Self StorageINVESTMENTOpportunity

“The UK’s self storage companies have seen the highest growth and highest yielding returns within the commercial property sector over the last decade”

Hanwood Holdings Ltd in association with Store First Ltd is proud to offer the first affordable self-storage commercial property investment to be released into the UK.

You will receive guaranteed returns upon completion, making this a high yielding, hassle-free investment which has been specifically designed to meet the needs of the today’s astute investor.

Welcome to a new self-storage concept, with guaranteed income and what is fast becoming an investment revolution…. The Storepod.

A Storepod is an individual, high security storage unit set in a Store First Self Storage Centre. This is the easiest way to allow both individuals and businesses to manage belongings, equipment, furniture, stock and any other storable items in a secure and safe storage facility with 24-hour access 7-days a week.

Storepods come in a variety of sizes and have all the facilities and support provided by Store First’s management team at very competitive rental rates.

Store First Ltd is producing new self-storage facilities across the United Kingdom. We use the same successful blueprint as many other large PLC self-storage companies around the country but with an improved business model and an aggressive profit driven marketing strategy.

Investment Highlights

● A unique investment opportunity in what is currently one of the strongest sectors within the UK’s commercial property market.

● The UK’s self-storage companies have seen the highest growth and highest yielding returns within the commercial property sector over the last decade.

● Self-Invested Personal Pension (SIPP) approved commercial property investment. ● Investors receive a discount of 25% off current RICS commercial property valuations. ● No VAT on purchase price or rental income unless your income from the rentals exceeds

£77,000 pa. ● UK property single ownership title deed registered in your name and the UK’s Land Registry. ● Store First has brought very high fit-out specifications to its state of the art storage facilities and

continues to improve upon them. ● Low entry level investment from only £3,750 with our typical investment amount now exceeding

£60,000 per client. Maximum investment level £1,000,000. ● Proven resale strategy with a 25% projected profit on initial investment. You may ask Store

First Ltd to sell your storage room on your behalf at any time (subject to a 5% resale fee). ● Developer buy back option within year 5 of property ownership. ● The investment produces an excellent return of 8% (guaranteed for the first 2 years) rising to

over 12% in years 5 and 6. The lease contains upwards-only rental reviews and break clauses for both parties every two years.

● The best located Self Storage sites with high visibility to traffic flow on main roads or motorways throughout the UK.

● A hands-off, hassle-free investment fully managed and maintained on your behalf by Store First Management Ltd.

● Guaranteed exit route option.

● For people on the move who have sold their home and the moving dates haven’t quite matched up or are de-cluttering to show their home in the best possible light to potential buyers

● For companies who need more archiving or have too much stock to hold or maybe just need an office clear-out

Either way, Store First can help to make a move go as smoothly as possible with one of our self-storage facilities.

As soon as they sign up, customers can use their space immediately.

They can store by the week, month, year or longer and we only ask for seven days’ notice when they want to leave.

We have self-storage spaces from 10sq.ft to 500sq.ft or more, and we give customers the flexibility to move without penalty – they only pay for the space they need.

The have access to their belongings 24 hours a day, seven days a week at Store First including the generous reception opening hours of 8.30am to 5tpm Monday to Friday and 10am to 4pm Saturdays and Sundays.

Not only do we have 24 hour digital CCTV, but every Store First Centre has its own alarm. We also have coded electronic gates, perimeter security fencing, smoke detectors and fire alarms to protect customers’ belongings.

Our corridors are wide, well lit and there’s a large loading bay. We provide pallet trucks and large trolleys to move their equipment – and they can even hire a fork lift.We offer an extensive range of packing materials including boxes, tape and bubble wrap that we can send out to customers’ homes. We can also help to arrange van hire online or when they call into their nearest Store First location.

For total peace of mind, all our customers must insure their goods through Store First’s Open Cover Policy. Our policy is specifically designed for self-storage, so customers can be sure that their possessions are fully protected. They’ll simply pay a price for cover based on the replacement value of what they’re storing with us.

Ample customer parking is free at all of our Store First Centres and our staff on-site are always friendly and always happy to help.

What service does a Store First Centre offer its customers?

