U.K. self-storage operator Big Yellow Group PLC released financial results for the first quarter of its 2020 fiscal year, which ended June 30. The company reported same-store revenue of £30.9 million, up 4.4 percent year over year. Total revenue for the quarter was £31.1 million, a 3.7 percent increase from last year. Average occupancy across its portfolio closed at 84 percent compared to 83.4 percent a year ago, while same-store occupancy was 85.1 percent, up from 83.3 percent.
“The like-for-like growth in revenue this quarter of 4.4 percent was affected by the more muted occupancy performance in the final quarter of last year, given the heightened uncertainty in the run-up to March 29, the U.K.’s original proposed exit date from the [European Union],” said James Gibson, CEO. “We remain focused on our core objective of 90 percent like-for-like occupancy across the portfolio.”
During the period, Big Yellow razed an existing 34,000-square-foot self-storage facility in the Battersea area of West London in preparation for building a 75,000-square-foot facility at the same site. The new store is expected to open next summer. The company also has a 77,000-square-foot project underway in the Camberwell area of London and is set to commence development of a 57,000-square-foot facility in Bracknell, England. Those projects are expected to be complete next spring and summer, respectively.
“We are continuing our expansion strategy and are pleased to have acquired an excellent development site in Harrow, Northwest London,” Gibson said. “This acquisition takes the pipeline to 13 potential Big Yellow stores, approximately 900,000 square feet, of which three have planning consents and are either currently under construction or will shortly be so.”
Big Yellow Group operates 99 self-storage locations in the United Kingdom under the Big Yellow Self Storage and Armadillo Self Storage brand names, with most concentrated in Greater London and Southeast England. Its total portfolio comprises 5.7 million square feet.
Big Yellow, Trading Statement