Cover
Cover - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 22, 2024 | Jun. 30, 2023 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 001-32269 | ||
Entity Registrant Name | EXTRA SPACE STORAGE INC. | ||
Entity Incorporation, State or Country Code | MD | ||
Entity Tax Identification Number | 20-1076777 | ||
Entity Address, Address Line One | 2795 East Cottonwood Parkway, Suite 300 | ||
Entity Address, City or Town | Salt Lake City | ||
Entity Address, State or Province | UT | ||
Entity Address, Postal Zip Code | 84121 | ||
City Area Code | 801 | ||
Local Phone Number | 365-4600 | ||
Title of 12(b) Security | Common Stock, $0.01 par value | ||
Trading Symbol | EXR | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Smaller Reporting Company | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 19,343,600,223 | ||
Entity Common Stock, Shares Outstanding | 211,574,552 | ||
Documents Incorporated by Reference | Portions of the registrant’s definitive proxy statement to be issued in connection with the registrant’s annual stockholders’ meeting to be held in 2024 are incorporated by reference into Part III of this Annual Report on Form 10-K. | ||
Amendment Flag | false | ||
Entity Central Index Key | 0001289490 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Audit Information [Abstract] | |
Auditor Name | Ernst & Young LLP |
Auditor Location | Salt Lake City, Utah |
Auditor Firm ID | 42 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Assets: | ||
Real estate assets, net | $ 24,555,873 | $ 9,997,978 |
Real estate assets - operating lease right-of-use assets | 227,241 | 221,725 |
Investments in unconsolidated real estate entities | 1,071,617 | 582,412 |
Investments in debt securities and notes receivable | 904,769 | 858,049 |
Cash and cash equivalents | 99,062 | 92,868 |
Other assets, net | 597,700 | 414,426 |
Total assets | 27,456,262 | 12,167,458 |
Liabilities, Noncontrolling Interests and Equity: | ||
Notes payable, net | 1,273,549 | 1,288,555 |
Unsecured term loans, net | 2,650,581 | 2,340,116 |
Unsecured senior notes, net | 6,410,618 | 2,757,791 |
Revolving lines of credit | 682,000 | 945,000 |
Operating lease liabilities | 236,515 | 229,035 |
Cash distributions in unconsolidated real estate ventures | 71,069 | 67,352 |
Accounts payable and accrued expenses | 334,518 | 171,680 |
Other liabilities | 383,463 | 289,655 |
Total liabilities | 12,042,313 | 8,089,184 |
Commitments and contingencies | ||
Extra Space Storage Inc. stockholders' equity: | ||
Preferred stock, $0.01 par value, 50,000,000 shares authorized, no shares issued or outstanding | 0 | 0 |
Common stock, $0.01 par value, 500,000,000 shares authorized, 211,278,803 and 133,921,020 shares issued and outstanding at December 31, 2023 and 2022, respectively | 2,113 | 1,339 |
Additional paid-in capital | 14,750,388 | 3,345,332 |
Accumulated other comprehensive income | 17,435 | 48,798 |
Accumulated deficit | (379,015) | (135,872) |
Total Extra Space Storage Inc. stockholders' equity | 14,390,921 | 3,259,597 |
Noncontrolling interest represented by Preferred Operating Partnership units, net | 222,360 | 261,502 |
Noncontrolling interests in Operating Partnership, net and other noncontrolling interests | 800,668 | 557,175 |
Total noncontrolling interests and equity | 15,413,949 | 4,078,274 |
Total liabilities, noncontrolling interests and equity | $ 27,456,262 | $ 12,167,458 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, authorized (in shares) | 50,000,000 | 50,000,000 |
Preferred stock, issued (in shares) | 0 | 0 |
Preferred stock, outstanding (in shares) | 0 | 0 |
Common stock, par value (dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 500,000,000 | 500,000,000 |
Common stock, issued (in shares) | 211,278,803 | 133,921,020 |
Common stock, outstanding (in shares) | 211,278,803 | 133,921,020 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenues: | |||
Property rental | $ 2,222,578 | $ 1,654,735 | $ 1,340,990 |
Tenant reinsurance | 235,680 | 185,531 | 170,108 |
Management fees and other income | 101,986 | 83,904 | 66,264 |
Total revenues | 2,560,244 | 1,924,170 | 1,577,362 |
Expenses: | |||
Property operations | 612,036 | 435,342 | 368,608 |
Tenant reinsurance | 58,874 | 33,560 | 29,488 |
Transaction costs | 0 | 1,548 | 0 |
Life Storage Merger transition costs | 66,732 | 0 | 0 |
General and administrative | 146,408 | 129,251 | 102,194 |
Depreciation and amortization | 506,053 | 288,316 | 241,879 |
Total expenses | 1,390,103 | 888,017 | 742,169 |
Gain on real estate transactions | 0 | 14,249 | 140,760 |
Income from operations | 1,170,141 | 1,050,402 | 975,953 |
Interest expense | (419,035) | (219,171) | (166,183) |
Non-cash interest expense related to amortization of discount on Life Storage unsecured senior notes | (18,786) | 0 | 0 |
Interest income | 84,857 | 69,422 | 49,703 |
Income before equity in earnings and dividend income from unconsolidated real estate entities and income tax expense | 817,177 | 900,653 | 859,473 |
Equity in earnings and dividend income from unconsolidated real estate entities | 54,835 | 41,428 | 32,358 |
Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets | 0 | 0 | 6,251 |
Income tax expense | (21,559) | (20,925) | (20,324) |
Net income | 850,453 | 921,156 | 877,758 |
Net income allocated to Preferred Operating Partnership noncontrolling interests | (9,011) | (17,623) | (14,697) |
Net income allocated to Operating Partnership and other noncontrolling interests | (38,244) | (42,845) | (35,412) |
Net income attributable to common stockholders | $ 803,198 | $ 860,688 | $ 827,649 |
Earnings per common share | |||
Basic (in dollars per share) | $ 4.74 | $ 6.41 | $ 6.20 |
Diluted (in dollars per share) | $ 4.74 | $ 6.41 | $ 6.19 |
Weighted average number of shares | |||
Basic (in shares) | 169,216,989 | 134,050,815 | 133,374,938 |
Diluted (in shares) | 169,220,882 | 141,681,388 | 140,016,028 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | |||
Net income (loss) | $ 850,453 | $ 921,156 | $ 877,758 |
Other comprehensive income: | |||
Change in fair value of interest rate swaps | (32,752) | 96,249 | 59,325 |
Total comprehensive income | 817,701 | 1,017,405 | 937,083 |
Less: comprehensive income attributable to noncontrolling interests | 45,866 | 65,373 | 52,887 |
Comprehensive income attributable to common stockholders | $ 771,835 | $ 952,032 | $ 884,196 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Redemption of units for cash | Redemption of units for stock | Series A Units Redemption of units for stock and cash | Series B Units Redemption of units for cash | Series B Units Redemption of units for stock | Series D Units | Series D Units Redemption of units for cash | Series D Units Redemption of units for stock | Preferred Operating Partnership | Preferred Operating Partnership Series A Units Redemption of units for stock and cash | Preferred Operating Partnership Series B Units Redemption of units for cash | Preferred Operating Partnership Series B Units Redemption of units for stock | Preferred Operating Partnership Series D Units | Preferred Operating Partnership Series D Units Redemption of units for cash | Preferred Operating Partnership Series D Units Redemption of units for stock | Operating Partnership | Operating Partnership Redemption of units for cash | Operating Partnership Redemption of units for stock | Other | Common stock | Common stock Redemption of units for stock | Common stock Series A Units Redemption of units for stock and cash | Common stock Series B Units Redemption of units for stock | Common stock Series D Units Redemption of units for stock | Additional Paid-in Capital | Additional Paid-in Capital Redemption of units for cash | Additional Paid-in Capital Redemption of units for stock | Additional Paid-in Capital Series A Units Redemption of units for stock and cash | Additional Paid-in Capital Series B Units Redemption of units for stock | Additional Paid-in Capital Series D Units Redemption of units for stock | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit |
Beginning balance at Dec. 31, 2020 | $ 2,936,124 | $ 172,052 | $ 215,892 | $ 401 | $ 1,314 | $ 3,000,458 | $ (99,093) | $ (354,900) | |||||||||||||||||||||||||
Beginning balance (in shares) at Dec. 31, 2020 | 131,357,961 | ||||||||||||||||||||||||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||||||||||||||||||||
Issuance of common stock upon the exercise of options | $ 4,572 | 4,572 | |||||||||||||||||||||||||||||||
Issuance of common stock upon the exercise of options (in shares) | 62,322 | 62,322 | |||||||||||||||||||||||||||||||
Issuance of common stock in connection with share based compensation | $ 17,303 | 17,303 | |||||||||||||||||||||||||||||||
Issuance of common stock in connection with share based compensation (in shares) | 148,228 | ||||||||||||||||||||||||||||||||
Restricted stock grants cancelled (in shares) | (12,808) | ||||||||||||||||||||||||||||||||
Issuance of common stock, net of offering costs (in shares) | 2,185,685 | ||||||||||||||||||||||||||||||||
Issuance of common stock, net of offering costs | 273,189 | $ 22 | 273,167 | ||||||||||||||||||||||||||||||
Redemption of noncontrolling interests | $ (788) | $ 0 | $ 0 | $ (2,834) | $ (173) | $ (6,373) | $ 2 | $ 1 | $ (615) | $ 6,371 | $ 2,833 | ||||||||||||||||||||||
Redemption of noncontrolling interests (in shares) | 165,652 | 15,265 | |||||||||||||||||||||||||||||||
Repayment of receivable with Operating Partnership units pledged as collateral | 411 | 411 | |||||||||||||||||||||||||||||||
Issuance of Operating Partnership units in conjunction with acquisitions | 188,319 | $ 88,074 | $ 88,074 | 188,319 | |||||||||||||||||||||||||||||
Purchase of remaining equity interest in existing consolidated joint venture | (18,141) | (18,141) | |||||||||||||||||||||||||||||||
Noncontrolling interest in consolidated joint ventures | (82) | (82) | |||||||||||||||||||||||||||||||
Net income (loss) | 877,758 | 14,697 | 35,414 | (2) | 827,649 | ||||||||||||||||||||||||||||
Other comprehensive income (loss) | 59,325 | 366 | 2,412 | 56,547 | |||||||||||||||||||||||||||||
Distributions to Operating Partnership units held by noncontrolling interests | (39,094) | (13,245) | (25,849) | ||||||||||||||||||||||||||||||
Dividends paid on common stock | (600,994) | (600,994) | |||||||||||||||||||||||||||||||
Ending balance at Dec. 31, 2021 | $ 3,785,976 | 259,110 | 410,053 | 317 | $ 1,339 | 3,285,948 | (42,546) | (128,245) | |||||||||||||||||||||||||
Ending balance (in shares) at Dec. 31, 2021 | 133,922,305 | ||||||||||||||||||||||||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||||||||||||||||||||
Issuance of common stock upon the exercise of options (in shares) | 0 | ||||||||||||||||||||||||||||||||
Issuance of common stock in connection with share based compensation | $ 21,388 | $ 2 | 21,386 | ||||||||||||||||||||||||||||||
Issuance of common stock in connection with share based compensation (in shares) | 204,349 | ||||||||||||||||||||||||||||||||
Issuance of Preferred D units in the Operating Partnership in conjunction with business combination | $ 6,000 | $ 6,000 | |||||||||||||||||||||||||||||||
Issuance of common stock in conjunction with acquisition (in shares) | 186,766 | ||||||||||||||||||||||||||||||||
Issuance of common stock in conjunction with acquisitions | 40,963 | $ 2 | 40,961 | ||||||||||||||||||||||||||||||
Restricted stock grants cancelled (in shares) | (10,614) | ||||||||||||||||||||||||||||||||
Issuance of Operating Partnership units in conjunction with business combination | 16,000 | 16,000 | |||||||||||||||||||||||||||||||
Redemption of noncontrolling interests | (4,617) | $ (4,500) | $ (4,500) | (1,654) | (2,963) | ||||||||||||||||||||||||||||
Issuance of Operating Partnership units in conjunction with acquisitions | 125,000 | 125,000 | |||||||||||||||||||||||||||||||
Repurchase of common stock, net of offering costs | (63,008) | $ (4) | (63,004) | ||||||||||||||||||||||||||||||
Repurchase of common stock, net of offering costs (in shares) | (381,786) | ||||||||||||||||||||||||||||||||
Noncontrolling interest in consolidated joint ventures | 771 | 771 | |||||||||||||||||||||||||||||||
Net income (loss) | 921,156 | 17,623 | 42,853 | (8) | 860,688 | ||||||||||||||||||||||||||||
Other comprehensive income (loss) | 96,249 | 577 | 4,328 | 91,344 | |||||||||||||||||||||||||||||
Distributions to Operating Partnership units held by noncontrolling interests | (57,793) | (17,308) | (40,485) | ||||||||||||||||||||||||||||||
Dividends paid on common stock | (805,311) | (805,311) | |||||||||||||||||||||||||||||||
Ending balance at Dec. 31, 2022 | $ 4,078,274 | 261,502 | 556,095 | 1,080 | $ 1,339 | 3,345,332 | 48,798 | (135,872) | |||||||||||||||||||||||||
Ending balance (in shares) at Dec. 31, 2022 | 133,921,020 | 133,921,020 | |||||||||||||||||||||||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||||||||||||||||||||
Issuance of common stock upon the exercise of options (in shares) | 0 | ||||||||||||||||||||||||||||||||
Issuance of common stock in connection with share based compensation | $ 26,638 | $ 2 | 26,636 | ||||||||||||||||||||||||||||||
Issuance of common stock in connection with share based compensation (in shares) | 149,995 | ||||||||||||||||||||||||||||||||
Taxes paid upon net settlement of share based compensation | $ (7,640) | (7,640) | |||||||||||||||||||||||||||||||
Taxes paid upon net settlement of share based compensation (in shares) | (8,295) | ||||||||||||||||||||||||||||||||
Restricted stock grants cancelled (in shares) | (10,084) | ||||||||||||||||||||||||||||||||
Redemption of noncontrolling interests | $ (108) | $ 0 | $ (5,316) | $ (377) | $ 0 | $ (16,339) | $ (377) | $ (22,265) | $ (89) | $ (225) | $ 8 | $ 2 | $ (19) | $ 225 | $ 11,015 | $ 22,263 | |||||||||||||||||
Redemption of noncontrolling interests (in shares) | 2,803 | 851,698 | 154,307 | ||||||||||||||||||||||||||||||
Repurchase of common stock, net of offering costs (in shares) | 0 | ||||||||||||||||||||||||||||||||
Life Storage Merger issuance of common stock and Operating Partnership units | $ 11,602,808 | 249,470 | $ 762 | 11,352,576 | |||||||||||||||||||||||||||||
Life Storage Merger issuance of common stock and Operating Partnership Units (in shares) | 76,217,359 | ||||||||||||||||||||||||||||||||
Noncontrolling interest in consolidated joint ventures | 7,959 | 7,959 | |||||||||||||||||||||||||||||||
Net income (loss) | 850,453 | 9,011 | 38,369 | (125) | 803,198 | ||||||||||||||||||||||||||||
Other comprehensive income (loss) | (32,752) | (1,389) | (31,363) | ||||||||||||||||||||||||||||||
Distributions to Operating Partnership units held by noncontrolling interests | (59,649) | (9,172) | (50,477) | ||||||||||||||||||||||||||||||
Dividends paid on common stock | (1,046,341) | (1,046,341) | |||||||||||||||||||||||||||||||
Ending balance at Dec. 31, 2023 | $ 15,413,949 | $ 222,360 | $ 791,754 | $ 8,914 | $ 2,113 | $ 14,750,388 | $ 17,435 | $ (379,015) | |||||||||||||||||||||||||
Ending balance (in shares) at Dec. 31, 2023 | 211,278,803 | 211,278,803 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends paid on common stock (in dollars per share) | $ 6.48 | $ 6 | $ 4.50 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash flows from operating activities: | |||
Net income (loss) | $ 850,453 | $ 921,156 | $ 877,758 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 506,053 | 288,316 | 241,879 |
Amortization of deferred financing costs | 18,949 | 8,773 | 10,587 |
Non-cash interest expense related to amortization of discount on Life Storage unsecured senior notes | 18,786 | 0 | 0 |
Compensation expense related to share-based awards | 26,638 | 21,386 | 17,303 |
Accrual of interest income added to principal of debt securities and notes receivable | (37,907) | (38,412) | (34,550) |
Gain on real estate transactions | 0 | (14,249) | (140,760) |
Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets | 0 | 0 | (6,251) |
Distributions from unconsolidated real estate ventures | 20,060 | 13,162 | 7,035 |
Changes in operating assets and liabilities: | |||
Other assets | (32,507) | 695 | (22,022) |
Accounts payable and accrued expenses | 35,031 | 29,027 | 10,951 |
Other liabilities | (3,082) | 8,285 | (9,494) |
Net cash provided by operating activities | 1,402,474 | 1,238,139 | 952,436 |
Cash flows from investing activities: | |||
Acquisition of real estate assets and improvements | (320,711) | (1,291,491) | (1,233,298) |
Life Storage Merger, net of cash acquired | (1,182,411) | 0 | 0 |
Cash paid for business combination | 0 | (157,302) | 0 |
Development and redevelopment of real estate assets | (100,181) | (62,019) | (56,226) |
Proceeds from sale of real estate assets and investments in real estate ventures | 2,132 | 39,367 | 572,728 |
Investment in unconsolidated real estate entities | (180,279) | (118,963) | (54,602) |
Return of investment in unconsolidated real estate ventures | 0 | 342 | 31,534 |
Issuance and purchase of notes receivable | (330,499) | (529,245) | (317,482) |
Proceeds from sale of notes receivable | 167,495 | 210,048 | 172,002 |
Principal payments received from notes receivable | 142,192 | 283,636 | 51,463 |
Purchase of equipment and fixtures | (15,994) | (22,832) | (3,659) |
Net cash used in investing activities | (1,818,256) | (1,648,459) | (837,540) |
Cash flows from financing activities: | |||
Proceeds from the sale of common stock, net of offering costs | 0 | 0 | 273,189 |
Proceeds from unsecured term loans and senior notes and revolving lines of credit | 8,663,003 | 5,584,111 | 5,706,981 |
Principal payments on unsecured term loans and senior notes and revolving lines of credit | (7,088,984) | (4,207,700) | (5,500,290) |
Deferred financing costs | (39,418) | (9,321) | (10,698) |
Proceeds from principal payments on note receivable collateralized by OP Units | 0 | 0 | 411 |
Net proceeds from exercise of stock options | 0 | 0 | 4,572 |
Repurchase of common stock | 0 | (63,008) | 0 |
Redemption of Preferred OP units for cash | (5,377) | (4,500) | 0 |
Redemption of Operating Partnership units for cash | (108) | (4,617) | (788) |
Contributions from noncontrolling interests | 74 | 0 | 0 |
Distributions to minority investors | (70) | 0 | 0 |
Dividends paid on common stock | (1,046,341) | (805,311) | (600,994) |
Distributions to noncontrolling interests | (59,649) | (57,793) | (39,094) |
Net cash provided by (used in) financing activities | 423,130 | 431,861 | (166,711) |
Net increase (decrease) in cash, cash equivalents, and restricted cash | 7,348 | 21,541 | (51,815) |
Cash, cash equivalents, and restricted cash, beginning of the period | 97,735 | 76,194 | 128,009 |
Cash, cash equivalents, and restricted cash, end of the period | 105,083 | 97,735 | 76,194 |
Cash and equivalents | 99,062 | 92,868 | 71,126 |
Restricted cash included in other assets | 6,021 | 4,867 | 5,068 |
Cash, cash equivalents, and restricted cash | 105,083 | 97,735 | 76,194 |
Supplemental schedule of cash flow information | |||
Interest paid | 338,552 | 197,069 | 152,170 |
Income taxes paid | 22,753 | 18,957 | 26,252 |
Redemption of Operating Partnership units held by noncontrolling interests for common stock | |||
Noncontrolling interests in Operating Partnership | (116,336) | 0 | (6,373) |
Common stock and paid-in capital | 16,336 | 0 | 6,373 |
Noncontrolling interests in Operating Partnership Note Receivable Payoff | 100,000 | 0 | 0 |
Redemption of Preferred Operating Partnership units for common stock | |||
Preferred Operating Partnership units | (33,604) | 0 | (2,834) |
Additional paid-in capital | 33,604 | 0 | 2,834 |
Acquisition and establishment of operating lease right of use assets and lease liabilities | |||
Real estate assets - operating lease right-of-use assets | 265 | 16,298 | 6,655 |
Operating lease liabilities | (265) | (16,298) | (6,655) |
Acquisitions of real estate assets | |||
Real estate assets, net | 0 | 171,703 | 318,036 |
Value of equity issued | 0 | (165,965) | (276,393) |
Net liabilities assumed | 0 | 0 | (20,028) |
Investment in unconsolidated real estate ventures | 0 | 1,085 | 5,383 |
Finance lease liability | 0 | (6,823) | (26,998) |
Life Storage Merger real estate assets | |||
Real estate assets, net | 13,575,501 | 0 | 0 |
Unsecured senior notes | (2,106,866) | 0 | 0 |
Accounts payable, accrued expenses and other liabilities | (191,077) | 0 | 0 |
Equity investment in joint venture partnerships | 325,250 | 0 | 0 |
Accrued construction costs and capital expenditures | |||
Acquisition of real estate assets | 10,508 | 368 | 1,323 |
Accounts payable and accrued expenses | (10,508) | (368) | (1,323) |
Establishment of finance lease assets and lease liabilities | |||
Real estate assets, net | 0 | 0 | 67,992 |
Other liabilities | 0 | 0 | (67,992) |
Preferred OP Units | |||
Issuance of OP and Preferred OP units in conjunction with business combination | |||
Equity interests issued | 0 | (6,000) | 0 |
Common OP Units | |||
Issuance of OP and Preferred OP units in conjunction with business combination | |||
Equity interests issued | 0 | (16,000) | 0 |
Common stock | |||
Life Storage Merger real estate assets | |||
Value of common stock issued | (11,353,338) | 0 | 0 |
Value of OP units issued | (11,353,338) | 0 | 0 |
Operating Partnership | |||
Life Storage Merger real estate assets | |||
Value of common stock issued | (249,470) | 0 | 0 |
Value of OP units issued | $ (249,470) | $ 0 | $ 0 |
Description of Business
Description of Business | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DESCRIPTION OF BUSINESS | DESCRIPTION OF BUSINESS Extra Space Storage Inc. (the “Company”) is a fully integrated, self-administered and self-managed real estate investment trust (“REIT”), formed as a Maryland corporation on April 30, 2004, to own, operate, manage, acquire, develop and redevelop professionally managed self-storage properties located throughout the United States. The Company was formed to continue the business of Extra Space Storage LLC and its subsidiaries, which had engaged in the self-storage business since 1977. The Company’s interest in its stores is held through its operating partnership, Extra Space Storage LP (the “Operating Partnership”), which was formed on May 5, 2004. The Company’s primary assets are general partner and limited partner interests in the Operating Partnership. This structure is commonly referred to as an umbrella partnership REIT, or UPREIT. The Company invests in stores by acquiring wholly-owned stores or by acquiring an equity interest in real estate entities. At December 31, 2023, the Company had direct and indirect equity interests in 2,377 storage facilities. In addition, the Company managed 1,337 stores for third parties bringing the total number of stores which it owns and/or manages to 3,714. These stores are located in 42 states and Washington, D.C. The Company also offers tenant reinsurance at its owned and managed stores that insures the value of goods in the storage units. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The consolidated financial statements are presented on the accrual basis of accounting in accordance with U.S. generally accepted accounting principles (“GAAP”) and include the accounts of the Company and its wholly- or majority-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Principles of Consolidation The Company accounts for arrangements that are not controlled through voting or similar rights as variable interest entities (“VIEs”). An enterprise is required to consolidate a VIE if it is the primary beneficiary of the VIE. A VIE is created when (i) the equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support from other parties, or (ii) the entity’s equity holders as a group either: (a) lack the power, through voting or similar rights, to direct the activities of the entity that most significantly impact the entity’s economic performance, (b) are not obligated to absorb expected losses of the entity if they occur, or (c) do not have the right to receive expected residual returns of the entity if they occur. If an entity is deemed to be a VIE, the enterprise that is deemed to have a variable interest, or combination of variable interests, that provides the enterprise with a controlling financial interest in the VIE, is considered the primary beneficiary and must consolidate the VIE. The Company has concluded that under certain circumstances when the Company enters into arrangements for the formation of joint ventures or when entering into a new bridge loan agreement, a VIE may be created under condition (i), (ii), (b) or (c) of the previous paragraph. For each VIE created, the Company has performed a qualitative analysis, including considering which party, if any, has the power to direct the activities most significant to the economic performance of each VIE and whether that party has the obligation to absorb losses of the VIE or the right to receive benefits from the VIE that could be significant to the VIE. If the Company is determined to be the primary beneficiary of the VIE, the assets, liabilities and operations of the VIE are consolidated with the Company’s financial statements. The Company determined that its operating partnership met the definition of a VIE and is consolidated. Additionally, as of December 31, 2023 the Company determined in addition to its operating partnership that it had one consolidated joint venture VIE, consisting of one store. Substantially all of the assets and liabilities of the Company are related to the operating partnership VIE. The assets and credit of the VIE can only be used to satisfy the VIE's own contractual obligations, and the VIE's creditors have no recourse to the general credit of the Company. The Company’s investments in real estate joint ventures, where the Company has significant influence, but not control, and joint ventures which are VIEs in which the Company is not the primary beneficiary, are recorded under the equity method of accounting on the accompanying consolidated financial statements. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Fair Value Disclosures Derivative financial instruments Currently, the Company uses interest rate swaps to manage its interest rate risk. The valuation of these instruments is determined using widely accepted valuation techniques including discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate curves. The fair values of interest rate swaps are determined using the market standard methodology of netting the discounted future fixed cash payments and the discounted expected variable cash receipts. The variable cash receipts are based on an expectation of future interest rates (forward curves) derived from observable market interest rate forward curves. The Company incorporates credit valuation adjustments to appropriately reflect both its own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. In adjusting the fair value of its derivative contracts for the effect of nonperformance risk, the Company has considered the impact of netting and any applicable credit enhancements, such as collateral postings, thresholds, mutual puts, and guarantees. In conjunction with the Financial Accounting Standard Board’s fair value measurement guidance, the Company made an accounting policy election to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio. Although the Company has determined that the majority of the inputs used to value its derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with its derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by itself and its counterparties. However, as of December 31, 2023, the Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and has determined that the credit valuation adjustments are not significant to the overall valuation of its derivatives. As a result, the Company has determined that its derivative valuations in their entirety are classified in Level 2 of the fair value hierarchy. The table below presents the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2023, aggregated by the level in the fair value hierarchy within which those measurements fall. Fair Value Measurements at Reporting Date Using Description December 31, 2023 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Other assets - Cash flow hedge swap agreements $ 26,183 $ — $ 26,183 $ — Other liabilities - Cash flow hedge swap agreements $ 5,030 $ — $ 5,030 $ — There were no transfers of assets and liabilities between Level 1 and Level 2 during the year ended December 31, 2023. The Company did not have any significant assets or liabilities that are re-measured on a recurring basis using significant unobservable inputs as of December 31, 2023 or 2022. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Long-lived assets held for use are evaluated for impairment when events or circumstances indicate there may be impairment. The Company reviews each store at least annually to determine if any such events or circumstances have occurred or exist. The Company focuses on stores where occupancy and/or rental income have decreased by a significant amount. For these stores, the Company determines whether the decrease is temporary or permanent, and whether the store will likely recover the lost occupancy and/or revenue in the short term. In addition, the Company reviews stores in the lease-up stage and compares actual operating results to original projections. When the Company determines that an event that may indicate impairment has occurred, the Company compares the carrying value of the related long-lived assets to the undiscounted future net operating cash flows attributable to the assets. An impairment loss is recorded if the net carrying value of the assets exceeds the undiscounted future net operating cash flows attributable to the assets. The impairment loss recognized equals the excess of net carrying value over the related fair value of the assets. When real estate assets are identified by management as held for sale, the Company discontinues depreciating the assets and estimates the fair value of the assets, net of selling costs. The Company compares the carrying value of the related long-lived assets to the undiscounted future net operating cash flows attributable to the assets (categorized within Level 3 of the fair value hierarchy). If the estimated fair value, net of selling costs, of the assets that have been identified as held for sale is less than the net carrying value of the assets, the Company would recognize a loss on the assets held for sale. The operations of assets held for sale or sold during the period are presented as part of normal operations for all periods presented. The Company assesses annually whether there are any indicators that the value of the Company’s investments in unconsolidated real estate entities may be impaired and when events or circumstances indicate that there may be impairment. An investment is impaired if management’s estimate of the fair value of the investment is less than its carrying value. To the extent impairment has occurred, and is considered to be other than temporary, the loss is measured as the excess of the carrying amount of the investment over the fair value of the investment. The Company evaluates goodwill for impairment at least annually and whenever events, circumstances, and other related factors indicate that fair value of the related reporting unit may be less than the carrying value. If the fair value of the reporting unit is determined to exceed the aggregate carrying amount, no impairment charge is recorded. Otherwise, an impairment charge is recorded to the extent the carrying amount of the goodwill exceeds the amount that would be allocated to goodwill if the reporting unit were acquired for estimated fair value. No impairments of goodwill were recorded for any period presented herein. As of December 31, 2023 and 2022, the Company did not have any assets or liabilities measured at fair value on a nonrecurring basis. Fair Value of Financial Instruments The carrying values of cash and cash equivalents, restricted cash, receivables, other financial instruments included in other assets, accounts payable and accrued expenses, variable-rate notes payable, investments in debt securities and notes receivable, revolving lines of credit and other liabilities reflected in the consolidated balance sheets at December 31, 2023 and 2022, approximate fair value. The fair values of the Company’s notes receivable and notes receivable from Preferred and Common Operating Partnership unit holders were based on the discounted estimated future cash flow of the notes (categorized within Level 3 of the fair value hierarchy); the discount rate used approximated the current market rate for loans with similar maturities and credit quality. The fair values of the Company’s fixed rate notes payable were estimated using the discounted estimated future cash payments to be made on such debt (categorized within Level 3 of the fair value hierarchy); the discount rates used approximated current market rates for loans, or groups of loans, with similar maturities and credit quality. The fair values of the Company’s fixed-rate assets and liabilities were as follows for the periods indicated: December 31, 2023 December 31, 2022 Fair Carrying Fair Carrying Notes receivable from Preferred and Common Operating Partnership unit holders $ 1,886 $ 1,900 $ 95,965 $ 101,900 Fixed rate notes receivable $ — $ — $ 5,191 $ 5,241 Fixed rate debt $ 7,482,054 $ 8,048,605 $ 4,320,014 $ 4,762,196 Real Estate Assets Real estate assets are stated at cost, less accumulated depreciation. Direct and allowable internal costs associated with the development, construction, renovation, and improvement of real estate assets are capitalized. Interest, property taxes, and other costs associated with development incurred during the construction period are capitalized. The construction period begins when expenditures for the real estate assets have been made and activities that are necessary to prepare the asset for its intended use are in progress. The construction period ends when the asset is substantially complete and ready for its intended use. Expenditures for maintenance and repairs are charged to expense as incurred. Major replacements and betterments that improve or extend the life of the asset are capitalized and depreciated over their estimated useful lives. Depreciation is computed using the straight-line method over the estimated useful lives of the buildings and improvements, which are generally between five The purchase of stores are considered asset acquisitions. As such, the purchase price is allocated to the real estate assets acquired based on their relative fair values, which are estimated using significant unobservable inputs. The value of the tangible assets, consisting of land and buildings, is determined as if vacant. Intangible assets, which represent the value of existing tenant relationships, are recorded at their relative fair values based on the avoided cost to replace the current leases. The Company measures the value of tenant relationships based on the rent lost due to the amount of time required to replace existing customers, which is based on the Company’s historical experience with turnover in its stores. Any debt assumed as part of the