BIGGEST RISK with Reza Raji

Commercial Real Estate Pro Network

J Darrin Gross

I'd like to ask you, Reza Raji, what is the BIGGEST RISK?

Reza Raji

For the operator you're talking about for?

J Darrin Gross

Yeah, for however you want to capture. It's up to you.

Reza Raji

Yeah, yeah, yeah. So I think you know the when it comes to insurance and risk at self storage, there's fundamentally two right. There is the facility, insurance and liabilities related to facilities. You know, there's rain damage or there's intrusion and somebody steals stuff off the front store, things like that. And, of course, there is the there is the unit the renters possessions that are at risk of somebody coming in and stealing them or even getting damaged right through water or storm or something like that. And there's insurance products, as you know better than I do, insurance products for both of those, right? And the platform that we have for smart storage is really designed to deliver that peace of mind and that risk mitigation, if you will, for both common area and the smart unit in self storage for for alerting in a timely fashion that there's a water leak. As you know, water damage builds rapidly in terms of cost, if it's not detected early, if there's intrusion you want to know as soon as possible, somebody's somebody broke into a facility, or somebody's broken into a storage unit.

So all of that are is really that peace of mind that I was talking about, both for the Self Storage operator as well as the renter and and we're actually talking to part of our customer base is insurance companies that deliver insurance products for self storage, right, believe it or not, because they understand the value. Look, 15 years ago, it would be 15 minute session or 30 minute session to explain the value of smart cameras and what that. Does we know door ring Bell, doorbells, ring doorbell, sorry, not what they do, what benefits they provide the consumer. We don't have to do that. People understand what they can do with a ring doorbell, what they can do with with a nest, you know, camera, what it does, what we do need to do is, is package that and convey that and deliver that for self storage tenants. And I think that peace of mind and that risk reduction is something the insurance companies are very interested in right now in self storage, because it's augments and enhances the insurance product they're selling, not only that, but also it produces the the risk liability that they're on the hook for.

The same way that insurance, you know, residential insurance companies, home insurance companies, give a discount if you have a monitored security system. That's the same thing that hasn't happened yet, but we foresee that going in that direction. It's like, why not pass on some of that savings, to to the to the customer? Because now there's a way to monitor and manage that

risk.