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Climate-controlled units in Fairfield are 90–100% occupied across all competitors.Old Foundry’s climate-controlled units are ~84% occupied and lease quickly.Climate units command a 30–50% rent premium and customers are willing to pay it.The 26 new indoor, non-climate-controlled units at Old Foundry are almost entirely vacant (~4% occupancy).Likely reasons:Market is saturated with standard units.Customers prefer either drive-up access or climate control—Old Foundry’s indoor standard units offer neither.Pricing is not low enough to differentiate.Fairfield’s population is stable; no major demand growth expected.Most competitors are full, but with waitlists mainly for climate control, not standard units.Business storage and RV/boat storage also show stable demand.
Focus future expansion on climate-controlled units, where unmet demand still exists.Consider retrofitting new standard units into climate-controlled to improve lease-up.Temporarily discount the vacant standard units or offer move-in promotions to attract price-sensitive renters.Avoid building more standard units without evidence of demand rebound.Monitor local competitors (especially in Ottumwa) for changes in pricing and availability.
Climate-controlled units – Approximately 75 climate-controlled units (various sizes) are 84% occupied (63 occupied, 12 vacant). Many climate sizes are completely full (0 vacancies in popular sizes like 10×10 and 10×15 CC), and even the few with vacancies have only 1 unit open. These units also saw considerable turnover activity through the year (e.g. dozens of move-ins/outs in the 10×15 CC category) but remained near full, implying strong ongoing demand and quick refill when a climate unit becomes available.New indoor non-climate units – Of the 26 new indoor standard units added (sizes 10×10, 10×15, 10×20, plus a few smaller 5×15), only 1 unit is rented as of now. The 10×10s (13 added) and 10×15s (8 added) are 0% occupied (completely vacant), and the 10×20 units (5 added) are only 20% occupied (just 1 rented). In other words, these brand-new units have 80–100% vacancy months after opening. This stark outcome shows the lease-up velocity for the new standard units has been extremely low – essentially flat, with almost no move-ins.
Market Saturation of Standard Units: It’s quite possible that the local market for standard storage is saturated. With so many facilities offering basic storage (and most currently full), those who needed such space already rented it. The remaining untapped demand may truly be minimal – thus new standard units simply sit empty. If saturation is the case, adding even more standard units would be ill-advised. Instead, effort should go into capturing demand in other segments (climate, vehicle storage, etc.) or in differentiating the product.Product Mismatch: As noted, an indoor non-climate unit is not an attractive product for many. Customers wanting cheap storage also want convenience (drive-up), and customers willing to move into an indoor building want climate control. Old Foundry’s new units unfortunately fall in a middle ground that isn’t compelling. Therefore, if converting these to climate control is feasible (adding insulation/HVAC), that could instantly make them more marketable. Alternatively, adjusting the pricing temporarily to stimulate move-ins might help. For instance, offering a “2 months free” move-in special or undercutting competitors (e.g. drop 10×10 rate from $60 to, say, $49) could draw some price-sensitive renters and at least build occupancy. Once people are in, they often stay long-term (average length of stay in self-storage can be 12+ months), so an initial concession might be worthwhile. Currently, Old Foundry’s standard rates are about equal to competitors, so there’s no price incentive for renters to choose these new indoor units (especially if they perceive drive-up elsewhere as easier). A pricing promotion, combined with marketing the facility’s security and “free lock” and 24/7 access, might convert some prospects. However, one must be cautious: if the fundamental issue is saturation, lowering prices could simply cannibalize renters from other facilities without growing overall demand.Marketing and Awareness: Another angle – ensure that potential customers know about the new units. Since other facilities are full, anyone on their waitlists or calling around should be informed that Old Foundry has new space available. Engaging with referral channels (local moving companies, real estate agents, university housing office for students, etc.) might help direct people to these vacancies. It might also be useful to list the new units on self-storage aggregator websites (e.g. SpareFoot, U-Haul’s self-storage finder) which some customers use to find available space. If not already done, a visible “Now Open – New Units Available!” signage or online ad targeting Fairfield residents could capture those who assumed everything in town was full. In sum, marketing efforts should be intensified to fill the standard units – but again, their lack of climate or drive-up feature will still limit appeal.
