EX-99.1 2 ex991-q42024erss.htm EX-99.1 Document

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Table of Contents
Page
Earnings Release
Consolidated Statements of Operations
Consolidated Balance Sheets
Schedule 1 - Funds From Operations and Core Funds From Operations
Schedule 2 - Other Non-GAAP Financial Measurements
Schedule 3 - Portfolio Summary
Schedule 4 - Debt and Equity Capitalization
Schedule 5 - Summarized Information for Unconsolidated Real Estate Ventures
Schedule 6 - Same Store Performance Summary By MSA
Schedule 7 - Same Store Operating Data - Trailing Five Quarters
Schedule 8 - Reconciliation of Same Store Data and Net Operating Income to Net Income
Schedule 9 - Selected Financial Information
Glossary


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February 26, 2025
National Storage Affiliates Trust Reports Fourth Quarter and Full Year 2024 Results
GREENWOOD VILLAGE, Colo. - (BUSINESS WIRE) - National Storage Affiliates Trust ("NSA" or the "Company") (NYSE: NSA) today reported the Company’s fourth quarter and full year 2024 results.
Fourth Quarter 2024 Highlights
•Reported net income of $26.1 million for the fourth quarter of 2024, a decrease of 75.8% compared to the fourth quarter of 2023. Reported diluted earnings per share of $0.15 for the fourth quarter of 2024 compared to $0.72 for the fourth quarter of 2023.
•Reported core funds from operations ("Core FFO") of $81.2 million, or $0.60 per share for the fourth quarter of 2024, a decrease of 11.8% per share compared to the fourth quarter of 2023.
•Reported a decrease in same store net operating income ("NOI") of 7.5% for the fourth quarter of 2024 compared to the same period in 2023, driven by a 4.3% decrease in same store total revenues and a 4.7% increase in same store property operating expenses.
•Reported same store period-end occupancy of 84.4% as of December 31, 2024, a decrease of 140 basis points compared to December 31, 2023.
•Acquired four wholly-owned self storage properties for approximately $39.6 million during the fourth quarter of 2024.
•Entered into a new sales agreement for an At the Market ("ATM") program authorizing, but not obligating, the sale of up to $400.0 million of NSA's common shares of beneficial interest ("common shares") from time to time.
Full Year 2024 Highlights
•Reported net income of $183.3 million for full year 2024, a decrease of 22.7% compared to full year 2023. Reported diluted earnings per share of $1.18 for full year 2024 compared to $1.48 for full year 2023.
•Reported Core FFO of $308.7 million, or $2.44 per share for full year 2024, a decrease of 9.3% per share compared to full year 2023.
•Reported a decrease in same store NOI of 5.5% for full year 2024 compared to full year 2023, driven by a 3.0% decrease in same store total revenues and a 3.7% increase in same store property operating expenses.
•Acquired seven wholly-owned self storage properties for approximately $64.9 million and 18 self storage properties through the Company's unconsolidated real estate ventures for approximately $147.9 million during full year 2024.
•Completed the sales of 40 wholly-owned self storage properties to unaffiliated third parties for net proceeds of approximately $273.1 million and contributed 56 wholly-owned self storage properties to a joint venture between a subsidiary of NSA and a subsidiary of Heitman Capital Management, LLC (the "2024 Joint Venture") for approximately $346.5 million during full year 2024.
•Repurchased 7,400,322 common shares for approximately $275.2 million under the previously announced share repurchase program.
•Completed the internalization of the Company's participating regional operator ("PRO") structure. As a result, the Company purchased the PROs' management contracts, and in some cases, their brand names, related intellectual property and certain rights related to the PROs' tenant insurance programs.
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David Cramer, President and Chief Executive Officer, commented, “Same store results were in line with our expectations for the fourth quarter as we were pleased to finish the heavy lifting from the internalization of our PRO structure. Core FFO per share came in at the high end of our expectations due primarily to lower-than-expected general and administrative expenses, better-than-expected contributions from our unconsolidated real estate ventures, and favorable property and tenant insurance outcomes.”
Mr. Cramer further commented, “We were focused throughout 2024 positioning NSA to realize outsized benefits as market fundamentals improve. While there is uncertainty in the macro environment for 2025, we have no near term debt maturities, and we remain focused on executing operationally and realizing the expected accretion that we’ve previously highlighted from the internalization of our PRO structure.”

Financial Results
($ in thousands, except per share and unit data)
Three Months Ended December 31,Year Ended December 31,
20242023Change20242023Change
Net income$26,131 $108,056 (75.8)%$183,270 $236,988 (22.7)%
Funds From Operations ("FFO")(1)
$79,746 $83,369 (4.3)%$304,123 $341,528 (11.0)%
Add back acquisition costs
328 235 39.6 %1,602 1,659 (3.4)%
Add integration and executive severance costs(2)
1,137 — — %2,671 — — %
Subtract casualty-related recoveries(3)
— — — %— (522)— %
Add loss on early extinguishment of debt
— — — %323 758 (57.4)%
Core FFO(1)
$81,211 $83,604 (2.9)%$308,719 $343,423 (10.1)%
Earnings per share - basic$0.15 $0.77 (80.5)%$1.18 $1.58 (25.3)%
Earnings per share - diluted
$0.15 $0.72 (79.2)%$1.18 $1.48 (20.3)%
FFO per share and unit(1)
$0.59 $0.68 (13.2)%$2.40 $2.67 (10.1)%
Core FFO per share and unit(1)
$0.60 $0.68 (11.8)%$2.44 $2.69 (9.3)%
(1)
Non-GAAP financial measures, including FFO, Core FFO and NOI, are defined in the Glossary in the supplemental financial information and, where appropriate, reconciliations of these measures and other non-GAAP financial measures to their most directly comparable GAAP measures are included in the Schedules to this press release and in the supplemental financial information.
(2)Integration costs relate to expenses incurred as a part of the internalization of the PRO structure. Executive severance costs are recorded within the line items "General and administrative expenses" and "Non-operating (expense) income" in our consolidated statements of operations.
(3)Casualty-related recoveries in 2023 relate to casualty-related expenses incurred during 2022 and are recorded in the line item "Other" within operating expenses in our consolidated statements of operations.
Net income decreased $81.9 million for the fourth quarter of 2024 and by $53.7 million for the year ended December 31, 2024 ("year-to-date") as compared to the same periods in 2023. These decreases were primarily driven by a decrease in NOI, resulting from: (i) the sale of 32 self storage properties to an unaffiliated third party in December 2023, (ii) the contribution of 56 self storage properties to the 2024 Joint Venture, in the first quarter of 2024, and (iii) the sale of 40 self storage properties to unaffiliated third parties in the year ended December 31, 2024. Additionally, the decrease in net income for the fourth quarter of 2024 was impacted by a gain on sale of self storage properties in the fourth quarter of 2023. The decreases in net income for the fourth quarter and year-to-date were partially offset by decreases in depreciation expense of $5.8 million and $32.1 million, respectively, and interest expense of $6.1 million and $11.9 million, respectively.
