Self-Storage Management Firms Report 3Q 2014 Financial Results
2 days ago0 CommentsPosted in News, Self-Storage Operators, Self-Storage Operating Performance, Third-Party Management Services, Self-Storage Suppliers Print
Several self-storage management companies have released operating results for the third-quarter ending Sept. 30. All showed improvements in same-store revenue over the third quarter in 2013.
Absolute Storage Management (ASM) released its third-quarter 2014 operational results as well as year-to-date results through Sept. 30 for its 80 properties. Same-store revenue increased 8.6 percent for the third quarter and was 9.7 percent higher behind occupancy gains of 5.7 percent for the year-to-date. Concessions were 13.8 percent lower in 2014 compared to the previous year.
“Operating results remained solid across most of our markets. Concessions have been declining throughout the year, while asking rents are nearly 4 percent higher,” said Michael Haugh, president. “Year-over-year revenue growth, however, appears to be slowing. The growth rate is trending down as occupancies reach all-time highs.”
Storage Investment Management Inc. (SIMI) reported results for the 28 self-storage properties it manages. Collectively, the facilities averaged an increase in same-store sales of nearly 6 percent during the quarter compared to the same period in 2013. Net operating income (NOI) for the period increased by 11.1 percent over the third quarter in 2013. The company attributes the surge to rent increases and steady occupancy, according to a press release.
Same-store revenue increased 7.6 percent year over year for the properties managed by Southeast Management Co. The increase was 7.8 percent higher, along with occupancy gains of 2 percent, according to a press release. The company’s NOI also showed a year-over-year increase of 13.1 percent year-to-date.
Founded in 2002, ASM owns and manages self-storage facilities throughout the Southeast. The company is actively seeking to add additional properties to its portfolio through traditional third-party management relationships and joint-venture/acquisition opportunities. Headquartered in Memphis, Tenn., it has regional offices in Atlanta; Charlotte, N.C.; and Jackson, Miss.
Based in Virginia, Southeast Management has a regional office in North Carolina. The company manages and owns self-storage facilities in Florida, North and South Carolina, and Virginia.
Headquartered in New York, SIMI is led by principals Charlie Fritts, president, and David Inman, chief operating officer, who have a combined 75 years of self-storage industry experience. The company manages facilities in Connecticut, Maine, Massachusetts, New Jersey, New York, Pennsylvania and Rhode Island.