The Seattle-based self-storage REIT says same-store revenue for the first quarter increased 9.1% percent over first quarter 2000 while average collected rental rates increased 4.7%, from $10.53/sf in the first quarter 2000 to $11.02/sf. Same Store occupancy for the first quarter 2001 also increased to 86% versus 84% in the first quarter 2000.

Company officials say per share FFO was negatively impacted by almost two cents per share as a result of the non-recurring dilution associated with carrying excess cash during the quarter. As a result, Shurgard missed Robertson Stephens' estimate by a penny.

Still, Jay Leupp, managing director and analyst for Robertson Stephens, says he views the first quarter results as moderately positive – especially new store openings. "We were extremely encouraged that Shurgard was able to aggressively boost rental rates, while simultaneously improving occupancies,'' Leupp said. "We also were encouraged with Shurgard's European development activities (opened three new stores with an expected cost of approximately $16 million) and we expect the company to complete the development of an additional 10 new stores in the remainder of 2001."

Stock in Shurgard was trading in the high $26-low $27 range Friday afternoon on an above average volume of 40,000 shares. The stock's 52-week range is $21.87-$28. The high-end mark was posted last week on Tuesday, May 1.