Transaction volume in the U.S. self-storage sector surged in the third quarter of 2025, reaching nearly $1.6 billion. That is a 62% increase compared to the same period last year, as investor confidence rebounded following a period of caution.
A total of 266 facilities changed hands between July and September, up from 201 in the third quarter of 2024, according to a report released this month by StorageCafe.
The data indicates that while private and non-real estate investment trust (REIT) buyers accounted for the majority of acquisition entities, REITs played a strategic role, participating in approximately 25% of transactions and acting primarily as buyers to consolidate portfolios.
The volume of space traded increased from 12.8 million square feet in the third quarter of 2024 to 18.4 million square feet in the third quarter of 2025.
Institutional investors, particularly REITs, focused on quality assets, paying an average of $146 per square foot compared to $133 per square foot paid by non-REIT buyers. This premium reflects a strategic emphasis on consolidating facilities in markets with higher barriers to entry and stronger performance metrics.
Geographically, the Sun Belt continued to attract significant capital, accounting for 53% of all transactions. However, this figure represents a decline from the roughly 70% seen in the previous quarter, suggesting that institutional investors are diversifying their portfolios beyond the region.
Florida, California and Georgia emerged as the top states for transaction value, with each recording sales exceeding $200 million. While Texas recorded the highest number of individual transactions, its total combined sales volume remained below $50 million due to the trade of smaller or more moderately priced assets.
Among metropolitan areas, New York City led the nation with $90 million in sales volume. The market’s high density and limited land availability drove pricing to $526 per square foot, the highest in the country.
A significant contributor to this volume was Storage Post’s acquisition of three facilities in Manhattan, including a $60 million property on Amsterdam Avenue.
Las Vegas followed with $76.3 million in transactions, averaging $200 per square foot. Etude Capital was a primary buyer in the region, acquiring three Extra Space Storage locations.
Atlanta rounded out the top three cities with almost $43 million in sales, averaging $223 per square foot in a market where supply per capita remains relatively low at 4.6 square feet of storage.
Other notable activity included Etude Capital’s $26 million acquisition of a facility in Temecula, Calif., highlighting renewed interest in high barrier coastal markets.
