We believe now is an attractive entry point for investing in self-storage. Coming out of COVID-19, self-storage saw an uptick in demand and rent growth. This strong performance, combined with a very low interest rate environment and easy access to capital, resulted in compressed transactional cap rates and an increase in construction starts. The boom was followed by a period of correction stemming from the spike in interest rates and a for-sale housing affordability crisis. Storage demand from the robust post-COVID housing market plummeted just as new supply deliveries peaked, causing street rents, which had reached extraordinary highs, to fall 40 percent. Despite this perfect storm, storage still performed relatively well, with only modest declines in net operating income (NOI) and a still-strong income return, helping the sector maintain its outperformance of the NCREIF Fund Index – Open-end Diversified Core Equity (NFI-ODCE) in 2024 and 2025 by 350 basis points and 240 basis po
