Apocalypse Be Damned: Self-Storage Is, Was and Continues to Be the Industry to Invest In
Feeling shaky about investing in self-storage during the current COVID-19 crisis? You shouldn't be!
According to Nareit, the self storage sector far out-performed any other real estate sector over the last 27 years, as shown in the chart on the main page of the blog post.
If the 16.73% average annual return isn't enough to solidify your confidence, Sensei invites you to remember these important facts whenever your inner demon starts to pipe up:
Self-storage loan defaults remain well below 1.0% and are far below those of any other commercial real estate sector
Self-storage tends to be recession resistant—average occupancy declined only 6% in 2008 recession
Average marketing time to sell a self-storage property is 4.4 months
Facilities are experiencing surge of demand now in COVID-19 crisis
Now is the time to take action and buy, build and expand. Look to the facts while everyone panics, stay your course and hopefully enjoy reduced prices on your development or acquisition. You will be grateful you did when this crisis is over and you've solidified your position in our fantastic industry.
