National Storage Affiliates CEO Says Acquisition Volume Higher in Second Half

Arlen Nordhagen, chairman, president and CEO of National Storage Affiliates (NYSE: NSA), joined Nareit for a video interview at REITworld 2017.

National Storage Affiliates owns, operates and acquires self-storage properties located within the top 100 metropolitan statistical areas throughout the United States.

Following a slow first quarter in which there was a “disconnect between buyers and sellers,” Nordhagen said a pick-up in acquisitions volume has been evident in the second half of the year.

Going forward, Nordhagen said he expects the company will be able to perform above long-term historical industry averages of about 4 percent revenue growth and 5 percent net operating income (NOI), on a same-store basis.

Nordhagen noted that new supply has probably been the single biggest reason for declining same-store NOI growth. “Instead of the 10 percent-type numbers that we were seeing a couple years ago, we’re now seeing numbers in the low to mid-single digits,” he said.