25112 Old Foundry Climate Control Research
📊 Key Findings Climate Control
1. Strong Demand for Climate-Controlled Units
2. Poor Performance of New Standard Indoor Units
3. Stable Market, Limited Growth
✅ Recommendations
Competitive Landscape (15–30 Mile Radius)
Local Self-Storage Providers: Fairfield (pop. ~9,500) hosts several self-storage facilities. Within the city are at least 7 facilities offering various unit types. Key competitors include Old Foundry Storage (subject facility), West Side Storage, Fairfield Self Storage (two locations), American Mini Storage, Railside Mini Storage, Top Dog Storage, and a newer Select Self-Storage. Within ~25 miles, the larger city of Ottumwa (~24 mi northwest) has additional options (e.g. Stow Away Storage’s climate-controlled sites, Ottumwa Self Storage), and Mt. Pleasant (~25 mi east) and other nearby towns host smaller facilities. This represents a high supply density for a relatively small market, indicating potential saturation if demand growth is limited.
Climate-Controlled vs Standard Units: Not all competitors offer climate control, but climate-controlled storage is a notable differentiator in the area. West Side Storage is exclusively climate-controlled indoor storage (with outdoor vehicle parking) and even highlights that its “special [climate-controlled] space is in high demand,” prompting continuous expansion of new climate-controlled wings. Railside Mini Storage and American Mini Storage also advertise climate-controlled indoor units alongside standard units. Fairfield Self Storage’s Stone Ave location provides both climate-controlled and “interior humidity-controlled” units, whereas its 8th St site and Top Dog Storage offer standard drive-up units only. Old Foundry itself offers a mix of indoor climate-controlled units and newly added indoor non-climate units (and some large warehouse and vehicle storage bays). Overall, climate-controlled capacity in Fairfield is limited but filled by a few providers, whereas standard drive-up units are more common but largely occupied as well.
Competitor Occupancy and Availability: Occupancy appears very high across most established facilities, especially for climate-controlled spaces. For example, Fairfield Self Storage lists all common sizes as fully occupied (“0 Available”) at both its locations. At the Stone Ave site, a 10×10 climate-controlled unit rents for ~$80/month and a 10×10 standard drive-up for ~$60 – and both are fully booked (0 available in each). Even larger 10×20 units show no vacancies (climate-controlled at $120 vs drive-up at $80, all 0 available). This suggests strong demand historically filled all units, to the point that Fairfield Self Storage invites customers to join a waitlist if their desired size is unavailable. American Mini Storage (in business since 1996) and Railside likely have similarly high occupancies given their long-standing presence (though specific data isn’t published). West Side Storage implies near-full occupancy as well, noting local customers are “fortunate to have this [climate] option” and citing competitive rates with long-term discounts. In contrast, Top Dog Storage, a purely outdoor drive-up facility, currently shows units available immediately – advertising 10×10 units at $50 and 10×20 at $95. This indicates Top Dog is not 100% full, suggesting a bit of slack in standard unit demand (or that Top Dog is relatively new/less known). Within a 30-mile radius, Ottumwa’s storage market also has active competition and promotions: Ottumwa Self Storage, for example, is offering steep move-in discounts (e.g. ~63% off) on both standard and climate units – a 10×10 drive-up listed at ~$74 base now $29, and a 10×10 “temperature controlled” unit ~$79 base now $31 – indicating they are aggressively courting customers (likely to fill a new facility or counter competition). The Ottumwa area also hosts specialized climate facilities like Stow Away Storage; such providers report that their climate-controlled units have been “filling up quickly,” underscoring regional interest in climate control for storage of sensitive items. Overall, in Fairfield itself virtually all existing storage units (climate and standard) have been running at or near full occupancy, with only a few vacancies showing up at the margins (e.g. a couple of small units at FSS Stone or some space at Top Dog). This tight competitive landscape suggests that historically demand kept pace with supply – until the recent expansions.
