Self-storage has gained the interest of investors such as merchant banks, property trusts and property syndicates in Gold Coast, Queensland, Australia, according to LandMark White, an independent property valuation and consultancy firm. Lisa Murdoch, the groups director, said institutional buyers find self-storage to be a good investment because its facilities do not require a lot of staff or costly maintenance.
Murdoch said the interest was created by investment yields between 9 percent and 11 percent. The expansion of operators such as National Storage and Storage King have created a more liquid market for facility owners, but also increased buyer expectations. The market has yet to find its equilibrium, she said.
The Gold Coasts reputation as Australias fastest-growing city is also attracting investors said Tony Grbcic, director of Just Real Estate Investments. He said cashed-up buyers want to maximize returns through properties aligned to well-known brands.
Sources:
- The Australian: Self-storage sheds find place in the sun: Gold Coast