acquisition is recorded at fair value based on current interest rates compared to contractual rates. Acquisition-related transaction costs are capitalized as part of the purchase price. Intangible lease rights represent: (1) purchase price amounts allocated to leases on three stores that cannot be classified as ground or building leases; these rights are amortized to expense over the life of the leases and (2) intangibles related to ground leases on nine stores where the leases were assumed by the Company at rates that were lower than the current market rates for similar leases. The values associated with these assumed leases were recorded as intangibles, which will be amortized over the lease terms. Real Estate Sales In general, sales of real estate and related profits/losses are recognized when all consideration has changed hands and risks and rewards of ownership have been transferred. Certain types of continuing involvement preclude sale treatment and related profit recognition; other forms of continuing involvement allow for sale recognition but require deferral of profit recognition. Investments in Unconsolidated Real Estate Entities Investments in unconsolidated real estate entities and Cash distributions in unconsolidated real estate ventures represent the Company's noncontrolling interest in real estate joint ventures that own stores and the Company's interest in preferred stock of SmartStop Self Storage REIT, Inc. ("SmartStop") and Strategic Storage Trust VI, Inc. ("Strategic Storage"), an affiliate of SmartStop. The Company’s investments in real estate joint ventures, where the Company has significant influence, but not control and joint ventures which are VIEs in which the Company is not the primary beneficiary, are recorded under the equity method of accounting in the accompanying consolidated financial statements. Under the equity method, the Company’s investment in real estate ventures is stated at cost and adjusted for the Company’s share of net earnings or losses and reduced by distributions. Equity in earnings of real estate ventures is generally recognized based on the Company’s ownership interest in the earnings of each of the unconsolidated real estate ventures. For the purposes of presentation in the statement of cash flows, the Company follows the “nature of distribution” approach for classification of distributions from joint ventures. Under this approach, cash flows are classified on the basis of the nature of the activity or activities of the investee that generated the distribution as either a return on investment (classified as a cash inflow from operating activities) or a return of investment (classified as a cash inflow from investing activities). The Company evaluated its investments in preferred stock of non-public real estate entities and determined it did not have significant influence over the entity, and the investment in preferred stock does not have a readily determinable fair value, therefore it has been recorded at the transaction price. The Company periodically evaluates the investment for impairment. No impairments were recorded during the year ended December 31, 2023. Investments in Debt Securities and Notes Receivable The Company accounts for its investment in debt securities and loans receivable at amortized cost. The Company recognizes interest income related to the debt securities and notes receivable using the effective interest method, with deferred fees and costs amortized over the lives of the related loans as yield adjustment. Cash and Cash Equivalents The Company’s cash is deposited with financial institutions located throughout the United States and at times may exceed federally insured limits. The Company considers all highly liquid debt instruments with a maturity date of three months or less to be cash equivalents. Derivative Instruments and Hedging Activities The Company records all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may enter into derivative contracts that are intended to economically hedge certain of its risk, even though hedge accounting does not apply or the Company elects not to apply hedge accounting. The Company made an accounting policy election to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio. Risk Management and Use of Financial Instruments In the normal course of its ongoing business operations, the Company encounters economic risk. There are three main components of economic risk: interest rate risk, credit risk and market risk. The Company is subject to interest rate risk on its interest-bearing liabilities. Credit risk is the risk of inability or unwillingness of tenants to make contractually required payments. Market risk is the risk of declines in the value of stores due to changes in rental rates, interest rates or other market factors affecting the value of stores held by the Company. The Company has entered into interest rate swap agreements to manage a portion of its interest rate risk. Redemption of Common Operating Partnership Units The Company has the option to redeem common Operating Partnership Units in cash or shares of common stock. Redemption of common Operating Partnership units for shares of common stock, when redeemed under the original provisions of the Operating Partnership agreement, is accounted for by reclassifying the underlying net book value of the units from noncontrolling interest to the Company’s equity. Redemption of common Operating Partnership units for cash is accounted for by reducing the underlying net book value of the units from noncontrolling interest. Revenue and Expense Recognition Rental revenues are recognized as earned based upon amounts that are currently due from tenants. Leases are generally on month-to-month terms. Prepaid rents are recognized on a straight-line basis over the term of the leases. Promotional discounts are recognized as a reduction to rental income over the promotional period. Late charges, administrative fees and merchandise sales are recognized as income when earned. The Company's management fees are earned subject to the terms of the related management services agreements ("MSAs"). These MSAs provide that the Company will perform management services, which include leasing and operating the property and providing accounting, marketing, banking, maintenance and other services. These services are provided in exchange for monthly management fees, which are based on a percentage of revenues collected from stores owned by third parties and unconsolidated joint ventures. MSAs generally have original terms from three management services are provided on a month-to-month basis unless terminated. Management fees are due on the last day of each calendar month that management services are provided. The Company accounts for the management services provided to a customer as a single performance obligation which are rendered over time each month. The total amount of consideration from the contract is variable as it is based on monthly revenues, which are influenced by multiple factors, some of which are outside the Company's control. Therefore, the Company recognizes the revenue at the end of each month once the uncertainty is resolved. Due to the standardized terms of the MSAs, the Company accounts for all MSAs in a similar, consistent manner. Therefore, no disaggregated information relating to MSAs is presented. Property expenses, including utilities, property taxes, repairs and maintenance and other costs to manage the facilities are recognized as incurred. The Company accrues for property tax expense based upon invoice amounts and estimates. If these estimates are incorrect, the timing of expense recognition could be affected. Tenant reinsurance premiums are recognized as revenue over the period of insurance coverage. Each tenant chooses the amount of insurance coverage they want through the tenant reinsurance program. Tenants can purchase policies in amounts up to 10,000 dollars of insurance coverage in exchange for a monthly fee. As of December 31, 2023, the total number of tenant insurance policies was 1.0 million, which was an aggregate coverage of approximately $3.0 billion. The Company’s exposure per claim is limited by the maximum amount of coverage chosen by each tenant. Advertising Costs The Company incurs advertising costs primarily attributable to digital and other advertising. These costs are expensed as incurred. The Company recognized $32,795, $19,285 and $18,793 in advertising expense for the years ended December 31, 2023, 2022 and 2021, respectively, which are included in property operating expenses on the Company’s consolidated statements of operations. Income Taxes The Company has elected to be treated as a REIT under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the "Internal Revenue Code"). In order to maintain its qualification as a REIT, among other requirements, the Company is required to distribute at least 90% of its REIT taxable income to its stockholders and meet certain tests regarding the nature of its income and assets. As a REIT, the Company is not subject to U.S. federal income tax with respect to that portion of its income which meets certain criteria and is distributed annually to stockholders. The Company plans to continue to operate so that it meets the requirements for taxation as a REIT. Many of these requirements, however, are highly technical and complex. For any taxable year that the Company fails to qualify as a REIT and for which applicable statutory relief provisions did not apply, the Company would be subject to U.S. federal corporate income tax on all of its taxable income for at least that year and the ensuing four years. The Company is subject to certain state and local taxes. Provision for such taxes has been included in income tax expense on the Company’s consolidated statements of operations. For the year ended December 31, 2023, 0% (unaudited) of all distributions to stockholders qualified as a return of capital. The Company owns and may acquire direct or indirect interests in entities that have elected or will elect to be taxed as REITs under the Internal Revenue Code (each, a “Subsidiary REIT ”). A Subsidiary REIT is subject to the various REIT qualification requirements and other limitations described herein that are applicable to the Company. If a Subsidiary REIT were to fail to qualify as a REIT, then (i) that Subsidiary REIT would become subject to U.S. federal income tax, (ii) shares in such Subsidiary REIT would cease to be qualifying assets for purposes of the asset tests applicable to REITs, and (iii) it is possible that the Company would fail certain of the asset tests applicable to REITs, in which event the Company would fail to qualify as a REIT unless it could avail itself of certain relief provisions. The Company has elected to treat certain corporate subsidiaries, including Extra Space Management, Inc. (“ESMI”), as a taxable REIT subsidiary (“TRS”). In general, a TRS may perform additional services for tenants and may engage in any real estate or non-real estate related business. A TRS is subject to U.S. federal corporate income tax and may also be subject to state and local income taxes. ESM Reinsurance Limited, a wholly-owned subsidiary of ESMI, generates income from insurance premiums that are subject to U.S. federal corporate income tax and state insurance premiums tax. Deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities. At December 31, 2023 and 2022, there were no material unrecognized tax benefits. Interest and penalties relating to uncertain tax positions will be recognized in income tax expense when incurred. As of December 31, 2023 and 2022, the Company had no interest or penalties related to uncertain tax provisions. Stock-Based Compensation The measurement and recognition of compensation expense for all share-based payment awards to employees and directors are based on estimated fair values. Awards granted are valued at fair value and any compensation expense is recognized over the service periods of each award. Earnings Per Common Share Basic earnings per common share is computed using the two-class method by dividing net income attributable to common stockholders by the weighted average number of common shares outstanding during the period. All outstanding unvested restricted stock awards contain rights to non-forfeitable dividends and participate in undistributed earnings with common stockholders; accordingly, they are considered participating securities that are included in the two-class method. Diluted earnings per common share measures the performance of the Company over the reporting period while giving effect to all potential common shares that were dilutive and outstanding during the period. The denominator includes the weighted average number of basic shares and the number of additional common shares that would have been outstanding if the potential common shares that were dilutive had been issued, and is calculated using either the two-class, treasury stock or as if-converted method, whichever is most dilutive. Potential common shares are securities (such as options, convertible debt, Series A Participating Redeemable Preferred Units (“Series A Units”), Series B Redeemable Preferred Units (“Series B Units”), and Series D Redeemable Preferred Units (“Series D Units”) and together with the Series A Units and Series B Units, the (“Preferred OP Units") and common Operating Partnership units (“OP Units”)) that do not have a current right to participate in earnings of the Company but could do so in the future by virtue of their option, redemption or conversion right. For the purposes of computing the diluted impact of the potential exchange of the Preferred OP Units for common shares upon redemption, where the Company has the option to redeem in cash or shares and where the Company has stated the intent and ability to settle the redemption in shares, the Company divided the total liquidation value of the Preferred OP Units by the average share price of $142.16 for the year ended December 31, 2023. The following table presents the number of weighted OP Units and Preferred OP Units, and the potential common shares, that were excluded from the computation of earnings per share as their effect would have been anti-dilutive: For the Year Ended December 31, 2023 2022 2021 Equivalent Shares (if converted) Equivalent Shares (if converted) Equivalent Shares (if converted) Common OP Units 7,970,487 — — Series B Units 236,130 187,664 246,618 Series D Units 1,332,049 1,140,513 726,037 9,538,666 1,328,177 972,655 For the purposes of computing the diluted impact on earnings per share of the potential exchange of Series A Units for common shares upon redemption, where the Company has the option to redeem in cash or shares and where the Company has stated the positive intent and ability to settle at least $101,700 of the instrument in cash (or net settle a portion of the Series A Units against the related outstanding note receivable), only the amount of the instrument in excess of $101,700 is considered in the calculation of shares contingently issuable for the purposes of computing diluted earnings per share as allowed by ASC 260-10-45-46. Accordingly, the number of shares included in the computation for diluted earnings per share related to the Series A Units is equal to the number of Series A Units outstanding, with no additional shares included related to the $101,700 fixed amount. The computation of earnings per share is as follows for the periods presented: For the Year Ended December 31, 2023 2022 2021 Net income attributable to common stockholders $ 803,198 $ 860,688 $ 827,649 Earnings and dividends allocated to participating securities (1,230) (1,201) (1,183) Earnings for basic computations 801,968 859,487 826,466 Income allocated to noncontrolling interest - Preferred Operating Partnership Units and Operating Partnership Units — 50,706 43,093 Fixed component of income allocated to noncontrolling interest - Preferred Operating Partnership (Series A Units) — (2,288) (2,288) Net income for diluted computations $ 801,968 $ 907,905 $ 867,271 Weighted average common shares outstanding: Average number of common shares outstanding - basic 169,216,989 134,050,815 133,374,938 OP Units — 6,749,995 5,752,902 Series A Units — 875,480 875,480 Shares related to dilutive stock options 3,893 5,098 12,708 Average number of common shares outstanding - diluted 169,220,882 141,681,388 140,016,028 Earnings per common share Basic $ 4.74 $ 6.41 $ 6.20 Diluted $ 4.74 $ 6.41 $ 6.19 Recently Issued Accounting Standards In March 2020, the FASB issued ASU 2020-04, " Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting " (“ASU 2020-04”). ASU 2020-04 provides temporary optional guidance that provides transition relief for reference rate reform, including optional expedients and exceptions for applying GAAP to contract modifications, hedging relationships and other transactions that reference LIBOR or a reference rate that is expected to be discontinued as a result of reference rate reform if certain criteria are met. ASU 2020-04 is effective upon issuance, and the provisions generally can be applied prospectively as of January 1, 2020 through December 31, 2024. The Company elected to apply the hedge accounting expedients related to probability and the assessments of effectiveness for future LIBOR-indexed cash flows to assume that the index upon which future hedged transactions will be based matches the index on the corresponding derivatives. The Company also elected to apply additional expedients related to contract modifications, changes in critical terms, and updates to the designated hedged risks as qualifying changes are made to applicable debt and derivative contracts. Application of |
Real Estate Assets
Real Estate Assets | 12 Months Ended |
Dec. 31, 2023 | |
Real Estate [Abstract] | |
Real Estate Assets | REAL ESTATE ASSETS The components of real estate assets are summarized as follows: December 31, 2023 December 31, 2022 Land $ 4,904,705 $ 2,356,746 Buildings, improvements and other intangibles 21,664,224 9,425,468 Right of use asset - finance lease 143,842 136,259 Intangible assets - tenant relationships 321,019 152,775 Intangible lease rights 27,743 12,943 27,061,533 12,084,191 Less: accumulated depreciation and amortization (2,624,405) (2,138,524) Net operating real estate assets 24,437,128 9,945,667 Real estate under development/redevelopment 118,745 52,311 Real estate assets, net $ 24,555,873 $ 9,997,978 Real estate assets held for sale included in real estate assets, net $ — $ — The Company amortizes to expense intangible assets—tenant relationships on a straight-line basis over the average period that a tenant is expected to utilize the facility (currently estimated at 18 months). The Company amortizes to expense the intangible lease rights over the terms of the related leases. Amortization related to the tenant relationships and lease rights was $59,807, $13,981, and $4,778 for the years ended December 31, 2023, 2022 and 2021, respectively. The remaining balance of the unamortized lease rights will be amortized over the next five |
Other Assets
Other Assets | 12 Months Ended |
Dec. 31, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Other Assets | OTHER ASSETS The components of other assets are summarized as follows: December 31, 2023 December 31, 2022 Goodwill $ 170,811 $ 170,811 Receivables, net 134,716 85,937 Prepaid expenses and deposits 85,153 50,318 Other intangible assets, net 66,332 — Trade name 50,000 — Fair value of interest rate swaps 26,183 54,839 Equipment and fixtures, net 48,697 42,808 Deferred line of credit financing costs, net 9,787 4,846 Restricted cash 6,021 4,867 $ 597,700 $ 414,426 three |
Property Acquisitions and Dispo
Property Acquisitions and Dispositions | 12 Months Ended |
Dec. 31, 2023 | |
Real Estate [Abstract] | |
Property Acquisitions and Dispositions | PROPERTY ACQUISITIONS AND DISPOSITIONS The Life Storage Merger On July 20, 2023, the Company closed its merger with Life Storage (the "Life Storage Merger" or "Merger"), which included 757 wholly-owned stores and one consolidated joint venture store. Under the terms of the Life Storage Merger, Life Storage stockholders and holders of units of the Life Storage operating partnership received 0.895 of a share of common stock (or OP Unit, as applicable) of the Company for each issued and outstanding share (or operating partnership unit) of Life Storage they owned for total consideration of $11,602,808, based on the Company's closing share price on July 19, 2023. At closing, the Company retired $1,160,000 in balances on Life Storage's line of credit which included $375,000 that Life Storage used to pay off its private placement notes in connection with the closing of the Life Storage Merger. The Company also paid off $32,000 in secured loans. On July 25, 2023, the Company completed obligor exchange offers and consent solicitations (together the "Exchange Offers") related to Life Storage's various senior notes. Upon the closing of the Exchange Offers, a total of $2,351,100 of Life Storage's senior notes were exchanged for senior notes of the same tenor of Extra Space Storage L.P. The remaining Life Storage senior note balances which were not exchanged total $48,900 and no longer have any financial reporting requirements or covenants. Consideration and Purchase Price Allocation The Merger was accounted for as an asset acquisition in accordance with ASC Topic 805 which requires that the cost of an acquisition be allocated on a relative fair value basis to the assets acquired and the liabilities assumed. The following table summarizes the fair value of total consideration transferred in the Life Storage Merger: Consideration Type July 20, 2023 Common stock $ 11,353,338 OP units 249,470 Cash for payoff of Life Storage credit facility and debt 1,192,000 Transaction Costs 55,318 Total consideration $ 12,850,127 The following table summarizes the estimated fair values assigned to the assets acquired and liabilities assumed: July 20, 2023 Real estate assets $ 14,587,735 Equity investment in joint venture partnerships 325,250 Cash and other assets 107,423 Intangible assets - other 82,000 Trade name 50,000 Unsecured senior notes (2,106,866) Accounts payable, accrued expenses and other liabilities (191,077) Noncontrolling interests (4,338) Fair value of net assets acquired $ 12,850,127 Fair Value Measurement The estimated fair values of assets acquired and liabilities assumed were primarily based on information that was available as of the closing date of the Life Storage Merger. The methodology used to estimate the fair values to apply purchase accounting and the ongoing financial statement impact, if any, are summarized below: • Real estate assets – Real estate assets acquired were recorded at fair value using standard valuation methodologies, including the cost and market approaches. The remaining useful lives for real estate assets, excluding land, were reset to 39 years. Tenant relationships for storage leases were recorded at fair value based on estimated costs the Company avoided to replace them. Tenant relationships are amortized to expense over 18 months, which is based on the Company’s historical experience with turnover in its stores. • Equity investment in joint venture partnerships - Equity investment in joint venture partnerships were recorded at fair value based on a direct capitalization of net operating income. • Intangible assets - other – Customer relationships relating to tenant reinsurance contracts were recorded at fair value based on the income approach which estimates the potential revenue loss the Company avoided to replace them. These assets are amortized to expense over 36 months, which is based on the Company’s historical experience with average length of stay for tenants. • Trade name – Trade names were recorded at fair value based on royalty payments avoided had the trade name been owned by a third party. This is determined using market royalty rates and a discounted cash flow analysis under the relief-from-royalty method. This method incorporates various assumptions, including projected revenue growth rates, the terminal growth rate, the royalty rate to be applied, and the discount rate utilized. The trade name is an indefinite lived asset and as such is not amortized. • Unsecured senior notes – Unsecured senior notes were recorded at fair value using readily available market data. The below-market value of debt is recorded as a debt discount and reported as a reduction of the unsecured senior notes balance on the condensed consolidated balance sheets. The discount is amortized using effective interest method as an increase to interest expense over the remaining terms of the unsecured senior notes. • Other assets and liabilities – the carrying values of cash, accounts receivable, prepaids and other assets, accounts payable, accrued expenses and other liabilities represented the fair values. December 31, 2023 Three Months Ended December 31, 2023 For the Year Ended December 31, 2023 Intangible Assets: Gross Carrying Amount Accumulated Amortization Amortization Expense Amortization Expense Trade name $ 50,000 $ — $ — $ — Intangible assets - other 82,000 15,695 9,417 15,695 132,000 15,695 9,417 15,695 Estimated Aggregate Amortization Expense Intangible Assets: 2024 2025 2026 Trade name $ — $ — $ — Intangible assets - other 23,375 19,833 11,569 $ 23,375 $ 19,833 $ 11,569 Store Acquisition The following table shows the Company’s acquisitions of stores for the years ended December 31, 2023 and 2022. The table excludes purchases of raw land and improvements made to existing assets. Consideration Paid Total Period Number of Stores Total Cash Paid Loan Assumed Finance Lease Liability Investments in Real Estate Ventures Net Liabilities/ (Assets) Assumed Value of Equity Issued Real estate assets Total 2023 14 $ 147,729 $ 135,577 $ 12,000 $ — $ — $ 152 $ — $ 147,729 Total 2022 153 $ 1,366,348 $ 1,193,261 $ — $ 6,823 $ 1,085 $ (786) $ 165,965 $ 1,366,348 On September 15, 2022, the Company completed the acquisition of multiple entities doing business as Storage Express for a purchase price of $590.0 million. A portion of the consideration paid was in the form of the issuance of 619,294 OP units (a total value of $125.0 million) and the remainder in cash. The portfolio included 106 operating stores and eight parcels of land for future development, all located in Illinois, Indiana, Kentucky and Ohio. This acquisition did not meet the definition of a business under ASU 2017-01, " Business Combinations (Topic 805): Clarifying the Definition of a Business " and was therefore recorded as an asset acquisition. Other Investments On June 1, 2022, the Company completed the acquisition of Bargold Storage Systems, LLC ("Bargold") for a purchase price of approximately $179.3 million. Bargold leases space in apartment buildings, primarily in New York City and its boroughs, builds out the space as storage units, and subleases the units to tenants. As of June 1, 2022, Bargold had approximately 17,000 storage units with an approximate occupancy of 97%. This acquisition is considered a business combination under ASU 2017-01, " Business Combinations (Topic 805): Clarifying the Definition of a Business ." The following table summarizes the total consideration transferred to acquire Bargold: Total cash paid by the company $ 157,302 Fair value of Series D Units issued 16,000 Fair value of OP Units issued 6,000 Total consideration transferred $ 179,302 As part of this acquisition, we recorded an expense of $1,465 related to transaction costs. The following table summarizes the preliminary estimated fair values of the assets acquired and liabilities assumed at the acquisition date: Cash and cash equivalents $ 175 Fixed assets 6,411 Developed technology 500 Trademarks 500 Customer relationships 1,870 Other assets 125 Accounts payables and accrued liabilities assumed (1,090) Nets asset acquired 8,491 Goodwill 170,811 Total assets acquired $ 179,302 The following table summarizes the revenues and earnings related to Bargold since the acquisition date of June 1, 2022, which are included in the Company's consolidated statement of operations for the year ended December 31, 2022: Total revenues $ 9,374 Net income from operations $ 1,718 Pro Forma Information As noted above, during the year ended December 31, 2022, the Company acquired Bargold. The following pro forma financial information is based on the combined historical financial statements of the Company and Bargold, however, only includes revenue and presents the Company's results as if the acquisition had occurred on January 1, 2021. Net income was excluded as it was impracticable to report expenses due to the lack of historical accrual basis accounting. For the Year Ended December 31, 2022 For the Year Ended December 31, 2021 Pro Forma Pro Forma Total revenues $ 1,930,816 $ 1,592,021 Store Dispositions The Company disposed of one store on May 18, 2022 and one on June 21, 2022, for a total cash consideration of approximately $38.7 million, resulting in a gain of approximately $14.2 million. Both had been classified as held for sale. On December 16, 2021 the Company sold 16 stores that had been classified as held for sale for total cash consideration of $200,292. The Company recorded a gain of $73,854. |
Investments in Unconsolidated R
Investments in Unconsolidated Real Estate Entities | 12 Months Ended |
Dec. 31, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investments in Unconsolidated Real Estate Entities | INVESTMENTS IN UNCONSOLIDATED REAL ESTATE ENTITIES Investments in unconsolidated real estate entities and Cash distributions in unconsolidated real estate ventures represent the Company's interest in preferred stock of SmartStop and Strategic Storage, an affiliate of SmartStop, and the Company's noncontrolling interest in real estate joint ventures that own stores. The Company accounts for its investments in SmartStop and Strategic Storage preferred stock, which do not have a readily determinable fair value, at the transaction price less impairment, if any. The Company accounts for its investments in joint ventures using the equity method of accounting. The Company initially records these investments at cost and subsequently adjusts for cash contributions, distributions and net equity in income or loss, which is allocated in accordance with the provisions of the applicable partnership or joint venture agreement. In these joint ventures, the Company and the joint venture partner generally receive a preferred return on their invested capital. To the extent that cash or profits in excess of these preferred returns are generated through operations or capital transactions, the Company would receive a higher percentage of the excess cash or profits, as applicable, than its equity interest. The Company separately reports investments with net equity less than zero in Cash distributions in unconsolidated real estate ventures in the consolidated balance sheets. The net equity of certain joint ventures is less than zero because distributions have exceeded the Company's investment in and share of income from these joint ventures. This is generally the result of financing distributions, capital events or operating distributions that are usually greater than net income, as net income includes non-cash charges for depreciation and amortization while distributions do not. Net Investments in unconsolidated real estate entities and Cash distributions in unconsolidated real estate ventures consist of the following: Number of Stores Equity Ownership % Excess Profit % (1) December 31, 2023 2022 PRISA Self Storage LLC 85 4% 4% $ 9,435 $ 8,596 HF1 Sovran HHF Storage Holdings LLC 37 20% 20% 105,339 — Storage Portfolio II JV LLC 36 10% 30% (8,314) (7,200) Storage Portfolio IV JV LLC 32 10% 30% 48,184 49,139 Storage Portfolio I LLC 24 34% 49% (42,487) (41,372) PR II EXR JV LLC 23 25% 25% 108,160 110,172 HF2 Sovran HHF Storage Holdings II LLC 22 15% 15% 41,613 — HF5 Life Storage-HIERS Storage LLC 17 20% 20% 26,051 — HF6 191 V Life Storage Holdings LLC 17 20% 20% 12,702 — ESS-CA TIVS JV LP 16 55% 55%-65% 29,128 30,778 VRS Self Storage, LLC 16 45% 54% (16,386) (15,399) HF10 Life Storage HHF Wasatch Holdings LLC 16 20% 20% 20,019 — Other unconsolidated real estate ventures 131 10%-50% 10%-50% 317,104 180,346 SmartStop Self Storage REIT, Inc. Preferred Stock (2) n/a n/a n/a 200,000 200,000 Strategic Storage Trust VI, Inc. Preferred Stock (3) n/a n/a n/a 150,000 — Net Investments in and Cash distributions in unconsolidated real estate entities 472 $ 1,000,548 $ 515,060 (1) Includes pro-rata equity ownership share and promoted interest. (2) In October 2019, the Company invested $200,000 in shares of convertible preferred stock of SmartStop with a dividend rate of 6.25% per annum, subject to increase after five years. The preferred shares are generally not redeemable for five years, except in the case of a change of control or initial listing of SmartStop. Dividend income from this investment is included on the equity in earnings and dividend income from unconsolidated real estate entities line on the Company's condensed consolidated statements of operations. (3) In May 2023, the Company invested $150,000 in shares of convertible preferred stock of Strategic Storage with a dividend rate of 8.35% per annum, subject to increase after five years. The preferred shares are generally not redeemable for three years, except in the case of a change of control or initial listing of Strategic Storage. Dividend income from this investment is included on the equity in earnings and dividend income from unconsolidated real estate entities line on the Company's condensed consolidated statements of operations. In June 2021, the Company sold its interest in two unconsolidated joint ventures to its joint venture partner. The Company received proceeds of $1,888 in cash, and recorded a gain of $525 which is included in Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and purchase of joint venture partner's interest in the Company's condensed consolidated statements of operations. The Company also purchased its joint venture partners' interests in two unconsolidated joint ventures. Also in June 2021, the WICNN JV LLC and GFN JV, LLC joint ventures sold all 17 of the stores owned by the joint ventures to a third party. Subsequent to the sales, these joint ventures were dissolved. As a result of these transactions, the Company recorded a gain of $5,739, which is included in Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and purchase of joint venture partner's interest in the Company's consolidated statements of operations. In accordance with ASC 810, the Company reviews all of its joint venture relationships annually to ensure that there are no entities that require consolidation. As of December 31, 2023, there were no previously unconsolidated entities that were required to be consolidated as a result of this review. The Company entered into 17 new unconsolidated real estate joint ventures (including 16 from the Life Storage Merger), which added a total of 146 stores and a total investment of $305,921 to the Company's portfolio during the year ended December 31, 2023. Additionally, the Company's existing joint ventures added nine stores for a total investment of $27,583 during the year ended December 31, 2023. The Company accounts for its investment in these ventures under the equity method of accounting. Equity in earnings and dividend income from unconsolidated real estate entities consists of the following: For the Year Ended December 31, 2023 2022 2021 Equity in earnings of PRISA Self Storage LLC $ 3,320 $ 3,272 $ 2,719 Equity in earnings of HF1 Sovran HHF Storage Holdings LLC (1) 1,553 — — Equity in earnings of Storage Portfolio II JV LLC 3,094 3,398 1,802 Equity in earnings of Storage Portfolio IV JV LLC 1,319 917 112 Equity in earnings of Storage Portfolio I LLC 5,182 4,684 2,833 Equity in earnings of PR II EXR JV LLC 2,227 1,229 (8) Equity in earnings of HF2 Sovran HHF Storage Holdings II LLC (1) 691 — — Equity in earnings of HF5 Life Storage-HIERS Storage LLC (1) 377 — — Equity in earnings of HF6 191 V Life Storage Holdings LLC (1) (735) — — Equity in earnings of ESS-CA TIVS JV LP 3,873 2,753 1,274 Equity in earnings of VRS Self Storage, LLC 5,253 5,401 4,352 Equity in earnings of HF10 Life Storage HHF Wasatch Holdings LLC (1) 40 — — Equity in earnings of other minority owned stores (1) 7,740 7,265 6,774 Dividend income from SmartStop preferred stock 12,500 12,509 12,500 Dividend income from Strategic Storage preferred stock 8,401 — — $ 54,835 $ 41,428 $ 32,358 (1) The earnings of the 16 joint ventures from the Life Storage Merger are from the close of acquisition on July 20, 2023. Equity in earnings of certain of our joint ventures includes the amortization of the Company’s excess purchase price of $60,253 of these equity investments over its original basis. The excess basis is amortized over 39 years. The Company provides management services to joint ventures for a fee. Management fee revenues for affiliated real estate joint ventures for the years ended December 31, 2023, 2022 and 2021 were $31,755, $24,389 and $17,619, respectively. |
