Abacus buys five more self storage investments

Abacus is spending $160 million on five more self storage investments.

In metropolitan Sydney – the properties are managed by Storage King.

All up they contain 25,000 square metres of area.

The deal comes two months since the landlord paid $44.2m for storage centres at Kirrawee and Revesby, also in the New South Wales capital, and Windsor Gardens and Woodville North, in Adelaide.

It also acquired a 60 per cent stake in Broadbeach’s Oasis Shopping Centre for $103.5m – book value.

Last week Abacus confirmed it snapped up a third of Melbourne’s Myer store, in the Bourke Street Mall, following a $135.2m outlay.

The self storage properties

Three of the five self storage properties Abacus has just purchased – in Artarmon, Chatswood and St Leonards – are mature facilities (story continues below).

One, in Pymble, has just been completed.

The other is at Dee Why.

Settlement is expected next month.

“The assets are located within tightly held catchments, benefiting from significant self-storage demand from above average household incomes, large proportions of renters and continually increasing demand from apartment development,” Abacus managing director Steven Sewell said.

“The transaction also demonstrates the sustained acquisition pipeline generated from the Storage King platform,” according to the executive.

“This transaction aligns with our strong asset backed, annuity style business model where capital is directed towards assets in key sectors that provide potential for enhanced income growth and ultimately create value,” he added.

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Marc Pallisco

A former property analyst and print journalist, Marc is the publisher of realestatesource.com.au.