News release

European self storage market remains resilient

JLL’s latest ‘European Self Storage Annual Survey’ in conjunction with the Federation of European Self Storage Associations (FEDESSA) showed strong rental growth and occupancy rates.

October 06, 2020

JLL’s latest ‘European Self Storage Annual Survey’ in conjunction with the Federation of European Self Storage Associations (FEDESSA) reveals the that the self storage market, even during the pandemic, has remained resilient, with 2020 showing strong investor appetite. Over a third of the facilities across Europe took part in the survey, which is now in its ninth year.

Key insights include:

  • In 2020 there are 4,831 self storage facilities offering 10.5m sq m lettable space
  • Average occupancy is 79% with occupancy rates increasing from 79.2% in February to 79.9% in June 2020
  • In the last 12 months, there were more than €250 million of transactions in the self storage market which is in line with last year
  • The average rent in Europe is €250 per square metre per annum, which decreased by only 1% between February and June 2020
  • Staff numbers per facility have continues to fall with 1.4 full time staff in 2020, compared to 1.8 in 2015
  • 76% operators intend on spending more on technology to improve their business
  • A third of facilities (36%) now offer 24-hour access
  • Technology and sustainability will be key drivers for the sector going forward

Ollie Saunders, lead director, self storage Europe, JLL commented: ““The statistics on the self storage during 2020 are impressive – with resilient rents and strong occupancy levels across Europe, the sector continues to deliver strong cash flows despite the pandemic.   The flexibility of self storage has meant that it can adapt to changing macro-economic circumstances, as it did in the global financial crisis.  The appetite from investors has also remained strong with transactions marketed and closed since March – but a challenge for the sector is how to get the scale investors want – the answer will be a mix of innovation, patience and best-in-class operators”

From February to June most countries across Europe saw an increase in self storage occupancy levels, with the average occupancy in June increasing to 80% due to the defensive nature of the sector. Over half of the facilities surveyed had over 85% occupancy, with a third sitting at 85%-90% capacity.

Rennie Schafer, chief executive officer, FEDESSA added: “This has been a turbulent time for the property sector but it’s testament to self storage that it’s remained resilient throughout the inceetainty. In all real estate sectors we are seeing increased integration of technology and a greater emphasis to an omni-channel customer experience, which the self-storage market is also adapting to, with more than three quarters of those surveyed admitting that they intended to spend more on technology. We should expect to see the market adapt and to continue growing into the next year.”

About JLL

JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $18.0 billion in 2019, operations in over 80 countries and a global workforce of nearly 93,000 as of June 30, 2020. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated.