Overview 

The Horizon Storage Group Self Storage REIT Fund provides an opportunity to explore investments in the self-storage sector, a market that has shown resilience and steady performance through various economic conditions. The fund focuses on self-storage facilities, which have historically offered consistent cash flows and growth potential.

The Resilience of Self-Storage

Self-storage real estate has demonstrated a robust track record across economic cycles. For example, during the Great Financial Crisis, while many commercial real estate sectors experienced losses, the self-storage sector posted gains. Similarly, during market downturns, such as from January 2000 to September 2002, when the S&P 500 saw significant declines, self-storage REITs showed positive performance. Even during the COVID-19 pandemic, self-storage facilities maintained strong occupancy rates and rental growth.

Key Features of the Self-Storage Sector

1. Tax Advantages
Self-storage investments may offer tax benefits, enhancing the after-tax return potential.

2. Inflation Hedge
The ability to adjust rental rates in response to inflation helps to maintain value over time.

3. Economic Resilience
Demand for self-storage tends to remain steady during economic downturns, supporting stable cash flows.

4. Low Capital Expenditure
The sector typically requires lower capital expenditure compared to other real estate investments.

5. Institutional Interest
The sector has attracted significant interest from large institutional investors, contributing to its value appreciation.