Wayne, Pennsylvania-based, self-administered and self-managed
real estate investment trust (REIT),
) recently announced the resignation of its Chief Executive Officer
(CEO) and member of the board of Trustee, Dean Jernigan, on the
ground of expiration of his current employment agreement on
December 31, 2013. The company is yet to announce the replacement
Dean Jernigan held the position of CEO and member of the Board
of Trustee since April 2006. Previously, he served as the company's
president from April 2006 to November 2008. Mr. Jernigan currently
serves as the member of the board of Thomas & Betts, Inc., a
publicly-traded electrical components and equipment company. He
also held various top executive positions in other companies before
Mr. Jernigan played a key role in strengthening the quality of
portfolio, technology and balance sheet of the company. He chalked
out an effective strategy to drive further growth both internally
and externally. During his tenure, he effectively formed and
managed a group of talented executives and ensured seamless change
of leadership in future.
We believe his contribution to the company is remarkable and we
expect the task of finding a replacement for Mr. Jernigan to be
rather challenging, given his rich experience and expertise.
Additionally, CubeSmart declared that its president and chief
investment officer, Christopher Marr, will now serve as the Chief
Operating Officer (COO) as well. Management expects CubeSmart to
scale new heights as Mr. Marr's exhaustive experience will be
beneficial for the company's property operations, revenue and
marketing managements, which is a part of his extended
Founded in 2004, CubeSmart along with its subsidiaries owns,
operates, acquires and develops self-storage facilities and
CubeSmart Network in the United States. As of now, it owns 478
self-storage facilities and around 825 additional self-storage
facilities, under the CubeSmart Network.
In the recently concluded first quarter of 2012, CubeSmart
reported adjusted funds from operations (FFO) per share of 16
cents, in line with the Zacks Consensus Estimate. The estimates for
2012 and 2013 are pegged at 71 cents and 79 cents, respectively,
representing a year-over-year growth of 9.54% and 10.39%.
CubeSmart, which competes with the likes of
Extra Space Storage Inc.
), currently retains a Zacks #3 Rank, which translates into a
short-term Hold rating. We are maintaining our long-term Neutral
recommendation on the stock.
CUBESMART (CUBE): Free Stock Analysis Report
EXTRA SPACE STG (EXR): Free Stock Analysis
PUBLIC STORAGE (PSA): Free Stock Analysis
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