The decreases in FFO and Core FFO for the fourth quarter of 2024 and year-to-date were the result of a decrease in NOI of 16.0% and 13.3%, respectively, which were partially offset by a decrease in interest expense of 13.4% and 7.2%, respectively, as compared to the same periods in 2023. The decrease in FFO and Core FFO per share and unit for the fourth quarter of 2024 and year-to-date was largely driven by a decrease in same store NOI, partially offset by decreased management fees paid to former PROs, reflected within general and administrative expenses, following the internalization of the PRO structure.
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Same Store Operating Results (776 Stores)
($ in thousands, except per square foot data)
Three Months Ended December 31,Year Ended December 31,
20242023Change20242023Change
Total revenues
$170,687$178,314(4.3)%$693,548$715,296(3.0)%
Property operating expenses
49,83747,6144.7 %199,496192,2883.7 %
Net Operating Income (NOI)
$120,850$130,700(7.5)%$494,052$523,008(5.5)%
NOI Margin70.8 %73.3 %(2.5)%71.2 %73.1 %(1.9)%
Average Occupancy
85.2 %87.0 %(1.8)%85.8 %88.7 %(2.9)%
Average Annualized Rental Revenue Per Occupied Square Foot
$15.56$15.96(2.5)%$15.68$15.71(0.2)%
Year-over-year same store total revenues decreased 4.3% for the fourth quarter of 2024 and 3.0% year-to-date as compared to the same periods in 2023. The decrease for the fourth quarter was driven primarily by a 180 basis point decrease in average occupancy and a 2.5% decrease in average annualized rental revenue per occupied square foot. The year-to-date same store total revenue decrease was driven primarily by a 290 basis point decrease in average occupancy and a 0.2% decrease in average annualized rental revenue per occupied square foot. Markets which generated above portfolio average same store total revenue growth include: San Juan, Wichita and Portland. Markets which generated below portfolio average same store total revenue growth include: Riverside-San Bernardino, Atlanta and Phoenix.
Year-over-year same store property operating expenses increased 4.7% for the fourth quarter of 2024 and 3.7% year-to-date as compared to the same periods in 2023. The increases were primarily driven by increases in marketing, insurance, and property tax expense, partially offset by decreases in personnel costs and repairs and maintenance expenses.
Investment Activity
During the fourth quarter, NSA invested $39.6 million in the acquisition of four wholly-owned self storage properties consisting of approximately 263,000 rentable square feet configured in approximately 2,100 storage units. Total consideration for these acquisitions included approximately $39.5 million of net cash and the assumption of approximately $0.1 million of other liabilities.
Balance Sheet
For the full year 2024, NSA repurchased 7,400,322 common shares for approximately $275.2 million, under a previously announced share repurchase plan, under which no common shares remain available for repurchase. On November 14, 2024, NSA approved a new share repurchase program authorizing, but not obligating, the repurchase of up to $350.0 million of its common shares from time to time. NSA expects to acquire the common shares through open market or privately negotiated transactions. The timing and amount of repurchase transactions, if any, will be determined by NSA's management based on its evaluation of market conditions, share price, legal requirements and other factors.
On November 19, 2024, NSA and its operating partnership, NSA OP, LP, entered into a sales agreement with certain sales agents, forward sellers and forward purchasers pursuant to which NSA may sell from time to time up to $400.0 million of its common shares in sales deemed to be "at the market offerings." The timing and amount of these offerings, if any, will be determined by NSA's management based on its evaluation of market conditions, share price, legal requirements and other factors.
As of February 24, 2025, NSA has no debt maturities in 2025 and approximately $512.5 million of available capacity on its $950.0 million revolving line of credit.
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Common Share Dividends
On November 14, 2024, NSA's Board of Trustees declared a quarterly cash dividend of $0.57 per common share. The fourth quarter 2024 dividend was paid on December 31, 2024 to shareholders of record as of December 13, 2024.
For full year 2024, NSA's Board of Trustees declared cash dividends of $2.25 per common share.
2025 Guidance
The following table outlines NSA's Core FFO per share guidance estimates and related assumptions for the year ended December 31, 2025.
Ranges for Full Year 2025Actual Results for Full Year 2024
LowHigh
Core FFO per share(1)
$2.30$2.38$2.44
Same store operations(2)
Total revenue growth
(1.25)%1.25%(3.0)%
Property operating expenses growth
3.0%4.0%3.7%
NOI growth
(2.8)%0.0%(5.5)%
General and administrative expenses
General and administrative expenses (excluding equity-based compensation), in millions
$45.5$47.5$49.7
Equity-based compensation, in millions$8.0$8.5$7.9
Management fees and other revenue, in millions
$49.5$51.5$42.7
Core FFO from unconsolidated real estate ventures, in millions
$21.5$23.5$24.2
Acquisitions - consolidated and joint venture (at share), in millions(3)
$100.0$300.0$101.8
Dispositions - consolidated and joint venture (at share), in millions(3)
$100.0$300.0$273.1
Ranges for
Full Year 2025
LowHigh
Earnings per share - diluted$0.64$0.70
Impact of the difference in weighted average number of shares and GAAP accounting for noncontrolling interests, two-class method and treasury stock method
(0.14)(0.19)
Add real estate depreciation and amortization
1.471.50
Add (subtract) equity in losses (earnings) of unconsolidated real estate ventures0.130.14
Add NSA's share of FFO of unconsolidated real estate ventures0.160.17
Add acquisition costs and NSA's share of unconsolidated real estate venture acquisition costs
0.010.02
Add integration and executive severance costs
0.030.04
Core FFO per share and unit
$2.30$2.38
(1)
The table above provides a reconciliation of the range of estimated earnings per share - diluted to estimated Core FFO per share and unit.
(2)2025 guidance reflects NSA's 2025 same store pool comprising 771 stores. 2024 actual results reflect NSA's 2024 same store pool comprising 776 stores.
(3)NSA's actual results for full year 2024 exclude the contribution of wholly-owned self storage properties into the 2024 Joint Venture for approximately $346.5 million.
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Supplemental Financial Information
The full text of this earnings release and supplemental financial information, including certain financial information referenced in this release, are available on NSA's website at www.nsastorage.com and as exhibit 99.1 to the Company's Form 8-K furnished to the SEC on February 26, 2025.