Investments in Debt Securities
Investments in Debt Securities and Notes Receivable | 12 Months Ended |
Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments in Debt Securities and Notes Receivable | INVESTMENTS IN DEBT SECURITIES AND NOTES RECEIVABLE Investments in debt securities and notes receivable consists of the Company's investment in mandatorily redeemable preferred stock of Jernigan Capital, Inc. ("JCAP") in connection with JCAP's acquisition by affiliates of NexPoint Advisors, L.P. ("NexPoint") and receivables due to the Company under its bridge loan program. Information about these balances is as follows: December 31, 2023 December 31, 2022 Debt securities - Preferred Stock $ 300,000 $ 300,000 Notes Receivable - Bridge Loans 594,727 491,879 Dividends and Interest Receivable 10,042 66,170 $ 904,769 $ 858,049 In November 2020, the Company invested $300,000 in the preferred stock of JCAP in connection with the acquisition of JCAP by affiliates of NexPoint. This investment consisted of 200,000 Series A Preferred Shares valued at a total of $200,000, and 100,000 Series B Preferred Shares valued at a total of $100,000. In December 2022, the Company completed a modification with Nexpoint Storage Partners (as successor in interest to JCAP) that exchanged the Series A and B Preferred Shares for 300,000 Series D Preferred Shares, valued at a total of $300,000. The JCAP Series D preferred stock is mandatorily redeemable after six years from the modification in December 2022, with two one-year extension options. NexPoint may redeem the Preferred Shares at any time, subject to certain prepayment penalties. The Company accounts for the JCAP preferred stock as a held to maturity debt security at amortized cost and evaluates whether the fair value is below the amortized cost basis at each reporting period. The Series D Preferred Shares have initial dividend rates of 8.5%. If the investment is not retired after six years, the preferred dividends increase annually. In July 2020, the Company purchased a senior mezzanine note receivable with a principal amount of $103,000. The note receivable bore interest at 5.5%, with a maturity in December 2023 and was collateralized through an equity interest in which it or its subsidiaries wholly own 62 storage facilities. The Company paid cash of $101,142 for the note receivable and accounted for the discount at amortized cost. The discount was being amortized over the term of the note receivable. In February 2022, a junior mezzanine lender exercised its right to buy the Company’s position for the full principal balance plus interest due, as a result of which the Company sold this note for a total of $103,315 in cash. The remaining unamortized discount was recognized in that quarter as interest income. The Company provides bridge loan financing to third-party self-storage operators. These notes receivable consist of mortgage loans receivable, which are collateralized by self-storage properties, and unsecured mezzanine loans receivable. As of December 31, 2023, 70% of the notes held are mortgage receivables. The Company intends to sell a portion of the mortgage receivables. These notes receivable typically have a term of three years with two one-year extensions, and have variable interest rates. During the year ended December 31, 2023, the Company sold a total principal amount of $167,495 of its mortgage bridge loans receivable to third parties for a total of $167,495 in cash, closed on $283,039 in initial loan draws, and recorded $27,366 of draws from interest holdbacks. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Debt | DEBT The components of term debt are summarized as follows: Term Debt December 31, 2023 December 31, 2022 Fixed Rate Variable Rate (2) Maturity Dates Secured fixed-rate (1) $ 401,319 $ 521,820 2.67% - 4.62% April 2025 - February 2030 Secured variable-rate (1) 877,786 772,604 6.35% - 6.88% November 2024 - September 2030 Unsecured fixed-rate 7,921,633 4,240,376 2.08% - 5.90% January 2025 - March 2032 Unsecured variable-rate 1,463,367 884,624 6.30% - 6.63% June 2024 - July 2029 Total 10,664,105 6,419,424 Less: Discount on unsecured senior notes (3) (274,350) — Less: Unamortized debt issuance costs (55,007) (32,962) Total $ 10,334,748 $ 6,386,462 (1) The loans are collateralized by mortgages on real estate assets and the assignment of rents. (2) Basis rates include Term SOFR and Daily Simple SOFR (3) Unsecured senior notes from the Life Storage Merger were recorded at fair value, resulting in a discount to be amortized over the term of the debt. The following table summarizes the scheduled maturities of term debt, excluding available extensions, at December 31, 2023: 2024 648,250 2025 1,123,120 2026 1,409,581 2027 1,316,907 2028 1,029,000 2029 1,542,759 2030 1,344,488 2031 1,650,000 2032 600,000 Total $ 10,664,105 On June 22, 2023, the Company entered into the Third Amended and Restated Credit Agreement (the "Credit Agreement") which increased the commitment of the revolving credit facility to $1,940,000, and later to $2,000,000 with an Increasing Lender Supplement entered into in August 2023, and extended its maturity to June 2027. In connection with entering into the Credit Agreement, the Company paid off Tranche 5 and added the Tranche 8 term loan, maturing June 2024, which allowed the Company to draw up to $1,000,000 in connection with the Life Storage Merger. Tranche 8 was fully drawn on July 20, 2023, in connection with the closing of the Life Storage Merger, paid down to $400,000 in December 2023, and fully paid off in January 2024. Pursuant to the terms of the Credit Agreement, the Company may request an extension of the term of the revolving credit facility for up to two additional periods of six months each, after satisfying certain conditions. As of December 31, 2023, amounts outstanding under the revolving credit facility bore interest at floating rates, at the Company’s option, equal to either (i) Adjusted Term or Daily Simple SOFR plus the applicable margin or (ii) the applicable base rate which is the applicable margin plus the highest of (a) 0.0%, (b) the federal funds rate plus 0.50%, (c) U.S. Bank’s prime rate or (d) the SOFR rate plus 1.00%. Per the Credit Agreement, the applicable SOFR rate margin and applicable base rate margin are based on the Company’s achieved debt rating, with the SOFR rate margin ranging from 0.7% to 2.2% per annum and the applicable base rate margin ranging from 0.00% to 1.20% per annum. The Credit Agreement is guaranteed by the Company and is not secured by any assets of the Company. The Company's unsecured debt is subject to certain financial covenants. As of December 31, 2023, the Company was in compliance with all of its financial covenants. All of the Company’s lines of credit are guaranteed by the Company. The following table presents information on the Company’s lines of credit, the proceeds of which are used to repay debt and for general corporate purposes, for the periods indicated: As of December 31, 2023 Revolving Lines of Credit Amount Drawn Capacity Interest Rate Maturity Basis Rate (1) Credit Line 1 (2) $ 40,000 $ 140,000 6.7% 7/1/2026 SOFR plus 1.35% Credit Line 2 (3)(4) 642,000 2,000,000 6.3% 6/22/2027 ASOFR plus 0.775% $ 682,000 $ 2,140,000 (1) Daily Simple SOFR (2) Secured by mortgages on certain real estate assets. On January 13, 2023 the maturity date was extended to July 1, 2026 with one extension of one (3) Unsecured. On June 22, 2023, the maturity date was extended to June 22, 2027 with two six (4) Basis Rate as of December 31, 2023. Rate is subject to change based on the Company's investment grade rating. As of December 31, 2023, the Company’s percentage of fixed-rate debt to total debt was 73.4%. The weighted average interest rates of the Company’s fixed and variable-rate debt were 3.9% and 6.6%, respectively. The combined weighted average interest rate was 4.6%. |
Derivatives
Derivatives | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | DERIVATIVES The Company is exposed to certain risk arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources and duration of its debt funding and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing and duration of the Company’s known or expected cash payments principally related to the Company’s borrowings. Cash Flow Hedges of Interest Rate Risk The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges is recorded in accumulated other comprehensive income (“OCI”) and is subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. A portion of these changes is excluded from accumulated other comprehensive income as it is allocated to noncontrolling interests. During the years ended December 31, 2023, 2022 and 2021, such derivatives were used to hedge the variable cash flows associated with existing variable-rate debt. During 2024, the Company estimates that $19,010 will be reclassified as a decrease to interest expense. The following table summarizes the terms of the Company’s 15 active and four forward-starting derivative financial instruments, which have a total combined current notional amount of $1,448,566 as of December 31, 2023: Hedge Product Range of Notional Amounts Strike Effective Dates Maturity Dates Swap Agreements $32,000 - $245,000 0.96% - 4.33% 6/27/2018 - 7/14/2025 1/29/2024 - 2/1/2028 Fair Values of Derivative Instruments The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated balance sheets: Asset / Liability Derivatives Derivatives designated as hedging instruments: December 31, 2023 December 31, 2022 Other assets $ 26,183 $ 54,839 Other liabilities $ 5,030 $ 73 Effect of Derivative Instruments The tables below present the effect of the Company’s derivative financial instruments on the consolidated statements of operations for the periods presented. No tax effect has been presented as the derivative instruments are held by the Company: Gain (loss) recognized in OCI for the Year Ended December 31, Location of amounts reclassified from OCI into income Gain (loss) reclassified from OCI for the Year Ended December 31, Type 2023 2022 2023 2022 2021 Swap Agreements $ 8,730 $ 88,372 Interest expense $ 41,541 $ (7,877) $ (35,764) Credit-Risk-Related Contingent Features The Company has agreements with some of its derivative counterparties that contain provisions pursuant to which, the Company could be declared in default of its derivative obligations if the Company defaults on any of its indebtedness, including default where repayment of the indebtedness has not been accelerated by the lender. The Company also has an agreement with some of its derivative counterparties that incorporates the loan covenant provisions of the Company’s indebtedness with a lender affiliate of the derivative counterparty. Failure to comply with the loan covenant provisions would result in the Company being in default on any derivative instrument obligations covered by the agreement. As of December 31, 2023, the fair value of derivatives in a net liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements was $5,082. As of December 31, 2023, the Company had not posted any collateral related to these agreements. If the Company had breached any of these provisions as of December 31, 2023, it could have been required to cash settle its obligations under these agreements at their termination value of $5,082. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Stockholders' Equity | STOCKHOLDERS’ EQUITY The Company’s charter provides that it can issue up to 500,000,000 shares of common stock, $0.01 par value per share and 50,000,000 shares of preferred stock, $0.01 par value per share. As of December 31, 2023, 211,278,803 shares of common stock were issued and outstanding, and no shares of preferred stock were issued or outstanding. All holders of the Company's common stock are entitled to receive dividends and to one vote on all matters submitted to a vote of stockholders. The transfer agent and registrar for the Company’s common stock is American Stock Transfer & Trust Company. During the year ended December 31, 2023, the Company sold no shares of common stock. On July 20, 2023, the Company issued 76,217,359 shares of its common stock for a total value of $11,353,338. This was based on an exchange ratio of 0.895 per share conversion of Life Storage common stock at the Company's closing share price on July 19, 2023 of $148.96 as part of the Life Storage Merger. On January 7, 2022, the Company issued 186,766 shares of its common stock to acquire two stores for $40,965. On August 9, 2021, the Company filed its $800,000 "at the market" equity program with the Securities and Exchange Commission using a shelf registration statement on Form S-3, and entered into separate equity distribution agreements with ten sales agents. No shares have been sold under the current "at the market" equity program. From January 1, 2021, through August 8, 2021, the Company sold 585,685 shares of common stock under its prior "at the market" equity program at an average sales price of $115.90 per share resulting in net proceeds of 66,617. On March 23, 2021, the Company sold 1,600,000 shares of its common stock in a registered offering structured as a bought deal at a price of $129.13 per share resulting in net proceeds of 206,572. On November 13, 2023, the Company's board of directors authorized a share repurchase program allowing for the repurchase of shares with an aggregate value up to $500,000. During the year ended December 31, 2023, no shares were repurchased. As of December 31, 2023, the Company had remaining authorization to repurchase shares with an aggregate value up to $500,000. |
Noncontrolling Interest Represe
Noncontrolling Interest Represented By Preferred Operating Partnership Units | 12 Months Ended |
Dec. 31, 2023 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interest Represented By Preferred Operating Partnership Units | NONCONTROLLING INTEREST REPRESENTED BY PREFERRED OPERATING PARTNERSHIP UNITS Classification of Noncontrolling Interests GAAP requires a company to present ownership interests in subsidiaries held by parties other than the company in the consolidated financial statements within the equity section, but separate from the company’s equity. It also requires the amount of consolidated net income attributable to the parent and to the noncontrolling interest to be clearly identified and presented on the face of the consolidated statement of operations and requires changes in ownership interest to be accounted for similarly as equity transactions. If noncontrolling interests are determined to be redeemable, they are to be carried at their redemption value as of the balance sheet date and reported as temporary equity. The Company has evaluated the terms of the Operating Partnership’s preferred units and classifies the noncontrolling interest represented by such preferred units as stockholders’ equity in the accompanying consolidated balance sheets. The Company will periodically evaluate individual noncontrolling interests for the ability to continue to recognize the noncontrolling amount as permanent equity in the consolidated balance sheets. Any noncontrolling interests that fail to qualify as permanent equity will be reclassified as temporary equity and adjusted to the greater of (1) the carrying amount, or (2) its redemption value as of the end of the period in which the determination is made. At December 31, 2023 and 2022, the noncontrolling interests represented by the Preferred OP Units qualified for classification as permanent equity on the Company's consolidated balance sheets. The partnership agreement of the Operating Partnership (as amended, the "Partnership Agreement") provides for the designation and issuance of the OP Units. As of December 31, 2023 and 2022, noncontrolling interests in Preferred OP Units were presented net of notes receivable from Preferred Operating Partnership unit holders of $100,000 as of December 31, 2023 and 2022, respectively, as more fully described below. The balances for each of the specific preferred OP units as presented in the Statement of Noncontrolling Interests and Equity as of the periods indicated is as follows: December 31, 2023 December 31, 2022 Series A Units $ — $ 16,498 Series B Units 33,567 33,568 Series D Units 188,793 211,436 $ 222,360 $ 261,502 Series A Participating Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series A Units. The Series A Units have priority over all other partnership interests of the Operating Partnership with respect to distributions and liquidation. The Series A Units were issued in June 2007. Series A Units in the amount of $101,700 bear a fixed priority return of 2.3%, and originally had a fixed liquidation value of $115,000. The remaining balance participates in distributions with, and has a liquidation value equal to, that of the common OP Units. The Series A Units are redeemable at the option of the holder, which redemption obligation may be satisfied, at the Company’s option, in cash or shares of its common stock. As a result of the redemption of 114,500 Series A Units in October 2014, the remaining fixed liquidation value was reduced to $101,700 which represents 875,480 Series A Units. On June 25, 2007, the Operating Partnership loaned the holders of the Series A Units $100,000. The note receivable bears interest at 2.1%. The loan is secured by the borrower’s Series A Units. No future redemption of Series A Units can be made unless the loan secured by the Series A Units is also repaid. The Series A Units are shown on the balance sheet net of the $100,000 loan because the borrower under the loan is also the holder of the Series A Units. On January 25, 2023, the redemption obligation for all outstanding Series A Units was satisfied in $5,000 cash and 851,698 shares of its common stock, which was net of the noncash settlement of the $100,000 loan. As a result of this redemption, no Series A Units were outstanding as of December 31, 2023. Series B Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series B Units. The Series B Units rank junior to the Series A Units, on parity with the Series C Units (defined below) and Series D Units, and senior to all other partnership interests of the Operating Partnership with respect to distributions and liquidation. The Series B Units were issued in 2013 and 2014, have been redeemed at various times, and have a liquidation value of $25.00 per unit for a current fixed liquidation value of $33,567 which represents 1,342,727 Series B Units outstanding at December 31, 2023. Holders of the Series B Units receive distributions at an annual rate of 6.0%. These distributions are cumulative. The Series B Units became redeemable at the option of the holder on the first anniversary of the date of issuance, which redemption obligations may be satisfied at the Company’s option in cash or shares of its common stock. Series C Convertible Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series C Units. The Series C Units ranked junior to the Series A Units, on parity with the Series B Units and Series D Units, and senior to all other partnership interests of the Operating Partnership with respect to distributions and liquidation. As of December 31, 2023 and December 31, 2022, there were no outstanding Series C Units. Series D Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series D Units. The Series D Units rank junior to the Series A Units, on parity with the Series B Units and Series C Units, and senior to all other partnership interest of the Operating Partnership with respect to distributions and liquidation. The Series D Units have a liquidation value of $25.00 per unit, for a current fixed liquidation value of $188,793 which represents 7,551,735 Series D Units outstanding at December 31, 2023. Holders of the Series D Units receive distributions at an annual rate between 3.0% and 5.0%. These distributions are cumulative. The Series D Units become redeemable at the option of the holder on the first anniversary of the date of issuance, which redemption obligation may be satisfied at the Company’s option in cash or shares of its common stock. In addition, certain of the Series D Units are exchangeable for common OP Units until the tenth anniversary of the date of issuance, with the number of common OP Units to be issued equal to $25.00 per Series D Unit, divided by the value of a share of common stock as of the exchange date. In January 2023, 890,594 Series D units were redeemed for 154,307 shares of common stock. In November 2023, 15,093 Series D units were redeemed for cash of $377. The Series D Units have been issued at various times from 2014 to 2022. On June 1, 2022, the Operating Partnership issued a total of 240,000 Series D Units valued at $6,000 in connection with the acquisition of Bargold. Noncontrolling interest in Operating Partnership The Company’s interest in its stores is held through the Operating Partnership. Between its general partner and limited partner interests, the Company held a 95.2% majority ownership interest in the Operating Partnership as of December 31, 2023. The remaining ownership interests in the Operating Partnership (including Preferred OP Units) of 4.8% are held by certain former owners of assets acquired by the Operating Partnership. As of December 31, 2023 and 2022, the noncontrolling interests in the Operating Partnership are shown on the balance sheet net of notes receivable of $1,900 and $1,900, respectively, because the borrowers under the loan receivable are also holders of OP Units (Note 12). This loan receivable bears interest at 5.0% per annum and matures on December 15, 2024. The noncontrolling interest in the Operating Partnership represents OP Units that are not owned by the Company. OP Units are redeemable at the option of the holder, which redemption may be satisfied at the Company's option in cash based upon the fair market value of an equivalent number of shares of the Company’s common stock (based on the ten-day average trading price) at the time of the redemption, or shares of the Company's common stock on a one-for-one basis, subject to anti-dilution adjustments provided in the Operating Partnership agreement. As of December 31, 2023, the ten-day average closing stock price was $156.68 and there were 8,885,594 OP Units outstanding. Assuming that all of the OP Unit holders exercised their right to redeem all of their OP Units on December 31, 2023 and the Company elected to pay the OP Unit holders cash, the Company would have paid $1,392,195 in cash consideration to redeem the units. OP Unit activity is summarized as follows for the periods presented: For the Year Ended December 31, 2023 2022 2021 OP Units redeemed for common stock 2,803 — 165,652 OP Units redeemed for cash 1,000 24,824 4,500 Cash paid for OP Units redeemed $ 108 $ 4,617 $ 788 OP Units issued in conjunction with business combination and acquisitions 1,674,748 711,037 897,803 Value of OP Units issued in conjunction with business combination and acquisitions $ 249,470 $ 141,000 $ 188,319 GAAP requires a company to present ownership interests in subsidiaries held by parties other than the company in the consolidated financial statements within the equity section but separate from the company’s equity. It also requires the amount of consolidated net income attributable to the parent and to the noncontrolling interest to be clearly identified and presented on the face of the consolidated statement of operations and requires changes in ownership interest to be accounted for similarly as equity transactions. If noncontrolling interests are determined to be redeemable, they are to be carried at their redemption value as of the balance sheet date and reported as temporary equity. The Company has evaluated the terms of the common OP Units and classifies the noncontrolling interest represented by the common OP Units as stockholders’ equity in the accompanying consolidated balance sheets. The Company will periodically evaluate individual noncontrolling interests for the ability to continue to recognize the noncontrolling amount as permanent equity in the consolidated balance sheets. Any noncontrolling interests that fail to qualify as permanent equity will be reclassified as temporary equity and adjusted to the greater of (1) the carrying amount, or (2) its redemption value as of the end of the period in which the determination is made. Other Noncontrolling Interests Other noncontrolling interests represent the ownership interest of partners in nine consolidated joint ventures as of December 31, 2023. These joint ventures have ownership in 12 stores; two are operating and the remaining are under development. The voting interests of the partners are 31% or less. |
Noncontrolling Interests In Ope
Noncontrolling Interests In Operating Partnership and Other Noncontrolling Interests | 12 Months Ended |
Dec. 31, 2023 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interests In Operating Partnership and Other Noncontrolling Interests | NONCONTROLLING INTEREST REPRESENTED BY PREFERRED OPERATING PARTNERSHIP UNITS Classification of Noncontrolling Interests GAAP requires a company to present ownership interests in subsidiaries held by parties other than the company in the consolidated financial statements within the equity section, but separate from the company’s equity. It also requires the amount of consolidated net income attributable to the parent and to the noncontrolling interest to be clearly identified and presented on the face of the consolidated statement of operations and requires changes in ownership interest to be accounted for similarly as equity transactions. If noncontrolling interests are determined to be redeemable, they are to be carried at their redemption value as of the balance sheet date and reported as temporary equity. The Company has evaluated the terms of the Operating Partnership’s preferred units and classifies the noncontrolling interest represented by such preferred units as stockholders’ equity in the accompanying consolidated balance sheets. The Company will periodically evaluate individual noncontrolling interests for the ability to continue to recognize the noncontrolling amount as permanent equity in the consolidated balance sheets. Any noncontrolling interests that fail to qualify as permanent equity will be reclassified as temporary equity and adjusted to the greater of (1) the carrying amount, or (2) its redemption value as of the end of the period in which the determination is made. At December 31, 2023 and 2022, the noncontrolling interests represented by the Preferred OP Units qualified for classification as permanent equity on the Company's consolidated balance sheets. The partnership agreement of the Operating Partnership (as amended, the "Partnership Agreement") provides for the designation and issuance of the OP Units. As of December 31, 2023 and 2022, noncontrolling interests in Preferred OP Units were presented net of notes receivable from Preferred Operating Partnership unit holders of $100,000 as of December 31, 2023 and 2022, respectively, as more fully described below. The balances for each of the specific preferred OP units as presented in the Statement of Noncontrolling Interests and Equity as of the periods indicated is as follows: December 31, 2023 December 31, 2022 Series A Units $ — $ 16,498 Series B Units 33,567 33,568 Series D Units 188,793 211,436 $ 222,360 $ 261,502 Series A Participating Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series A Units. The Series A Units have priority over all other partnership interests of the Operating Partnership with respect to distributions and liquidation. The Series A Units were issued in June 2007. Series A Units in the amount of $101,700 bear a fixed priority return of 2.3%, and originally had a fixed liquidation value of $115,000. The remaining balance participates in distributions with, and has a liquidation value equal to, that of the common OP Units. The Series A Units are redeemable at the option of the holder, which redemption obligation may be satisfied, at the Company’s option, in cash or shares of its common stock. As a result of the redemption of 114,500 Series A Units in October 2014, the remaining fixed liquidation value was reduced to $101,700 which represents 875,480 Series A Units. On June 25, 2007, the Operating Partnership loaned the holders of the Series A Units $100,000. The note receivable bears interest at 2.1%. The loan is secured by the borrower’s Series A Units. No future redemption of Series A Units can be made unless the loan secured by the Series A Units is also repaid. The Series A Units are shown on the balance sheet net of the $100,000 loan because the borrower under the loan is also the holder of the Series A Units. On January 25, 2023, the redemption obligation for all outstanding Series A Units was satisfied in $5,000 cash and 851,698 shares of its common stock, which was net of the noncash settlement of the $100,000 loan. As a result of this redemption, no Series A Units were outstanding as of December 31, 2023. Series B Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series B Units. The Series B Units rank junior to the Series A Units, on parity with the Series C Units (defined below) and Series D Units, and senior to all other partnership interests of the Operating Partnership with respect to distributions and liquidation. The Series B Units were issued in 2013 and 2014, have been redeemed at various times, and have a liquidation value of $25.00 per unit for a current fixed liquidation value of $33,567 which represents 1,342,727 Series B Units outstanding at December 31, 2023. Holders of the Series B Units receive distributions at an annual rate of 6.0%. These distributions are cumulative. The Series B Units became redeemable at the option of the holder on the first anniversary of the date of issuance, which redemption obligations may be satisfied at the Company’s option in cash or shares of its common stock. Series C Convertible Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series C Units. The Series C Units ranked junior to the Series A Units, on parity with the Series B Units and Series D Units, and senior to all other partnership interests of the Operating Partnership with respect to distributions and liquidation. As of December 31, 2023 and December 31, 2022, there were no outstanding Series C Units. Series D Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series D Units. The Series D Units rank junior to the Series A Units, on parity with the Series B Units and Series C Units, and senior to all other partnership interest of the Operating Partnership with respect to distributions and liquidation. The Series D Units have a liquidation value of $25.00 per unit, for a current fixed liquidation value of $188,793 which represents 7,551,735 Series D Units outstanding at December 31, 2023. Holders of the Series D Units receive distributions at an annual rate between 3.0% and 5.0%. These distributions are cumulative. The Series D Units become redeemable at the option of the holder on the first anniversary of the date of issuance, which redemption obligation may be satisfied at the Company’s option in cash or shares of its common stock. In addition, certain of the Series D Units are exchangeable for common OP Units until the tenth anniversary of the date of issuance, with the number of common OP Units to be issued equal to $25.00 per Series D Unit, divided by the value of a share of common stock as of the exchange date. In January 2023, 890,594 Series D units were redeemed for 154,307 shares of common stock. In November 2023, 15,093 Series D units were redeemed for cash of $377. The Series D Units have been issued at various times from 2014 to 2022. On June 1, 2022, the Operating Partnership issued a total of 240,000 Series D Units valued at $6,000 in connection with the acquisition of Bargold. Noncontrolling interest in Operating Partnership The Company’s interest in its stores is held through the Operating Partnership. Between its general partner and limited partner interests, the Company held a 95.2% majority ownership interest in the Operating Partnership as of December 31, 2023. The remaining ownership interests in the Operating Partnership (including Preferred OP Units) of 4.8% are held by certain former owners of assets acquired by the Operating Partnership. As of December 31, 2023 and 2022, the noncontrolling interests in the Operating Partnership are shown on the balance sheet net of notes receivable of $1,900 and $1,900, respectively, because the borrowers under the loan receivable are also holders of OP Units (Note 12). This loan receivable bears interest at 5.0% per annum and matures on December 15, 2024. The noncontrolling interest in the Operating Partnership represents OP Units that are not owned by the Company. OP Units are redeemable at the option of the holder, which redemption may be satisfied at the Company's option in cash based upon the fair market value of an equivalent number of shares of the Company’s common stock (based on the ten-day average trading price) at the time of the redemption, or shares of the Company's common stock on a one-for-one basis, subject to anti-dilution adjustments provided in the Operating Partnership agreement. As of December 31, 2023, the ten-day average closing stock price was $156.68 and there were 8,885,594 OP Units outstanding. Assuming that all of the OP Unit holders exercised their right to redeem all of their OP Units on December 31, 2023 and the Company elected to pay the OP Unit holders cash, the Company would have paid $1,392,195 in cash consideration to redeem the units. OP Unit activity is summarized as follows for the periods presented: For the Year Ended December 31, 2023 2022 2021 OP Units redeemed for common stock 2,803 — 165,652 OP Units redeemed for cash 1,000 24,824 4,500 Cash paid for OP Units redeemed $ 108 $ 4,617 $ 788 OP Units issued in conjunction with business combination and acquisitions 1,674,748 711,037 897,803 Value of OP Units issued in conjunction with business combination and acquisitions $ 249,470 $ 141,000 $ 188,319 GAAP requires a company to present ownership interests in subsidiaries held by parties other than the company in the consolidated financial statements within the equity section but separate from the company’s equity. It also requires the amount of consolidated net income attributable to the parent and to the noncontrolling interest to be clearly identified and presented on the face of the consolidated statement of operations and requires changes in ownership interest to be accounted for similarly as equity transactions. If noncontrolling interests are determined to be redeemable, they are to be carried at their redemption value as of the balance sheet date and reported as temporary equity. The Company has evaluated the terms of the common OP Units and classifies the noncontrolling interest represented by the common OP Units as stockholders’ equity in the accompanying consolidated balance sheets. The Company will periodically evaluate individual noncontrolling interests for the ability to continue to recognize the noncontrolling amount as permanent equity in the consolidated balance sheets. Any noncontrolling interests that fail to qualify as permanent equity will be reclassified as temporary equity and adjusted to the greater of (1) the carrying amount, or (2) its redemption value as of the end of the period in which the determination is made. Other Noncontrolling Interests Other noncontrolling interests represent the ownership interest of partners in nine consolidated joint ventures as of December 31, 2023. These joint ventures have ownership in 12 stores; two are operating and the remaining are under development. The voting interests of the partners are 31% or less. