The UK Has a Self-Storage Problem (And It Creates an Opportunity)
The UK has just 0.94 square feet of self-storage space per person. The United States has over 7 square feet per person.That single comparison, drawn from Savills’ 2025 European Self Storage Spotlight, explains why institutional investors are pouring capital into UK self-storage and why landowners with the right sites are sitting on significant untapped value.
According to the SSA UK and Cushman & Wakefield 2025 Industry Report, the sector now generates £1.2 billion in annual turnover, with average revenue per square foot rising 6% year on year to £29.13. Total capacity has grown by 7.2% in the past twelve months alone, yet CBRE still describes the market as “undersupplied” with “significant runway for further expansion.”
The opportunity is clear. The challenge is knowing whether your site is suitable.
In my role at Wigwam Storage Management, I assess dozens of potential sites every year. Most landowners and agents who approach us assume their plot is not viable. In roughly 40% of cases, they are wrong.
This article shares the exact five-point filter we use internally to conduct a quick first-pass feasibility assessment. A site does not need to score highly on all five factors. If it hits two or three, it is usually worth a closer look.
The Five Factors That Determine Self-Storage Viability
Factor 1: Catchment Population
The benchmark: 20,000+ people within a 15-minute drive.
Self-storage is a local business. Customers rarely travel more than 15 to 20 minutes to access their unit, which means catchment population is one of the single most important factors in determining demand.
The 20,000 threshold is not a hard rule. Sites with strong visibility can work with smaller catchments. Semi-rural locations can exceed the threshold by serving as a hub for surrounding villages and market towns.
What we look for: We map the 15-minute drive-time isochrone and overlay population data. If the numbers are borderline, we examine whether the catchment includes underserved postcodes with limited existing supply.
Example: A site near a Cambridgeshire market town might initially appear marginal with a catchment of 16,000. However, with the nearest competitor being 25 minutes away, and the town serving as a hub for six surrounding villages, the site has great potential and warrants further investigation.
Factor 2: Visibility and Access
The benchmark: Road presence on a B-road or above, or easy access from a main route.
Visibility reduces marketing costs. A facility that passing traffic can see every day builds brand awareness passively, which translates into lower customer acquisition costs over time.
Access matters just as much. Customers visit their units regularly, often with trailers or vans. Wide access roads, adequate turning space, and proximity to residential or commercial areas all contribute to a frictionless experience.
The trade-off: A-road visibility commands premium land prices. A tucked-away plot on an industrial estate costs less but requires more active marketing. Both can work. We have seen excellent returns from sites with no road frontage at all, provided other factors compensate.
What we look for: Can a customer find the site using a satnav without confusion? Is there space for a van to turn? Would a 7.5-tonne removals lorry struggle? If the answer to any of these is “yes, but only just,” we flag it for closer review.
Factor 3: Plot Size
The benchmark: 0.5 to 1.0 acres for a viable standalone facility.
Self-storage does not require large sites. A well-designed facility on half an acre can accommodate 15,000 to 20,000 square feet of lettable space, enough to serve a local catchment and generate meaningful returns.
Larger plots allow for phased development, which reduces upfront capital requirements and lets operators scale supply in line with demand. Smaller urban plots can work for micro-facilities targeting city-centre customers with limited space at home.
What we look for: Net developable area after access, parking, and turning are accounted for. A one-acre plot with awkward geometry or significant level changes may yield less usable space than a compact 0.6-acre rectangle.
Example: A 0.5 acre site in the West Midlands that was dismissed by two developers as “too small” could easily be designed as two-storey facility with 25,000 square feet of lettable space with a high occupancy level in excess of 80%.
Factor 4: Neighbouring Uses
The benchmark: Industrial, trade, or retail uses nearby.
Self-storage sits comfortably alongside commercial neighbours. Customers feel more comfortable visiting a facility surrounded by trade counters or retail parks than one in an isolated rural location.
Neighbouring uses also influence planning. A site surrounded by B2 and B8 uses is less likely to face objections than one adjacent to residential housing or a school.
What we look for: Google Street View is our first stop. We want to see working vehicles, roller shutters, and commercial signage. If the neighbours include a builders’ merchant, a warehouse or even better, a drive-thru, then the site is usually well-positioned.
Factor 5: Planning
The benchmark: Existing B8 consent, or a clear route to consent via full application or permitted development.
Planning permission for self-storage is often simpler than landowners expect. The use class (B8: storage and distribution) is familiar to planning officers, and self-storage generates minimal traffic, noise, and environmental impact compared to many industrial uses.
Some sites already have B8 consent in place. Others may qualify for permitted development, allowing a change of use without a full application. Even where a full application is required, self-storage is generally viewed favourably compared to more intensive alternatives.
