Day: September 30, 2024

Self Storage Market of the Month: Davis, CA

StorTrack’s featured market this month is Davis, CA. Davis is a college town known for its eco-friendly initiatives and strong community focus. Located near Sacramento, it serves a diverse population, including students from UC Davis, local residents, and nearby agricultural communities. How is Davis as a self-storage market and is it a good place to consider investing in? We’ve used StorTrack’s Explorer platform to look at some metrics to analyze its potential as a self-storage investment.   Self Storage Market Metrics for Davis, CA   Current Supply: There is a…

StorTrack’s National Transactions Report: August 2024

In recent months, investment activity in the self-storage market saw a sharp decline, with just 25 transactions totaling $131 million, a significant drop from the 1,203 deals and $6.77 billion seen in Q4-2021. This downturn, driven by rising interest rates, inflation, and oversupply concerns, has shifted investor focus to larger, high-value properties. By Q3-2024, transaction volume had plummeted by 93% compared to last year. However, the average building size per deal rose by 51%, and the average sale price surged by 171%, indicating more selective investment in high-quality assets. A…

The Challenge of Valuing Lease-Up Deals in Today’s Market

Lease-up deals have always been challenging to value compared to stabilized storage properties, but that challenge has become even greater in today’s market. With numerous macro and micro-economic variables, forecasting how a property should be expected to perform five years from now is a tough call. Below, we highlight the three most pressing questions when valuing a lease-up property. What Are Street Rates? Street rates have declined following their peak in 2020 and 2021, which presents a challenge when underwriting a lease-up property. Lease-up deals are typically underwritten with the…

Evaluating The Current Interest Rate Landscape – Was It Really That Bad To Begin With?

Today’s real estate markets, including self-storage, are slower than in years past. Much of what you hear today is all about interest rates and what the Fed is going to do next. Sellers are hoping to get yesterday’s prices and most of the buyers today tend to be very experienced self-storage owners/operators who are being much more disciplined with their underwriting. Thus, the market for buying and selling self-storage is slower and more difficult these days. How long will it last? History tells us that real estate cycles are almost…

Housing with Self-Storage Proposed for Woodland Park in Herndon, VA

Space in Herndon’s Woodland Park neighborhood that was previously approved for office uses could flip instead into a mostly residential building. The Texas-based developer Trammell Crow Residential has purchased the contract for a little over three acres of vacant land at the intersection of the Dulles Airport Access Road and Monroe Street so it can construct an apartment building with 320 units and nearly 118,000 square feet of storage space. Renderings in a rezoning application submitted to Fairfax County last Friday (Sept. 20) suggest the building will part of Trammell…

StoragePRO Expands Management Portfolio with Six New Properties in California

StoragePRO® Management, Inc. (StoragePRO®), the leading independent third-party self-storage management company in the U.S., proudly announces the addition of six new properties to its management portfolio in California. This strategic expansion underscores StoragePRO’s commitment to empowering independent self-storage owners with the resources and expertise to achieve superior business performance—a philosophy they call Better Business™. The newly managed properties include: Missouri Flat Storage Depot, Placerville, CA Lincoln Ave. Self Storage, San Jose, CA Elkhorn RV & Self Storage, Rio Linda, CA Coastside Self Storage, Half Moon Bay, CA Contain-It-Self Storage, North…

Acorn Mini Self Storage is Proud to Announce the Expansion of its Services in Blaine, MN

In response to the growing demand for flexible and secure storage solutions, Acorn Mini Self Storage Units – Blaine is proud to announce the expansion of its services in Blaine, MN. Offering state-of-the-art storage units in a variety of sizes, Acorn Mini Self Storage Units – Blaine continues to be a trusted resource for individuals and businesses looking for reliable self storage options. As Blaine experiences growth and development, residents and businesses alike are seeking accessible, secure, and affordable storage solutions. Acorn Mini Self Storage Units – Blaine is committed…

Self-Storage Warehouse Proposed for Cortlandt, NY

The entity JAM Storage LLC has applied to the Town of Cortlandt for approval to build a two-story self-storage building containing 68,000 square feet in a 34,000-square-feet footprint. The project is proposed for a 3.2-acre parcel of land at 2059 Albany Post Road. There is an existing single-family home on the site that would be torn down to make way for the self-storage building. There also is a portion of the property being used as a contractor’s storage yard. The project will be served by municipal water and a septic…

A Self-Storage Facility, Scooter’s Coffee Franchise, and Restaurants are Coming to Deer Park, IL

To be called Rand Road Shoppes, the development will occupy about 6 acres of undeveloped land on the 20300 block of North Rand Road. That’s on the west side of Rand, just south of the Deer Park Town Center. Scooter’s, a Nebraska-based chain of drive-through stores, is expanding in the Chicago area. The Wheeling village board recently approved plans for a shop there, on the site of a shuttered Starbucks on Milwaukee Avenue. A roughly 6,000-square-foot retail building is planned for the Rand Road Shoppes, too. It would have space…

Featured Brokers: Ryan Layton and Greg Meager

Ryan Layton is the Designated Broker and President of American Real Estate Associates, Inc. in Spokane, Washington. His territory coverage is Eastern Washington (east of the Cascade Mountains) and all of Idaho. Ryan’s diverse and extensive background in Business Operations along with Self-Storage ownership helps to bring a full understanding of how real estate decisions affect his client’s bottom line. Ryan is knowledgeable on all aspects of commercial Real Estate including Self-Storage, Industrial, Multi-Family, and Office Leasing. He represents owners and buyers while guiding them through each transaction. He conducts…