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Leases | LEASES Lessee Accounting The Company accounts for leases under ASC 842, "Leases." Right-of-use assets associated with operating leases are included in “Real estate assets - operating lease right-of-use assets” and operating lease liabilities are included in “Operating lease liabilities” on the Company's consolidated balance sheets. Right-of-use assets associated with finance leases are included in "Real estate assets, net" "Other liabilities" During the year ended December 31, 2023, the Company recorded no new finance lease right-of-use assets and finance lease liabilities. The Company is lessee under several types of lease agreements. Generally, these leases fall into the following categories: • Leases of real estate at 65 stores classified as wholly-owned or in consolidated joint ventures. These leases generally have original lease terms between 10-99 years. Under these leases, the Company typically has the option to extend the lease term for additional terms of 5-35 years. • Leases of its corporate offices and call center. These leases have original lease terms between five • Leases of 18 regional offices. These leases have original lease terms between three three • Leases of small district offices. These leases generally have terms of 12 months or less. The Company has made an election to account for these under the short-term lease exception outlined under ASC 842. Therefore, no lease assets or liabilities are recorded related to these leases. The Company has included lease extension options in the lease term for calculations of its right-of-use assets and liabilities related to the real estate asset leases at its stores when it is reasonably certain that the Company plans to extend the lease terms as the options arise. Several of the leases of real estate at the Company’s stores include escalation clauses based on an index or rate, such as the Consumer Price Index (CPI). The Company included these lease payments in its calculations of right-of-use assets and liabilities based on the prevailing index or rate as of the adoption date. The Company will recognize changes to these variable lease payments in earnings in the period of change. One of the real estate leases includes variable lease payments that are based upon a percentage of gross revenues. Certain other leases include additional variable payments relating to a percentage of sales in excess of a specified amount, common area maintenance, property taxes, and similar items. These payments are variable lease payments that do not depend on an index or rate and are excluded from the measurement of the lease liabilities and right-of-use-assets for these leases. The Company will recognize costs from these variable lease payments in the period in which the obligation for those payments is incurred. As the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available surrounding the Company’s unsecured borrowing rates and implied secured spread at the lease commencement date in determining the present value of lease payments. These discount rates vary depending on the term of the specific leases. Following is information on our total lease costs as of the period indicated: For the Year Ended December 31, 2023 2022 Finance lease cost: Amortization of finance lease right-of-use assets $ 3,961 $ 3,751 Interest expense related to finance lease liabilities 4,483 4,018 Operating lease cost 35,783 32,182 Variable lease cost 11,632 11,287 Short-term lease cost 24 32 Total lease cost $ 55,883 $ 51,270 Cash paid for amounts included in the measurement of lease liabilities Operating cash outflows for finance lease payments $ 4,483 $ 4,018 Operating cash outflows for operating lease payments 29,234 25,384 Total cash flows for lease liability measurement $ 33,717 $ 29,402 Right-of-use assets obtained in exchange for new operating lease liabilities $ 265 $ 16,298 Right-of-use assets obtained in exchange for new finance lease liabilities $ — $ 6,823 Weighted average remaining lease term - finance leases (years) 54.00 54.16 Weighted average remaining lease term - operating leases (years) 18.68 20.03 Weighted average discount rate - finance leases 3.31 % 3.31 % Weighted average discount rate - operating leases 3.91 % 3.65 % The following table presents information about the Company’s undiscounted cash flows on an annual basis for operating and finance leases, including a reconciliation of the undiscounted cash flows to the finance lease and operating lease liabilities recognized in the Company’s consolidated balance sheets: Operating Finance Total 2024 $ 34,983 $ 6,542 $ 41,525 2025 34,919 6,572 41,491 2026 35,245 6,715 41,960 2027 35,635 6,842 42,477 2028 36,194 6,953 43,147 Thereafter 131,194 353,983 485,177 Total $ 308,170 $ 387,607 $ 695,777 Present value adjustments (71,655) (244,004) (315,659) Lease liabilities $ 236,515 $ 143,603 $ 380,118 Lessor Accounting |
Leases | LEASES Lessee Accounting The Company accounts for leases under ASC 842, "Leases." Right-of-use assets associated with operating leases are included in “Real estate assets - operating lease right-of-use assets” and operating lease liabilities are included in “Operating lease liabilities” on the Company's consolidated balance sheets. Right-of-use assets associated with finance leases are included in "Real estate assets, net" "Other liabilities" During the year ended December 31, 2023, the Company recorded no new finance lease right-of-use assets and finance lease liabilities. The Company is lessee under several types of lease agreements. Generally, these leases fall into the following categories: • Leases of real estate at 65 stores classified as wholly-owned or in consolidated joint ventures. These leases generally have original lease terms between 10-99 years. Under these leases, the Company typically has the option to extend the lease term for additional terms of 5-35 years. • Leases of its corporate offices and call center. These leases have original lease terms between five • Leases of 18 regional offices. These leases have original lease terms between three three • Leases of small district offices. These leases generally have terms of 12 months or less. The Company has made an election to account for these under the short-term lease exception outlined under ASC 842. Therefore, no lease assets or liabilities are recorded related to these leases. The Company has included lease extension options in the lease term for calculations of its right-of-use assets and liabilities related to the real estate asset leases at its stores when it is reasonably certain that the Company plans to extend the lease terms as the options arise. Several of the leases of real estate at the Company’s stores include escalation clauses based on an index or rate, such as the Consumer Price Index (CPI). The Company included these lease payments in its calculations of right-of-use assets and liabilities based on the prevailing index or rate as of the adoption date. The Company will recognize changes to these variable lease payments in earnings in the period of change. One of the real estate leases includes variable lease payments that are based upon a percentage of gross revenues. Certain other leases include additional variable payments relating to a percentage of sales in excess of a specified amount, common area maintenance, property taxes, and similar items. These payments are variable lease payments that do not depend on an index or rate and are excluded from the measurement of the lease liabilities and right-of-use-assets for these leases. The Company will recognize costs from these variable lease payments in the period in which the obligation for those payments is incurred. As the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available surrounding the Company’s unsecured borrowing rates and implied secured spread at the lease commencement date in determining the present value of lease payments. These discount rates vary depending on the term of the specific leases. Following is information on our total lease costs as of the period indicated: For the Year Ended December 31, 2023 2022 Finance lease cost: Amortization of finance lease right-of-use assets $ 3,961 $ 3,751 Interest expense related to finance lease liabilities 4,483 4,018 Operating lease cost 35,783 32,182 Variable lease cost 11,632 11,287 Short-term lease cost 24 32 Total lease cost $ 55,883 $ 51,270 Cash paid for amounts included in the measurement of lease liabilities Operating cash outflows for finance lease payments $ 4,483 $ 4,018 Operating cash outflows for operating lease payments 29,234 25,384 Total cash flows for lease liability measurement $ 33,717 $ 29,402 Right-of-use assets obtained in exchange for new operating lease liabilities $ 265 $ 16,298 Right-of-use assets obtained in exchange for new finance lease liabilities $ — $ 6,823 Weighted average remaining lease term - finance leases (years) 54.00 54.16 Weighted average remaining lease term - operating leases (years) 18.68 20.03 Weighted average discount rate - finance leases 3.31 % 3.31 % Weighted average discount rate - operating leases 3.91 % 3.65 % The following table presents information about the Company’s undiscounted cash flows on an annual basis for operating and finance leases, including a reconciliation of the undiscounted cash flows to the finance lease and operating lease liabilities recognized in the Company’s consolidated balance sheets: Operating Finance Total 2024 $ 34,983 $ 6,542 $ 41,525 2025 34,919 6,572 41,491 2026 35,245 6,715 41,960 2027 35,635 6,842 42,477 2028 36,194 6,953 43,147 Thereafter 131,194 353,983 485,177 Total $ 308,170 $ 387,607 $ 695,777 Present value adjustments (71,655) (244,004) (315,659) Lease liabilities $ 236,515 $ 143,603 $ 380,118 Lessor Accounting |
Leases | LEASES Lessee Accounting The Company accounts for leases under ASC 842, "Leases." Right-of-use assets associated with operating leases are included in “Real estate assets - operating lease right-of-use assets” and operating lease liabilities are included in “Operating lease liabilities” on the Company's consolidated balance sheets. Right-of-use assets associated with finance leases are included in "Real estate assets, net" "Other liabilities" During the year ended December 31, 2023, the Company recorded no new finance lease right-of-use assets and finance lease liabilities. The Company is lessee under several types of lease agreements. Generally, these leases fall into the following categories: • Leases of real estate at 65 stores classified as wholly-owned or in consolidated joint ventures. These leases generally have original lease terms between 10-99 years. Under these leases, the Company typically has the option to extend the lease term for additional terms of 5-35 years. • Leases of its corporate offices and call center. These leases have original lease terms between five • Leases of 18 regional offices. These leases have original lease terms between three three • Leases of small district offices. These leases generally have terms of 12 months or less. The Company has made an election to account for these under the short-term lease exception outlined under ASC 842. Therefore, no lease assets or liabilities are recorded related to these leases. The Company has included lease extension options in the lease term for calculations of its right-of-use assets and liabilities related to the real estate asset leases at its stores when it is reasonably certain that the Company plans to extend the lease terms as the options arise. Several of the leases of real estate at the Company’s stores include escalation clauses based on an index or rate, such as the Consumer Price Index (CPI). The Company included these lease payments in its calculations of right-of-use assets and liabilities based on the prevailing index or rate as of the adoption date. The Company will recognize changes to these variable lease payments in earnings in the period of change. One of the real estate leases includes variable lease payments that are based upon a percentage of gross revenues. Certain other leases include additional variable payments relating to a percentage of sales in excess of a specified amount, common area maintenance, property taxes, and similar items. These payments are variable lease payments that do not depend on an index or rate and are excluded from the measurement of the lease liabilities and right-of-use-assets for these leases. The Company will recognize costs from these variable lease payments in the period in which the obligation for those payments is incurred. As the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available surrounding the Company’s unsecured borrowing rates and implied secured spread at the lease commencement date in determining the present value of lease payments. These discount rates vary depending on the term of the specific leases. Following is information on our total lease costs as of the period indicated: For the Year Ended December 31, 2023 2022 Finance lease cost: Amortization of finance lease right-of-use assets $ 3,961 $ 3,751 Interest expense related to finance lease liabilities 4,483 4,018 Operating lease cost 35,783 32,182 Variable lease cost 11,632 11,287 Short-term lease cost 24 32 Total lease cost $ 55,883 $ 51,270 Cash paid for amounts included in the measurement of lease liabilities Operating cash outflows for finance lease payments $ 4,483 $ 4,018 Operating cash outflows for operating lease payments 29,234 25,384 Total cash flows for lease liability measurement $ 33,717 $ 29,402 Right-of-use assets obtained in exchange for new operating lease liabilities $ 265 $ 16,298 Right-of-use assets obtained in exchange for new finance lease liabilities $ — $ 6,823 Weighted average remaining lease term - finance leases (years) 54.00 54.16 Weighted average remaining lease term - operating leases (years) 18.68 20.03 Weighted average discount rate - finance leases 3.31 % 3.31 % Weighted average discount rate - operating leases 3.91 % 3.65 % The following table presents information about the Company’s undiscounted cash flows on an annual basis for operating and finance leases, including a reconciliation of the undiscounted cash flows to the finance lease and operating lease liabilities recognized in the Company’s consolidated balance sheets: Operating Finance Total 2024 $ 34,983 $ 6,542 $ 41,525 2025 34,919 6,572 41,491 2026 35,245 6,715 41,960 2027 35,635 6,842 42,477 2028 36,194 6,953 43,147 Thereafter 131,194 353,983 485,177 Total $ 308,170 $ 387,607 $ 695,777 Present value adjustments (71,655) (244,004) (315,659) Lease liabilities $ 236,515 $ 143,603 $ 380,118 Lessor Accounting |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | STOCK-BASED COMPENSATION As of December 31, 2023 , 477,624 shares were available for issuance under the Company’s 2015 Incentive Award Plan (the “Plan”). Options are exercisable once vested. Options are exercisable at such times and subject to such terms as deter mined by the Compensation Committee, but under no circumstances may be exercised if such exercise would cause a violation of the ownership limit in the Company’s charter. Options expire 10 years from the date of grant. As defined under the terms of the Plan, restricted stock grants may be awarded. The stock grants are subject to a vesting period over which the restrictions are released and the stock certificates are given to the grantee. During the vesting period, the grantee is not permitted to sell, transfer, pledge, encumber or assign shares of restricted stock granted under the Plan; however, the grantee has the ability to vote the shares and receive nonforfeitable dividends paid on shares. Unless otherwise determined by the Compensation Committee at the time of grant, the forfeiture and transfer restrictions on the shares lapse over a one-year period or a four-year period beginning on the date of grant. For actions taken prior to July 2020, references to the Compensation Committee refer to its predecessor, the CNG Committee; the Board split the CNG Committee into two committees, the Compensation Committee and the Nominating and Governance Committee, effective July 1, 2020. Option Grants A summary of stock option activity is as follows: Options Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Intrinsic Value as of December 31, 2022 Outstanding at December 31, 2020 71,594 $ 74.54 Exercised (62,322) 73.36 Outstanding at December 31, 2021 9,272 $ 82.47 Exercised — — Outstanding at December 31, 2022 9,272 82.47 Exercised — — Outstanding at December 31, 2023 9,272 $ 82.47 1.98 $1,338 Vested 9,272 $ 82.47 1.98 $1,338 Ending Exercisable 9,272 $ 82.47 1.98 $1,338 The aggregate intrinsic value in the table above represents the total value (the difference between the Company’s closing stock price on the last trading day of 2023 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on December 31, 2023. The amount of aggregate intrinsic value will change based on the fair market value of the Company’s stock. The total intrinsic value of options exercised for the years ended December 31, 2023, 2022 and 2021 was $0, $0 and $3,925, respectively. There have been no options granted since 2016. The fair value of each option grant was estimated on the date of grant using the Black-Scholes option-pricing model. The Black-Scholes model incorporates assumptions to value stock-based awards. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of the grant for the estimated life of the option. The Company uses actual historical data to calculate the expected price volatility, dividend yield and average expected term. The forfeiture rate, which is estimated at a weighted-average of 4.6% of unvested options outstanding as of December 31, 2023, is adjusted periodically based on the extent to which actual forfeitures differ, or are expected to differ, from the previous estimates. A summary of stock options outstanding and exercisable as of December 31, 2023, is as follows: Options Outstanding Options Exercisable Exercise Price Shares Weighted Average Remaining Contractual Life Weighted Average Exercise Price Shares Weighted Average Exercise Price $65.36 - $65.36 1,582 1.15 $ 65.36 1,582 $ 65.36 $85.99 - $85.99 7,690 2.15 85.99 7,690 85.99 The Company recorded no compensation expense relating to outstanding options in general and administrative expense for the years ended December 31, 2023, 2022 and 2021. Net proceeds received for the years ended December 31, 2023, 2022 and 2021, related to option exercises was $0, $0 and $4,572, respectively. At December 31, 2023, there was no unrecognized compensation expense related to non-vested stock options under the Plan. Common Stock Granted to Employees and Directors The Company recorded $14,205, $12,086 and $9,260 of expense in general and administrative expense in its statement of operations related to restricted stock awards granted to employees and directors for the years ended December 31, 2023, 2022 and 2021, respectively. The forfeiture rate, which is estimated at a weighted-average of 10.0% of unvested awards outstanding as of December 31, 2023, is adjusted periodically based on the extent to which actual forfeitures differ, or are expected to differ, from the previous estimates. At December 31, 2023 there was $20,222 of total unrecognized compensation expense related to non-vested restricted stock awards under the Plan. That cost is expected to be recognized over a weighted-average period of 2.09 years. The fair value of common stock awards is determined based on the closing trading price of the Company’s common stock on the grant date. A summary of the Company’s employee and director share grant activity is as follows: Restricted Stock Grants Shares Weighted-Average Grant-Date Fair Value Unreleased at December 31, 2020 209,032 $ 95.86 Granted 99,802 132.75 Released (96,248) 91.65 Cancelled (12,808) 113.89 Unreleased at December 31, 2021 199,778 $ 115.16 Granted 105,677 201.12 Released (86,781) 112.31 Cancelled (10,614) 147.03 Unreleased at December 31, 2022 208,060 $ 158.38 Granted 98,263 158.04 Released (90,662) 147.21 Cancelled (10,084) 165.36 Unreleased at December 31, 2023 205,577 $ 162.81 Performance-based Stock Units The performance-based stock units (the "PSUs") granted to executives represent the right to earn shares of the Company's common stock. These awards have two financial performance components: (1) the Company's core FFO performance ("FFO Target"), and (2) the Company's total stockholder return relative to the performance of a defined group of peers ("TSR Target"). Each of these performance components are weighted 50% and are measured over the performance period, which is defined as the three-year period ending December 31 from the year of grant. At the end of the performance period, the financial performance components are reviewed to determine the number of shares actually granted to executives, which can be as low as zero shares and up to a maximum of two shares issued for each PSU. A summary of the PSU activity is as follows: Performance-Based Stock Units Units Weighted-Average Grant-Date Fair Value Unvested at December 31, 2020 123,311 $ 104.25 Granted 40,832 138.04 Released (28,735) $ 117.19 Unvested at December 31, 2021 135,408 $ 111.69 Granted 61,085 223.96 Released (49,334) $ 194.21 Unvested at December 31, 2022 147,159 $ 130.63 Granted 86,795 207.28 Released (45,242) $ 162.18 Unvested at December 31, 2023 188,712 $ 158.32 The Company recorded $12,433, $9,299 and $8,043 of expense in general and administrative expense in its statement of operations related to PSUs granted to employees for the years ended December 31, 2023, 2022 and 2021, respectively. The Company estimated the fair value of the PSUs as of the grant date, using the closing trading price of the Company's common stock on the grant date to value the FFO Target portion. A Monte Carlo simulation model was used to calculate the fair value of the TSR Target portion of the PSUs, using the following assumptions: For the Year Ended December 31, 2023 2022 2021 Intrinsic value $30,256 $21,659 $30,701 Risk-free rate 4.6% 1.8% 0.22% Volatility 29.3% 29.3% 28.5% Expected term (in years) 2.8 2.9 2.9 Dividend yield —% —% —% Unrecognized compensation cost $18,798 $13,241 $8,859 Term over which compensation cost recognized (in years) 3 3 3 Under the terms of the PSUs, dividends for the entire measurement period are paid in cash when the shares are released, so a dividend yield of zero was used. The valuation model applied in this calculation utilizes subjective assumptions that could potentially change over time, including the probabilities associated with achieving the FFO Targets (categorized within Level 3 of the fair value hierarchy). Therefore, the amount of unrecognized compensation expense at December 31, 2023 noted above does not necessarily represent the expense that will ultimately be realized by the Company in the statement of operations. |
Employee Benefit Plan
Employee Benefit Plan | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plan | EMPLOYEE BENEFIT PLAN The Company has a retirement savings plan under Section 401(k) of the Internal Revenue Code under which eligible employees can contribute up to 60% of their annual salary, subject to a statutory prescribed annual limit. For the years ended December 31, 2023, 2022 and 2021, the Company made matching contributions to the plan of $6,576, $5,169, and $4,239 respectively, based on 100% of the first 3% and up to 50% of the next 2% of an employee’s compensation. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES As a REIT, the Company is generally not subject to U.S. federal income tax with respect to that portion of its income which is distributed annually to its stockholders. However, the Company has elected to treat certain of its corporate subsidiaries, including Extra Space Management, Inc., as a TRS. In general, a TRS may perform additional services for tenants and generally may engage in any real estate or non-real estate related business. A TRS is subject to U.S. federal corporate income tax and may be subject to state and local income taxes. The Company accounts for income taxes in accordance with the provisions of ASC 740, “Income Taxes.” Deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities. The Company has elected to use the Tax-Law-Ordering approach to determine when excess tax benefits will be realized. On August 16, 2022, President Biden signed into law the Inflation Reduction Act (“IRA”). The provisions include the new Corporate Alternative Minimum Tax (“CAMT”), an excise tax on stock buybacks, and significant tax incentives for energy and climate initiatives, and all of these provisions were effective for tax year 2023. The Company has evaluated the impact of these provisions and does not expect the enactment of these provisions to have a material impact on the Company's consolidated financial statements. The income tax provision for the years ended December 31, 2023, 2022 and 2021, is comprised of the following components: For the Year Ended December 31, 2023 Federal State Total Current expense $ 26,516 $ 6,035 $ 32,551 Tax credits/true-up (7,742) — (7,742) Change in deferred expense/(benefit) (4,151) 901 (3,250) Total tax expense $ 14,623 $ 6,936 $ 21,559 For the Year Ended December 31, 2022 Federal State Total Current expense $ 20,592 $ 4,546 $ 25,138 Tax credits/true-up (6,071) 31 (6,040) Change in deferred expense 1,909 (82) 1,827 Total tax expense $ 16,430 $ 4,495 $ 20,925 For the Year Ended December 31, 2021 Federal State Total Current expense $ 21,017 $ 3,520 $ 24,537 Tax credits/true-up (4,979) (138) (5,117) Change in deferred benefit 818 86 904 Total tax expense $ 16,856 $ 3,468 $ 20,324 A reconciliation of the statutory income tax provisions to the effective income tax provisions for the periods indicated is as follows: For the Year Ended December 31, 2023 2022 2021 Expected tax at statutory rate $ 183,111 21.0 % $ 197,887 21.0 % $ 188,600 21.0 % Non-taxable REIT income (161,316) (18.5) % (172,966) (18.4) % (166,137) (18.5) % State and local tax expense - net of federal benefit 8,779 1.0 % 4,160 0.4 % 3,259 0.4 % Change in valuation allowance (1,148) (0.1) % (1,093) (0.1) % (1,061) (0.1) % Tax credits/true-up (7,742) (0.9) % (6,040) (0.6) % (5,117) (0.6) % Miscellaneous (125) — % (1,023) (0.1) % 780 0.1 % Total provision $ 21,559 2.5 % $ 20,925 2.2 % $ 20,324 2.3 % The major sources of temporary differences stated at their deferred tax effects are as follows: December 31, 2023 December 31, 2022 Deferred tax liabilities: Fixed assets $ (36,572) $ (32,551) Operating and Finance lease right-of-use assets (6,831) (6,610) Other (37) (48) State deferred taxes (4,564) (3,607) Captive insurance subsidiary (10,760) — Total deferred tax liabilities (58,764) (42,816) Deferred tax assets: Captive insurance subsidiary 509 335 Accrued liabilities 3,015 2,541 Stock compensation 3,961 3,467 Operating and Finance lease liabilities 9,013 8,418 Other 502 48 State deferred taxes 2,581 5,232 Total deferred tax assets 19,581 20,041 Valuation allowance — (1,148) Net deferred income tax liabilities $ (39,183) $ (23,923) The state income tax net operating losses expire between 2024 and 2043. The valuation allowance associated with the state income tax net operating losses was released in 2023. The tax years 2019 through 2022 remain open related to the state returns, and 2020 through 2022 for the federal returns. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATION The Company’s segment disclosures present the measure used by the chief operating decision makers ("CODMs") for purposes of assessing each segment’s performance. The Company’s CODMs are comprised of several members of its executive management team who use net operating income ("NOI") to assess the performance of the business for the Company’s reportable operating segments. The Company’s segments are comprised of two reportable segments: (1) self-storage operations and (2) tenant reinsurance. NOI for self-storage operations represents total property revenue less direct property operating expenses. NOI for tenant reinsurance represents tenant reinsurance revenues less tenant reinsurance expense. The self-storage operations activities include rental operations of wholly-owned stores and Bargold. The Company's consolidated revenues equal total segment revenues plus property management fees and other income. Tenant reinsurance activities include the reinsurance of risks relating to the loss of goods stored by tenants in the stores operated by the Company. Excluded from segment revenues and net operating income is property management fees and other income. For all periods presented, substantially all real estate assets, intangible assets, other assets, and accrued and other liabilities are associated with the self-storage operations segment. Financial information for the Company’s business segments is set forth below: Year Ended December 31, 2023 2022 2021 Revenues: Self-Storage Operations $ 2,222,578 $ 1,654,735 $ 1,340,990 Tenant Reinsurance 235,680 185,531 170,108 Total segment revenues $ 2,458,258 $ 1,840,266 $ 1,511,098 Operating expenses: Self-Storage Operations $ 612,036 $ 435,342 $ 368,608 Tenant Reinsurance 58,874 33,560 29,488 Total segment operating expenses $ 670,910 $ 468,902 $ 398,096 Net operating income: Self-Storage Operations $ 1,610,542 $ 1,219,393 $ 972,382 Tenant Reinsurance 176,806 151,971 140,620 Total segment net operating income: $ 1,787,348 $ 1,371,364 $ 1,113,002 Total segment net operating income $ 1,787,348 $ 1,371,364 $ 1,113,002 Other components of net income: Property management fees and other income 101,986 83,904 66,264 Transaction costs — (1,548) — Life Storage Merger transition costs (66,732) — — General and administrative expense (146,408) (129,251) (102,194) Depreciation and amortization expense (506,053) (288,316) (241,879) Gain on real estate transactions — 14,249 140,760 Interest expense (419,035) (219,171) (166,183) Non-cash interest expense related to amortization of discount on equity component of exchangeable senior notes (18,786) — — Interest income 84,857 69,422 49,703 Equity in earnings and dividend income from unconsolidated real estate entities 54,835 41,428 32,358 Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets — — 6,251 Income tax expense (21,559) (20,925) (20,324) Net income $ 850,453 $ 921,156 $ 877,758 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES As of December 31, 2023, the Company was under agreement to acquire 8 stores at a total purchase price of $73,811. Eight stores are scheduled to close in 2024 and none are scheduled to close in 2025. Additionally, the Company is under agreement to acquire two stores in 2024 with joint venture partners, for a total investment of $2,764. The Company is involved in various legal proceedings and is subject to various claims and complaints arising in the ordinary course of business. Because litigation is inherently unpredictable, the outcome of these matters cannot presently be determined with any degree of certainty. In accordance with applicable accounting guidance, management establishes an accrued liability for litigation when those matters present loss contingencies that are both probable and reasonably estimable. In such cases, there may be an exposure to loss in excess of any amounts accrued. The estimated loss, if any, is based upon currently available information and is subject to significant judgment, a variety of assumptions, and known and unknown uncertainties. The Company could in the future incur judgments or enter into settlements of claims that could have a material adverse effect on its results of operations in any particular period, notwithstanding the fact that the Company is currently vigorously defending any legal proceedings against it. As of December 31, 2023, the Company was involved in various legal proceedings and was subject to various claims and complaints arising in the ordinary course of business. In the opinion of management, such litigation, claims and complaints are not expected to have a material adverse effect on the Company’s financial condition or results of operations. Although there can be no assurance, the Company is not aware of any material environmental liability, for which it believes it will be ultimately responsible, that could have a material adverse effect on its financial condition or results of operations. However, changes in applicable environmental laws and regulations, the uses and conditions of properties in the vicinity of the Company’s properties, the activities of its tenants and other environmental conditions of which the Company is unaware with respect to its properties could result in future material environmental liabilities. |
