The global self-storage industry is booming, and it’s easy to see why when you visit places like Apple Storage in downtown Toronto. Inside, you’ll find a variety of businesses, from candle shipping and e-bike repairs to bitcoin ATM machines.
David Allan, one of the owners, explains that 70% of their storage units are rented by businesses. With office rents soaring, companies are moving their file storage to cheaper self-storage facilities, allowing them to use their office space more efficiently.
This trend is happening worldwide. Many storage companies are taking over vacant commercial spaces left behind after the pandemic.
In Canada, 16 new storage facilities opened last year, adding a million square feet of space, with rents increasing by an average of 12%. In the UK, the industry made over a billion pounds last year.
In Asia, especially in Singapore, the rise of side-hustles is driving growth. People often use storage units to keep stock for their e-commerce businesses.
Helen Ng from the Self Storage Association Asia says that nearly half of her renters use the units for their side projects.
The industry’s popularity has even led to podcasts about self-storage, like Dean Booty’s “Hacking Self Storage,” which has around 15,000 listeners a month.
Booty, who owns storage facilities across England, Scotland, and Wales, sees great potential in the industry but acknowledges that competition is increasing.
However, not everyone is happy about the rise in self-storage. Ben Twomey from Generation Rent criticizes the industry, saying it highlights the housing crisis and the lack of space in homes. He believes people are spending money on storage because they don’t have enough room in their own homes, which is a problem.
Back at Apple Storage, Kevin Tsui explains that his e-bike repair business moved to a storage unit after their previous store was demolished. He appreciates the extra space, which is becoming scarce in big cities.
This summary is based on information from BBC News.
https://www.bbc.com/news/articles/c722xdddl4po