Unit Pricing and Promotions: Across competitors, climate-controlled units command a substantial rent premium over standard units. As noted, Fairfield Self Storage charges ~$80 for a 10×10 climate unit vs $60 for a non-climate 10×10 (33% premium). For a 10×15, climate is $100 vs $75 humidity-controlled (≈33% premium). Climate 10×20 units are around $120, versus ~$80 for drive-up non-climate (50% premium). Old Foundry’s posted rates (per owner records) are in a similar range or slightly higher – e.g. around $82–$90 for a 10×10 climate unit and ~$60 for a 10×10 indoor standard unit – and West Side’s management also describes their climate facility as “competitive” on price. Notably, despite higher prices, climate units are consistently full, indicating customers are willing to pay extra for temperature/humidity control. Standard unit rates in the area cluster around $50–$60 for small 5×10 or 10×10, and ~$80–$95 for 10×20, depending on whether access is drive-up or indoor. We do not see widespread regular discounts in Fairfield; most facilities simply show base rates with no availability (implying no need for promotional pricing to attract tenants). The exception is in the larger nearby markets: Ottumwa facilities are using intro promotions (percent-off or “first month free” deals via U-Haul affiliates) – a sign of heavier competition or recent supply increase there. In Fairfield, any promotions tend to be informal (e.g. West Side mentions long-term storage discounts and Old Foundry offers a “free lock with rental”). By and large, pricing in Fairfield has remained stable and on the higher side for climate units, supported by high occupancy. If new supply outstrips demand, however, price competition (or incentives like free month, referral bonuses, etc.) may become necessary to maintain lease-up velocity for new units.
Demand Indicators and Market Trends
Local Population & Demographics: The population of Fairfield has been stable to slowly growing, providing a steady base demand for storage. As of 2025 the city’s population is around 9,500 (up only ~0.16% annually in recent years). There is no major influx of new residents – growth is minimal, so demand must largely come from existing residents, businesses, and transient populations (students, etc.). Fairfield is home to Maharishi International University (with ~2,600 students enrolled, including many international and graduate students). The student presence likely contributes some seasonal storage demand (e.g. students storing belongings over summer), though many MIU students are older or remote learners, so the impact is moderate. Housing turnover in Fairfield has been modest. The housing market in 2025 actually cooled: median home sale prices fell ~18% year-over-year, and homes take ~50 days to sell on average. This suggests fewer people moving into Fairfield and possibly some out-migration or reduced housing demand – a factor that can soften demand for storage (fewer new arrivals needing temporary storage during moves). Additionally, housing vacancy rates are relatively high locally – about 11.3% of housing units in Fairfield are vacant, above state average. High vacancy implies that many residents have space available (empty rooms or garages) or that some homes are simply unoccupied (which could correlate with people leaving the area). Either scenario doesn’t point to surging need for off-site storage from new households. In summary, population and housing trends show a stable or slightly declining demand driver, rather than any boom – meaning the self-storage industry here must chiefly rely on capturing existing needs (from residents, students, businesses) rather than expecting organic growth from population expansion.
Migration & Moving Activity: Over the past 12 months, local moving activity appears steady but not robustly growing. Internal data from Old Foundry Storage (Jan–Nov 2025) recorded ~60 move-ins and 52 move-outs (net +8 move-ins). This small net gain, despite adding many new units, reflects that demand increased only marginally in the past year. Fairfield doesn’t experience large inflows of new residents (no major new employer or economic boom was noted in 2025), and any in-migration is roughly balanced by people moving out. Some demand is driven by life events – e.g. families moving or renovating, retirees downsizing, or estate storage after a death. Given the slight population aging and turnover, there is a constant low-level need for storage, but not a spike. It’s worth noting that regional migration patterns (e.g. urban dwellers moving into more rural Iowa or vice versa) have been relatively neutral recently. The stability is reflected in the storage occupancy: facilities remained full largely from existing customers renewing, rather than a rush of new customers. The new units at Old Foundry were introduced into this environment of flat demand.