Schedule III - Real Estate and
Schedule III - Real Estate and Accumulated Depreciation | 12 Months Ended |
Dec. 31, 2023 | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation Disclosure [Abstract] | |
Schedule III - Real Estate and Accumulated Depreciation | Building and Improvements Initial Cost Adjustments and Costs to Land and Building Subsequent to Acquisition Gross carrying amount at December 31, 2023 Self - Storage Facilities by State: Store Count Land Initial Cost Building and Improvements Accumulated Depreciation Debt Land Total AL 37 $ 5,686 $ 52,358 $ 380,499 $ 5,593 $ 52,356 $ 386,094 $ 438,450 $ 18,152 AZ 46 22,349 135,775 523,811 14,566 135,774 538,378 674,152 44,843 CA 218 328,992 921,260 2,322,145 250,704 919,806 2,574,302 3,494,108 436,926 CO 27 26,374 49,985 192,497 20,004 50,703 211,783 262,486 33,009 CT 23 6,399 43,453 373,628 6,530 43,452 380,158 423,610 18,276 FL 245 167,386 672,426 2,894,604 122,780 674,576 3,015,234 3,689,810 239,687 GA 119 78,837 303,954 1,179,911 47,713 303,941 1,227,636 1,531,577 123,363 HI 14 — 29,836 160,978 22,962 29,836 183,939 213,775 43,351 ID 2 — 4,047 25,235 59 4,047 25,294 29,341 812 IL 105 16,231 210,472 1,107,463 43,952 209,924 1,151,964 1,361,888 82,109 IN 91 — 64,531 494,467 14,626 64,875 524,169 589,044 34,445 KS 1 — 366 1,897 1,150 366 3,047 3,413 1,555 KY 15 30,470 10,026 88,389 21,129 10,799 108,745 119,544 21,462 LA 10 — 16,673 126,604 5,591 16,674 132,194 148,868 8,844 MA 64 39,808 120,291 534,152 65,286 120,472 599,257 719,729 123,019 MD 44 74,081 157,195 450,952 36,025 156,605 487,567 644,172 111,043 ME 5 — 2,352 86,339 195 2,352 86,534 88,886 926 MI 8 4,301 10,900 63,388 6,630 10,900 70,018 80,918 13,061 MN 8 — 14,925 104,513 6,940 14,925 111,453 126,378 10,240 MO 28 — 31,800 347,070 8,250 31,758 355,362 387,120 13,743 MS 7 — 9,053 82,098 1,977 9,052 84,076 93,128 5,559 NC 52 — 93,492 557,728 14,431 93,489 572,161 665,650 32,134 NH 17 — 50,952 195,719 1,735 51,015 197,391 248,406 5,097 NJ 88 99,207 308,001 1,071,004 70,630 313,354 1,136,281 1,449,635 209,349 NM 11 25,153 31,826 68,779 6,909 31,826 75,689 107,515 17,000 NV 33 30,458 97,497 469,028 9,504 97,497 478,532 576,029 23,846 NY 79 12,895 340,256 1,195,359 66,207 340,991 1,260,831 1,601,822 105,190 OH 50 10,140 71,460 388,236 13,917 71,459 402,154 473,613 24,721 OK 4 — 3,917 28,534 159 3,917 28,693 32,610 429 OR 8 23,904 15,066 68,044 2,938 15,066 70,982 86,048 14,126 PA 31 10,635 57,671 356,325 29,609 56,997 386,607 443,604 46,425 RI 6 3,712 6,132 55,033 1,793 6,131 56,827 62,958 4,517 SC 40 27,701 65,032 385,333 13,408 65,036 398,737 463,773 41,190 TN 29 44,491 50,603 252,731 15,296 50,603 268,027 318,630 36,356 TX 241 104,794 534,804 2,603,707 97,822 534,655 2,701,678 3,236,333 212,009 UT 10 16,265 9,008 39,295 9,775 9,008 49,070 58,078 15,445 VA 73 56,422 198,998 842,848 37,952 198,998 880,800 1,079,798 127,878 WA 14 4,874 51,011 147,943 13,780 51,013 161,720 212,733 19,542 WI 1 — 1,076 16,054 70 1,076 16,123 17,199 173 DC 1 7,540 14,394 18,172 634 14,394 18,806 33,200 3,904 Other corporate assets — — — 245,910 — 245,910 245,910 92,553 Intangible tenant relationships and lease rights — — 348,762 — — 348,762 348,762 204,135 Construction in Progress/Undeveloped Land — 22,985 2,779 124,265 34,987 118,745 153,732 — Right of use asset - finance lease — — — 143,841 — 143,843 143,843 3,960 Totals (1) 1,905 $ 1,279,105 $ 4,885,859 $ 20,652,053 $ 1,623,247 $ 4,904,705 $ 22,275,573 $ 27,180,278 $ 2,624,404 (1) No right-of-use assets related to operating leases are included in the ending net real estate assets information above. Activity in real estate facilities during the years ended December 31, 2023, 2022 and 2021 is as follows: 2023 2022 2021 Operating facilities Balance at beginning of year $ 12,084,025 $ 10,643,722 $ 9,507,788 Acquisitions 14,715,285 1,390,463 1,500,703 Improvements 175,932 95,282 80,131 Transfers from construction in progress 87,485 70,565 62,462 Dispositions and other (1,194) (116,007) (507,362) Balance at end of year $ 27,061,533 $ 12,084,025 $ 10,643,722 Accumulated depreciation: Balance at beginning of year $ 2,138,395 $ 1,868,321 $ 1,681,429 Depreciation expense 486,010 276,155 230,445 Dispositions and other — (6,081) (43,553) Balance at end of year $ 2,624,405 $ 2,138,395 $ 1,868,321 Real estate under development/redevelopment: Balance at beginning of year $ 52,348 $ 59,248 $ 67,443 Current development 153,920 63,597 54,267 Transfers to operating facilities (87,523) (70,565) (62,462) Dispositions and other — 68 — Balance at end of year $ 118,745 $ 52,348 $ 59,248 Net non-lease real estate assets $ 24,555,873 $ 9,997,978 $ 8,834,649 (1) No right-of-use assets related to operating leases are included in the ending net real estate assets information above. As of December 31, 2023, the aggregate cost of real estate for U.S. federal income tax purposes was $17,961,173. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | |||
Net income attributable to common stockholders | $ 803,198 | $ 860,688 | $ 827,649 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended | 12 Months Ended |
Dec. 31, 2023 shares | Dec. 31, 2023 shares | |
Trading Arrangements, by Individual | ||
Material Terms of Trading Arrangement | On December 18, 2023, Joseph D. Margolis, our Chief Executive Officer and Director, terminated a Rule 10b5-1 trading arrangement intended to satisfy the affirmative defense of Rule 10b5-1(c) and originally adopted on February 24, 2023, for the sale of up to 20,000 shares of our common stock until January 3, 2024. | |
Rule 10b5-1 Arrangement Adopted | false | |
Non-Rule 10b5-1 Arrangement Adopted | false | |
Non-Rule 10b5-1 Arrangement Terminated | false | |
Joseph D. Margolis [Member] | ||
Trading Arrangements, by Individual | ||
Name | Joseph D. Margolis | |
Title | Chief Executive Officer and Director | |
Rule 10b5-1 Arrangement Terminated | true | |
Termination Date | December 18, 2023 | |
Arrangement Duration | 297 days | |
Aggregate Available | 20,000 | 20,000 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation |
Principles of Consolidation | Principles of Consolidation The Company accounts for arrangements that are not controlled through voting or similar rights as variable interest entities (“VIEs”). An enterprise is required to consolidate a VIE if it is the primary beneficiary of the VIE. A VIE is created when (i) the equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support from other parties, or (ii) the entity’s equity holders as a group either: (a) lack the power, through voting or similar rights, to direct the activities of the entity that most significantly impact the entity’s economic performance, (b) are not obligated to absorb expected losses of the entity if they occur, or (c) do not have the right to receive expected residual returns of the entity if they occur. If an entity is deemed to be a VIE, the enterprise that is deemed to have a variable interest, or combination of variable interests, that provides the enterprise with a controlling financial interest in the VIE, is considered the primary beneficiary and must consolidate the VIE. The Company has concluded that under certain circumstances when the Company enters into arrangements for the formation of joint ventures or when entering into a new bridge loan agreement, a VIE may be created under condition (i), (ii), (b) or (c) of the previous paragraph. For each VIE created, the Company has performed a qualitative analysis, including considering which party, if any, has the power to direct the activities most significant to the economic performance of each VIE and whether that party has the obligation to absorb losses of the VIE or the right to receive benefits from the VIE that could be significant to the VIE. If the Company is determined to be the primary beneficiary of the VIE, the assets, liabilities and operations of the VIE are consolidated with the Company’s financial statements. The Company determined that its operating partnership met the definition of a VIE and is consolidated. Additionally, as of December 31, 2023 the Company determined in addition to its operating partnership that it had one consolidated joint venture VIE, consisting of one store. Substantially all of the assets and liabilities of the Company are related to the operating partnership VIE. The assets and credit of the VIE can only be used to satisfy the VIE's own contractual obligations, and the VIE's creditors have no recourse to the general credit of the Company. The Company’s investments in real estate joint ventures, where the Company has significant influence, but not control, and joint ventures which are VIEs in which the Company is not the primary beneficiary, are recorded under the equity method of accounting on the accompanying consolidated financial statements. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Fair Value Disclosures | Fair Value Disclosures Derivative financial instruments Currently, the Company uses interest rate swaps to manage its interest rate risk. The valuation of these instruments is determined using widely accepted valuation techniques including discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate curves. The fair values of interest rate swaps are determined using the market standard methodology of netting the discounted future fixed cash payments and the discounted expected variable cash receipts. The variable cash receipts are based on an expectation of future interest rates (forward curves) derived from observable market interest rate forward curves. The Company incorporates credit valuation adjustments to appropriately reflect both its own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. In adjusting the fair value of its derivative contracts for the effect of nonperformance risk, the Company has considered the impact of netting and any applicable credit enhancements, such as collateral postings, thresholds, mutual puts, and guarantees. In conjunction with the Financial Accounting Standard Board’s fair value measurement guidance, the Company made an accounting policy election to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio. Although the Company has determined that the majority of the inputs used to value its derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with its derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by itself and its counterparties. However, as of December 31, 2023, the Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and has determined that the credit valuation adjustments are not significant to the overall valuation of its derivatives. As a result, the Company has determined that its derivative valuations in their entirety are classified in Level 2 of the fair value hierarchy. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Long-lived assets held for use are evaluated for impairment when events or circumstances indicate there may be impairment. The Company reviews each store at least annually to determine if any such events or circumstances have occurred or exist. The Company focuses on stores where occupancy and/or rental income have decreased by a significant amount. For these stores, the Company determines whether the decrease is temporary or permanent, and whether the store will likely recover the lost occupancy and/or revenue in the short term. In addition, the Company reviews stores in the lease-up stage and compares actual operating results to original projections. When the Company determines that an event that may indicate impairment has occurred, the Company compares the carrying value of the related long-lived assets to the undiscounted future net operating cash flows attributable to the assets. An impairment loss is recorded if the net carrying value of the assets exceeds the undiscounted future net operating cash flows attributable to the assets. The impairment loss recognized equals the excess of net carrying value over the related fair value of the assets. When real estate assets are identified by management as held for sale, the Company discontinues depreciating the assets and estimates the fair value of the assets, net of selling costs. The Company compares the carrying value of the related long-lived assets to the undiscounted future net operating cash flows attributable to the assets (categorized within Level 3 of the fair value hierarchy). If the estimated fair value, net of selling costs, of the assets that have been identified as held for sale is less than the net carrying value of the assets, the Company would recognize a loss on the assets held for sale. The operations of assets held for sale or sold during the period are presented as part of normal operations for all periods presented. The Company assesses annually whether there are any indicators that the value of the Company’s investments in unconsolidated real estate entities may be impaired and when events or circumstances indicate that there may be impairment. An investment is impaired if management’s estimate of the fair value of the investment is less than its carrying value. To the extent impairment has occurred, and is considered to be other than temporary, the loss is measured as the excess of the carrying amount of the investment over the fair value of the investment. The Company evaluates goodwill for impairment at least annually and whenever events, circumstances, and other related factors indicate that fair value of the related reporting unit may be less than the carrying value. If the fair value of the reporting unit is determined to exceed the aggregate carrying amount, no impairment charge is recorded. Otherwise, an impairment charge is recorded to the extent the carrying amount of the goodwill exceeds the amount that would be allocated to goodwill if the reporting unit were acquired for estimated fair value. No impairments of goodwill were recorded for any period presented herein. As of December 31, 2023 and 2022, the Company did not have any assets or liabilities measured at fair value on a nonrecurring basis. Fair Value of Financial Instruments The carrying values of cash and cash equivalents, restricted cash, receivables, other financial instruments included in other assets, accounts payable and accrued expenses, variable-rate notes payable, investments in debt securities and notes receivable, revolving lines of credit and other liabilities reflected in the consolidated balance sheets at December 31, 2023 and 2022, approximate fair value. The fair values of the Company’s notes receivable and notes receivable from Preferred and Common Operating Partnership unit holders were based on the discounted estimated future cash flow of the notes (categorized within Level 3 of the fair value hierarchy); the discount rate used approximated the current market rate for loans with similar maturities and credit quality. The fair values of the Company’s fixed rate notes payable were estimated using the discounted estimated future cash payments to be made on such debt (categorized within Level 3 of the fair value hierarchy); the discount rates used approximated current market rates for loans, or groups of loans, with similar maturities and credit quality. |
Real Estate Assets and Sales | Real Estate Assets Real estate assets are stated at cost, less accumulated depreciation. Direct and allowable internal costs associated with the development, construction, renovation, and improvement of real estate assets are capitalized. Interest, property taxes, and other costs associated with development incurred during the construction period are capitalized. The construction period begins when expenditures for the real estate assets have been made and activities that are necessary to prepare the asset for its intended use are in progress. The construction period ends when the asset is substantially complete and ready for its intended use. Expenditures for maintenance and repairs are charged to expense as incurred. Major replacements and betterments that improve or extend the life of the asset are capitalized and depreciated over their estimated useful lives. Depreciation is computed using the straight-line method over the estimated useful lives of the buildings and improvements, which are generally between five The purchase of stores are considered asset acquisitions. As such, the purchase price is allocated to the real estate assets acquired based on their relative fair values, which are estimated using significant unobservable inputs. The value of the tangible assets, consisting of land and buildings, is determined as if vacant. Intangible assets, which represent the value of existing tenant relationships, are recorded at their relative fair values based on the avoided cost to replace the current leases. The Company measures the value of tenant relationships based on the rent lost due to the amount of time required to replace existing customers, which is based on the Company’s historical experience with turnover in its stores. Any debt assumed as part of the acquisition is recorded at fair value based on current interest rates compared to contractual rates. Acquisition-related transaction costs are capitalized as part of the purchase price. Intangible lease rights represent: (1) purchase price amounts allocated to leases on three stores that cannot be classified as ground or building leases; these rights are amortized to expense over the life of the leases and (2) intangibles related to ground leases on nine stores where the leases were assumed by the Company at rates that were lower than the current market rates for similar leases. The values associated with these assumed leases were recorded as intangibles, which will be amortized over the lease terms. Real Estate Sales In general, sales of real estate and related profits/losses are recognized when all consideration has changed hands and risks and rewards of ownership have been transferred. Certain types of continuing involvement preclude sale treatment and related profit recognition; other forms of continuing involvement allow for sale recognition but require deferral of profit recognition. |
Investments in Unconsolidated Real Estate Entities | Investments in Unconsolidated Real Estate Entities Investments in unconsolidated real estate entities and Cash distributions in unconsolidated real estate ventures represent the Company's noncontrolling interest in real estate joint ventures that own stores and the Company's interest in preferred stock of SmartStop Self Storage REIT, Inc. ("SmartStop") and Strategic Storage Trust VI, Inc. ("Strategic Storage"), an affiliate of SmartStop. The Company’s investments in real estate joint ventures, where the Company has significant influence, but not control and joint ventures which are VIEs in which the Company is not the primary beneficiary, are recorded under the equity method of accounting in the accompanying consolidated financial statements. Under the equity method, the Company’s investment in real estate ventures is stated at cost and adjusted for the Company’s share of net earnings or losses and reduced by distributions. Equity in earnings of real estate ventures is generally recognized based on the Company’s ownership interest in the earnings of each of the unconsolidated real estate ventures. For the purposes of presentation in the statement of cash flows, the Company follows the “nature of distribution” approach for classification of distributions from joint ventures. Under this approach, cash flows are classified on the basis of the nature of the activity or activities of the investee that generated the distribution as either a return on investment (classified as a cash inflow from operating activities) or a return of investment (classified as a cash inflow from investing activities). |
Investments in Debt Securities and Notes Receivable | Investments in Debt Securities and Notes Receivable The Company accounts for its investment in debt securities and loans receivable at amortized cost. The Company recognizes interest income related to the debt securities and notes receivable using the effective interest method, with deferred fees and costs amortized over the lives of the related loans as yield adjustment. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company’s cash is deposited with financial institutions located throughout the United States and at times may exceed federally insured limits. The Company considers all highly liquid debt instruments with a maturity date of three months or less to be cash equivalents. |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities The Company records all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may enter into derivative contracts that are intended to economically hedge certain of its risk, even though hedge accounting does not apply or the Company elects not to apply hedge accounting. The Company made an accounting policy election to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio. |
Risk Management and Use of Financial Instruments | Risk Management and Use of Financial Instruments In the normal course of its ongoing business operations, the Company encounters economic risk. There are three main components of economic risk: interest rate risk, credit risk and market risk. The Company is subject to interest rate risk on its interest-bearing liabilities. Credit risk is the risk of inability or unwillingness of tenants to make contractually required payments. Market risk is the risk of declines in the value of stores due to changes in rental rates, interest rates or other market factors affecting the value of stores held by the Company. The Company has entered into interest rate swap agreements to manage a portion of its interest rate risk. |
Redemption of Common Operating Partnership Units | Redemption of Common Operating Partnership Units The Company has the option to redeem common Operating Partnership Units in cash or shares of common stock. Redemption of common Operating Partnership units for shares of common stock, when redeemed under the original provisions of the Operating Partnership agreement, is accounted for by reclassifying the underlying net book value of the units from noncontrolling interest to the Company’s equity. Redemption of common Operating Partnership units for cash is accounted for by reducing the underlying net book value of the units from noncontrolling interest. |
Revenue and Expense Recognition | Revenue and Expense Recognition Rental revenues are recognized as earned based upon amounts that are currently due from tenants. Leases are generally on month-to-month terms. Prepaid rents are recognized on a straight-line basis over the term of the leases. Promotional discounts are recognized as a reduction to rental income over the promotional period. Late charges, administrative fees and merchandise sales are recognized as income when earned. The Company's management fees are earned subject to the terms of the related management services agreements ("MSAs"). These MSAs provide that the Company will perform management services, which include leasing and operating the property and providing accounting, marketing, banking, maintenance and other services. These services are provided in exchange for monthly management fees, which are based on a percentage of revenues collected from stores owned by third parties and unconsolidated joint ventures. MSAs generally have original terms from three management services are provided on a month-to-month basis unless terminated. Management fees are due on the last day of each calendar month that management services are provided. The Company accounts for the management services provided to a customer as a single performance obligation which are rendered over time each month. The total amount of consideration from the contract is variable as it is based on monthly revenues, which are influenced by multiple factors, some of which are outside the Company's control. Therefore, the Company recognizes the revenue at the end of each month once the uncertainty is resolved. Due to the standardized terms of the MSAs, the Company accounts for all MSAs in a similar, consistent manner. Therefore, no disaggregated information relating to MSAs is presented. Property expenses, including utilities, property taxes, repairs and maintenance and other costs to manage the facilities are recognized as incurred. The Company accrues for property tax expense based upon invoice amounts and estimates. If these estimates are incorrect, the timing of expense recognition could be affected. Tenant reinsurance premiums are recognized as revenue over the period of insurance coverage. Each tenant chooses the amount of insurance coverage they want through the tenant reinsurance program. Tenants can purchase policies in amounts up to 10,000 dollars of insurance coverage in exchange for a monthly fee. As of December 31, 2023, the total number of tenant insurance policies was 1.0 million, which was an aggregate coverage of approximately $3.0 billion. The Company’s exposure per claim is limited by the maximum amount of coverage chosen by each tenant. |
Advertising Costs | Advertising Costs The Company incurs advertising costs primarily attributable to digital and other advertising. These costs are expensed as incurred. The Company recognized $32,795, $19,285 and $18,793 in advertising expense for the years ended December 31, 2023, 2022 and 2021, respectively, which are included in property operating expenses on the Company’s consolidated statements of operations. |
Income Taxes | Income Taxes The Company has elected to be treated as a REIT under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the "Internal Revenue Code"). In order to maintain its qualification as a REIT, among other requirements, the Company is required to distribute at least 90% of its REIT taxable income to its stockholders and meet certain tests regarding the nature of its income and assets. As a REIT, the Company is not subject to U.S. federal income tax with respect to that portion of its income which meets certain criteria and is distributed annually to stockholders. The Company plans to continue to operate so that it meets the requirements for taxation as a REIT. Many of these requirements, however, are highly technical and complex. For any taxable year that the Company fails to qualify as a REIT and for which applicable statutory relief provisions did not apply, the Company would be subject to U.S. federal corporate income tax on all of its taxable income for at least that year and the ensuing four years. The Company is subject to certain state and local taxes. Provision for such taxes has been included in income tax expense on the Company’s consolidated statements of operations. For the year ended December 31, 2023, 0% (unaudited) of all distributions to stockholders qualified as a return of capital. The Company owns and may acquire direct or indirect interests in entities that have elected or will elect to be taxed as REITs under the Internal Revenue Code (each, a “Subsidiary REIT ”). A Subsidiary REIT is subject to the various REIT qualification requirements and other limitations described herein that are applicable to the Company. If a Subsidiary REIT were to fail to qualify as a REIT, then (i) that Subsidiary REIT would become subject to U.S. federal income tax, (ii) shares in such Subsidiary REIT would cease to be qualifying assets for purposes of the asset tests applicable to REITs, and (iii) it is possible that the Company would fail certain of the asset tests applicable to REITs, in which event the Company would fail to qualify as a REIT unless it could avail itself of certain relief provisions. The Company has elected to treat certain corporate subsidiaries, including Extra Space Management, Inc. (“ESMI”), as a taxable REIT subsidiary (“TRS”). In general, a TRS may perform additional services for tenants and may engage in any real estate or non-real estate related business. A TRS is subject to U.S. federal corporate income tax and may also be subject to state and local income taxes. ESM Reinsurance Limited, a wholly-owned subsidiary of ESMI, generates income from insurance premiums that are subject to U.S. federal corporate income tax and state insurance premiums tax. Deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities. At December 31, 2023 and 2022, there were no material unrecognized tax benefits. Interest and penalties relating to uncertain tax positions will be recognized in income tax expense when incurred. As of December 31, 2023 and 2022, the Company had no interest or penalties related to uncertain tax provisions. |
Stock-Based Compensation | Stock-Based Compensation The measurement and recognition of compensation expense for all share-based payment awards to employees and directors are based on estimated fair values. Awards granted are valued at fair value and any compensation expense is recognized over the service periods of each award. |
Earnings Per Common Share | Earnings Per Common Share Basic earnings per common share is computed using the two-class method by dividing net income attributable to common stockholders by the weighted average number of common shares outstanding during the period. All outstanding unvested restricted stock awards contain rights to non-forfeitable dividends and participate in undistributed earnings with common stockholders; accordingly, they are considered participating securities that are included in the two-class method. Diluted earnings per common share measures the performance of the Company over the reporting period while giving effect to all potential common shares that were dilutive and outstanding during the period. The denominator includes the weighted average number of basic shares and the number of additional common shares that would have been outstanding if the potential common shares that were dilutive had been issued, and is calculated using either the two-class, treasury stock or as if-converted method, whichever is most dilutive. Potential common shares are securities (such as options, convertible debt, Series A Participating Redeemable Preferred Units (“Series A Units”), Series B Redeemable Preferred Units (“Series B Units”), and Series D Redeemable Preferred Units (“Series D Units”) and together with the Series A Units and Series B Units, the (“Preferred OP Units") and common Operating Partnership units (“OP Units”)) that do not have a current right to participate in earnings of the Company but could do so in the future by virtue of their option, redemption or conversion right. For the purposes of computing the diluted impact of the potential exchange of the Preferred OP Units for common shares upon redemption, where the Company has the option to redeem in cash or shares and where the Company has stated the intent and ability to settle the redemption in shares, the Company divided the total liquidation value of the Preferred OP Units by the average share price of $142.16 for the year ended December 31, 2023. The following table presents the number of weighted OP Units and Preferred OP Units, and the potential common shares, that were excluded from the computation of earnings per share as their effect would have been anti-dilutive: For the Year Ended December 31, 2023 2022 2021 Equivalent Shares (if converted) Equivalent Shares (if converted) Equivalent Shares (if converted) Common OP Units 7,970,487 — — Series B Units 236,130 187,664 246,618 Series D Units 1,332,049 1,140,513 726,037 9,538,666 1,328,177 972,655 |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In March 2020, the FASB issued ASU 2020-04, " Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting " (“ASU 2020-04”). ASU 2020-04 provides temporary optional guidance that provides transition relief for reference rate reform, including optional expedients and exceptions for applying GAAP to contract modifications, hedging relationships and other transactions that reference LIBOR or a reference rate that is expected to be discontinued as a result of reference rate reform if certain criteria are met. ASU 2020-04 is effective upon issuance, and the provisions generally can be applied prospectively as of January 1, 2020 through December 31, 2024. The Company elected to apply the hedge accounting expedients related to probability and the assessments of effectiveness for future LIBOR-indexed cash flows to assume that the index upon which future hedged transactions will be based matches the index on the corresponding derivatives. The Company also elected to apply additional expedients related to contract modifications, changes in critical terms, and updates to the designated hedged risks as qualifying changes are made to applicable debt and derivative contracts. Application of these expedients preserves the presentation of derivatives and debt contracts consistent with past presentation. In December 2022, the FASB issued ASU 2022-06, Deferral of the Sunset Date of Topic 848 (“ASU 2022-06”) which was issued to defer the sunset date of Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform to December 31, 2024. ASU 2022-06 is effective immediately for all companies. ASU 2022-06 had no impact on the Company’s consolidated financial statements for the year ended December 31, 2022. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis | The table below presents the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2023, aggregated by the level in the fair value hierarchy within which those measurements fall. Fair Value Measurements at Reporting Date Using Description December 31, 2023 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Other assets - Cash flow hedge swap agreements $ 26,183 $ — $ 26,183 $ — Other liabilities - Cash flow hedge swap agreements $ 5,030 $ — $ 5,030 $ — |
Schedule of Fair Value of Financial Instruments | The fair values of the Company’s fixed-rate assets and liabilities were as follows for the periods indicated: December 31, 2023 December 31, 2022 Fair Carrying Fair Carrying Notes receivable from Preferred and Common Operating Partnership unit holders $ 1,886 $ 1,900 $ 95,965 $ 101,900 Fixed rate notes receivable $ — $ — $ 5,191 $ 5,241 Fixed rate debt $ 7,482,054 $ 8,048,605 $ 4,320,014 $ 4,762,196 |
Schedule of Antidilutive Shares Excluded from Computation of Earnings Per Share | The following table presents the number of weighted OP Units and Preferred OP Units, and the potential common shares, that were excluded from the computation of earnings per share as their effect would have been anti-dilutive: For the Year Ended December 31, 2023 2022 2021 Equivalent Shares (if converted) Equivalent Shares (if converted) Equivalent Shares (if converted) Common OP Units 7,970,487 — — Series B Units 236,130 187,664 246,618 Series D Units 1,332,049 1,140,513 726,037 9,538,666 1,328,177 972,655 |
