size and just how many facilities.

When casually driving through the streets, what I had been blind to previously started to stand out and around every fifth corner seems to be a storage facility or marketing to one close by. It is amazing to see how tight-knit the self storage community is, with everyone being incredibly welcoming.

IN: Where do you see the opportunities in design and construction?

HG: The various types of construction is dependent on location, current demand and proposed growth and development of local areas. With the growth in the current market,all areas of design and construction are surging due to the demand for self storage. There is definitely an opportunity for owners and operators to shape the future of self storage during this wave of growth

INSIDER 124 APRIL / MAY 2022

and demand. There’s exciting new offerings too, that we'll be bringing to market in the next year or so.

IN: Given your background, how do these opportunities compare to what you've seen across other industries?

HG: The hotel industry, evolves every

five to ten years with a standard of room or expectations from guests to be modern and fresh. Office space is the same, due to lease terms requiring a new fit-out out or to be attractive to new staff or tenants, with vibrant, welcoming environments. The self storage industry hasn't seen this happen, it is a massive opportunity that could revolutionise the industry and help owners think outside the box.

IN: What are some of the current challenges you see the industry facing?

HG: The industry faces many

supply chain challenges that have been impacted by the current global climate. All playoff against each other as a knock-on effect from reduced shipping due to the pandemic to steel availability. One of the major suppliers closed down its manufacturing mill, leaving a major gap in the market. It has led to increased prices globally over the past 18 months. We have helped clients minimise the impacts as much as possible by working closely with them from the earliest point possible to procure early and source material/transport needs.

Another pressing challenge the industry will shortly face will be around fire code and compliance.

It will become a pressing issue/ question for all owners and operators.

The number of incidents locally and globally, has raised a few eyebrows from various agencies.

IN: Your role involves talking to both existing and prospective owners/operators – what kind of questions are they asking? Any key themes?

HG: The number one question is

always "How much does it cost to build a storage facility?" Closely followed by "Is there technology that enables me to manage a site remotely?". Luckily, I can answer yes and tell them about the Nokē smart access system (sorry for the sell).

IN: We are often focused on what is happening here in Australasia – what is it like being part of a global self storage team?

HG: Exciting and insightful. Reaching

out to some of the greatest minds in the industry and gain in-depth insight into different global markets is valuable. Australia is welldeveloped market, closely with the leading USA markets, with are a lot of similarities. The markets in Asia and Europe that are still relatively young are very different due to many factors (government regulations, living conditions, lease of space, size and market requirements).

IN: What does innovation mean to you? How do you think this will play out in self storage?

HG: Innovation is a word that is

getting thrown around a lot in all industries. I feel the relevance and opportunity are not as substantial as what we are currently seeing in the self storage market. Looking to the future, I think the technological innovations in the self storage market will bring a massive shift from what the previous standard self storage facility has offered, moving towards an in-person and online shopping, retail and premium experience. l www.selfstorage.org.au

2022 EVENTS UPDATE We've planned a range of events in an effort to offer something for everyone, covering different event styles, topics, formats and locations.

Whilst we are looking forward to travelling and getting together once more, we understand that health advice and guidelines will continue to change so we'll be working to tighter timeframes and taking a more flexible approach. We're committed to delivering our major events in a hybrid format, so if you're unable to join us in person you'll be able to join via the live stream online.

Our convention has moved to later in 2022 to give us the best chance of having both Australian and New Zealand members together once we're out of winter, and hopefully travel will have become a little easier for us all.

––––––

Wednesday 24 August – Thursday 25 August 2022

SSAA SKI in Queenstown

Start the day with early morning speaker sessions followed by afternoons on the slopes.

Share stories over a trade showcase and networking dinner.

––––––

Wednesday 21 September – Friday 23 September 2022

Australasian Study Tour – UK into Portugal

Pending international travel, join us as we tour the best in storage and business in the UK before heading to Portugal to join the FEDESSA conference from 27 - 29 September 2022.

––––––

Tuesday 8 November – Thursday 10 November 2022

Convention!

Explore the next normal over a three day format including the launch of State of the Industry 2022, the return of the SSAA Awards for Excellence and our 30th(ish) Anniversary Celebrations. Location TBC.

––––––

SSAA Online Industry Training 12 modules with two complimentary introductory modules now available.

Each module takes approximately 15 to 30 minutes to complete and is accompanied by handy Quick Reference Guides.

Visit the Member Portal to sign up today!

24 INNOVATIVE MIXED-USE SITE

National Storage Moorooka.

The best of design, construction, technology and customer experience on a mixed-use site.

By Sophie Catsoulis, National Storage

S

ituated in the southern suburbs of Brisbane City, you’ll find National Storage’s brand-new Moorooka build on Ipswich Road near the BP Service Station and Moorooka Train Station.

Open since December of last year, the centre offers a range of convenient and affordable self storage options with units featuring lighting, individually alarmed doors, and receipt and dispatch services. Focusing on both safety and convenience, the centre also boasts 24/7 access, driveway units, an undercover loading bay, and a goods lift.

As leaders in the innovation space, Bluetooth Smart Access is the most recent addition to National Storage’s tech arsenal. First implemented at their new build at Robina on the Gold Coast in 2020, this new technology takes the highly topical contact-free sales process to a whole other level.

Their new Moorooka facility is the second centre to feature Bluetooth Smart Access.

INSIDER 124 APRIL / MAY 2022

With the touch of a button, customers can access their units via keyless entry or digital key sharing, all available through an app.

Particularly suited to the business’ increasing commercial customer base, many of whom will be drawn to the Moorooka site due to its main road location, this technology enables a higher degree of much-desired outside operating hours usage. As the second cab off the rank in this new technology roll out, the closely aligned development and IT teams enjoyed added confidence in the efficiency of the technology stating their desire to continue to keep up with industry trends, and even discussing the possibility of retrofitting older centres within the National Storage portfolio.

When it comes to the site’s design approach, General Manager Development Nick Crang spoke of the many challenges the site presented. Ranging from difficult ground conditions and complex

www.selfstorage.org.au

CREDIT: LUCY RC PHOTOGRAPHY

“

Their new Moorooka facility is the second centre to feature Bluetooth Smart Access.

With the touch of a button, customers can access their units via keyless entry or digital key sharing, all available through an app. demolition, to the site’s interface with Queensland Rail, state roads and the inclusion of a fuel station, the National Storage development team faced several parameters in their planning process.

“As a team we were able to leverage our previous mixeduse experience to counter some of the negative offsets of those preconditions,” Nick explains.

“We carried forward all of our successful recent tests with respect to access controls, the Bluetooth system, and all of our security and lift control learnings. Material www.selfstorage.org.au

selection was the same rationale, we carried forward our solar initiatives, we chose sustainable, long-lasting durable materials that have a low ongoing repair and maintenance component.”

When it comes to the inclusion of the fuel station, Nick says that despite the corresponding design limitations, its inclusion actually increased the viability of the entire project. “There’s an obvious, noncompeting synergy between some land uses such as this, and we’ve got strong partnerships, and that where it’s relevant, we will continue to look

at those moving forward for our development projects,” he says.

The result is a lightweight, mixed-use design that utilises as much of the site as possible, and is empathetic to the catchment and wider area, while still being able to successfully capture prior learnings from recent successful flagships and accommodate an alternate use within the site.

“I’m happy with what we achieved there,” says Nick. “It’s the right development for the right location, and we’re expecting a very successful outcome”. l

APRIL / MAY 2022 INSIDER 124

26 THE LAY OF THE LAND

The construction landscape.

Anthony Regis of Regis Built took time out of his busy schedule to share some thoughts on the current construction landscape across Australia and New Zealand.

R

egis Built works predominantly on medium to large scale self storage projects, generally contracted under a “design and construction” process.

The team currently have fifteen projects under construction across three states of Australia.

Anthony shared that in his 20 years of operation, he’s never seen demand for self storage construction so high. This demand, combined with the past two years’ global and local impacts, presents some challenges.

“The availability of consultants with the capacity to facilitate the design phase is critical to a successful self storage project. We are experiencing delays with architects, engineers, other consultants, certifiers and planning consultants,” said Anthony.

“There has been very little migration into Australia in the past two years. There are emerging trends of shortages of workers across all facets of skills/trades in the Australian construction industry. So far, this has primarily caused project delays and

INSIDER 124 APRIL / MAY 2022

“

Regis Built currently build conversions and purpose-built designs on greenfield sites and regularly engage with architects as part of the process. wage pressure within the industry, and this is expected to continue throughout 2023”.

Significant price increases and longer supplier lead times are impacting projects at supplier and sub-contractor levels. “Steel price increases over the last eighteen months have made it challenging even to quote projects accurately.

The volatility of the raw steel and timber prices have made the expected increase in dollar values and the time of the increase impossible to predict. We have had to build escalation clauses into

contracts to cover the potential rises from suppliers as it reaches levels the industry cannot absorb,” said Anthony.

