Self Storage Market Size
| Study Period | 2019 - 2029 |
| Market Volume (2024) | 2.47 Billion square feet |
| Market Volume (2029) | 2.95 Billion square feet |
| CAGR (2024 - 2029) | 3.65 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Self Storage Market Analysis
The Self Storage Market size in terms of lettable area is expected to grow from 2.47 Billion square feet in 2024 to 2.95 Billion square feet by 2029, at a CAGR of 3.65% during the forecast period (2024-2029).
- The self-storage sector, a segment within commercial real estate, is set for robust growth driven by urbanization and improving economies. While established markets like the United States and Western Europe boast well-developed self-storage infrastructures, regions such as China and India are witnessing the nascent stages of this concept.
- Urbanization, accompanied by increasing urban populations, is a primary growth factor. As cities grow with denser populations and rising real estate prices, the demand for self-storage, particularly among renters, is rising. For instance, London's population hit 9.7 million in 2024, which is projected to reach the 10 million mark by 2030.
- Businesses are aware of storage costs and are increasingly turning to self-storage solutions. Unlike traditional warehousing, self-storage offers businesses a wider array of space sizes and pricing plans. The market has been registering a significant advancement in the development of climate control and digital security-managed self-storage facilities to provide tenants with safe storage facilities for their belongings against environmental factors, including temperature and humidity, among others, supporting the growth of the market by creating an opportunity for the climate control feature based self-storage facilities.
- Highlighting this trend, in December 2023, VanWest Partners, a real estate investment firm specializing in self-storage, unveiled plans for a project in Denver, Colorado. The project, to be managed by their subsidiary, ClearHome Self Storage, will feature a 5-story, 93,000-square-foot building of Class A, climate-controlled self-storage units. This move addresses the surging demand for climate-controlled storage in the United States. During the forecast period, it signals a strategic response to the growing need for climate-neutral storage solutions catering to business and personal clientele.
- However, the industry faces challenges from government regulations. The Department of Homeland Security has cautioned operators about potential misuse of their facilities for storing materials that could pose security risks.
Self Storage Market Trends
Personal Storage Segment is Expected to Hold Major Market Share
- In the personal sector, the demand for additional storage space is majorly driven by growing families, and their increasing material possessions significantly influence the performance of self-storage properties. Additionally, as baby boomers downsize, the need for storage units is anticipated to rise.
- Rising urban populations are leading to smaller and more expensive living spaces, particularly in cities, with a growing number of mobile renters. The United Nations projects global urbanization to reach 68% by 2050. North America is notably the most urbanized region, with over 80% of its population living in urban areas.
- Amid concerns of a recession, potentially driven by urbanization and exacerbated by the COVID-19 pandemic, the personal storage sector is experiencing a surge. Renters, facing space constraints, are turning to storage facilities as they downsize, move in with family, or adopt a more transient lifestyle. This shift is significantly boosting the personal-storage industry.
- With millennials comprising a significant portion of the self-storage user base, their expectations are evolving. They increasingly seek technologically advanced solutions from operators, preferring interactions through smartphones, apps, and mobile websites. Virtual tours, online bookings, contactless payments, and automated access are becoming industry standards, aligning with the sector's technological advancements. As the traditional advantage of physical location diminishes, these digital channels present a significant opportunity for emerging storage players to disrupt the market.
North America is Expected to be the Largest Market
- North America, led by the United States and Canada, is set to dominate the self-storage market. The increasing demand for storage solutions and industrial automation is driving this growth. Key market drivers in North America include a focus on reducing infrastructure costs, a growing need for business insights, and the necessity for real-time data availability. The self-storage industry has been one of the fastest-growing commercial real estate market segments since its debut 36 years ago. According to SpareFoot.com, the storage industry recorded USD 29 billion in annual revenue as of January 2023, and the United States currently has an estimated 51,206 storage facilities in service.
- Furthermore, investments in the self-storage sector in the US have witnessed significant growth supported by the increasing adoption of self-storage facilities among businesses and individual customers in the country, which would increase the number of self-storage facilities in the US and can decrease rent prices in the market. This advantage of lower renting prices in the country’s self-storage market would fuel the occupancy rate in the United States and can drive market growth during the forecast period.
- For instance, in June 2023, Ivanhoe Cambridge, a global real estate company, announced plans to expand its self-storage portfolio in the United States through a strategic partnership with Safely Store Self Storage. This initiative aims to enhance the availability of self-storage facilities in the United States, supporting market growth.
