Week 32 and 33 of Self Employment: Due to the short Thanksgiving week, I saved my latest update for this week.
Houlton Storage Garages: We are still trying to wrap up the last few items in Houlton. We are waiting for the electrician to fix a few light sensors for the exterior lighting. This has taken too long. Hopefully we can wrap that up soon. We had the gates fully wired up so we'll have active gates very soon. They close on their own and seem to work properly, we just need to dial in the vehicle detection for free exits. Also we need to set up the punch codes for opening the gates after hours.
We are now just waiting for the state review on the heaters for Building 5. Still a couple weeks out. I expect this to be a non-event, frankly. But it's part of the process.
We also needed some final paperwork for the inspection agency to sign off on Building 4 and Building 5. We got them the information. B4 is all good but apparently they didn't sign off on B5 so we still need a final, final inspection.
On a side note, we installed gutters on the north facing buildings that struggle with the freeze thaw cycle. The sun warms the roof, the snow melts, it drips down onto the shaded area on the north side of the building and freezes. By installing gutters we hope to minimize that dripping and freezing issue. So far so good. The south facing buildings have the benefit of the sun warming up the ground and dripping so the ground tends to stay clear. We may add them in the future but budget only allowed for the north facing buildings this year. Plus, it's acting as a test case to a certain degree. So far, so good.
We've been trying to add a security system to our property. We selected a contractor. I think Thanksgiving week got a little too busy and things didn't happen fast enough and frost set in. We decide to change to a contractor that will be able to deal with the frost and get out system installed this year. This will be great to get installed. 9 cameras and full coverage of the parking lots. No more mystery damage to doors and buildings that no one knows anything about (sure.....).
We are now just waiting for the state review on the heaters for Building 5. Still a couple weeks out. I expect this to be a non-event, frankly. But it's part of the process.
We also needed some final paperwork for the inspection agency to sign off on Building 4 and Building 5. We got them the information. B4 is all good but apparently they didn't sign off on B5 so we still need a final, final inspection.
On a side note, we installed gutters on the north facing buildings that struggle with the freeze thaw cycle. The sun warms the roof, the snow melts, it drips down onto the shaded area on the north side of the building and freezes. By installing gutters we hope to minimize that dripping and freezing issue. So far so good. The south facing buildings have the benefit of the sun warming up the ground and dripping so the ground tends to stay clear. We may add them in the future but budget only allowed for the north facing buildings this year. Plus, it's acting as a test case to a certain degree. So far, so good.
We've been trying to add a security system to our property. We selected a contractor. I think Thanksgiving week got a little too busy and things didn't happen fast enough and frost set in. We decide to change to a contractor that will be able to deal with the frost and get out system installed this year. This will be great to get installed. 9 cameras and full coverage of the parking lots. No more mystery damage to doors and buildings that no one knows anything about (sure.....).
Storage Garage of Hudson: We are still waiting to start Building 3 (our second building) in Hudson. Our contractor has been slow to get back to our facility. We are approaching 5 weeks (it was supposed to be 2 weeks) and we've let them know that we are running out of patience. Hopefully they take our concerns to heart and figure out a way to get back to our facility. Good news is that materials have been delivered as of Friday, Nov 30th. That is a step in the right direction. But they were supposed to be there on Thursday. Which would have still been 4 weeks late. Anyhow, we're working through this. Other than this latest issue, they've treated us very fairly so we're hoping this doesn't erode our relationship any further. But we do have a lot of money tied up in our down payment for materials which we're paying interest on. That is no bueno.
I shoveled snow and cleared ice from the slab a couple times over the past two weeks to keep it clear for construction. Another issue with the schedule getting pushed back is that temps will get colder and colder. That typically means that snow and ice is harder and harder to remove. If there is ice in the units and the roof gets installed, the sun will not be able to melt the ice and snow in the units which will render them unrentable. That too is no bueno. If that were to occur, we would be making interest payments on the down payment and the final payment without additional revenue to cover those payments. Anyway, we're trying to be as smart as possible about expenses vs. revenue.
We were looking at doing security cameras at the same time as Houlton but as discussed earlier, we ran out of time to trench in wires. We could potentially run the cameras over the existing electrical wiring but there is no guarantee that will work. Because of that, we decided to skip it until next year when we can trench and install dedicated wiring. Also, our electrical contractor didn't fix the electrical wiring that was hit by the grading contractor before it was buried. That gave me pause too. Mainly because the integrity of the wiring may have been compromised and it'll likely need to get fixed/adjusted in spring anyhow. I'd prefer to not have two systems (electrical and cameras) to fix at the same time.
I shoveled snow and cleared ice from the slab a couple times over the past two weeks to keep it clear for construction. Another issue with the schedule getting pushed back is that temps will get colder and colder. That typically means that snow and ice is harder and harder to remove. If there is ice in the units and the roof gets installed, the sun will not be able to melt the ice and snow in the units which will render them unrentable. That too is no bueno. If that were to occur, we would be making interest payments on the down payment and the final payment without additional revenue to cover those payments. Anyway, we're trying to be as smart as possible about expenses vs. revenue.
We were looking at doing security cameras at the same time as Houlton but as discussed earlier, we ran out of time to trench in wires. We could potentially run the cameras over the existing electrical wiring but there is no guarantee that will work. Because of that, we decided to skip it until next year when we can trench and install dedicated wiring. Also, our electrical contractor didn't fix the electrical wiring that was hit by the grading contractor before it was buried. That gave me pause too. Mainly because the integrity of the wiring may have been compromised and it'll likely need to get fixed/adjusted in spring anyhow. I'd prefer to not have two systems (electrical and cameras) to fix at the same time.
Border Properties LLC: We are strongly considering adding buildings to our property in Prescott, WI. The land is already there and that means we just need to do the grading and add the building.
Other: Looked at a nice storage facility near my grandparent's cottage while I was home for Thanksgiving weekend. I really liked the facility but after accounting for management, facility maintenance, and an uptick in property taxes, I just felt like my offer was going to be really far away from the asking price. Rather than offend the selling party with what might appear as a lowball offer, we decided to walk away.
Looking at some other interesting properties. Hopefully we'll go into the new year with a new project on the schedule. Either way, we'll exercise patience and wait for something that fits into our investment strategy.
Looking at some other interesting properties. Hopefully we'll go into the new year with a new project on the schedule. Either way, we'll exercise patience and wait for something that fits into our investment strategy.
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