New Morningstar Analyst Report - U-Store-It Trust

U-Store-It staved off immediate refinancing concerns by raising expensive capital in 2009, but it isn't completely out of the woods yet, as substantial debt comes due in the next two years. Though consumer sentiment is on steadier ground, we think it will be difficult for U-Store-It to reap the fruits of operational improvement in the highly competitive, no-moat self-storage property sector. As such, we suggest a substantial discount to our fair value estimate prior to investing.