

elf-storage remains in the crosshairs of some city officials. Due to concerns over aesthetics, oversupply, a lack of job creation, or all the above, they’re restricting self-storage facilities to industrial zones, or instituting moratoriums or outright bans on new development. Once moratoriums or bans are instituted in one city, others seem to take notice, and the dominoes begin to fall.
Over the last six years, there have been self-storage moratoriums or bans in cities across at least 15 states. Though some have since lifted, most remain in place. In 2020, Radius+ highlighted several of them in cities as large as Birmingham, Ala., to smaller towns like Coon Rapids, Minn.; Milford, Conn.; Nampa, Idaho; and Vancouver, Wash. Other cities didn’t outright ban self-storage, but they did put in place stipulations. For example, in Denver, self-storage is not permitted within a quarter mile of any light-rail transit (LRT) station; in Sacramento, they’re outlawed in the area of Stockton Boulevard and Broadway to make the space “more walkable.”
As such, MSM has been reporting on the most recent moratoriums and bans. Here are some of them and the cities’ rationales behind them.

Tim Dietz, President and CEO and Self Storage Association (SSA)

Maurice Pogoda, President and Chairman of Pogoda Companies
One of the most recently proposed bans is happening now in Delta Township, Mich. The township’s board of trustees recently passed a zoning ordinance amendment prohibiting self-storage facilities from locating in commercial zones. Township Supervisor Fonda Brewer said, “Self-storage facilities are inactive land uses, provide few jobs, and represent an opportunity cost that could displace more desirable future development.”
Township Planner Director Peter Menser added, “Industrial zoning may be more appropriate for this land use given that self-storage facilities do not rely as much on high-traffic locations, are passive land uses that provide little spin-off economic activity, and are typically constructed using a building form that might better match those in an industrial area.”
Self Storage Association of Michigan Hall-of-Famer Maurice Pogoda, president and chairman of Farmington Hills, Mich.-based Pogoda Companies, can only just shake his head at these types of statements. “I try to take off that hat of self-interest to see things from these city and council members’ perspectives,” says Pogoda. “Try as I might, I just don’t get it. I mean, 35 years ago, sure. Self-storage was mostly rows of garage doors and not particularly attractive, but we’re so beyond that now. Today’s self-storage facilities can go up against some of the most beautifully designed buildings in any industry.”
Pogoda also thinks, in this particular case, that Delta Township is trying to liken itself to the more picturesque small town Michigan cities of Petoskey, Birmingham, and Rochester, which are lined with boutique shops and cozy cafés. These delusions of grandeur are causing them to lift their nose at the idea of self-storage. “No offense to Delta Township, but that’s just not going to happen. Those other cities originated naturally, organically, and then they grew,” says Pogoda. “Since then, they’ve been good shepherds of those areas and making them even better. But areas like Delta Township should be welcoming self-storage. Our product today is nicer than most anything else they have. This could also be why other cities are implementing moratoriums or bans. They see themselves as something they’re not.”

Officials decided this empty lot, which has remained vacant since 2018, was a better look for Rockford, Ill., than a self-storage facility with retail and green space.
He makes a point that self-storage doesn’t generate a lot of traffic, which is good for the roads. Plus, facilities have a very minimal impact on sewer infrastructure, which is vital when encouraging additional developments in high-growth markets. “You know, not everything has to be a McDonald’s, or a shopping center generating huge amounts of traffic and waste,” says Pogoda. “There’s a place for all of us.”
The late Charlie Fritts, who was president of the Northeast Self Storage Association until his passing last year, told MSM in 2023, when Providence, R.I., was being hit with moratoriums, that he had another hypothesis as to why council members fixated on the lack of employees: votes. “Businesses don’t vote, people do,” Fritts said. “So, a storage facility moves in, and council members don’t get a whole lot of votes from them. Now, put in a housing complex, and suddenly there’s 300 votes they can work for.”



