Commercial real estate developer Acucap Properties announced its intention to lead the fledgling self-storage property sector in South Africa. The company has entered a strategic joint venture with Faircape and SA Self Storage Investments (SASSI) to develop several self-storage sites. Faircape is a property investment, development and management firm that includes Stor-age Self Storage among its companies. SASSI is South Africa’s largest self-storage investment trust.
The three companies already have 12 operational self-storage facilities together, with seven additional sites acquired, under construction or in the planning stages. In all, the companies plan to have 23 operational sites worth approximately $118 million.
Acucap is also in discussions with other existing self-storage property owners about acquiring their facilities, company officials said.
Some real estate analysts applauded the joint-venture move, citing a high ceiling for the growth of self-storage in the region.
"There will be a point when the growth will be limited but not anytime soon. I see this as a very clever move on their part," said Maurice Shapiro, fund manager for Alternative Real Estate, a capital management firm.