Self-storage real estate experts recently reported the Dallas-Fort Worth self-storage market is appealing to a new kind of tenant in today’s challenging economic climate. In addition, more investors are eyeing the area for future self-storage development.
Minker and Trahant Associates President Tyler Trahant said many of today’s self-storage renters are families downsizing. Because these renters are already struggling, many are looking for the best deal, causing more facilities to lower their rent and offer more concessions.
Nationwide, occupancy rates are down 2 percent to 3 percent since the recession began, according to the Self Storage Association, a nonprofit trade group.
According to research by Cushman and Wakefield, the Dallas-Fort Worth MSA has a supply 9.62 rentable square feet per person, but a demand of only 5.42 rentable square feet per person. Affordable and available land makes the area favorable to self-storage development, real estate experts said.
In addition, population forecasts have also led more investors to consider the Dallas-Fort Worth area for self-storage development, said Richard Minker, CEO of Minker Trahant and Associates.
Source: Fort Worth Business Press, Self-Storage Receives Boost During Down Times