Regis Built is navigating the labour shortage, though it is difficult and is expected to remain so for some time. However, it’s not just the labour market that has been a challenge.

“Material shortages are not a major issue though the lead time is. We typically tend to procure materials in a “just in time” approach but have had to change this approach as material supply times are at an all-time high”, said Anthony.

Mr Regis expects if there is a change in government at the federal level, the industry could see further change, particularly around regulation and the nature of the Australian Building and Construction Commission. This could increase blue-collar wages in the construction industry, increasing building labour costs.

Regis Built currently build conversions and purpose-built www.selfstorage.org.au

designs on greenfield sites and regularly engage with architects as part of the process. Anthony sees increased pressure on developers to use façade architecture for the external fabric of buildings, especially elevations located on the streetscape. He says it’s important to understand your local environment and requirements.

Engaging an experienced planning company and/or architect to design and develop your facility is some of Anthony’s most sage advice. “In the current market, when advising on building a new facility, we suggest allowing at least four weeks more than the expected time for your facility’s planning, permits, design and engineering phase. Using a building company that is experienced in self storage and has a history in delivering projects on time and within budget will set you up for success,” said Anthony.

Anthony remains optimistic despite the sector’s current challenges and is looking forward to growing and upskilling his team. l

Insurance. Uncomplicated.

Comprehensive and tailored insurance solutions to help protect you and your self-storage facility. midlandinsurance.com.au

SSAA_InsiderMagazine_HalfPage_2022.indd 1

30/01/2022 9:38:54 PM

trends, they are able to see things not just as they are, but as they will be.

28 RESEARCH

Wellbeing in the workplace A third of Australians’ waking hours are spent in the

Work wellbeing

04

72% Work wellbeing

65%

Relationships with peers/colleagues

workplace and more than half of an individual’s years of life are spent at work7. With the magnitude of time an individual spends in the workplace, it is essential for leaders to create an environment that helps their workers thrive.

Our research into work wellbeing found that the most important elements of a workplace are:7 Australia towards 2031

60%

Collaborative work environment

A

Mark McCrindle.

60% Flexible working hours

58%

Inspiring & accessible leadership

70% 70% 70%

The hybrid workplace third ofworkplace our waking hours are spent in the The hybrid

transformation to work in a century. As the global workplace and more than half our lives are workforce continues to adopt changes brought about The experience of work radically shifted throughout spent at work.has With the magnitude of time by the work from home (WFH) era, it is important to The hybrid workplace The experience of work has radically shifted throughout Currently, Australian workplaces are doing a reasonable COVID-19, the pandemic causing the greatest anwith individual spends in the workplace, it is understand workers’ experiences expectations for of Australianand workers say the COVID-19, with the pandemic causing the greatest job on some of these, with more than half of Australian transformation to work in aself century.

As the global workforce essential for leaders in the storage industry to create how they can do their best work in the future. of Australian workers say the The experience of work has radically shifted throughout workplace is where they experience transformation to work in a workers century. the global continues to adopt changes broughtAs about by the workforce work workersThis (53%) believing workplacefor iswhere extremely or very an environment helps can presenttheir a challenge self storage workplace they social experience COVID-19, with that the pandemic causingthrive. the greatest meaningfulisand regular continues adopt changes brought recently about by explored the work of Australian workers say the A The at McCrindle operators given the nature of work.

Some tasks fromteam hometo (WFH) era, it isResearch important to understand workers’ effective at prioritising the wellbeing of their employees. meaningful and regular social transformation to work in a century. As the global workforce connection and community from home (WFH) era, is important tothey understand workers’ workplace is where they health and wellbeing asitpart offoritshow social research simply have to be done on site, but there areexperience ways to experiences and expectations can do their best similar proportion (55%) see their workplace as effective connection and community continues to adopt changes brought about by the work experiences and expectations for how they can do their best program into trends shaping the nation.

What follows is our incorporate WFH opportunities to enable more of a meaningful and regular social work in the future. in its provision of flexible working options for staff looking from home (WFH) era, it is important to understand workers’ takework on the most relevant aspects that self storage owners hybrid workplace environment.

Employing this approach in the future. connection and community expectations for how they can do their best to reduce their hours from the full-time to Theitdifferent area As leaders think about of part-time. the workplace is andexperiences operators and should be considering in the workplace. allows facility owners to future intentionally use the When considering their ideal working conditions, three in five As leaders think about the future of thefacilitating workplace itdifferent is more work in the future. important to understand that the workplace is so much of greatest growth, however, is in providing development It’s pleasing to see that more than half of Australian working environments to focus on When considering working three in five Australian workers their (62%)ideal see a hybrid conditions, model as their ideal important to understand that the workplace is so much workers (53%)workers believe theirsee workplace is extremely or very pathways experiences forabout the worker. than an where productive work is done.

Formore forenvironment staff just under half of Australian workers Australian (62%) hybrid model as their ideal As leaders thinkwith the future of the workplace it is arrangement, incorporating aamix of working from home and than an environment where productive work is done.

For is When considering theirthe ideal working conditions, three in five effective at prioritising wellbeing of their employees.

It isofimportant to understand that thethey workplace Australian workers, workextremely is the place experience (46%)70% believing workplace effective arrangement, incorporating a mixwant of working from home and important totheir understand that is the workplaceorisvery so much more the workplace.

One in four (25%) everyone working from 70% of Australian workers, work is the place they experience TheAustralian standoutworkers opportunity is in providing development so much more than an environment productive (62%) see a hybrid model as their ideal meaningful and regular social connection where and community. the workplace.

One in four (25%) want everyone working from in this area. than an environment where productive work is done.

For the workplace all with the time, just 14%ofsee their ideal as pathways for staff justwhile under those work done.

For 70% of Australian workers, work is meaningful and regular social connection and community. arrangement, incorporating a mix ofhalf working from surveyed home and This isishigher than the proportion who experience connection the workplace all the time, while just time.

14% 8see their ideal as 70%place of Australian workers, work is the place and they experience everyone working from home all is the (46%) believing their workplace extremely or very the they experience meaningful regular This is higher than the proportion who experience connection the workplace. One in four (25%) want everyone working from in their households (54%) or local neighbourhood (32%), everyone working from home all the time.8 meaningful and regular social connection andiscommunity. effective in this area. social and community.

This higher in theirconnection households (54%) or local (32%),than the workplace all the time, while just 14% see their ideal as highlighting the significance of theneighbourhood workplace in building This is higher than the proportion who experience connection the proportion who experience connection in their 8 highlighting the significance of the workplace in building 9 everyone working from home all the time. meaningful social connections. in their households (54%) or local neighbourhood (32%), households (54%) or local neighbourhood (32%), which The hybrid workplace meaningful social connections.9 highlights the workplace in building The experience of work has radically shifted throughout highlightingthe thesignificance significance ofof the workplace in building 9 meaningful social connections.

COVID-19, with the pandemic causing the greatest meaningful social connections.

To find out more, visit:

THE FUTURE OF WORK WILL BE HYBRID THE FUTURE OF WORK WILL BE HYBRID

workwellbeing.com.au

THE FUTURE OF WORK WILL BE HYBRID

30

25% 25% 25%

62% 62% 62%

14% 14% 14%

A HYBRID OF WORK EVERYONE EVERYONE WORKING Australia towards 2031 A HYBRID OFAND WORK EVERYONE EVERYONE WORKING FROM HOME THE WORKING FROM FROM THE WORKPLACE FROM HOME AND THE WORKING FROM FROM THE WORKPLACE WORKPLACE HOME ALL THE TIME ALL THE TIME A HYBRID OF WORK EVERYONE EVERYONE WORKING WORKPLACE HOME ALL THE TIME ALL THE TIME FROM HOME AND THE WORKING FROM FROM THE WORKPLACE WORKPLACE HOME ALL THE TIME ALL THE TIME Publisher: McCrindle Research Pty Ltd Authors: Mark McCrindle, Sophie Renton, Kevin Leung. Excerpts from the document titled: Australian towards 2031: The demographic, consumer and behavioural trends shaping the nation. mccrindle.com.au

LEADER INSIGHT LEADER INSIGHT

INSIDER 124 APRIL / MAY 2022

www.selfstorage.org.au

L E A Drelationships ER INSIGHT The that are built in the workplace are a significant The relationships that are built in the workplace are a significant

dly

Work Wellbeing applied E M P L OY E E E N G A G E M E N T = C U L T U R E + P U R P O S E + I M PA C T

Chapter 5

When looking for a place of employment, these matter the most:

58%

Culture and value

Conditions and earnings

42%

To some work is simply a job, but to many more it's a lifeline to social interaction, purpose and a place of belonging.