The Rockford, Ill. property today
Wrapping self-storage in retail doesn’t always work, however. In 2024, city council members in Rockford, Ill., rejected a deal that would have allowed U-Haul to convert a former Kmart, which had sat vacant since 2018, into a self-storage facility that would have included at least two new restaurants or retail shops. Orput Companies, the developer working with U-Haul at the time, also agreed to make pedestrian safety improvements and build green space in the center of the existing parking lot that would improve stormwater detention.
In a 10-2 vote, the project was denied. Alderman Mark Bonne, who opposed the deal, said, “No matter how much you dress this project up, [self-storage and truck rental] represents a disappointing trend of second-rate use for what should be prime commercial property.”
Alderwoman Gabrielle Torina, who was in favor of the development, didn’t mince words when expressing her disappointment. “I guess since we don’t envision a U-Haul there with this tenant, we just envision an empty lot,” she said, adding that she doesn’t foresee another big box retailer moving in, leaving the space vacant indefinitely. “So, we’re voting on not to develop at all.”
Pogoda says it’s very shortsighted of the Rockford council members. “Classifying self-storage as second rate is ignorant of what self-storage is, its uses, and its place in the community. If this property had been vacant since 2018 or before, the market has spoken about what is the best use. It will likely remain vacant for a very long time.”
He is not wrong. MSM investigated the lot in late February of this year and found that U-Haul, which owns the property, is selling moving supplies out of the building under an unofficial banner, but the company has still been unable to convert it due to the city regulations. And there have been no takers on the property. “We’re still trying to work with the city to make this self-storage,” a U-Haul rep said when contacted about the site’s status.
Pogoda recalls converting a former Kmart in Charlevoix, Mich., to self-storage in 2022 after it had sat vacant for years. “We did a beautiful development and have had many people in the community thank us for taking away a blighted property and doing something tasteful and nice with it,” says Pogoda.
Tom Gibbons, director of the Toledo Plan Commission, has a somewhat different outlook, believing that they typically inhabit otherwise vacant spaces. “They take up space that really isn’t getting used,” said Gibbons. “If something does come along, and it’s making [the space] a better use, then it’s pretty easy to clear the site. It’s not tough to take down a square box.”
With facilities throughout Ohio, Pogoda also has some thoughts on these conversations. He says that while Gibbons seems to look more favorably at allowing self-storage development to proceed, the idea that new properties can simply be torn down is outdated; self-storage doesn’t look like the “square boxes” of yesterday.
“Back in the day, sure, that’s what self-storage often was—a land play. You’d set it up to make some money until a better use came along,” says Pogoda, “but the facilities built today are built to stay. They’re not eyesores; many of them beautify the area.”
Pogoda would be willing to bet that no more than 100 facilities have ever been torn down to put something else in its place—and those that have been were probably because the city used eminent domain to acquire the property to put in a highway interchange or similar.
“Something else to think about: Tenants are paying more to rent than in the past, to offset construction costs, and when they are shelling out that kind of money, they don’t want to be going back and forth into an industrial zone,” adds Pogoda. “They want the facility to be on the main drag, just like the owners do. A good location makes it more convenient and more safe.”
Of course, that was 2020. That year, demand for self-storage spiked to unprecedented levels as working and living spaces changed rapidly. Occupancies averaged 96.5 percent at the time, and average rent prices soared. So of course, developers rushed into the space to build new inventory.
“Some markets are overbuilt, but that can happen when there’s a temporary frenzy in a hot spot,” Joe Shoen, CEO of U-Haul, told MSM in our 2025 outlook story. “But there’s still a lot of room to grow in the storage business.”
Pogoda feels the same. He acknowledges that while some unskilled developers may have tried building willy-nilly during the pandemic boom, contributing to some oversupply, he thinks the market reset has solved for this. “Post-pandemic, construction costs skyrocketed, maybe 40 [percent] to 50 percent higher than it was before. This has really helped weed out the ‘newbies’ that are inexperienced or haven’t done their homework. Ultimately, this is good for the industry.
Pogoda believes that in time, bans will be lifted, and moratoriums may cease as self-storage continues to grow in acceptance. “The industry has changed, and our behaviors have changed, especially since the pandemic. Self-storage has become part of people’s lifestyle and their needs.”
Until that day, though, Pogoda says cities will have a fight on their hands. “The Self Storage Association of Michigan will push back. My son, Daniel, is on the board, and I know he’s well aware of these situations. And they’re doing what they can to not let these bans and moratoriums stand.”
Dietz says the SSA will also continue to advocate for the industry on a national level. “Since 2004, the association has influenced nearly 500 laws that have redefined the regulatory landscape.”
It’s a safe bet that they won’t stop until unfair bans and moratoriums stop too.