ITEM 2.02. Results of Operations and Financial Condition. On November 3, 2025 , National Storage Affiliates Trust (the "Company") issued an earnings release and supplemental schedules announcing its financial results for the quarter ended September 30, 2025. A copy of the earnings release and supplemental schedules are attached hereto as Exhibit 99.1 and is incorporated by reference herein. The Company will hold its third quarter 2025 earnings conference call on Tuesday, November 4, 2025 at 1:00 p.m. Eastern Time. You may join the conference call through an Internet webcast accessed through the Company's website at www.nsastorage.com. Alternatively, you may join the conference call by telephone by dialing 877-407-9711, or 412-902-1014 for international callers. If you wish to participate, please call approximately five minutes before the conference call is scheduled to begin. If you are unable to join the live conference call, you may access the webcast replay for 30 days through the Company's website at www.nsastorage.com. The full text of the earnings release and supplemental schedules are also available through the Company's website at www.nsastorage.com. The information contained on the Company's website is not incorporated by reference herein.
NSA National Storage Affiliates Trust - 8-K
Accession
0001628280-25-0482272.029.01
Item 2.02 - Results of Operations and Financial Condition
Earnings press release attached as Exhibit 99.1.
Exhibit 99.1 - press release (12,829 words)
EX-99.1
2
ex991-q32025erss.htm
EX-99.1
Table of Contents
Page
1
Earnings Release
7
Consolidated Statements of Operations
8
Consolidated Balance Sheets
9
Schedule 1 - Funds From Operations and Core Funds From Operations
11
Schedule 2 - Other Non-GAAP Financial Measurements
12
Schedule 3 - Portfolio Summary
14
Schedule 4 - Debt and Equity Capitalization
16
Schedule 5 - Summarized Information for Unconsolidated Real Estate Ventures
17
Schedule 6 - Same Store Performance Summary By MSA
21
Schedule 7 - Same Store Operating Data - Trailing Five Quarters
22
Schedule 8 - Reconciliation of Same Store Data and Net Operating Income to Net Income
23
Schedule 9 - Selected Financial Information
24
Glossary
November 3, 2025
National Storage Affiliates Trust Reports Third Quarter 2025 Results
GREENWOOD VILLAGE, Colo. - (BUSINESS WIRE) - National Storage Affiliates Trust ("NSA" or the "Company") (NYSE: NSA) today reported the Company’s third quarter 2025 results.
Third Quarter 2025 Highlights
• Reported net income of $29.0 million for the third quarter of 2025, a decrease of 2.5% compared to the third quarter of 2024. Reported diluted earnings per share of $0.17 for the third quarter of 2025 compared to $0.18 for the third quarter of 2024.
• Reported core funds from operations ("Core FFO") of $76.5 million, or $0.57 per share for the third quarter of 2025, a decrease of 8.1% per share compared to the third quarter of 2024.
• Reported a decrease in same store net operating income ("NOI") of 5.7% for the third quarter of 2025 compared to the same period in 2024, driven by a 2.6% decrease in same store total revenues and a 4.9% increase in same store property operating expenses.
• Reported same store period-end occupancy of 84.5% as of September 30, 2025, a decrease of 140 basis points compared to September 30, 2024.
• Acquisition of two self storage properties for approximately $32.0 million by one of NSA's unconsolidated real estate ventures during the third quarter of 2025.
• Completed the rebranding of all NSA-owned Moove In branded stores to iStorage, reducing the number of NSA operated brands to six.
Highlights Subsequent to Quarter-End
• As previously announced, entered into an agreement to form a new joint venture (the "IRE Joint Venture") between a subsidiary of NSA (the "NSA Member") and an affiliate of Investment Real Estate Management, LLC (the "IRE Member"), with the NSA Member committing to provide 75% of the equity and the IRE Member committing to provide 25% of the equity. NSA's committed capital will be in the form of preferred equity, with a 10% preferred return per annum as well as an opportunity for additional returns, which NSA expects to realize as the joint venture exits its investments in future years. An affiliate of the IRE Member will serve as the manager of the IRE Joint Venture.
David Cramer, President and Chief Executive Officer, commented, "During the third quarter, the majority of our markets showed sequential improvement in same store revenue growth, which supports our view that fundamentals have found a bottom and are beginning to trend upward."
Mr. Cramer further commented, “While the current operating environment remains competitive, the backdrop for self storage going forward is the best that we have seen in a number of years. Given the potential positive impacts on the housing market from expected interest rates cuts and a more favorable supply environment, we expect to see an improvement in self storage fundamentals supported by an improving supply/demand balance in 2026 and beyond. Our focus over the past several quarters has been to best position NSA to take advantage of this expected upturn through capital recycling and improved operational efficiency. We are ready to execute in this environment and excited about the opportunities ahead.”
1
Financial Results
($ in thousands, except per share and unit data)
Three Months Ended September 30,
Nine Months Ended September 30,
2025
2024
Change
2025
2024
Change
Net income
$
29,016
$
29,771
(2.5)
%
$
79,493
$
157,139
(49.4)
%
Funds From Operations ("FFO") (1)
$
75,070
$
82,365
(8.9)
%
$
218,389
$
224,377
(2.7)
%
Add acquisition costs
302
287
5.2
%
1,162
1,274
(8.8)
%
Add integration and executive severance costs (2)
1,137
907
25.4
%
4,762
1,534
210.4
%
Add loss on early extinguishment of debt
—
323
—
%
—
323
—
%
Core FFO (1)
$
76,509
$
83,882
(8.8)
%
$
224,313
$
227,508
(1.4)
%
Earnings per share - basic and diluted
$
0.17
$
0.18
(5.6)
%
$
0.46
$
1.03
(55.3)
%
FFO per share and unit (1)
$
0.56
$
0.61
(8.2)
%
$
1.61
$
1.81
(11.0)
%
Core FFO per share and unit (1)
$
0.57
$
0.62
(8.1)
%
$
1.66
$
1.84
(9.8)
%
(1)
Non-GAAP financial measures, including FFO, Core FFO and NOI, are defined in the Glossary in the supplemental financial information and, where appropriate, reconciliations of these measures and other non-GAAP financial measures to their most directly comparable GAAP measures are included in the Schedules to this press release and in the supplemental financial information.
(2)
Executive severance costs relate to the nine months ended September 30, 2024 and are recorded within the line items "General and administrative expenses" and "Non-operating income" in our consolidated statements of operations. Integration costs relate to expenses incurred as a part of the internalization of the PRO structure.
Net income decreased $0.8 million for the third quarter of 2025 and $77.6 million for the nine months ended September 30, 2025 ("year-to-date") as compared to the same periods in 2024. The year-to-date decrease in net income was primarily due to larger gains on the sale of self storage properties recognized during 2024. Additionally, the decrease in net income for both the third quarter of 2025 and year-to-date were a result of lower NOI, driven by property dispositions and negative same store NOI growth. These impacts for the third quarter of 2025 and year-to-date were partially offset by an increase in management fees and other revenue of $0.6 million and $6.4 million, respectively, and a decrease in general and administrative expenses of $1.7 million and $7.6 million, respectively, compared to the same periods in 2024.
The decrease in FFO and Core FFO per share and unit for the third quarter of 2025 and year-to-date was primarily driven by a decrease in same store NOI and an increase in interest expense. These impacts were partially offset by decreased management fees paid to former PROs, reflected within general and administrative expenses, following the internalization of the PRO structure.
Same Store Operating Results (771 Stores)
($ in thousands, except per square foot data)
Three Months Ended September 30,
Nine Months Ended September 30,
2025
2024
Change
2025
2024
Change
Total revenues
$
170,250
$
174,848
(2.6)
%
$
507,882
$
522,819
(2.9)
%
Property operating expenses
52,830
50,362
4.9
%
157,795
151,172
4.4
%
Net Operating Income (NOI)
$
117,420
$
124,486
(5.7)
%
$
350,087
$
371,647
(5.8)
%
NOI Margin
69.0
%
71.2
%
(2.2)
%
68.9
%
71.1
%
(2.2)
%
Average Occupancy
85.0
%
86.5
%
(1.5)
%
84.4
%
86.2
%
(1.8)
%
Average Annualized Rental Revenue Per Occupied Square Foot
$
15.67
$
15.73
(0.4)
%
$
15.68
$
15.78
(0.6)
%
2
Year-over-year same store total revenue decreased 2.6% for the third quarter of 2025 and 2.9% year-to-date as compared to the same periods in 2024. The decrease for the third quarter was driven primarily by a 150 basis point decrease in average occupancy and a 0.4% decrease in average annualized rental revenue per occupied square foot. The year-to-date same store total revenue decrease was driven primarily by a 180 basis point decrease in average occupancy and a 0.6% decrease in average annualized rental revenue per occupied square foot. Markets which generated above portfolio average same store total revenue growth include: Portland, San Juan, PR and Houston. Markets which generated below portfolio average same store total revenue growth include: Riverside-San Bernardino, Atlanta and Phoenix.
Year-over-year same store property operating expenses increased 4.9% for the third quarter of 2025 and 4.4% year-to-date as compared to the same periods in 2024. The increase was primarily driven by increases in marketing, property tax expense and utilities, partially offset by decreases in insurance costs.
Investment and Disposition Activity
During the third quarter, a joint venture between a subsidiary of NSA and a state pension fund advised by Heitman Capital Management, LLC (the "2023 Joint Venture") acquired two self storage properties for approximately $32.0 million. The 2023 Joint Venture financed the acquisition with capital contributions from the venture members, of which NSA contributed approximately $8.0 million.
During the third quarter, NSA completed the sale of two wholly-owned self storage properties, consisting of approximately 83,000 rentable square feet configured in approximately 600 storage units for approximately $6.5 million.
Balance Sheet
As of September 30, 2025, NSA has approximately $543.6 million of available capacity on its $950.0 million revolving line of credit.
Common Sha re Dividends
On August 13, 2025, NSA's Board of Trustees declared a quarterly cash dividend of $0.57 per common share. The third quarter 2025 dividend was paid on September 30, 2025 to shareholders of record as of September 15, 2025.
3
2025 Guidance
NSA reaffirms its previously provided Core FFO guidance estimates and related assumptions for the year ended December 31, 2025.
Current Ranges for Full Year 2025
Actual Results for Full Year 2024
Low
High
Core FFO per share (1)
$2.17
$2.23
$2.44
Same store operations (2)
Total revenue growth
(3.0)%
(2.0)%
(3.0)%
Property operating expenses growth
3.25%
4.25%
3.7%
NOI growth
(5.75)%
(4.25)%
(5.5)%
General and administrative expenses
General and administrative expenses (excluding equity-based compensation), in millions
$42.0
$44.0
$49.7
Equity-based compensation, in millions
$8.0
$8.5
$7.9
Management fees and other revenue, in millions
$49.0
$51.0
$42.7
Core FFO from unconsolidated real estate ventures, in millions
$20.5
$22.5
$24.2
Acquisitions - consolidated and joint venture (at share), in millions (3)
$50.0
$100.0
$101.8
Dispositions - consolidated and joint venture (at share), in millions (3)
$100.0
$300.0
$273.1
Current Ranges for
Full Year 2025
Low
High
Earnings per share - diluted
$0.71
$0.74
Impact of the difference in weighted average number of shares and GAAP accounting for noncontrolling interests, two-class method and treasury stock method
(0.17)
(0.22)
Add real estate depreciation and amortization
1.43
1.46
Add (subtract) equity in losses (earnings) of unconsolidated real estate ventures
0.08
0.09
Add NSA's share of FFO of unconsolidated real estate ventures
0.15
0.17
Less gain on sale of self storage properties
(0.08)
(0.08)
Add acquisition costs and NSA's share of unconsolidated real estate venture acquisition costs
0.01
0.02
Add integration costs
0.04
0.05
Core FFO per share and unit
$2.17
$2.23
(1)
The table above provides a reconciliation of the range of estimated earnings per share - diluted to estimated Core FFO per share and unit.