KEY KEY DESIRES DESIRES FOR FOR FUTURE FUTURE CAREERS CAREERS KEY KEY DESIRES DESIRES FOR FOR FUTURE FUTURE CAREERS CAREERS KEY DESIRES FOR FUTURE CAREERS Extremely/very important Extremely/very important Extremely/very KEY DESIRES DESIRES important FOR FUTURE CAREERS important C HExtremely/very A NKEY GIN G L E AFOR D EFUTURE RSH I PCAREERS STYLES

Expectations of the future workforce

By 2031, 31% of the workforce will be Gen Z workers Chapter 7 who bring a unique set of values and perspectives to their work. As a generation they are looking to have a work experience that is for purpose, aligns L The success of a leader is with their values and has a positive impact on the measured byare what they world around them.

The trendsnot that already having having purpose purpose and and having meaning purpose in their and work being seen in Genachieve Z are likely continue in Gen having purpose intotheir life, but by meaning in theirand work having purpose meaning in their theirand work meaning in work Alpha, signalling an opportunity for leaders to take meaning in their workand what they set in motion. having having purpose purpose and Command & Control Collaboration & Contribution steps now to prepare their business for the workforce meaning meaning in their in work their work of the future. l

Extremely/very important Extremely/very Extremely/very important important

11 11 1

72% 72% 72% 72% 72%

2 68% 2 2 68% 2E L L B E I N G68% T H2 E W T 68% REE 68%

work work aligns aligns with with their their work core aligns work values aligns with with their their core values work aligns with their core values core values core values work aligns work aligns with their with their core values core values Those whose workplace has a commitment to staff

wellbeing are:

3 3 3 33

2.6x

more likely to be working in their current workplace in 2 years

4 4 4 44

Retention

5 5 5 55

65% 65% 65% 65% 65%

a a workplace workplace that that is is a a a community that strong is a workplace workplaceof that is a a community of strong a workplace that is a community social connections of strong community of strong social connections community of strong social a workplace aconnections connections workplace that isthat a is a social socialcommunity connections community of strong of strong socialsocial connections connections

3.1x

more likely to be engaged at work

To find out more head to www.workwellbeing.com.au

COMPETENCE what we do

CAUSE

why we exist

4.3x

more likely to recommend their place of work to others

64% 64% 64% 64% 64%

work they work they do do has has a a Employer of choice Engagement work positive they impact do has on a the work they do has a positive impact on the work they do has positive world around impact them on positive impact ona the the world around them positive impact on world work they work around do they has them do a has a world around themthe worldpositive around them positive impact impact on theon the worldworld around around them them

CULTURE how we do it

Chapter 6

64% 64% 64% 64% 64%

workplace workplace flexibility flexibility workplace workplace flexibility flexibility workplace flexibility workplace workplace flexibility flexibility

Fear of sedentary lifestyle

Australians are aware of the benefits of an active lifestyle Australia towards 2031 2031 an33 33 with more than threeAustralia in four towards (76%) making effort to Australia towards 2031 33 Australia towards 2031 33 AustraliaMore towards 2031 33 (64%) avoid a sedentary lifestyle. than two thirds Australia Australia towards towards 2031 to 2031 33 healthy 33 believe they are doing enough exercise stay but three in five (61%) are still worried their life is too sedentary.

The active nature of work in self storage facilities could be a real benefit to your workforce and a reason for prospective employees to consider self storage as an ideal career. Consider presenting employment offerings as an opportunity to embrace an active work day. www.selfstorage.org.au

APRIL / MAY 2022 INSIDER 124

30 INTERNATIONAL NEWS

SSAA Asia Annual Industry Survey shows growth, opportunities

S

elf storage around the world has outperformed every other real estate asset class. Asia is no exception. The Self Storage Association Asia (aka ‘the other SSAA’) surveys its members every year in partnership with JLL and crafts a report based on its analysis of the results. The report, The Self Storage Association Asia Annual Survey 2021, can be summarised in four words: The future is bright.

The 2021 report gets into the metrics that matter and also gives some sense of momentum when compared to the 2020 results. With strong support from the Rental Storage Association of Japan and a Japanese language version of the survey, Japan’s participation in the report dramatically increased. Japan has the biggest and most mature national self storage industry with a range of service niches in addition to traditional storage of all sizes.

Growing through COVID

It hasn’t been all smooth sailing for the past few years as COVID hit different countries at different times and with varying levels of ferocity. Likewise, the way in which self storage was affected differed from country to country, but the overall story was one of growth. Across Asia, operator members of all sizes expanded. Smaller operators in Hong Kong grew single-location businesses, doubling their floor space. Indian firms made plans for second, third, and fourth locations. One operator in Vietnam had a hugely successful turn on the Vietnamese version of the global TV sensation, Shark Tank. Judges showered the valet and self storage concept with praise and made opening offers of investment during the show.

Operators from Jordan to Japan renovated old facilities and planned new ones. On the technology front, AI for dynamic pricing came to Asia (starting in Japan). Space calculators, common in Australia, are being tested by market leaders looking for an edge.

Energy-saving technology used in German self storage is now available through the SSAA. Solar energy panels on rooftops are spreading from Dubai to Singapore.

Biometric electronic locks are about to make their debut in Asia, perhaps becoming the industry norm for high-end self storage operations.

The big picture

The use of self storage for business versus personal use is still heavily weighted in favour of personal use. The highest levels of business use as a percentage of total use occur in Malaysia and Thailand. In Malaysia, up to 40% of self storage is used by business customers. A culture of small-scale e-commerce retail has seen savvy young operators target their age peers who are often still in university when they start their own businesses.

Special services such as climate control can vary greatly from country to country. For example, Hong Kong, Mainland China and Vietnam have around 80% of facility space in climate-controlled environments.

But this could be as low as 30% in markets such as Malaysia and Thailand, even with their humid, tropical environments. Even equatorial Singapore is only about 50% climate controlled.

In culturally similar places such as Taiwan and Mainland China, wide variations in industry structure can arise. Almost 70% of unit sizes in Taiwan are under 20 sq. ft. In China, extra-large (>61 sq ft) and medium-sized units are much more common.

Occupancy levels have improved in recent years, climbing to over 70% in all measured jurisdictions except Mainland China. Hong Kong, Japan, Singapore and Malaysia all reported over 80% occupancy, a marked increase from previous years.

INSIDER 124 APRIL / MAY 2022

www.selfstorage.org.au

2020

2025

2020

01 | 0201| |03 02| |0403| |0504| | 05 |

2025

Source: Transport Intelligence, 2Q21 Source: Transport Intelligence, 2Q21

Profitability outlook remains Profitability outlook remains Figureresilient 16 resilient as well as well Figure 16 Occupancy levels in APAC Occupancy levels in APAC

In a similar vein, 78% respondents expected In a similar vein,of78% of respondents expected profitability growth in 2021, while 89% profitability growth in 2021, whileexpect 89% expect profitability growthgrowth in the longer term. Again line in with profitability in the longer term. in Again line with those rental outlooks, these findings reaffirm a positive those rental outlooks, these findings reaffirm a positive prospect for thefor sector. prospect the sector.

The 2020 survey was conducted in the midst of the The 2020 survey Average occupancy (%) was conducted in the midst of the Average occupancy (%) pandemic.

Prior toPrior COVID-19, 72% of72% respondents 100 pandemic. to COVID-19, of respondents One item to raise is that respondents with positive rental 100 One item to raise is that respondents with positive rental expected rental growth in 2020.

However, only 58% 90 expected rental growth in 2020. However, only 58% growth view tend to show an even more positive view 90 growth view tend to show an even more positive view expected rental rental growthgrowth in 2020inafter pandemic; 80 expected 2020the after the pandemic; vis a vis their profitability outlook which is a textbook 80 vis a vis their profitability outlook which is a textbook roughly a modest 14 percentage point decline.

Overall, 70 roughly a modest 14 percentage point decline.

Overall, example of industry with high leverage.

In 70 example of industry withoperating high operating leverage.

In 60 illustrated this the defensiveness of the of sector compared this illustrated the defensiveness the sector compared 60 other words, given self storage’s high proportion of fixed other words, given self storage’s high proportion of fixed 50 many with other sectors and industries that are in with 50 many other sectors and industries that are in costs to variable costs, operators expectexpect to earntomore costs to variable costs, operators earn more 40 negative territory. As the survey is based on 2019 more more negative territory. As the survey is based on 2019 40 per unit rented as they improve occupancy. per unit rented as they improve occupancy.

30 performance, the next surveysurvey will likely 30 performance, theannual next annual willprovide likely provide 20 deeper into the actual impact.

20insights deeper insights into the actual impact.

10 0

10 0 China Hong Kong Taiwan Japan Singapore Thailand Malaysia India China Hong Kong Taiwan Japan Singapore Thailand Malaysia India Figure 24 Figure 24 2019 2020 2019 2020

Overall Asia Europe Europe AsiaOverall (Major 6)Asia Asia (Major 6)

20212021 profitability expectations profitability expectations Source: SSAA Annual Survey 2020 and 2021, FEDESSA 2020 and 2021. Excluded facilities opened in 2021 3% 3%

Source: SSAA Annual Survey 2020 and 2021, FEDESSA 2020 and 2021. Excluded8% facilities opened in 2021

3% 3% 20%

17% 22% 22% 20% 33% 33% Monthly rental rates needed some deep analysis in 17% 50% 50%41% this year’s report. While a first glance at the numbers 41%

6% 2%

17%

8% 6% 2%

33% 33% operators are increasing their use of these revenue 50% 50% 17%50% drivers50% but can do more with their sites 30% in the future.

