Shurgard Self Storage Europe SARL, the European affiliate of U.S.-based real estate investment trust Public Storage Inc., has released financial results for the first quarter that ended March 31. In general, the company showed gains in key areas, particularly in operating revenue and net operating income (NOI), according to a press release.
Highlights include an operating-revenue growth at constant exchange rate (CER) of 6.1 percent for the quarter. Same-store revenue grew 1.2 percent using CER, which was in line with company expectations. All stores’ NOI margin increased by 1.5 percentage points to 56.2 percent for the quarter, while same-store NOI grew 1.3 percent to 56.4 percent. Adjusted earnings on the European Public Real Estate Association (EPRA) Index are in line with company expectations at €22.3 million for the first three months of the year.
“After our successful last year, the first-quarter performance is in line with our expectations,” said CEO Marc Oursin. “Our revenue growth is positively impacted by the increased number of properties in our non-same-store pool. We have added one store in our development pipeline in Paris. Our balance sheet and financing allow Shurgard to seize multiple opportunities and to strengthen our organic development.”
Among the seven European markets in which Shurgard operates, the company’s U.K. same-store portfolio posted the largest year-over-year revenue gain at 7.2 percent. Germany was second at 2.9 percent. Same-store locations in Sweden performed the weakest, with revenue falling 5.1 percent compared to the same period a year ago.
Shurgard operates 231 self-storage facilities comprising 1.2 million net rentable square meters in Belgium, Denmark, France, Germany, The Netherlands, Sweden and the United Kingdom. Its network serves 150,000 customers and employs more than 700 people. Shurgard is listed on Euronext Brussels under the symbol “Shur.”
Based in Glendale, Calif., Public Storage has interests in 2,429 self-storage facilities in 38 states, with approximately 162 million net rentable square feet. Operating under the Shurgard brand name, the company also has 232 facilities in seven European countries, with approximately 13 million net rentable square feet.