The Texas Self-Storage Market is on Fire

Texas Self-Storage

July 26, 2017 | Posted in Economy, TX | By

Over the last few years the average price per month to rent a storage unit in Texas has surged. According to SpareFoot reservation data, the average price of a self-storage unit in Texas increased from $67.93 a month in 2011 to $84.50 a month in 2016. That’s a jump of 25 percent.

Why is that? Following the Great Recession of 2008, builders of self-storage facilities backed off and stopped building new facilities.

That includes the big four public self-storage companies (Public Storage, Extra Space, CubeSmart and Life Storage), which account for around 10 percent of all self-storage supply.

As the populations of Houston, Dallas, Austin and San Antonio continued to grow during that period the existing supply of self-storage space reached peak occupancy in many portfolios. Operators were able to increase prices to capitalize on the constrained supply conditions.

But now the builders are developing again and 2016 is poised to be a record year for self-storage construction nationwide. Many facilities are currently under construction across the major Texas cities, and many are expected to open next year.

Average storage prices have been mostly flat since 2014, and the trend appears to continue into 2017. As more storage units come to market, we expect prices to plateau for the foreseeable future.

To learn more about trends in the Texas Self-Storage industry, take a look at more information on the SpareFoot web page covering this topic.

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A Note on Austin’s Growing Population Density

March 10, 2017 | Posted in Austin, Statistics | By

There’s a war going on in Austin, and it’s not over who serves the best breakfast taco or which music festival has or hasn’t gone mainstream. It may in fact be the fiercest fight going on in Austin right now, with the outcome deciding the future of this growing city in ways that eclipse virtually every other issue.

It’s a war waged over a single word. A word that has become a dirty word in some circles and a mantra in others.

It’s the ‘D’ word, for density.

Austin is growing fast. With an average of 157 people moving to Austin every day, those people need to go somewhere

That’s where the battle begins. Pro-density urbanists want to direct that growth into Austin’s core, densifying neighborhoods that are more suburban in character, creating walkable environments based around vertical construction and public transportation. They argue that density is more sustainable than car-oriented suburban sprawl. They also argue that it reflects the current demand for urban lifestyles, a demand which has pushed the price of centralized housing out of the reach of many Austinites.

Those against increased density, on the other hand, argue that packing more people into central Austin neighborhoods will decrease the quality of life in these areas and ruin the character that’s existed there for decades. They cite conflicts over parking, noise, crowding, and a lack of investment in infrastructure as examples of how more density leads to more problems.

With the City of Austin currently undertaking a major rewrite of its land development code, the fight has reached a fever pitch. While both sides clearly have legitimate arguments, their disagreements often revolve around a lack of clear communication.

One question that neither side seems to have expressed is their vision of how dense Austin should be.

In order to give some more context around this question, SpareFoot looked at how Austin’s density compares to other cities in the US and around the world, mapping out how much of Austin the population would occupy if they lived as densely as these other cities.

Austin TX Storage Units on SpareFoot

Via SpareFoot Austin

 

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Why Envy Austin? Here Are 16 Great Reasons. [Infographic]

Why Everyone Envies Austin

March 6, 2015 | Posted in Austin, Statistics | By

Enjoy this guest post and infographic from John Egan of Sparefoot.


Need evidence that Austin is a popular place for transplants? Consider this: From 2010 to 2013, Austin was the fastest-growing city among the 25 largest U.S. cities, according to the U.S. Census Bureau. That’s a 12 percent population hike in just three years.

Put another way: During that period, Austin essentially gained a city within a city, as the population rose by more than 95,000. By the way, that figure doesn’t include booming suburbs like Cedar Park, Georgetown and San Marcos.

“It’s not much of a mystery why Austin has fared so well,” Jordan Weissman wrote on Slate.com. “The city was only lightly affected by the recession, thanks in part to the fact that Texas was generally spared a housing bust, and its local economy is anchored by a state government, a massive university, and a tech scene.”

That helps explain why Austin is the envy of so many other cities, and so many people, around the country.

For years, business professionals from places like Baton Rouge, Louisiana, and Wichita, Kansas, have descended on Austin in an effort to replicate at least some of our city’s economic magic. But the real proof of the level of envy regarding Austin rests with the number of people who have moved here, who are planning to move here or who are longing to move here.

In a recent piece for the Wall Street Journal, former Austin resident Tom Davenport, a professor at Babson College near Boston and a former professor at the University of Texas, succinctly captured the allure of Austin. He wrote that Austin is “quite interesting and fun. It’s got a funky, laid-back vibe and there are plenty of informal restaurants with outdoor seating, a river (that they call a lake) to run and bicycle around, and huge quantities of live music.”

Given that description, who wouldn’t be envious of Austin? If you still aren’t sold, this infographic from Austin-based SpareFoot offers 16 reasons why everyone has a case of Austin envy.

 

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