Non-GAAP Financial Measures & Glossary
This press release contains certain non-GAAP financial measures. These non-GAAP measures are presented because NSA's management believes these measures help investors understand NSA's business, performance and ability to earn and distribute cash to its shareholders by providing perspectives not immediately apparent from net income (loss). These measures are also frequently used by securities analysts, investors and other interested parties. The presentations of FFO, Core FFO and NOI in this press release are not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. In addition, NSA's method of calculating these measures may be different from methods used by other companies, and, accordingly, may not be comparable to similar measures as calculated by other companies that do not use the same methodology as NSA. These measures, and other words and phrases used herein, are defined in the Glossary in the supplemental financial information and, where appropriate, reconciliations of these measures and other non-GAAP financial measures to their most directly comparable GAAP measures are included in the Schedules to this press release and in the supplemental financial information.
Quarterly Teleconference and Webcast
The Company will host a conference call at 1:00 pm Eastern Time on Thursday, February 27, 2025 to discuss its fourth quarter 2024 financial results. At the conclusion of the call, management will accept questions from certified financial analysts. All other participants are encouraged to listen to a webcast of the call by accessing the link found on the Company's website at www.nsastorage.com.
Conference Call and Webcast:
Date/Time: Thursday, February 27, 2025, 1:00 pm ET
Webcast available at: www.nsastorage.com.
Domestic (Toll Free US & Canada): 877.407.9711
International: 412.902.1014
A replay of the webcast will be available for 30 days on NSA's website at www.nsastorage.com.
Upcoming Industry Conference
NSA management is scheduled to participate in Citi's 2025 Global Property CEO Conference on March 3 - 5, 2025 in Hollywood, Florida.

About National Storage Affiliates Trust
National Storage Affiliates Trust is a real estate investment trust headquartered in Greenwood Village, Colorado, focused on the ownership, operation and acquisition of self storage properties predominantly located within the top 100 metropolitan statistical areas throughout the United States. As of December 31, 2024, the Company held ownership interests in and operated 1,074 self storage properties, located in 42 states and Puerto Rico with approximately 70.2 million rentable square feet. NSA is one of the largest owners and operators of self storage properties among public and private companies in the United States. For more information, please visit the Company’s website at www.nsastorage.com. NSA is included in the MSCI US REIT Index (RMS/RMZ), the Russell 1000 Index of Companies and the S&P MidCap 400 Index.
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NOTE REGARDING FORWARD LOOKING STATEMENTS
Certain statements contained in this press release constitute forward-looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are intended to be covered by the safe harbor provided by the same. Forward-looking statements are subject to substantial risks and uncertainties, many of which are difficult to predict and are generally beyond the Company's control. These forward-looking statements include information about possible or assumed future results of the Company's business, financial condition, liquidity, results of operations, plans and objectives. Changes in any circumstances may cause the Company's actual results to differ significantly from those expressed in any forward-looking statement. When used in this release, the words "believe," "expect," "anticipate," "estimate," "plan," "continue," "intend," "should," "may" or similar expressions are intended to identify forward-looking statements. Statements regarding the following subjects, among others, may be forward-looking: market trends in the Company's industry, interest rates, inflation, the debt and lending markets or the general economy; the Company's business and investment strategy; the acquisition of properties, including those under contract and the Company's ability to execute on its acquisition pipeline; the timing of acquisitions under contract; the Company's ability to realize the benefits from the internalization of the PRO structure; and the Company's guidance estimates for the year ended December 31, 2025. For a further list and description of such risks and uncertainties, see the Company's most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K filed with the Securities and Exchange Commission, and the other documents filed by the Company with the Securities and Exchange Commission. The forward-looking statements, and other risks, uncertainties and factors are based on the Company's beliefs, assumptions and expectations of its future performance, taking into account all information currently available to the Company. Forward-looking statements are not predictions of future events. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Contact:
National Storage Affiliates Trust
Investor/Media Relations
George Hoglund, CFA
Vice President - Investor Relations
720.630.2160
ghoglund@nsareit.net
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National Storage Affiliates Trust
Consolidated Statements of Operations
(in thousands, except per share amounts)
(unaudited)
Three Months Ended December 31,Year Ended December 31,
2024202320242023
REVENUE
Rental revenue$171,029 $198,693 $700,247 $793,966 
Other property-related revenue6,708 7,502 27,362 29,686 
Management fees and other revenue12,381 9,217 42,726 34,411 
Total revenue190,118 215,412 770,335 858,063 
OPERATING EXPENSES
Property operating expenses52,245 56,828 211,852 228,986 
General and administrative expenses12,629 14,956 57,606 59,281 
Depreciation and amortization48,153 53,988 189,855 221,993 
Other3,356 2,577 13,866 11,108 
Total operating expenses116,383 128,349 473,179 521,368 
OTHER (EXPENSE) INCOME
Interest expense(39,340)(45,441)(154,260)(166,147)
Loss on early extinguishment of debt— — (323)(758)
Equity in (losses) earnings of unconsolidated real estate ventures
(5,284)2,084 (16,075)7,553 
Acquisition and integration costs(1,465)(235)(3,616)(1,659)
Non-operating (expense) income(38)(590)314 (1,016)
Gain on sale of self storage properties— 63,910 63,841 63,910 
Other (expense) income, net(46,127)19,728 (110,119)(98,117)
Income before income taxes27,608 106,791 187,037 238,578 
Income tax (expense) benefit (1,477)1,265 (3,767)(1,590)
Net income26,131 108,056 183,270 236,988 
Net income attributable to noncontrolling interests
(9,403)(39,031)(71,752)(80,319)
Net income attributable to National Storage Affiliates Trust16,728 69,025 111,518 156,669 
Distributions to preferred shareholders
(5,113)(5,110)(20,445)(19,019)
Net income attributable to common shareholders
$11,615 $63,915 $91,073 $137,650 
Earnings per share - basic$0.15 $0.77 $1.18 $1.58 
Earnings per share - diluted$0.15 $0.72 $1.18 $1.48 
Weighted average shares outstanding - basic
76,240 82,642 76,844 86,846 
Weighted average shares outstanding - diluted
76,240 141,319 76,844 146,023 
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National Storage Affiliates Trust
Consolidated Balance Sheets
(dollars in thousands, except per share amounts)
(unaudited)
December 31,December 31,
20242023
ASSETS
Real estate
Self storage properties$5,864,134 $5,792,174 
Less accumulated depreciation(1,051,638)(874,359)
