Managed Storage EIS Fund No. 2
Closed for new investment
Fundraise of £10 million completed in November 2017: Following a successful fundraise of £10 million, the investee companies have been in the acquisition and establishment phase for the four managed storage sites.
Storage (North) Ltd
We have previously advised that the company had sold its Northwich site to an institutional buyer, with proceeds being earmarked to part fund the development of a second 45,000 sq. ft. site in Ashton Under Lyne.
Planning was successfully obtained, the site purchased, and construction work is now well underway. Subject to any unforeseen issues that can affect major developments, we expect practical completion of the building during late September, with the internal fit out commencing thereafter. The site should be fully operational by the end of 2021.
Storage (Midlands) Ltd
We are pleased to report that the company’s Lichfield facility has been successfully sold to an Institutional buyer.
The proceeds will be used to assist with the construction of the company’s second site in Merseyside. This site is currently owned by a major supermarket and adjoins one of their stores. The purchase has proven extremely difficult and slow moving. The Surestore team have chosen to persevere as they believe this site has huge potential due to its location and is therefore worth the delays. As matters stand, documentation is all but agreed with the vendor and we are on the verge of exchanging contracts. The purchase will be subject to planning approval.
Ongoing costs and charges
Investors do not pay an annual management charge. Instead, the investee companies pay the Fund Manager 2% p.a.
Investors pay an annual custodial fee to the Fund’s Custodian. This is deducted form the amount set aside when they originally invested.
Up until April 2021, the Custodian was The Share Centre who charged £55 p.a. per holding on a quarterly basis (with the last payment made in April 2021).
From April 2021, the Custodian is Woodside Corporate Services who charge £35 p.a. per investor plus VAT.