30%

While different operators had different plans suggested that monthly rental rates were steady or 40% 40%17% 33% declining in some33% markets, much of the dip arose from 17% for expansion, most are bullish on rental growth 33% Around expectations. the appreciation of the USD against local currencies.

33% 79% of operators expect positive 17 | The Self Storage Association Asia Annual Survey 2021 Association Asia Annual Survey 2021 17% 17% growth in the near- to medium-term. This is an Sampling alsoStorage increased the number of reporting facilities 17 | The Self 33% 33% increase from 58% the year before, demonstrating beyond the more premium part41% of the industry. This may 67% 67% 20% 20% 41% improved morale regarding market prospects.

Even have depressed the average for stores while a careful 33% 33%50% 17% 17%50% 50% 50% better,50% 84% had expectations of rental growth over a look by analysts suggested 50% rental rates strengthening 13% 13% 33% 33% five-year horizon. when same-store rental rates were compared.

20% 20%17% 11% 11% 10% 10% 17% Likewise, profitability expectations are 9% rising. 9% The data reveals that those “with positive rental growth Room for improvement (with a little investment) China China Hong Kong India Japan Malaysia Singapore Taiwan Thailand Vietnam APAC Kong that Indiaoperators Japancould Malaysia Thailand Vietnam view Taiwan tend to show an even more positive view APAC vis a vis Some findings Hong suggested have Singapore their profitability outlook which is a textbook example of scope for increased profitability by adopting measures Expect to decrease By 11-15% 11-15% I don’t know/prefer not to answer By 16-20% Expect to decrease I don’t know/prefer to answer industry with high not operating leverage.ByIn16-20% other words, common in Australia and other markets. By Value-add Byexample, less than 5% By moreBy than 20% given self storage’s high proportion of fixed costs to services (for insurance, services By less than 5% co-work more thanor20% By 5-10% By 5-10% variable costs, operators expect to SSAA earnAnnual more per unit retail) make up less than 2% of total revenue for 50% of Source: Source: SSAASurvey Annual2021 Survey 2021 rented as they improve occupancy.” operators. This compares to over 12% in the UK. Asian

Figure 25 Figure 25

3 to 53 years profitability expectations to 5 years profitability expectations 11%

67%

67%44%

11% 33%

33%33%

10%

11%

10%

10%20% 10%

17% 20%

17%

20%

20%33%

33%

44%

45% 100% 100% 11% 33%

China China Hong Kong India Hong Kong

45% 40%

40%

33%

100% 100%33%

33% 50%

50%

33%

50% 50% 50% 50% 28% 33% 33% 20% 20% 7% 7% MalaysiaMalaysia Singapore Taiwan Taiwan Thailand VietnamVietnam IndiaJapan Japan Singapore Thailand 28%

Expect to decrease Expect to decrease By 11-15% By 11-15%

By less than 5%than 5% By less

11% 5%

11% 11% 5%

36%

36%

27%

27%

8% 8% 3% 3% APAC APAC

I don’t know/prefer not to answer I don’t know/prefer not to answer By 16-20% By 16-20%

By moreBy than 20% more than 20% By 5-10% By 5-10%

Storage Association Asia Annual 25 | The25Self | The Self Storage Association Asia Survey Annual 2021 Survey 2021 www.selfstorage.org.au

11%

Source: SSAA Annual Source: SSAASurvey Annual2021 Survey 2021

APRIL / MAY 2022 INSIDER 124

to value and also enables the operator to find more Blackstone this sector with a Mistuuroko strong focusdeploying on Hong Kong, expectations rise.

Owner occupation is most accretive Japan’s moneyAustralia in nd more this sector a strong focus Hongthe Kong, Australia andand favourable debtwith terms.

Assuch, such, weon expect proportion Japan.

Hence, the share of organized funds and favourable debt terms.

As we expect the proportion and Japan.

Hence, the share of organized funds to value and also enables the operator to find more this sector with a strong focus on Hong Kong, Australia and he proportion self-owned and Japan.facilities Hence, to therise share of organized funds and asthe thethe market matures. corporate funding gain ground going forward. of self-owned facilities towe riseexpect as market matures. corporate funding willwill gain ground going forward. favourable debt terms.

As such, proportion and Japan.

Hence, the share of organized funds and 32 INTERNATIONAL NEWS matures. corporate funding will gain ground going forward. | 03forward. | 04 | 05 | 01 | 02going of self-owned facilities to rise as the market matures. corporate funding will gain ground 01 | 02 | 03 | 04 | 05 |

46%

54%

Figure 28 28 40%Figure of respondents to seek Ownership versuslease lease Ownership versus 40% of respondents to seek Figure 28 external funding Ownership versus lease external funding

Self storage sector to continue to Self storage sector to continue to grow grow 23%23% 23%23%

23% 23% For two consecutive Optimism is rising compared to expectations expressed 40% 40% years, respondents have expressed 43% 23% 23% 43% 46% For two consecutive years, respondents have expressed Optimism is rising compared to expectations expressed 50% 46% 50% 43% a cautious40% view with in last year’s survey. Bar Malaysia 57% 57% 57% and Taiwan, operators 50% regard 57%to funding. This year, the 43% the 57% to funding. This year, view with regard lastofyear’s survey.

Bar Malaysia and Taiwan, operators 46% shareaofcautious operators seeking external funding over the next in thein50% rest the region to expand at a brisker 75% 57% are willing82% 57% 75% 82% 86% share external funding over the in the rest oftothe region years) are willing at a brisker 86%of operators 90% 2 years declined to 40% seeking from 50%, the82% result observed in next pace 90% (compared previous over to theexpand next two 90% 75% 82% 2 years to 40%given from 50%, the result observed in pace previous years) and overoptimism the next two 86% 100% the prior year.declined Nonetheless, the current uncertain years, again(compared reflecting to growth prospects 90% 100% the prior year.

Nonetheless, given the current uncertain years, again reflecting growth prospects and optimism economic climate, we still100% view this as a positive within the industry. Given the confidence 77% in driving 77% 77%77% 77% 77% weare stillplanning view thisto asform a positive withinwe thebelieve industry. the confidence in driving result,economic as 40% ofclimate, operators new expansion, thisGiven emerging sector77% is well 60% 57% 77% 60% 50% 57% 54% 50% 57% result, as 40% 54% new are planning to form expansion, believe this emerging is well 43% 43% 50%of operators relationships for new placed to attract we more institutional capital,sector leading to 43% 43% business growth 60% and prepare43% 57% 50% 54% relationships and prepare for new business growth placed to attract more institutional capital, leading to 25% 43%scalability. 18% 43% going forward. boosted liquidity and 25% 14% 18% 10% 14%forward. going boosted liquidity and scalability.

18% 10% 25%

10% 18% 14% Japan China Hong Kong India Malaysia Singapore Taiwan APAC APAC UK Europe 10% Thailand Vietnam Japan China Hong Kong APAC with APAC UK Europe gapore Taiwan Thailand Vietnam APACIndiaAPACMalaysiaUKSingapore Europe Taiwan Thailand Vietnam without without with without with JP JP Japan Thailand Vietnam APAC APAC UK Europe Figure 30 China Hong Kong India JPMalaysiaJPSingapore TaiwanOwned JP without withJP Lease Figure 30 Owned Lease Owned Lease JP JP Source: SSAA Annual Survey 2021, FEDESSA 2021 Lease 2021 Source: SSAA 2021, FEDESSA Source: SSAA AnnualOwned Survey 2021, FEDESSA Note: Owned includes freehold and leasehold titles.Annual LeasedSurvey refers to building lease.2021 Note: Owned includesSource: freehold andAnnual leasehold titles.

Leased refers2021 to building lease.

Note: Owned includes freehold and leasehold titles. Leased refers to building lease.

SSAA Survey 2021, FEDESSA Figure 29 Note: Owned includes freehold and leasehold titles. Leased refers to building lease.

Desire to seek external funding Desire to seek external funding

Figure 29 Figure 29

40 40

Sources Sources of of funding funding Sources of funding Overall,25% leasehold is still common in Asia. Japan, in

%%

Investment: ownership vs leasing

While most companies are currently self-funded, local and international sources of funds have caught 25% has high rates of leasing, often of small particular, 33%on to the promise of self storage and are getting in on 25% 33% 33% the action. spaces, skewing Asia-wide results. China has someto ofseek external Desire 50% 33% Desire to seek external The report reveals detail but it all points the highest rates of ownership alongside and 60% 60% 50% 63%Singapore 60%much more 50% funding over the next 67% 60% 67% 60% 60% 63% 60% 60% inthe onenext direction: up. Self storage in Asia is on a strong60% Taiwan.25% But in many markets, owned premises arefunding in the over 50% 67% 67% 2 years 63% 60% 60% 25% 60% positive trajectory and funding sources are diversifying minority of67% operatorVenture sites. Capital 67% 2 years 100% 33% 25% as the industry professionalises, moves up the value This may be changing as more professional investors Venture Capital 100% 33% 100% 33% Private Equity chain, and benefits from an increasingly aware 6% enter the

by Blackstone, 25%market. Deals done 100% 25% Private Equity9% Warburg33%6% Joint Venture 25%face consumer base eager l Pincus 25% and others are changing the of the industry.

