With January behind us, we can take a look at the average price per square foot and see how rates have done compared with the same time last year.
In January 2023 the average price per square foot was $1.4. While in January 2024 the average price per square foot was $1.18. A 16% decrease YoY.
This statistic is a direct result of the REITs new pricing strategy where asking rates are heavily discounted in order to be appealing to people shopping for a self storage unit. Keeping facilities at high occupancies. These rates are raised over the next few months from ECRIs, which keeps the facilities revenue high. Developers and people in acquisitions have had to start getting creative when using trailing 12 and 24 month data for underwriting deals.
*Average price per square foot data based on 10x10CC REIT data within the top 25 markets