| How to schedule and conduct a lawful lien sale for self | | | | may choose to take pictures of the property to be |
| storage units in Arizona. | | | | sold. As there is no required procedure to follow, |
| In order to schedule and conduct a lawful lien sale for | | | | operators do what they feel comfortable doing in |
| self storage or boat and RV storage units there is a | | | | terms of documneting what is being sold. |
| proceess which must be followed to the letter. | | | | Now once the delinquint tenant has been notified and |
| The first step is schedule a lien sale. Some North | | | | their lock removed then the storage facility is ready to |
| Phoenix self storage operators may set up their | | | | sell the contents of that unit at auction if the delinquint |
| auctions with an auctioneer at the begining of the year. | | | | tenant does not bring their account current prior to the |
| So all auction dates may be pre-set. If not the operator | | | | start of the lien sale. The tenant will probably be |
| must contact the auctioneer to schedule a lien sale. | | | | required to pay the balance in cash or certified funds |
| This sale should be scheduled at least 6 to 8 weeks | | | | to avoid the lien sale. |
| prior to the auction date. | | | | The day of the auction, the auctioneer will show up a |
| After the self storage has set the auction date, the | | | | few minutes before the scheduled start of the sale. All |
| next step is determining the units that are to be | | | | participants in the auction are required to sign in, and |
| included in the sale. Usually the self storage operator | | | | then the group of bidders move from unit to unit having |
| will choose units that will be a certain number of days | | | | a live auction for each unit scheduled. The winning |
| (for us it is 100) past due at the time of the sale. All | | | | bidders pay in the office and usually will have a day or |
| these units are included in the sale, and will be sold | | | | so to remove the contents of the unit. The property in |
| unless the accounts are brought current. | | | | that unit now legally belongs to the person with the |
| Upon determing the potential participants in this auction, | | | | winning bid. |
| it is now necessary to notify them of this impending | | | | A common misconception about the self storage |
| sale of their property. In the past the self storage | | | | Phoenix business is that the operator somehow |
| operator was required to send notice of the auction | | | | makes more money selling units at auction. In the many |
| both by certified mail and regular mail. Recent changes | | | | years we have been in the business, very few units |
| to Arizona's lien statutes permit the self storage | | | | sold at our auctions have sold for anywhere near |
| operator to send these notices by some form of | | | | what was owed on the unit. The self storage operator |
| mailing that provides evidence the mail was sent. This | | | | does not want to have to chase after the tenant for |
| change should help in reducing mailing costs and | | | | two months, go through all the hassle of setting up and |
| providing better notice as many tenants were unwilling | | | | conducting a lien sale and incur all the added costs |
| to go to the post office to sign for their letters. | | | | associated with the auction, just to get paid. The self |
| Once the tenant has been notified of the impending lien | | | | storage owner would much prefer that tenant just |
| sale, the next step is to cut the lock if it hasn't been cut | | | | make their rental payment on time and keep their |
| before. After the tenant's lock is removed the storage | | | | property. |
| facility may choose to inventory the contents, some | | | | |