Amherst, N.Y.-based real estate investment trust Sovran Self Storage Inc., which operates the Uncle Bob’s Self Storage brand, will pay its shareholders a quarterly dividend of $0.68 per share of common stock for the fourth quarter of 2013, which ended Dec. 31. The amount is a 28 percent increase from the third quarter and will be paid on Jan. 27 to shareholders of record on Jan. 16.
Sovran’s annualized dividend is $2.72 per share, up from $2.12 per share. This is the company’s third quarterly dividend raise in the past 12 months, equating to a total increase of more than 50 percent to shareholders, company officials said in a press release.
“Based on our strong operating results over the past two years, our optimistic outlook and the company’s solid financial position, we are pleased to share the success with our fellow shareholders,” said David Rogers, CEO. “We do this while remaining confident in our ability to continually grow and invest in our technology platforms, our properties and our people.”
Sovran issued its quarterly earnings for the third quarter of 2013 on Nov. 5. A conference call was held on Nov. 6 to review the company’s financial performance.
During the third quarter, total revenue increased 14.9 percent year over year, while operating costs increased 13.9 percent, resulting in a net operating income (NOI) increase of 15.4 percent.
Same-store revenue during the third quarter increased 7.3 percent year over year due to an increase in average occupancy of 250 basis points (90.9 percent), increased rental rates and growth in insurance commissions. Average overall occupancy was 89.9 percent, with units renting for an average of $11.21 per square foot. Facilities showing the strongest revenue gain were in Florida, New York, North Carolina and Texas, officials said.
Sovran acquired three self-storage properties during the third quarter for $27.9 million. The assets are in markets where the company already has a presence, with two facilities in New York and one in Colorado.
Sovran operates more than 470 self-storage facilities in 25 states.