Schedule of Computation of Earnings Per Common Share | The computation of earnings per share is as follows for the periods presented: For the Year Ended December 31, 2023 2022 2021 Net income attributable to common stockholders $ 803,198 $ 860,688 $ 827,649 Earnings and dividends allocated to participating securities (1,230) (1,201) (1,183) Earnings for basic computations 801,968 859,487 826,466 Income allocated to noncontrolling interest - Preferred Operating Partnership Units and Operating Partnership Units — 50,706 43,093 Fixed component of income allocated to noncontrolling interest - Preferred Operating Partnership (Series A Units) — (2,288) (2,288) Net income for diluted computations $ 801,968 $ 907,905 $ 867,271 Weighted average common shares outstanding: Average number of common shares outstanding - basic 169,216,989 134,050,815 133,374,938 OP Units — 6,749,995 5,752,902 Series A Units — 875,480 875,480 Shares related to dilutive stock options 3,893 5,098 12,708 Average number of common shares outstanding - diluted 169,220,882 141,681,388 140,016,028 Earnings per common share Basic $ 4.74 $ 6.41 $ 6.20 Diluted $ 4.74 $ 6.41 $ 6.19 |
Real Estate Assets (Tables)
Real Estate Assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Real Estate [Abstract] | |
Schedule of Components of Real Estate Assets | The components of real estate assets are summarized as follows: December 31, 2023 December 31, 2022 Land $ 4,904,705 $ 2,356,746 Buildings, improvements and other intangibles 21,664,224 9,425,468 Right of use asset - finance lease 143,842 136,259 Intangible assets - tenant relationships 321,019 152,775 Intangible lease rights 27,743 12,943 27,061,533 12,084,191 Less: accumulated depreciation and amortization (2,624,405) (2,138,524) Net operating real estate assets 24,437,128 9,945,667 Real estate under development/redevelopment 118,745 52,311 Real estate assets, net $ 24,555,873 $ 9,997,978 Real estate assets held for sale included in real estate assets, net $ — $ — |
Other Assets (Tables)
Other Assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Other Assets | The components of other assets are summarized as follows: December 31, 2023 December 31, 2022 Goodwill $ 170,811 $ 170,811 Receivables, net 134,716 85,937 Prepaid expenses and deposits 85,153 50,318 Other intangible assets, net 66,332 — Trade name 50,000 — Fair value of interest rate swaps 26,183 54,839 Equipment and fixtures, net 48,697 42,808 Deferred line of credit financing costs, net 9,787 4,846 Restricted cash 6,021 4,867 $ 597,700 $ 414,426 |
Property Acquisitions and Dis_2
Property Acquisitions and Dispositions (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Real Estate [Abstract] | |
Asset Acquisitions | The following table summarizes the fair value of total consideration transferred in the Life Storage Merger: Consideration Type July 20, 2023 Common stock $ 11,353,338 OP units 249,470 Cash for payoff of Life Storage credit facility and debt 1,192,000 Transaction Costs 55,318 Total consideration $ 12,850,127 The following table summarizes the estimated fair values assigned to the assets acquired and liabilities assumed: July 20, 2023 Real estate assets $ 14,587,735 Equity investment in joint venture partnerships 325,250 Cash and other assets 107,423 Intangible assets - other 82,000 Trade name 50,000 Unsecured senior notes (2,106,866) Accounts payable, accrued expenses and other liabilities (191,077) Noncontrolling interests (4,338) Fair value of net assets acquired $ 12,850,127 December 31, 2023 Three Months Ended December 31, 2023 For the Year Ended December 31, 2023 Intangible Assets: Gross Carrying Amount Accumulated Amortization Amortization Expense Amortization Expense Trade name $ 50,000 $ — $ — $ — Intangible assets - other 82,000 15,695 9,417 15,695 132,000 15,695 9,417 15,695 Estimated Aggregate Amortization Expense Intangible Assets: 2024 2025 2026 Trade name $ — $ — $ — Intangible assets - other 23,375 19,833 11,569 $ 23,375 $ 19,833 $ 11,569 |
Schedule of Operating Properties Acquired | The following table shows the Company’s acquisitions of stores for the years ended December 31, 2023 and 2022. The table excludes purchases of raw land and improvements made to existing assets. Consideration Paid Total Period Number of Stores Total Cash Paid Loan Assumed Finance Lease Liability Investments in Real Estate Ventures Net Liabilities/ (Assets) Assumed Value of Equity Issued Real estate assets Total 2023 14 $ 147,729 $ 135,577 $ 12,000 $ — $ — $ 152 $ — $ 147,729 Total 2022 153 $ 1,366,348 $ 1,193,261 $ — $ 6,823 $ 1,085 $ (786) $ 165,965 $ 1,366,348 |
Fair Values of Assets Acquired and Liabilities Assumed | The following table summarizes the preliminary estimated fair values of the assets acquired and liabilities assumed at the acquisition date: Cash and cash equivalents $ 175 Fixed assets 6,411 Developed technology 500 Trademarks 500 Customer relationships 1,870 Other assets 125 Accounts payables and accrued liabilities assumed (1,090) Nets asset acquired 8,491 Goodwill 170,811 Total assets acquired $ 179,302 |
Revenues and Earnings of Acquired Company | The following table summarizes the revenues and earnings related to Bargold since the acquisition date of June 1, 2022, which are included in the Company's consolidated statement of operations for the year ended December 31, 2022: Total revenues $ 9,374 Net income from operations $ 1,718 For the Year Ended December 31, 2022 For the Year Ended December 31, 2021 Pro Forma Pro Forma Total revenues $ 1,930,816 $ 1,592,021 |
Reconciliation of Purchase Price | The following table summarizes the total consideration transferred to acquire Bargold: Total cash paid by the company $ 157,302 Fair value of Series D Units issued 16,000 Fair value of OP Units issued 6,000 Total consideration transferred $ 179,302 |
Investments in Unconsolidated_2
Investments in Unconsolidated Real Estate Entities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Schedule of Investments in Unconsolidated Real Estate Entities | Net Investments in unconsolidated real estate entities and Cash distributions in unconsolidated real estate ventures consist of the following: Number of Stores Equity Ownership % Excess Profit % (1) December 31, 2023 2022 PRISA Self Storage LLC 85 4% 4% $ 9,435 $ 8,596 HF1 Sovran HHF Storage Holdings LLC 37 20% 20% 105,339 — Storage Portfolio II JV LLC 36 10% 30% (8,314) (7,200) Storage Portfolio IV JV LLC 32 10% 30% 48,184 49,139 Storage Portfolio I LLC 24 34% 49% (42,487) (41,372) PR II EXR JV LLC 23 25% 25% 108,160 110,172 HF2 Sovran HHF Storage Holdings II LLC 22 15% 15% 41,613 — HF5 Life Storage-HIERS Storage LLC 17 20% 20% 26,051 — HF6 191 V Life Storage Holdings LLC 17 20% 20% 12,702 — ESS-CA TIVS JV LP 16 55% 55%-65% 29,128 30,778 VRS Self Storage, LLC 16 45% 54% (16,386) (15,399) HF10 Life Storage HHF Wasatch Holdings LLC 16 20% 20% 20,019 — Other unconsolidated real estate ventures 131 10%-50% 10%-50% 317,104 180,346 SmartStop Self Storage REIT, Inc. Preferred Stock (2) n/a n/a n/a 200,000 200,000 Strategic Storage Trust VI, Inc. Preferred Stock (3) n/a n/a n/a 150,000 — Net Investments in and Cash distributions in unconsolidated real estate entities 472 $ 1,000,548 $ 515,060 (1) Includes pro-rata equity ownership share and promoted interest. (2) In October 2019, the Company invested $200,000 in shares of convertible preferred stock of SmartStop with a dividend rate of 6.25% per annum, subject to increase after five years. The preferred shares are generally not redeemable for five years, except in the case of a change of control or initial listing of SmartStop. Dividend income from this investment is included on the equity in earnings and dividend income from unconsolidated real estate entities line on the Company's condensed consolidated statements of operations. (3) In May 2023, the Company invested $150,000 in shares of convertible preferred stock of Strategic Storage with a dividend rate of 8.35% per annum, subject to increase after five years. The preferred shares are generally not redeemable for three years, except in the case of a change of control or initial listing of Strategic Storage. Dividend income from this investment is included on the equity in earnings and dividend income from unconsolidated real estate entities line on the Company's condensed consolidated statements of operations. |
Schedule of Equity in Earnings of Unconsolidated Real Estate Ventures | Equity in earnings and dividend income from unconsolidated real estate entities consists of the following: For the Year Ended December 31, 2023 2022 2021 Equity in earnings of PRISA Self Storage LLC $ 3,320 $ 3,272 $ 2,719 Equity in earnings of HF1 Sovran HHF Storage Holdings LLC (1) 1,553 — — Equity in earnings of Storage Portfolio II JV LLC 3,094 3,398 1,802 Equity in earnings of Storage Portfolio IV JV LLC 1,319 917 112 Equity in earnings of Storage Portfolio I LLC 5,182 4,684 2,833 Equity in earnings of PR II EXR JV LLC 2,227 1,229 (8) Equity in earnings of HF2 Sovran HHF Storage Holdings II LLC (1) 691 — — Equity in earnings of HF5 Life Storage-HIERS Storage LLC (1) 377 — — Equity in earnings of HF6 191 V Life Storage Holdings LLC (1) (735) — — Equity in earnings of ESS-CA TIVS JV LP 3,873 2,753 1,274 Equity in earnings of VRS Self Storage, LLC 5,253 5,401 4,352 Equity in earnings of HF10 Life Storage HHF Wasatch Holdings LLC (1) 40 — — Equity in earnings of other minority owned stores (1) 7,740 7,265 6,774 Dividend income from SmartStop preferred stock 12,500 12,509 12,500 Dividend income from Strategic Storage preferred stock 8,401 — — $ 54,835 $ 41,428 $ 32,358 (1) The earnings of the 16 joint ventures from the Life Storage Merger are from the close of acquisition on July 20, 2023. |
Investments in Debt Securitie_2
Investments in Debt Securities and Notes Receivable (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments in Debt Securities and Bridge Loans Receivable | Information about these balances is as follows: December 31, 2023 December 31, 2022 Debt securities - Preferred Stock $ 300,000 $ 300,000 Notes Receivable - Bridge Loans 594,727 491,879 Dividends and Interest Receivable 10,042 66,170 $ 904,769 $ 858,049 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Components of Notes Payable | The components of term debt are summarized as follows: Term Debt December 31, 2023 December 31, 2022 Fixed Rate Variable Rate (2) Maturity Dates Secured fixed-rate (1) $ 401,319 $ 521,820 2.67% - 4.62% April 2025 - February 2030 Secured variable-rate (1) 877,786 772,604 6.35% - 6.88% November 2024 - September 2030 Unsecured fixed-rate 7,921,633 4,240,376 2.08% - 5.90% January 2025 - March 2032 Unsecured variable-rate 1,463,367 884,624 6.30% - 6.63% June 2024 - July 2029 Total 10,664,105 6,419,424 Less: Discount on unsecured senior notes (3) (274,350) — Less: Unamortized debt issuance costs (55,007) (32,962) Total $ 10,334,748 $ 6,386,462 (1) The loans are collateralized by mortgages on real estate assets and the assignment of rents. (2) Basis rates include Term SOFR and Daily Simple SOFR (3) Unsecured senior notes from the Life Storage Merger were recorded at fair value, resulting in a discount to be amortized over the term of the debt. |
Schedule of Information on Lines of Credit | The following table summarizes the scheduled maturities of term debt, excluding available extensions, at December 31, 2023: 2024 648,250 2025 1,123,120 2026 1,409,581 2027 1,316,907 2028 1,029,000 2029 1,542,759 2030 1,344,488 2031 1,650,000 2032 600,000 Total $ 10,664,105 As of December 31, 2023 Revolving Lines of Credit Amount Drawn Capacity Interest Rate Maturity Basis Rate (1) Credit Line 1 (2) $ 40,000 $ 140,000 6.7% 7/1/2026 SOFR plus 1.35% Credit Line 2 (3)(4) 642,000 2,000,000 6.3% 6/22/2027 ASOFR plus 0.775% $ 682,000 $ 2,140,000 (1) Daily Simple SOFR (2) Secured by mortgages on certain real estate assets. On January 13, 2023 the maturity date was extended to July 1, 2026 with one extension of one (3) Unsecured. On June 22, 2023, the maturity date was extended to June 22, 2027 with two six (4) Basis Rate as of December 31, 2023. Rate is subject to change based on the Company's investment grade rating. |
Derivatives (Tables)
Derivatives (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule Summarizing Terms of Entity's Derivative Financial Instruments | The following table summarizes the terms of the Company’s 15 active and four forward-starting derivative financial instruments, which have a total combined current notional amount of $1,448,566 as of December 31, 2023: Hedge Product Range of Notional Amounts Strike Effective Dates Maturity Dates Swap Agreements $32,000 - $245,000 0.96% - 4.33% 6/27/2018 - 7/14/2025 1/29/2024 - 2/1/2028 |
Schedule of Balance Sheet Classification and Fair Value of Entity's Derivative Financial Instruments | The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated balance sheets: Asset / Liability Derivatives Derivatives designated as hedging instruments: December 31, 2023 December 31, 2022 Other assets $ 26,183 $ 54,839 Other liabilities $ 5,030 $ 73 |
Schedule of Information Relating to Gain (Loss) Recognized on Swap Agreements | The tables below present the effect of the Company’s derivative financial instruments on the consolidated statements of operations for the periods presented. No tax effect has been presented as the derivative instruments are held by the Company: Gain (loss) recognized in OCI for the Year Ended December 31, Location of amounts reclassified from OCI into income Gain (loss) reclassified from OCI for the Year Ended December 31, Type 2023 2022 2023 2022 2021 Swap Agreements $ 8,730 $ 88,372 Interest expense $ 41,541 $ (7,877) $ (35,764) |
Noncontrolling Interest Repre_2
Noncontrolling Interest Represented By Preferred Operating Partnership Units (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Noncontrolling Interest [Abstract] | |
Preferred OP Units | The balances for each of the specific preferred OP units as presented in the Statement of Noncontrolling Interests and Equity as of the periods indicated is as follows: December 31, 2023 December 31, 2022 Series A Units $ — $ 16,498 Series B Units 33,567 33,568 Series D Units 188,793 211,436 $ 222,360 $ 261,502 |
Noncontrolling Interests In O_2
Noncontrolling Interests In Operating Partnership and Other Noncontrolling Interests (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Noncontrolling Interest [Abstract] | |
Redeemable Noncontrolling Interest | OP Unit activity is summarized as follows for the periods presented: For the Year Ended December 31, 2023 2022 2021 OP Units redeemed for common stock 2,803 — 165,652 OP Units redeemed for cash 1,000 24,824 4,500 Cash paid for OP Units redeemed $ 108 $ 4,617 $ 788 OP Units issued in conjunction with business combination and acquisitions 1,674,748 711,037 897,803 Value of OP Units issued in conjunction with business combination and acquisitions $ 249,470 $ 141,000 $ 188,319 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Lease Costs | Following is information on our total lease costs as of the period indicated: For the Year Ended December 31, 2023 2022 Finance lease cost: Amortization of finance lease right-of-use assets $ 3,961 $ 3,751 Interest expense related to finance lease liabilities 4,483 4,018 Operating lease cost 35,783 32,182 Variable lease cost 11,632 11,287 Short-term lease cost 24 32 Total lease cost $ 55,883 $ 51,270 Cash paid for amounts included in the measurement of lease liabilities Operating cash outflows for finance lease payments $ 4,483 $ 4,018 Operating cash outflows for operating lease payments 29,234 25,384 Total cash flows for lease liability measurement $ 33,717 $ 29,402 Right-of-use assets obtained in exchange for new operating lease liabilities $ 265 $ 16,298 Right-of-use assets obtained in exchange for new finance lease liabilities $ — $ 6,823 Weighted average remaining lease term - finance leases (years) 54.00 54.16 Weighted average remaining lease term - operating leases (years) 18.68 20.03 Weighted average discount rate - finance leases 3.31 % 3.31 % Weighted average discount rate - operating leases 3.91 % 3.65 % |
Undiscounted Cash Flows on an Annual Basis, Operating Leases | The following table presents information about the Company’s undiscounted cash flows on an annual basis for operating and finance leases, including a reconciliation of the undiscounted cash flows to the finance lease and operating lease liabilities recognized in the Company’s consolidated balance sheets: Operating Finance Total 2024 $ 34,983 $ 6,542 $ 41,525 2025 34,919 6,572 41,491 2026 35,245 6,715 41,960 2027 35,635 6,842 42,477 2028 36,194 6,953 43,147 Thereafter 131,194 353,983 485,177 Total $ 308,170 $ 387,607 $ 695,777 Present value adjustments (71,655) (244,004) (315,659) Lease liabilities $ 236,515 $ 143,603 $ 380,118 |
Undiscounted Cash Flows on an Annual Basis, Financing Leases | The following table presents information about the Company’s undiscounted cash flows on an annual basis for operating and finance leases, including a reconciliation of the undiscounted cash flows to the finance lease and operating lease liabilities recognized in the Company’s consolidated balance sheets: Operating Finance Total 2024 $ 34,983 $ 6,542 $ 41,525 2025 34,919 6,572 41,491 2026 35,245 6,715 41,960 2027 35,635 6,842 42,477 2028 36,194 6,953 43,147 Thereafter 131,194 353,983 485,177 Total $ 308,170 $ 387,607 $ 695,777 Present value adjustments (71,655) (244,004) (315,659) Lease liabilities $ 236,515 $ 143,603 $ 380,118 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Stock Option Activity | A summary of stock option activity is as follows: Options Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Intrinsic Value as of December 31, 2022 Outstanding at December 31, 2020 71,594 $ 74.54 Exercised (62,322) 73.36 Outstanding at December 31, 2021 9,272 $ 82.47 Exercised — — Outstanding at December 31, 2022 9,272 82.47 Exercised — — Outstanding at December 31, 2023 9,272 $ 82.47 1.98 $1,338 Vested 9,272 $ 82.47 1.98 $1,338 Ending Exercisable 9,272 $ 82.47 1.98 $1,338 |
Schedule of Stock Options Outstanding and Exercisable | A summary of stock options outstanding and exercisable as of December 31, 2023, is as follows: Options Outstanding Options Exercisable Exercise Price Shares Weighted Average Remaining Contractual Life Weighted Average Exercise Price Shares Weighted Average Exercise Price $65.36 - $65.36 1,582 1.15 $ 65.36 1,582 $ 65.36 $85.99 - $85.99 7,690 2.15 85.99 7,690 85.99 |
Summary of Company's Employee and Director Share Grant Activity | A summary of the Company’s employee and director share grant activity is as follows: Restricted Stock Grants Shares Weighted-Average Grant-Date Fair Value Unreleased at December 31, 2020 209,032 $ 95.86 Granted 99,802 132.75 Released (96,248) 91.65 Cancelled (12,808) 113.89 Unreleased at December 31, 2021 199,778 $ 115.16 Granted 105,677 201.12 Released (86,781) 112.31 Cancelled (10,614) 147.03 Unreleased at December 31, 2022 208,060 $ 158.38 Granted 98,263 158.04 Released (90,662) 147.21 Cancelled (10,084) 165.36 Unreleased at December 31, 2023 205,577 $ 162.81 |
Schedule of Nonvested Performance-based Units Activity | A summary of the PSU activity is as follows: Performance-Based Stock Units Units Weighted-Average Grant-Date Fair Value Unvested at December 31, 2020 123,311 $ 104.25 Granted 40,832 138.04 Released (28,735) $ 117.19 Unvested at December 31, 2021 135,408 $ 111.69 Granted 61,085 223.96 Released (49,334) $ 194.21 Unvested at December 31, 2022 147,159 $ 130.63 Granted 86,795 207.28 Released (45,242) $ 162.18 Unvested at December 31, 2023 188,712 $ 158.32 |
Schedule of Weighted Average Assumptions Used to Estimate Fair Value of Awards | A Monte Carlo simulation model was used to calculate the fair value of the TSR Target portion of the PSUs, using the following assumptions: For the Year Ended December 31, 2023 2022 2021 Intrinsic value $30,256 $21,659 $30,701 Risk-free rate 4.6% 1.8% 0.22% Volatility 29.3% 29.3% 28.5% Expected term (in years) 2.8 2.9 2.9 Dividend yield —% —% —% Unrecognized compensation cost $18,798 $13,241 $8,859 Term over which compensation cost recognized (in years) 3 3 3 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Summarized Statement of Components of Income Tax Provision | The income tax provision for the years ended December 31, 2023, 2022 and 2021, is comprised of the following components: For the Year Ended December 31, 2023 Federal State Total Current expense $ 26,516 $ 6,035 $ 32,551 Tax credits/true-up (7,742) — (7,742) Change in deferred expense/(benefit) (4,151) 901 (3,250) Total tax expense $ 14,623 $ 6,936 $ 21,559 For the Year Ended December 31, 2022 Federal State Total Current expense $ 20,592 $ 4,546 $ 25,138 Tax credits/true-up (6,071) 31 (6,040) Change in deferred expense 1,909 (82) 1,827 Total tax expense $ 16,430 $ 4,495 $ 20,925 For the Year Ended December 31, 2021 Federal State Total Current expense $ 21,017 $ 3,520 $ 24,537 Tax credits/true-up (4,979) (138) (5,117) Change in deferred benefit 818 86 904 Total tax expense $ 16,856 $ 3,468 $ 20,324 |
Schedule of Reconciliation of Statutory Income Tax Provisions to the Effective Income Tax Provisions | A reconciliation of the statutory income tax provisions to the effective income tax provisions for the periods indicated is as follows: For the Year Ended December 31, 2023 2022 2021 Expected tax at statutory rate $ 183,111 21.0 % $ 197,887 21.0 % $ 188,600 21.0 % Non-taxable REIT income (161,316) (18.5) % (172,966) (18.4) % (166,137) (18.5) % State and local tax expense - net of federal benefit 8,779 1.0 % 4,160 0.4 % 3,259 0.4 % Change in valuation allowance (1,148) (0.1) % (1,093) (0.1) % (1,061) (0.1) % Tax credits/true-up (7,742) (0.9) % (6,040) (0.6) % (5,117) (0.6) % Miscellaneous (125) — % (1,023) (0.1) % 780 0.1 % Total provision $ 21,559 2.5 % $ 20,925 2.2 % $ 20,324 2.3 % |
Schedule of Major Sources of Temporary Differences Stated at their Deferred Tax Effects | The major sources of temporary differences stated at their deferred tax effects are as follows: December 31, 2023 December 31, 2022 Deferred tax liabilities: Fixed assets $ (36,572) $ (32,551) Operating and Finance lease right-of-use assets (6,831) (6,610) Other (37) (48) State deferred taxes (4,564) (3,607) Captive insurance subsidiary (10,760) — Total deferred tax liabilities (58,764) (42,816) Deferred tax assets: Captive insurance subsidiary 509 335 Accrued liabilities 3,015 2,541 Stock compensation 3,961 3,467 Operating and Finance lease liabilities 9,013 8,418 Other 502 48 State deferred taxes 2,581 5,232 Total deferred tax assets 19,581 20,041 Valuation allowance — (1,148) Net deferred income tax liabilities $ (39,183) $ (23,923) |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Financial Information of Business Segments | Financial information for the Company’s business segments is set forth below: Year Ended December 31, 2023 2022 2021 Revenues: Self-Storage Operations $ 2,222,578 $ 1,654,735 $ 1,340,990 Tenant Reinsurance 235,680 185,531 170,108 Total segment revenues $ 2,458,258 $ 1,840,266 $ 1,511,098 Operating expenses: Self-Storage Operations $ 612,036 $ 435,342 $ 368,608 Tenant Reinsurance 58,874 33,560 29,488 Total segment operating expenses $ 670,910 $ 468,902 $ 398,096 Net operating income: Self-Storage Operations $ 1,610,542 $ 1,219,393 $ 972,382 Tenant Reinsurance 176,806 151,971 140,620 Total segment net operating income: $ 1,787,348 $ 1,371,364 $ 1,113,002 Total segment net operating income $ 1,787,348 $ 1,371,364 $ 1,113,002 Other components of net income: Property management fees and other income 101,986 83,904 66,264 Transaction costs — (1,548) — Life Storage Merger transition costs (66,732) — — General and administrative expense (146,408) (129,251) (102,194) Depreciation and amortization expense (506,053) (288,316) (241,879) Gain on real estate transactions — 14,249 140,760 Interest expense (419,035) (219,171) (166,183) Non-cash interest expense related to amortization of discount on equity component of exchangeable senior notes (18,786) — — Interest income 84,857 69,422 49,703 Equity in earnings and dividend income from unconsolidated real estate entities 54,835 41,428 32,358 Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets — — 6,251 Income tax expense (21,559) (20,925) (20,324) Net income $ 850,453 $ 921,156 $ 877,758 |
Description of Business (Detail
Description of Business (Details) | Dec. 31, 2023 store state |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of storage facilities in which the entity had equity interests | 2,377 |
Number of stores managed for third parties | 1,337 |
Number of stores owned and/or managed | 3,714 |
Number of states in which storage facilities are located | state | 42 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Variable Interest Entities (Details) | Dec. 31, 2023 store variable_interest_entity |
Accounting Policies [Abstract] | |
Number of consolidated VIEs | variable_interest_entity | 1 |
Consolidated VIEs, number of stores | store | 1 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - Recurring $ in Thousands | Dec. 31, 2023 USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Other assets - Cash flow hedge swap agreements | $ 26,183 |
Other liabilities - Cash flow hedge swap agreements | 5,030 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Other assets - Cash flow hedge swap agreements | 0 |
Other liabilities - Cash flow hedge swap agreements | 0 |
Significant Other Observable Inputs (Level 2) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Other assets - Cash flow hedge swap agreements | 26,183 |
Other liabilities - Cash flow hedge swap agreements | 5,030 |
Significant Unobservable Inputs (Level 3) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Other assets - Cash flow hedge swap agreements | 0 |
Other liabilities - Cash flow hedge swap agreements | $ 0 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Schedule of Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Fair Value | ||
Fair Value of Financial Instruments [Line Items] | ||
Notes receivable from Preferred and Common Operating Partnership unit holders | $ 1,886 | $ 95,965 |
Fixed rate notes receivable | 0 | 5,191 |
Fixed rate debt | 7,482,054 | 4,320,014 |
Carrying Value | ||
Fair Value of Financial Instruments [Line Items] | ||
Notes receivable from Preferred and Common Operating Partnership unit holders | 1,900 | 101,900 |
Fixed rate notes receivable | 0 | 5,241 |
Fixed rate debt | $ 8,048,605 | $ 4,762,196 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Real Estate Assets (Details) | 12 Months Ended |
Dec. 31, 2023 store | |
Property, Plant and Equipment [Line Items] | |
Number of properties whereby leases cannot be classified as ground or building leases | 3 |
Number of properties whereby leases have been assumed at rates lower than the current market rates | 9 |
Buildings, improvements and other intangibles | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 5 years |
Buildings, improvements and other intangibles | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 39 years |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Risk Management and Use of Financial Instruments (Details) | 12 Months Ended |
Dec. 31, 2023 item | |
Accounting Policies [Abstract] | |
Number of main components of economic risk | 3 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Revenue and Expense Recognition (Details) claim in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) claim | |
Disaggregation of Revenue [Line Items] | |
Maximum amount of insurance coverage | $ 10,000 |
Number of claims made | claim | 1 |
Average amount of insurance coverage | $ 3,000,000,000 |
Management Services Agreements (MSA) | Minimum | |
Disaggregation of Revenue [Line Items] | |
Contract term | 3 years |
Management Services Agreements (MSA) | Maximum | |
Disaggregation of Revenue [Line Items] | |
Contract term | 5 years |
Summary of Significant Accou_10
Summary of Significant Accounting Policies - Advertising Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accounting Policies [Abstract] | |||
Advertising expense | $ 32,795 | $ 19,285 | $ 18,793 |
Summary of Significant Accou_11
Summary of Significant Accounting Policies - Income Taxes (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Accounting Policies [Abstract] | ||
Percentage of all distributions to stockholders which qualified as a return of capital | 0% | |
Unrecognized tax benefits | $ 0 | $ 0 |
Interest or penalties related to uncertain tax provisions | $ 0 | $ 0 |
Summary of Significant Accou_12
Summary of Significant Accounting Policies - Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from computation of earnings per common share (in shares) | 9,538,666 | 1,328,177 | 972,655 |
Average share price (in dollars per share) | $ 142.16 | ||
Series A Units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Instruments to be settled in cash (at least) | $ 101,700 |
Summary of Significant Accou_13
Summary of Significant Accounting Policies - Schedule of Antidilutive Shares Excluded from Computation of Earnings Per Share (Details) - shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Equivalent Shares (if converted) (in shares) | 9,538,666 | 1,328,177 | 972,655 |
Common OP Units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Equivalent Shares (if converted) (in shares) | 7,970,487 | 0 | 0 |
Series B Units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Equivalent Shares (if converted) (in shares) | 236,130 | 187,664 | 246,618 |
Series D Units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Equivalent Shares (if converted) (in shares) | 1,332,049 | 1,140,513 | 726,037 |
Summary of Significant Accou_14
Summary of Significant Accounting Policies - Schedule of Computation of Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accounting Policies [Abstract] | |||
Net income attributable to common stockholders | $ 803,198 | $ 860,688 | $ 827,649 |
Earnings and dividends allocated to participating securities | (1,230) | (1,201) | (1,183) |
Earnings for basic computations | 801,968 | 859,487 | 826,466 |
Income allocated to noncontrolling interest - Preferred Operating Partnership Units and Operating Partnership Units | 0 | 50,706 | 43,093 |
Fixed component of income allocated to noncontrolling interest - Preferred Operating Partnership (Series A Units) | 0 | (2,288) | (2,288) |
Net income for diluted computations | $ 801,968 | $ 907,905 | $ 867,271 |
Weighted average common shares outstanding: | |||
Average number of common shares outstanding - basic (in shares) | 169,216,989 | 134,050,815 | 133,374,938 |
OP Units (in shares) | 0 | 6,749,995 | 5,752,902 |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Shares related to exchangeable senior notes and dilutive stock options (in shares) | 3,893 | 5,098 | 12,708 |
Average number of common shares outstanding - diluted (in shares) | 169,220,882 | 141,681,388 | 140,016,028 |
Earnings per common share | |||
Basic (in dollars per share) | $ 4.74 | $ 6.41 | $ 6.20 |
Diluted (in dollars per share) | $ 4.74 | $ 6.41 | $ 6.19 |
Series A Units | |||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Series A Units (in shares) | 0 | 875,480 | 875,480 |
Real Estate Assets - Schedule o
Real Estate Assets - Schedule of Components of Real Estate Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Real Estate [Abstract] | ||
Land | $ 4,904,705 | $ 2,356,746 |
Buildings, improvements and other intangibles | 21,664,224 | 9,425,468 |
Right of use asset - finance lease | 143,842 | 136,259 |
Intangible assets - tenant relationships | 321,019 | 152,775 |
Intangible lease rights | 27,743 | 12,943 |
Gross operating real estate assets | 27,061,533 | 12,084,191 |
Less: accumulated depreciation and amortization | (2,624,405) | (2,138,524) |
Net operating real estate assets | 24,437,128 | 9,945,667 |
Real estate under development/redevelopment | 118,745 | 52,311 |
Net real estate assets | 24,555,873 | 9,997,978 |
Real estate assets held for sale included in real estate assets, net | $ 0 | $ 0 |
Real Estate Assets - Additional
Real Estate Assets - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Real Estate [Abstract] | |||
Average period that a tenant is expected to utilize the facility | 18 months | ||
Amortization Expense | $ 59,807 | $ 13,981 | $ 4,778 |
Real Estate Properties [Line Items] | |||
Accumulated Amortization | $ 317,511 | $ 144,144 | |
Minimum | |||
Real Estate Properties [Line Items] | |||
Remaining amortization period | 5 years | ||
Maximum | |||
Real Estate Properties [Line Items] | |||
Remaining amortization period | 39 years |
Other Assets - Schedule of Othe
Other Assets - Schedule of Other Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||||
Goodwill | $ 170,811 | $ 170,811 | ||
Receivables, net | 134,716 | 85,937 | ||
Prepaid expenses and deposits | 85,153 | 50,318 | ||
Other intangible assets, net | 66,332 | 0 | ||
Trade name | 50,000 | 0 | ||
Fair value of interest rate swaps | 26,183 | 54,839 | ||
Equipment and fixtures, net | 48,697 | 42,808 | ||
Deferred line of credit financing costs, net | 9,787 | 4,846 | ||
Restricted cash | 6,021 | 4,867 | $ 5,068 | $ 18,885 |
Other assets, net | $ 597,700 | $ 414,426 |
Other Assets - Narrative (Detai
Other Assets - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other Assets [Line Items] | |||
Equipment and fixtures, net | $ 48,697 | $ 42,808 | |
Depreciation and amortization | 506,053 | 288,316 | $ 241,879 |
Software development | |||
Other Assets [Line Items] | |||
Equipment and fixtures, net | 18,844 | 23,165 | |
Depreciation and amortization | $ 5,377 | $ 5,147 | |
Minimum | Equipment and fixtures | |||
Other Assets [Line Items] | |||
Estimated useful life | 3 years | ||
Maximum | Equipment and fixtures | |||
Other Assets [Line Items] | |||
Estimated useful life | 5 years |
Property Acquisitions and Dis_3
Property Acquisitions and Dispositions - Additional Information (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | ||||||||||
Jul. 25, 2023 USD ($) | Jul. 20, 2023 USD ($) store shares | Sep. 15, 2022 USD ($) store shares | Jun. 21, 2022 USD ($) store | Jun. 01, 2022 USD ($) storage_unit | May 18, 2022 USD ($) store | Dec. 16, 2021 USD ($) store | Mar. 01, 2021 USD ($) store | Jun. 30, 2021 joint_venture | Dec. 31, 2023 USD ($) joint_venture store shares | Dec. 31, 2022 USD ($) store shares | Dec. 31, 2021 USD ($) | |
Asset Acquisition [Line Items] | ||||||||||||
Repayments of debt | $ 7,088,984 | $ 4,207,700 | $ 5,500,290 | |||||||||
Total purchase price | $ 590,000 | $ 147,729 | $ 1,366,348 | |||||||||
Preferred stock, issued (in shares) | shares | 0 | 0 | ||||||||||
Value of units issued | $ 0 | $ 165,965 | ||||||||||
Number of stores acquired | store | 106 | 14 | 153 | |||||||||
Parcels of land acquired | store | 8 | |||||||||||
Transaction costs | $ 0 | $ 1,548 | $ 0 | |||||||||
Proceeds from sale of real estate assets and investments in real estate ventures | $ 38,700 | |||||||||||
Number of stores disposed of | store | 1 | 1 | ||||||||||
Gain on sale | $ 14,200 | |||||||||||
Interest purchased, number of unconsolidated joint ventures | joint_venture | 2 | 17 | ||||||||||
Joint venture investment | $ 33,878 | |||||||||||
Unconsolidated Joint Venture | ||||||||||||
Asset Acquisition [Line Items] | ||||||||||||
Equity method ownership percentage | 55% | |||||||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | ||||||||||||
Asset Acquisition [Line Items] | ||||||||||||
