KSS Information Memorandum 2021

New Development Rent Up Performance Analysis Kennards appetite for development of new storage centres provides some ‘rent-up risk’. The company’s long track record and extensive experience in the opening of new centres means we have internal confidence of performance in this area. We appreciate the journey and actively manage it. New store rent ups do not follow a smooth line. It requires patience and time to allow it to get there, as centres rent up at different rates. Different locations rent up at different speeds for a number of reasons. To illustrate some recent experience, we have graphed the rent-up of our 7 most recent new centre openings for up to 43 months. Our newest centre, Truganina (VIC) opened in July 2020 and has a limited amount of data, Coorparoo (QLD) has been the strongest performance to date. Given our large portfolio and our appetite to develop typically 2-4 new centres a year, the chance of a slow rent-up in a new centre materially affecting our overall business is minimal.

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