(2)
2025 guidance reflects NSA's 2025 same store pool comprising 771 stores. 2024 actual results reflect NSA's 2024 same store pool comprising 776 stores.
(3)
NSA's actual results for full year 2024 exclude the contribution of wholly-owned self storage properties into the 2024 Joint Venture for approximately $346.5 million.
Supplemental Financial Information
The full text of this earnings release and supplemental financial information, including certain financial information referenced in this release, are available on NSA's website at www.nsastorage.com and as exhibit 99.1 to the Company's Form 8-K furnished to the SEC on November 3, 2025.
4
Non-GAAP Financial Measures & Glossary
This press release contains certain non-GAAP financial measures. These non-GAAP measures are presented because NSA's management believes these measures help investors understand NSA's business, performance and ability to earn and distribute cash to its shareholders by providing perspectives not immediately apparent from net income (loss). These measures are also frequently used by securities analysts, investors and other interested parties. The presentations of FFO, Core FFO and NOI in this press release are not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. In addition, NSA's method of calculating these measures may be different from methods used by other companies, and, accordingly, may not be comparable to similar measures as calculated by other companies that do not use the same methodology as NSA. These measures, and other words and phrases used herein, are defined in the Glossary in the supplemental financial information and, where appropriate, reconciliations of these measures and other non-GAAP financial measures to their most directly comparable GAAP measures are included in the Schedules to this press release and in the supplemental financial information.
Quarterly Teleconference and Webcast
The Company will host a conference call at 1:00 pm Eastern Time on Tuesday, November 4, 2025 to discuss its third quarter 2025 financial results. At the conclusion of the call, management will accept questions from certified financial analysts. All other participants are encouraged to listen to a webcast of the call by accessing the link found on the Company's website at www.nsastorage.com .
Conference Call and Webcast :
Date/Time: Tuesday, November 4, 2025, 1:00 pm ET
Webcast available at: www.nsastorage.com .
Domestic (Toll Free US & Canada): 877.407.9711
International: 412.902.1014
A replay of the webcast will be available for 30 days on NSA's website at www.nsastorage.com .
Upcoming Industry Conferences
NSA management is scheduled to participate in the upcoming Jefferies Real Estate Conference on November 17- 19, 2025 in Miami, Florida and the Nareit REITworld 2025 Annual Conference on December 8 - 11, 2025 in Dallas, Texas.
About National Storage Affiliates Trust
National Storage Affiliates Trust is a real estate investment trust headquartered in Greenwood Village, Colorado, focused on the ownership, operation and acquisition of self storage properties predominantly located within the top 100 metropolitan statistical areas throughout the United States. As of September 30, 2025, the Company held ownership interests in and operated 1,069 self storage properties, located in 37 states and Puerto Rico with approximately 69.8 million rentable square feet. NSA is one of the largest owners and operators of self storage properties among public and private companies in the United States. For more information, please visit the Company’s website at www.nsastorage.com . NSA is included in the MSCI US REIT Index (RMS/RMZ), the Russell 1000 Index of Companies and the S&P MidCap 400 Index.
5
NOTE REGARDING FORWARD LOOKING STATEMENTS
Certain statements contained in this press release constitute forward-looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are intended to be covered by the safe harbor provided by the same. Forward-looking statements are subject to substantial risks and uncertainties, many of which are difficult to predict and are generally beyond the Company's control. These forward-looking statements include information about possible or assumed future results of the Company's business, financial condition, liquidity, results of operations, plans and objectives. Changes in any circumstances may cause the Company's actual results to differ significantly from those expressed in any forward-looking statement. When used in this release, the words "believe," "expect," "anticipate," "estimate," "plan," "continue," "intend," "should," "may" or similar expressions are intended to identify forward-looking statements. Statements regarding the following subjects, among others, may be forward-looking: market trends in the Company's industry, interest rates, inflation, the debt and lending markets or the general economy; the Company's business and investment strategy; the acquisition and disposition of properties, including those under contract and the Company's ability to execute on its acquisition pipeline; the timing of acquisitions or dispositions under contract; the Company's ability to realize the benefits from the internalization of the PRO structure and portfolio optimization strategy; and the Company's guidance estimates for the year ending December 31, 2025. For a further list and description of such risks and uncertainties, see the Company's most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K filed with the Securities and Exchange Commission, and the other documents filed by the Company with the Securities and Exchange Commission. The forward-looking statements, and other risks, uncertainties and factors are based on the Company's beliefs, assumptions and expectations of its future performance, taking into account all information currently available to the Company. Forward-looking statements are not predictions of future events. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Contact:
National Storage Affiliates Trust
Investor/Media Relations
George Hoglund, CFA
Vice President - Investor Relations
720.630.2160
[email protected]
6
National Storage Affiliates Trust
Consolidated Statements of Operations
(in thousands, except per share amounts) (unaudited)
Three Months Ended September 30,
Nine Months Ended September 30,
2025
2024
2025
2024
REVENUE
Rental revenue
$
169,907
$
174,467
$
509,220
$
529,218
Other property-related revenue
6,459
7,405
19,977
20,654
Management fees and other revenue
12,336
11,749
36,701
30,345
Total revenue
188,702
193,621
565,898
580,217
OPERATING EXPENSES
Property operating expenses
55,347
52,712
166,078
159,607
General and administrative expenses
11,460
13,114
37,409
44,977
Depreciation and amortization
46,885
47,661
142,613
141,702
Other
4,101
3,643
13,077
10,510
Total operating expenses
117,793
117,130
359,177
356,796
OTHER (EXPENSE) INCOME
Interest expense
(40,549)
(39,575)
(122,293)
(114,920)
Loss on early extinguishment of debt
—
(323)
—
(323)
Equity in earnings (losses) of unconsolidated real estate ventures
463
(4,712)
(9,221)
(10,791)
Acquisition and integration costs
(1,439)
(1,164)
(5,924)
(2,151)
Non-operating income (expense)
503
(83)
1,325
352
Gain on sale of self storage properties
—
—
10,996
63,841
Other expense, net
(41,022)
(45,857)
(125,117)
(63,992)
Income before income taxes
29,887
30,634
81,604
159,429
Income tax expense
(871)
(863)
(2,111)
(2,290)
Net income
29,016
29,771
79,493
157,139
Net income attributable to noncontrolling interests
(10,589)
(11,070)
(28,601)
(62,349)
Net income attributable to National Storage Affiliates Trust
18,427
18,701
50,892
94,790
Distributions to preferred shareholders
(5,117)
(5,112)
(15,345)
(15,332)
Net income attributable to common shareholders
$
13,310
$
13,589
$
35,547
$
79,458
Earnings per share - basic and diluted
$
0.17
$
0.18
$
0.46
$
1.03
Weighted average shares outstanding - basic and diluted
76,746
75,760
76,532
77,047
7
National Storage Affiliates Trust
Consolidated Balance Sheets
(dollars in thousands, except per share amounts)
(unaudited)
September 30,
December 31,
2025
2024
ASSETS
Real estate
Self storage properties
$
5,841,786
$
5,864,134
Less accumulated depreciation
(1,175,690)
(1,051,638)
Self storage properties, net
4,666,096
4,812,496
Cash and cash equivalents
26,295
50,408
Restricted cash
1,571
345
Debt issuance costs, net
3,533
5,632
Investment in unconsolidated real estate ventures
235,385
246,193
Other assets, net
189,055
218,482
Operating lease right-of-use assets
20,367
20,906
Total assets
$
5,142,302
$
5,354,462
LIABILITIES AND EQUITY
Liabilities
Debt financing
$
3,403,399
$
3,449,087
Accounts payable and accrued liabilities
109,632
98,657
Interest rate swap liabilities
4,481
471
Operating lease liabilities
22,394
22,888
Deferred revenue
20,355
20,012
Total liabilities
3,560,261
3,591,115
Equity
Preferred shares of beneficial interest, par value $0.01 per share. 50,000,000 authorized, 14,704,845 and 14,695,458 issued (in series) and outstanding at September 30, 2025 and December 31, 2024, respectively, at liquidation preference
341,130
340,895
Common shares of beneficial interest, par value $0.01 per share. 250,000,000 shares authorized, 76,940,983 and 76,344,661 shares issued and outstanding at September 30, 2025 and December 31, 2024, respectively
769
763
Additional paid-in capital
1,252,488
1,249,426
Distributions in excess of earnings
(626,122)
(530,652)
Accumulated other comprehensive income
4,860
15,548
Total shareholders' equity
973,125
1,075,980
Noncontrolling interests
608,916
687,367
Total equity
1,582,041
1,763,347
Total liabilities and equity
$
5,142,302
$
5,354,462
8
Supplemental Schedule 1
Funds From Operations and Core Funds From Operations
(in thousands, except per share and unit amounts) (unaudited)
Reconciliation of Net Income to FFO and Core FFO
Three Months Ended September 30,
Nine Months Ended September 30,
2025
2024
2025
2024
Net income
$
29,016
$
29,771
$
79,493
$
157,139
Add (subtract):
Real estate depreciation and amortization
46,458
47,286
141,256
140,588
Equity in (earnings) losses of unconsolidated real estate ventures
(463)
4,712
9,221
10,791
Company's share of FFO in unconsolidated real estate ventures
5,627
6,164
16,119
18,026
Gain on sale of self storage properties
—
—
(10,996)
(63,841)
Distributions to preferred shareholders and unitholders
(5,568)
(5,568)
(16,704)
(16,704)
FFO attributable to subordinated performance units (1)
—
—
—
(21,622)
FFO attributable to common shareholders, OP unitholders, and LTIP unitholders
75,070
82,365
218,389
224,377
Add (subtract):
Acquisition costs
302
287
1,162
1,274
Integration and executive severance costs (2)
1,137
907
4,762
1,534
Loss on early extinguishment of debt
—
323
—
323
Core FFO attributable to common shareholders, OP unitholders, and LTIP unitholders
$
76,509
$
83,882
$
224,313
$
227,508
Weighted average shares and units outstanding - FFO and Core FFO: (3)
Weighted average shares outstanding - basic
76,746
75,760
76,532
77,047
Weighted average restricted common shares outstanding
23
19
23
21
Weighted average OP units outstanding
51,833
52,740
52,030
42,709
Weighted average DownREIT OP unit equivalents outstanding
5,769
5,769
5,769
3,346
Weighted average LTIP units outstanding
851
663
887
676
Total weighted average shares and units outstanding - FFO and Core FFO
135,222
134,951
135,241
123,799
FFO per share and unit
$
0.56
$
0.61
$
1.61
$
1.81
Core FFO per share and unit
$
0.57
$
0.62
$
1.66
$
1.84
(1)
Amounts represent distributions declared for subordinated performance unitholders and DownREIT subordinated performance unitholders for the periods presented.