6% 20% for self storage.

25% 17% Venture9% 17% 20%Joint 25% 6% Strategic Partnership 25% Even in Hong Kong, where the purchase of whole 20% 14% 17% 9% 40% 17% 17% Strategic 20% 33% Partnership 33%Visit www.selfstorageasia.org for more information and buildings was considered prohibitively expensive, deals 14% 40% 17% 25% 40% 33% 25%17% 20% 14% 17% 17% the aforementioned 33% 25% 14%40% 33% to access the full report. The SSAA are being done with major players 25%also has the Survey 20% 25% 17% 33% 20% 17% 17%33% 25% Presentation seminar available.

Please contact and self storage operators such as Storefriendly and 14% 25% Source: SSAA Annual 2021 20% Thailand 17%Survey China17% Hong Kong India14% Japan Malaysia Singapore Taiwan Vietnam APAC Ms Heily Lai at heilylai@selfstorageasia.org forAnnual details.

Storhub, respectively.

Source: SSAA Survey 2021 Malaysia Singapore Taiwan Thailand Vietnam APAC China Hong Kong India Japan Malaysia Singapore Taiwan Thailand Vietnam APAC funds: Family office, private equity, ThailandHigh net worth individual Self funded by Part ofKong a corporateIndia group Organised China Hong Japan Malaysia Singapore Taiwan Vietnam APAC Figure 31 equity, Family office, private High net worth individual Self funded by investment manager, pension fund, etc. /private individual owner/operator Part group Organised funds: Family office, private equity, High net worth individual Self funded by Figure 31of a corporate ger, pension Part fund, owner/operator Familymanager, office, private equity, High net worth individual Self funded byowner/operator ofetc. a corporate group /private individual Organised funds: investment pension fund, etc. /private individual investment manager, pension fund, etc. /private individual owner/operator Source: SSAA Annual Survey 2021 Source: SSAA Annual Survey 2021 Source: SSAA Annual Survey 2021 7 Source: SSAA Annual Survey 2021

Yes Yes

%% 60 60 No

No

Plans for new facilities Plans for new facilities

731 | The Self Storage Association Asia Annual Survey 2021 y 2021 6 The SelfAssociation Storage Association Asia Annual Survey 2021 Self| Storage Asia Annual Survey 2021 31 | The631 5 5 4 4 3 3 2 2 1 1 0 0 China Hong Kong India Japan Malaysia Singapore Taiwan Thailand Vietnam China Hong Kong India Japan Malaysia Singapore Taiwan Thailand Vietnam 2021 – 2022 2022 – 2023 2021 – 2022 2022 – 2023

APAC

APAC

Sources: SSAA Annual Survey 2021 Sources: SSAA Annual Survey 2021

INSIDER 124 APRIL / MAY 2022

www.selfstorage.org.au

SSAA NEW MEMBER 33

New Member

D

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Through reduced administration, Debtplacer makes it easy for businesses to recover their unpaid invoices by streamlining the process of engaging with collection agencies and ensuring that companies receive competitive collection rates and improved collection outcomes.

How Debtplacer helps

For self storage operators, chasing tenants for outstanding rent can be time-consuming and an unnecessary distraction, often resulting in the business writing these debts off. It makes sense to engage a collection agency to handle these trickier collections.

Collection agencies are typically equipped with the systems and expertise to manage any collection size on a contingent collection basis – meaning you only pay them if they are successful in recovering your unpaid debt. Whether you are engaging a collection partner for

the first time or looking to improve your current process, doing it via the Debtplacer platform will ensure you connect with trusted collection agencies that deliver quality service.

With approximately 60% of all unpaid debts ultimately being recovered by professional collection agencies, it’s an unfortunate reality that less than 5% of all outstanding invoices are ever referred on for collection.

Debtplacer recognises this lost opportunity for self storage operators. It has created a solution that saves businesses time in referring invoices for collection by streamlining how businesses list their unpaid debts, receive and compare collection proposals and improve collection outcomes.

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For self storage operators carrying overdue invoices or invoices that have been previously writtenoff, please get in touch with the team at support@debtplacer. com or create a FREE Debtplacer account to list your unpaid invoices and let their collection partners handle the rest. l

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34 SECURITY

Experience counts when it comes to security

Security is playing an increasingly important role in self storage. PTI Security help us understand why experience counts when it comes to securing your self storage facility.

S

ecurity installers play a critical role in today’s self storage industry as the demand for more comprehensive and complex systems grows. Qualified security installers coordinate and connect various hardware and software components to ensure your investment and your customers’ possessions are always protected.

While many self storage facilities have a low-voltage electrician they can call on, many find operational advantages through developing ongoing relationships with a certified security installer. If you’re looking into this partnership for the first time, you may have a few questions: What do security installers actually do? How do they deliver added value to your security investments? And more importantly, what should you look for when selecting a security partner for your business?

The answers to these and other questions are more important than

INSIDER 124 APRIL / MAY 2022

you might think. By partnering with an experienced security installer you can create a competitive advantage by ensuring that your investment in security is maximized and delivering the safety and security customers expect from professional self storage facilities.

What is a security installer?

In self storage, security involves much more than gates and locks.

Leading self storage groups rely on sophisticated security systems that improve owners’ and operators’ ability to deter crime, monitor facilities, and respond to security threats. Not surprisingly, connecting the various components of these systems requires an expert.

That’s where security installers enter the picture. Trained security installers specialise in linking together security subsystems across your operations and typically provide expertise across a range of security elements, including:

l Access control systems l Security hardware (gates, doors, locks, etc.) l Video surveillance systems (cameras, lighting, emergency notification systems) l Cybersecurity components l Network security Security installers’ capabilities extend well beyond the installation of gates and doors. They can coordinate, install and optimise a continually expanding list of hardware, software, network and hybrid IT solutions, as well as specialised security equipment designed to meet the unique needs of your self storage operation.

What do security installers actually do?

Although capabilities can vary by individual company, security installers generally offer an impressive array of services.

While some simply install off-theshelf security solutions, others www.selfstorage.org.au

operate as consultants who create a customised security strategy. The most qualified security integrators can: l Assist in the development of a comprehensive security plan l Acquire the required elements for your security system l Install and integrate various hardware and software elements l Provide ongoing support and training for your team l Maintain and troubleshoot security components as needed l Advise on the need for security upgrades or add-ons

How security installers deliver added value

Experienced security installers can generate additional value for your self storage operation. On the other hand, inexperienced or underqualified technicians create risk in the form of incomplete jobs, integration gaps, and the inability to properly scale your security system at a later date.

One of the most important ways security installers deliver value is by future-proofing your facility.

By providing strategic insights about key security elements, an experienced installer can help you avoid costly mistakes and create a more secure facility today while planning for future enhancements and enabling you to maintain a stable operation.

Consider the impact of a single security failure on your business.

When a gate, camera, access control system, or other security component goes down, it exposes your facility to security threats. But just as importantly, it disrupts daily operations — in addition to hiring a technician to address the issue, you may need to redeploy team members to physically monitor the facility until the system is back online. And if a security incident occurs in the meantime, your brand reputation may suffer. A trusted security installer helps you focus on achieving your property’s overall vision instead of dealing with miscellaneous security concerns.

At a minimum, do your homework and vet any electrician or vendor that works on your security www.selfstorage.org.au

“

By providing strategic insights about key security elements, an experienced installer can help you avoid costly mistakes and create a more secure facility today while planning for future enhancements and enabling you to maintain a stable operation. components. But a proven security installer is almost always a better option based on the added value they provide and their ability to ensure the continuity of your security system.

Creating a tailored self storage security strategy

A first-rate security installer will customise your security strategy to the needs of your facility and customers. By providing expert insights on mobile access control solutions, individualised unit security, advanced video analytics, and countless other security features, installers can map a security strategy that aligns with your objectives and scales with your operation.

It’s also important to understand that installers work with many different self storage groups.

Leveraging insights from other facilities, an installer can help you weigh the pros and cons of specific components and link them together in a comprehensive security system.

The development of a tailored strategy is another way in which security installers add value to your operation. Although it’s possible to hire a technician to install individual components, the absence of an experienced security integrator exposes your business to operational disruptions, a lack of support and training, and serious security risks.

