Join our community of smart investors

Tap into Lok'nStore's growing scale

The self-storage specialist is benefiting from a lack of self-storage supply in the UK
December 5, 2019

An undersupply of self-storage space and solid demand is driving rising store revenue and the net asset value of Lok’nStore’s (LOK) portfolio higher. The lack of capacity has meant rising prices and occupancy rates, prompting management to expand the portfolio via acquisitions, with a conservative loan-to-value ratio giving the group ample firepower to continue buying and opening new stores and drive further net asset value (NAV) growth. 

IC TIP: Buy at 642p
Tip style
Growth
Risk rating
Medium
Timescale
Long Term
Bull points

Rising occupancy

Low debt

Solidly rising NAV

Lack of UK self-storage capacity

Bear points

Risk of housing transaction downturn

Shares trade at premium to NAV

This is subscriber only content
Start your trial to keep reading
PRINT AND DIGITAL trial

Get 12 weeks for £12
  • Essential access to the website and app
  • Magazine delivered every week
  • Investment ideas, tools and analysis
Have an account? Sign in