SINGAPORE: CapitaLand Investment Limited (CLI) has revealed a major expansion for its self-storage platform, Extra Space Asia (ESA), announcing a strategic partnership with Ambitious, a leading indoor self-storage manager in Japan.
According to the Singapore Business Review, this collaboration will significantly enhance ESA’s footprint in the Japanese market, particularly in Osaka and Tokyo, two of the largest self-storage hubs in the country.
ESA acquires self-storage facilities in Osaka and Tokyo
As part of the partnership, ESA has successfully acquired four self-storage facilities in Osaka from Ambitious, with plans to expand further by adding two additional facilities in Tokyo by early 2025.
This acquisition boosts ESA’s portfolio in Japan to 14 self-storage assets, covering over 60,000 square feet of gross floor area.
Ambitious operates under the “Syuno-Pit” brand, managing 681 self-storage facilities across 126 cities and districts in Japan, making it a dominant player in the local market.
The partnership will allow ESA to tap into Ambitious’ extensive expertise in sourcing, developing, and managing self-storage assets, strengthening its position in Japan’s most lucrative self-storage markets.
Demand for self-storage soars
The move comes at a time when demand for self-storage is on the rise in Japan. Factors such as increasing affluence, more flexible work arrangements, and shifting consumption patterns have fueled a growing need for storage solutions.
ESA’s existing portfolio in Japan enjoys strong demand, with facilities operating at an impressive average occupancy rate of 92%.
Through this strategic collaboration, ESA can accelerate its expansion in Japan, leveraging Ambitious’ deep local knowledge and its established presence in key cities like Osaka and Tokyo.
A dual partnership strategy for growth
This partnership with Ambitious marks ESA’s second collaboration in Japan. It complements the platform’s existing partnership with Keiyo Logistics, which operates the “privatebox by Extra Space” brand.
By leveraging these two strategic alliances, ESA aims to further strengthen its position in the Japanese self-storage market.
Looking ahead, ESA is targeting significant growth, with plans to expand its portfolio to exceed $107 million (JPY 12 billion) soon.
Patricia Goh, CEO of Southeast Asia Investment at CLI, expressed confidence in the partnership’s potential, stating:
“Leveraging CLI’s strong global network of customers and our strategic partners’ deep local expertise, we will continue to scale ESA’s portfolio and advance towards becoming a dominant self-storage player in Japan.”
With these ambitious goals, ESA is well-positioned to become a key player in Japan’s rapidly evolving self-storage sector.