Number of stores sold | store | 16 | 16 | ||||||||||
Proceeds from sale of real estate assets | $ 200,292 | $ 132,759 | ||||||||||
Gain (loss) on disposition of assets | $ (73,854) | $ (63,477) | ||||||||||
Operating Partnership | ||||||||||||
Asset Acquisition [Line Items] | ||||||||||||
Preferred stock, issued (in shares) | shares | 619,294 | |||||||||||
Value of units issued | $ 125,000 | |||||||||||
Bargold | ||||||||||||
Asset Acquisition [Line Items] | ||||||||||||
Total consideration transferred | $ 179,302 | |||||||||||
Transaction costs | $ 1,465 | |||||||||||
Life Storage, Inc | ||||||||||||
Asset Acquisition [Line Items] | ||||||||||||
Repayments of debt | $ 375,000 | |||||||||||
Bargold | ||||||||||||
Asset Acquisition [Line Items] | ||||||||||||
Number of storage units | storage_unit | 17,000 | |||||||||||
Occupancy rate | 0.97 | |||||||||||
Senior Notes | Senior Notes, Assumed From Life Storage | ||||||||||||
Asset Acquisition [Line Items] | ||||||||||||
Repayments of debt | $ 2,351,100 | |||||||||||
Senior note balances | $ 48,900 | |||||||||||
Life Storage, Inc | ||||||||||||
Asset Acquisition [Line Items] | ||||||||||||
Number of wholly owned stores acquired | store | 757 | |||||||||||
Number of consolidated joint venture stores acquired | store | 1 | |||||||||||
Equity interest issued conversion ratio | shares | 0.895 | |||||||||||
Consideration transferred | $ 11,602,808 | |||||||||||
Real estate assets, estimated useful life | 39 years | |||||||||||
Tenant relationships, estimated useful life | 18 months | |||||||||||
Intangible assets, amortization period | 36 months | |||||||||||
Total purchase price | $ 12,850,127 | |||||||||||
Interest purchased, number of unconsolidated joint ventures | joint_venture | 16 | |||||||||||
Life Storage, Inc | Line of Credit | ||||||||||||
Asset Acquisition [Line Items] | ||||||||||||
Extinguishment of debt | 1,160,000 | |||||||||||
Life Storage, Inc | Secured Debt | ||||||||||||
Asset Acquisition [Line Items] | ||||||||||||
Repayments of debt | $ 32,000 |
Property Acquisitions and Dis_4
Property Acquisitions and Dispositions - Asset Acquisition - Life Storage (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Jul. 20, 2023 | Sep. 15, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Asset Acquisition [Line Items] | |||||
Total consideration | $ 590,000 | $ 147,729 | $ 1,366,348 | ||
Equity investment in joint venture partnerships | 325,250 | 0 | $ 0 | ||
Unsecured senior notes | (2,106,866) | 0 | 0 | ||
Accounts payable, accrued expenses and other liabilities | $ (191,077) | $ 0 | $ 0 | ||
Life Storage, Inc | |||||
Asset Acquisition [Line Items] | |||||
Equity | $ 11,602,808 | ||||
Cash for payoff of Life Storage credit facility and debt | 1,192,000 | ||||
Transaction Costs | 55,318 | ||||
Total consideration | 12,850,127 | ||||
Real estate assets | 14,587,735 | ||||
Equity investment in joint venture partnerships | 325,250 | ||||
Cash and other assets | 107,423 | ||||
Intangible assets - other | 82,000 | ||||
Trade name | 50,000 | ||||
Unsecured senior notes | (2,106,866) | ||||
Accounts payable, accrued expenses and other liabilities | (191,077) | ||||
Noncontrolling interests | (4,338) | ||||
Fair value of net assets acquired | 12,850,127 | ||||
Life Storage, Inc | Common stock | |||||
Asset Acquisition [Line Items] | |||||
Equity | 11,353,338 | ||||
Life Storage, Inc | OP units | |||||
Asset Acquisition [Line Items] | |||||
Equity | $ 249,470 |
Property Acquisitions and Dis_5
Property Acquisitions and Dispositions - Asset Acquisition, Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Asset Acquisition [Line Items] | ||||
Trade name | $ 50,000 | $ 50,000 | $ 0 | |
Accumulated Amortization | 317,511 | 317,511 | 144,144 | |
Amortization Expense | 59,807 | $ 13,981 | $ 4,778 | |
Life Storage, Inc | ||||
Asset Acquisition [Line Items] | ||||
Trade name | 50,000 | 50,000 | ||
Intangible assets - other | 82,000 | 82,000 | ||
Gross Carrying Amount | 132,000 | 132,000 | ||
Accumulated Amortization | 15,695 | 15,695 | ||
Amortization Expense | 9,417 | 15,695 | ||
2024 | 23,375 | 23,375 | ||
2025 | 19,833 | 19,833 | ||
2026 | $ 11,569 | $ 11,569 |
Property Acquisitions and Dis_6
Property Acquisitions and Dispositions - Asset Acquisitions - Schedule of Operating Properties Acquired (Details) $ in Thousands | 12 Months Ended | ||
Sep. 15, 2022 USD ($) store | Dec. 31, 2023 USD ($) store | Dec. 31, 2022 USD ($) store | |
Business Combination and Asset Acquisition [Abstract] | |||
Number of Stores | store | 106 | 14 | 153 |
Total | $ 147,729 | $ 1,366,348 | |
Cash Paid | 135,577 | 1,193,261 | |
Loan Assumed | 12,000 | 0 | |
Finance Lease Liability | 0 | 6,823 | |
Investments in Real Estate Ventures | 0 | 1,085 | |
Net Liabilities/ (Assets) Assumed | 152 | (786) | |
Value of Equity Issued | 0 | 165,965 | |
Total purchase price | $ 590,000 | $ 147,729 | $ 1,366,348 |
Property Acquisitions and Dis_7
Property Acquisitions and Dispositions - Reconciliation of Purchase Price (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Jun. 01, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Common OP Units | ||||
Business Acquisition [Line Items] | ||||
Equity interests issued | $ 0 | $ 16,000 | $ 0 | |
Bargold | ||||
Business Acquisition [Line Items] | ||||
Total cash paid by the company | $ 157,302 | |||
Total consideration transferred | 179,302 | |||
Bargold | Series D Units | ||||
Business Acquisition [Line Items] | ||||
Equity interests issued | 16,000 | |||
Bargold | Common OP Units | ||||
Business Acquisition [Line Items] | ||||
Equity interests issued | $ 6,000 |
Property Acquisitions and Dis_8
Property Acquisitions and Dispositions - Fair Values of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Jun. 01, 2022 |
Business Acquisition [Line Items] | |||
Goodwill | $ 170,811 | $ 170,811 | |
Bargold | |||
Business Acquisition [Line Items] | |||
Cash and cash equivalents | $ 175 | ||
Fixed assets | 6,411 | ||
Other assets | 125 | ||
Accounts payables and accrued liabilities assumed | (1,090) | ||
Nets asset acquired | 8,491 | ||
Goodwill | 170,811 | ||
Total assets acquired | 179,302 | ||
Bargold | Developed technology | |||
Business Acquisition [Line Items] | |||
Finite-lived intangible assets | 500 | ||
Bargold | Trademarks | |||
Business Acquisition [Line Items] | |||
Finite-lived intangible assets | 500 | ||
Bargold | Customer relationships | |||
Business Acquisition [Line Items] | |||
Finite-lived intangible assets | $ 1,870 |
Property Acquisitions and Dis_9
Property Acquisitions and Dispositions - Revenues and Earnings of Acquired Company (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Business Acquisition [Line Items] | ||
Total revenues | $ 1,930,816 | $ 1,592,021 |
Bargold | ||
Business Acquisition [Line Items] | ||
Total revenues | 9,374 | |
Net income from operations | $ 1,718 |
Investments in Unconsolidated_3
Investments in Unconsolidated Real Estate Entities - Schedule of Investments in Unconsolidated Real Estate Ventures (Details) $ in Thousands | 1 Months Ended | ||
Oct. 31, 2019 USD ($) | Dec. 31, 2023 USD ($) property | Dec. 31, 2022 USD ($) | |
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 472 | ||
Investment balance | $ 1,000,548 | $ 515,060 | |
PRISA Self Storage LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 85 | ||
Equity Ownership % | 4% | ||
Excess Profit % | 4% | ||
Investment balance | $ 9,435 | 8,596 | |
HF1 Sovran HHF Storage Holdings LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 37 | ||
Equity Ownership % | 20% | ||
Excess Profit % | 20% | ||
Investment balance | $ 105,339 | 0 | |
Storage Portfolio II JV LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 36 | ||
Equity Ownership % | 10% | ||
Excess Profit % | 30% | ||
Investment balance | $ (8,314) | (7,200) | |
Storage Portfolio IV JV LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 32 | ||
Equity Ownership % | 10% | ||
Excess Profit % | 30% | ||
Investment balance | $ 48,184 | 49,139 | |
Storage Portfolio I LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 24 | ||
Equity Ownership % | 34% | ||
Excess Profit % | 49% | ||
Investment balance | $ (42,487) | (41,372) | |
PR II EXR JV LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 23 | ||
Equity Ownership % | 25% | ||
Excess Profit % | 25% | ||
Investment balance | $ 108,160 | 110,172 | |
HF2 Sovran HHF Storage Holdings II LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 22 | ||
Equity Ownership % | 15% | ||
Excess Profit % | 15% | ||
Investment balance | $ 41,613 | 0 | |
HF5 Life Storage-HIERS Storage LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 17 | ||
Equity Ownership % | 20% | ||
Excess Profit % | 20% | ||
Investment balance | $ 26,051 | 0 | |
HF6 191 V Life Storage Holdings LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 17 | ||
Equity Ownership % | 20% | ||
Excess Profit % | 20% | ||
Investment balance | $ 12,702 | 0 | |
ESS-CA TIVS JV LP | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 16 | ||
Equity Ownership % | 55% | ||
Investment balance | $ 29,128 | 30,778 | |
ESS-CA TIVS JV LP | Minimum | |||
Schedule of Equity Method Investments [Line Items] | |||
Excess Profit % | 55% | ||
ESS-CA TIVS JV LP | Maximum | |||
Schedule of Equity Method Investments [Line Items] | |||
Excess Profit % | 65% | ||
VRS Self Storage, LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 16 | ||
Equity Ownership % | 45% | ||
Excess Profit % | 54% | ||
Investment balance | $ (16,386) | (15,399) | |
HF10 Life Storage HHF Wasatch Holdings LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 16 | ||
Equity Ownership % | 20% | ||
Excess Profit % | 20% | ||
Investment balance | $ 20,019 | 0 | |
Other unconsolidated real estate ventures | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | property | 131 | ||
Investment balance | $ 317,104 | 180,346 | |
Other unconsolidated real estate ventures | Minimum | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Ownership % | 10% | ||
Excess Profit % | 10% | ||
Other unconsolidated real estate ventures | Maximum | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Ownership % | 50% | ||
Excess Profit % | 50% | ||
SmartStop Self Storage REIT Inc Preferred Stock | |||
Schedule of Equity Method Investments [Line Items] | |||
Investment balance | $ 200,000 | $ 200,000 | 200,000 |
Investment, preferred dividend rate | 6.25% | ||
Period after which preferred stock dividend is subject to increase | 5 years | ||
Strategic Storage Trust VI, Inc. Preferred Stock | |||
Schedule of Equity Method Investments [Line Items] | |||
Investment balance | $ 150,000 | $ 0 |
Investments in Unconsolidated_4
Investments in Unconsolidated Real Estate Entities - Additional Information (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
May 31, 2023 USD ($) | Jun. 30, 2021 USD ($) store joint_venture | Oct. 31, 2019 USD ($) | Dec. 31, 2023 USD ($) joint_venture store | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Schedule of Equity Method Investments [Line Items] | ||||||
Investment balance | $ 1,000,548 | $ 515,060 | ||||
Interest sold, number of unconsolidated joint ventures | joint_venture | 2 | |||||
Proceeds from sale of unconsolidated joint ventures | $ 1,888 | |||||
Gain (loss) on sale | $ 525 | |||||
Interest purchased, number of unconsolidated joint ventures | joint_venture | 2 | 17 | ||||
Number of joint venture stores purchased | store | 146 | |||||
Investment | $ 305,921 | |||||
Number of stores acquired | store | 9 | |||||
Purchase price | $ 27,583 | |||||
Amortization amount of excess purchase price included in equity earnings | $ 60,253 | |||||
Amortization period of excess purchase price included in equity earnings | 39 years | |||||
Management fee revenues | $ 31,755 | 24,389 | $ 17,619 | |||
WICNN JV LLC And GFN JV, LLC | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Gain (loss) on sale | $ 5,739 | |||||
Number of stores sold | store | 17 | |||||
SmartStop Self Storage REIT Inc Preferred Stock | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Investment balance | $ 200,000 | 200,000 | 200,000 | |||
Investment, preferred dividend rate | 6.25% | |||||
Period after which preferred stock dividend is subject to increase | 5 years | |||||
Redemption restriction period | 5 years | |||||
Strategic Storage Trust VI, Inc. Preferred Stock | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Investment balance | $ 150,000 | $ 0 | ||||
Payments to acquire investments | $ 150,000 | |||||
Dividend rate, percentage | 8.35% | |||||
Dividend rate increase threshold | 5 years | |||||
Redemption period | 3 years |
Investments in Unconsolidated_5
Investments in Unconsolidated Real Estate Entities - Schedule of Equity in Earnings of Unconsolidated Real Estate Ventures (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | $ 54,835 | $ 41,428 | $ 32,358 |
SmartStop Self Storage REIT Inc Preferred Stock | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 12,500 | 12,509 | 12,500 |
Strategic Storage Preferred Stock | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 8,401 | 0 | 0 |
PRISA Self Storage LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 3,320 | 3,272 | 2,719 |
HF1 Sovran HHF Storage Holdings LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 1,553 | 0 | 0 |
Storage Portfolio II JV LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 3,094 | 3,398 | 1,802 |
Storage Portfolio IV JV LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 1,319 | 917 | 112 |
Storage Portfolio I LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 5,182 | 4,684 | 2,833 |
PR II EXR JV LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 2,227 | 1,229 | (8) |
HF2 Sovran HHF Storage Holdings II LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 691 | 0 | 0 |
HF5 Life Storage-HIERS Storage LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 377 | 0 | 0 |
HF6 191 V Life Storage Holdings LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | (735) | 0 | 0 |
ESS-CA TIVS JV LP | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 3,873 | 2,753 | 1,274 |
VRS Self Storage, LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 5,253 | 5,401 | 4,352 |
HF10 Life Storage HHF Wasatch Holdings LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | 40 | 0 | 0 |
Other unconsolidated real estate ventures | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings and dividend income from unconsolidated real estate entities | $ 7,740 | $ 7,265 | $ 6,774 |
Investments in Debt Securitie_3
Investments in Debt Securities and Notes Receivable - Schedule (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Dividends and Interest Receivable | $ 10,042 | $ 66,170 |
Investments in debt securities and notes receivable | 904,769 | 858,049 |
Notes Receivable - Bridge Loans | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Notes receivable | 594,727 | 491,879 |
NexPoint Preferred Stock | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Debt securities - Preferred Stock | $ 300,000 | $ 300,000 |
Investments in Debt Securitie_4
Investments in Debt Securities and Notes Receivable - Additional Information (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | |||||
Dec. 31, 2022 USD ($) extension_option shares | Feb. 28, 2022 USD ($) | Nov. 30, 2020 USD ($) shares | Jul. 31, 2020 USD ($) store | Dec. 31, 2023 USD ($) extension_option | Dec. 31, 2022 USD ($) extension_option shares | Dec. 31, 2021 USD ($) | |
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Investment in debt securities | $ 300,000 | ||||||
Debt securities, term | 6 years | ||||||
Debt securities, extension option | extension_option | 2 | 2 | |||||
Debt securities, extension term | 1 year | ||||||
Debt securities, period after which preferred dividends increase annually | 6 years | ||||||
Number of stores held as collateral | store | 62 | ||||||
Payments to purchase notes receivable | $ 330,499 | $ 529,245 | $ 317,482 | ||||
Proceeds from sale of notes receivable | $ 167,495 | $ 210,048 | $ 172,002 | ||||
Notes receivable, percentage of mortgage receivables notes | 70% | ||||||
Bridge loans, extension option | extension_option | 2 | ||||||
Bridge loans, extension term | 1 year | ||||||
Maximum | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Loan to value ratio | 80% | ||||||
Minimum | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Loan to value ratio | 70% | ||||||
Notes Receivable - Bridge Loans | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Payments to purchase notes receivable | $ 283,039 | ||||||
Proceeds from sale of notes receivable | $ 167,495 | ||||||
Bridge loans, original maturities | 3 years | ||||||
Principal amount of notes sold | $ (167,495) | ||||||
Payment for draw on interest holdback | $ 27,366 | ||||||
Notes Receivable - Senior Mezzanine Loan, net | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Purchase of note receivable | $ 103,000 | ||||||
Note receivable interest rate | 5.50% | ||||||
Payments to purchase notes receivable | $ 101,142 | ||||||
Proceeds from sale of notes receivable | $ 103,315 | ||||||
JCAP Series A Preferred Stock | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Investment in debt securities | $ 200,000 | ||||||
Investment in debt securities (in shares) | shares | 200,000 | ||||||
Debt securities, dividend rate | 8.50% | ||||||
JCAP Series B Preferred Stock | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Investment in debt securities | $ 100,000 | ||||||
Investment in debt securities (in shares) | shares | 100,000 | ||||||
JCAP Series D Preferred Stock | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Shares exchanged (in shares) | shares | 300,000 | 300,000 | |||||
Shares exchanged, value (in dollars) | $ 300,000 |
Debt - Schedule of Components o
Debt - Schedule of Components of Notes Payable (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Combined weighted average interest rate | 4.60% | |
Notes Payable | ||
Debt Instrument [Line Items] | ||
Total | $ 10,664,105 | $ 6,419,424 |
Less: Discount on unsecured senior notes | (274,350) | 0 |
Less: Unamortized debt issuance costs | (55,007) | (32,962) |
Total | 10,334,748 | 6,386,462 |
Notes Payable | Secured notes payable | ||
Debt Instrument [Line Items] | ||
Fixed rate notes payable | 401,319 | 521,820 |
Variable rate notes payable | $ 877,786 | 772,604 |
Notes Payable | Secured notes payable | Minimum | ||
Debt Instrument [Line Items] | ||
Fixed Rate | 2.67% | |
Combined weighted average interest rate | 6.35% | |
Notes Payable | Secured notes payable | Maximum | ||
Debt Instrument [Line Items] | ||
Fixed Rate | 4.62% | |
Combined weighted average interest rate | 6.88% | |
Notes Payable | Unsecured notes payable | ||
Debt Instrument [Line Items] | ||
Fixed rate notes payable | $ 7,921,633 | 4,240,376 |
Variable rate notes payable | $ 1,463,367 | $ 884,624 |
Notes Payable | Unsecured notes payable | Minimum | ||
Debt Instrument [Line Items] | ||
Fixed Rate | 2.08% | |
Combined weighted average interest rate | 6.30% | |
Notes Payable | Unsecured notes payable | Maximum | ||
Debt Instrument [Line Items] | ||
Fixed Rate | 5.90% | |
Combined weighted average interest rate | 6.63% |
Debt - Schedule of Maturities o
Debt - Schedule of Maturities of Notes Payable (Details) - Notes Payable - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
2024 | $ 648,250 | |
2025 | 1,123,120 | |
2026 | 1,409,581 | |
2027 | 1,316,907 | |
2028 | 1,029,000 | |
2029 | 1,542,759 | |
2030 | 1,344,488 | |
2031 | 1,650,000 | |
2032 | 600,000 | |
Total | $ 10,664,105 | $ 6,419,424 |
Debt - Additional Information (
Debt - Additional Information (Details) | 12 Months Ended | |||
Dec. 31, 2023 USD ($) extension_option | Aug. 31, 2023 USD ($) | Jun. 22, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Debt Instrument [Line Items] | ||||
Amount Drawn | $ 682,000,000 | $ 945,000,000 | ||
Fixed-rate debt to total debt percentage | 73.40% | |||
Weighted average interest rate, fixed debt | 3.90% | |||
Weighted average interest rate, variable debt | 6.60% | |||
Variable rate | 4.60% | |||
Line of Credit | ||||
Debt Instrument [Line Items] | ||||
Number of extensions available | extension_option | 2 | |||
Extension term | 6 months | |||
Line of Credit | Base rate | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 0% | |||
Line of Credit | Base rate | Specified Investment Grade Rating And Elects To Use Alternative Rates | Minimum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 0% | |||
Line of Credit | Base rate | Specified Investment Grade Rating And Elects To Use Alternative Rates | Maximum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 1.20% | |||
Line of Credit | Federal funds rate | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 0.50% | |||
Line of Credit | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 1% | |||
Line of Credit | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Specified Investment Grade Rating And Elects To Use Alternative Rates | Minimum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 0.70% | |||
Line of Credit | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Specified Investment Grade Rating And Elects To Use Alternative Rates | Maximum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 2.20% | |||
Revolving Credit Facility | Line of Credit | ||||
Debt Instrument [Line Items] | ||||
Revolving credit facility, maximum borrowing capacity | $ 2,000,000,000 | $ 1,940,000,000 | ||
Tranche 8 Term Loan Facility | Line of Credit | ||||
Debt Instrument [Line Items] | ||||
Revolving credit facility, maximum borrowing capacity | $ 1,000,000,000 | |||
Amount Drawn | $ 400,000,000 |
Debt - Schedule of Information
Debt - Schedule of Information on Lines of Credit (Details) | 12 Months Ended | |||
Jan. 13, 2023 extension_option | Dec. 31, 2023 USD ($) extension_option | Aug. 11, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Debt Instrument [Line Items] | ||||
Amount Drawn | $ 682,000,000 | $ 945,000,000 | ||
Lines Of Credit | ||||
Debt Instrument [Line Items] | ||||
Amount Drawn | 682,000,000 | |||
Capacity | 2,140,000,000 | |||
Credit Line 1 | ||||
Debt Instrument [Line Items] | ||||
Amount Drawn | 40,000,000 | |||
Capacity | $ 140,000,000 | |||
Interest Rate | 6.70% | |||
Number of extensions available | extension_option | 1 | |||
Extension term | 1 year | |||
Credit Line 2 | ||||
Debt Instrument [Line Items] | ||||
Amount Drawn | $ 642,000,000 | |||
Capacity | $ 2,000,000,000 | $ 60,000,000 | ||
Interest Rate | 6.30% | |||
Number of extensions available | extension_option | 2 | |||
Extension term | 6 months | |||
Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Credit Line 1 | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 1.35% | |||
Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Credit Line 2 | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 0.775% |
Derivatives - Additional Inform
Derivatives - Additional Information (Details) $ in Thousands | Dec. 31, 2023 USD ($) derivative |
Derivative [Line Items] | |
Estimated amount of unrealized gains (losses) expected to be reclassified as interest expense in next fiscal year | $ (19,010) |
Combined notional amount | 1,448,566 |
Derivatives with contingent features, net liability position | 5,082 |
Derivative, termination value | $ 5,082 |
Interest Rate Swap, Active | |
Derivative [Line Items] | |
Number of derivative financial instruments | derivative | 15 |
Interest Rate Swap, Forward-Starting | |
Derivative [Line Items] | |
Number of derivative financial instruments | derivative | 4 |
Derivatives - Schedule Summariz
Derivatives - Schedule Summarizing Terms of Entity's Derivative Financial Instruments (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
Derivative [Line Items] | |
Notional amounts | $ 1,448,566 |
Cash flow hedging | Swap Agreements | Minimum | |
Derivative [Line Items] | |
Notional amounts | $ 32,000 |
Strike rate | 0.96% |
Cash flow hedging | Swap Agreements | Maximum | |
Derivative [Line Items] | |
Notional amounts | $ 245,000 |
Strike rate | 4.33% |
Derivatives - Schedule of Balan
Derivatives - Schedule of Balance Sheet Classification and Fair Value of Entity's Derivative Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Other assets | ||
Derivative [Line Items] | ||
Asset derivatives | $ 26,183 | $ 54,839 |
Other liabilities | ||
Derivative [Line Items] | ||
Liability derivatives | $ 5,030 | $ 73 |
Derivatives - Schedule of Infor
Derivatives - Schedule of Information Relating to Gain (Loss) Recognized on Swap Agreements (Details) - Swap Agreements - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Gain (loss) recognized in OCI | $ 8,730 | $ 88,372 | |
Gain (loss) reclassified from OCI | $ 41,541 | $ (7,877) | $ (35,764) |
Stockholders' Equity (Details)
Stockholders' Equity (Details) $ / shares in Units, $ in Thousands | 7 Months Ended | 12 Months Ended | 29 Months Ended | |||||||
Jul. 20, 2023 USD ($) shares | Jan. 07, 2022 USD ($) store shares | Aug. 09, 2021 USD ($) sales_agent | Mar. 23, 2021 USD ($) $ / shares shares | Aug. 08, 2021 USD ($) $ / shares shares | Dec. 31, 2023 USD ($) item $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2023 USD ($) $ / shares shares | Nov. 13, 2023 USD ($) | Jul. 19, 2023 $ / shares | |
Changes In Equity And Comprehensive Income [Line Items] | ||||||||||
Common stock, authorized (in shares) | 500,000,000 | 500,000,000 | 500,000,000 | |||||||
Common stock, par value (dollars per share) | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | |||||||
Preferred stock, authorized (in shares) | 50,000,000 | 50,000,000 | 50,000,000 | |||||||
Preferred stock, par value (dollars per share) | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | |||||||
Common stock, issued (in shares) | 211,278,803 | 133,921,020 | 211,278,803 | |||||||
Common stock, outstanding (in shares) | 211,278,803 | 133,921,020 | 211,278,803 | |||||||
Preferred stock, issued (in shares) | 0 | 0 | 0 | |||||||
Preferred stock, outstanding (in shares) | 0 | 0 | 0 | |||||||
Number of votes, common stockholder rights | item | 1 | |||||||||
Common stock sold (in shares) | 1,600,000 | 0 | ||||||||
Issuance of common stock in conjunction with acquisition (in shares) | 76,217,359 | 186,766 | ||||||||
Issuance of common stock in conjunction with acquisitions | $ | $ 11,353,338 | $ 40,965 | $ 40,963 | |||||||
Shares issued, price (in dollars per share) | $ / shares | $ 148.96 | |||||||||
Number of stores acquired with issuance of common stock | store | 2 | |||||||||
Number of sales agents | sales_agent | 10 | |||||||||
Average share price (in dollars per share) | $ / shares | $ 129.13 | |||||||||
Net proceeds from sale of stock | $ | $ 206,572 | |||||||||
Share repurchase program, aggregate value | $ | $ 500,000 | |||||||||
Shares repurchased (in shares) | 0 | |||||||||
Share repurchase program, remaining authorization value | $ | $ 500,000 | $ 500,000 | ||||||||
Life Storage, Inc | ||||||||||
Changes In Equity And Comprehensive Income [Line Items] | ||||||||||
Equity interest issued conversion ratio | 0.895 | |||||||||
“At the market” equity program | ||||||||||
Changes In Equity And Comprehensive Income [Line Items] | ||||||||||
Common stock sold (in shares) | 585,685 | 0 | ||||||||
Aggregate offering price | $ | $ 800,000 | |||||||||
Average share price (in dollars per share) | $ / shares | $ 115.90 | |||||||||
Net proceeds from sale of stock | $ | $ 66,617 |
Noncontrolling Interest Repre_3
Noncontrolling Interest Represented By Preferred Operating Partnership Units - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | 24 Months Ended | |||||||||
Dec. 31, 2023 | Jan. 25, 2023 | Jan. 03, 2023 | Jun. 01, 2022 | Jun. 30, 2007 | Jun. 25, 2007 | Nov. 30, 2023 | Oct. 31, 2014 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2014 | |
Noncontrolling Interest [Line Items] | ||||||||||||
Other receivables | $ 100,000 | $ 100,000 | $ 100,000 | |||||||||
Note receivable interest rate | 5% | |||||||||||
Redemption of units for cash | ||||||||||||
Noncontrolling Interest [Line Items] | ||||||||||||
Redemption of noncontrolling interests for cash | $ 108 | 4,617 | $ 788 | |||||||||
Operating Partnership | Redemption of units for cash | ||||||||||||
Noncontrolling Interest [Line Items] | ||||||||||||
Redemption of noncontrolling interests for cash | $ 89 | $ 1,654 | $ 173 | |||||||||
Series A Units | ||||||||||||
Noncontrolling Interest [Line Items] | ||||||||||||
Fixed priority return on preferred OP units, amount | $ 101,700 | $ 101,700 | ||||||||||
Fixed priority return on preferred OP units, stated return rate | 2.30% | |||||||||||
Fixed priority return on preferred OP units, liquidation value | $ 115,000 | |||||||||||
Preferred units outstanding (in shares) | 0 | 875,480 | 0 | |||||||||
Stock issued for redemption (in shares) | 851,698 | |||||||||||
Redemption of noncontrolling interests for cash | $ 5,000 | |||||||||||
Series A Units | Holders Of Series A Preferred Operating Partnership Units | ||||||||||||
Noncontrolling Interest [Line Items] | ||||||||||||
Other receivables | $ 100,000 | $ 100,000 | ||||||||||
Maximum number of preferred OP units converted prior to the maturity date of the loan (in shares) | 114,500 | |||||||||||
Note receivable interest rate | 2.10% | |||||||||||
Additional units redeemed (in shares) | 0 | |||||||||||
Series B Units | ||||||||||||
Noncontrolling Interest [Line Items] | ||||||||||||
Liquidation value (in dollars per share) | $ 25 | $ 25 | ||||||||||
Fixed liquidation value | $ 33,567 | $ 33,567 | ||||||||||
Preferred units outstanding (in shares) | 1,342,727 | 1,342,727 | ||||||||||
Annual rate of return percent | 6% | |||||||||||
Series D Units | ||||||||||||
Noncontrolling Interest [Line Items] | ||||||||||||
Liquidation value (in dollars per share) | $ 25 | $ 25 | ||||||||||
Fixed liquidation value | $ 188,793 | $ 188,793 | ||||||||||
Fixed liquidation value (in shares) | 7,551,735 | 7,551,735 | ||||||||||
Redemption of noncontrolling interests (in shares) | 890,594 | 15,093 | ||||||||||
Stock issued for redemption (in shares) | 154,307 | |||||||||||
Noncontrolling interest, increase from subsidiary issuance (in shares) | 240,000 | |||||||||||
Noncontrolling interest, increase from subsidiary issuance | $ 6,000 | |||||||||||
Series D Units | Redemption of units for cash | ||||||||||||
Noncontrolling Interest [Line Items] | ||||||||||||
Redemption of noncontrolling interests for cash | $ 377 | |||||||||||
Series D Units | Minimum | ||||||||||||
Noncontrolling Interest [Line Items] | ||||||||||||
Annual rate of return percent | 3% | |||||||||||
Series D Units | Maximum | ||||||||||||
Noncontrolling Interest [Line Items] | ||||||||||||
Annual rate of return percent | 5% |
Noncontrolling Interest Repre_4
Noncontrolling Interest Represented By Preferred Operating Partnership Units - Preferred OP Units (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest represented by Preferred Operating Partnership units, net | $ 222,360 | $ 261,502 |
Series A Units | ||
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest represented by Preferred Operating Partnership units, net | 0 | 16,498 |
Series B Units | ||
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest represented by Preferred Operating Partnership units, net | 33,567 | 33,568 |
Series D Units | ||
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest represented by Preferred Operating Partnership units, net | $ 188,793 | $ 211,436 |
Noncontrolling Interests In O_3
Noncontrolling Interests In Operating Partnership and Other Noncontrolling Interests - Additional Information (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 USD ($) store joint_venture $ / shares shares | Dec. 31, 2022 USD ($) | |
Noncontrolling Interest [Line Items] | ||
Note receivable interest rate | 5% | |
Period used as a denomination to determine the average closing price of common stock | 10 days | |
Ten day average closing stock price (in dollars per share) | $ / shares | $ 156.68 | |
OP units outstanding (in units) | shares | 8,885,594 | |
Consideration to be paid on redemption of common OP units | $ | $ 1,392,195 | |
Number of stores owned by joint ventures | store | 12 | |
Number of stores owned by joint ventures, in operation | store | 2 | |
Operating Partnership | ||
Noncontrolling Interest [Line Items] | ||
Reduction of noncontrolling interest for note receivable | $ | $ 1,900 | $ 1,900 |
Common stock | ||
Noncontrolling Interest [Line Items] | ||
Unit conversion ratio | 1 | |
Operating Partnership | ||
Noncontrolling Interest [Line Items] | ||
Ownership interest held by entity (as a percent) | 95.20% | |
Noncontrolling interest, noncontrolling owners, percent | 4.80% | |
Other | ||
Noncontrolling Interest [Line Items] | ||
Number of consolidated joint ventures | joint_venture | 9 | |
Other | Maximum | ||
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest, noncontrolling owners, percent | 31% |
Noncontrolling Interests In O_4
Noncontrolling Interests In Operating Partnership and Other Noncontrolling Interests - Schedule of OP Unit Activity (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Noncontrolling Interest [Abstract] | |||
OP Units redeemed for common stock (in shares) | 2,803 | 0 | 165,652 |
OP Units redeemed for cash (in shares) | 1,000 | 24,824 | 4,500 |
Cash paid for OP Units redeemed | $ 108 | $ 4,617 | $ 788 |
OP Units issued in conjunction with acquisitions (in shares) | 1,674,748 | 711,037 | 897,803 |
Value of OP Units issued in conjunction with business combination and acquisitions | $ 249,470 | $ 141,000 | $ 188,319 |
Leases - Additional Information
Leases - Additional Information (Details) - lease | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Lessee, Lease, Description [Line Items] | ||
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Real Estate Investment Property, Net | Real Estate Investment Property, Net |
Finance Lease, Liability, Statement of Financial Position [Extensible List] | Other liabilities | Other liabilities |
Store Lease | ||
Lessee, Lease, Description [Line Items] | ||
Number of leases | 65 | |
Store Lease | Minimum | ||
Lessee, Lease, Description [Line Items] | ||
Operating and finance lease, original lease term | 10 years | |
Operating and finance lease, extension term | 5 years | |
Store Lease | Maximum | ||
Lessee, Lease, Description [Line Items] | ||
Operating and finance lease, original lease term | 99 years | |
Operating and finance lease, extension term | 35 years | |
Corporate Office And Call Center Lease | Minimum | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease, original lease term | 5 years 4 months | |
Corporate Office And Call Center Lease | Maximum | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease, original lease term | 14 years | |
Regional Office Lease | ||
Lessee, Lease, Description [Line Items] | ||
Number of leases | 18 | |
Operating lease, renewal term | 3 years | |
Regional Office Lease | Minimum | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease, original lease term | 3 years | |
Regional Office Lease | Maximum | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease, original lease term | 5 years | |
District Office Lease | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease, original lease term | 12 months |
Leases - Lease Costs (Details)
