Forge Building Company, "The Steel Building Experts," recently announced it landed ten new self storage building projects with a combined total of more than 600,000 square feet in six Idaho cities: Boise, Meridian, Eagle, Hailey, Twin Falls and Rupert.
Traditionally rooted in the Pacific Northwest, FORGE has demonstrated remarkable adaptability and vision in recent years by venturing into new markets across the nation. Over the past two years, the company has strategically expanded its operations, successfully penetrating diverse geographical regions throughout the USA. This expansion reflects FORGE's dedication to growth and its ability to capitalize on emerging construction opportunities in the self storage industry.
This nationwide building contractor has over 45 projects spanning multiple states, including Hawaii, New York, Florida, Idaho, Nevada, Tennessee, Arizona, Texas, and North Carolina. The company's presence in these varied markets underscores its commitment to meeting clients' evolving needs nationwide while maintaining its unwavering commitment to quality and innovation.
The surge in self-storage building projects across the USA underscores the increasing demand for secure, accessible storage solutions. Whether catering to residential, commercial, or industrial clients, FORGE's self-storage facilities are designed to meet the highest standards of quality and efficiency. From traditional storage units to climate-controlled spaces, FORGE offers a diverse range of options tailored to the unique requirements of each project and client.
What sets FORGE apart is its unwavering commitment to excellence at every stage of the construction process. The company prioritizes innovation, craftsmanship, and attention to detail from design to build. By fostering collaborative partnerships within the industry, FORGE ensures seamless project delivery and client satisfaction.
As FORGE continues to expand its footprint across the USA, its core values remain unchanged: integrity, professionalism, and a relentless pursuit of excellence. By embracing innovation, change, and new opportunities, FORGE Building Company reaffirms its position as a trusted leader in the construction industry, setting the standard for quality and innovation in self storage facility construction and beyond.
As the year winds down and you look at the overall commercial real estate market, there were definitely challenges – retailers were closing doors, the future of office space is still uncertain, supply chain issues have persisted, and inflation is near 40-year highs prompting the Fed to steadily increase interest rates1. However, there are still bright spots in the commercial real estate market forecast. The one asset class that has outperformed all the others in 2021 was self storage. With an average occupancy of 92%, self storage is a viable option for those looking for alternative investment opportunities as it provides income and inflation resistance (since rates can change daily2.
Also see our blog, "Why Self Storage in a Recession?"
In today’s self storage industry, almost 40% of Americans rent a self storage unit with Gen X leading the other age groups. This segment of the commercial real estate industry is growing tremendously in popularity because it assists people during many key life events – growing your family, downsizing, moving, death, and divorce. Typically, homeowners with smaller homes tend to use self storage more, but the percentage of owners of larger homes is also on the rise3.
The primary reason investors are now looking at this asset class is because it can be an inflation hedge. Most units are on a month-to-month rent, which can increase each month to keep up with inflation. According to the 2023 Self-Storage Almanac, consumers typically rent a 10x10 storage unit. The rent for these units increased by 13% in 2022. In 2001-2023 the average return on self-storage was 20.87%, and in 2006-2021 it was 18.76%. Numbers like this are gaining the attention of investors.
Furthermore, the average sale price of storage properties has appreciated by more than 30% over the past five years4.
See "2022 Outlook for Self Storage."
Also, see what the Forge President and CEO have to say about "Self storage as an investment."
In today’s market, you do not necessarily need to buy and build your own self storage facility. Some companies create self storage turnaround investments that are for accredited investors. These funds tend to buy self-storage units from “mom and pop” operators and add economies of scale, invest in the properties, and increase the return on investment (ROI) for investors.
So, whether an investor wants to buy and own a self storage facility outright or just benefit from the long-term economic benefits, self storage facilities stand to serve both types of investors well5.
1. Brooks, A. (2022, December 2). J.P. Morgan. Retrieved from jpmorgan.com: https://www.jpmorgan.com/insights/outlook/economic-outlook/2023-commercial-real-estate-trends
2. Hubler, F. (2023, September 5). Forbes. Retrieved from Forbes.com: https://www.forbes.com/sites/fredhubler/2023/09/05/self-storage-isnt-just-for-hoarders-a-primer-for-investors/?sh=2e5e810d77be
3. Mohan, M. (2022, August 15). Storage Cafe. Retrieved from storagecafe.com: https://www.storagecafe.com/blog/self-storage-use-and-main-demand-drivers/
4. Weinstock, S. D. (2022, January 15). Inside Self Storage. Retrieved from insideselfstorage.com: https://www.insideselfstorage.com/market-conditions/how-will-self-storage-perform-year-ahead-real-estate-market-outlook-2022
5. Cone, J. (2018, January 11). U.S. News and World Report. Retrieved from money.usnews.com: https://money.usnews.com/money/blogs/the-smarter-mutual-fund-investor/articles/2018-01-11/self-storage-is-an-investment-alternative
In an era where space is a premium commodity and people constantly seek efficient storage solutions, the self storage industry has emerged as a beacon of innovation and convenience. The hottest industry right now is Self-storage! It has experienced exponential growth in recent years, fueled by urbanization and changing consumer habits. Because the demand for self storage facilities is skyrocketing nationwide, companies like Forge Building Company have risen to the occasion, solidifying their position as premier steel building contractor in the industry.
As the demand for self-storage facilities continues to surge! The importance of reliable and efficient construction companies cannot be overstated. In this landscape, Forge Building Company has distinguished itself as The Steel Building Experts. We set the standard for excellence in self storage construction.
What sets Forge Building Company apart from the competition? It combines experience, expertise, and a relentless commitment to quality. Moreover, with a track record of successful projects spanning the nation, Forge Building Company has earned a reputation for delivering superior results on time and within budget.
Forge Building Company is one of the premier national self-storage steel building contractors in the U.S. Founded in 2007 and headquartered in Boise, Idaho, Forge Building Company was created after its founders, Hamish Bell and Hayden Farrell, spent decades working in the steel-structure industry. Focusing their expertise on storage and the three pillars of building, designing, and erecting. This led the company to a more diverse portfolio and stronger relations across America. The Forge team has built over 50+ million square feet, has over 200+ employees, and remains privately owned. Learn more about the Forge story.
Perhaps the most distinguishing aspect of Forge Building Company is its unwavering commitment to customer satisfaction. From the initial consultation to the final walkthrough, clients can expect open communication, transparency, and a dedication to exceeding expectations at every stage of the construction process.
As the self-storage industry continues to evolve and expand, Forge Building Company remains poised to lead the way. The company is especially well-positioned to meet the growing demand. Furthermore, we have a proven track record of success and a steadfast commitment to excellence. Forge Building Company provides high-quality, state-of-the-art storage facilities nationwide. View our featured projects here: FEATURED PROJECTS
In conclusion, the self-storage industry represents a dynamic and rapidly growing sector of the economy, driven by changing consumer behavior and the need for innovative storage solutions. In this landscape, Forge Building Company stands out as a beacon of reliability, professionalism, and unparalleled expertise, setting the standard for excellence in self storage construction. As the industry evolves and expands, Forge Building Company remains committed to unlocking success for its clients, one storage facility at a time.
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