Opportunities In The Market Today…

In my recent conversations with self-storage owners, I have noticed that the majority are enjoying stabilizing revenues, and in some cases they are also enjoying an increase in revenue over the last 6 to 12 months. Interestingly, most owners don’t realize that they have made or lost money because they are in the real estate business and not the self storage business. While the increase in revenue is creating more cash flow for owners, today the real opportunity lies in the arbitrage that a real estate investor can capitalize on between cap rates and interest rates. Arbitrage is usually thought of as a high finance concept but there are some viable opportunities that might be available in the world of self storage. The term arbitrage means that an investor can take advantage of some pricing or other discrepancies in the marketplace…