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Self-storage offers alternative for ailing retail properties
The COVID-19 pandemic, and associated shutdowns, has taken a toll on the real estate industry, with retail real estate among the most affected. That has led to renewed focus on alternative uses for traditional retail. Retail-to-industrial conversion is one idea gaining steam. Another is locating self-storage space in retail centers.
“With many retail centers facing challenges, self-storage operators have the opportunity to take advantage of this shift in the market and position their centers in traditional retail centers by renting these large, big-box spaces,” said Erik Ekstein, president and CEO of Ekstein Development Group, which partners with RD Management on self-storage ventures.
“While the conversion from retail to storage is not a new concept, it is accelerating,” added Ekstein. “Self-storage is a retail business and locating your center in a retail location will only benefit the operation.”