Students Need Space: Self-Storage in College Towns

There are plenty of long-term investment opportunities in real estate, but investing in self-storage opportunities remains one of the more lucrative prospects — especially in college towns. 

Among many suitable markets, college towns stand out as a golden opportunity for owners and investors. Coupled with seasonal trends, the continued demand from the local populace and students makes these locations especially attractive. 

Also, colleges provide a steady influx of new clients each year, making self-storage a viable long-term investment opportunity. This article will explore why college rentals offer a great chance to self-storage investors. 

Self-Storage Opportunities: Advantages of College Towns

If you’re considering investing in self-storage, college towns are the optimal choice for a few reasons.

Students, professors, and locals always need additional storage space. Many students don’t have enough storage in their rented homes or on campus, especially for seasonal clothing, decorations, and other things they don’t need throughout the year. 

Plus, the educational landscape of the United States is geographically dispersed. If you want to invest in self-storage opportunities in college towns, you’ll find over 5,000 universities and colleges nationwide. 

One of the main reasons this area is fertile ground for self-storage investments is that most students go home for the summer break. However, many don’t want to bring all of their belongings back home, so they look for self-storage during the summer. Since there are always new students, each year brings a steady stream of dependable demand. 

Thriving Economies

While student seasonal movements are crucial, they’re far from the only factor generating perpetual demand for self-storage in college towns. Most college towns also excel in employment and local purchasing power. 

Universities and colleges are dependable employers but far from the only ones in their areas. The existence of a college generates an entire microeconomy of nearby services and products for students. Plus, depending on the specifics of each college, other industries may naturally congregate around it. Great hospitals are often found near high-end medical schools, and tech startups are usually based near engineering colleges.

This variety of available high-paying positions results in a local population with plenty of purchasing power and disposable income. For self-storage investments, this is a positive sign for two reasons.

First, locals have enough money to rent self-storage units without issue. Perhaps more importantly, a strong local economy means more consumption overall. People buy more things on average, increasing the local demand for additional storage. 

Since strong local economies are important for self-storage businesses, it’s great that universities are great economic drivers. Besides county seats and state capitals, they’re some of the most potent economic drivers for their surrounding area. 

Strong Real Estate Markets

College towns are also great for self-storage opportunities because they predict a strong real estate market. 

More people are attending college than ever, which means consistent (and rising) demand for housing in the nearby area. As a result, real estate prices are generally high in college towns — especially if the supply is low and there isn’t a lot of new housing.

Real estate investors routinely invest in rental properties in college towns, which is logical considering the consistent demand. However, this also raises property prices in the town. 

All this results in expensive real estate in the area. And while this can be problematic for students, it’s great for self-storage investors. With higher property prices, there’s a lower chance you’ll encounter too much competition. Fewer people can afford to construct storage facilities. 

On the other hand, expensive real estate also encourages homeowners and renters to maximize the use of every square foot. You can’t afford to waste space when you can’t afford a huge home. That also drives up the demand for self-storage in the area. 

How Much Do Students Use Self-Storage In Practice? 

All of this information makes sense from the perspective of economic theory, but how much do students use self-storage in practice?

Self-storage services are quite widespread among students in the United States. According to NSA Storage research, more than 55% are renting self-storage or have done so, which confirms the microeconomic logic we laid out above. 

Interestingly, most college students who use self-storage attend school in-state, even though their parents’ homes are usually within driving distance of their colleges. 

It also seems that the practice is particularly common among West Coast students, as over 25% of all students who use self-storage are from that area. However, most users also opt for self-storage only for a short while—usually during a school break. In almost 50% of cases, students rent storage for less than three months. 

From a marketing perspective, it’s important to note that parents are essential market stakeholders — in over 50% of the cases, they’re the ones paying for the storage. Also, pricing is the #1 deciding factor when students opt for a specific storage solution. 

Besides affordability, over 60% of students who use self-storage appreciate safety and cleanliness — like most other self-storage renters. 

Wrapping Up 

College towns have plenty of self-storage opportunities, mostly due to seasonal cycles and continued demand, which makes students a loyal user base. Professors and other locals also provide a stable revenue stream to self-storage owners. 

When choosing the right location for an investment, research the local competition and the proximity to relevant student populations. You should also consider other factors, such as the initial investment costs, maintenance expenses, and local regulations. 

Regarding marketing, consider advertising on social media—especially TikTok and Instagram—and using creative video content. You can also attract new customers with student-specific discounts. 

Student populations are a potential gold mine for self-storage investors — if you price your storage properly, market it professionally, and choose the right location. 

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Liam Williams is a seasoned moving consultant at Beltway Movers DMV, a trusted company specializing in residential and commercial relocations, storage solutions, and professional packing services. With extensive experience in the moving and storage industry, Liam offers expert advice on optimizing storage strategies and protecting valuable belongings. Passionate about helping clients streamline transitions, he stays current with the latest self-storage and logistics trends.