Global Self Storage Inc., a self-storage real estate investment trust (REIT), has released its financial statement for the quarter that ended Sept. 30, 2016, as well as the first nine months of the year. During the third quarter, the company increased combined-store revenue 16.9 percent to $1.35 million, with net operating income (NOI) growing 12.5 percent to $826,000, compared to the same period in 2015. Net leasable space for its entire portfolio grew 34.4 percent to 652,813 square feet.
Same-store revenue increased 7.7 percent to $1.24 million, while NOI grew 3.8 percent to $762,000, compared to a year ago. Same-store average overall occupancy was 91.4 percent as of Sept. 30, up from 89.3 percent last year.
The third-quarter results echo the company’s performance through the first nine months of the year. Combined-store revenue increased 10.8 percent to $3.69 million, with NOI growing 10.3 percent to $2.19 million, compared to the same period a year ago. Same-store revenue increased 7.6 percent to $3.58 million, while NOI grew 7.1 percent to $2.12 million, compared to a year ago.
The REIT completed the acquisition of two self-storage facilities during the third quarter for $13 million. The properties are in Fishers, Ind., and Lima, Ohio.
On Sept. 1, the company declared a dividend of $0.065 per common share, which is equal to last quarter as well as year over year.
"Looking forward, we remain well-capitalized to execute our growth strategies, which include increasing the square footage of our existing stores as well as acquiring additional stores,” said Mark C. Winmill, president and CEO. “In fact, during the quarter we made significant progress on the 44,260-square-foot expansion at our Bolingbrook, Ill., store, and we expect to begin leasing those new units by year-end. Further, we have begun evaluating our Merrillville, Ind., store for expansion potential. 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."
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 nine properties in Illinois, Indiana, New York, Ohio, Pennsylvania and South Carolina. The company changed its name from Self Storage Group Inc. in January.