Self-Storage Occupancy in Singapore Increases for Chinese New Year
Copyright 2014 by Virgo Publishing.
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Posted on: 02/05/2013



 

Self-storage tenants in Singapore are using their units to declutter their homes in time for Chinese New Year, according to local operators. Extra Space Self Storage, which has five facilities in the Southeast Asian city-state, reported a 7 percent increase in customers ages 20 to 40 in the month leading up to the new year compared to this time last year. The number of customers this year doubled compared to the same period in 2010.

Although the Chinese Year of the Snake doesn’t begin until Feb. 10, Singaporean celebrations began in late January and will continue into March. More than 70 percent of the population are Chinese descendants.

Michael Hagbeck, CEO of Extra Space, said self-storage customers in Singapore are using facilities to make room for hobbies or their lifestyle at an increasing rate, and that the period leading up to the Chinese New Year provides extra incentive to perform spring cleaning. Tenants are storing clothing and common household items in addition to large Chinese New Year decorations to clear space in their homes.

Storhub, which also operates five self-storage facilities in Singapore, is anticipating a 15 percent increase in occupancy at its facilities by Feb. 10. Tenants between the ages of 20 and 40 make up 60 percent of its client base, company officials said.

Similarly, Lock+Store, which has two facilities in Singapore, expected a 20 percent increase in demand for units in the month leading up to the new year.

Extra Space Self Storage operates facilities in Korea, Malaysia and Singapore. It is a different company than Extra Space Storage Inc., one of four publicly traded self-storage real estate investment trusts operating in the United States.