£37m supports acquisition of one of UK’s largest self storage providers

A £37m loan from OakNorth Bank has supported the acquisition of  UK Storage Company, one of the UK’s largest independent self-storage providers.

Founded in 2005 by Keith and Cathy Taylor, UK Storage Company opened its first site in Bridgwater, Somerset, with the site also being used as its headquarters.

Its second site soon followed in Taunton, Somerset, and today, the business operates 28 stores across England.

Totalling over 880,000 sq ft of storage space, all of UK Storage Company’s sites are fully automated, offering customers 24-hour access to their units via a unique access code.

The loan from OakNorth Bank will be used to support a buyout that will allow Keith and Cathy Taylor to exit the business.

A consortium led by investment funds advised by Davidson Kempner Capital Management and operating partner Pithos Capital has acquired the business. With a pan-European presence and a focus on self-storage, Pithos Capital has over 20 years’ experience in investing and operating in the industry.

Davidson Kempner Capital is a global investment management firm with more than 39 years experience and a focus on fundamental investing with a multi-strategy approach.

Martin Williams, director of debt finance at OakNorth, added: “The UK’s self-storage market has experienced significant growth over recent times, driven by people who are reconfiguring their homes to accommodate hybrid working or unable to upsize and instead choosing to put their possessions elsewhere.

“UK Storage Company, which enjoys an excellent reputation for delivering a top-quality service, is in a perfect position to capitalise on this opportunity. We thrive on supporting sector specialists such as Pithos Capital and established investors such as Davidson Kempner in acquiring a fast-growing and previously family-run business like UK Storage Company and helping it to achieve its growth ambitions. We’re excited to be part of the company’s growth story.”