In the USA, and to a certain degree in the UK, experience illustrates the potential of the Self-

Storage Market. The USA self-storage market has been established for far longer than any of the

European markets including the UK. The industry has grown steadily for more than 30 years and

is now worth an estimated $15bn per annum. The US self-storage association has around 30,000

members centres registered with over 1.5 billion sq.ft of lettable space. It is estimated that there

are a further 6,000-8,000 centres not registered with the association, and despite the maturity of

the market, the US market continues to grow by 10-15% per annum (based on net lettable space).

Similarly the UK market is estimated to have grown at a rate of 10-15% per annum over the

last decade and the increasing interest in the sector is a reflection of the belief that growth will

continue to accelerate. There are approximately 500 self storage facilities operational in the UK.

As impressive as that may sound, it represents about the same number of self-storage facilities

as exist in San Diego County, California. Compare that to the total population of San Diego which

is 2.75 million, the UK with a population of 60 million the under development of UK self-storage is

evident. Additionally, the UK self-storage market is very concentrated: indeed, out of 300 facilities

registered with the UK self-storage association, nearly 75% are located in the South East of

England. Greater London itself accounts for 200 centres and operators are still developing within

the M25.

The Self-Storage Market– what the experts say

Now that enough outlets have been opened

to prove that the concept works in the UK, the

industry has entered a new phase of rapid

growth, and all the main players are working

hard to take advantage of the returns available.

It is likely that the second period of growth

which is marked by the ability to open outlets

that have a strong competitive position in their

location, will last for 5-10 years. Thereafter it is

expected that the industry will enter the third,

mature phase, with an outlet in most towns, and

with competition between outlets located in the

same catchment area.

Demographic projections and factual self-

storage information provide us with a clear

image of the magnitude self-storage is likely to

reach, even making a conservative assumption

that the UK market will never exceed 25% of

the present USA self-storage supply. There is

currently 5sq.ft of self-storage space for every

man, woman and child in the USA and only

0.21sq.ft currently in the UK. That equates to

just 8,700 people in America for every self-

storage facility, compared to one storage

facility for every 147,500 people in the UK. The

penetration of the self-storage in the USA is

23 times that in the UK on a space per head of

population basis, and 17 times on a number of

facilities per head of population basis. On this

evidence the UK could support 6,800 storage

centres. Continuing with our penetration rate of

25% of that of the US the current UK population

could support 1,700 self storage

facilities or around 4.5 times

the current number.

The Self-Storage Market– what the experts say

There are varying reasons why the self-storage market is predicted to grow a

leading property management company in London gives the following reasons:

● Social factors, including a high divorce rate and an aging population, are resulting in demand

for single occupancy housing units, which are usually smaller than family homes.

● Rapid rise of the small business community demanding flexible storage accommodation.

● Increasing population mobility.

● Increased public awareness of self-storage as a service.

● There is currently low awareness as low as 10%.

● Significant pressure on housing stock in the south of England, as a result of central

government initiatives, town planning and fiscal policy encouraging housing development on

Brownfield sites.

● A shift predominantly in cities and towns, towards high density housing developments with

consequential pressure on storage space.

● An increasingly affluent and acquisitive society with the result that self-storage will be seen as

a necessity.

Why is this sector predicted to grow?

Demand for self-storage in the UK remains

robust. The market is considerably less mature

than in the USA and remains highly fragmented.

There have been a number of high profile

entrants recently. However, the rate of growth

in the industry will more than accommodate

the increase in capacity. Indeed it can be

argued that it is actually good for the long term

health of the market. Greater public awareness

of flexible self-storage will stimulate further

demand. Recently there has been considerable

media interest in the financial activity in the

self-storage market. A number of corporate

reorganisations and mergers have been

announced where significant property investors

have identified the attractiveness of the Self-

Storage industry.

The benefits of this are growing customer

awareness of the product and a growing

willingness amongst institutional landlords to

consider self-storage tenants. Set against this is

the greater competition for new stores.

After some 20-30 years the industry in the USA

is now in the third phase. Returns to investors

remain healthy, and competition does not

necessarily result in a reduction in profitability.

Indeed, there is a saying in the industry that

“one salesman in a town has a hard time selling

his product, but two or three do very nicely”.

Most of the senior players in the UK market

look forward to the time when self storage has

become so common that most of the population

understands the concept.

Why is this sector predicted to grow?

Hanwood Holdingsestablished since 1999

UK National Rate: 0845 8623090

www.hanwoodholdings.cominfo@hanwoodholdings.com