3 Trends That Show Why Now is a Good Time to Buy Storage in Nevada
In March 2020, most industries were strapping themselves in for a white-knuckle ride. The self-storage industry, however, calmly braced itself, confident of its own resilience against the ups and downs that lay ahead.
“The pandemic has been terrible for mankind, but in terms of storage it’s good. It’s good for investors and those with a financial stake in self storage and for people in a situation in the pandemic to have a place to transition their life or their work in storage,” Jake Ramage, CEO of Snapbox Self Storage told the Self Storage Association this January.
It’s that very resilience that makes even small-scale investment in self-storage appealing. Whether buying to sell at a future date or buying to lease, storage units tend to hold their value well due to low maintenance requirements and consistently healthy demand.
Demand for Storage in Nevada is Surging
Demand for storage in Nevada is currently booming, despite, and oftentimes because of, the pandemic. Some of the drivers behind the increased demand are felt nationwide, while others are specific to the Silver State.
3 Trends Driving Storage Demand in Nevada
- Migration to Nevada
- The migration of Californians in recent years to Nevada is well documented. Between July 2017 and July 2018, more than 50,000 Californians moved to Nevada, tipping the state’s population over the 3 million mark for the first time. The influx didn’t stop there. In its analysis of 2020 one-way rentals, U-Haul confirmed that this is a continuing phenomenon with Nevada recording the 8th largest migration growth of US states, an astonishing 16 places higher than in 2019.
- This trend impacts demand because those on the move often require storage options. Two possible reasons are:
a. that they are downsizing but unable or reluctant to do away with all their possessions,
b. and/or they require temporary storage during a transition period (although it’s worth noting that a lot of temporary storage solutions end up becoming long-term).
2. Consumer Culture Continues to Flourish
Thanks to e-commerce giants like Amazon, who saw their US Marketplace sales almost double in 2020 vs. 2018, people continued to shop to their hearts’ content throughout the pandemic. Amazon’s most popular purchases included selfie ring lights and massage pillows, but other retailers also saw significant jumps in sales of DIY tools and materials, and home gym and fitness equipment.
What remains to be seen is whether these large-sized products will stay in the home in the long run or if owners will look to rehouse them once restrictions come to an end.
3. Sales of Outdoor Recreational Goods, including Boats & RVs have Skyrocketed
The pandemic pushed people to replace human contact with contact with nature. As an example, over half a million more people visited Lake Mead in 2020 vs. 2019. This new thirst for nature created a surge in outdoor equipment sales. The value of bicycle sales increased 63%, kayak sales 56%, and powerboat unit sales 12%. The RV market experienced similar growth, in large part thanks to an increase in first time RV buyers who saw the open road as a ticket to freedom.
All these valuable toys need to be securely stored while not in use, and while it could seem like the home is the most convenient place to store them, it’s often neither a practical nor possible option.
We Offer Storage Investment and Management Solutions
According to the reports referenced in this post, many of these trends are set to continue for the foreseeable future making now an interesting time to consider the benefits of buying a storage unit in Nevada.
Luxelocker has two storage facilities in Nevada: Henderson and Spanish Springs. We offer solutions that help our customers best manage and get the most out of their investment, from financing to sub-lease management. If you’d like to find out more, drop us a line or call us at 833-333-LUXE – we’ll be delighted to help.