What we look for: We run a desktop planning review covering the local plan, any relevant allocations, and recent decisions for comparable applications nearby. Red flags include Green Belt designation, flood zone 3, and sites within or adjacent to conservation areas.
The reality check: Planning is rarely the blocker people assume it will be. Of the sites we have assessed in the past three years, fewer than 15% were rejected on planning grounds.
The 2-3 Rule: Why Most Viable Sites Do Not Tick Every Box
Here is what surprises most landowners: a site does not need to score highly on all five factors.
In our experience, a site that hits two or three factors strongly is often more attractive than one that scores moderately across all five. Strength in catchment and access can compensate for a smaller plot. Favourable planning and good neighbours can offset limited visibility.
Our site filters are designed as a screening tool, not a final verdict. Its purpose is to help you quickly eliminate sites that are clearly unsuitable and identify those worth investigating further.
The patterns are consistent: sites with genuine strengths in a few areas tend to outperform sites with no obvious weaknesses but no standout advantages either.
Why the Opportunity Exists Now
The UK self-storage market is growing, but it remains undersupplied by international standards. That structural gap creates a window for landowners and investors to enter the market before supply catches up with demand.
The numbers that matter:
According to the SSA UK and Cushman & Wakefield 2025 Industry Report:
- The UK self-storage sector generates £1.2 billion in annual turnover, up more than £100 million on the previous year
- Average revenue per square foot has risen 6% year on year to £29.13
- Total capacity has grown 2% in the past twelve months, reaching 64.3 million square feet
According to Savills’ 2025 European Self Storage Spotlight:
- The UK has 94 square feet of storage per person, compared to over 7 square feet in the United States
- Investment deal volumes across the UK and Europe reached a record €1.2 billion in 2024
- The market remains “materially undersupplied” with “significant runway for further expansion”
For landowners, the economics are compelling. Self-storage facilities can be built quickly, often under permitted development rights, and scaled modularly over time. The result is lower capital intensity than traditional development, predictable monthly income from short-term leases, and strong exit values when operational sites are sold.
Frequently Asked Questions
How much land do I need for a self-storage facility?
A plot of 0.5 to 1.0 acres is typically sufficient for a viable facility with 15,000 to 25,000 square feet of lettable space. Smaller urban plots can work for micro-facilities. Larger sites allow for phased development.
What planning permission is required for self-storage in the UK?
Self-storage falls under Use Class B8 (storage and distribution). Some sites already have B8 consent or qualify for permitted development. Where a full application is required, self-storage is generally viewed favourably due to its low traffic, noise, and environmental impact.
How many people need to live nearby for a self-storage site to be viable?
A catchment of circa 20,000 people within a 15-minute drive is a good rule of thumb. Underserved areas with limited existing supply can work with smaller catchments.
Does a self-storage site need to be visible from a main road?
Visibility helps reduce marketing costs, but it is not essential. Many successful facilities operate from industrial estates with no road frontage. Good access and strong catchment fundamentals matter more than prominent signage.
What types of land are suitable for self-storage?
Industrial, trade, and retail locations are ideal. Brownfield sites, redundant employment land, and underperforming commercial plots often make strong candidates. Sites adjacent to residential areas require more careful planning consideration.
How long does it take for a self-storage facility to reach full occupancy?
Most facilities take between 24 and 36 months to stabilise at mature occupancy levels of 80% to 90%. Well-located sites with strong marketing can accelerate this timeline.
What returns can landowners expect from self-storage?
Returns vary by location, facility size, and operating model. Average revenue per square foot in the UK is currently £29.13 according to the SSA UK 2025 Industry Report. Operational sites typically trade at yields that reflect their income-producing status and growth potential.
Can I develop a self-storage facility on Green Belt land?
Green Belt designation significantly restricts development, and self-storage would not normally qualify as an exception. However, previously developed land within the Green Belt may have more flexibility. A planning review is essential.
Get a Free Site Assessment from Wigwam
If you have a site in mind, we would be happy to run it through the Wigwam Site Filter and give you an honest assessment of its potential.
Nick Grant, Co-founder of Wigwam Storage Management, personally reviews every site enquiry. There is no obligation and no cost. If the site has potential, we will explain the next steps. If it does not, we will tell you why and save you the time of pursuing it further.
About Wigwam Storage Management
Wigwam partners with landowners and investors to deliver fully managed self-storage solutions. We handle every stage of the process, from initial feasibility and site design through to construction, operations, marketing, and ongoing management.
Our approach is hands-off for landowners: we take responsibility for filling and running the facility, ensuring consistently high occupancy and predictable returns. With multiple sites under management across the UK and a track record of turning underperforming land into income-generating assets, we have built a model that works.
Whether your site ticks two boxes or all five, a 15-minute conversation could reveal an opportunity you had not considered. Call or email Nick Grant at 01608 656 299 [email protected]
