IRVINE, CA—An emerging trend in the financing market for self-storage is the increasing number of developments and redevelopments taking place, Talonvest Capital Inc. principal Tom Sherlock tells GlobeSt.com. Following a record year for the boutique mortgage-brokerage firm, which closed in 2015 more than $474 million of financings including perm loans, bridge loans and JV equity for self-storage, office, industrial and apartment properties across the country, we spoke exclusively with Sherlock about the self-storage sector and what he expects to see from it this year.

GlobeSt.com: What emerging trends are you noticing for 2016 in the self-storage sector?

Sherlock: The emerging trend in the financing market for self-storage is the increasing number of developments and redevelopments taking place. Since the second half of last year, especially in the fourth quarter through January 2016, Talonvest has been working on a rapidly growing number of ground-up construction loans, including certificate of occupancy deals, and redevelopment bridge loans. While there is a growing supply of lenders providing this type of capital to meet the growing demand, the underwriting discipline appears to be remaining strong. That dynamic is good for the longer-term health of the storage industry.