Business and Specialty Storage Demand: A portion of local storage demand comes from businesses, institutions, and recreational users. Fairfield has a community of small businesses, contractors, and entrepreneurs (some related to the university and tourism) who utilize storage for inventory or equipment. Old Foundry’s facility includes very large warehouse units (900–10,000+ sq ft) that have been leased by businesses – indeed, all but one of those warehouse bays are occupied according to the latest report. This indicates healthy business usage for large storage (likely for equipment, manufacturing supplies, or bulk goods). Climate-controlled storage is also sought by businesses and organizations for record-keeping, archives, and sensitive materials. West Side Storage explicitly markets to these needs, noting their climate control can handle “archival records, medical files, collectibles, artwork, instruments,” etc.. With Fairfield’s mix of professional offices, healthcare facilities, and the university, there is ongoing demand to store documents, lab equipment, or seasonal materials in climate-controlled conditions. Additionally, vehicle/RV/boat storage contributes demand: Fairfield’s rural location means many residents have trailers, boats, or RVs but may lack space at home. Old Foundry’s enclosed RV/boat storage units (e.g. 12×26 and 12×38 garages) are ~80–90% occupied (only a few vacancies), and West Side and others offer outdoor parking that is reportedly well-used. These indicators show that beyond household moves, business and recreational storage needs provide a baseline demand in the area. Over the last year, none of these segments appears to have expanded dramatically (no big new businesses requiring storage), but they remain a steady source of rentals.
Recent Demand Trends: In summary, demand indicators in the past 12 months suggest a stable but slow-growing demand for storage in Fairfield. There has been no large uptick in population or migration to create a surge of storage tenants. Instead, the high occupancy rates at existing facilities were a product of longstanding steady demand meeting a previously limited supply. When Old Foundry added new units in 2025, the uptake was weaker than hoped – pointing to the possibility that most local demand was already being met (or that the new units didn’t match the type of space people are currently seeking, as discussed below). Any growth in demand (e.g. from increased climate-sensitive storage needs or more renters between homes) has been incremental. Notably, the fact that competitors remain full with waitlists implies that latent demand does exist, but it may be very specific (for example, people waiting for a climate-controlled unit or a drive-up unit at a favored location). General demand for generic extra storage space, however, might have plateaued given the population and economic context.
Pricing and Occupancy Analysis
Current Occupancy at Old Foundry: Old Foundry Storage’s occupancy statistics illustrate a striking contrast between climate-controlled units and the new standard units. As of November 20, 2025 (post-expansion), the facility’s overall unit occupancy was about 65% by unit count (95 out of 145 units occupied). However, this average masks two divergent stories:
Comparison of Climate vs Standard Lease-Up: The difference in absorption between climate and non-climate units at Old Foundry mirrors broader market preferences. Climate-controlled units lease up faster and stay near capacity, whereas adding standard units did not unleash comparable demand. One likely reason is unmet demand for climate-controlled space: prior to expansion, climate units were full across town, so any new climate supply would attract tenants who value those features. Standard storage, by contrast, was already relatively well-served by existing drive-up facilities; customers needing basic storage likely already had it. Furthermore, the new Old Foundry units are indoor, non-climate – meaning customers do not get drive-up convenience nor climate protection. Such units may be inherently less attractive: a tenant who only cares about price/convenience might prefer an outdoor drive-up unit (to avoid hauling belongings down hallways), while a tenant willing to move indoors likely wants the benefit of climate control. This could explain why even though other facilities’ drive-up units are full, Old Foundry’s indoor non-CC units haven’t drawn those tenants – they’re not drive-up and yet offer no climate advantage. Pricing strategy may also be a factor: Old Foundry set the new units’ rates roughly on par with market standard rates (e.g. $60 for a 10×10 indoor, similar to ~$50–$60 at competitors). Given the choice, many customers might opt for a known competitor’s drive-up unit at that price, or pay a bit more for climate. Additionally, Old Foundry’s climate units themselves are priced only ~$20 higher and were fully occupied, suggesting some would-be customers might have been holding out for climate. The net effect is a slow lease-up for standard units – essentially no net absorption in the months since adding them – versus rapid turnover but high occupancy in climate units.
