InfraRed NF continues to grow Hong Kong self-storage investment

• USD$106 million of capital invested since April 2018
• Acquisition of MiniBox Storage adds three sites and over 1,000 customers
• RedBox is now the third largest operator in Hong Kong, with more than 10% market share and a portfolio of 469,000 sf providing capacity for over 5,000 customers
• Awarded ‘Best Self-Storage Service – 2019′ from leading industry platform ‘Square Foot’

02/12/2019 - InfraRed NF, the leading Greater China real estate investment manager, is pleased to provide an update on its investment in RedBox Storage Limited (“RedBox”), a premium self-storage provider in Hong Kong.

InfraRed NF acquired a 90% stake in RedBox in April 2018. Since then total capital of USD$106 million has been invested, as RedBox has made a number of subsequent acquisitions in both direct property and competitor consolidation to become the third largest operator in Hong Kong, with more than 10% market share.

In September 2019, RedBox completed the acquisition of MiniBox Storage (“MBS”) adding 103,000 sf and 1,077 customers to the platform. The MBS sites, in Eastern and Kwun Tong are highly complementary to the existing portfolio. This followed the acquisition of three other sites: one in Tsuen Wan in June 2019 and two in Tuen Mun in July 2019. As a result, the portfolio stands at 469,000 sf across five strategically selected districts providing capacity for over 5,000 customers.

Further growth is expected to be supported by compelling market dynamics and ongoing market consolidation, coupled with high residential prices and smaller living spaces continuing to support self-storage as one of the most popular alternative real estate asset classes in Hong Kong.

RedBox was also recently awarded ‘Best Self-Storage Service – 2019′ from ‘Square Foot’. This award recognised the ‘best of the best’ of industry players in the property and real estate sectors in Hong Kong and the Greater China Region and is acknowledgement of the company’s investment into its operating systems and service delivery platform.

Stuart Jackson, Chief Executive Officer of InfraRed NF, said: “RedBox has continued to grow and develop into the leading self-storage operator in Hong Kong. With market dynamics remaining attractive we see further opportunities to grow and for RedBox to demonstrate the value of self-storage as an investment.”

Simon Tyrrell, CEO of RedBox, added: “We are very proud of what has been achieved to date which would not have been possible without the ongoing support of InfraRed NF. Within this partnership we see further exciting opportunities for expansion of the portfolio and further improvement of the operating systems and processes to deliver a continually high standard of service for our customers and stakeholders.”

Enquiries

Tulchan Communications | +65 6222 3765 | InfraRedNF@tulchangroup.com

About InfraRed NF

InfraRed NF is a Hong Kong-based joint venture between InfraRed Capital Partners and Vervain. Established in 2007, InfraRed NF is a leading investor in the Greater China real estate market with a proven track record of delivering superior returns through a combination of mezzanine financing and value-add investing.

InfraRed Capital Partners is a leading global investment manager focused on infrastructure and real estate. It operates worldwide from offices in London, Hong Kong, New York, Seoul and Sydney and has launched 18 funds including two listed on the London Stock Exchange. With over 140 professionals, it manages US$12bn of equity in multiple private and listed funds, primarily for institutional investors across the globe.

Vervain (which includes entities operating under the former name of “Nan Fung China”) is a Hong Kong-based private group of companies established in 2004. Vervain has a diversified real estate business, including property investment, property development, project management, real estate private equity investment as well as other financial and mezzanine financing investment. Vervain’s property portfolio comprises high quality residential, commercial, industrial, serviced apartments and hotel properties in Hong Kong, London, New York, Seoul, Tokyo and Vietnam.