Storage Units: To Buy or To Rent?

In a city where space is at a premium, an onsite storage storage unit seems like it would be worth a fortune. Well, they cost a fortune anyway. According to Manhattan appraiser Jonathan Miller of Miller Samuel, Inc., the value is consistent with the square footage of your apartment. E.g., if you paid $1,000 per square foot, then expect to pay $5,000 for a 5×5 unit. So you’re paying about the same for an unfinished cage in the basement as you are for your apartment space. Why not just get a bigger apartment?

According to Brick Underground, the average storage unit in a new development sells for $10,000-$25,000. To put things into perspective, a larger offsite closet at $150/month would take about 66 years to add up to the low end of that spectrum.

So to buy or not to buy? It just stands to reason that having a storage unit can make your property more desirable than competing properties when you go to sell. What is distinctly unlikely is that you will make money, so weigh your needs into the equation. Sometimes it’s a matter of convenience, not ROI.

Source: Brick Underground

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