The self storage sector continues to weather economic conditions that are likely to become more challenging in the near term, attendees of a webinar presented this week by Yardi Matrix learned. “There are several headwinds that might be getting a bit stronger,” said Jeff Adler, vice president of Yardi Matrix, during the Wednesday presentation. Supply chain disruptions, a tight labor market and inflationary pressure, in addition to the geopolitical tensions between Russia and Ukraine, will all slow economic growth in the U.S., Adler said. A recording of the webinar and presentation materials are now available for download. However, despite the potential of a looming recession that Adler expects will arise by late 2024, the overall outlook for the self storage sector is healthy at present. “The outlook for self storage remains optimistic given persistent demand and a slow supply response. We anticipate growth will continue, but moderate,” Adler said. “Investor interest is incredible in the sector, given its performance and defensive nature, which has proven itself out.” Matrix analysts expect that self storage street rates will continue to grow in 2021, just at a more modest rate. Additional high level takeaways from the webinar include: Street rate growth will continue to be highest in favored migration areas, such as the Sunbelt and mountainous areas of the WestDriving forces of demand will continue, including: people are still relocating, just at a slower rate; Americans have accumulated “stuff” during the pandemic that needs to be stored; and self storage remains the cheapest way to store accumulated possessions Self storage street rates changed little sequentially in January, reflective of positive trends in the industry, and rents remain well above trend on a year-over-year basis, according to the latest Yardi® Matrix National Self Storage Monthly report. Year-over-year rent...