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Storage

Big Yellow Interim Management Statement

12th January 2016

Interim Management Statement
 
The Board of Big Yellow Group PLC, the UK's brand leader in self storage, is pleased to provide the following update on trading for the third quarter ended 31 December 2015.
  
In what is always a seasonally weaker quarter for the Group, the 70 stores fell in occupancy by 138,000 sq ft (3.1% of MLA) compared to a loss of 128,000 sq ft (3.0% of MLA) in the same quarter last year (the prior year figure excludes a one-off short term 25,000 sq ft national account customer that moved in during November 2014).
 
The number of move-ins was down 1% on the quarter to 31 December 2014.  
 
Armadillo Self Storage:
 
Occupancy in the Armadillo 1 and Armadillo 2 portfolios decreased over the quarter by 24,000 sq ft to 462,000 sq ft of the total MLA of 673,000 sq ft, representing occupancy of 68.6%. 

The revenue from the two portfolios for the quarter to 31 December 2015 increased by 5% to £2.3 million compared to the revenue achieved by these portfolios in the same quarter last year. 

Store Update:

Our new 55,000 sq ft store in Cambridge is scheduled to open next week on Monday 18 January. The opening is on time and within the original budget.

We have acquired the adjoining parcel of land to our development site at Camberwell for £1 million, bringing the total site area to approximately one acre.  Given the quality of the location, we will now look to develop a larger 65,000 to 70,000 sq ft store.

James Gibson, Chief Executive Officer, commented:
 
"The seasonal occupancy performance is in line with last year and we are also pleased to have delivered net rent per sq ft growth of 1.6% over the quarter with year-on-year net achieved rental growth of 3.6%.
 
Furthermore on a like-for-like basis over the quarter, year on year revenue growth of 10% is slightly ahead of the first half of the year, and our earnings guidance for the full year remains in line with current consensus.
 
Whilst it is early in the quarter, we have had a positive start to January with an improving book of reservations and look forward to delivering occupancy growth over this quarter and continuing into our seasonally stronger spring and summer trading period."