Self storage properties, net4,812,496 4,917,815 
Cash and cash equivalents50,408 64,980 
Restricted cash345 22,713 
Debt issuance costs, net5,632 8,442 
Investment in unconsolidated real estate ventures246,193 211,361 
Other assets, net218,482 134,002 
Assets held for sale, net— 550,199 
Operating lease right-of-use assets20,906 22,299 
Total assets$5,354,462 $5,931,811 
LIABILITIES AND EQUITY
Liabilities
Debt financing$3,449,087 $3,658,205 
Accounts payable and accrued liabilities98,657 92,766 
Interest rate swap liabilities471 3,450 
Operating lease liabilities22,888 24,195 
Deferred revenue20,012 27,354 
Total liabilities3,591,115 3,805,970 
Equity
Preferred shares of beneficial interest, par value $0.01 per share. 50,000,000 authorized, 14,695,458 and 14,685,716 issued (in series) and outstanding at December 31, 2024 and December 31, 2023, respectively, at liquidation preference
340,895 340,651 
Common shares of beneficial interest, par value $0.01 per share. 250,000,000 shares authorized, 76,344,661 and 82,285,995 shares issued and outstanding at December 31, 2024 and December 31, 2023, respectively
763 823 
Additional paid-in capital1,249,426 1,509,563 
Distributions in excess of earnings(530,652)(449,907)
Accumulated other comprehensive income15,548 21,058 
Total shareholders' equity1,075,980 1,422,188 
Noncontrolling interests687,367 703,653 
Total equity1,763,347 2,125,841 
Total liabilities and equity$5,354,462 $5,931,811 
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Supplemental Schedule 1
Funds From Operations and Core Funds From Operations
(in thousands, except per share and unit amounts) (unaudited)
Reconciliation of Net Income to FFO and Core FFO
Three Months Ended December 31,Year Ended December 31,
2024202320242023
Net income$26,131 $108,056 $183,270 $236,988 
Add (subtract):
Real estate depreciation and amortization47,770 53,659 188,358 220,737 
Equity in losses (earnings) of unconsolidated real estate ventures5,284 (2,084)16,075 (7,553)
Company's share of FFO in unconsolidated real estate ventures6,129 6,095 24,156 24,636 
Gain on sale of self storage properties— (63,910)(63,841)(63,910)
Distributions to preferred shareholders and unitholders(5,568)(5,572)(22,273)(20,330)
FFO attributable to subordinated performance units(1)
— (12,875)(21,622)(49,040)
FFO attributable to common shareholders, OP unitholders, and LTIP unitholders
79,746 83,369 304,123 341,528 
Add (subtract):
Acquisition costs328 235 1,602 1,659 
Integration and executive severance costs(2)
1,137 — 2,671 — 
Casualty-related recoveries(3)
— — — (522)
Loss on early extinguishment of debt— — 323 758 
Core FFO attributable to common shareholders, OP unitholders, and LTIP unitholders
$81,211 $83,604 $308,719 $343,423 
Weighted average shares and units outstanding - FFO and Core FFO:(4)
Weighted average shares outstanding - basic76,240 82,642 76,844 86,846 
Weighted average restricted common shares outstanding19 23 20 25 
Weighted average OP units outstanding
52,260 37,701 45,110 38,302 
Weighted average DownREIT OP unit equivalents outstanding
5,769 2,120 3,955 2,120 
Weighted average LTIP units outstanding
706 577 684 553 
Total weighted average shares and units outstanding - FFO and Core FFO
134,994 123,063 126,613 127,846 
FFO per share and unit$0.59 $0.68 $2.40 $2.67 
Core FFO per share and unit$0.60 $0.68 $2.44 $2.69 
(1)Amounts represent distributions declared for subordinated performance unitholders and DownREIT subordinated performance unitholders for the periods presented.
(2)Integration costs relate to expenses incurred as a part of the internalization of the PRO structure. Executive severance costs are recorded within the line items "General and administrative expenses" and "Non-operating (expense) income" in our consolidated statements of operations.
(3)Casualty-related recoveries in 2023 relate to casualty-related expenses incurred during 2022 and are recorded in the line item "Other" within operating expenses in our consolidated statements of operations.
(4)
NSA combines OP units and DownREIT OP units with common shares because, after the applicable lock-out periods, OP units in the Company's operating partnership are redeemable for cash or, at NSA's option, exchangeable for common shares on a one-for-one basis and DownREIT OP units are also redeemable for cash or, at NSA's option, exchangeable for OP units in the Company's operating partnership on a one-for-one basis, subject to certain adjustments in each case. LTIP units may also, under certain circumstances, be convertible into or exchangeable for common shares (or other units that are convertible into or exchangeable for common shares). All subordinated performance units and DownREIT subordinated performance units were converted into OP units on July 1, 2024, in connection with the internalization of the PRO structure. See footnote(5) for additional discussion of subordinated performance units, DownREIT subordinated performance units, and LTIP units in the calculation of FFO and Core FFO per share and unit.
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Supplemental Schedule 1 (continued)
Funds From Operations and Core Funds From Operations
(in thousands, except per share and unit amounts) (unaudited)
Reconciliation of Earnings Per Share - Diluted to FFO and Core FFO Per Share and Unit
Three Months Ended December 31,Year Ended December 31,
2024202320242023
Earnings per share - diluted$0.15 $0.72 $1.18 $1.48 
Impact of the difference in weighted average number of shares(5)
(0.07)0.11 (0.46)0.23 
Impact of GAAP accounting for noncontrolling interests, two-class method and treasury stock method(6)
0.07 — 0.55 — 
Add real estate depreciation and amortization0.35 0.44 1.49 1.73 
Add (subtract) equity in losses (earnings) of unconsolidated real estate ventures0.04 (0.02)0.12 (0.06)
Add Company's share of FFO in unconsolidated real estate ventures0.05 0.05 0.19 0.19 
Subtract gain on sale of self storage properties— (0.52)(0.50)(0.52)
FFO attributable to subordinated performance unitholders— (0.10)(0.17)(0.38)
FFO per share and unit
0.59 0.68 2.40 2.67 
Add acquisition costs
— — 0.02 0.01 
Add integration and executive severance costs0.01 — 0.02 — 
Add loss on early extinguishment of debt— — — 0.01 
Core FFO per share and unit
$0.60 $0.68 $2.44 $2.69 





(5)
Adjustment accounts for the difference between the weighted average number of shares used to calculate diluted earnings per share and the weighted average number of shares used to calculate FFO and Core FFO per share and unit. Diluted earnings per share is calculated using the two-class method for the company's restricted common shares and the treasury stock method for certain unvested LTIP units, and assumes the conversion of vested LTIP units into OP units on a one-for-one basis and the hypothetical conversion of subordinated performance units, and DownREIT subordinated performance units into OP units, even though such units may have only been convertible into OP units (i) after a lock-out period and (ii) upon certain events or conditions. All outstanding subordinated performance units and DownREIT subordinated performance units were converted into OP units on July 1, 2024, in connection with the internalization of the PRO structure. The computation of weighted average shares and units for FFO and Core FFO per share and unit includes all restricted common shares and LTIP units that participate in distributions and excludes all subordinated performance units and DownREIT subordinated performance units because their effect has been accounted for through the allocation of FFO to the related unitholders based on distributions declared.
