I like to invest in things that have a high barriers to entry the cities for example I’ve really started to put a lot of storage units pueblo west co protocols on new development of self storage they require a lot of brick they require screen walls and some of them are multi-level they’ll.
They need a lot of glass the days of the old metal building with a lot of garage doors facing a highway or kind of past us so you know if you were to buy a good year old property that’s been there forever and is well occupied if someone were to buy some land across the street from you they’re going to have to build the Taj Mahal compared to what you have and.
They’re gonna have to charge a much higher price per unit to make any kind of return so you’re protected in that high barrier to entry versus if you were an apartment owner and you bought an apartment building there’s really no guarantee that at any point in the time someone’s going to build another apartment down the road from you.
Because there’s just a need for housing there are multiple profit centers aside from just renting units and I think the best managers really drill down on what can I do to squeeze additional revenue and you’ll seeing everything from selling locks and boxes out of their retail office to offering tenant insurance.
They will offer truck rental services they’ll offer business fulfillment they’ll offer a little post-it mail slots to offer post office but post office boxes for people anything they can think of to squeeze an extra you know fifty hundred thousand dollars a month and as.
We were talking about what that does on a cap rate if by doing little things of selling boxes raining trucks and selling insurance you can squeeze an extra thousand dollars a month in profit just by having your manager .,/p>