Singapore's self-storage industry is facing a space crunch as demand from e-commerce businesses and individuals continues to grow, pushing operators to almost full capacity.

While recent efforts to increase land supply have provided some relief, rising costs are now posing a significant challenge to expansion plans for industry players.

One of the operators, Storefriendly, has nearly reached maximum capacity at its Paya Lebar premises, with seven locations across the island.

The company offers flexible storage unit rentals starting from one month, which is attractive to small e-commerce businesses in need of short-term warehousing solutions.

Despite these offerings, operators are finding it difficult to meet the increasing demand.

Storefriendly's CEO, Jes Johansen, mentioned that the firm aims to stay ahead of full occupancy to ensure availability of storage unit sizes and products for other consumers.