- Centerbridge Partners and Reframe Holdings commit $500M to self-storage investments.
- JPMorgan backs the venture with $350M in debt financing arranged by Walker & Dunlop.
- Self-storage valuations showed signs of recovery after a major drop in sales volume and price per SF in 2024.
- Sector fundamentals are stabilizing as new supply moderates and institutional interest returns.
Major Bet on Self-Storage Recovery
Centerbridge Partners and Reframe Holdings launched a $500M push into self-storage, signaling confidence in a sustained rebound, CoStar reports. The firms formed their partnership late last year and now target Class A and high-quality Class B assets. They focus on leading metro markets across the United States, aiming to capture improving sector fundamentals.
JPMorgan Steps In as Lender
JPMorgan Chase is providing $350M in financing to the joint venture, signaling renewed lender confidence in self-storage. Walker & Dunlop arranged the debt facility, which is backed by a six-property portfolio. The portfolio spans Milwaukee, Austin, Gainesville, Bergenfield, Syracuse, and Rochester, covering several key US markets. This move follows similar lending activity supporting large self-storage portfolios as capital returns to the sector.
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Sector Shows Early Signs of Stabilization
Self-storage took a major hit in 2024. Annual sales plunged to $5.6B, while pricing fell to $106 per square foot, per CoStar data. However, the sector is showing signs of recovery in 2025. Sales volume has climbed to $7B, and average pricing has risen to $115 PSF. Centerbridge leadership expects fundamentals to keep improving as new supply slows.
Institutional Momentum Builds
The Centerbridge-Reframe deal comes amid broader moves by institutional players. Public Storage recently announced a multibillion-dollar acquisition of National Storage Affiliates, underscoring increased confidence in the self-storage rebound. Since 2017, Centerbridge alone has acquired over $3B in self-storage real estate across more than 375 US assets totaling more than 22M SF.