Leases - Lease Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Finance lease cost: | |||
Amortization of finance lease right-of-use assets | $ 3,961 | $ 3,751 | |
Interest expense related to finance lease liabilities | 4,483 | 4,018 | |
Operating lease cost | 35,783 | 32,182 | |
Variable lease cost | 11,632 | 11,287 | |
Short-term lease cost | 24 | 32 | |
Total lease cost | 55,883 | 51,270 | |
Cash paid for amounts included in the measurement of lease liabilities | |||
Operating cash outflows for finance lease payments | 4,483 | 4,018 | |
Operating cash outflows for operating lease payments | 29,234 | 25,384 | |
Total cash flows for lease liability measurement | 33,717 | 29,402 | |
Right-of-use assets obtained in exchange for new operating lease liabilities | 265 | 16,298 | $ 6,655 |
Right-of-use assets obtained in exchange for new finance lease liabilities | $ 0 | $ 6,823 | $ 26,998 |
Weighted average remaining lease term - finance leases (years) | 54 years | 54 years 1 month 28 days | |
Weighted average remaining lease term - operating leases (years) | 18 years 8 months 4 days | 20 years 10 days | |
Weighted average discount rate - finance leases | 3.31% | 3.31% | |
Weighted average discount rate - operating leases | 3.91% | 3.65% |
Leases - Undiscounted Cash Flow
Leases - Undiscounted Cash Flows on an Annual Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Operating | ||
2024 | $ 34,983 | |
2025 | 34,919 | |
2026 | 35,245 | |
2027 | 35,635 | |
2028 | 36,194 | |
Thereafter | 131,194 | |
Total | 308,170 | |
Present value adjustments | (71,655) | |
Lease liabilities | 236,515 | $ 229,035 |
Finance | ||
2024 | 6,542 | |
2025 | 6,572 | |
2026 | 6,715 | |
2027 | 6,842 | |
2028 | 6,953 | |
Thereafter | 353,983 | |
Total | 387,607 | |
Present value adjustments | (244,004) | |
Lease liabilities | 143,603 | |
Total | ||
2024 | 41,525 | |
2025 | 41,491 | |
2026 | 41,960 | |
2027 | 42,477 | |
2028 | 43,147 | |
Thereafter | 485,177 | |
Total | 695,777 | |
Present value adjustments | (315,659) | |
Lease liabilities | $ 380,118 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for issuance under plans (in shares) | 477,624 | ||
Intrinsic value of options exercised | $ 0 | $ 0 | $ 3,925 |
Options granted (in shares) | 0 | 0 | 0 |
Weighted average forfeiture rate | 4.60% | ||
Net proceeds from exercise of stock options | $ 0 | $ 0 | $ 4,572 |
Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expiration period | 10 years | ||
Net proceeds from exercise of stock options | $ 0 | 0 | 4,572 |
Unrecognized compensation cost | $ 0 | ||
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average forfeiture rate | 10% | ||
Unrecognized compensation cost | $ 20,222 | ||
Compensation cost | $ 14,205 | 12,086 | 9,260 |
Unrecognized compensation cost, period of recognition | 2 years 1 month 2 days | ||
Restricted Stock | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 1 year | ||
Restricted Stock | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 4 years | ||
Performance-Based Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Unrecognized compensation cost | $ 18,798 | 13,241 | 8,859 |
Compensation cost | $ 12,433 | $ 9,299 | $ 8,043 |
Unrecognized compensation cost, period of recognition | 3 years | 3 years | 3 years |
Performance component weight percentage | 50% | ||
Minimum shares issued for each PSU (in shares) | 0 | ||
Maximum shares issued for each PSU (in shares) | 2 | ||
Dividend yield | 0% | 0% | 0% |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Number of Shares | |||
Balance at the beginning of the period (in shares) | 9,272 | 9,272 | 71,594 |
Exercised (in shares) | 0 | 0 | (62,322) |
Balance at the end of the period (in shares) | 9,272 | 9,272 | 9,272 |
Vested and Expected to Vest (in shares) | 9,272 | ||
Exercisable at the end of the period (in shares) | 9,272 | ||
Weighted Average Exercise Price | |||
Balance at the beginning of the period (in dollars per share) | $ 82.47 | $ 82.47 | $ 74.54 |
Exercised (in dollars per share) | 0 | 0 | 73.36 |
Balance at the end of the period (in dollars per share) | $ 82.47 | 82.47 | $ 82.47 |
Vested and Expected to Vest (in dollars per share) | 82.47 | ||
Exercisable at the end of the period (in dollars per share) | $ 82.47 | ||
Weighted Average Remaining Contractual Life (Years) | |||
Outstanding at the beginning of period | 1 year 11 months 23 days | ||
Vested | 1 year 11 months 23 days | ||
Exercisable at the end of period | 1 year 11 months 23 days | ||
Aggregate intrinsic value | |||
Outstanding at the end of the period | $ 1,338 | ||
Vested | 1,338 | ||
Exercisable at the end of the period | $ 1,338 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary Stock Options Outstanding and Exercisable (Details) | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
$65.36 - $65.36 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price range, lower limit (in dollars per share) | $ 65.36 |
Exercise price range, upper limit (in dollars per share) | $ 65.36 |
Options outstanding (in shares) | shares | 1,582 |
Options outstanding, weighted average remaining contractual life | 1 year 1 month 24 days |
Weighted average exercise price (in dollars per share) | $ 65.36 |
Options exercisable (in shares) | shares | 1,582 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 65.36 |
$85.99 - $85.99 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price range, lower limit (in dollars per share) | 85.99 |
Exercise price range, upper limit (in dollars per share) | $ 85.99 |
Options outstanding (in shares) | shares | 7,690 |
Options outstanding, weighted average remaining contractual life | 2 years 1 month 24 days |
Weighted average exercise price (in dollars per share) | $ 85.99 |
Options exercisable (in shares) | shares | 7,690 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 85.99 |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Employee and Director Share Grant Activity (Details) - Restricted Stock - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Shares | |||
Balance at the beginning of the period (in shares) | 208,060 | 199,778 | 209,032 |
Granted (in shares) | 98,263 | 105,677 | 99,802 |
Released (in shares) | (90,662) | (86,781) | (96,248) |
Cancelled (in shares) | (10,084) | (10,614) | (12,808) |
Balance at the end of the period (in shares) | 205,577 | 208,060 | 199,778 |
Weighted-Average Grant-Date Fair Value | |||
Balance at the beginning of the period (in dollars per share) | $ 158.38 | $ 115.16 | $ 95.86 |
Granted (in dollars per share) | 158.04 | 201.12 | 132.75 |
Released (in dollars per share) | 147.21 | 112.31 | 91.65 |
Cancelled (in dollars per share) | 165.36 | 147.03 | 113.89 |
Balance at the end of the period (in dollars per share) | $ 162.81 | $ 158.38 | $ 115.16 |
Stock-Based Compensation - Su_4
Stock-Based Compensation - Summary of PSU Activity (Details) - Performance-Based Stock Units - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Units | |||
Balance at the beginning of the period (in shares) | 147,159 | 135,408 | 123,311 |
Granted (in shares) | 86,795 | 61,085 | 40,832 |
Released (in shares) | (45,242) | (49,334) | (28,735) |
Balance at the end of the period (in shares) | 188,712 | 147,159 | 135,408 |
Weighted-Average Grant-Date Fair Value | |||
Balance at the beginning of the period (in dollars per share) | $ 130.63 | $ 111.69 | $ 104.25 |
Granted (in dollars per share) | 207.28 | 223.96 | 138.04 |
Released (in dollars per share) | 162.18 | 194.21 | 117.19 |
Balance at the end of the period (in dollars per share) | $ 158.32 | $ 130.63 | $ 111.69 |
Stock-Based Compensation - Assu
Stock-Based Compensation - Assumptions Used to Calculate Fair Value of Awards (Details) - Performance-Based Stock Units - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Intrinsic value | $ 30,256 | $ 21,659 | $ 30,701 |
Risk-free rate | 4.60% | 1.80% | 0.22% |
Volatility | 29.30% | 29.30% | 28.50% |
Expected term (in years) | 2 years 9 months 18 days | 2 years 10 months 24 days | 2 years 10 months 24 days |
Dividend yield | 0% | 0% | 0% |
Unrecognized compensation cost | $ 18,798 | $ 13,241 | $ 8,859 |
Term over which compensation cost recognized (in years) | 3 years | 3 years | 3 years |
Employee Benefit Plan (Details)
Employee Benefit Plan (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |||
Employee contribution to retirement saving plan as a percentage of annual salary, maximum | 60% | ||
Matching contributions made by the entity during the period | $ 6,576 | $ 5,169 | $ 4,239 |
Percentage of company's matching contributions of first 3 percent of employee's compensation | 100% | ||
Percentage of employee's compensation that qualifies for 100 percent matching contribution by the company | 3% | ||
Maximum percentage of the company's matching contributions of next 2 percent of employee's compensation | 50% | ||
Percentage of employee's compensation that qualifies for 50 percent matching contribution by the company | 2% |
Income Taxes - Income Tax Provi
Income Taxes - Income Tax Provision (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Federal | |||
Current expense | $ 26,516 | $ 20,592 | $ 21,017 |
Tax credits/true-up | (7,742) | (6,071) | (4,979) |
Change in deferred expense | (4,151) | 1,909 | 818 |
Total tax expense | 14,623 | 16,430 | 16,856 |
State | |||
Current expense | 6,035 | 4,546 | 3,520 |
Tax credits/true-up | 0 | 31 | (138) |
Change in deferred expense | 901 | (82) | 86 |
Total tax expense | 6,936 | 4,495 | 3,468 |
Current expense | 32,551 | 25,138 | 24,537 |
Tax credits/true-up | (7,742) | (6,040) | (5,117) |
Change in deferred expense | (3,250) | 1,827 | 904 |
Total provision | $ 21,559 | $ 20,925 | $ 20,324 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Statutory Income Tax Provision (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Expected tax at statutory rate | $ 183,111 | $ 197,887 | $ 188,600 |
Non-taxable REIT income | (161,316) | (172,966) | (166,137) |
State and local tax expense - net of federal benefit | 8,779 | 4,160 | 3,259 |
Change in valuation allowance | (1,148) | (1,093) | (1,061) |
Tax credits/true-up | (7,742) | (6,040) | (5,117) |
Miscellaneous | (125) | (1,023) | 780 |
Total provision | $ 21,559 | $ 20,925 | $ 20,324 |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Expected tax at statutory rate | 21% | 21% | 21% |
Non-taxable REIT income | (18.50%) | (18.40%) | (18.50%) |
State and local tax expense - net of federal benefit | 1% | 0.40% | 0.40% |
Change in valuation allowance | (0.10%) | (0.10%) | (0.10%) |
Tax credits/true-up | (0.90%) | (0.60%) | (0.60%) |
Miscellaneous | 0% | (0.10%) | 0.10% |
Total provision | 2.50% | 2.20% | 2.30% |
Income Taxes - Sources of Tempo
Income Taxes - Sources of Temporary Differences (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred tax liabilities: | ||
Fixed assets | $ (36,572) | $ (32,551) |
Operating and Finance lease right-of-use assets | (6,831) | (6,610) |
Other | (37) | (48) |
State deferred taxes | (4,564) | (3,607) |
Captive insurance subsidiary | (10,760) | 0 |
Total deferred tax liabilities | (58,764) | (42,816) |
Deferred tax assets: | ||
Captive insurance subsidiary | 509 | 335 |
Accrued liabilities | 3,015 | 2,541 |
Stock compensation | 3,961 | 3,467 |
Operating and Finance lease liabilities | 9,013 | 8,418 |
Other | 502 | 48 |
State deferred taxes | 2,581 | 5,232 |
Total deferred tax assets | 19,581 | 20,041 |
Valuation allowance | 0 | (1,148) |
Net deferred income tax liabilities | $ (39,183) | $ (23,923) |
Segment Information - Additiona
Segment Information - Additional Information (Details) | 12 Months Ended |
Dec. 31, 2023 segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
Segment Information - Schedule
Segment Information - Schedule of Financial Information of Business Segments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | |||
Revenues | $ 2,560,244 | $ 1,924,170 | $ 1,577,362 |
Operating expenses | 1,390,103 | 888,017 | 742,169 |
Net operating income | 1,170,141 | 1,050,402 | 975,953 |
Property management fees and other income | 101,986 | 83,904 | 66,264 |
Transaction costs | 0 | (1,548) | 0 |
Life Storage Merger transition costs | (66,732) | 0 | 0 |
General and administrative expense | (146,408) | (129,251) | (102,194) |
Depreciation and amortization expense | (506,053) | (288,316) | (241,879) |
Gain on real estate transactions | 0 | 14,249 | 140,760 |
Interest expense | (419,035) | (219,171) | (166,183) |
Non-cash interest expense related to amortization of discount on Life Storage unsecured senior notes | (18,786) | 0 | 0 |
Interest income | 84,857 | 69,422 | 49,703 |
Equity in earnings and dividend income from unconsolidated real estate entities | 54,835 | 41,428 | 32,358 |
Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets | 0 | 0 | 6,251 |
Income tax expense | (21,559) | (20,925) | (20,324) |
Net income (loss) | 850,453 | 921,156 | 877,758 |
Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenues | 2,458,258 | 1,840,266 | 1,511,098 |
Operating expenses | 670,910 | 468,902 | 398,096 |
Net operating income | 1,787,348 | 1,371,364 | 1,113,002 |
Operating Segments | Self-Storage Operations | |||
Segment Reporting Information [Line Items] | |||
Revenues | 2,222,578 | 1,654,735 | 1,340,990 |
Operating expenses | 612,036 | 435,342 | 368,608 |
Net operating income | 1,610,542 | 1,219,393 | 972,382 |
Operating Segments | Tenant Reinsurance | |||
Segment Reporting Information [Line Items] | |||
Revenues | 235,680 | 185,531 | 170,108 |
Operating expenses | 58,874 | 33,560 | 29,488 |
Net operating income | $ 176,806 | $ 151,971 | $ 140,620 |
Commitments and Contingencies (
Commitments and Contingencies (Details) $ in Thousands | Dec. 31, 2023 USD ($) store |
Commitment to acquire stores | |
Other Commitments [Line Items] | |
Number of properties to be acquired | 8 |
Other commitment | $ | $ 73,811 |
Commitment to acquire stores, scheduled to close in 2024 | |
Other Commitments [Line Items] | |
Number of properties to be acquired | 8 |
Commitment to acquire stores, scheduled to close in next fiscal year | |
Other Commitments [Line Items] | |
Number of properties to be acquired | 0 |
Commitment to acquire stores with joint venture partners | |
Other Commitments [Line Items] | |
Number of properties to be acquired | 2 |
Other commitment | $ | $ 2,764 |
Schedule III - Real Estate an_2
Schedule III - Real Estate and Accumulated Depreciation - Property Summary (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2023 USD ($) store | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 1,905 |
Debt | $ 1,279,105 |
Land Initial Cost | 4,885,859 |
Building and Improvements Initial Cost | 20,652,053 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 1,623,247 |
Gross carrying amount - Land | 4,904,705 |
Gross carrying amount - Building and improvements | 22,275,573 |
Gross carrying amount - Total | 27,180,278 |
Accumulated Depreciation | $ 2,624,404 |
Self storage facilities | AL | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 37 |
Debt | $ 5,686 |
Land Initial Cost | 52,358 |
Building and Improvements Initial Cost | 380,499 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 5,593 |
Gross carrying amount - Land | 52,356 |
Gross carrying amount - Building and improvements | 386,094 |
Gross carrying amount - Total | 438,450 |
Accumulated Depreciation | $ 18,152 |
Self storage facilities | AZ | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 46 |
Debt | $ 22,349 |
Land Initial Cost | 135,775 |
Building and Improvements Initial Cost | 523,811 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 14,566 |
Gross carrying amount - Land | 135,774 |
Gross carrying amount - Building and improvements | 538,378 |
Gross carrying amount - Total | 674,152 |
Accumulated Depreciation | $ 44,843 |
Self storage facilities | CA | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 218 |
Debt | $ 328,992 |
Land Initial Cost | 921,260 |
Building and Improvements Initial Cost | 2,322,145 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 250,704 |
Gross carrying amount - Land | 919,806 |
Gross carrying amount - Building and improvements | 2,574,302 |
Gross carrying amount - Total | 3,494,108 |
Accumulated Depreciation | $ 436,926 |
Self storage facilities | CO | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 27 |
Debt | $ 26,374 |
Land Initial Cost | 49,985 |
Building and Improvements Initial Cost | 192,497 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 20,004 |
Gross carrying amount - Land | 50,703 |
Gross carrying amount - Building and improvements | 211,783 |
Gross carrying amount - Total | 262,486 |
Accumulated Depreciation | $ 33,009 |
Self storage facilities | CT | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 23 |
Debt | $ 6,399 |
Land Initial Cost | 43,453 |
Building and Improvements Initial Cost | 373,628 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 6,530 |
Gross carrying amount - Land | 43,452 |
Gross carrying amount - Building and improvements | 380,158 |
Gross carrying amount - Total | 423,610 |
Accumulated Depreciation | $ 18,276 |
Self storage facilities | FL | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 245 |
Debt | $ 167,386 |
Land Initial Cost | 672,426 |
Building and Improvements Initial Cost | 2,894,604 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 122,780 |
Gross carrying amount - Land | 674,576 |
Gross carrying amount - Building and improvements | 3,015,234 |
Gross carrying amount - Total | 3,689,810 |
Accumulated Depreciation | $ 239,687 |
Self storage facilities | GA | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 119 |
Debt | $ 78,837 |
Land Initial Cost | 303,954 |
Building and Improvements Initial Cost | 1,179,911 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 47,713 |
Gross carrying amount - Land | 303,941 |
Gross carrying amount - Building and improvements | 1,227,636 |
Gross carrying amount - Total | 1,531,577 |
Accumulated Depreciation | $ 123,363 |
Self storage facilities | HI | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 14 |
Debt | $ 0 |
Land Initial Cost | 29,836 |
Building and Improvements Initial Cost | 160,978 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 22,962 |
Gross carrying amount - Land | 29,836 |
Gross carrying amount - Building and improvements | 183,939 |
Gross carrying amount - Total | 213,775 |
Accumulated Depreciation | $ 43,351 |
Self storage facilities | ID | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 2 |
Debt | $ 0 |
Land Initial Cost | 4,047 |
Building and Improvements Initial Cost | 25,235 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 59 |
Gross carrying amount - Land | 4,047 |
Gross carrying amount - Building and improvements | 25,294 |
Gross carrying amount - Total | 29,341 |
Accumulated Depreciation | $ 812 |
Self storage facilities | IL | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 105 |
Debt | $ 16,231 |
Land Initial Cost | 210,472 |
Building and Improvements Initial Cost | 1,107,463 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 43,952 |
Gross carrying amount - Land | 209,924 |
Gross carrying amount - Building and improvements | 1,151,964 |
Gross carrying amount - Total | 1,361,888 |
Accumulated Depreciation | $ 82,109 |
Self storage facilities | IN | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 91 |
Debt | $ 0 |
Land Initial Cost | 64,531 |
Building and Improvements Initial Cost | 494,467 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 14,626 |
Gross carrying amount - Land | 64,875 |
Gross carrying amount - Building and improvements | 524,169 |
Gross carrying amount - Total | 589,044 |
Accumulated Depreciation | $ 34,445 |
Self storage facilities | KS | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 1 |
Debt | $ 0 |
Land Initial Cost | 366 |
Building and Improvements Initial Cost | 1,897 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 1,150 |
Gross carrying amount - Land | 366 |
Gross carrying amount - Building and improvements | 3,047 |
Gross carrying amount - Total | 3,413 |
Accumulated Depreciation | $ 1,555 |
Self storage facilities | KY | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 15 |
Debt | $ 30,470 |
Land Initial Cost | 10,026 |
Building and Improvements Initial Cost | 88,389 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 21,129 |
Gross carrying amount - Land | 10,799 |
Gross carrying amount - Building and improvements | 108,745 |
Gross carrying amount - Total | 119,544 |
Accumulated Depreciation | $ 21,462 |
Self storage facilities | LA | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 10 |
Debt | $ 0 |
Land Initial Cost | 16,673 |
Building and Improvements Initial Cost | 126,604 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 5,591 |
Gross carrying amount - Land | 16,674 |
Gross carrying amount - Building and improvements | 132,194 |
Gross carrying amount - Total | 148,868 |
Accumulated Depreciation | $ 8,844 |
Self storage facilities | MA | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 64 |
Debt | $ 39,808 |
Land Initial Cost | 120,291 |
Building and Improvements Initial Cost | 534,152 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 65,286 |
Gross carrying amount - Land | 120,472 |
Gross carrying amount - Building and improvements | 599,257 |
Gross carrying amount - Total | 719,729 |
Accumulated Depreciation | $ 123,019 |
Self storage facilities | MD | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 44 |
Debt | $ 74,081 |
Land Initial Cost | 157,195 |
Building and Improvements Initial Cost | 450,952 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 36,025 |
Gross carrying amount - Land | 156,605 |
Gross carrying amount - Building and improvements | 487,567 |
Gross carrying amount - Total | 644,172 |
Accumulated Depreciation | $ 111,043 |
Self storage facilities | ME | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 5 |
Debt | $ 0 |
Land Initial Cost | 2,352 |
Building and Improvements Initial Cost | 86,339 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 195 |
Gross carrying amount - Land | 2,352 |
Gross carrying amount - Building and improvements | 86,534 |
Gross carrying amount - Total | 88,886 |
Accumulated Depreciation | $ 926 |
Self storage facilities | MI | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 8 |
Debt | $ 4,301 |
Land Initial Cost | 10,900 |
Building and Improvements Initial Cost | 63,388 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 6,630 |
Gross carrying amount - Land | 10,900 |
Gross carrying amount - Building and improvements | 70,018 |
Gross carrying amount - Total | 80,918 |
Accumulated Depreciation | $ 13,061 |
Self storage facilities | MN | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 8 |
Debt | $ 0 |
Land Initial Cost | 14,925 |
Building and Improvements Initial Cost | 104,513 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 6,940 |
Gross carrying amount - Land | 14,925 |
Gross carrying amount - Building and improvements | 111,453 |
Gross carrying amount - Total | 126,378 |
Accumulated Depreciation | $ 10,240 |
Self storage facilities | MO | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 28 |
Debt | $ 0 |
Land Initial Cost | 31,800 |
Building and Improvements Initial Cost | 347,070 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 8,250 |
Gross carrying amount - Land | 31,758 |
Gross carrying amount - Building and improvements | 355,362 |
Gross carrying amount - Total | 387,120 |
Accumulated Depreciation | $ 13,743 |
Self storage facilities | MS | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 7 |
Debt | $ 0 |
Land Initial Cost | 9,053 |
Building and Improvements Initial Cost | 82,098 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 1,977 |
Gross carrying amount - Land | 9,052 |
Gross carrying amount - Building and improvements | 84,076 |
Gross carrying amount - Total | 93,128 |
Accumulated Depreciation | $ 5,559 |
Self storage facilities | NC | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 52 |
Debt | $ 0 |
Land Initial Cost | 93,492 |
Building and Improvements Initial Cost | 557,728 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 14,431 |
Gross carrying amount - Land | 93,489 |
Gross carrying amount - Building and improvements | 572,161 |
Gross carrying amount - Total | 665,650 |
Accumulated Depreciation | $ 32,134 |
Self storage facilities | NH | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 17 |
Debt | $ 0 |
Land Initial Cost | 50,952 |
Building and Improvements Initial Cost | 195,719 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 1,735 |
Gross carrying amount - Land | 51,015 |
Gross carrying amount - Building and improvements | 197,391 |
Gross carrying amount - Total | 248,406 |
Accumulated Depreciation | $ 5,097 |
Self storage facilities | NJ | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 88 |
Debt | $ 99,207 |
Land Initial Cost | 308,001 |
Building and Improvements Initial Cost | 1,071,004 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 70,630 |
Gross carrying amount - Land | 313,354 |
Gross carrying amount - Building and improvements | 1,136,281 |
Gross carrying amount - Total | 1,449,635 |
Accumulated Depreciation | $ 209,349 |
Self storage facilities | NM | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 11 |
Debt | $ 25,153 |
Land Initial Cost | 31,826 |
Building and Improvements Initial Cost | 68,779 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 6,909 |
Gross carrying amount - Land | 31,826 |
Gross carrying amount - Building and improvements | 75,689 |
Gross carrying amount - Total | 107,515 |
Accumulated Depreciation | $ 17,000 |
Self storage facilities | NV | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 33 |
Debt | $ 30,458 |
Land Initial Cost | 97,497 |
Building and Improvements Initial Cost | 469,028 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 9,504 |
Gross carrying amount - Land | 97,497 |
Gross carrying amount - Building and improvements | 478,532 |
Gross carrying amount - Total | 576,029 |
Accumulated Depreciation | $ 23,846 |
Self storage facilities | NY | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 79 |
Debt | $ 12,895 |
Land Initial Cost | 340,256 |
Building and Improvements Initial Cost | 1,195,359 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 66,207 |
Gross carrying amount - Land | 340,991 |
Gross carrying amount - Building and improvements | 1,260,831 |
Gross carrying amount - Total | 1,601,822 |
Accumulated Depreciation | $ 105,190 |
Self storage facilities | OH | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 50 |
Debt | $ 10,140 |
Land Initial Cost | 71,460 |
Building and Improvements Initial Cost | 388,236 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 13,917 |
Gross carrying amount - Land | 71,459 |
Gross carrying amount - Building and improvements | 402,154 |
Gross carrying amount - Total | 473,613 |
Accumulated Depreciation | $ 24,721 |
Self storage facilities | OK | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 4 |
Debt | $ 0 |
Land Initial Cost | 3,917 |
Building and Improvements Initial Cost | 28,534 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 159 |
Gross carrying amount - Land | 3,917 |
Gross carrying amount - Building and improvements | 28,693 |
Gross carrying amount - Total | 32,610 |
Accumulated Depreciation | $ 429 |
Self storage facilities | OR | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 8 |
Debt | $ 23,904 |
Land Initial Cost | 15,066 |
Building and Improvements Initial Cost | 68,044 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 2,938 |
Gross carrying amount - Land | 15,066 |
Gross carrying amount - Building and improvements | 70,982 |
Gross carrying amount - Total | 86,048 |
Accumulated Depreciation | $ 14,126 |
Self storage facilities | PA | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 31 |
Debt | $ 10,635 |
Land Initial Cost | 57,671 |
Building and Improvements Initial Cost | 356,325 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 29,609 |
Gross carrying amount - Land | 56,997 |
Gross carrying amount - Building and improvements | 386,607 |
Gross carrying amount - Total | 443,604 |
Accumulated Depreciation | $ 46,425 |
Self storage facilities | RI | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 6 |
Debt | $ 3,712 |
Land Initial Cost | 6,132 |
Building and Improvements Initial Cost | 55,033 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 1,793 |
Gross carrying amount - Land | 6,131 |
Gross carrying amount - Building and improvements | 56,827 |
Gross carrying amount - Total | 62,958 |
Accumulated Depreciation | $ 4,517 |
Self storage facilities | SC | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 40 |
Debt | $ 27,701 |
Land Initial Cost | 65,032 |
Building and Improvements Initial Cost | 385,333 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 13,408 |
Gross carrying amount - Land | 65,036 |
Gross carrying amount - Building and improvements | 398,737 |
Gross carrying amount - Total | 463,773 |
Accumulated Depreciation | $ 41,190 |
Self storage facilities | TN | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 29 |
Debt | $ 44,491 |
Land Initial Cost | 50,603 |
Building and Improvements Initial Cost | 252,731 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 15,296 |
Gross carrying amount - Land | 50,603 |
Gross carrying amount - Building and improvements | 268,027 |
Gross carrying amount - Total | 318,630 |
Accumulated Depreciation | $ 36,356 |
Self storage facilities | TX | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 241 |
Debt | $ 104,794 |
Land Initial Cost | 534,804 |
Building and Improvements Initial Cost | 2,603,707 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 97,822 |
Gross carrying amount - Land | 534,655 |
Gross carrying amount - Building and improvements | 2,701,678 |
Gross carrying amount - Total | 3,236,333 |
Accumulated Depreciation | $ 212,009 |
Self storage facilities | UT | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 10 |
Debt | $ 16,265 |
Land Initial Cost | 9,008 |
Building and Improvements Initial Cost | 39,295 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 9,775 |
Gross carrying amount - Land | 9,008 |
Gross carrying amount - Building and improvements | 49,070 |
Gross carrying amount - Total | 58,078 |
Accumulated Depreciation | $ 15,445 |
Self storage facilities | VA | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 73 |
Debt | $ 56,422 |
Land Initial Cost | 198,998 |
Building and Improvements Initial Cost | 842,848 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 37,952 |
Gross carrying amount - Land | 198,998 |
Gross carrying amount - Building and improvements | 880,800 |
Gross carrying amount - Total | 1,079,798 |
Accumulated Depreciation | $ 127,878 |
Self storage facilities | WA | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 14 |
Debt | $ 4,874 |
Land Initial Cost | 51,011 |
Building and Improvements Initial Cost | 147,943 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 13,780 |
Gross carrying amount - Land | 51,013 |
Gross carrying amount - Building and improvements | 161,720 |
Gross carrying amount - Total | 212,733 |
Accumulated Depreciation | $ 19,542 |
Self storage facilities | WI | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 1 |
Debt | $ 0 |
Land Initial Cost | 1,076 |
Building and Improvements Initial Cost | 16,054 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 70 |
Gross carrying amount - Land | 1,076 |
Gross carrying amount - Building and improvements | 16,123 |
Gross carrying amount - Total | 17,199 |
Accumulated Depreciation | $ 173 |
Self storage facilities | DC | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Store Count | store | 1 |
Debt | $ 7,540 |
Land Initial Cost | 14,394 |
Building and Improvements Initial Cost | 18,172 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 634 |
Gross carrying amount - Land | 14,394 |
Gross carrying amount - Building and improvements | 18,806 |
Gross carrying amount - Total | 33,200 |
Accumulated Depreciation | 3,904 |
Other corporate assets | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Debt | 0 |
Land Initial Cost | 0 |
Building and Improvements Initial Cost | 0 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 245,910 |
Gross carrying amount - Land | 0 |
Gross carrying amount - Building and improvements | 245,910 |
Gross carrying amount - Total | 245,910 |
Accumulated Depreciation | 92,553 |
Intangible tenant relationships and lease rights | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Debt | 0 |
Land Initial Cost | 0 |
Building and Improvements Initial Cost | 348,762 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 0 |
Gross carrying amount - Land | 0 |
Gross carrying amount - Building and improvements | 348,762 |
Gross carrying amount - Total | 348,762 |
Accumulated Depreciation | 204,135 |
Construction in Progress/Undeveloped Land | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Debt | 0 |
Land Initial Cost | 22,985 |
Building and Improvements Initial Cost | 2,779 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 124,265 |
Gross carrying amount - Land | 34,987 |
Gross carrying amount - Building and improvements | 118,745 |
Gross carrying amount - Total | 153,732 |
Accumulated Depreciation | 0 |
Right of use asset - finance lease | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | |
Debt | 0 |
Land Initial Cost | 0 |
Building and Improvements Initial Cost | 0 |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 143,841 |
Gross carrying amount - Land | 0 |
Gross carrying amount - Building and improvements | 143,843 |
Gross carrying amount - Total | 143,843 |
Accumulated Depreciation | $ 3,960 |
Schedule III - Real Estate an_3
Schedule III - Real Estate and Accumulated Depreciation - Activity in Real Estate Facilities (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Real estate, gross: | |||
Balance at end of year | $ 27,180,278,000 | ||
Accumulated depreciation: | |||
Balance at end of year | 2,624,404,000 | ||
Net real estate assets: | |||
Net non-lease real estate assets | 24,555,873,000 | $ 9,997,978,000 | $ 8,834,649,000 |
Aggregate cost of real estate for U.S. federal income tax purposes | 17,961,173,000 | ||
Operating facilities | |||
Real estate, gross: | |||
Balance at beginning of year | 12,084,025,000 | 10,643,722,000 | 9,507,788,000 |
Acquisitions | 14,715,285,000 | 1,390,463,000 | 1,500,703,000 |
Improvements | 175,932,000 | 95,282,000 | 80,131,000 |
Transfers from construction in progress | 87,485,000 | 70,565,000 | 62,462,000 |
Dispositions and other | (1,194,000) | (116,007,000) | (507,362,000) |
Balance at end of year | 27,061,533,000 | 12,084,025,000 | 10,643,722,000 |
Accumulated depreciation: | |||
Balance at beginning of year | 2,138,395,000 | 1,868,321,000 | 1,681,429,000 |
Depreciation expense | 486,010,000 | 276,155,000 | 230,445,000 |
Dispositions and other | 0 | (6,081,000) | (43,553,000) |
Balance at end of year | 2,624,405,000 | 2,138,395,000 | 1,868,321,000 |
Real estate under development/redevelopment | |||
Real estate, gross: | |||
Balance at beginning of year | 52,348,000 | 59,248,000 | 67,443,000 |
Current development | 153,920,000 | 63,597,000 | 54,267,000 |
Transfers from construction in progress | (87,523,000) | (70,565,000) | (62,462,000) |
Dispositions and other | 0 | 68,000 | 0 |
Balance at end of year | $ 118,745,000 | $ 52,348,000 | $ 59,248,000 |