Use a simple set up of three locations within a single site:
... or extend to a complex multi-site, multi-location system.
Sites are used to reflect a physical address with a postal code. Typically these are your offices or warehouses. Sites have opening times, which define when loans and rentals can be picked up or returned.
Items can be restricted to one or more sites if required; otherwise items can be moved around between sites without restriction.
Every change of location is recorded on the item audit trail to get a clear view of an item's history.
Locations can be set up to be available for loan/rental, or not available (such as the default Repair location).