Education

The Triple Net Lease Market Has Finally Busted

Triple net leases have long been the most straightforward answer for high-net-worth buyers looking to park cash or execute a 1031 exchange.

Navigating the Risks of Preferred Equity in Commercial Real Estate

The WSJ released an article highlighting that troubled mezzanine loans were the canary in the coal mine for commercial real estate.

How can Extra Space (NYSE: EXR) Raise its Same-Store Revenue Projections when Web Self Storage Rental Rates Decline?

Extra Space just raised its same-store year-over-year revenue growth projection to +2.75%-3.5%, up from +2.5%-3.5%. Compare this to the year-over-year published web rates, down -13%. Therein lies the magic of self storage. Leases are all month-to-month,...

The Bottoming of Storage Fundamentals

Here’s what you need to know about the storage earnings calls I listened to over the last week:

Analyzing Commercial Real Estate Lending Amidst Market Shifts

On October 31, 2023, the Wall Street Journal published an article titled “Commercial Real Estate Lending Slows Down”. Click here to read the online article re-titled “The Money Has Stopped Flowing in Commercial Real Estate."

Self Storage Development Opportunity of a Lifetime

The lending environment remains as tough as it has ever been in self storage.

Unique Times for Commercial Real Estate Banking

Soliciting feedback from our peers in commercial real estate private equity, we confirm our belief that very few transactions are occurring. The headwinds are strong.

Is Seller Financing Creating Buying Opportunities in Value-Add Self Storage?

Based on recent broker feedback, around 50% of all current value-add self storage acquisition opportunities offer the buyer some component of owner financing. This financing structure was unheard of just a couple of years ago when bank financing was...

Why the run-up in residential home prices ends differently this time

Last week, we discussed the reasons behind the near-term slowdown in demand for storage in, What's going on with storage demand?

What's going on with storage demand?

One of the best features of storage is how diverse the demand drivers are, meaning there are a lot of different reasons why people use it. Many of those reasons are largely static in nature; they happen regardless of the state of the economy.