Self Storage Facility Cap Rates

2014 2018 market share of public self storage companies in the u s.

Self storage facility cap rates.

Before we dig into why and apply a formula to calculate here s an easy way to remember what the figure represents. 2019 leading self storage acquisition markets in the u s. This is largely due to the increased industry data now available that indicates the overall risk associated with owning self storage is much less than once thought. This overview is provided to help buyers and sellers of self storage businesses gain clarity on the role of the cap rate in a property valuation.

Self storage space per person. As you can see the market has seen a constant decline in cap rates for self storage properties over the last 10 years from an average of 10 percent in 2000 to 6 25 percent in 2013. Self storage sector snapshot data. Number of storage facilities range 45 000 60 000.

If you were to pay all cash for a self storage facility the cap rate is the rate of return on the income the property is expected to generate. Cap rate of self storage properties in the u s. When cap rates inch upward it s good news for buyers but not so much for sellers. Total rentable self storage space.

Percentage of households that rent a self storage unit. 1 7 billion square feet. Statistics about the self storage industry including annual revenue construction pricing occupancy and financial performance.