Market Conditions • Section 11


opment—all facets of the self-storage indus- try are at highly efficient levels and at close proximity to equilibrium. This well balanced state can provide a lengthy run of sustained prosperity but only if risks are identified, re- spected, and contemplated within acquisitions, development, operations, and general market activities.


R It will always be the case that the local sub-


market around any given site will provide most of the relevant data points. However, the con- text provided by comparing a given site or a given market to the industry overall can reveal underlying strengths and weaknesses that oth- erwise could be ignored. Especially relevant


The strength in self-storage operations throughout 2013 and 2014 was due in large part to the absorbable level of


new supply that has entered the market. Maintaining this equilibrium is the key to long-term prosperity for the industry.


are the overall trends within datasets as well as comparative sets such as smaller markets vs. major markets or population centers vs. more rural markets. While rental rates or supply per capita in one market might mean very little to a specific site in another market, the trends and characteristics of the comparisons are extremely relevant. With development especially, but with ac-


quisitions as well, it’s critical to understand as much as possible about the supply/demand economics. The strength in self-storage op- erations throughout 2013 and 2014 was due in large part to the absorbable level of new supply that has entered the market. Maintaining this equilibrium is the key to long-term prosperity for the industry.


State Supply Levels While the performance of an individual self- storage facility is more dependent on local market conditions, national, state or regional trends can be useful for benchmarks and com- parisons to local trade areas.


ecovery is no longer the proper nomen- clature to describe the current market. Operations, transactions, lending, devel-


State


Alabama Alaska Arizona


Arkansas California Colorado


Connecticut Delaware


District of Columbia Florida Georgia Hawaii Idaho Illinois


Indiana Iowa


Kansas


Kentucky Louisiana Maine


Maryland


Massachusetts Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada


New Hampshire New Jersey New Mexico New York


North Carolina North Dakota Ohio


Oklahoma Oregon


Pennsylvania Rhode Island South Carolina South Dakota Tennessee Texas Utah


Vermont Virginia


Washington West Virginia Wisconsin Wyoming TOTAL


* U.S. Weighted Average


Table 11.1 – State Saturation Levels Area


Number of Facilities 1,262 167


1,341 889


5,137 1,272 369 110 22


3,578 1,641 103 438


1,316 931 322 622 662


1,119 182 542 620


1,509 490 722


1,140 501 226 692 250 713 634


1,471 1,750 99


1,494 1,000 941


1,418 107


1,015 128


1,325 6,620 663 156 988


1,583 278 721 197


51,476


Square Footage


64,551,300 8,542,050 68,592,150 45,472,350 262,757,550 65,062,800 18,874,350 5,626,500 1,125,300


183,014,700 83,937,150 5,268,450 22,403,700 67,313,400 47,620,650 16,470,300 31,815,300 33,861,300 57,236,850 9,309,300 27,723,300 31,713,000 77,185,350 25,063,500 36,930,300 58,311,000 25,626,150 11,559,900 35,395,800 12,787,500 36,469,950 32,429,100 75,241,650 89,512,500 5,063,850 76,418,100 51,150,000 48,132,150 72,530,700 5,473,050 51,917,250 6,547,200 67,773,750 338,613,000 33,912,450 7,979,400 50,536,200 80,970,450 14,219,700 36,879,150 10,076,550


2,632,997,400 2013


Population 4,885,854 742,404


6,636,256 2,995,330 38,120,066 5,235,100 3,601,157 927,030 629,120


19,383,475 9,978,939 1,399,683 1,628,760 12,914,651 6,581,982 3,111,844 2,908,933 4,419,036 4,681,639 1,345,609 5,903,286 6,656,872 9,853,722 5,401,748 3,018,484 6,074,504 1,019,462 1,877,879 2,815,039 1,336,265 8,875,318 2,106,392 19,631,599 9,913,774 724,027


11,575,704 3,880,520 3,922,722 12,817,894 1,050,228 4,796,559 844,322


6,539,407 26,538,203 2,917,750 635,200


8,275,961 6,962,578 1,885,932 5,731,663 587,106


316,296,988 Rentable


Square Footage Per Person* 13.21 11.51 10.34 15.18 6.89


12.43 5.24 6.07 1.79 9.44 8.41 3.76


13.76 5.21 7.24 5.29


10.94 7.66


12.23 6.92 4.70 4.76 7.83 4.64


12.23 9.60


25.14 6.16


12.57 9.57 4.11


15.40 3.83 9.03 6.99 6.60


13.18 12.27 5.66 5.21


10.82 7.75


10.36 12.76 11.62 12.56 6.11


11.63 7.54 6.43


17.16 8.32


Source: ESRI, Hoovers, NGKF, MiniCo and United States Census Bureau 2015 Self-Storage Almanac 107


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48  |  Page 49  |  Page 50  |  Page 51  |  Page 52  |  Page 53  |  Page 54  |  Page 55  |  Page 56  |  Page 57  |  Page 58  |  Page 59  |  Page 60  |  Page 61  |  Page 62  |  Page 63  |  Page 64  |  Page 65  |  Page 66  |  Page 67  |  Page 68  |  Page 69  |  Page 70  |  Page 71  |  Page 72  |  Page 73  |  Page 74  |  Page 75  |  Page 76  |  Page 77  |  Page 78  |  Page 79  |  Page 80  |  Page 81  |  Page 82  |  Page 83  |  Page 84  |  Page 85  |  Page 86  |  Page 87  |  Page 88  |  Page 89  |  Page 90  |  Page 91  |  Page 92  |  Page 93  |  Page 94  |  Page 95  |  Page 96  |  Page 97  |  Page 98  |  Page 99  |  Page 100  |  Page 101  |  Page 102  |  Page 103  |  Page 104  |  Page 105  |  Page 106  |  Page 107  |  Page 108  |  Page 109  |  Page 110  |  Page 111  |  Page 112  |  Page 113  |  Page 114  |  Page 115  |  Page 116  |  Page 117  |  Page 118  |  Page 119  |  Page 120  |  Page 121  |  Page 122  |  Page 123  |  Page 124  |  Page 125  |  Page 126  |  Page 127  |  Page 128  |  Page 129  |  Page 130  |  Page 131  |  Page 132