The report provides in-depth coverage of key markets, broken into regions: North-Central, Northeast, South-Central, Southeast and Central. It also identifies markets of prime interest, including Atlanta, Boston, Chicago, Las Vegas, Los Angeles, Phoenix, San Diego, Washington, D.C., and others. Additional report findings include:
- Construction activity was brisk in 2004, as almost 15 million square feet of self-storage came online.
- Lenders are starting to view self-storage real estate more favorably. The sector has one of the lowest default rates when compared to multifamily, office and retail properties.
- Following a decline in investment activity in 2004, self-storage transactions in the West are expected to increase this year.
- Investor demand for storage properties in the South-Central region remains strong, with total dollar volume climbing 64 percent to $55 million in 2004 and the median price per square foot rising 54 percent to $44.
- The Southeast will continue to be one of the strongest performing regions, as several of its Metropolitan Statistical Areas are expected to register above-average job and population growth in 2005.
- Limited supply and relatively high cap rates spurred significant investment activity in the Northeast last year, with transactions in the $10 million-plus category totaling nearly $130 million, accounting for two-thirds of total dollar volume.
- Transaction velocity more than doubled in the North-Central region in 2004, and dollar volume rose to $192 million.
For a copy of the complete report as well as reports on other property types and markets nationwide, visit www.marcusmillichap.com.