Yardi Matrix

Although street-rate rents were down 0.9 percent year-over-year and the development pipeline is slowly shrinking, secondary and tertiary markets provide new opportunities for self storage players.

While street-rate rents were down 0.9 percent on a year-over-year basis, the rate actually indicates an 80 basis-point improvement compared to the previous month’s decrease of 1.7 percent.

Despite a slight 10 basis-point increase in the new-supply pipeline, development activity is starting to slow down in top markets tracked by Yardi Matrix.

Although metros on the West maintained rent growth, on a national level, street-rate rents have dropped 1.7 percent over the past 12 months.

Heightened construction activity continued to hinder rent growth in the storage sector across the U.S.

New projects coming online have continued to pressure self storage rents, which have dropped by 2.5 percent nationally.

Street-rate rates have dropped 1.7 percent across the U.S. Select metros in the west, however, continued to experience some improvement.

Rent growth in the sector continues to be hindered by high levels of new development. Street-rate rents dropped by 1.7 percent nationally.

Street rates decreased in about 42 percent of the top markets tracked by Yardi Matrix. Nationally, rents fell by 0.9 percent for standard non-climate-controlled units and 2.2 percent for climate-controlled units.