REIT Street Rates Experienced Positive Growth
Key Q3 2025 Self-Storage Insights
- Even though housing related demand is not expected to materially increase in 2026, the REITs remain optimistic about further stabilization.
- REIT street rates experienced positive year-over-year growth for the second consecutive quarter, further suggesting that pricing is finding its footing.
- Even though normalcy appears to be returning to the industry, the 3 quarters of 2025 have recorded the lowest occupancy levels since 2017. Demand challenges and general uncertainty still linger.
“If you don’t know what’s going on in your market, you don’t know occupancies, you don’t know achieved rents, you don’t know what the REITS are doing, how are you supposed to make informed operating or investing decisions?”
– Noah Starr, TractIQ CEO
Advertised Rates
Street rent growth is rebounding — early signs of pricing power returning.
Achieved Rates
This may illustrate further churn of the pandemic-era tenants who were paying higher in-place rents as well as the last 2-3 years of depressed move-in rates.
Street vs Achieved Delta
Currently, street rates are more useful in predicting achieved rates since the spread between the two is so narrow (especially for Extra Space and NSA).
Discount Rate
Discounting increased in Q3 showcasing seasonal trends as we head into winter months, but also suggests there’s still heightened competition and muted demand in the marketplace.
