Longer-term contraction projected despite modest rebound in new development activity
SANTA BARBARA, Calif., February 12, 2026 – Yardi® Matrix has updated its near-term forecast for U.S. self storage supply to reflect an increase in the under-construction pipeline in 2025.
Self storage construction starts in the second half of 2025 boosted the under-construction pipeline as Q4 closed. That development, along with December 2025’s 0.3% year-over-year growth in national advertised rates tracked by Yardi Matrix, suggest that “new supply will bottom at a higher level than previously anticipated,” according to a new supply forecast from Yardi Matrix.
As a result, Yardi Matrix increased its new supply forecast by 6% for 2026 and by 4.8% for 2027, with a 13.7% increase projected for 2028.
Despite the modest signs of stabilization, the overall forecast “continues to show new supply bottoming at levels well below the peaks of the recent development cycle,” with the planned and prospective pipelines continuing to contract and the deferred pipeline remaining unusually large.
Read about the factors driving the U.S. self storage supply market through 2031 in the Yardi Matrix Self Storage Supply Forecast Update for Q1 2026.
Yardi Matrix offers the industry’s most comprehensive market intelligence tool for investment professionals, equity investors, lenders and property managers who underwrite and manage investments in commercial real estate. Yardi Matrix covers multifamily, affordable, student housing, vacant land, industrial, office, retail and self storage property types. Email [email protected], call 480-663-1149 or visit yardimatrix.com to learn more.
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