alking with RK Kliebenstein is like taking a trip through self-storage history, with stories involving some of the largest companies and biggest personalities in the industry. When asked if anything is off limits, he spreads his hands. “I have nothing to hide,” he says with a grin. He’s dressed in a floral sport coat he calls his “ode to Jimmy Buffett,” fitting for a Floridian who’s on the water when he’s not working. “I’m an open book.”
Kliebenstein is the president of Self-Storage, LLC (formerly Coast-to-Coast Storage), a self-storage consultancy firm he founded in 1999 that specializes in feasibility and market studies, brokering, due diligence, development, and buyer representation. He has served as head of acquisitions for The Amsdell Companies, Extra Space Storage, Metro Storage, Stor All, and U-Store-It (now CubeSmart). Today, Kliebenstein is one of the most recognized personal brands in the self-storage industry. But like many in the business, he entered self-storage almost by accident.
He was working in real estate on a construction loan for phase one of a property in Albuquerque when the lease-up was delayed. The developer decided to duck the bank for a few weeks and hit the road. Soon after, Kliebenstein received a call from a small town in New Mexico. “He says, ‘RK, what do you know about mini storage?’ I said, ‘Well, I think I can spell it.’”
The developer told him he had two weeks to learn it because that was what they were building in phase two. “He told me it was going to save our construction loans,” says Kliebenstein. “I started brushing up on the industry, and that was my first exposure to self-storage. It was baptism by fire—and from a fire hose at the same time.”
Things took off from there—new positions, new companies, books, speaking engagements, and eventually his own consulting firm.
Working with Woolley and former CEO Spencer Kirk proved invaluable. “It was life-changing for me,” says Kliebenstein, who underwrote nearly $1 billion in self-storage transactions and closed over $200 million in sales during his tenure with the REIT. He also contributed to taking the billion-dollar firm public in 2004. “They’re two of the greatest minds in the business, and I have tremendous respect for them and the organization they built.”
“I feel for the company being in this position because it’s likely going to set a precedent, perhaps for the whole country,” he says. “This is a challenging time for our industry, and publicly traded companies are beholden to analysts and shareholders, so they execute accordingly. They’ve been able to convert a good majority of customers into higher-paying tenants with introductory pricing, so the proof is in the pudding.” Customers, he adds, have choices. “They could have chosen an operator that was going to give them a one-year price guarantee, but they liked the discount. We learn in exit interviews that most people don’t think they’re going to stay very long. When they do and the price goes up, they look for someone to blame. That’s going to happen in a difficult economy.”
Still, Kliebenstein has respect for independent owner-operators who take a different approach. “That’s a great alternative to compete against the really big guys, and God bless ’em.”
“It’s a walkthrough of why this is a good time to acquire self-storage facilities,” he says. “With stalled lease-ups, development delays, certificate of occupancy issues, and debt coming due, there’s going to be tremendous opportunity to acquire distressed properties.”
Many who missed the last boom were left thinking “shoulda, woulda, coulda,” he says, and he doesn’t want history to repeat itself. “I think there’ll be another boom three to four years from now, and some people will be left with those same sentiments. This is their second chance.”
Consulting also led to invitations to speak about self-storage around the world. Although he is a businessman, he considers himself an educator when he’s on stage.
“I’m not trying to sell anything,” he says. “I just want to teach the audience about our industry—the good, the bad, and the ugly. I present as much information as I can so they can make an educated decision about whether the asset class is right for them.”
Kliebenstein acknowledges the industry is facing headwinds but notes that self-storage has consistently emerged stronger from past downturns. He returns to a phrase often used by Chris Potash of City Line Capital. “It’s a great day to be in self-storage,” he says. “I truly believe that.”
He believes innovation will continue to shape the industry. “Last year I worked with iPostal1, a digital mailbox company. That’s a great product for storage operators. It’s another way to generate income and use your storefront to build profits.”
He predicts weekly billing could become more common. “If you bill in four-week increments, you get 13 payments a year. People naturally think in terms of 12 months, but the weekly math works differently. It increases revenue without changing what we deliver.”
Next, he addresses the conversation around unmanned versus manned facilities. He thinks the alternative to both may become more common: the hub-and-spoke management model. “Some properties may not need a manager on site, but I don’t know that fully remote is the answer either, although there are smart operators making it work like 10 Federal. Instead, I think we’ll see more hub-and-spoke models, where one store’s office is closed and managed from another nearby location. Extra Space is doing it, and I’ve seen it at Public Storage too. If the REITs are doing it and continue to do it, it’s probably a good thing. You don’t get to thousands of stores by mistake—you learn from mistakes.”
Of course, a lot of the transformation will come courtesy of new technology. “AI has just started to scratch the surface,” he says, with a warning. “You have to be careful though. I’ve seen feasibility studies generated by AI, and it’s not all fact. There’s fiction in it. Fact-checking and understanding matter.”
Lastly, he believes operators will continue adding polish to the industry. “I refer to units as spaces, tenants as guests, facilities as stores. Let’s make that the norm. It looks good on us.”
When he’s done traveling for speaking engagements and he’s written his last book, he’ll still be circling the industry. “I wouldn’t even be opposed to being a relief manager at a storage property for a few extra bucks every month. What I’m saying is, you’re all stuck with me.”
One manager sent the Nagels a video of “Brother RK” entering the facility. They recognized him immediately. “They called me and said, ‘A monk? Why?’ And I said, ‘Who’s gonna lie to a monk?’”
They appreciated his creativity—and the fact that the ruse worked. “I got a lot of good intel. It’s amazing how people open up when you’re dressed in a brown monk’s robe,” he says laughingly. “Come to think of it, maybe that’s why I dress so colorful now.”