v3.26.1
Segment Information
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Information SEGMENT INFORMATION
The Company’s segment disclosures present the measure used by the chief operating decision maker (“CODM”) for purposes of assessing each segment’s performance. The Company’s CODM is its Executive Committee (“EC”), which uses net operating income (“NOI”) to assess the performance of the business for the Company’s reportable operating segments. The EC is comprised of the Chief Executive Officer, President, Chief Financial Officer, Chief Investment Officer, Chief Digital Officer, Chief Operations Officer, and Chief Legal Officer. The Company’s segments are comprised of two reportable segments: (1) self-storage operations and (2) tenant reinsurance. NOI for the Company’s self-storage operations represents total property revenue less direct property operating expenses. NOI for the Company’s tenant reinsurance segment represents tenant reinsurance revenue less tenant reinsurance expenses.
The Company’s consolidated revenues equal total segment revenues plus management fees and other income. The self-storage operations activities include rental operations of stores that are wholly-owned and in consolidated joint ventures. Tenant reinsurance activities include the reinsurance of risks relating to the loss of goods stored by tenants in the stores operated by the Company. Management fees and other income is excluded from segment revenues and net operating income.
The CODM regularly reviews NOI to assess the performance of each segment and makes decisions about resources to be allocated to each segment. As part of this process, the CODM approves each operating segment’s budget, determines allocation of funds for capital expenditures, and reviews discrete financial information on a quarterly basis. Based on each segment’s budgeted operating revenues and expenses, resources are allocated to each segment, and these budgeted amounts comprising NOI are compared against actual segment performance.
For all periods presented, substantially all of the Company’s 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:
For the Three Months Ended June 30,For the Six Months Ended June 30,
2026202520262025
Revenues
Self-Storage Operations$746,164 $721,004 $1,479,377 $1,425,384 
Tenant Reinsurance93,084 88,572 182,203 173,284 
Total segment revenues$839,248 $809,576 $1,661,580 $1,598,668 
Operating expenses
Self-Storage Operations:
Payroll and benefits$44,590 $45,153 $90,132 $88,899 
Marketing18,227 18,897 33,985 34,047 
Office expense (1)
19,916 19,115 39,510 37,968 
Property operating expense (1)
34,168 34,565 75,275 71,931 
Repairs and maintenance12,208 14,282 30,176 30,539 
Property taxes87,035 82,359 171,010 162,243 
Insurance9,334 8,765 19,048 17,197 
Other segment items (2)
6,240 4,485 10,885 8,379 
Total self-storage operations expenses231,718 227,621 470,021 451,203 
Tenant Reinsurance:
Tenant reinsurance expense and other segment items (3)
$17,325 $16,945 $35,192 $34,061 
Total segment operating expenses$249,043 $244,566 $505,213 $485,264 
Net operating income
Self-Storage Operations$514,446 $493,383 $1,009,356 $974,181 
Tenant Reinsurance75,759 71,627 147,011 139,223 
Total segment net operating income:$590,205 $565,010 $1,156,367 $1,113,404 
Other components of net income:
Management fees and other income34,904 32,042 68,599 62,947 
General and administrative expense(47,315)(44,952)(93,824)(90,926)
Depreciation and amortization expense(185,610)(177,266)(371,405)(357,622)
Gain (loss) on real estate assets held for sale and sold, net— (864)— 34,897 
Interest expense (146,720)(146,128)(294,019)(288,527)
Non-cash interest expense related to amortization of discount on unsecured senior notes, net(12,735)(11,770)(25,290)(23,083)
Interest income 38,777 41,998 78,320 80,965 
Equity in earnings and dividend income from unconsolidated real estate entities15,802 16,284 31,562 36,215 
Equity in earnings of unconsolidated real estate ventures - gain on sale of a joint venture interest640 — 847 — 
Income tax expense(12,069)(11,638)(22,858)(20,629)
Net income $275,879 $262,716 $528,299 $547,641 
(1) Amounts related to lease expense have been reclassified from Office expense to Property operating expense for the three and six months ended June 30, 2025 for comparability.
(2) Other segment items for the Self-Storage Operations segment include miscellaneous items such as legal and professional fees, capital expenditures, taxes, and casualty losses.
(3) Tenant reinsurance expense and other segment items for the Tenant Reinsurance segment include claims expense, acquisition costs, claims service fees, and miscellaneous administrative items.