(2)
Executive severance costs relate to the nine months ended September 30, 2024 and are recorded within the line items "General and administrative expenses" and "Non-operating income" in our consolidated statements of operations. Integration costs relate to expenses incurred as a part of the internalization of the PRO structure.
(3)
NSA combines OP units and DownREIT OP units with common shares because, after the applicable lock-out periods, OP units in the Company's operating partnership are redeemable for cash or, at NSA's option, exchangeable for common shares on a one-for-one basis and DownREIT OP units are also redeemable for cash or, at NSA's option, exchangeable for OP units in the Company's operating partnership on a one-for-one basis, subject to certain adjustments in each case. LTIP units may also, under certain circumstances, be convertible into or exchangeable for common shares (or other units that are convertible into or exchangeable for common shares). All subordinated performance units and DownREIT subordinated performance units were converted into OP units on July 1, 2024, in connection with the internalization of the PRO structure. See footnote (4) for additional discussion of subordinated performance units, DownREIT subordinated performance units, and LTIP units in the calculation of FFO and Core FFO per share and unit.
9
Supplemental Schedule 1 (continued)
Funds From Operations and Core Funds From Operations
(in thousands, except per share and unit amounts) (unaudited)
Reconciliation of Earnings Per Share - Diluted to FFO and Core FFO Per Share and Unit
Three Months Ended September 30,
Nine Months Ended September 30,
2025
2024
2025
2024
Earnings per share - diluted
$
0.17
$
0.18
$
0.46
$
1.03
Impact of the difference in weighted average number of shares (4)
(0.07)
(0.08)
(0.19)
(0.39)
Impact of GAAP accounting for noncontrolling interests, two-class method and treasury stock method (5)
0.08
0.08
0.19
0.49
Add real estate depreciation and amortization
0.34
0.35
1.04
1.14
Add equity in losses of unconsolidated real estate ventures
—
0.03
0.07
0.08
Add Company's share of FFO in unconsolidated real estate ventures
0.04
0.05
0.12
0.15
Subtract gain on sale of self storage properties
—
—
(0.08)
(0.52)
FFO attributable to subordinated performance unitholders
—
—
—
(0.17)
FFO per share and unit
0.56
0.61
1.61
1.81
Add acquisition costs
—
—
0.01
0.01
Add integration and executive severance costs
0.01
0.01
0.04
0.02
Add loss on early extinguishment of debt
—
—
—
—
Core FFO per share and unit
$
0.57
$
0.62
$
1.66
$
1.84
(4)
Adjustment accounts for the difference between the weighted average number of shares used to calculate diluted earnings per share and the weighted average number of shares used to calculate FFO and Core FFO per share and unit. Diluted earnings per share is calculated using the two-class method for the company's restricted common shares and the treasury stock method for certain unvested LTIP units, and assumes the conversion of vested LTIP units into OP units on a one-for-one basis and the hypothetical conversion of subordinated performance units and DownREIT subordinated performance units into OP units, even though such units may have only been convertible into OP units (i) after a lock-out period and (ii) upon certain events or conditions. All outstanding subordinated performance units and DownREIT subordinated performance units were converted into OP units on July 1, 2024, in connection with the internalization of the PRO structure. The computation of weighted average shares and units for FFO and Core FFO per share and unit includes all restricted common shares and LTIP units that participate in distributions and excludes all subordinated performance units and DownREIT subordinated performance units because their effect has been accounted for through the allocation of FFO to the related unitholders based on distributions declared.
(5)
Represents the effect of adjusting the numerator to consolidated net income prior to GAAP allocations for noncontrolling interests, after deducting preferred share and unit distributions, and before the application of the two-class method and treasury stock method, as described in footnote (4) .
10
Supplemental Schedule 2
Other Non-GAAP Financial Measurements
(dollars in thousands) (unaudited)
Net Operating Income
Three Months Ended September 30,
Nine Months Ended September 30,
2025
2024
2025
2024
Net income
$
29,016
$
29,771
$
79,493
$
157,139
(Subtract) add:
Management fees and other revenue
(12,336)
(11,749)
(36,701)
(30,345)
General and administrative expenses
11,460
13,114
37,409
44,977
Depreciation and amortization
46,885
47,661
142,613
141,702
Other
4,101
3,643
13,077
10,510
Interest expense
40,549
39,575
122,293
114,920
Loss on early extinguishment of debt
—
323
—
323
Equity in (earnings) losses of unconsolidated real estate ventures
(463)
4,712
9,221
10,791
Acquisition and integration costs
1,439
1,164
5,924
2,151
Non-operating (income) expense
(503)
83
(1,325)
(352)
Gain on sale of self storage properties
—
—
(10,996)
(63,841)
Income tax expense
871
863
2,111
2,290
Net Operating Income
$
121,019
$
129,160
$
363,119
$
390,265
EBITDA and Adjusted EBITDA
Three Months Ended September 30,
Nine Months Ended September 30,
2025
2024
2025
2024
Net income
$
29,016
$
29,771
$
79,493
$
157,139
Add:
Depreciation and amortization
46,885
47,661
142,613
141,702
Company's share of unconsolidated real estate venture depreciation and amortization
5,193
5,418
15,821
15,110
Interest expense
40,549
39,575
122,293
114,920
Income tax expense
871
863
2,111
2,290
Loss on early extinguishment of debt
—
323
—
323
EBITDA
122,514
123,611
362,331
431,484
Add (subtract):
Acquisition costs
302
287
1,162
1,274
Effect of hypothetical liquidation at book value (HLBV) accounting for unconsolidated 2024 Joint Venture (1)
(30)
5,458
9,518
13,707
Gain on sale of self storage properties
—
—
(10,996)
(63,841)
Integration and executive severance costs, excluding equity-based compensation (2)
—
877
1,388
1,100
Equity-based compensation expense (3)
3,112
1,911
9,329
6,097
Adjusted EBITDA
$
125,898
$
132,144
$
372,732
$
389,821
(1)
Reflects the non-cash impact of applying HLBV to the 2024 Joint Venture, which allocates GAAP income (loss) on a hypothetical liquidation of the underlying joint venture at book value as of the reporting date.
(2)
Executive severance costs relate to the nine months ended September 30, 2024 and are recorded within the line items "General and administrative expenses" and "Non-operating income" in our consolidated statements of operations. Integration costs relate to expenses incurred as a part of the internalization of the PRO structure.
(3)
Equity-based compensation expense is a non-cash item recorded within general and administrative expenses and acquisition and integration costs in our consolidated statements of operations. For the three and nine months ended September 30, 2025, $1.1 million and $3.4 million, respectively, relates to the internalization of the PRO structure and is included in acquisition and integration costs.
11
Supplemental Schedule 3
Portfolio Summary
As of September 30, 2025
(dollars in thousands) (unaudited)
Wholly-Owned Store Data by State (Consolidated)
Total Operated Store Data by State (Consolidated & Unconsolidated)
State/Territories
Stores
Units
Rentable Square Feet
Occupancy at Period End
State/Territories
Stores
Units
Rentable Square Feet
Occupancy at Period End
Texas
176
80,992
11,294,192
84.6
%
Texas
203
98,085
13,405,060
84.8
%
California
86
51,663
6,494,828
82.8
%
Florida
105
60,419
6,816,000
82.4
%
Florida
78
45,394
5,100,451
81.6
%
California
99
58,660
7,341,581
83.0
%
Oregon
70
29,264
3,662,029
88.8
%
Georgia
72
33,516
4,598,338
82.3
%
Georgia
50
21,948
3,017,563
81.7
%
Oregon
70
29,264
3,662,029
88.8
%
North Carolina
35
17,269
2,160,512
87.7
%
Oklahoma
52
22,401
3,269,410
81.2
%
Arizona
34
18,883
2,174,965
78.9
%
Arizona
36
19,892
2,285,095
78.5
%
Oklahoma
33
15,292
2,139,756
82.2
%
North Carolina
35
17,269
2,160,512
87.7
%
Louisiana
25
11,459
1,388,685
79.2
%
Ohio
27
14,898
1,854,692
85.2
%
Pennsylvania
22
10,441
1,296,220
88.2
%
Michigan
25
15,972
2,023,848
87.7
%
Colorado
21
9,117
1,145,258
88.7
%
Pennsylvania
25
12,076
1,456,890
88.4
%
Washington
19
6,643
871,889
86.9
%
Alabama
25
11,824
1,759,711
80.0
%
Puerto Rico
15
12,854
1,379,277
89.2
%
Louisiana
25
11,459
1,388,685
79.2
%
Nevada
15
7,564
963,252
84.5
%
Kansas
22
8,429
1,121,502
88.7
%
New Hampshire
15
7,160
890,320
85.2
%
Tennessee
21
10,914
1,400,552
88.1
%
Kansas
15
5,577
721,923
89.0
%
Colorado
21
9,117
1,145,258
88.7
%
Indiana
12
6,530
827,524
80.8
%
New Jersey
20
13,512
1,603,307
86.3
%
New Mexico
12
5,775
750,498
79.7
%
Indiana
19
9,821
1,286,329
82.2
%
Alabama
11
6,033
909,280
75.3
%
Nevada
19
9,449
1,247,570
83.9
%
Other (1)
63
35,985
4,425,913
85.4
%
Washington
19
6,643
871,889
86.9
%
Total
807
405,843
51,614,335
84.0
%
Puerto Rico
15
12,854
1,379,277
89.2
%
Massachusetts
15
11,058
1,209,811
86.4
%
New Hampshire
15
7,160
890,320
85.2
%
New Mexico
12
5,775
750,498
79.7
%
Minnesota
11
5,562
709,345
87.4
%
Illinois
10
6,772
728,593
85.5
%
Other (2)
51
28,069
3,471,095
85.1
%
Total
1,069
550,870
69,837,197
84.4
%
(1)
Other states in NSA's owned portfolio as of September 30, 2025 include Connecticut, Idaho, Illinois, Iowa, Kentucky, Maryland, Massachusetts, Minnesota, Missouri, New Jersey, New York, Ohio, South Carolina, Tennessee and Virginia.
(2)
Other states in NSA's operated portfolio as of September 30, 2025 include Connecticut, Delaware, Idaho, Iowa, Kentucky, Maryland, Mississippi, Missouri, New York, Rhode Island, South Carolina and Virginia.
