Continued growth for self storage
The UK’s self storage industry is continuing to grow despite the economic difficulties, according to a Mintel report commissioned by the UK’s Self Storage Association.
The number of self storage sites has grown by more than 10% in the last year to 750 primary facilities, generating revenues of around £360m.
The growth in the amount of rental space available in 2008 remained consistent with the previous five years at around 8%, increasing by around 2m sq ft. However the market has further to grow, according to the report, as the UK market is not as mature as the US or Australia.
Awareness of self storage is increasing as well due to wider trends such as family break up and downsizing – around 50% of the population is now aware of the industry, up from 29% two years ago, the report said.
Rodney Walker, chief executive officer of the SSA UK, said: ‘Despite these positive findings, the industry still faces challenges ahead. The market in the South East continues to lack good quality locations, financing for business in the current climate and a slow down in the housing market have also influenced growth rates.
‘Indications however suggest that the sector remains relatively resilient and well placed to face the economic challenges ahead. In more mature markets, the self storage sector has seen sustained growth through a number of economic and housing downturns and we are confident that the UK is well positioned to do the same.’