Stor-Age (SSS) is the JSE's only real estate investment trust (REIT) specializing in buying and running domestic storage facilities in all major South African cities and in the UK. Its business is split about 60% in South Africa and 40% in the UK, with expectations that its UK business will eventually exceed the South African operations. The company owns 103 properties worth R17.3 billion.
The business of Stor-Age tends to do well in both recession and boom periods of the economy. The average client keeps their storage unit for 2 years. The client base is widely diversified and very stable from a statistical point of view. The company's foray into the UK demonstrates its ability to find appropriate properties and add them to its portfolio, also giving the share a rand-hedge element.
In its results for the year to 31st March 2024, the company reported rental income up 14.8% and a loan-to-value (LTV) of 31.4%. The company said, "Excellent strategic progress made in our JV structures during the year having opened or acquired 12 properties, representing 72,500m² GLA (SA 4; UK 8) - Third-party management agreement entered into with Hines (one of the largest privately held real estate investors and managers globally) post year-end to manage their recently acquired three-property self-storage portfolio in Kent, taking the total number of managed properties to 23 (SA 6; UK 17)."
We believe that this is one of the best property investments available on the JSE. It offers steady growth and minimal risk. Technically, the share was rising steadily until April 2022, then it began a downward trend which ended in October 2023. Now moving up again, this share represents a potential buying opportunity in our opinion. On 13th May 2024, the company announced that it had entered into a third-party agreement with Hines to manage their self-storage business in the UK.
The business of Stor-Age tends to do well in both recession and boom periods of the economy. The average client keeps their storage unit for 2 years. The client base is widely diversified and very stable from a statistical point of view. The company's foray into the UK demonstrates its ability to find appropriate properties and add them to its portfolio, also giving the share a rand-hedge element.
In its results for the year to 31st March 2024, the company reported rental income up 14.8% and a loan-to-value (LTV) of 31.4%. The company said, "Excellent strategic progress made in our JV structures during the year having opened or acquired 12 properties, representing 72,500m² GLA (SA 4; UK 8) - Third-party management agreement entered into with Hines (one of the largest privately held real estate investors and managers globally) post year-end to manage their recently acquired three-property self-storage portfolio in Kent, taking the total number of managed properties to 23 (SA 6; UK 17)."
We believe that this is one of the best property investments available on the JSE. It offers steady growth and minimal risk. Technically, the share was rising steadily until April 2022, then it began a downward trend which ended in October 2023. Now moving up again, this share represents a potential buying opportunity in our opinion. On 13th May 2024, the company announced that it had entered into a third-party agreement with Hines to manage their self-storage business in the UK.
Feragatname
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Feragatname
Bilgiler ve yayınlar, TradingView tarafından sağlanan veya onaylanan finansal, yatırım, işlem veya diğer türden tavsiye veya tavsiyeler anlamına gelmez ve teşkil etmez. Kullanım Şartları'nda daha fazlasını okuyun.