UK and European self-storage markets are set for further expansion, according to new research from Savills.
Although transactional activity across the UK and Europe remained subdued in H2 2025 due to several large processes failing to complete, Savills expects transaction volumes to recover as previously delayed processes return to the market, alongside newly launched opportunities.
The firm anticipates investment activity will focus on urban locations, in cities where supply remains constrained and demand fundamentals are strongest. In locations where there are limited acquisition opportunities, well capitalised operators will continue to build where they cannot buy.
Tom Atherton, strategy and market intelligence manager at Savills, said: “Attractive opportunities continue to be seen across UK and European self-storage markets, especially within urban centres. Operational efficiency is expected to remain a key focus in 2026, with continued adoption of technology-led operating models, including store clustering, as operators seek to drive efficiency, reduce headcount and mitigate cost pressure. These dynamics, alongside the benefits of scale, are expected to support further improvement in operating margins.”
Adi Gokal, director, Savills Capital Advisors – debt advisory, added: “There has been continued interest from a wide range of lenders in the self-storage sector, with increased allocations for both smaller ticket deals and larger portfolio transactions alike. Liquidity in the credit markets remains very strong and we expect to see debt terms continue to tighten over the course of 2026, particularly for businesses who are achieving operational efficiencies and technology integration within their platforms.”
Ollie Saunders, head of self-storage at Savills, said: “As market conditions stabilise and capital becomes more deployable, we expect a recovery in self-storage investment activity in 2026. Platforms are more creative in how they scale, whether through using data to target development in underserved locations, management contracts, or technology, and this flexibility will be key to unlocking growth across the UK and European markets.”