12
Supplemental Schedule 3 (continued)
Portfolio Summary
(dollars in thousands) (unaudited)
2025 Acquisition Activity
Self Storage Properties Acquired
During the Quarter Ended:
Summary of Investment
Stores
Units
Rentable Square Feet
Cash and Acquisition Costs
Value of Equity
Other
Total
March 31, 2025
3
1,031
107,041
$
12,434
$
—
$
1,060
$
13,494
June 30, 2025
1
718
86,906
11,328
—
48
11,376
September 30, 2025
—
—
—
—
—
—
—
Unconsolidated Real Estate Ventures (at 100%) (3)
March 31, 2025
—
—
—
—
—
—
—
June 30, 2025
1
623
54,750
17,963
—
50
18,013
September 30, 2025
2
1,020
158,933
32,084
—
(88)
31,996
Total Investments (4)
7
3,392
407,630
$
73,809
$
—
$
1,070
$
74,879
2025 Disposition & Divestiture Activity
Dispositions Closed During the Quarter Ended: (5)
Stores
Units
Rentable Square Feet
Net Proceeds
Self Storage Properties sold to 3rd Parties
March 31, 2025
2
394
82,270
$
9,752
June 30, 2025
8
3,817
580,002
57,350
September 30, 2025
2
553
82,972
5,962
Total Dispositions and Divestitures
12
4,764
745,244
$
73,064
(3)
Values represent entire unconsolidated real estate ventures at 100%, not NSA's proportionate share. NSA's ownership in each of the unconsolidated real estate ventures is 25%.
(4)
NSA through its unconsolidated real estate ventures and wholly-owned portfolio acquired self storage properties located in California (1), Kansas (1), New Mexico (2), New York (1), Tennessee (1) and Texas (1).
(5)
NSA disposed of self storage properties located in Arkansas (5), Colorado (1), Florida (1), Minnesota (1), Montana (1), Utah (1), Wisconsin (1) and Wyoming (1).
13
Supplemental Schedule 4
Debt and Equity Capitalization
BBB Rated
As of September 30, 2025
(with Stable Outlook)
(unaudited)
by Kroll Bond Rating Agency
Debt Summary (dollars in thousands)
Effective Interest Rate (1)
Basis of Rate
Maturity Date
2025
2026
2027
2028
2029
2030
2031
Thereafter
Total
Credit Facility:
Revolving line of credit (2)
5.67%
Variable (3)
January 2027
$
—
$
—
$
399,400
$
—
$
—
$
—
$
—
$
—
$
399,400
Term loan - Tranche D
4.11%
Swapped To Fixed
July 2026
—
275,000
—
—
—
—
—
—
275,000
Term loan - Tranche E
5.03%
Swapped To Fixed (3)
March 2027
—
—
130,000
—
—
—
—
—
130,000
Term loan facility - 2028
4.17%
Swapped To Fixed
December 2028
—
—
—
75,000
—
—
—
—
75,000
Term loan facility - April 2029
3.77%
Swapped To Fixed
April 2029
—
—
—
—
100,000
—
—
—
100,000
Term loan facility - June 2029
5.07%
Swapped To Fixed
June 2029
—
—
—
—
285,000
—
—
—
285,000
May 2026 Senior Unsecured Notes
2.16%
Fixed
May 2026
—
35,000
—
—
—
—
—
—
35,000
October 2026 Senior Unsecured Notes
6.46%
Fixed
October 2026
—
65,000
—
—
—
—
—
—
65,000
July 2028 Senior Unsecured Notes
5.75%
Fixed
July 2028
—
—
—
120,000
—
—
—
—
120,000
September 2028 Senior Unsecured Notes
5.40%
Fixed
September 2028
—
—
—
75,000
—
—
—
—
75,000
October 2028 Senior Unsecured Notes
6.55%
Fixed
October 2028
—
—
—
100,000
—
—
—
—
100,000
2029 Senior Unsecured Notes
3.98%
Fixed
August 2029
—
—
—
—
100,000
—
—
—
100,000
August 2030 Senior Unsecured Notes
2.99%
Fixed
August 2030
—
—
—
—
—
150,000
—
—
150,000
October 2030 Senior Unsecured Notes
6.66%
Fixed
October 2030
—
—
—
—
—
35,000
—
—
35,000
November 2030 Senior Unsecured Notes
2.72%
Fixed
November 2030
—
—
—
—
—
75,000
—
—
75,000
May 2031 Senior Unsecured Notes
3.00%
Fixed
May 2031
—
—
—
—
—
—
90,000
—
90,000
August 2031 Senior Unsecured Notes
4.08%
Fixed
August 2031
—
—
—
—
—
—
50,000
—
50,000
September 2031 Senior Unsecured Notes
5.55%
Fixed
September 2031
—
—
—
—
—
—
125,000
—
125,000
November 2031 Senior Unsecured Notes
2.81%
Fixed
November 2031
—
—
—
—
—
—
175,000
—
175,000
August 2032 Senior Unsecured Notes
3.09%
Fixed
August 2032
—
—
—
—
—
—
—
100,000
100,000
November 2032 Senior Unsecured Notes
5.06%
Fixed
November 2032
—
—
—
—
—
—
—
200,000
200,000
May 2033 Senior Unsecured Notes
3.10%
Fixed
May 2033
—
—
—
—
—
—
—
55,000
55,000
October 2033 Senior Unsecured Notes
6.73%
Fixed
October 2033
—
—
—
—
—
—
—
50,000
50,000
November 2033 Senior Unsecured Notes
2.96%
Fixed
November 2033
—
—
—
—
—
—
—
125,000
125,000
2034 Senior Unsecured Notes
5.74%
Fixed
September 2034
—
—
—
—
—
—
—
150,000
150,000
2036 Senior Unsecured Notes
3.06%
Fixed
November 2036
—
—
—
—
—
—
—
75,000
75,000
Fixed rate mortgages payable
3.54%
Fixed
August 2027 - October 2031
—
—
84,900
88,000
—
—
26,267
—
199,167
Total Principal/Weighted Average
4.50%
4.25 years
$
—
$
375,000
$
614,300
$
458,000
$
485,000
$
260,000
$
466,267
$
755,000
$
3,413,567
Weighted average effective interest rate of maturing debt
—%
4.33%
5.32%
5.04%
4.58%
3.41%
3.80%
4.36%
Unamortized debt issuance costs and debt premium, net
(10,168)
Total Debt
$
3,403,399
(1)
Effective interest rate incorporates the stated rate plus the impact of interest rate cash flow hedges and discount and premium amortization, if applicable.
(2)
NSA may, at its election, extend the maturity date of the revolving line of credit to January 2028, subject to meeting customary conditions and payment of an extension fee.
(3)
For the $950 million revolving line of credit, the effective interest rate is calculated based on Daily Simple SOFR plus an applicable margin of 1.45% and a SOFR Index Adjustment of 0.10%, and excludes fees which range from 0.15% to 0.20% for unused borrowings. $125.0 million of the Tranche E term loan is subject to interest rate swaps, the maturity of which extends through the Tranche E maturity.
14
Supplemental Schedule 4 (continued)
Debt and Equity Capitalization
As of September 30, 2025
(unaudited)
Debt Ratios
Covenant
Amount
Net Debt to Annualized Current Quarter Adjusted EBITDA
n/a
6.7x
Trailing Twelve Month Fixed Charge Coverage Ratio
> 1.5x
2.6x
Total Leverage Ratio
< 60.0%
46.6%
Preferred Shares and Units
Outstanding
6.000% Series A cumulative redeemable preferred shares of beneficial interest
9,036,717
6.000% Series B cumulative redeemable preferred shares of beneficial interest
4,608,445
Preferred shares of beneficial interest (4)
13,645,162
6.000% Series A-1 cumulative redeemable preferred units
1,193,211
Common Shares and Units
Outstanding
Common shares of beneficial interest
76,917,707
Restricted common shares
23,276
Total shares outstanding
76,940,983
Operating partnership units
51,630,699
DownREIT operating partnership unit equivalents
5,769,214
Total operating partnership units
57,399,913
Long-term incentive plan units
850,663
Total common shares and units outstanding
135,191,559
(4)
The Company's balance sheet at September 30, 2025 reflects 14,704,845 preferred shares of beneficial interest, which includes 5,668,128 Series B Preferred Shares issued and outstanding. We have reflected 13,645,162 preferred shares herein, which corresponds to the $341.1 million liquidation preference reflected on the balance sheet at September 30, 2025. As part of a 2023 property acquisition of 15 properties from one of the Company's former participating regional operators (the "Contributor"), the Company recorded a $26.1 million promissory note receivable from the Contributor, and the Contributor used the loan proceeds to acquire $26.1 million of OP equity. The promissory note bears interest at a rate equivalent to the dividends paid on 1,059,683 Series B Preferred Shares. As a result of these agreements, in accordance with GAAP, the $26.1 million promissory note receivable, interest income on the promissory note receivable, $26.1 million of Series B Preferred Shares value, and dividends on such Series B Preferred Shares have been offset for presentation purposes in the accompanying consolidated balance sheets and consolidated statements of operations.
15
Supplemental Schedule 5
Summarized Information for Unconsolidated Real Estate Ventures
(dollars in thousands) (unaudited)
Real Estate Venture Balance Sheet Data as of September 30, 2025
Number of Stores at September 30,
Occupancy at Period End
Real Estate Ventures
Carrying Value of NSA's Investment (1)
Gross Book Value of Real Estate Assets
Outstanding Debt
2025
2024
Total Rentable Square Feet
3Q 2025
3Q 2024
2016 Joint Venture
$
95,783
$
930,603
$
358,484
81
81
5,689,390
85.3
%
88.4
%
2018 Joint Venture
89,882
1,285,494
646,354
104
104
7,863,592
86.4
%
87.8
%
2023 Joint Venture
48,566
197,030
—
21
18
1,449,092
80.2
%
73.6
%
2024 Joint Venture
1,154
345,616
209,198
56
56
3,220,788
85.0
%
86.0
%
Total
$
235,385
$
2,758,743
$
1,214,036
262
259
18,222,862
85.3
%
86.7
%
Combined Operating Information (2)
Three Months Ended September 30, 2025
Nine Months Ended September 30, 2025
2016 Joint Venture
2018 Joint Venture
2023 Joint Venture
2024 Joint Venture
Total
2016 Joint Venture
2018 Joint Venture
2023 Joint Venture
2024 Joint Venture
Total
Total revenue
$
22,385
$
28,011
$
3,259
$
9,220
$
62,875
$
67,031
$
83,325
$
8,180
$
27,633
$
186,169
Property operating expenses
7,659
9,022
1,376
3,733
21,790
22,984
27,389
3,579
11,663
65,615
Net operating income
14,726
18,989
1,883
5,487
41,085
44,047
55,936
4,601
15,970
120,554
Supervisory, administrative and other expenses
(1,624)
(1,727)
(250)
(487)
(4,088)
(4,856)
(5,151)
(657)
(1,452)
(12,116)
Depreciation and amortization
(5,602)
(10,032)
(2,053)
(3,084)
(20,771)
(16,813)
(30,453)
(5,959)
(10,059)
(63,284)
Interest expense
(3,274)
(7,144)
—
(3,235)
(13,653)
(9,849)
(21,480)
—
(9,704)
(41,033)
Non-operating (expense) income
(45)
435
(10)
50
430
(1)
644
4
274
921
Net income (loss)
$
4,181
$
521
$
(430)
$
(1,269)
$
3,003
$
12,528
$
(504)
$
(2,011)
$
(4,971)
$
5,042
Add (subtract):
Unconsolidated real estate venture depreciation and amortization
5,602
10,032
2,053
3,084
20,771
16,813
30,453
5,959
10,059
63,284
FFO and Core FFO for unconsolidated real estate ventures
$
9,783
$
10,553
$
1,623
$
1,815
$
23,774
$
29,341
$
29,949
$
3,948
$
5,088
$
68,326
(1)
NSA's investment in its unconsolidated real estate ventures are recorded under the equity method of accounting. Under the equity method, NSA’s investments in unconsolidated real estate ventures are stated at cost and adjusted for NSA’s share of net earnings or losses and reduced by distributions.
