You know you've arrived in life when the Wall Street Journal takes an interest in you! A recent article in the Wall Street Journal discusses the value of Self Storage portfolios and discusses recent transactions that defy the normal rules for investors.
Mako Steel Blog
Thanks Kent for your Self Storage Development Question! We'll send you a "Thanks for Asking" gift in the mail!
Sent: Thursday, March 08, 2012 11:12 AM
To: Info MakoSteel
Subject: average costs for multi story projects
Just looking for an approximation of hard construction costs for a 3 story project....assuming the foundation is not a part of the structural cost....what would be a decent number to use for rough estimating...
That’s a great question. Thanks for asking. We’ve been involved in the construction of a half dozen Multi-Story Self Storage Buildings this past year – and the range for turn-key construction (including the slab, landscaping, office T.I and off site improvements) has been between $35-$70 psf.
There are a lot of variables that come into play, but most of the time increased construction costs have more to do with the overall aesthetic and how site work and off-site improvements come into play than any other construction components.
We can easily quantify the average cost of the vertical construction. Those numbers tend to fluctuate far less than the other dynamics of your construction project. For the Structural Engineering, Steel Framing, Siding, Roofing, Partitions, Insulation, Roll-Up Doors, & Corridor Systems as well as labor to install you can figure between $11-$15 psf. The lower range number would assume you are looking at utilizing a Standard Steel Corrugated Siding at the Exterior, and the higher range would reflect utilizing an Insulated or Pre-Textured wall panel (like API or King Span)
If you are looking at particular site for your project, let me know. I think we have one of the industry’s most talented draftsmen at our disposal to assist with concept site planning. It is a service we provide to all of our customers at no cost and we’re happy to extend the offer to you as well.
I’m not sure if you have already subscribed or not, but I have an offer out to the Self Storage Industry to inundate me with questions to use on my blog. Your question is timely. With your permission – I’d like to post your question and answer to my weekly blog at http://www.makosteel.com/blog/ - Please send me your mailing address and phone contact, and I will send you back a thank you gift for helping us to build our website content. Thanks again. Don’t hesitate to call me if you have any additional questions. My contact info is below.
Over the last 11 years, I've had the opportunity to talk with several hundred "would-be developers" about the process of developing a self storage project. The first and most important question is always, "How much does it cost to build Self Storage?"
January is always full of promise. A chance to wipe clean the slate of the previous year, start over and reinvest. That is precisely what we are doing here at Mako Steel. Humbly saying goodbye to 2011, and looking forward to the promise of a New Year.
Mako Steel's top-of-the-line drafting department has been "bringing it home" recently! Mark Zerlaut, our Head Draftsman, is this month's recipient of our "Employee of the Month" award.
Hundreds of investors in real estate investment trusts are hunkered down at the Waldorf Astoria, touting tremendous returns and talking tactics for the next great play. It's "REIT Week," in New York, or for those of you less excited about it, it's the annual conference of the National Association of Real Estate Investment Trusts (NAREIT).