Thursday, September 30, 2010

The Self Storage Sales Market is Hot Again

The Self Storage Sales Market in California is Hot Again!

Over the past couple months, there has been a dramatic improvement in the self storage sales market! Specifically for institutional quality properties in primary market areas, there has been a significant increase in activity.

Here is what we are seeing now:
A pent-up demand for quality properties.
Ample equity capital that needs to be invested.
Lenders are becoming more active with funds to lend.
Interest rates at or near all time lows.
Buyers are getting more aggressive.
Cap rates are coming down again.
Bidding wars on available self storage offerings.

Although buyers are still primarily interested in only purchasing based on "real" current income, they are becoming more aggressive in what they are willing to pay for that income stream.

We Have Motivated Buyers!
We Have All Cash / Quick Close Buyers!
We Have 1031 Exchange Buyers!
We Need More Good Properties to Sell!

I encourage owners of "investment grade" self storage properties in California to call us today for a free "No Obligation" analysis of the value of your self storage property.