Tips for selecting a security installer

You need to conduct a thorough vetting process when selecting a security installer. Although plenty of providers describe themselves as installers or integrators, some lack the skills and experience to deliver the added value you should expect.

At a minimum, there are several factors to consider during the selection process: l Cultural fit: Does the installer listen to your concerns and share your philosophy about site security? l Self storage experience: In addition to proven security credentials, does the individual have security experience specific to self storage? l Comprehensive systems: Does the company install specific security components, or can they assist in the creation and maintenance of a comprehensive security system? l Ongoing support: Will they provide training and ongoing support for your security system as well as specific hardware and software components? l Training and certifications: Does the installer possess appropriate certifications? Have they completed training in self storage security components? l Long-term relationship: Will the individual simply install security components and disappear? Or will they ensure the system runs smoothly and address issues when they arise?

Your security system influences customers’ perceptions of your facility. Security breakdowns, system disruptions, and other snafus can cause current and prospective customers to question the quality of your operations, which could result in lost revenue and missed opportunities.

An experienced security installer can help you maintain a stable and profitable business. By ensuring the integrity and performance of your security system, an investment in a security installer is a solid business decision that provides peace of mind — for both you and your customers. l

APRIL / MAY 2022 INSIDER 124

36 OH&S

Planning to extend or build a new storage facility?

Don’t forget to consider your workplace health and safety obligations. By Tim Callinan.

A

s the person conducting a business or undertaking (PCBU), under the relevant state Health and Safety Act, it’s your duty to ensure the health and safety of workers and other persons in the workplace. This means that as the person responsible, you must seek to eliminate risks to health and safety as far as reasonably practicable. If it’s not possible to eliminate the risks, then they must be minimised as far as reasonably practicable.

Key safety factors to consider when extending or building a new facility

Whether you are extending an existing building or constructing a new building, you are responsible for managing the risks to health and safety in all stages of the build. Yes, this means from project conception, design and construction, right up to decommissioning and dismantling the site.

It’s easier and can be more cost-effective, to carefully consider the health and safety risks during the planning and design phase.

Otherwise, you may have to make changes later in the project when a risk becomes evident, possibly through an incident or injury.

Contractors who are engaged to complete the construction work will also need to consider risks to health and safety for the life of the project, and not just during the construction and commissioning phases.

When commissioning the construction of a facility, it’s also a requirement of Workplace Health and Safety (WHS) Regulations to work with the designer to identify potential health and safety risks. The objective is to identify risks that relate to the design which may occur during construction and seek to eliminate or minimise them.

The designer should also be made aware of any information relating to

INSIDER 124 APRIL / MAY 2022

the site of the proposed facility that may create health and safety risks. If the design requires any modifications, the designer should complete these changes. If you decide to make these modifications yourself, then you become responsible for the design duties by law.

When to engage a principal contractor

The cost of an extension or new build also determines your workplace health and safety duties. For example, in Australia there is a requirement to appoint a principal contractor for a construction project that costs $250,000 or more. This kind of construction work is deemed as “high risk”.

If you don’t appoint a principal contractor then you are responsible for the specific duties that a principal contractor must undertake.

Such as: l display signs visible to outsiders that highlight your name, 24-hour phone numbers and location of the site office. l prepare a work health and safety management plan before work commences, which includes: l the names, positions, and specific responsibilities of those with health and safety responsibilities l the arrangements for consultation, cooperation, and coordination of activities that you have with others who have work health and safety responsibilities at the site the arrangements in place should a health and safety incident arise l site-specific health and safety rules l the arrangements to ensure that everyone at the workplace is informed of those rules l the arrangements for the collection, assessment, monitoring and review of safe work method statements (SWMSs).

Tim is an experienced Health and Safety Practitioner, OHS and Environmental systems Auditor and Tertiary Qualified Engineer. He has held operational and consulting roles, being responsible for Health and Safety and developed, implemented, and maintained OHS and Environmental Management Systems of global organisations in the manufacturing, construction, and logistics industries.

It pays to ask

So, if you are planning to extend or build a new storage facility, careful consideration needs to be given to the legislative health and safety impacts of these works.

By asking the designers and builders the right questions very early on in the process and having robust contractor management processes in place which include contractor selection, evaluation, onboarding, management, and evaluation, there are likely to be significant benefits. Both in terms of avoiding a workplace injury, or having to spend large amounts of money to implement new controls, or modify a design. l For more advice and support on how to meet your legislative requirements and your specific workplace health and safety objectives, please do not hesitate to contact the OHS Help Desk.

The OH&S Help Desk has been established by the SSAA to support its members. This advisory service is free. Free call 1800 067 313 (Australia); 0800 444 356 (New Zealand); or email admin@selfstorage.com.au. www.selfstorage.org.au

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38 LEGAL

To comply or not to comply The importance of compliance with the Australian National Construction Code and New Zealand Building Code for facility owners undertaking building works. By Peter Huang, Graduate at Law.

O

wners of self storage facilities (facility owners) have traditionally operated their storage businesses from converted warehouses or repurposed old commercial premises. To provide a better experience for their customers (storers), facility owners may be considering repairing rundown sections of their facilities, upgrading amenities or expanding their facilities to attract more storers.

However, before commencing any construction works, facility owners should consider the requirements set out in the National Construction Code.

What is the Australian National Construction Code?

The National Construction Code (NCC) is published by the Australian Building Codes Board and provides a uniform set of technical requirements for designing and constructing buildings in Australia.

The NCC is given legal effect by building and plumbing laws in each state and territory, which prescribe various circumstances in which a building may be assessed for compliance with the NCC. Circumstances where the NCC applies include changing the usage of a building or proposing works to be undertaken on an existing building.

This means that regardless of whether facility owners choose to construct new facilities or upgrade or repair their existing facilities, they must comply with the requirements of the NCC. Over the years, the technical requirements relating to the design and construction of buildings have developed and been amended. This means existing buildings may have potentially become non-compliant with the current requirements of the NCC. Compliance is complicated as each state and territory legislation

INSIDER 124 APRIL / MAY 2022

adopts the NCC subject to variations or deletions of some of its provisions.

Therefore, the NCC must always be read alongside the relevant state's building legislation and regulations.

What is the New Zealand Building Code?

All building work in New Zealand must comply with the Building Code, even if it doesn’t require a building consent. This ensures buildings are safe, healthy and durable for everyone who may use them.

Plans and specifications are assessed by building consent authorities (BCAs), usually the council, to ensure the proposed building work will comply with the Building Code. When the BCA is satisfied, it will issue a building consent for the work to proceed. If the work is built to the consented plans and receives a code compliance certificate, it confirms the requirements of the Building Code have been met.

The Building Code is contained in regulations under the Building Act 2004. The Act governs the building sector and also sets out the rules for the construction, alteration, demolition and maintenance of new and existing buildings in New Zealand. It works alongside other legislation for health, safety, consumer protection and land use.

Refer to website: www.building.govt. nz/building-code-compliance

Requirements of the NCC (these details are also applicable for New Zealand)

The NCC addresses almost all aspects of the design and construction of a building, including structural design, fire safety, access and energy efficiency. It incorporates the Building Code of Australia as Volumes One and Two of the NCC and the Plumbing Code of Australia as Volume Three.

Peter Huang.

“

Engaging an expert makes it more likely the consequences of a potential mishap will be shared between the facility owner and the expert.

To address the risk that some existing buildings may not comply with the current requirements of the NCC, state and territory legislative schemes usually include provisions that can be applied by the relevant authority to initiate a technical evaluation of whether a building is fit for purpose.

A pertinent example of how the NCC might apply to facilities is the requirement for buildings to have suitable firefighting equipment.1 Due to a facility building's generally lightweight construction, the large volume of contents being stored and the ability for a fire to spread rapidly beyond its point of origin, there is a high probability of a dangerous and challenging environment in the event of a fire. Therefore, it may be appropriate for facility owners to install suitable fire management and detection services within the building, such as automatic sprinkler systems, to comply with the requirements of the NCC.

Why compliance is important in Australia and New Zealand Generally, as occupiers of the premises, facility owners owe a duty of care to all people who visit their facilities. This duty requires facility owners to take reasonable steps to prevent the risk of injury caused by the condition of their facilities.

Suppose facility owners fail to adequately maintain their premises

www.selfstorage.org.au

and, consequently, a person is injured on their premises. In that case, facility owners may be liable for a claim, either against them, against their business or their public liability insurance.

Good design and householding will minimise a facility owner's exposure to potential accidents and claims.

Practical steps

To determine whether a facility is compliant with the NCC and the NZ Building Code (i.e. fit for purpose), and before commencing any construction works to upgrade the facility, facility owners should consider following the steps below.

Step 1

Discover relevant documentation relating to the existing building to provide information about its design, construction, and any additional alterations or modifications. This includes searching for architectural and structural design plans, heritage listings and planning controls and records.

Step 2

Conduct an onsite inspection and record descriptions of building characteristics addressed by the requirements of the NCC and NZ Building Code. Relevant building characteristics to record may include the structural soundness of a wall or the capacity of the building to respond in the event of a fire.