(2)
Values represent entire unconsolidated real estate ventures at 100%, not NSA's proportionate share. NSA's ownership in each of the unconsolidated real estate ventures is 25%. The operating agreements of the unconsolidated real estate ventures provide for the distribution of net cash flow to the unconsolidated real estate ventures' investors no less than monthly, generally in proportion to the investors’ respective ownership interests, subject to a promoted distribution to NSA upon the achievement of certain performance benchmarks by the non-NSA investor.
16
Supplemental Schedule 6
Same Store Performance Summary By MSA (1)
(dollars in thousands, except per square foot data) (unaudited)
Three Months Ended September 30, 2025 compared to Three Months Ended September 30, 2024
Total Revenue
Property Operating Expenses
Net Operating Income
Net Operating Income Margin
MSA (1)
Stores
3Q 2025
3Q 2024
Change
3Q 2025
3Q 2024
Change
3Q 2025
3Q 2024
Change
3Q 2025
3Q 2024
Change
Portland-Vancouver-Hillsboro, OR-WA
54
$
11,727
$
11,459
2.3
%
$
3,122
$
2,899
7.7
%
$
8,605
$
8,560
0.5
%
73.4
%
74.7
%
(1.3)
%
Riverside-San Bernardino-Ontario, CA
49
12,976
13,640
(4.9)
%
3,296
2,977
10.7
%
9,680
10,663
(9.2)
%
74.6
%
78.2
%
(3.6)
%
Houston-Pasadena-The Woodlands, TX
37
8,336
8,379
(0.5)
%
3,170
2,845
11.4
%
5,166
5,534
(6.6)
%
62.0
%
66.0
%
(4.0)
%
Atlanta-Sandy Springs-Roswell, GA
30
5,405
5,804
(6.9)
%
1,907
1,849
3.1
%
3,498
3,955
(11.6)
%
64.7
%
68.1
%
(3.4)
%
Dallas-Fort Worth-Arlington, TX
28
4,928
5,189
(5.0)
%
2,057
1,892
8.7
%
2,871
3,297
(12.9)
%
58.3
%
63.5
%
(5.2)
%
Phoenix-Mesa-Chandler, AZ
26
5,522
5,981
(7.7)
%
1,666
1,488
12.0
%
3,856
4,493
(14.2)
%
69.8
%
75.1
%
(5.3)
%
McAllen-Edinburg-Mission, TX
21
4,509
4,598
(1.9)
%
1,399
1,268
10.3
%
3,110
3,330
(6.6)
%
69.0
%
72.4
%
(3.4)
%
Oklahoma City, OK
20
3,163
3,332
(5.1)
%
1,066
861
23.8
%
2,097
2,471
(15.1)
%
66.3
%
74.2
%
(7.9)
%
Brownsville-Harlingen, TX
16
2,886
2,876
0.3
%
891
878
1.5
%
1,995
1,998
(0.2)
%
69.1
%
69.5
%
(0.4)
%
San Antonio-New Braunfels, TX
15
2,684
2,813
(4.6)
%
1,050
1,188
(11.6)
%
1,634
1,625
0.6
%
60.9
%
57.8
%
3.1
%
North Port-Bradenton-Sarasota, FL
15
4,129
4,341
(4.9)
%
1,229
1,469
(16.3)
%
2,900
2,872
1.0
%
70.2
%
66.2
%
4.0
%
San Juan-Bayamón-Caguas, PR
15
9,819
9,633
1.9
%
1,909
1,965
(2.8)
%
7,910
7,668
3.2
%
80.6
%
79.6
%
1.0
%
Los Angeles-Long Beach-Anaheim, CA
14
5,783
5,977
(3.2)
%
1,538
1,398
10.0
%
4,245
4,579
(7.3)
%
73.4
%
76.6
%
(3.2)
%
Colorado Springs, CO
14
2,168
2,207
(1.8)
%
792
664
19.3
%
1,376
1,543
(10.8)
%
63.5
%
69.9
%
(6.4)
%
Orlando-Kissimmee-Sanford, FL
14
3,178
3,413
(6.9)
%
1,100
1,135
(3.1)
%
2,078
2,278
(8.8)
%
65.4
%
66.7
%
(1.3)
%
Tulsa, OK
13
1,959
2,057
(4.8)
%
642
567
13.2
%
1,317
1,490
(11.6)
%
67.2
%
72.4
%
(5.2)
%
Las Vegas-Henderson-North Las Vegas, NV
13
2,806
2,936
(4.4)
%
834
749
11.3
%
1,972
2,187
(9.8)
%
70.3
%
74.5
%
(4.2)
%
Shreveport-Bossier City, LA
12
1,526
1,568
(2.7)
%
619
521
18.8
%
907
1,047
(13.4)
%
59.4
%
66.8
%
(7.4)
%
Austin-Round Rock-San Marcos, TX
12
3,218
3,436
(6.3)
%
1,116
1,196
(6.7)
%
2,102
2,240
(6.2)
%
65.3
%
65.2
%
0.1
%
Wichita, KS
12
1,847
1,807
2.2
%
725
632
14.7
%
1,122
1,175
(4.5)
%
60.7
%
65.0
%
(4.3)
%
Bend, OR
10
2,049
2,093
(2.1)
%
499
448
11.4
%
1,550
1,645
(5.8)
%
75.6
%
78.6
%
(3.0)
%
Other MSAs
331
69,632
71,309
(2.4)
%
22,203
21,473
3.4
%
47,429
49,836
(4.8)
%
68.1
%
69.9
%
(1.8)
%
Total/Weighted Average
771
$
170,250
$
174,848
(2.6)
%
$
52,830
$
50,362
4.9
%
$
117,420
$
124,486
(5.7)
%
69.0
%
71.2
%
(2.2)
%
2024 Same Store Pool (2)
744
$
164,589
$
169,193
(2.7)
%
$
50,824
$
48,412
5.0
%
$
113,765
$
120,781
(5.8)
%
69.1
%
71.4
%
(2.3)
%
2023 Same Store Pool (3)
695
$
153,645
$
158,217
(2.9)
%
$
47,047
$
44,797
5.0
%
$
106,598
$
113,420
(6.0)
%
69.4
%
71.7
%
(2.3)
%
(1)
MSA (Metropolitan Statistical Area) as defined by the United States Census Bureau.
(2)
Represents the subset of properties included in the 2025 same store pool that were in NSA's same store pool reported in 2024.
(3)
Represents the subset of properties included in the 2025 same store pool that were in NSA's same store pool reported in 2023.
17
Supplemental Schedule 6 (continued)
Same Store Performance Summary By MSA (1)
(dollars in thousands, except per square foot data) (unaudited)
Three Months Ended September 30, 2025 compared to Three Months Ended September 30, 2024
Rentable Square Feet
Occupancy at Period End
Average Occupancy
Average Annualized Rental Revenue per Occupied Square Foot
MSA (1)
Units
3Q 2025
3Q 2024
Change
3Q 2025
3Q 2024
Change
3Q 2025
3Q 2024
Change
Portland-Vancouver-Hillsboro, OR-WA
22,068
2,677,879
88.7
%
88.8
%
(0.1)
%
89.6
%
89.4
%
0.2
%
$
18.97
$
18.54
2.3
%
Riverside-San Bernardino-Ontario, CA
27,155
3,687,843
83.8
%
87.4
%
(3.6)
%
83.7
%
87.2
%
(3.5)
%
16.24
16.25
(0.1)
%
Houston-Pasadena-The Woodlands, TX
18,421
2,762,756
85.8
%
90.1
%
(4.3)
%
86.4
%
90.4
%
(4.0)
%
13.40
12.80
4.7
%
Atlanta-Sandy Springs-Roswell, GA
14,207
1,986,675
82.3
%
82.9
%
(0.6)
%
81.8
%
83.5
%
(1.7)
%
12.78
13.40
(4.6)
%
Dallas-Fort Worth-Arlington, TX
12,847
1,672,270
80.5
%
81.9
%
(1.4)
%
80.8
%
83.3
%
(2.5)
%
13.98
14.13
(1.1)
%
Phoenix-Mesa-Chandler, AZ
15,239
1,705,135
78.6
%
82.5
%
(3.9)
%
78.7
%
83.0
%
(4.3)
%
15.91
16.23
(2.0)
%
McAllen-Edinburg-Mission, TX
9,848
1,467,078
89.2
%
89.1
%
0.1
%
88.9
%
90.0
%
(1.1)
%
13.28
13.43
(1.1)
%
Oklahoma City, OK
9,180
1,327,602
82.6
%
86.2
%
(3.6)
%
82.7
%
87.2
%
(4.5)
%
11.05
11.05
—
%
Brownsville-Harlingen, TX
6,536
940,371
89.3
%
89.2
%
0.1
%
89.2
%
89.0
%
0.2
%
13.18
13.10
0.6
%
San Antonio-New Braunfels, TX
6,491
835,115
83.5
%
83.8
%
(0.3)
%
83.7
%
83.8
%
(0.1)
%
14.73
15.35
(4.0)
%
North Port-Bradenton-Sarasota, FL
9,402
959,833
84.9
%
86.3
%
(1.4)
%
84.8
%
85.6
%
(0.8)
%
19.64
20.34
(3.4)
%
San Juan-Bayamón-Caguas, PR
12,854
1,379,277
89.2
%
91.2
%
(2.0)
%
89.2
%
91.5
%
(2.3)
%
31.02
29.46
5.3
%
Los Angeles-Long Beach-Anaheim, CA
9,749
1,063,694
84.0
%
86.6
%
(2.6)
%
84.0
%
87.1
%
(3.1)
%
25.20
24.92
1.1
%
Colorado Springs, CO
5,633
707,710
87.8
%
85.6
%
2.2
%
87.7
%
87.7
%
—
%
13.40
13.62
(1.6)
%
Orlando-Kissimmee-Sanford, FL
8,070
950,696
82.9
%
88.5
%
(5.6)
%
83.5
%
89.5
%
(6.0)
%
15.37
14.72
4.4
%
Tulsa, OK
6,112
812,154
81.5
%
85.0
%
(3.5)
%
81.5
%
86.3
%
(4.8)
%
11.29
11.17
1.1
%
Las Vegas-Henderson-North Las Vegas, NV
7,080
880,970
84.1
%
85.7
%
(1.6)
%
86.9
%
86.2
%
0.7
%
14.09
14.77
(4.6)
%
Shreveport-Bossier City, LA
5,102
669,571
81.3
%
82.1
%
(0.8)
%
81.1
%
83.6
%
(2.5)
%
10.66
10.62
0.4
%
Austin-Round Rock-San Marcos, TX
6,855
917,244
83.6
%
84.3
%
(0.7)
%
84.5
%
84.9
%
(0.4)
%
16.10
17.04
(5.5)
%
Wichita, KS
4,198
586,931
89.7
%
86.6
%
3.1
%
90.9
%
87.5
%
3.4
%
12.96
13.11
(1.1)
%
Bend, OR
3,937
570,674
90.8
%
89.0
%
1.8
%
91.1
%
89.6
%
1.5
%
15.27
15.84
(3.6)
%
Other MSAs
165,028
20,715,145
84.2
%
84.8
%
(0.6)
%
84.9
%
85.6
%
(0.7)
%
15.25
15.43
(1.2)
%
Total/Weighted Average
386,012
49,276,623
84.5
%
85.9
%
(1.4)
%
85.0
%
86.5
%
(1.5)
%
$
15.67
$
15.73
(0.4)
%
2024 Same Store Pool (2)
371,569
47,560,078
84.6
%
85.9
%
(1.3)
%
85.0
%
86.5
%
(1.5)
%
$
15.70
$
15.78
(0.5)
%
2023 Same Store Pool (3)
344,886
44,257,563
84.5
%
86.0
%
(1.5)
%
85.0
%
86.7
%
(1.7)
%
$
15.75
$
15.85
(0.6)
%
(1)
MSA (Metropolitan Statistical Area) as defined by the United States Census Bureau.
