National advertised rate growth remained negative as of December 2024
SANTA BARBARA, Calif., Feb. 04, 2025 – While occupancy and rent growth show improvement in some self storage markets, experts remain wary due to high interest rates and a sluggish investment market, according to a new Self Storage National Report from Yardi® Matrix.
The annualized same store advertised asking rate reached an average of $16.28 nationally in December 2024, a 2.3 percent year-over-year decrease. However, the rate is declining at a slower pace than in the previous 20 months.
Nearly all top metros tracked by Yardi Matrix saw negative movement in advertised asking rents in December. Same-store advertised asking rents for non-climate-controlled units decreased in 28 out of the top 30 metros, while same-store advertised asking rents for climate-controlled units decreased in 27 of the 30 metros year-over-year.
“There is still uncertainty about when demand, particularly from home sales, will rebound from its long-term low. Nevertheless, public and private storage operators are projecting revenue and NOI growth of 2.0-4.0 percent in 2025 as supply eases and rate growth improves,” the report notes.
Yardi Matrix tracks a total of 3,305 self storage properties in various stages of development, including 790 under construction, 2,053 planned and 462 prospective properties. Yardi Matrix also maintains operational profiles for 32,890 facilities, bringing the total data set to 36,195.
See the new report for more information on the self storage sector.
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 housing, 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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