New Supply Slows Self Storage Rent Growth, Yardi Matrix Reports
Development activity remains high in growing metros and underdeveloped markets
SANTA BARBARA, Calif., Feb. 19, 2019 – U.S. self storage rents felt the impact of new supply coming online in January, according to a new report from Yardi® Matrix.
Street rate rents for 10×10 non-climate controlled units declined by 1.7% year-over-year that month while rents for similar-size climate controlled units fell by 1.5%.
While nationwide rents for self storage properties were flat, demand remained steady in metros with strong population growth, such as Portland, Ore., Nashville, Tenn., and Orlando, Fla., along with underserved markets like New York City and Boston.
January’s year-over-year rent growth leaders for 10×10 climate controlled units were Las Vegas; Columbus, Ohio; Phoenix; San Diego; and California’s Inland Empire.
The February 2019 monthly supply and rent recap, which is available for download, compiles data from more than 26,000 U.S. self storage properties, including more than 2,000 properties in the development pipeline.
Yardi Matrix is the industry’s most comprehensive business development and asset management tool for investment professionals, equity investors, lenders and property managers who underwrite and manage real estate investments in multifamily, industrial, office and self storage. Email [email protected], call 480-663-1149 or visit yardimatrix.com to learn more.
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