(2)
Represents the subset of properties included in the 2025 same store pool that were in NSA's same store pool reported in 2024.
(3)
Represents the subset of properties included in the 2025 same store pool that were in NSA's same store pool reported in 2023.
18
Supplemental Schedule 6
Same Store Performance Summary By MSA (1)
(dollars in thousands, except per square foot data) (unaudited)
Nine Months Ended September 30, 2025 compared to Nine Months Ended September 30, 2024
Total Revenue
Property Operating Expenses
Net Operating Income
Net Operating Income Margin
MSA (1)
Stores
YTD 2025
YTD 2024
Change
YTD 2025
YTD 2024
Change
YTD 2025
YTD 2024
Change
YTD 2025
YTD 2024
Change
Portland-Vancouver-Hillsboro, OR-WA
54
$
34,501
$
33,883
1.8
%
$
9,689
$
8,964
8.1
%
$
24,812
$
24,919
(0.4)
%
71.9
%
73.5
%
(1.6)
%
Riverside-San Bernardino-Ontario, CA
49
39,064
41,139
(5.0)
%
9,542
9,409
1.4
%
29,522
31,730
(7.0)
%
75.6
%
77.1
%
(1.5)
%
Houston-Pasadena-The Woodlands, TX
37
24,903
24,674
0.9
%
9,079
8,600
5.6
%
15,824
16,074
(1.6)
%
63.5
%
65.1
%
(1.6)
%
Atlanta-Sandy Springs-Roswell, GA
30
16,269
17,834
(8.8)
%
5,579
5,161
8.1
%
10,690
12,673
(15.6)
%
65.7
%
71.1
%
(5.4)
%
Dallas-Fort Worth-Arlington, TX
28
14,700
15,496
(5.1)
%
5,953
5,842
1.9
%
8,747
9,654
(9.4)
%
59.5
%
62.3
%
(2.8)
%
Phoenix-Mesa-Chandler, AZ
26
16,764
18,043
(7.1)
%
4,709
4,719
(0.2)
%
12,055
13,324
(9.5)
%
71.9
%
73.8
%
(1.9)
%
McAllen-Edinburg-Mission, TX
21
13,522
13,933
(2.9)
%
3,835
3,767
1.8
%
9,687
10,166
(4.7)
%
71.6
%
73.0
%
(1.4)
%
Oklahoma City, OK
20
9,652
9,927
(2.8)
%
3,083
2,722
13.3
%
6,569
7,205
(8.8)
%
68.1
%
72.6
%
(4.5)
%
Brownsville-Harlingen, TX
16
8,576
8,643
(0.8)
%
2,538
2,405
5.5
%
6,038
6,238
(3.2)
%
70.4
%
72.2
%
(1.8)
%
San Antonio-New Braunfels, TX
15
8,065
8,403
(4.0)
%
3,253
3,135
3.8
%
4,812
5,268
(8.7)
%
59.7
%
62.7
%
(3.0)
%
North Port-Bradenton-Sarasota, FL
15
12,573
13,409
(6.2)
%
3,934
4,348
(9.5)
%
8,639
9,061
(4.7)
%
68.7
%
67.6
%
1.1
%
San Juan-Bayamón-Caguas, PR
15
29,108
28,689
1.5
%
5,664
5,627
0.7
%
23,444
23,062
1.7
%
80.5
%
80.4
%
0.1
%
Los Angeles-Long Beach-Anaheim, CA
14
17,218
18,018
(4.4)
%
4,536
4,335
4.6
%
12,682
13,683
(7.3)
%
73.7
%
75.9
%
(2.2)
%
Colorado Springs, CO
14
6,323
6,470
(2.3)
%
2,387
2,001
19.3
%
3,936
4,469
(11.9)
%
62.2
%
69.1
%
(6.9)
%
Orlando-Kissimmee-Sanford, FL
14
9,505
10,248
(7.3)
%
3,051
3,337
(8.6)
%
6,454
6,911
(6.6)
%
67.9
%
67.4
%
0.5
%
Tulsa, OK
13
5,926
6,210
(4.6)
%
1,880
1,785
5.3
%
4,046
4,425
(8.6)
%
68.3
%
71.3
%
(3.0)
%
Las Vegas-Henderson-North Las Vegas, NV
13
8,526
8,827
(3.4)
%
2,318
2,281
1.6
%
6,208
6,546
(5.2)
%
72.8
%
74.2
%
(1.4)
%
Shreveport-Bossier City, LA
12
4,537
4,721
(3.9)
%
1,789
1,570
13.9
%
2,748
3,151
(12.8)
%
60.6
%
66.7
%
(6.1)
%
Austin-Round Rock-San Marcos, TX
12
9,699
10,112
(4.1)
%
3,305
3,445
(4.1)
%
6,394
6,667
(4.1)
%
65.9
%
65.9
%
—
%
Wichita, KS
12
5,401
5,318
1.6
%
2,235
1,814
23.2
%
3,166
3,504
(9.6)
%
58.6
%
65.9
%
(7.3)
%
Bend, OR
10
6,029
6,155
(2.0)
%
1,543
1,390
11.0
%
4,486
4,765
(5.9)
%
74.4
%
77.4
%
(3.0)
%
Other MSAs
331
207,021
212,667
(2.7)
%
67,893
64,515
5.2
%
139,128
148,152
(6.1)
%
67.2
%
69.7
%
(2.5)
%
Total/Weighted Average
771
$
507,882
$
522,819
(2.9)
%
$
157,795
$
151,172
4.4
%
$
350,087
$
371,647
(5.8)
%
68.9
%
71.1
%
(2.2)
%
2024 Same Store Pool (2)
744
$
491,158
$
505,983
(2.9)
%
$
151,993
$
145,272
4.6
%
$
339,165
$
360,711
(6.0)
%
69.1
%
71.3
%
(2.2)
%
2023 Same Store Pool (3)
695
$
458,896
$
473,245
(3.0)
%
$
140,679
$
134,532
4.6
%
$
318,217
$
338,713
(6.1)
%
69.3
%
71.6
%
(2.3)
%
(1)
MSA (Metropolitan Statistical Area) as defined by the United States Census Bureau.
(2)
Represents the subset of properties included in the 2025 same store pool that were in NSA's same store pool reported in 2024.
(3)
Represents the subset of properties included in the 2025 same store pool that were in NSA's same store pool reported in 2023.
19
Supplemental Schedule 6 (continued)
Same Store Performance Summary By MSA (1)
(dollars in thousands, except per square foot data) (unaudited)
Nine Months Ended September 30, 2025 compared to Nine Months Ended September 30, 2024
Rentable Square Feet
Occupancy at Period End
Average Occupancy
Average Annualized Rental Revenue per Occupied Square Foot
MSA (1)
Units
YTD 2025
YTD 2024
Change
YTD 2025
YTD 2024
Change
YTD 2025
YTD 2024
Change
Portland-Vancouver-Hillsboro, OR-WA
22,068
2,677,879
88.7
%
88.8
%
(0.1)
%
88.6
%
87.6
%
1.0
%
$
18.80
$
18.65
0.8
%
Riverside-San Bernardino-Ontario, CA
27,155
3,687,843
83.8
%
87.4
%
(3.6)
%
84.2
%
86.8
%
(2.6)
%
16.17
16.36
(1.2)
%
Houston-Pasadena-The Woodlands, TX
18,421
2,762,756
85.8
%
90.1
%
(4.3)
%
86.1
%
89.6
%
(3.5)
%
13.37
12.71
5.2
%
Atlanta-Sandy Springs-Roswell, GA
14,207
1,986,675
82.3
%
82.9
%
(0.6)
%
80.5
%
82.3
%
(1.8)
%
13.01
13.97
(6.9)
%
Dallas-Fort Worth-Arlington, TX
12,847
1,672,270
80.5
%
81.9
%
(1.4)
%
80.1
%
84.0
%
(3.9)
%
14.03
14.16
(0.9)
%
Phoenix-Mesa-Chandler, AZ
15,239
1,705,135
78.6
%
82.5
%
(3.9)
%
79.9
%
83.5
%
(3.6)
%
15.82
16.30
(2.9)
%
McAllen-Edinburg-Mission, TX
9,848
1,467,078
89.2
%
89.1
%
0.1
%
88.3
%
90.0
%
(1.7)
%
13.36
13.56
(1.5)
%
Oklahoma City, OK
9,180
1,327,602
82.6
%
86.2
%
(3.6)
%
82.1
%
87.1
%
(5.0)
%
11.33
10.99
3.1
%
Brownsville-Harlingen, TX
6,536
940,371
89.3
%
89.2
%
0.1
%
88.2
%
89.6
%
(1.4)
%
13.16
13.20
(0.3)
%
San Antonio-New Braunfels, TX
6,491
835,115
83.5
%
83.8
%
(0.3)
%
82.4
%
83.3
%
(0.9)
%
15.03
15.46
(2.8)
%
North Port-Bradenton-Sarasota, FL
9,402
959,833
84.9
%
86.3
%
(1.4)
%
86.3
%
84.8
%
1.5
%
19.57
21.13
(7.4)
%
San Juan-Bayamón-Caguas, PR
12,854
1,379,277
89.2
%
91.2
%
(2.0)
%
89.5
%
91.8
%
(2.3)
%
30.56
29.11
5.0
%
Los Angeles-Long Beach-Anaheim, CA
9,749
1,063,694
84.0
%
86.6
%
(2.6)
%
83.8
%
86.9
%
(3.1)
%
25.05
24.87
0.7
%
Colorado Springs, CO
5,633
707,710
87.8
%
85.6
%
2.2
%
84.5
%
86.0
%
(1.5)
%
13.50
13.61
(0.8)
%
Orlando-Kissimmee-Sanford, FL
8,070
950,696
82.9
%
88.5
%
(5.6)
%
83.3
%
90.1
%
(6.8)
%
15.34
14.85
3.3
%
Tulsa, OK
6,112
812,154
81.5
%
85.0
%
(3.5)
%
81.9
%
86.2
%
(4.3)
%
11.31
11.27
0.4
%
Las Vegas-Henderson-North Las Vegas, NV
7,080
880,970
84.1
%
85.7
%
(1.6)
%
87.8
%
86.7
%
1.1
%
14.12
14.75
(4.3)
%
Shreveport-Bossier City, LA
5,102
669,571
81.3
%
82.1
%
(0.8)
%
80.4
%
84.4
%
(4.0)
%
10.65
10.56
0.9
%
Austin-Round Rock-San Marcos, TX
6,855
917,244
83.6
%
84.3
%
(0.7)
%
83.0
%
84.8
%
(1.8)
%
16.40
16.94
(3.2)
%
Wichita, KS
4,198
586,931
89.7
%
86.6
%
3.1
%
87.7
%
87.4
%
0.3
%
13.03
12.94
0.7
%
Bend, OR
3,937
570,674
90.8
%
89.0
%
1.8
%
88.6
%
87.8
%
0.8
%
15.38
15.85
(3.0)
%
Other MSAs
165,028
20,715,145
84.2
%
84.8
%
(0.6)
%
84.0
%
85.4
%
(1.4)
%
15.26
15.45
(1.2)
%
Total/Weighted Average
386,012
49,276,623
84.5
%
85.9
%
(1.4)
%
84.4
%
86.2
%
(1.8)
%
$
15.68
$
15.78
(0.6)
%
2024 Same Store Pool (2)
371,569
47,560,078
84.6
%
85.9
%
(1.3)
%
84.4
%
86.3
%
(1.9)
%
$
15.71
$
15.83
(0.7)
%
2023 Same Store Pool (3)
344,886
44,257,563
84.5
%
86.0
%
(1.5)
%
84.4
%
86.4
%
(2.0)
%
$
15.77
$
15.89
(0.7)
%
(1)
MSA (Metropolitan Statistical Area) as defined by the United States Census Bureau.
