When to increase rents?
I am in the process of purchasing a small self-storage facility with existing tenants (no contracts), and everyone seems to pay different amounts for the same size units. Some have been there for 10+ years, and some don't pay on time on a regular basis.
I am debating whether I should come in and change all rents to set rates based on size of unit right away, to standardize things, or whether I should just give it a few months to get some income before increasing/standardizing rents?
E.G. for a 10x10, tenants pay between $30-45 a month and I would like to get everyone on $45/month. The unit across the street (though it does have a security gate and an office on site) charges $77 for the same size, so $45 is still competitive with my competition.
So: would you come in and standardize right away, or just make sure everyone is paying on time first and then increase in a few months?