Step 3

Identify potential deficiencies concerning compliance with the requirements of the NCC and NZ Building Code. The expected outcome for this step will be to identify possible deficiencies and have a documented comparison of the expected performance of the existing building against any relevant requirements for new building works.

Step 4

Analyse and determine whether potential deficiencies are actual deficiencies. Determining whether a potential deficiency is a genuine deficiency may also depend on the goal of the proposed building works. For example, goals may include complying with the order of the relevant authority, a voluntary upgrade to comply with the NCC and NZ Building Code requirements, or ensuring the building is safe for occupants and visitors. Key stakeholders should be consulted during this step.

Step 5

These steps outlined should highlight to facility owners that due to the number and complexity of professional judgements needed when applying the NCC and NZ Building Code and to conform with various, country, state and territory laws, it is highly recommended that advice from a suitably qualified and experienced practitioner is obtained. Engaging an expert to audit the building's compliance will also protect facility owners against any potential mishaps.

Further, engaging an expert makes it more likely the consequences of a potential mishap will be shared between the facility owner and the expert. l If you have any further queries or concerns or would like legal advice about compliance with the National Construction Code and New Zealand Building Code, please email the SSAA Legal Help Desk at legalsupport@selfstorage.com.au.

The final step in this process is to develop a scope of proposed building works and to fix the actual deficiencies.

1 see Part E1 of the NCC: Part E1 Fire fighting equipment (DtS) | NCC (abcb.gov.au)

Disclaimer: The information contained in these answers is of a general nature and is not intended as legal advice. It is important that you seek legal advice that is specific to your circumstances. Please refer to the SSAA’s website for more information on the SSAA’s Legal Help Desk.

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DESIGN & CONSTRUCTION

PTI SECURITY SYSTEMS T: Sales: 1300 798 860 Support: 1300 159 473 E: apac-sales@ptisecurity.com www.ptisecurity.com

STORCO STORAGE SYSTEMS

AD-TECH Security Adrian Rostirolla T: 1300 306 090 E: adrian@ad-tech.com.au www.ad-tech.com.au –––––– AlarmQuip Security Systems Evan Richardson T: 1300 552 520 E: admin@alarmquip.com.au www.alarmquip.com.au –––––– QueAccess Pty Ltd Kevin Hannagan T: 1300 783 222 E: info@QueAccess.com.au www.queaccess.com.au –––––– Sentinel Storage Systems Jason Keane T: 1300 852 117/+61 3 9988 2035 E: info@storagesecurity.com.au www.storagesecurity.com.au

ANCILLARY SERVICES PACKAGING VISY BOXES & MORE Ralph Inglese T: 13 84 79 E: vbm_vic@visy.com.au www.boxesandmore.com.au Branches across AUS and NZ Homestead Press Joe Papp T: +61 2 4302 0605 E: joe@homesteadpress.com.au www.homesteadpress.com.au

CLEANING Sweepers Australia Michelle Maxwell & Vaughan Rose T: +61 3 9562 7533 E: michelle@sweepersaustralia.com.au www.sweepersaustralia.com.au

LOCKS Lock Distributors Australia Martin Coote T: 1800 28 77 24 E: service@lockdistributors.com.au www.lockdistributors.com.au

STORAGE AUCTION iBidOnStorage Brennan McLoughlin T: +61 2 4302 0605 E: info@ibidon.com.au www.ibidonstorage.com.au

TELECOMMUNICATION URL Networks Ashley Breeden T: 1300 331 178 E: support@url.net.au www.url.net.au

INSIDER 124 APRIL / MAY 2022

Jonathan Layton T: +61 2 6391 2800 E: jonathan.layton@storco.com.au www.storco.com.au Gliderol Garage Doors Tom Ainscough T: +61 8 8360 0000 E: tainscough@gliderol.com.au www.gliderol.com.au –––––– Kiwimark Construction Ltd Travis Morgan T: +64 7 576 5494 / +64 7 576 5491 E: travis@kiwimark.net.nz www.kiwimark.net.nz –––––– RegisBuilt Group Anthony Regis T: 1300 388 224 E: anthony.regis@regisbuilt.com.au www.regisbuilt.com.au –––––– Steel Storage Pty Ltd Stephen Boxall T: +61 7 3865 1600 E: sales@steelstorage.com.au www.steelstorage.com.au –––––– Storcad Pty Limited Javier Rezzonico T: +61 447 566 988 E: info@storcad.com.au www.storcad.com.au –––––– Taurean Door Systems Adrian Valente T: +61 3 9721 8366 E: adrian.valente@taureands.com.au www.taureands.com.au –––––– Total Construction Pty Ltd Steven Taylor T: +61 2 9746 9555 E: stevet@totalconstruction.com.au www.totalconstruction.com.au

FINANCIAL SERVICES Bishop Collins Pty Ltd Phillip Keenan T: +61 2 4353 2333 E: mail@bishopcollins.com.au www.bishopcollins.com.au

HR SERVICES HR Central Cath Grawe T: 1300 717 721 E: cath.grawe@hrcentral.com.au www.hrcentral.com.au

INSURANCE SERVICES AON Risk Services Darren Clauscen E: darren.clauscen@aon.com T: +61 2 9253 8350 www.aon.com.au/storage –––––– AON Risk Services NZ Jeffery Nathan T: +64 9 362 9535 E: jeffery.nathan@aon.com www.aon.co.nz –––––– Midland Insurance Brokers Gilda Mihran T: 1300 306 571 E: storage@midlandinsurance.com.au www.midlandinsurance.com.au –––––– Wallace McLean Ltd Insurance Brokers and Risk Advisers Simon Keenan T: +64 9 358 7233 E: simon@wallacemclean.co.nz www.wallacemclean.co.nz

LEGAL SERVICES Hunt & Hunt Lawyers Graeme Armstead T: +61 3 8602 9200 E: garmstead@huntvic.com.au www.hunthunt.com.au

LIFTS & HOISTS SOUTHWELL LIFTS AND HOISTS David Head T: +61 2 4655 7007 E: sales@southwell.com.au www.southwell.com.au

ABT Loadmac Ltd Chris Walker T: +61 431 281 108 E: chris.w@loadmac.com www.loadmac.com –––––– Safetech Lifts & Hoists Tony Krlevski T: +61 3 5127 4566 E: sales@safetech.com.au www.safetech.com.au

MANAGEMENT SERVICES Kennards Self Storage Management Services Fiona Harding T: +61 2 9764 9815 E: fiona@kss.com.au www.kss.com.au –––––– Pioneer Performance Leigh Thewlis T: +61 438 021 944 E: admin@pioneerperformance.com.au www.pioneerperformance.com.au –––––– Storage King Management Services Martin Richards, Australia/ New Zealand T: +61 2 9460 6660 E: martin@storageking.com.au www.storageking.com.au

www.selfstorage.org.au

TRADE DIRECTORY | 41 StorAssist Sally Chodan T: +61 403 533 640 E: sally@storassist.com.au www.storassist.com.au –––––– StoreLocal Mark Greig T: 1300 099 022 E: partners@storelocal.com.au www.storelocal.com.au –––––– Vision Self Storage Management Gavin Koorey T: +61 2 9432 2880 E: gavin@vssm.com.au www.vssm.com.au

OHS SERVICES OHS Action Consulting Craig Salter T: +61 409 772 499 E: craig.salter@actionohs.com.au www.actionohs.com.au –––––– Workplace Access and Safety Carl Sachs T: +61 3 9045 6200 E: carls@workplaceaccess.com.au www.workplaceaccess.com.au

REAL ESTATE & VALUERS CBRE Limited Peter Hamilton T: +64 9 355 3333 E: peter.hamilton@cbre.co.nz www.cbre.co.nz –––––– CBRE Dylan Adams T: +61 7 3833 9833 E: dylan.adams@cbre.com www.cbre.com.au/people-andoffices/corporate-offices/brisbane –––––– Colliers Baden Mulcahy T: +61 2 9257 0222 E: baden.mulcahy@colliers.com www.colliers.com.au –––––– Collins & Associates Malcolm Collins T: +61 3 8456 5134 E: malcolm@malcolmcollins.com www.malcolmcollins.com Cushman and Wakefield Linda Sharkey T: +61 3 8359 0091 E: linda.sharkey@cushwake.com www.cushmanwakefield.com –––––– Valuation Partners Martin Fallon T: +61 3 9674 0374 E: mfallon@valuationpartners.com.au –––––– Highway Frontage Specialist Estate Agents Matt Walsh T: 1300 661 950 +61 3 9944 9350 E: matt@highwayfrontage.com.au www.selfstoragerealestate.com.au

www.selfstorage.org.au

m3property Jeremy Hoffman T: +61 7 3620 7900 E: jeremy.hoffman_365@m3property.com.au www.m3property.com.au –––––– Savills Valuations Pty Ltd Basil Simitci T: +61 7 3221 8355 E: bsimitci@savills.com.au www.savills.com.au –––––– Urbis Shane Robb T: +61 2 8233 7627 E: SRobb@urbis.com.au www.urbis.com.au