- Also, in June 2023, SecureSpace acquired Northlynn Mini Storage in the Lynnwood area of Seattle. The leasing office will be upgraded with SecureSpace's modern design, and their proprietary high-security platform, managed by a national security team, will be installed.
- The demand for self-storage units is rising due to steady job creation and wage growth, which boost household formation and consumer spending. Additionally, the faster-paced lifestyles and the tendency to collect memorabilia among younger and older generations further strengthen the future need for self-storage space.
- Additionally, in November 2023, the Institute of International Education, which focuses on international student exchange and aid, foreign affairs, and international peace and security, stated that California, New York, and Texas have contributed the highest enrollment of international students, which would fuel the demand for migrant population growth in the country and can increase of population densities in these cities of the US, supporting the demand for external storage spaces during the forecast period.
Self Storage Industry Overview
The self-storage market is highly competitive, with significant players like U-Haul International Inc., Life Storage Inc., CubeSmart LP, National Storage Affiliates Trust, and Safestore Holdings PLC. The key players in the market are also making partnerships, mergers, acquisitions, investments, expansions, and innovations to retain their market position.
- In June 2024, Singapore's GIC, a real estate investor, partnered with Australia's National Storage REIT to launch the National Storage Ventures Fund. This fund aims to develop self-storage facilities across Australia. The partnership will invest AUD 270 million (USD 179.5 million) over the next 12 to 18 months to complete ten projects within NSR's initial development portfolio.
- In February 2024, Talonvest Capital Inc. partnered with Metro Self Storage to invest USD 22.5 million in a financing agreement for a portfolio including four properties across the southeastern United States, which would enhance Metro Self Storage's presence in suburban areas of Nashville, Tampa, Orlando, and Atlanta with a total of 2,382 units and 282,396 net rentable square feet.
Self Storage Market Leaders
U-Haul International Inc.
Life Storage Inc.
CubeSmart LP
National Storage Affiliates
Safestore Holdings PLC
*Disclaimer: Major Players sorted in no particular order
Self Storage Market News
- In March 2024, Singapore's StorHub, a leading self-storage operator, entered the Australian market with the launch of StorHub Australia, supported by a USD 300 million equity commitment. StorHub's Australian platform begins with five properties in Sydney, Melbourne, and Canberra, featuring a combined gross floor area (GFA) of 56,210 square meters. These acquisitions enhance StorHub's presence in Australia and align with its pan-Asia growth strategy, adding 655,000 sq m to its portfolio across seven markets in the Asia-Pacific region.
- In February 2024, SecureSpace Self Storage announced opening a new self-storage facility, SecureSpace San Bernardino, located in San Bernardino, California. The self-storage facility has a proprietary high-security platform with artificial intelligence-enabled cameras and sensors offering state-of-the-art security and monitoring.
- In January 2024, Etude Capital, a company of self-storage facilities in the United States, and San Felipe Financing LLC, a private real estate entity, announced the launch of a Joint Venture, Etude Storage Partners, which would invest across the North American self-storage market.
Self Storage Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Value Chain Analysis
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Bargaining Power of Buyers
4.3.2 Bargaining Power of Suppliers
4.3.3 Threat of New Entrants
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
4.4 Assessment of Impact of Macro Economic Factors on the Market
4.5 Analysis of Key Base Indicators of the Market
4.5.1 Average Living Spaces
4.5.2 Occupancy Rates of Self-storage Facilities
4.5.3 Office Rental Prices
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increased Urbanization Coupled with Smaller Living Spaces