(6)
Represents the effect of adjusting the numerator to consolidated net income prior to GAAP allocations for noncontrolling interests, after deducting preferred share and unit distributions, and before the application of the two-class method and treasury stock method, as described in footnote(5).
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Supplemental Schedule 2
Other Non-GAAP Financial Measurements
(dollars in thousands) (unaudited)
Net Operating Income
Three Months Ended December 31,Year Ended December 31,
2024202320242023
Net income$26,131 $108,056 $183,270 $236,988 
(Subtract) add:
Management fees and other revenue(12,381)(9,217)(42,726)(34,411)
General and administrative expenses12,629 14,956 57,606 59,281 
Other 3,356 2,577 13,866 11,108 
Depreciation and amortization48,153 53,988 189,855 221,993 
Interest expense39,340 45,441 154,260 166,147 
Equity in losses (earnings) of unconsolidated real estate ventures
5,284 (2,084)16,075 (7,553)
Loss on early extinguishment of debt— — 323 758 
Acquisition and integration costs1,465 235 3,616 1,659 
Income tax expense (benefit)1,477 (1,265)3,767 1,590 
Gain on sale of self storage properties— (63,910)(63,841)(63,910)
Non-operating expense (income)38 590 (314)1,016 
Net Operating Income
$125,492 $149,367 $515,757 $594,666 
EBITDA and Adjusted EBITDA
Three Months Ended December 31,Year Ended December 31,
2024202320242023
Net income$26,131 $108,056 $183,270 $236,988 
Add:
Depreciation and amortization48,153 53,988 189,855 221,993 
Company's share of unconsolidated real estate venture depreciation and amortization
5,609 4,011 20,719 17,083 
Interest expense39,340 45,441 154,260 166,147 
Income tax expense (benefit)1,477 (1,265)3,767 1,590 
Loss on early extinguishment of debt— — 323 758 
EBITDA
120,710 210,231 552,194 644,559 
Add (subtract):
Acquisition costs328 235 1,602 1,659 
Effect of hypothetical liquidation at book value (HLBV) accounting for unconsolidated 2024 Joint Venture(1)
5,804 — 19,511 — 
Gain on sale of self storage properties— (63,910)(63,841)(63,910)
Integration and executive severance costs, excluding equity-based compensation(2)
779 — 1,879 — 
Casualty-related recoveries(3)
— — — (522)
Equity-based compensation expense(4)
2,213 1,651 8,310 6,679 
Adjusted EBITDA
$129,834 $148,207 $519,655 $588,465 
(1)
Reflects the non-cash impact of applying HLBV to the 2024 Joint Venture, which allocates GAAP income (loss) on a hypothetical liquidation of the underlying joint venture at book value as of the reporting date.
(2)Integration costs relate to expenses incurred as a part of the internalization of the PRO structure. Executive severance costs are recorded within the line items "General and administrative expenses" and "Non-operating (expense) income" in our consolidated statements of operations.
(3)Casualty-related recoveries in 2023 relate to casualty-related expenses incurred during 2022 and are recorded in the line item "Other" within operating expenses in our consolidated statements of operations.
(4)
Equity-based compensation expense is a non-cash item recorded within general and administrative expenses and acquisition and integration costs in our consolidated statements of operations. Of the total amounts shown, for the three months and year ended December 31, 2024, $0.4 million relates to the internalization of our PRO structure and is included in acquisition and integration costs.
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Supplemental Schedule 3
Portfolio Summary
As of December 31, 2024
(dollars in thousands) (unaudited)
Wholly-Owned Store Data by State (Consolidated)Total Operated Store Data by State (Consolidated & Unconsolidated)
State/TerritoriesStores UnitsRentable Square FeetOccupancy at Period EndState/TerritoriesStores UnitsRentable Square FeetOccupancy at Period End
Texas175 80,783 11,256,079 84.3 %Texas202 97,886 13,367,937 84.6 %
California86 51,356 6,466,128 84.8 %Florida106 60,436 6,833,788 86.0 %
Florida79 45,400 5,117,405 85.5 %California98 58,003 7,245,162 84.9 %
Oregon70 29,262 3,660,314 86.6 %Georgia72 33,562 4,608,854 80.8 %
Georgia50 21,982 3,021,617 79.7 %Oregon70 29,262 3,660,314 86.6 %
North Carolina35 17,271 2,160,187 88.5 %Oklahoma52 22,408 3,266,709 80.7 %
Arizona34 18,882 2,174,625 81.6 %Arizona36 19,891 2,284,755 81.2 %
Oklahoma33 15,297 2,136,981 83.4 %North Carolina35 17,271 2,160,187 88.5 %
Louisiana25 11,453 1,388,585 79.4 %Ohio27 14,883 1,852,789 84.7 %
Pennsylvania22 10,439 1,296,020 82.2 %Louisiana25 11,453 1,388,585 79.4 %
Colorado22 9,480 1,195,764 83.0 %Alabama25 11,821 1,758,944 78.7 %
Washington19 6,637 871,889 85.5 %Michigan25 15,940 2,018,798 88.3 %
Puerto Rico15 12,848 1,379,097 90.9 %Pennsylvania25 12,073 1,456,490 83.0 %
Nevada15 7,570 963,297 86.6 %Colorado22 9,480 1,195,764 83.0 %
New Hampshire15 7,160 890,295 88.4 %Kansas21 7,774 1,068,725 86.0 %
Kansas14 4,925 669,676 84.7 %New Jersey20 13,515 1,603,297 85.6 %
Indiana12 6,530 827,524 81.5 %Tennessee20 10,248 1,310,304 85.0 %
Alabama11 6,034 909,280 74.8 %Washington19 6,637 871,889 85.5 %
New Mexico10 5,510 713,507 84.9 %Nevada19 9,457 1,247,840 84.9 %
Other(1)
73 40,306 5,075,765 82.9 %Indiana19 9,821 1,286,329 81.9 %
Total
815 409,125 52,174,035 84.2 %Puerto Rico15 12,848 1,379,097 90.9 %
Massachusetts15 11,058 1,209,811 86.2 %
New Hampshire15 7,160 890,295 88.4 %
Minnesota12 5,726 732,395 84.9 %
Illinois10 6,764 727,778 84.9 %
New Mexico10 5,510 713,507 84.9 %
Other(2)
59 31,605 4,042,146 83.4 %
Total1,074 552,492 70,182,489 84.4 %


(1)
Other states in NSA's owned portfolio as of December 31, 2024 include Arkansas, Connecticut, Idaho, Illinois, Iowa, Kentucky, Maryland, Massachusetts, Minnesota, Missouri, Montana, New Jersey, New York, Ohio, South Carolina, Tennessee, Utah, Virginia, Wisconsin and Wyoming.
