Safestore locks down new JV and London site

FTSE 250 self-storage firm Safestore (LON:SAFE) has seen its share price climb by 2.79% to 639.36p (as of 13:35 BST) after it formed a new joint venture with the Carlyle European Real Estate Fund. Safestore will hold a 20% stake in the new business which is being set up to acquire six prime storage locations in the Netherlands. The company has also announced the purchase of a new site near Heathrow Airport that will be immediately earnings enhancing.

CEO Frederic Vecchioli said: “Since 2016, Safestore has successfully invested or committed c. £180m in 38 stores, acquisitions and new developments in its core markets of the UK and Paris which are delivering consistent strong returns. We expect to continue to develop and acquire in these markets.

“The Group has developed a multi-country highly scalable platform with a leading marketing and operational expertise in self-storage. The acquisition of M3 represents an excellent platform for entry into the attractive Dutch self storage market and we expect that our JV with Carlyle will enable us to target additional selected development and acquisition opportunities.

“We look forward to working with Carlyle, and to developing a long and mutually beneficial relationship.

“I am also delighted with the acquisition of our new Heathrow store which consolidates our position as the leading self-storage operator inside London’s M25“.