CubeSmart of Malvern, one of the largest self-storage facility owners/operators in the U.S., reported growth in facilities and net operating income during the first quarter of 2014.

“Our strong performance to start the year was driven by our property portfolio and operating platform maximizing the continued positive trends in self-storage fundamentals and lack of new supply in our markets,” said Christopher P. Marr, president and chief executive officer. “We are pleased with our position entering the busy rental season and confident in continuing to deliver on our internal and external growth expectations.”

The company acquired 10 assets for $103.3 million – three in Florida, two in Maryland and one each in Arizona, California, Connecticut, Pennsylvania and Texas. CubeSmart also opened two new properties at a cost of approximately $41.6 million during the first quarter. One is a mixed-use facility in Malvern with rentable self-storage space and corporate office space.

The company also has a third-party management program with 161 facilities totaling 9.8 million square feet. During the quarter, the company added three new management contracts. CubeSmart reported an increase in 345 facilities; 7 percent revenue growth, and a 3.2 increase in operating expenses. Funds from operations were $.025 per share, a year-over-year increase of 25 percent.

The company’s portfolio on March 31 represented 346 facilities containing approximately 23.2 million rentable square feet and included approximately 91 percent of the aggregate rentable square feet. These same-store facilities represented approximately 91.1 percent of property net operating income for the quarter.

During the quarter, CubeSmart sold 2.7 million common shares of beneficial interest through its “at-the-market” equity program, resulting in net proceeds of $46.2 million. On March 31, the company had 3.7 million shares available for issuance under the existing equity distribution agreements. CubeSmart also obtained a $100 million loan, and paid a quarterly dividend. The full financial report is on the firm’s web site, www.cubesmart.com.

Links: www.cubesmart.com