Lok'nStore signs management contract for Hertfordshire, Kent stores

Self-storage company Lok’n Store signed management contracts to develop and operate two new stores in Hertfordshire and Kent to continue its expansion strategy.

Building work is to start immediately, funded by the owners of the sites and should open in 2017.

The company secured planning permission for the site in Hemel Hempstead, Hertfordshire, which was bought by an international fund management outfit. The site in Broadstairs, Kent was an existing site.

The two managed stores were set to increase the company's trading portfolio by 5% adding around 70,000 square. foot to the total managed or owned by the company, which operated 30 storage centres in total.

Lok'nStore would aim to generate a return on these stores by charging management fees for the acquisition, branding and operation of the stores based on revenue and profits.

Chief executive Andrew Jacobs, said: "We are excited to have signed management agreements on these two excellent new locations adding to the recent rapid growth in our portfolio of storage centres.

“Trading at our recently opened stores has been encouraging and our strong balance sheet and flexible new banking facility give us confidence that Lok'nStore can deliver growing dividends for its investors from an increasing number of stores”.

Shares in Lok’n Store were up 1.58% to 318.45p at 1300 BST.