A well-known loan advisory firm and a nationally-recognized lender are teaming up to better provide SBA and USDA B&I loans to the self storage industry. The BSC Group LLC and Quadrant Financial, Inc. have joined to offer clients a new and specialized system that allows them to gain the expertise of both companies in a one-stop shop operation. [More]

The U.S. Department of Agriculture has announced that its Farm Storage Facility Loan Program will now finance low-interest loans for farmers, to pay for the construction of cold storage facilities. The cold storage facilities must be used by farmers to store fresh fruit and vegetables. The cold storage loans are part of the USDA’s “Know Your Farmer, Know Your Food” program, a program promoted by the Obama administration to encourage Americans to eat food that has been grown locally. The money to finance the loans was authorized by Congress’ 2008 Farm Bill.

Although the statement released by the Department of Agriculture does not mention self storage, it does not specifically rule out the possibility that self storage facilities could be used to store the nation’s locally grown food. Facilities that apply for federal loans must, however, demonstrate a need for the storage provided by the facility, based on the average production from a particular acreage over three years and the borrower’s share of the production. It is probable that self storage facilities, if they were to apply, would have to enter a business relationship with a farmer whose acreage is in need of storage, and document that relationship for the USDA. However, self storage facilities seem like a natural choice for seasonal food storage, since they offer short term storage at reasonable prices, and can provide refrigerated and/or climate-controlled units. [More]

Running Hill Self Storage, of Scarborough, Maine, is expanding its business using federal stimulus money. The federal money came from the U.S. Department of Agriculture's Business and Industry Guaranteed Loan Program, which assisted Running Hill in getting its loan from Northeast Bank. The loan was for $2.2 million, and Running Hill will use it to construct a new self-storage complex. The new complex will employ 60 people.

The money for the B&I program was allocated by Congress last February, when it passed the 2009 American Reinvestment and Recovery Act. [More]