05/05/2021 - 12:00

KBH settles $84m deal

05/05/2021 - 12:00

Bookmark

Save articles for future reference.

Western Australia-based KBH Group has sold a portfolio of self-storage facilities to DBI storage for $84 million, as the business plans for east coast expansion.

The KeepSafe Storage facility in Welshpool, one of the five properties acquired by DBI Storage. Photo: KBH Group

Western Australia-based KBH Group has sold a portfolio of self-storage facilities to DBI storage for $84 million, as the business plans for east coast expansion.

Headquartered in O’Connor, KBH Group develops and operates self-storage facilities and marinas.

The group has recently settled the sale of its self-storage portfolio to DBI Storage, a business located in NSW.

The portfolio changing hands comprises four KeepSafe Storage (a division of KBH Group) properties located in Balcatta, O’Connor, Wangara and Welshpool, representing a collective net lettable area (NLA) of 25,962 square metres, as well as the Welshpool Self Storage facility (NLA of 6,918sqm).

As part of the DBI Storage deal, KBH has signed a five-year management agreement with DBI Storage for the five facilities, with the $84 million sum including purchase price and management fee income over that five-year period.

KBH Group said it now planned to deploy additional KeepSafe Storage facilities across Australia, whether under KBH Group ownership or managed by KBH on behalf of third-party owners.

The business also owns and operates the Pier 21 Marina in North Fremantle.

KBH Group stated it had consistently offered strong returns to its shareholders and investors; its property funds had delivered more than 40 per cent per annum internal rate of return during the past four years, the group said.

“We’re extremely proud of what we have been able to achieve in a relatively short period,” KBH Group managing director Shaun Bain said.  

“We have developed greenfield sites, acquired and improved existing sites and undertaken management of third-party sites.

“In each of those facilities, we were able to deliver an industry leading experience to our customers, and exceptional returns to our shareholders and investors, in what has been a difficult trading environment (pre-COVID).”

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

Subscription Options