Sel elf f Stor orage age Gr Grou oup Company presentation 27 - PowerPoint PPT Presentation

Sel elf f Stor orage age Gr Grou oup Company presentation 27 October 2017 | 1

AN INTRODUCTION TO SELF STORAGE The Conce cept Lea ease se Duration tion Ancil cillary y Offeri ering ngs Self-storage facilities are rented A self-storage business rents Some facilities offer boxes, The conce cept pt on a short-term basis. Often out storage space (rooms, locks, packaging supplies for month-to-month, though containers, and/or outdoor sale, and may also offer truck options for long-term leases space) to tenants rentals and tenant insurance are available House sehol olds ds Busine ness sses es Reason ons s for r  Moving  Relocation  Refurbishment  Refurbishment deman and  Need for additional storage  Growing inventories  Storing during holidays for students  Archived records 1 2 3 Good od loca cation on / proximi mity ty to Variet ety y of unit t sizes Secu curity ty clien ents ts Importa ortant nt fact ctor ors 4 5 6 Custome omer service vice and d IT Pricin cing Acce cess | 2

SELF STORAGE GROUP AT A GLANCE cials 1) 1) Busi siness ess descrip ripti tion on Key finan ancial Shareholder reholders s (pre IPO PO)  Provider of self storage solutions to both Revenue (NOKm) EBITDA margin (%) individuals and businesses through (i) OK Name # shares es % stake 216 Minilager and (ii) City Self Storage 206 Ferncliff 1,630,000 34.01% 179 23.4% 170 22.0%  The group has leading market positions in Fabian Søbak 1,135,000 23.68% 18.4% 18.4% Norway, Sweden and Denmark and has a total Gustav Søbak 1,135,000 23.68% of 84 employees (64.2 FTE) incl. Minilageret Vatne Equity AS 260,763 5.44%  Focus on cost effective operations through self service/ automated storage facilities Other 631,694 13.18% Total 4,792,45 2,457 100.00% 00%  Currently, operational facilities have a total lettable area of 100,968 square meters 2013 2014 2015 2016 Two distinct tinct busines iness s concepts cepts High-end brand providing self-storage rental and ancillary Countrywide, discount-priced offering of self-serviced products and services in Scandinavia’s capital cities storage facilities in Norway  26 temperate storage facilities across Scandinavia  56 facilities located across Norway (including recently opened Vøyenenga and Etterstad)  28 drive-in storage facilities and 28 temperate  One of the leading self-storage providers in the storage facilities Scandinavian market 2 nd largest player in Norway, behind CSS   Located in the Oslo, Stockholm and Copenhagen  Self service, open 24 hr/day and 7 days a week  58,325 square meters of lettable storage space  42,643 square meters of lettable storage space Notes: 1) Merged for CSS, OK Minilager and Minilageret AS (including compensations of NOK 9.7m for Sundby site in 2015 and NOK 3.1m for Colosseum site in 2016) | 3

IMPORTANT HISTORICAL EVENTS 1993 93: 1998 98: 2002 02: 2006 06: First CSS site established in Selvaag Group entered into CSS establishes first sites in Continued expansion with Norway and a investment in the business and CSS Spain and Czech Republic opening of first site in Poland “Safe Mini Lager” in Sweden expanded to Denmark 2014 14: 2011 11: 2010 10: 2009 09: OK Minilager opens its first OK Minilager opens its first Online booking with 100% OK Minilager was established climate controlled facility free-hold site self-service is launched by Fabian and Gustav Søbak 2014 14/1 /15: 5: 2016 16: 2017 17: 2016 16: CSS divests operations in OK Minilager acquires CSS Changes its name to Self Ferncliff invested in OK CEE and Spain and becomes and becomes a truly leading Storage Group and acquires Minilager a pure Scandinavian player Scandinavian player Minilageret AS = City Self Storage = OK Minilager = Self Storage Group | 4

SELF STORAGE IS STILL AN IMMATURE INDUSTRY, PARTICULARILY IN THE SCANDINAVIAN COUNTRIES Scandinavia lagging in terms of self storage space per capita (sq.m.) "Matur ture e market rkets" 0.848 "Eur urop opean ean leaders ers" "Small mall markets kets with h low w awarenes reness" 0.170 0.054 0.050 0.037 0.031 0.016 Source: FEDESSA European Self Storage Survey 2016, The SpareFoot Storage Beat, IBISWorld | 5

