What are the key findings from the 12th annual self storage industry survey?

The self storage industry has proven to be resilient despite the economic challenges faced last year, according to the 12th annual self storage industry survey conducted by the Federation of European Self Storage Associations (FEDESSA) and global commercial property leaders, CBRE. The key findings from the 12th annual self storage industry survey are produced by over 100 operators representing 1500+ facilities in 24 different countries participated in the report, covering almost a third of the total market. The report analyses demand and supply trends, as well as operational performance across Europe’s self storage market. It is a useful reference for investors and operators by providing insights into public perception and market awareness.

Major transactions throughout 2023

In the first half of 2023, there were some significant transactions in the self storage industry. Nuveen Real Estate acquired Easistore, a high-quality self-storage portfolio, while Pithos Capital and Davidson Kempner purchased UK Storage Company. These acquisitions followed a record-setting transaction volume in the previous year.

“Year-to-date 2023 investment volumes are currently at c. €594 million, with a strong pipeline of M&A activity across Europe expected to transact in the next 12 months.” – CBRE Research & FEDESSA

The investment market for 2023-24 remains buoyant, with a large pool of investors competing for a limited number of opportunities

Despite high-interest rates, tougher debt markets, and consumer cost pressures, investors continue to allocate capital to sectors with strong revenue growth and cost-efficient models.

UK & Sweden have the highest public awareness of self storage

As the market grows and more stores open, public awareness naturally increases. When it comes to self storage, awareness varies from country to country. In the UK, 91% of people are aware of self storage. The report indicates that self storage awareness is highest among older age groups, and people under the age of 25 are less likely to use self storage as they have not yet accumulated enough possessions to warrant storage.

A strong development pipeline across Europe

There are 221 stores in the development pipeline across the report sample, 9% of which are either under construction or have planning approved, with a further 41% waiting for planning approval.

“This strong development pipeline shows that operators remain determined to expand their portfolios and have confidence in the industry, despite the increasing costs of construction and delays in the planning process.” – CBRE Research & FEDESSA

Overall, the industry report shows that the self storage industry has continued to perform resolutely, and investor interest remains competitive.

Other Key Findings:

  • Operators remain optimistic about industry:
    • 68% expecting increases in occupancy
    • 87% expecting improvement in profits
  • 31% of the public have heard of self storage but know nothing about the sector
  • Online presence of industry is improving:
    • 81% of stores can book online
    • 18% of operators are planning website improvements
  • 26% of stores are remotely managed
  • 73% of operators think sustainability is important

Watch the Easistore case study.