Stor-Age, South Africa’s only specialist self-storage REIT on the JSE, reported strong earnings growth for the year ending March 31, 2024, expanding its portfolio by incorporating an additional 12 properties during this period.

Property revenue climbed 14.7% to R1.228 billion, however, headline earnings per share slipped 15.4% to 89.15 cents per share for the period.

Highlights:

Stor-Age CEO Gavin Lucas, said: “We are pleased with our robust performance in FY24, driven by gains in occupancy, rental rates and strategic expansions. While SA demonstrated exceptional

growth, the UK performance was steady and resilient, after three incredibly strong years.”

The company has continued its focus on driving an increase in both rental income and occupancy across the portfolio.

Total occupancy across both markets increased by 10 700m2 during the year, while rental income grew by 14.8%.

In South Africa, building on the strong performance in FY23, same-store rental income increased by 12.7% year-on-year and occupancy in the portfolio grew by 8 700m2 compared to the prior year.

Stor-Age made excellent strategic progress opening or acquiring 12 trading properties (SA 4; UK 8),

adding 72 500m2 GLA on full fit-out.

In South Africa this includes properties in Bryanston and Morningside in Johannesburg, and in Paarden Eiland and Pinelands in Cape Town.

In the UK, the company concluded the acquisition of the four-store Easistore portfolio in the southeast of England, and completed the developments of properties in Bath, Heathrow, West Bromwich and Canterbury.

Stor-Age further expanded its solar PV roll-out strategy across the South African and UK portfolios.

To date, the company has invested R63.5 million into renewable energy, generating over 6.0 million kWh of solar power.

Currently, 58% of the portfolio has solar capacity, helping it achieve a 19% reduction in its total scope 1, 2 and 3 carbon footprint during the year.

Stor-Age forecasts its distributable income per share to be approximately 122 to 126 cents for FY25.

Since Stor-Age listed on the JSE in 2015, the property portfolio has grown from 24 properties to 1031, and the value of the portfolio, including properties managed in JV partnerships, has increased from R1.3 billion to R17.3 billion2.

Shares in the group are up a modest 4.5% over the past year, to around R13.50.