Seneca swoops for storage firm
INVESTMENT firm Seneca Partners has backed a management buyout at Liverpool self-storage firm Smart Storage.
The deal invloves London-based Bridge Ventures selling its 42% stake in the business which has 16 staff and sites in in Liverpool, Warrington, Widnes, Bromborough and Preston.
The company was launched in 2004 by Jon Wyles and John Harrington who opened their first site at the former Candy Electronics factory in Bromborough.
Companies House records show Mr Harrington still holds a 42% stake but Mr Wyles, who is now based in Vancouver, no longer as shares. The value of the deal was not disclosed.
The Seneca deal was led by managing director Mike Wilson who joined the company as finance director in 2007. Tim Murphy, a director at Haydock-based Seneca, will join as a non-executive director.
Mr Wilson said: “The self-storage sector is still significantly underdeveloped in the UK and offers a variety of opportunities within the commercial and domestic markets for a growing business like ours to increase scale and profitability. We are delighted to be working with Seneca who share our vision and expansion plans in order to maximise these opportunities, developing the business to the next level.”
Mr Murphy said: “Smart Storage has an exciting future and we are delighted to have secured this investment. It’s exactly the type of opportunity that Seneca works to identify on behalf of our investment funds. We are looking forward to working with Mike and his team in developing what is an ideal platform for growth in an expanding sector.”
Richard Robinson and Sharon Harrison of Napthens acted for Seneca Partners. John Spofforth of O’Connors acted for management.
* The latest Self Storage Association UK survey, produced by Deloitte Real Estate, has shown that the North West market saw occupancy climb 6% to 69% last year.
Deloitte said the increase had been driven by the improving housing market. But despite higher demand the average rent fell from £15.12/sq ft in 2012 to £14.43/sq ft.
