Lenders will favor self storage in 2025

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Self storage has been one of the better performing asset classes, which will lead to plenty of available capital next year. The permanent finance market is strong with both CMBS and life companies offering solid attractive options. However, bank financing, especially construction financing, is currently more difficult. Many bank lenders continue to sit on the sidelines. Expectations for the economy to improve with limited inflation risk will show confidence in the market for banks to get back into lending.

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