Self Storage Booms Across Sunbelt Markets In 2025

A Cooling Market—But Not Everywhere

Following a pandemic-driven boom, 2025 became a year of recalibration as self storage markets adjusted to oversupply, reports StorageCafe. Nationwide, 51M SF of new space came online—down from 64M in 2024. Yet even as overall development slowed, several markets stood out for sustained growth, particularly in the South and Southwest.

Sunbelt Metros Dominate New Supply

Among large metros, Atlanta and Phoenix led the pack. Atlanta delivered 2.2M SF—good for a 4.1% expansion—while Phoenix also surpassed the 2M mark. Despite large additions, both markets kept growth to 2–5%, preventing oversupply and keeping rents and occupancy stable.

Top metro deliveries in 2025:

• Atlanta, GA: 2.2M SF (+4.1%)
  
• Phoenix, AZ: 2M+ SF
  
• New York–Newark–Jersey City: 1.7M SF
  
• Los Angeles, CA: 1.5M SF
  
• Chicago, IL: 1.4M SF

Florida Continues To Lead In Statewide Growth

Florida led self storage growth in 2025, adding nearly 9M SF due to in-migration, retiree moves, and renter turnover.

Select Florida metros:

• Orlando: 1.2M SF (+5%)
  
• Jacksonville: 1M SF (+6.4%)
  
• Cape Coral–Fort Myers: 925K SF (+10.5%)
  
• Miami: 615K SF (+4.1%)
  

Florida’s growth was driven by favorable demographics, including over 900 net new residents per day. Consistent housing transitions further supported strong self storage demand.

Texas And California Maintain Strong Development Pipelines

Texas added over 5.1M SF in 2025, with metros like Dallas–Fort Worth and Houston expanding without oversaturating.

• Dallas–Fort Worth: 1.3M SF (+1.6%)
  
• Houston: 1.26M SF (+1.6%)
  
• San Antonio: 1.2M SF (+4.8%)
  

Meanwhile, California brought on 4.4M SF—concentrated in coastal metros with high rents and tight housing.

• Los Angeles: 1.5M SF (+2.3%)
  
• San Francisco Bay Area: 307K SF (+1.3%)
  
• San Diego: 237K SF (+1.2%)

Georgia And North Carolina: Migration Magnets Driving Demand

Georgia added more than 3M SF, with Atlanta firmly in the lead. North Carolina delivered 2.7M SF, with robust growth in both large metros and regional hubs.

• Charlotte: 777K SF (+3.5%)
  
• Raleigh: 386K SF (+3.3%)
  
• Elizabeth City: 266K SF (+48.6%) – Fastest-growing metro in the US

Small Markets, Big Moves

Beyond large metros, smaller markets recorded the most dramatic growth by percentage:

• Elizabeth City, NC: +48.6% (266K SF added)
  
• Henderson, NC: +30%
  
• Plymouth, IN: +29%
  
• Aberdeen, SD: +19%
  
• Sanford, NC: +14%
  

These areas often serve broad regional populations, where a single new facility can dramatically shift local inventory levels.

Industry Outlook: A Measured Path Forward

According to Doug Ressler, Business Intelligence Manager at Yardi Matrix, the industry is stabilizing after years of volatility.

“Markets that entered the cycle with higher supply are now seeing stabilization. Developers are being more selective—targeting metros with proven demand and migration momentum,” he said.

Street rates are rising again, especially in high-barrier markets like Los Angeles and New York. REITs are shifting focus to operational performance over aggressive expansion.

Final Word

In 2025, self storage development slowed—but it didn’t stop. The Sunbelt led in growth, with Atlanta and Phoenix on top, while smaller metros like Elizabeth City saw rapid expansion. As developers seek balance, 2026 will likely see fewer but smarter projects in markets with strong growth, churn, and affordability.

The self storage sector isn’t retreating. It’s evolving.