The 5 self-storage REITs reported a third quarter average same-store revenue increase of 16.76%. This was an increase over 2020 Q3 average of -0.6% and 2019 Q3 of 2.3%. The average same-store expense increased by 0.4% with the expectation for increases in subsequent quarters with higher wages and increasing property taxes. The average same-store net operating income (NOI) increase was 23.6% as compared to the same period last year which is very much in line with what we have been seeing in the marketplace with other large and regional operators. The average stock price for the REITs increased 6.4% for the third quarter.
For this quarter, the REITs have identified the best and worst performing major metropolitan statistical areas (MSA’s). (no particular order):
The REITs continued the strong performance from the first half of 2021 into the third quarter of 2021. All five REITs raised their core FFO guidance and are expecting to continue strong operations for the rest of the year. The REITs continue to see strong revenue growth based on record high occupancies and higher realized rent per foot. The REIT’s acquisition volume has remained high and is expected to continue to the end of 2021.**
**All individual REIT data obtained from 3rd quarter 10-Q.
Full report here.