Southern California RV Storage Operators About To Cash In
Sunday, February 19, 2012
Groundbreaking start to construction of 10,000 homes. 3,500 RVs lie in path of construction. MakoRabco client, Eucalyptus at Beaumont Storage Condominiums, offers solution.
"Once the RV owners get their eviction notices, it will be every man for himself."
Beaumont, CA (PRWEB) February 16, 2012
Eucalyptus at Beaumont is poised to provide needed owned RV storage for some of the 3,500 RVs that may be evicted from Orange County, California.
The El Toro Marine Base (MCAS) was closed in 1999, and the abandoned runways soon morphed into the nations largest RV storage lot. In July of 2005, Lennar Corp purchased the Marine Base to make way for new housing and the Orange County Great Park. Lennar and its subset, Fivepoint Communities, secured needed construction financing and broke ground on the first of over 10,000 homes and 1 million sq ft of commercial development on January 31st, 2012. The stored 3500 RVs are right in the path of the construction. The RVs may have to go away.
"Where will all those RVs go?" Ted Deits, developer of Eucalyptus at Beaumont, a unique condominium (individually owned) storage project wonders about this. "It is going to be a real problem. There is little available storage in the Orange County area suited for large vehicles like RVs, and land is simply too expensive and rare to make economic sense for RV storage. Cities do not like non-revenue (sales tax) generating uses. After approaching 15 cities in Orange County before settling here in Beaumont, I was turned down by every city even though they all had ordinances against parking RVs in residential areas. None of them would allow the construction of an RV storage lot. Sort of a NIMBY [not in my back yard] attitude." Deits continued, "A recent example is the city of Huntington Beach, where on June 21st, 2010, they voted unanimously against a RV storage project that would have stored over
557 RVs. Some businesses have rented large warehouses and have started storing RVs clustered inside. The cost is prohibitive from $10 to $14 per foot, (4 times the cost at El Toro), and this solution is temporary at best. Further I am not certain how effective the fire protection is." Deits said, "If one RV catches fire, they all catch fire."
"Certainly the cost of RV storage will increase dramatically, especially in the Orange County areas," said Deits. "It is already occurring as word of this calamity gets out. Sales at Eucalyptus at Beaumont have increased fourfold in the last two months. We are running out of garages and this is before any of the RVs have even been asked to move. Once the RV owners get their eviction notices, it will be every man for himself."
The prospects for building any new RV storage projects are very unlikely as Orange County land is too expensive, and frankly, for small developers, construction financing is nonexistent in this tough economy. The remaining storage operators will pretty much have a monopoly and will charge accordingly. It is simply supply and demand. Too much demand, too little supply equals higher prices. The remaining RV storage operators will have their payday soon. Ted Deits said, "I built Eucalyptus at Beaumont to allow for the individual ownership of enclosed RV storage. I saw this coming in 2003 when I conceived the idea. People are going to have to control their storage costs if they are going to continue to enjoy the RV lifestyle. Owning your storage has always made sense, now more than ever."
Ted Deits is the developer of Eucalyptus at Beaumont, a condominium storage concept that allows for individual ownership of fully enclosed storage garages. Their website is http://www.rvstorage.biz.
REPOSTED FROM EUCALYPTUS AT BEAUMONT'S WEBSITE.