New South Florida Residents Push Self Storage Business To The Max
MIAMI (CBSMiami) - The hot South Florida real estate market has pushed the self storage business to the max and it is no surprise that the price of storage units have kept up with the high rents.
"It is about supply and demand, sounds like a cliche. Miami area is one of the hotspots," said Doug Ressler, Senior Research Officer at Yardi Matrix.
Yardi Matrix researches and reports on multifamily, office and self storage properties across the United States. They say their clients need to know who is on the move, where they are going, the impacts.
Miami with all the buzz is a prime focus of their research, with all those folks supposedly moving in from New York.
"We have seen migration, certainly not to the significant degree that peolpe want to paint it," Ressler adds.
"A little bit of a misconception is that everybody from New Jersey and New York is moving here."
Who else? Foreign investors. Once again, buying real estate and locating families here.
Think of unrest in Colombia and of course, Venezuela and other Latin countries moving left politically. which impacts the local home and rental market.
Homes and condos are short on storage space.
"And international migration is the area in double-digit increase. What we found in conjunction with renters is that international renters rent longer and they rent larger places."
Those moving to South Florida still need storage, as condos lack storage and often single family homes often have a garage conversion, but no storage.
"A large percentage of people moving to Florida are boomers and they need to store things because they have downsized to small units and small houses."
So popular storage units like the 10x10 climate are in short supply. They start at $207 plus tax and can quickly accelerate and become more expensive. In some locations, a small locker can go for as much as $146 a month.
"I would expect to see that to continue to grow, by the way, and a year from now when we have this same conversation, you are going to have a higher number," adds Ressler.