(2)
Other states in NSA's operated portfolio as of December 31, 2024 include Arkansas, Connecticut, Delaware, Idaho, Iowa, Kentucky, Maryland, Mississippi, Missouri, Montana, New York, Rhode Island, South Carolina, Utah, Virginia, Wisconsin and Wyoming.
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Supplemental Schedule 3 (continued)
Portfolio Summary
(dollars in thousands) (unaudited)
2024 Acquisition Activity
Self Storage Properties Acquired
During the Quarter Ended:		Summary of Investment
StoresUnitsRentable Square FeetCash and Acquisition CostsValue of EquityOther Liabilities / (Other Assets)Total
March 31, 2024——— $— $— $— $— 
June 30, 202431,291200,313 25,063 — 174 25,237 
September 30, 2024——— — — — — 
December 31, 202442,129262,629 39,514 — 122 39,636 
Unconsolidated Real Estate Ventures (at 100%)(3)
March 31, 20245624,0153,227,743 346,194 — 2,237 348,431 
June 30, 2024——— — — — — 
September 30, 2024187,6981,237,263 146,976 — 882 147,858 
December 31, 2024——— — — — — 
Total Investments(4)
8135,1334,927,948 $557,747 $— $3,415 $561,162 
2024 Disposition & Divestiture Activity
Dispositions Closed During the Quarter Ended:StoresUnitsRentable Square FeetNet Proceeds
Self Storage Properties sold to 3rd Parties
March 31, 20243917,6102,417,135 $265,063 
June 30, 202411,066155,113 8,035 
September 30, 2024——— — 
December 31, 2024——— — 
Self Storage Properties contributed to Joint Venture
March 31, 20245624,0153,227,743 343,714 
Total Dispositions and Divestitures(5)
9642,6915,799,991 $616,812 




(3)
Values represent entire unconsolidated real estate ventures at 100%, not NSA's proportionate share. NSA's ownership in each of the unconsolidated real estate ventures is 25%.
(4)
NSA through its unconsolidated real estate ventures and wholly-owned portfolio acquired self storage properties located in Florida (3), Georgia (11), Indiana (7), Kansas (7), Missouri (2), North Carolina (1), Ohio (12), Oklahoma (13), Tennessee (6) and Texas (19).
(5)
NSA disposed of self storage properties are located in California (1), Georgia (11), Illinois (4), Indiana (9), Kansas (9), Louisiana (6), Missouri (9), Mississippi (3), Ohio (12), South Carolina (1), Tennessee (6) and Texas (25).
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Supplemental Schedule 4
Debt and Equity CapitalizationBBB+ Rated
As of December 31, 2024(with Negative Outlook)
(unaudited)by Kroll Bond Rating Agency
Debt Summary (dollars in thousands)
Effective Interest Rate(1)
Basis of RateMaturity Date2025202620272028202920302031ThereafterTotal
Credit Facility:
Revolving line of credit(2)
4.32%
Variable(3)
January 2027$— $— $443,300 $— $— $— $— $— $443,300 
Term loan - Tranche D3.96%Swapped To FixedJuly 2026— 275,000 — — — — — — 275,000 
Term loan - Tranche E4.89%
Swapped To Fixed(3)
March 2027— — 130,000 — — — — — 130,000 
Term loan facility - 20284.62%Swapped To FixedDecember 2028— — — 75,000 — — — — 75,000 
Term loan facility - April 20294.27%Swapped To FixedApril 2029— — — — 100,000 — — — 100,000 
Term loan facility - June 20295.37%Swapped To FixedJune 2029— — — — 285,000 — — — 285,000 
May 2026 Senior Unsecured Notes2.16%FixedMay 2026— 35,000 — — — — — — 35,000 
October 2026 Senior Unsecured Notes6.46%FixedOctober 2026— 65,000 — — — — — — 65,000 
July 2028 Senior Unsecured Notes5.75%FixedJuly 2028— — — 120,000 — — — — 120,000 
September 2028 Senior Unsecured Notes5.40%FixedSeptember 2028— — — 75,000 — — — — 75,000 
October 2028 Senior Unsecured Notes6.55%FixedOctober 2028— — — 100,000 — — — — 100,000 
2029 Senior Unsecured Notes3.98%FixedAugust 2029— — — — 100,000 — — — 100,000 
August 2030 Senior Unsecured Notes2.99%FixedAugust 2030— — — — — 150,000 — — 150,000 
October 2030 Senior Unsecured Notes6.66%FixedOctober 2030— — — — — 35,000 — — 35,000 
November 2030 Senior Unsecured Notes2.72%FixedNovember 2030— — — — — 75,000 — — 75,000 
May 2031 Senior Unsecured Notes3.00%FixedMay 2031— — — — — — 90,000 — 90,000 
August 2031 Senior Unsecured Notes4.08%FixedAugust 2031— — — — — — 50,000 — 50,000 
September 2031 Senior Unsecured Notes5.55%FixedSeptember 2031— — — — — — 125,000 — 125,000 
November 2031 Senior Unsecured Notes2.81%FixedNovember 2031— — — — — — 175,000 — 175,000 
August 2032 Senior Unsecured Notes3.09%FixedAugust 2032— — — — — — — 100,000 100,000 
November 2032 Senior Unsecured Notes5.06%FixedNovember 2032— — — — — — — 200,000 200,000 
May 2033 Senior Unsecured Notes3.10%FixedMay 2033— — — — — — — 55,000 55,000 
October 2033 Senior Unsecured Notes6.73%FixedOctober 2033— — — — — — — 50,000 50,000 
November 2033 Senior Unsecured Notes2.96%FixedNovember 2033— — — — — — — 125,000 125,000 
2034 Senior Unsecured Notes5.74%FixedSeptember 2034— — — — — — — 150,000 150,000 
2036 Senior Unsecured Notes3.06%FixedNovember 2036— — — — — — — 75,000 75,000 
Fixed rate mortgages payable3.54%FixedAugust 2027 - October 2031— — 84,900 88,000 — — 27,893 — 200,793 
Total Principal/Weighted Average
4.37%5.0 years$— $375,000 $658,200 $458,000 $485,000 $260,000 $467,893 $755,000 $3,459,093 
Weighted average effective interest rate of maturing debt—%4.22%4.41%5.11%4.86%3.41%3.80%4.36%
Unamortized debt issuance costs and debt premium, net
(10,006)
Total Debt
$3,449,087 
(1)
Effective interest rate incorporates the stated rate plus the impact of interest rate cash flow hedges and discount and premium amortization, if applicable.
