New development prompts widespread decline in street rates; learn about the latest in national self storage trends during March 31 webinar
SANTA BARBARA, Calif., March 24, 2020 – With self storage street rates declining due to new availability of inventory, an opportunity exists for new market opportunities.
“Elevated development, and the subsequent decline in street rates, continues to be the primary narrative in the self storage industry,” states the latest National Self Storage Report from Yardi Matrix. “Many developers are now focused on answering the question, ‘What are the next market opportunities?’”
Due to oversupply in most top markets, smaller secondary and tertiary markets with demand and favorable development conditions may have the opportunity to move up the ranks.
Yardi Matrix tracks a total of 2,220 self storage properties in various stages of development, including 589 under construction, 1,194 planned and 437 prospective properties.
The national new-supply pipeline as a percent of existing inventory increased
by a slight 0.1% month-over-month in February, and the share of existing projects in various stages of development accounts for 9.1% of existing inventory.
Learn more about market trends in the self storage industry on Tuesday, March 31 in a free webinar from Yardi Matrix. Register here.
Yardi Matrix offers the industry’s most comprehensive market intelligence tool for investment professionals, equity investors, lenders and property managers who underwrite and manage investments in commercial real estate. Yardi Matrix covers multifamily, student housing, industrial, office and self storage property types. Email [email protected], call (480) 663-1149 or visit yardimatrix.com to learn more.
About Yardi
Yardi® develops and supports industry-leading investment and property management software for all types and sizes of real estate companies. Established in 1984, Yardi is based in Santa Barbara, Calif., and serves clients worldwide. For more information on how Yardi is Energized for Tomorrow, visit yardi.com.