Self Storage Performance Quarterly Q1 2016

April, 2016 Dear Subscriber,

Gains continue in rental income and asking rents, as physical occupancy remains stable with a slight drop in nationwide activity which is expected in the First Quarter. The increase in rental income is particularly important, because it demonstrates revenue enhancement models continue to raise rents on income in place. This can further be demonstrated in the “National” graph of actual rent with steady first quarter values.

National Actual Rent Per SQFT (10x10 Analysis)

1.60 

1.50 

1.40 

1.30 

1.20 

1.10 

1.00 

0.90 

0.80 

1Q 2014 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015 3Q 2015 4Q 2015 1Q 2016

Climate Ground

Climate ‐ Upper Level

Non‐Climate Ground

Non‐Climate ‐ Upper Level

Supply and demand metrics appear to be stable. Construction starts decreased 2% from last quarter, and was up 41% as of 1Q15. According to F.W. Dodge, there have been 207 new starts the last four quarters (new starts includes new construction and alterations, additions, or renovations).

Source: Cushman &Wakefield, Inc. The Self Storage Performance Quarterly , a publication of Cushman & Wakefield, Inc., is intended solely for use by paid subscribers. Reproduction or distribution in whole or part without written permission is prohibited and subject to legal action. Copyright® 2016 2020 Main Street, Suite 1000, Irvine, California 92614 Phone: 626-304-2920 Fax: 626-304-2921 www.ssdata.net

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