(2)
NSA may, at its election, extend the maturity date of the revolving line of credit to January 2028, subject to meeting customary conditions and payment of an extension fee.
(3)
For the $950 million revolving line of credit, the effective interest rate (i) is calculated based on Daily Simple SOFR plus an applicable margin of 1.30% and a SOFR Index Adjustment of 0.10%, and excludes fees which range from 0.15% to 0.20% for unused borrowings, and (ii) incorporates the impact of interest rate swaps on $225.0 million of notional that matured on February 3, 2025. Excluding the impact of such swaps, the effective rate on the revolving line of credit was 5.71%. $125.0 million of the Tranche E term loan is subject to interest rate swaps, the maturity of which extends through the Tranche E maturity.
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Supplemental Schedule 4 (continued)
Debt and Equity Capitalization
As of December 31, 2024
(unaudited)
Debt Ratios
Covenant
Amount
Net Debt to Annualized Current Quarter Adjusted EBITDAn/a6.5x
Trailing Twelve Month Fixed Charge Coverage Ratio
> 1.5x2.8x
Total Leverage Ratio< 60.0%44.5%
Preferred Shares and Units
Outstanding
6.000% Series A cumulative redeemable preferred shares of beneficial interest9,027,330 
6.000% Series B cumulative redeemable preferred shares of beneficial interest4,608,445 
Preferred shares of beneficial interest(5)
13,635,775 
6.000% Series A-1 cumulative redeemable preferred units1,202,598 
Common Shares and Units
Outstanding
Common shares of beneficial interest76,325,796 
Restricted common shares18,865 
Total shares outstanding
76,344,661 
Operating partnership units52,173,489 
DownREIT operating partnership unit equivalents
5,769,214 
Total operating partnership units
57,942,703 
Long-term incentive plan units794,926 
Total common shares and units outstanding
135,082,290 







(5)
The Company's balance sheet at December 31, 2024 reflects 14,695,458 preferred shares of beneficial interest, which includes 5,668,128 Series B Preferred Shares issued and outstanding. We have reflected 13,635,775 preferred shares herein, which corresponds to the $340.9 million liquidation preference reflected on the balance sheet at December 31, 2024. As part of a 2023 property acquisition of 15 properties from one of the Company's former participating regional operators (the "Contributor"), the Company recorded a $26.1 million promissory note receivable from the Contributor, and the Contributor used the loan proceeds to acquire $26.1 million of OP equity. The promissory note bears interest at a rate equivalent to the dividends paid on 1,059,683 Series B Preferred Shares. As a result of these agreements, in accordance with GAAP, the $26.1 million promissory note receivable, interest income on the promissory note receivable, $26.1 million of Series B Preferred Shares value, and dividends on such Series B Preferred Shares have been offset for presentation purposes in the accompanying consolidated balance sheets and consolidated statements of operations.
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Supplemental Schedule 5
Summarized Information for Unconsolidated Real Estate Ventures
(dollars in thousands) (unaudited)
Real Estate Venture Balance Sheet Data as of December 31, 2024
Number of Stores at December 31,
Occupancy at Period End
Real Estate Ventures
Carrying Value of NSA's Investment(1)
Gross Book Value of Real Estate AssetsOutstanding Debt
2024
2023
Total Rentable Square Feet
FY 2024
FY 2023
2016 Joint Venture$99,514 $927,982 $358,141 81815,689,541 87.0 %85.1 %
2018 Joint Venture96,635 1,282,696 646,005 1041047,855,935 85.9 %85.3 %
2023 Joint Venture37,424 146,502 — 18—1,236,583 72.2 %— 
2024 Joint Venture12,620 343,452 209,023 56—3,226,395 84.4 %— 
Total$246,193 $2,700,632 $1,213,169 25918518,008,454 85.1 %85.2 %
Combined Operating Information(2)
Three Months Ended December 31, 2024
Year Ended December 31, 2024
2016 Joint Venture2018 Joint Venture2023 Joint Venture2024 Joint VentureTotal2016 Joint Venture2018 Joint Venture2023 Joint Venture2024 Joint VentureTotal
Total revenue$22,531 $28,000 $2,523 $9,321 $62,375 $90,521 $114,426 $4,030 $33,503 $242,480 
Property operating expenses7,159 8,384 869 3,623 20,035 28,720 33,330 1,400 13,108 76,558 
Net operating income15,372 19,616 1,654 5,698 42,340 61,801 81,096 2,630 20,395 165,922 
Supervisory, administrative and other expenses
(1,628)(1,767)(240)(504)(4,139)(6,545)(7,111)(405)(1,761)(15,822)
Depreciation and amortization(5,613)(10,164)(1,899)(4,761)(22,437)(22,814)(40,330)(3,130)(16,604)(82,878)
Interest expense(3,279)(7,145)— (3,234)(13,658)(13,091)(28,578)— (11,394)(53,063)
Acquisition and other income (expense)1 (537)(12)63 (485)(13)(704)(25)65 (677)
Net income (loss)$4,853 $3 $(497)$(2,738)$1,621 $19,338 $4,373 $(930)$(9,299)$13,482 
Add (subtract):
Unconsolidated real estate venture real estate depreciation and amortization
5,613 10,164 1,899 4,761 22,437 22,814 40,330 3,130 16,604 82,878 
FFO and Core FFO for unconsolidated real estate ventures
$10,466 $10,167 $1,402 $2,023 $24,058 $42,152 $44,703 $2,200 $7,305 $96,360 










(1)NSA's investment in its unconsolidated real estate ventures are recorded under the equity method of accounting. Under the equity method, NSA’s investments in unconsolidated real estate ventures are stated at cost and adjusted for NSA’s share of net earnings or losses and reduced by distributions.
(2)Values represent entire unconsolidated real estate ventures at 100%, not NSA's proportionate share. NSA's ownership in each of the unconsolidated real estate ventures is 25%. The operating agreements of the unconsolidated real estate ventures provide for the distribution of net cash flow to the unconsolidated real estate ventures' investors no less than monthly, generally in proportion to the investors’ respective ownership interests, subject to a promoted distribution to NSA upon the achievement of certain performance benchmarks by the non-NSA investor.


