comprehensive self storage research

State of the Industry

Exploring the current state and future outlook for self storage across Australasia.

State of the Industry is the leading sector research for the self storage industry, combining property, operating and people insights to explore the potential for self storage across Australia and New Zealand.

The 2024 edition arrives amid changing market dynamics, highlighting the sector’s continued resilience and stabilised growth as it responds to increasing supply, evolving demand drivers and new opportunities.

Key Insights

Stabilised growth sustained through revenue management

The trend of increasing storage revenue continued into 2024, though primarily driven by slowing fee rate growth, while occupancy levels remained under pressure across the year.

Economic recovery set to drive demand

Discretionary spending has been limited by cost-of-living pressures but is projected to improve as interest rates decrease in 2025, supporting future demand. The subdued housing market is forecast to recover alongside rate cuts, boosting turnover and listings which are key demand drivers.

Long term optimism

The Australasian self storage industry is well positioned for stable, long-term growth as key macroeconomic drivers evolve. Operators remain optimistic about future performance, with digital efficiencies set to further advance the sector.

Surge in supply set to reshape key markets

Record levels of self storage supply are anticipated from 2025 to 2027+, leading to a shift in market dynamics, especially in capital city markets where supply forecasts are highest.

Blurred lines: business usage continues to change

Business usage is shifting from the retail economy to the trade economy. What is becoming evident is the blurring between business and personal use in self storage, with more and more customer utilising storage units for both.

Technological advancements evolve the offer

While the technology that enables facility automation is here, consumer demand is still outpacing the rate at which facilities are adopting digital solutions. 7 in 10 customers likely to use storage in the next two years want a digitally-enabled experience.

Key Metrics

697k

storage units across Australasia

square metres of net storage area

1/17

storage units per household

9.2%

total adult population using self storage

87%

average facility occupancy

$380

average storage fee rate $ per sqm per annum

$750m+

quantum value of acquisitions

Market Activity

Industry consolidation continues but fragmentation remains

Transaction volumes have rebounded in 2024. The increase in sales has been driven by strong investor appetite, stable capitalisation rates and a reset of vendor expectations around trading conditions and revenue growth.

The industry continues to mature, attracting global interest, new investment and significant levels of new supply with more than 250 new facilities set to come online in the next few years.

Comprehensive, independent sector insights

State of the Industry 2024 provides insights, data and analysis on the self storage sector across Australia and New Zealand.

The report covers demand drivers, valuation trends, market composition and activity, international comparisons, operating metrics, consumer insights and future outlook. The report also features two key industry trackers – the SSAA Industry Gauge and the SSAA Macroeconomic Tracker.

More than 170 self storage owners and operators plus industry-leading valuers and advisors directly contribute to this research, making it the most comprehensive resource on the Australasian self storage sector.