Oklahoma self-storage property sales lagged in 2009 and 2010 as tight financing thwarted investors and steadily rising occupancy and revenue levels discouraged owners from selling. But better credit forecasts for the next two years could lead to more sales.
Darren Currin, real estate columnist for JournalRecord.com, writes that despite the state's relative resillience against the recession, self-storage sales still dropped off in Oklahoma. In the state's two largest metropolitan areas, Oklahoma City and Tulsa, only four combined sales occurred in 2010 and three in 2009. Rural areas didn't fare much better.
The local trend has countered what some expected at the recession's outset, that consumers would scale back their lives and need inexpensive space to store their belongings, creating industry expansion. Indeed, many Oklahoma owners and operators have reported few vacancies, showing a steady if not increasing consumer demand. But investors struggled to secure financing, even for well-performing properties.
Currin expects more sales this year and next as credit becomes more available and investors are attracted to the stability of self-storage properties.
- JournalRecord.com: Mini-Storage Property Sales Remain Elusive in Oklahoma