June 10, 2022
For this blog I wanted to focus on a specific city in Texas and provide a brief update on the self-storage market within that city. For this blog, that specific city is the East side of Houston, and the data comes from Yardi Matrix.
As of April 2022, Austin is the 13th largest self storage market in the US, with 25,293,061 net rentable square feet (NRSF) of self-storage (449 completed stores). The average facility size is 56,331 NRSF and new supply (prospective, planned and under construction NRSF) represents 4% of existing inventory.
Average street rates are $94.00 with net rentable square feet per capita of 7.9. This is slightly above the Texas average of 7 NRSF per capita. Population growth over the next 5 years is expected to be 5%.
There are currently 3 self-storage property under construction, 6 planned and 7 that are prospective! Over the previous 2 years the city has added 10 properties totaling 819,133 NRSF.
Additionally, climate controlled 10X10 street rates have out performed the national average. Rate growth for the month of April 2022 stands at about 8% increase since April of 2020 which is the same as the U.S. average of about 11%.
Austin is a rapidly growing city, however new self storage development is beginning to compress the rates owners are able to capture. The development of new storage supply will have to slow down in order to bring back balance to the demand/supply equation.
Please do not hesitate to reach out to us if you are interested in discussing potential opportunities!
Checkout some of our other related content:
- Blog: https://crdrealty.com/west-houston-storage-market-update-april-2021/
- Blog: https://crdrealty.com/new-rv-sales-record-for-april-2021/
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