A reel assembly for storing a hose, an electrical cord, or other items. The reel assembly includes a base, a spool rotatably mounted to the base, and a guide arm adjustably mounted to the base for guiding the direction in which a hose, for example, is extended from the reel and for guiding the hose onto the reel as the hose is wound upon the reel. A spring is operably connected between the spool and the base to bias the spool in a rotational direction in which the hose is wound onto the spool, thereby automatically retracting the hose after use. A pawl mechanism is mounted to the guide arm, and cooperates with a pair of ratchet teeth sets on the spool to selectively lock the spool against rotation in a hose-winding direction, thereby maintaining the hose in a desired extended position for use. The relative orientation of the ratchet teeth sets and the pawl mechanism, which is mounted to the guide arm, prevents “latch-out” when the hose is disposed in its fully extended position. Also, the spring is permanently enclosed within a spring housing defined between the spool and a cover which is permanently attached to the spool.