(2)
Represents the subset of properties included in the 2025 same store pool that were in NSA's same store pool reported in 2024.
(3)
Represents the subset of properties included in the 2025 same store pool that were in NSA's same store pool reported in 2023.
20
Supplemental Schedule 7
Same Store Operating Data (771 Stores) - Trailing Five Quarters
(dollars in thousands, except per square foot data) (unaudited)
3Q 2025
2Q 2025
1Q 2025
4Q 2024
3Q 2024
YTD 2025
YTD 2024
Revenue
Rental revenue
$
164,069
$
162,570
$
162,224
$
164,207
$
167,820
$
488,863
$
503,265
Other property-related revenue
6,181
6,405
6,433
6,380
7,028
19,019
19,554
Total revenue
170,250
168,975
168,657
170,587
174,848
507,882
522,819
Property operating expenses
Store payroll and related costs
12,376
12,429
12,182
12,076
12,103
36,987
37,895
Property tax expense
15,299
15,170
15,116
14,630
14,338
45,585
42,757
Utilities expense
6,146
4,935
5,470
4,844
5,699
16,551
15,152
Repairs & maintenance expense
3,672
4,487
4,771
3,557
3,674
12,930
11,711
Marketing expense
5,746
6,560
5,224
4,436
4,446
17,530
13,517
Insurance expense
2,328
2,323
2,489
2,645
2,557
7,140
7,699
Other property operating expenses
7,263
6,816
6,993
7,492
7,545
21,072
22,441
Total property operating expenses
52,830
52,720
52,245
49,680
50,362
157,795
151,172
Net operating income
$
117,420
$
116,255
$
116,412
$
120,907
$
124,486
$
350,087
$
371,647
Net operating income margin
69.0
%
68.8
%
69.0
%
70.9
%
71.2
%
68.9
%
71.1
%
Occupancy at period end
84.5
%
85.0
%
83.6
%
84.7
%
85.9
%
84.5
%
85.9
%
Average occupancy
85.0
%
84.2
%
83.9
%
85.5
%
86.5
%
84.4
%
86.2
%
Average annualized rental revenue (includes fees and net of any discounts and uncollectible customer amounts) per occupied square foot
$
15.67
$
15.68
$
15.70
$
15.60
$
15.73
$
15.68
$
15.78
Average annual contract storage rent per square foot
In-place customers
$
14.71
$
14.72
$
14.64
$
14.50
$
14.68
$
14.69
$
14.78
Move-ins
$
10.07
$
10.30
$
9.89
$
9.08
$
9.60
$
10.10
$
10.02
Move-outs
$
13.32
$
13.37
$
13.22
$
13.39
$
13.65
$
13.31
$
13.83
21
Supplemental Schedule 8
Reconciliation of Same Store Data and Net Operating Income to Net Income
(dollars in thousands) (unaudited)
3Q 2025
2Q 2025
1Q 2025
4Q 2024
3Q 2024
YTD 2025
YTD 2024
Rental revenue
Same store portfolio
$
164,069
$
162,570
$
162,224
$
164,207
$
167,820
$
488,863
$
503,265
Non-same store portfolio
5,838
7,268
7,251
6,822
6,647
20,357
25,953
Total rental revenue
169,907
169,838
169,475
171,029
174,467
509,220
529,218
Other property-related revenue
Same store portfolio
6,181
6,405
6,433
6,380
7,028
19,019
19,554
Non-same store portfolio
278
369
311
328
377
958
1,100
Total other property-related revenue
6,459
6,774
6,744
6,708
7,405
19,977
20,654
Property operating expenses
Same store portfolio
52,830
52,720
52,245
49,680
50,362
157,795
151,172
Non-same store portfolio
2,517
2,907
2,859
2,696
2,641
8,283
9,747
Prior period comparability adjustment (1)
—
—
—
(131)
(291)
—
(1,312)
Total property operating expenses
55,347
55,627
55,104
52,245
52,712
166,078
159,607
Net operating income
121,019
120,985
121,115
125,492
129,160
363,119
390,265
Management fees and other revenue
12,336
12,230
12,135
12,381
11,749
36,701
30,345
General and administrative expenses
(11,460)
(12,804)
(13,145)
(12,629)
(13,114)
(37,409)
(44,977)
Depreciation and amortization
(46,885)
(47,612)
(48,116)
(48,153)
(47,661)
(142,613)
(141,702)
Other
(4,101)
(4,500)
(4,476)
(3,356)
(3,643)
(13,077)
(10,510)
Interest expense
(40,549)
(41,269)
(40,475)
(39,340)
(39,575)
(122,293)
(114,920)
Loss on early extinguishment of debt
—
—
—
—
(323)
—
(323)
Equity in earnings (losses) of unconsolidated real estate ventures
463
(3,945)
(5,739)
(5,284)
(4,712)
(9,221)
(10,791)
Acquisition and integration costs
(1,439)
(2,040)
(2,445)
(1,465)
(1,164)
(5,924)
(2,151)
Non-operating income (expense)
503
462
360
(38)
(83)
1,325
352
Gain on sale of self storage properties
—
9,571
1,425
—
—
10,996
63,841
Income tax expense
(871)
(120)
(1,120)
(1,477)
(863)
(2,111)
(2,290)
Net Income
$
29,016
$
30,958
$
19,519
$
26,131
$
29,771
$
79,493
$
157,139
(1)
Certain payroll and related costs associated with the former PRO portfolios were not reflected as property-level expenses in 2024 under the management of the former PROs. Such costs are reflected in property operating expenses in 2025 under our management. For purposes of comparable same store reporting, we have included the specific 2024 expense amounts for the same store portfolio in the relevant periods. This line item is presented in order to reconcile total property operating expenses to previously reported figures.
22
Supplemental Schedule 9
Selected Financial Information
(dollars in thousands, except per square foot data) (unaudited)
Three Months Ended September 30,
Nine Months Ended September 30,
2025
2024
2025
2024
Average Annualized Rental Revenue Per Occupied Square Foot
Same store
$
15.67
$
15.73
$
15.68
$
15.78
Total consolidated portfolio
15.59
15.57
15.61
15.64
Average Occupancy
Same store
85.0
%
86.5
%
84.4
%
86.2
%
Total consolidated portfolio
84.5
%
86.0
%
83.8
%
85.8
%
Total Consolidated Portfolio Capital Expenditures
Recurring capital expenditures
$
6,956
$
3,391
$
15,657
$
9,187
Value enhancing capital expenditures
7,802
503
9,729
2,675
Acquisitions capital expenditures
177
62
1,219
1,611
Total consolidated portfolio capital expenditures
$
14,935
$
3,956
$
26,605
$
13,473
Property Operating Expenses Detail
Store payroll and related costs
$
13,012
$
12,487
$
39,133
$
38,975
Property tax expense
15,983
15,042
47,818
45,475
Utilities expense
6,450
5,990
17,418
16,220
Repairs & maintenance expense
3,854
3,835
13,565
12,359
Marketing expense
5,986
4,715
18,376
14,432
Insurance expense
2,488
2,732
7,682
8,311
Other property operating expenses
7,574
7,911
22,086
23,835
Property operating expenses on the Company's statements of operations
$
55,347
$
52,712
$
166,078
$
159,607
General and Administrative Expenses Detail
Supervisory and administrative expenses
$
1,198
$
3,418
$
4,027
$
13,567
Equity-based compensation expense
1,975
1,911
5,955
6,097
Other general and administrative expenses
8,287
7,785
27,427
25,313
General and administrative expenses on the Company's statements of operations
$
11,460
$
13,114
$
37,409
$
44,977
23
Glossary
This Earnings Release and Supplemental Financial Information includes certain financial and operating measures used by NSA management that are not calculated in accordance with accounting principles generally accepted in the United States, or GAAP. NSA's definitions and calculations of these non-GAAP financial and operating measures and other terms may differ from the definitions and methodologies used by other real estate companies and, accordingly, may not be comparable. These non-GAAP financial and operating measures should not be considered an alternative to GAAP net income or any other GAAP measurement of performance and should not be considered an alternative measure of liquidity.
AVERAGE ANNUALIZED RENTAL REVENUE PER OCCUPIED SQUARE FOOT: Average annualized rental revenue per occupied square foot is computed by dividing annualized rental revenue (including fees and net of any discounts and uncollectible customer amounts) by average occupied square feet.
AVERAGE OCCUPANCY: Average occupancy is calculated based on the average of the month-end occupancy immediately preceding the period presented and the month-end occupancies included in the respective period presented.
CAPITAL EXPENDITURES DEFINITIONS
ACQUISITIONS CAPITAL EXPENDITURES: Acquisitions capital expenditures represents the portion of capital expenditures capitalized during the current period that were identified and underwritten prior to a property's acquisition.
RECURRING CAPITAL EXPENDITURES: Recurring capital expenditures represents the portion of capital expenditures that are deemed to replace the consumed portion of acquired capital assets and extend their useful lives.
VALUE ENHANCING CAPITAL EXPENDITURES: Value enhancing capital expenditures represents the portion of capital expenditures that are made to enhance the revenue and value of an asset from its original purchase condition.
