Education

Self Storage Site Selection: Why does it matter?

Self storage is all about the fundamentals present in the local area. The average self storage facility in the top 50 markets contains just less than 55,000 net rentable square feet. With an average unit size of 100 square feet, it takes 490...

The Rebuttal to Doomsday Storage Headlines

It is easy to see year-over-year numbers go down for self storage rental rates and have the urge to “blow the whistle,” but what most articles do not take into account is the underlying business model that has protected self storage for the past forty...

Industrial, Multifamily, Self Storage Industries Stare Down Oversupply Issues

John Chang, with Marcus & Millichap, does a good job framing up the state of the self storage market. I'll summarize his main points, all of which I agree with:

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.