Shurgard-owned self-storage firm Lok'nStore slumps to loss after £378m takeover

UK self-storage firm Lok'nStore has reported a loss in the year it was taken private in a deal worth approximately £378m.

The Surrey-based company, which was acquired by Belgium's Shurgard in April 2024, had been listed on the London Stock Exchange's AIM since 2000, as reported by City AM.

According to newly filed accounts with Companies House, the business recorded a pre-tax loss of £7.3m for the 12 months to 31 July, 2024, compared to a previous pre-tax profit of £6.7m.

Despite this, Lok'nStore's revenue increased from £27.1m to £28m over the year.

The company attributed the rise in staff costs to the opening of new sites and offset this by awarding lower performance bonuses to its store employees.

Lok'nStore also noted that its overhead costs rose by nearly 20 per cent due to a "combination of factors" including audit fees and bank charges.

Additionally, the firm's capital expenditure for the year increased from £17.3m to £22.1m.

Despite these challenges, Lok'nStore remains optimistic about its future prospects.

A statement signed off by the board read: "Lok'nStore Group operates within the UK self-storage industry which is a sector with strong growth prospects and this market presents an excellent opportunity for further growth of Lok'nStore's business."

It added: "Recently opened landmark stores and our ambitious new store pipeline demonstrate the group's ability to use those strengths to exploit the opportunities available through the economic cycle.

"Our high margins, strong balance sheet and flexible business model enables Lok'nStore to confidently look through the current external market turbulence."

In an April 2024 statement, Lok'nStore alongside Shurgard announced that their acquisition agreement would allow the purchaser to expand its presence in the South East and Manchester, described as "the two most attractive target markets outside of London".