Global Self Storage Inc., a self-storage real estate investment trust (REIT), has released its financial statement for the quarter and full year that ended on Dec. 31, 2016. During the fourth quarter, the company increased combined-store revenue 40.1 percent to $1.56 million, with net operating income (NOI) growing 36.2 percent to $904,000, compared to the same period in 2015. Net leasable space for its entire portfolio grew 55.3 percent to 754,000 square feet.
Same-store revenue increased 10.7 percent to $1.23 million, while NOI grew 9.9 percent to $729,000, compared to the same period in 2015. Same-store average overall occupancy was 84.9 percent as of Dec. 31, down from 87.9 percent the previous year. The decrease was attributed to a 44,260-square-foot expansion to the company’s Bolingbrook, Ill., property during the year.
The fourth-quarter results generally outpaced the company’s performance through the full fiscal year. Combined-store revenue increased 18.2 percent to $5.25 million, with NOI growing 16.8 percent to $3.09 million, compared to all of 2015. Same-store revenue increased 8.4 percent to $4.81 million, while NOI grew 7.8 percent to $2.85 million, compared to the previous year.
The REIT completed the acquisition of two self-storage facilities during the fourth quarter for $7.8 million. The properties are in Clinton, Conn., and Millbrook, N.Y.
On Dec. 1, the company declared a quarterly dividend of $0.065 per common share, which is equal to last quarter. For the full year, the company paid dividends of 26 cents per common share, which is consistent with the previous fiscal year.
“Our store revenue and net-operating-income growth reflect the execution of our business strategy, which focuses on providing a best-in-class customer experience, while striving to attract high-quality tenants,” said Mark C. Winmill, president and CEO. “On the acquisition front, opportunities remain in secondary and tertiary cities in our target markets, where we believe new development activity will be muted compared to the primary markets and urban centers. Altogether we are pleased with our progress and believe we are well-positioned within the market for future growth and opportunities.”
Founded in 1983, Global Self Storage focuses on the acquisition, development, operation, ownership and redevelopment of storage facilities in the United States. Through its wholly owned subsidiaries, it currently owns and operates 11 properties in Connecticut, Illinois, Indiana, New York, Ohio, Pennsylvania and South Carolina. Its portfolio comprises 754,000 rentable square feet. The company changed its name from Self Storage Group Inc. in January 2016.