By Paul Boyle
Cushman & Wakefield, AZSA Member
So far this year, new facility openings and planned projects are shaping 2019 into perhaps the biggest year ever for delivery of new self-storage supply in the Valley of the Sun.
There were 5 new facility openings in Q1-2019, adding 439,000 square feet and over 2,000 units of self-storage in the greater Phoenix area. An additional 33 facilities are in various stages of construction and another 45 new projects in the planning process. By comparison, 22 new facilities opened in 2018 and 25 in 2017.
With only 2 self-storage sales recorded in Maricopa County between January and March of 2019, Q1 acquisitions are not reflective of market activity. At the beginning of Q2, several facilities were close to being under contract or in escrow. By year end, 25-30 transactions are expected, as Phoenix remains high on the radar list for self-storage investors.