THE SCANDINAVIAN SELF STORAGE MARKET AT A GLANCE Tempered Operators by 2016 revenue 1) Country facilities Comments 83  Most immature market in Scandinavia 72 71 40 60 20  Fragmented with a number of 16 14 11 small local operators 2014 2015 2016 128 122 112  More competitive, presence of 390 large multinational firms  A large number of small and 85 46 27 locally focused companies 8 2014 2015 2016  More consolidated with only 6 registered members 96  ~70% of facilities operated by the 71 67 50 3 largest companies 36 N/A N/A N/A  Presence by large multinational companies 2014 2015 2016 Source: Company information, proff.no, proff.se Notes: 1) Showing revenue in local currencies. Ranking in Denmark is done on the basis of number of sites. | 6

ALL FACTORS SUGGESTING INCREASING DEMAND FOR STORAGE GOING FORWARD Private consumption and 5 year growth in disposable income 1)2) Comments Household final consumption expenditure per capita in 2015 (constant 2010 USD) and avg. growth in disposable income last 5 years  Scandinavian countries ranking high in terms of 2.0% 3.3% 2.2% N/A 2.1% 1.9% 1.2% 0.3% 1.1% 2.4% consumption per capita 41,390 39,214  In 2015 net household 35,468 34,390 30,343 disposable income in 28,677 27,924 26,637 26,162 25,390 Norway, Sweden and Denmark grew with 4.3%, 2.5% and 2.5% respectively Switzerland Norway United States Luxembourg Australia Canada Denmark Japan UK Sweden  Spending levels expected to continue growing Strong urbanization trend... ...particularly in the Nordics  Oslo, Stockholm and % of population living in cities Copenhagen expected to Population growth (’13 - ’25e CAGR) in selected European cities remain among the fastest 1.2% 80.1% 2015 1.1% +7% growing capitals in Europe 2040e 85.4% 0.8% 0.7% 0.5% 0.5% 0.5% 85.8% 0.4% 0.4% +4% 0.3% 0.3% 88.9% 87.5% Oslo London Amsterdam Dublin Brussels Madrid Helsinki Rome Paris Stockholm Copenhagen +3% 90.2% Source: The World Bank, OECD Data, Eurostat, SSB, FEDESSA European Self Storage Annual Survey 2016, Arctic Securities Research Notes: 1) Private consumption per capita calculated using constant 2010 prices and World Bank population estimates | 7 2) Growth rates based on average growth in real household net disposable income for the period 2011-2015

STRONG URBANISATION AND RISING HOUSING PRICES LEADING TO NEW BUILDING STANDARDS Old building standards New building standards  Approx. 50m2  Approx. 40m2  3 rooms  2 rooms   Closed kitchen Open kitchen   More functional layout with focus on practical solutions Smaller apartments on the back of rapidly rising housing and storage space prices, especially in the larger cities  «Closed kitchen» with necessary storage space  «Open kitchen» solution with less storage space  Larger bedrooms and bathrooms  No link between size of apartment and storage space  Common areas in basements were previously reserved  The required 3 sq.m. storage space has become a «walk- for storage space in closet» and may even be eliminated following TEK17 | 8

STRONG PLATFORM FOR FUTURE GROWTH WITH TWO BRANDS TARGETING DIFFERENT MARKET SEGMENTS City Self-Storage OK Minilager Lillest estrøm Prime locations in all Scandinavian capital cities Oslo Os Asker sker Country-wide offering with presence in smaller cities Dram rammen Lillest estrøm Ode Odense se Oslo Os Copenh enhagen Ask sker er Stoc ockhol olm Prime areas for self storage Climate controlled self storage Bulk storage and (outdoor) containers | 9

A LEAN AND OPERATIONALLY FOCUSED ORGANISATION Members of the Group’s management team and breakdown of employees  Started as Finance Manager in City Self Storage in  Co-founded OK Minilager in 2009 2015 and continued as CFO in the Group after the acquisition of CSS in 2016  Started his first business when he was seventeen years  Previously worked in Color Line as Group Controller  Has built up OK Minilager to a leading self storage and at Posten Norge as Project Manager and Business company in Norway together with his father Gustav Controller Søbak Fabian an Emil Søbak Cecilie e M. Brænd nd Hekneb eby  MSc in Business Administration from NHH Co-founder Co r and CEO EO CFO  11 years of experience within the self-storage industry  Co-founded OK Minilager in 2009  Board member of both the Norwegian- and the  More than 30 years of experience within real estate Swedish Self Storage Association  Built up a parking company and eventually sold it to  Previous experience as Sales & Operations manager Europark during the 2000s  Bachelor Degree in Industrial Marketing Gustav av Søbak ak Isak Larsso sson Co Co-founder r and COO General ral Manager r CSS  Started at OK Minilager in 2011 49 35  Previous Project Manager in the Lithuanian Full time Part time Renewable Energy Association (LAIEA) employees employees  BSc in Corporate Finance from ISM University of Management and Economics Lauras as Melni nikas Operat rations s Manager | 10