Safestore JV buys Italy’s EasyBox for €175m
Safestore Holdings
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12:40 24/12/24
Self-storage group Safestore said on Tuesday that it has entered into a 50/50 joint venture with Nuveen Real Estate to acquire Easybox, Italy's second largest self-storage operator by number of stores, for €175m.
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Safestore will make an initial investment of around €45m for its share in the JV, which has also been funded by joint venture level debt.
The investment is estimated to have a negative earnings per share impact of 0.3p in FY25 and to be accretive to EPS in FY27 as the newly developed stores mature.
The joint venture will acquire Easybox's 10 stores, which have "strong" trading track records, and two turn-key developments.
The stores are located across Italy's main economic centres, including six stores in Milan, two in each of Turin and Rome and one store in each of Genoa and Florence.
Safestore said the existing storage facilities are modern and fitted out to high specifications with the two turn-key developments expected to be delivered in the first half of next year. The business will be managed by Safestore.
Chief executive Frederic Vecchioli said: "The acquisition of Easybox provides us and our joint venture partner Nuveen a foothold in one of Europe's most under-penetrated self-storage markets.
"The high quality Easybox portfolio will enable us to leverage our management expertise and delivers on our strategic aims to expand our portfolio into attractive new geographies. In line with our investment criteria, it is projected to generate 10% cash-on-cash returns on stabilisation."