Area Pricing Trends: As discussed, climate units achieve a significantly higher rent per square foot than standard units in this market. Despite this premium, occupancy for climate space remains higher. This implies the price elasticity for climate control is favorable – customers who need it are willing to pay the premium, and supply has been the limiting factor. Standard unit rates have probably hit a ceiling locally: with many providers around, $50–$60 for a small unit and ~$90 for a 200 sq ft unit is the going rate. We see evidence that if prices go much higher, demand might not keep up (e.g. Top Dog at $95 for 10×20 has some vacancies, whereas Fairfield Self Storage filled 10×20 at $80 – though other factors like location and awareness play a role). It’s also notable that nearby Ottumwa’s prices are somewhat lower on a per-square-foot basis, but they are using promotions to drive occupancy. This could hint that the broader region isn’t under-supplied – if Ottumwa facilities have to discount to 60%+ off, it suggests either a surge of new units or softer demand there. Fairfield’s market until now avoided such discounting, reflecting a tighter supply-demand balance.
Occupancy Velocity: The speed of leasing new units (absorption) is a critical metric. In Fairfield, the velocity for climate-controlled units is high – for instance, Old Foundry’s records show multiple move-ins occurred almost immediately when a few new climate units became available, quickly reaching ~90% occupancy in that category. Similarly, West Side Storage has been opening new climate-controlled sections and presumably filling them given the stated demand. By contrast, velocity for new non-climate units has been near zero at Old Foundry, and likely would be slow for any additional standard units unless they offer something unique (e.g. drive-up access or substantially lower price). This disparity underscores that the current unmet demand in the market is skewed toward higher-quality storage (climate control, security, etc.) rather than just more quantity of basic units. Essentially, the market absorbed all premium units it could get, but adding generic units did not create its own demand.
It’s worth noting that seasonality might also affect recent occupancy: we are now entering winter, when storage demand can dip slightly (people tend to rent storage in spring/summer during moves or college break). The new units were added likely in mid-to-late 2025, missing the peak rental season, which could partially explain the slow uptake. We might expect a small uptick for those units in the next spring/summer if price or marketing adjustments are made. Still, the contrast with climate units (which remained full even into winter) is telling.
Recommendations and Conclusions
1. Focus on Climate-Controlled Expansion: The data strongly indicates that if any new units are to be added, they should be climate-controlled. There appears to be genuine demand for more climate-controlled storage in the Fairfield area – evidenced by near-100% occupancy at all facilities that offer it, waitlists for climate units, and quick lease-up of any climate space that becomes available. Climate control appeals to multiple customer segments: residents storing furniture, electronics, or heirlooms; the university community storing books and instruments; and businesses or institutions needing archive space. Old Foundry is well-positioned to capitalize on this demand, given it already has climate infrastructure for part of the facility. Adding more climate-controlled capacity (either by converting some of the new units with HVAC or building out new climate sections) should attract tenants much more reliably than adding standard units. Climate units also yield higher rents per square foot, improving revenue. In short, the market is signaling a preference for quality over quantity – and Old Foundry should align expansion plans accordingly.
2. Reevaluate New Unit Strategy (Standard Units): The poor lease-up of the recently added non-climate indoor units suggests a few possible issues that need addressing:
Given the above, a combination strategy is recommended: In the short term, implement aggressive marketing and promotional pricing to improve occupancy of the new non-climate units (to generate some cash flow from them). In the medium to long term, pivot expansion plans toward climate-controlled units. If budget allows, convert some or all of the empty new units to climate-controlled (installing HVAC and vapor barriers) – effectively turning a misjudged expansion into a suitable product. If conversion is not possible, then hold off on building additional standard units because the evidence points to insufficient demand. Future construction dollars would be better spent on climate-controlled buildings or upgrades.
3. Monitor Competition and Adjust Rates: Old Foundry should keep a close eye on competitor behavior. Thus far, Fairfield competitors have not resorted to price wars (since occupancy was high). But the landscape can change – for instance, if the new Select Self-Storage on W. Grimes Avenue opens significant capacity or if Top Dog cuts prices to fill its vacancies, Old Foundry may need to respond. The owner should regularly review local listings (including nearby Ottumwa) to stay aware of any move-in deals or rate changes. Being proactive – e.g. offering a web special or referral discount – can help secure tenants before they look elsewhere. Fortunately, Old Foundry’s climate offering is relatively unique on the north side of town (most others are on the west/south sides), which can be a selling point (convenience for customers in that vicinity). Emphasizing the facility’s strengths (indoor security, climate options, large unit availability for boats/RVs) in advertising will help differentiate it. Rate optimization is also key: for climate units that are full with waitlist, rate increases could be considered at renewal (the market may bear it, given climate scarcity). For the empty standard units, rate decreases or specials are justified until occupancy reaches a healthier level.
