LEVITTOWN, Pa. -- Got junk and need a place to put it?
That dilemma is behind a Bensalem, Pa. developer’s plan to build two four-story self-storage warehouses with 1,800 total units here in Bristol Township, a reflection of increased demand in lower Bucks County and elsewhere for such accommodations.
It’s a hot market.
“The self-storage industry has been one of the fastest-growing segments of the commercial real estate market since its debut 36 years before,” says Mordor Intelligence Research, a market analyst. “About one in 10 homes rent storage units to collect junk.”
Bristol Pike Storage’s plan -- given the green light by the township Planning Commission; still to be reviewed by Bristol Township Council -- calls for two warehouses: a 121,392-sqquare-foot facility on a 3.57-acre tract along Route 13 near the Pennsylvania Turnpike/I-95 and the end of Pacific Avenue.
The second warehouse – like the first, it’s to hold 900 storage units -- measures 36,000 square feet and is to be placed less than a mile away along Route 13 at Airport Road and Silvi Avenue.
Construction of the two on the properties will greatly improve the present land areas, said Mike Meginnis, attorney for the developer.
“We are adding a significant amount of green space,” he said. “There will be significant net positive impact to stormwater management at this property.”
Plans show drives into and exiting the facility, as well as gated emergency access. In addition, the developer is to improve road conditions on Silvi Avenue. The developer also plans access points along Airport Road and two on Silvi.
The self-storage industry has grown in recent years in Lower Bucks, with numerous facilities already in place. Facilities offer a range of unit size and additional features like climate control and parking spaces. Monthly rental fees vary depending on the unit size.
There are several factors driving the industry, according to Scott Meyers, founder, Kingdom Storage Holdings.
“Factors include growing urbanization, increased downsizing from the coronavirus, lifestyle changes and more,” he said. “While there are many things that affect real estate performance, self-storage is influenced by the transition and trauma business. The industry often plays a role as people difficult life events. As a result, it is one of the most recession-resistant asset classes.”
According to Mordor Intelligence, the value of the self-storage market is expected to reach $115.6 billion by 2025, up from $87.6 billion in 2019.
“This puts the compound annual growth rate at 134.7 percent over the forecast period,” said the market analyst.
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