SOFTWARE SOLUTIONS STORMAN AUSTRALIA Duncan Clarke T: +61 7 3319 1522 E: sales@storman.com www.storman.com

STORMAN NEW ZEALAND Duncan Clarke T: +64 9 280 3393 E: sales@storman.com www.storman.com

Centreforce Technology Group Pty Ltd Dallas Dogger T: +61 7 3889 9822 E: sales@centreforceit.com.au www.centreforceit.com.au –––––– Podium Taylor Cutler T: +61 478 180 191 E: taylor.cutler@podium.com www.podium.com –––––– Sitelink Michael Dogger T: +61 7 3889 9822 E: support@sitelinksoftware.com.au www.sitelinksoftware.com.au

Stora E: hello@stora.co www.stora.co –––––– Storeganise Miles Davison T: +1 416 639 0873 E: hello@storeganise.com https://storeganise.com/

STORAGE CONTAINERS UNIVERSAL STORAGE CONTAINERS (USC)

Shay McQuade T: +61 438 256 541 E: shay.mcquade@universalstorage containers.com www.universalstoragecontainers.com BOS Containers Australia Elise Kelsey T: +61 3 9720 4455 E: ekelsey@aimhire.com.au www.boscontainer.com.au –––––– Royal Wolf Trading Craig Baker T: +61 2 9482 3466 E: removals@royalwolf.com.au www.royalwolf.com.au

WEBSITE DESIGN Big Budda Boom Pty Ltd Andy Pudmenzky T: 1300 660 937 E: info@bigbuddaboom.com.au www.bigbuddaboom.com.au –––––– R6 Digital Michael Dogger T: +61 7 3889 9822 E: sales@r6digital.com.au www.r6digital.com.au

Code of Ethics

The Self Storage Association of Australasia’s Code of Ethics are fundamental to the values of the SSAA and essential to achieving its mission to lead the storage industry in Australasia by promoting the highest standards of ethics and professional excellence for the ultimate benefit of all members and customers. As a SSAA member, you are required to follow the Code.

1. Members will ensure that their workplace is a safe environment for employees, customers and other visitors to the site.

2. Members will treat all employees, customers and visitors to the site with respect.

3. Members will promote the positive image of the industry through ethical and honest advertising and business practices.

4. Members will undertake to report any suspected criminal activities to the relevant authorities.

5. Members will comply with all relevant local, state and federal government laws and regulations regarding a self storage business.

6. Members will use a current approved SSAA storage agreement or develop an alternative that delivers the equivalent contractual agreement.

7. Members will ensure that staff are competent in their duties and complete appropriate training in current industry practices.

8. Members will participate honestly, cooperatively and transparently with any investigation by the SSAA into any alleged breach of this Code of Ethics.

APRIL / MAY 2022 INSIDER 124

42 NEW MEMBERS FACILITY MEMBERS A1 Storage 201 West Eumundi Road EUMUNDI QLD 4562 P: +61 7 5442 8627 E: info@a1storage.com.au –––––– Augusta Self Storage 19 Brindley Street AUGUSTA WA 6290 P: +61 414 859 093 E: susiebutcher@hotmail.com –––––– Bass Coast Boat and Caravan Storage 1835 Bass Highway GLEN FORBES VIC 3990 T: +61 484 144 948 E: mail@basscoastbcs.com.au –––––– Bay Storage Ltd 57c Mill Road COASTLANDS BAY OF PLENTY 3120 T: +64 27 242 1122 E: info@baystorage.nz –––––– Budget Self Storage SA 61 Stanbell Road SALISBURY PLAINS SA 5108 P: +61 417 831 559 E: info@budgetselfstorage.com.au –––––– Coast Caravan Storage Lot 32 Buchanan Court VICTOR HARBOUR SA 5211 T: +61 415 926 708 E: jamie@scconstruct.com.au –––––– Global Self Storage Brookvale Pty Ltd 8 Clearview Place BROOKVALE NSW 2100 P: +61 2 9905 8655 E: brookvale@globalstorage.com.au –––––– Hinschen Street Storage Sheds 41 Hinschen Street PROSERPINE QLD 4800 P: +61 419 821 003 E: michael.norman.cct@gmail.com –––––– JWD Storage Solutions 7071 Bruce Highway CHEVALLUM QLD 4505 T: +61 482 944 185 E: admin@tpstorage.com.au –––––– JS Storage Limited 71 Mill Road HELENSVILLE AUCKLAND 0800 P: +64 22 404 2136 E: info@jsstorage.co.nz

INSIDER 124 APRIL / MAY 2022

Motoco Store & Go 593 Ingham Road MOUNT SAINT JOHN QLD 4818 P: +61 7 4750 2900 E: michaell@motoco.com.au –––––– My Paddock 169 Mona Vale Road INGLESIDE NSW 2101 P: +64 404 708 708 E: bryce@mypaddock.com.au –––––– Prime Space 7 Logistics Avenue WESTDALE NSW 2340 P: 1300 829 599 E: reservations@primespace group.com.au –––––– Rover Storage 18 Hales Drive LONSDALE SA 5048 P: +61 410 848 587 E: andrew@tomlinprojects.com.au –––––– Storage As You Need It Princes Drive MORWELL VIC 3840 P: +61 403 702 299 E: ashzal1@optusnet.com.au –––––– Swift Storage Burpengary 19 Axis Court BURPENGARY QLD 4505 T: +61 428 119 599 E: hello@swiftstorage.com.au –––––– Undercover Caravan & Motorhome Storage 19 Gale Road EVANSTON SOUTH SA 5116 P: +61 499 779 5466 E: kenbowey21hotmail.com

ADDITIONAL FACILITIES National Storage Ellerslie 614-616 Great South Road ELLERSLIE AUCKLAND 1051 T: +61 7 3218 8100 E: info@nationalstorage.com.au –––––– Safeguard Self Storage Whakatane 39 Mill Road COASTLANDS WHAKATANE 3120 T: 0800 437 640 E: whakatane@sgss.co.nz –––––– Secure One Self Storage - California Gully 14 Stafford Street CALIFORNIA GULLY VIC 3556 T: +61 3 5447 7223 E: info@secureoneselfstorage.com.au

Storage King Brunswick East 109 Moreland Road EAST COBURG VIC 3058 P: +61 3 8903 8950 E: brunswickeast@storageking.com.au –––––– Storage King Kunda Park 6 Kessling Avenue KUNDA PARK QLD 4556 T: +61 7 5445 5655 E: kundapark@storageking.com.au –––––– Storage King Smithfield 2 Percival Road SMITHFELD NSW 2164 P: +61 2 8426 6605 E: smithfield@storageking.com.au –––––– StoreLocal Hendra 130 East West Arterial Road HENDRA QLD 4011 T: +61 7 3186 6677 E: hendra@storelocal.com.au

PROVISIONAL MEMBERS Garry Rapley 8 Rose Street MURRUMBATEMAN NSW 2582 P: +61 418 631 041 E: garry@rapley.net.au –––––– Green Space Self Storage 350 Vardys Road KINGS PARK NSW 2148 T: +61 407 907 911 E: johnvfuria@gmail.com –––––– Hoffie van Huyssteen 7 Freshwater Court SPRINGFIELD LAKES QLD 4300 P: +61 477 014 898 E: hoffievanhuyssteen@outlook.com –––––– Taeje Baker 292 Gordonb Egerton Road MOUNT EGERTON VIC 3352 P: +61 408 882 286 E: taejebaker@gmail.com

SERVICE MEMBERS Debtplacer Level 1/140 Bundall Road BUNDALL QLD 4217 P: +61 438 066 583 E: support@debtplacer.com

www.selfstorage.org.au

GET 10% OFF Our Centurion Gate and Motor Package

Introducing our Centurion Gate and Motor Package with a high-torque 24V DC motor, coupled to a robust gearbox that is quick and powerful. Our 10% OFF Centurion Gate and Motor Package is available to customers that have committed to Sentinel for software and access control by 30th June 2022.

1300 852 117

0800 746 311

+61 3 9988 2035

AUSTRALIA

NEW ZEALAND

INTERNATIONAL

info@storagesecurity.com.au www.storagesecurity.com.au

Sentinel Australasia distributes to all of Australia, New Zealand, Indonesia and Asia. Installers and technicians in every state of Australia, NZ and throughout Asia.

Commitment with confirmation of Centurion Gate and Motor Package must be accepted and confirmed with Sentinel Storage Security before 30th June 2022.

Offer excludes installation and construction costs.

Creating Better Spaces Since 1980 ...

“Storage

that’s secure, protected and doesn’t compromise on style

storco.com.au Australia

T+61 2 6391 2800 E sales@storco.com.au

New Zealand

T+64 21 225 3141 E sales@storco.co.nz