5.1.2 Changing Business Practices and COVID-19 Consumer Behavior
5.2 Market Restraints
5.2.1 Government Regulations on Storage are Hindering the Market Growth
6. MARKET SEGMENTATION
6.1 By User Type
6.1.1 Personal
6.1.2 Business
6.2 By Geography***
6.2.1 North America
6.2.1.1 United States
6.2.1.2 Canada
6.2.2 Europe
6.2.2.1 United Kingdom
6.2.2.2 Germany
6.2.2.3 France
6.2.2.4 Spain
6.2.2.5 Italy
6.2.2.6 Belgium
6.2.2.7 Netherlands
6.2.2.8 Luxembourg
6.2.2.9 Denmark
6.2.2.10 Finland
6.2.2.11 Norway
6.2.2.12 Sweden
6.2.2.13 Iceland
6.2.3 Asia
6.2.3.1 China
6.2.3.2 Japan
6.2.3.3 Taiwan
6.2.3.4 South Korea
6.2.3.5 Malaysia
6.2.3.6 Hong Kong
6.2.3.7 Australia and New Zealand
6.2.4 Latin America
6.2.5 Middle East and Africa
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles*
7.1.1 U-Haul International Inc.
7.1.2 Life Storage Inc.
7.1.3 CubeSmart LP
7.1.4 National Storage Affiliates
7.1.5 Safestore Holdings PLC
7.1.6 Simply Self Storage Management LLC
7.1.7 StorageMart
7.1.8 Prime Storage Group
7.1.9 WP Carey Inc.
7.1.10 Metro Storage LLC
7.1.11 SmartStop Asset Management LLC
7.1.12 (Great Value Storage) World Class Capital Group LLC
7.1.13 All Storage
7.1.14 Amsdell Cos./Compass Self Storage
7.1.15 Urban Self Storage Inc.
7.1.16 Global Self Storage Inc.
8. INVESTMENT ANALYSIS
9. MARKET OPPORTUNITIES AND FUTURE TRENDS
Self Storage Industry Segmentation
Self-storage is an industry that rents storage space, such as rooms, locker rooms, containers, and outdoor space, also known as "storage units," to tenants, usually on a short-term basis, often month to month. Self-storage is available for individuals and small and medium-sized businesses in flexible, shorter, or longer periods. Self-storage facilities are highly professional and are different from empty warehouses or attics. Self-storage centers are fitted with all the necessary equipment to ensure secure storage of goods. The concept of self-storage comes from the United States, but it's also spreading to Europe.
The self-storage market is segmented by user type (personal and business) and geography (North America [United States, Canada], Europe [United Kingdom, Germany, France, Spain, Italy, Benelux, Nordics, and the Rest of Europe], Asia-Pacific [China, Japan, Taiwan, South Korea, Malaysia, Hong Kong, Australia, and the Rest of Asia-Pacific], Latin America, Middle East and Africa). The study tracks the number and total lettable area of self-storage facilities worldwide, indicating their occupancy rate.
| By User Type | |
| Personal | |
| Business |
| By Geography*** | |||||||||||||||
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| Latin America | |||||||||||||||
| Middle East and Africa |
Self Storage Market Research FAQs
How big is the Self Storage Market?
The Self Storage Market size is expected to reach 2.47 billion square feet in 2024 and grow at a CAGR of 3.65% to reach 2.95 billion square feet by 2029.
What is the current Self Storage Market size?
In 2024, the Self Storage Market size is expected to reach 2.47 billion square feet.
Who are the key players in Self Storage Market?
U-Haul International Inc., Life Storage Inc., CubeSmart LP, National Storage Affiliates and Safestore Holdings PLC are the major companies operating in the Self Storage Market.
Which is the fastest growing region in Self Storage Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Self Storage Market?
In 2024, the North America accounts for the largest market share in Self Storage Market.
What years does this Self Storage Market cover, and what was the market size in 2023?
In 2023, the Self Storage Market size was estimated at 2.38 billion square feet. The report covers the Self Storage Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Self Storage Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What are the key drivers of the Self-Storage Market?
Key drivers in the Self-Storage Market include: a) Rise in housing costs b) Growing trend towards smaller living spaces c) Increased mobility d) Need for seasonal storage among businesses and individuals
What are the major challenges faced by the Self-Storage Market?
Key challenges faced by the Self-Storage Market: a) Zoning and regulatory issues b) Rising real estate costs c) Increasing competition from new entrants and alternative storage solutions
What are the key drivers of the Self-Storage Market?
Key drivers in the Self-Storage Market include: a) Rise in housing costs b) Growing trend towards smaller living spaces c) Increased mobility d) Need for seasonal storage among businesses and individuals
Self Storage Industry Report
The global self-storage market is witnessing remarkable growth, fueled by rapid urbanization, lifestyle shifts, and the escalating need for extra space. Urbanization and the resultant space limitations in densely populated areas have made self-storage facilities an essential solution for individuals and businesses alike. Key life events like marriage, relocation, and downsizing, along with the surge in small businesses and e-commerce, are driving the demand for flexible and secure self-storage options. This market, segmented by storage unit size and end-use, with a significant portion dedicated to personal use, is also seeing technological advancements and innovation, enhancing customer experience and security. The competitive landscape is evolving, with companies expanding geographically. Notably, the self-storage market is booming not just in North America and Europe but is also making significant strides in emerging markets such as India, where urbanization and changing consumer lifestyles are boosting the demand for self-storage solutions. According to Mordor Intelligence™ Industry Reports, the market is experiencing a healthy growth rate, with detailed analysis and forecasts available in their comprehensive report, which includes a free PDF sample for further insights.