EBITDA: NSA defines EBITDA as net income (loss), as determined under GAAP, plus interest expense, loss on early extinguishment of debt, income taxes, depreciation and amortization expense and the Company's share of unconsolidated real estate venture depreciation and amortization. NSA defines ADJUSTED EBITDA as EBITDA plus acquisition costs, integration costs, executive severance costs, equity-based compensation expense, losses on sale of properties, impairment of long-lived assets and casualty-related expenses, losses and recoveries, minus gains on sale of properties and debt forgiveness, and after adjustments for unconsolidated partnerships and joint ventures, including the removal of the non-cash effect of applying hypothetical liquidation at book value (HLBV) for purposes of allocating GAAP net income (loss) for the 2024 Joint Venture. These further adjustments eliminate the impact of items that the Company does not consider indicative of its core operating performance. In evaluating EBITDA and Adjusted EBITDA, you should be aware that in the future the Company may incur expenses that are the same as or similar to some of the adjustments in this presentation. NSA's presentation of EBITDA and Adjusted EBITDA should not be construed as an inference that its future results will be unaffected by unusual or non-recurring items.
NSA presents EBITDA and Adjusted EBITDA because the Company believes they assist investors and analysts in comparing the Company's performance across reporting periods on a consistent basis by excluding items that the Company does not believe are indicative of its core operating performance. EBITDA and Adjusted EBITDA have limitations as an analytical tool. Some of these limitations are:
• EBITDA and Adjusted EBITDA do not reflect the Company's cash expenditures, or future requirements, for capital expenditures, contractual commitments or working capital needs;
• EBITDA and Adjusted EBITDA do not reflect the significant interest expense, or the cash requirements necessary to service interest or principal payments, on the Company's debts;
• although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and EBITDA and Adjusted EBITDA do not reflect any cash requirements for such replacements;
• Adjusted EBITDA excludes equity-based compensation expense, which is and will remain a key element of the Company's overall long-term incentive compensation package, although the Company excludes it as an expense when evaluating its ongoing operating performance for a particular period;
24
• EBITDA and Adjusted EBITDA do not reflect the impact of certain cash charges resulting from matters the Company considers not to be indicative of its ongoing operations; and
• other companies in NSA's industry may calculate EBITDA and Adjusted EBITDA differently than NSA does, limiting their usefulness as comparative measures.
NSA compensates for these limitations by considering the economic effect of the excluded expense items independently as well as in connection with the Company's analysis of net income (loss). EBITDA and Adjusted EBITDA should be considered in addition to, but not as a substitute for, other measures of financial performance reported in accordance with GAAP, such as total revenues and net income (loss).
FUNDS FROM OPERATIONS: Funds from operations, or FFO, is a widely used performance measure for real estate companies and is provided here as a supplemental measure of the Company's operating performance. The December 2018 Nareit Funds From Operations White Paper - 2018 Restatement defines FFO as net income (as determined under GAAP), excluding: real estate depreciation and amortization, gains and losses from the sale of certain real estate assets, gains and losses from change in control, mark-to-market changes in value recognized on equity securities, impairment write-downs of certain real estate assets and impairment of investments in entities when it is directly attributable to decreases in the value of depreciable real estate held by the entity, and after adjusting equity in earnings (losses) to reflect the Company's share of FFO in unconsolidated real estate ventures. Distributions declared on subordinated performance units and DownREIT subordinated performance units represent NSA's allocation of FFO to noncontrolling interests held by subordinated performance unitholders and DownREIT subordinated performance unitholders. For purposes of calculating FFO attributable to common shareholders, OP unitholders, and LTIP unitholders, NSA excludes distributions declared on preferred shares and preferred units, and, prior to the internalization of the PRO structure, subordinated performance units and DownREIT subordinated performance units. NSA defines CORE FFO as FFO, as further adjusted to eliminate the impact of certain items that the Company does not consider indicative of its core operating performance. These further adjustments consist of acquisition costs, integration costs, executive severance costs, gains on debt forgiveness, gains (losses) on early extinguishment of debt, casualty-related expenses, losses and related recoveries, and after adjustments for unconsolidated partnerships and joint ventures.
Management uses FFO and Core FFO as key performance indicators in evaluating the operations of NSA's properties. Given the nature of NSA's business as a real estate owner and operator, the Company considers FFO and Core FFO as key supplemental measures of its operating performance that are not specifically defined by GAAP. NSA believes that FFO and Core FFO are useful to management and investors as a starting point in measuring the Company's operational performance because FFO and Core FFO exclude various items included in net income (loss) that do not relate to or are not indicative of the Company's operating performance such as gains (or losses) from sales of self storage properties and depreciation, which can make periodic and peer analyses of operating performance more difficult. NSA's computation of FFO and Core FFO may not be comparable to FFO reported by other REITs or real estate companies.
FFO and Core FFO should be considered in addition to, but not as a substitute for, other measures of financial performance reported in accordance with GAAP, such as total revenues, operating income and net income (loss). FFO and Core FFO do not represent cash generated from operating activities determined in accordance with GAAP and are not a measure of liquidity or an indicator of NSA's ability to make cash distributions. NSA believes that to further understand the Company's performance, FFO and Core FFO should be compared with the Company's reported net income (loss) and considered in addition to cash flows computed in accordance with GAAP, as presented in the Company's consolidated financial statements.
HYPOTHETICAL LIQUIDATION AT BOOK VALUE METHOD OF UNCONSOLIDATED REAL ESTATE VENTURE: Subject to achieving certain performance benchmarks by the non-NSA investor, the distribution rights and priorities set forth in the 2024 Joint Venture agreement may differ from what is reflected by the underlying percentage ownership interest of the venture. Accordingly , NSA allocates GAAP income (loss) for its 2024 Joint Venture utilizing the hypothetical liquidation at book value ("HLBV") method, in which NSA allocates income or loss based on the change in each owners' claim on the net assets of the venture at period end assuming the liquidation of the underlying book value of the venture after adjusting for any distributions or contributions made during such period.
NET DEBT TO ANNUALIZED CURRENT QUARTER ADJUSTED EBITDA: NSA calculates net debt to Adjusted EBITDA as debt financing less cash and cash equivalents (both as reflected on the consolidated balance sheet), divided by annualized current quarter Adjusted EBITDA.
NET OPERATING INCOME: Net operating income, or NOI, represents rental revenue plus other property-related revenue less property operating expenses. NOI is not a measure of performance calculated in accordance with GAAP.
25
NSA believes NOI is useful to investors in evaluating the Company's operating performance because:
• NOI is one of the primary measures used by NSA's management to evaluate the economic productivity of the Company's properties, including the Company's ability to lease its properties, increase pricing and occupancy and control the Company's property operating expenses;
• NOI is widely used in the real estate industry and the self storage industry to measure the performance and value of real estate assets without regard to various items included in net income that do not relate to or are not indicative of operating performance, such as depreciation and amortization, which can vary depending upon accounting methods, the book value of assets, and the impact of NSA's capital structure; and
• NSA believes NOI helps the Company's investors to meaningfully compare the results of its operating performance from period to period by removing the impact of the Company's capital structure (primarily interest expense on the Company's outstanding indebtedness) and depreciation of the cost basis of NSA's assets from its operating results.
There are material limitations to using a non-GAAP measure such as NOI, including the difficulty associated with comparing results among more than one company and the inability to analyze certain significant items, including depreciation and interest expense, that directly affect the Company's net income (loss). NSA compensates for these limitations by considering the economic effect of the excluded expense items independently as well as in connection with the Company's analysis of net income (loss). NOI should be considered in addition to, but not as a substitute for, other measures of financial performance reported in accordance with GAAP, such as total revenues and net income (loss).
NON-SAME STORE PORTFOLIO: Non-same store portfolio comprises those properties that do not meet the Same Store portfolio property definition.
OPERATING PARTNERSHIP UNITS: Operating partnership units, or OP Units, are Class A common units of limited partner interest in the Company's operating partnership which are economically equivalent to NSA's common shares. NSA also owns certain of the Company's self storage properties through other consolidated subsidiaries of the Company's operating partnership, which the Company refers to as "DownREIT partnerships." The DownREIT partnerships issue certain units of limited partner or limited liability company interest that are intended to be economically equivalent to the Company's OP units, which the Company defines as DOWNREIT OPERATING PARTNERSHIP UNIT EQUIVALENTS , or DownREIT OP units.
PROs: Participating regional operators, or "PROs", were NSA's experienced regional self storage operators with local operational focus and expertise. Effective July 1, 2024, in connection with the internalization of its PRO structure, the Company purchased the PROs' management contracts. As of September 30, 2025, the majority of operations have transitioned to the Company.
RENTABLE SQUARE FEET: Rentable square feet includes all enclosed self storage units but excludes commercial, residential, and covered parking space.
SAME STORE PORTFOLIO: NSA's same store portfolio is defined as those properties owned and operated on a stabilized basis since the first day of the earliest year presented. The Company considers a property to be stabilized once it has achieved an occupancy rate that is representative of similar properties in the applicable market. NSA excludes any properties sold, expected to be sold or subject to significant changes such as expansions or casualty events which cause the portfolio's year-over-year operating results to no longer be comparable.
SUBORDINATED PERFORMANCE UNITS: Subordinated performance units, or SP Units, were Class B common units of limited partner interest in the Company's operating partnership. SP units, which were linked to the performance of specific contributed portfolios, were intended to incentivize the Company's former PROs to drive operating performance and support the sustainability of the operating cash flow generated by the contributed self storage properties that the PROs continued to manage on NSA's behalf. Because subordinated performance unit holders received distributions only after portfolio-specific minimum performance thresholds were satisfied, the Company believed SP units played a key role in aligning the interests of the Company's former PROs with NSA and the Company's shareholders. The DownREIT partnerships also issued units of limited partner interest that were intended to be economically equivalent to the Company's SP units, which the Company defines as DOWNREIT SUBORDINATED PERFORMANCE UNIT EQUIVALENTS , or DownREIT SP units. Effective July 1, 2024, in connection with the internalization of the PRO structure, all 11,906,167 outstanding subordinated performance units and DownREIT subordinated performance units were converted into an aggregate of 17,984,787 OP units and DownREIT OP units.
26
Equity Research Coverage
Barclays
BMO Capital Markets
BNP Paribas Exane
Brendan Lynch
Juan Sanabria
John Paul Flangos
212.526.9428
312.845.4074
646.342.5660
BofA Global Research
Citi Investment Research
Deutsche Bank
Samir Khanal
Eric Wolfe
Omotayo Okusanya
646.855.1497
212.816.2640
212.250.9284
Evercore ISI
Green Street
Jefferies
Steve Sakwa
Spenser Glimcher
Jonathan Petersen
212.446.9462
949.640.8780
212.284.1705
KeyBanc Capital Markets
Mizuho Securities
Morgan Stanley
Todd Thomas
Ravi Vaidya
Ronald Kamdem
917.368.2286
212.282.4347
212.296.8319
RW Baird
Truist Securities
UBS
Wes Golladay
Michael Lewis
Michael Goldsmith
216.737.7510
212.319.5659
212.713.2951
Wells Fargo
Wolfe Research
Eric Luebchow
Andrew Rosivach
312.630.2386
646.582.9250
27Item 9.01 - Financial Statements and Exhibits
61 words
ITEM 9.01. Financial Statements and Exhibits. The following exhibits are furnished with this report: Exhibit Number Description 99.1 Third Quarter 2025 Earnings Release dated November 3, 2025 101 Cover Page Interactive Data File - the cover page XBRL tags are embedded within the Inline XBRL document. 104 The cover page from this Current Report on Form 8-K, formatted as Inline XBRL.