4. Long-Term Outlook – Caution on Overbuilding: The owner’s question boils down to “Is there demand to add more units?” Based on this analysis, demand exists primarily for specific types of units (especially climate-controlled) rather than a broad need for any-and-all storage space. The recent experience shows that adding generic capacity without matching market preference can lead to slow absorption. The local demand drivers – population, housing, business activity – are relatively static. Therefore, any expansion should be measured and targeted. Adding a large number of additional units of any type risks oversupply, which would put downward pressure on occupancy and rental rates for everyone in the market. A safer approach would be to add units in phases and monitor how quickly they lease up. For example, if considering building more climate-controlled units, build a first phase (say 10–20 units), market them, and gauge the take-up. If they fill rapidly with a waiting list still in hand, then proceed with further phases. This phased approach prevents severe overbuilding and allows adjustment to any changes in demand.
In particular, climate-controlled units seem a good bet – they not only address a proven need but also can pull renters from a wider radius (people from smaller towns around Fairfield might drive in for climate storage, since such facilities are rare in truly rural areas). Standard units, on the other hand, likely rely only on local demand which is finite. It’s also worth exploring whether drive-up units (even a small row of them if land allows) would attract customers currently preferring competitors. Drive-up access remains popular for ease of loading, and currently only a couple of facilities in Fairfield (Top Dog and FSS 8th St) offer pure drive-up units. If Old Foundry can add outdoor units or convert a portion of a building to have external roll-up doors, that could capture some of that segment as well – effectively diversifying the product mix.
5. Diagnose the “Why” of Poor Lease-Up: Finally, the owner asked whether the poor lease-up of new units is due to saturation, price, lack of climate control, or other issues. The analysis suggests it is a combination, with lack of climate control and product positioning being the primary factors, and general market saturation a secondary factor. Price might be an issue at the margin, but even at lower price points, one cannot create demand that isn’t there. The clearest evidence is that climate-controlled units – at higher prices – are doing fine, which indicates it’s not simply price resistance in the market. Instead, customers are making a value judgment. Those who urgently need storage have largely already rented space (filling up existing facilities), so the remaining pool of potential customers is relatively small. Within that pool, a majority prefer the better storage options (climate, drive-up, etc.). Thus, the new units, being both non-climate and non-drive-up, ended up as the least preferred choice in a market where everyone already had a unit or was waiting for a climate unit. In essence, the new units didn’t address an unmet need – they added supply in the one category that didn’t have a shortage.
Going forward, the owner should align any expansion with unmet needs: based on current evidence, that means more climate-controlled spaces, and possibly more vehicle storage (if demand for RV/boat space continues to be strong – Old Foundry’s enclosed vehicle units are mostly full, so expanding those or offering covered parking could be another avenue). Regular standard units should only be expanded if clear evidence emerges that new demand (e.g. from a population increase or a competitor closure) is outstripping supply.
Conclusion: In conclusion, Old Foundry Storage should pivot toward quality (climate control) over quantity in its growth strategy. The competitive landscape shows climate-controlled units command higher rents and enjoy high occupancy, whereas the market for standard storage is largely saturated in Fairfield. Demand indicators (population, housing, business activity) do not point to a large upswing in general storage demand, so any further addition of units must be done cautiously and strategically. By upgrading the offering (more climate control, possibly drive-up access) and using targeted promotions to fill existing vacancies, Old Foundry can improve its occupancy and capture the segment of the market that is currently underserved. In a saturated market, differentiation is key – being the facility known for climate-controlled and specialty storage will position Old Foundry for long-term success, rather than competing purely on volume of generic units. With these adjustments, the owner can feel more confident that any new investments in units will meet real demand and generate a healthy lease-up velocity, instead of sitting vacant.
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