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Commercial Property News
Big Yellow well positioned for a "patchy year" ahead
Self storage company Big Yellow Group Plc today posted a slight increase in Q3 revenue on the year, but said although the new year has started reasonably well, it still expects 2010 to be a "patchy year."
James Gibson, Chief Executive Officer, commented:
January has started reasonably well with modest occupancy growth and a significantly higher level of reservations than at the same time last year, in what is historically a slow trading month. Whilst current trading allows us to inch up our optimism we continue to believe that 2010 will remain a patchy year for most consumer facing businesses, including this one.
Nevertheless we have the market leading brand, a prime portfolio owned largely freehold, principally focussed on London and the South, and a strong balance sheet. This leaves us well positioned to benefit from any improvement in demand for self storage and we look forward to the seasonally more buoyant spring and summer trading period."
In Q3 to Dec. 31--which Gibson said was its "traditionally weakest trading quarter"--Big Yellow's revenue from its 51 wholly-owned stores was £14.3 million.
That figure was up from the £14.2 million posted the same time a year earlier, but down from the second quarter to Sept. 30.
The 51 stores reported an average net rent per square foot over the quarter of £26.79, up 2% on the second quarter.
In Big Yellow's nine partnership stores the average net rent per square foot over the quarter totaled £17.85.
The company, which opened a store in Reading in December, taking the total open to 60, said there were no further openings planned for this fiscal year. However, it said it has committed to the construction of three stores in fiscal 2011 in Eltham, High Wycombe and Camberley, and will consider building more stores in London.
James Gibson, Chief Executive Officer, commented:
January has started reasonably well with modest occupancy growth and a significantly higher level of reservations than at the same time last year, in what is historically a slow trading month. Whilst current trading allows us to inch up our optimism we continue to believe that 2010 will remain a patchy year for most consumer facing businesses, including this one.
Nevertheless we have the market leading brand, a prime portfolio owned largely freehold, principally focussed on London and the South, and a strong balance sheet. This leaves us well positioned to benefit from any improvement in demand for self storage and we look forward to the seasonally more buoyant spring and summer trading period."
In Q3 to Dec. 31--which Gibson said was its "traditionally weakest trading quarter"--Big Yellow's revenue from its 51 wholly-owned stores was £14.3 million.
That figure was up from the £14.2 million posted the same time a year earlier, but down from the second quarter to Sept. 30.
The 51 stores reported an average net rent per square foot over the quarter of £26.79, up 2% on the second quarter.
In Big Yellow's nine partnership stores the average net rent per square foot over the quarter totaled £17.85.
The company, which opened a store in Reading in December, taking the total open to 60, said there were no further openings planned for this fiscal year. However, it said it has committed to the construction of three stores in fiscal 2011 in Eltham, High Wycombe and Camberley, and will consider building more stores in London.
Thu, 14th Jan 2010