Self Storage Performance Quarterly Q3 2019

Self Storage Performance Quarterly

October 2019

Dear Subscriber,

Rental income increased Nationwide, while asking rental rates also increased. Physical occupancy increased sligthly third quarter of the yearly cycle Nationwide. The increase in rental income is particularly important because it demonstrates that revenue enhancement models increased rents on units in place Nationwide. This can further be demonstrated in the “National” graph of actual rent. Supply and demand metrics appear to be slightly slowing this quarter, and negative for the year. Construction starts increased 10% from last quarter and decreased 10% as of 3Q18. According to F.W. Dodge, there have been 432 new starts the last four quarters (new starts includes new construction and alterations, additions, or renovations).

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

Climate Ground

Climate - Upper Level

Non-Climate Ground

Non-Climate - Upper Level

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® 2019.

Cushman & Wakefield | Valuation & Advisory

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