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Supplemental Schedule 6
Same Store Performance Summary By MSA(1)
(dollars in thousands, except per square foot data) (unaudited)
Three Months Ended December 31, 2024 compared to Three Months Ended December 31, 2023
Total RevenueProperty Operating ExpensesNet Operating IncomeNet Operating Income Margin
MSA(1)
Stores4Q 20244Q 2023Change4Q 20244Q 2023Change4Q 20244Q 2023Change4Q 20244Q 2023Change
Portland-Vancouver-Hillsboro, OR-WA52 $11,011 $11,122 (1.0)%$2,851 $2,720 4.8 %$8,160 $8,402 (2.9)%74.1 %75.5 %(1.4)%
Riverside-San Bernardino-Ontario, CA48 12,895 13,852 (6.9)%2,865 3,050 (6.1)%10,030 10,802 (7.1)%77.8 %78.0 %(0.2)%
Houston-The Woodlands-Sugar Land, TX37 8,278 8,456 (2.1)%3,184 2,611 21.9 %5,094 5,845 (12.8)%61.5 %69.1 %(7.6)%
Atlanta-Sandy Springs-Alpharetta, GA30 5,580 6,461 (13.6)%1,560 1,587 (1.7)%4,020 4,874 (17.5)%72.0 %75.4 %(3.4)%
Dallas-Fort Worth-Arlington, TX27 4,849 5,001 (3.0)%1,762 1,618 8.9 %3,087 3,383 (8.7)%63.7 %67.6 %(3.9)%
Phoenix-Mesa-Chandler, AZ25 5,487 6,088 (9.9)%1,331 1,501 (11.3)%4,156 4,587 (9.4)%75.7 %75.3 %0.4 %
McAllen-Edinburg-Mission, TX21 4,500 4,816 (6.6)%1,304 1,222 6.7 %3,196 3,594 (11.1)%71.0 %74.6 %(3.6)%
Oklahoma City, OK20 3,242 3,385 (4.2)%894 828 8.0 %2,348 2,557 (8.2)%72.4 %75.5 %(3.1)%
Brownsville-Harlingen, TX16 2,830 2,956 (4.3)%785 746 5.2 %2,045 2,210 (7.5)%72.3 %74.8 %(2.5)%
San Antonio-New Braunfels, TX15 2,730 2,885 (5.4)%1,043 1,021 2.2 %1,687 1,864 (9.5)%61.8 %64.6 %(2.8)%
North Port-Sarasota-Bradenton, FL15 4,339 4,765 (8.9)%1,367 1,345 1.6 %2,972 3,420 (13.1)%68.5 %71.8 %(3.3)%
Los Angeles-Long Beach-Anaheim, CA14 5,766 6,168 (6.5)%1,356 1,468 (7.6)%4,410 4,700 (6.2)%76.5 %76.2 %0.3 %
Colorado Springs, CO14 2,110 2,177 (3.1)%848 608 39.5 %1,262 1,569 (19.6)%59.8 %72.1 %(12.3)%
San Juan-Bayamón-Caguas, PR14 9,214 9,096 1.3 %1,796 1,698 5.8 %7,418 7,398 0.3 %80.5 %81.3 %(0.8)%
Tulsa, OK13 1,997 2,118 (5.7)%620 523 18.5 %1,377 1,595 (13.7)%69.0 %75.3 %(6.3)%
Shreveport-Bossier City, LA12 1,526 1,628 (6.3)%529 488 8.4 %997 1,140 (12.5)%65.3 %70.0 %(4.7)%
Austin-Round Rock-Georgetown, TX12 3,372 3,458 (2.5)%1,127 914 23.3 %2,245 2,544 (11.8)%66.6 %73.6 %(7.0)%
Las Vegas-Henderson-Paradise, NV12 2,624 2,779 (5.6)%619 749 (17.4)%2,005 2,030 (1.2)%76.4 %73.0 %3.4 %
New Orleans-Metairie, LA12 2,145 2,170 (1.2)%721 603 19.6 %1,424 1,567 (9.1)%66.4 %72.2 %(5.8)%
Wichita, KS12 1,762 1,753 0.5 %668 553 20.8 %1,094 1,200 (8.8)%62.1 %68.5 %(6.4)%
Other MSAs355 74,430 77,180 (3.6)%22,607 21,761 3.9 %51,823 55,419 (6.5)%69.6 %71.8 %(2.2)%
Total/Weighted Average776 $170,687 $178,314 (4.3)%$49,837 $47,614 4.7 %$120,850 $130,700 (7.5)%70.8 %73.3 %(2.5)%
2023 Same Store Pool(2)
723 $159,290 $166,665 (4.4)%$46,120 $43,880 5.1 %$113,170 $122,785 (7.8)%71.0 %73.7 %(2.7)%
2022 Same Store Pool(3)
565 $121,730 $128,698 (5.4)%$34,087 $32,913 3.6 %$87,643 $95,785 (8.5)%72.0 %74.4 %(2.4)%
(1)MSA (Metropolitan Statistical Area) as defined by the United States Census Bureau.
(2)Represents the subset of properties included in the 2024 same store pool that were in NSA's same store pool reported in 2023.
(3)Represents the subset of properties included in the 2024 same store pool that were in NSA's same store pool reported in 2022.
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Supplemental Schedule 6 (continued)
Same Store Performance Summary By MSA(1)
(dollars in thousands, except per square foot data) (unaudited)
Three Months Ended December 31, 2024 compared to Three Months Ended December 31, 2023
Rentable Square FeetOccupancy at Period EndAverage OccupancyAverage Annualized Rental Revenue per Occupied Square Foot
MSA(1)
Units4Q 20244Q 2023Change4Q 20244Q 2023Change4Q 20244Q 2023Change
Portland-Vancouver-Hillsboro, OR-WA21,027 2,566,876 87.6 %84.7 %2.9 %88.4 %85.8 %2.6 %$18.81 $19.62 (4.1)%
Riverside-San Bernardino-Ontario, CA26,481 3,606,608 86.2 %86.3 %(0.1)%86.9 %87.7 %(0.8)%15.90 16.71 (4.8)%
Houston-The Woodlands-Sugar Land, TX18,044 2,764,527 85.9 %88.3 %(2.4)%87.3 %89.7 %(2.4)%13.16 13.02 1.1 %
Atlanta-Sandy Springs-Alpharetta, GA14,242 1,991,779 79.9 %81.6 %(1.7)%81.6 %83.6 %(2.0)%13.20 15.03 (12.2)%
Dallas-Fort Worth-Arlington, TX12,344 1,605,800 79.3 %84.6 %(5.3)%80.7 %85.2 %(4.5)%14.36 14.30 0.4 %
Phoenix-Mesa-Chandler, AZ14,750 1,650,300 82.4 %84.3 %(1.9)%82.6 %85.0 %(2.4)%15.57 16.79 (7.3)%
McAllen-Edinburg-Mission, TX9,847 1,462,870 88.8 %90.2 %(1.4)%89.1 %91.1 %(2.0)%13.24 13.97 (5.2)%
Oklahoma City, OK9,185 1,325,077 82.9 %86.8 %(3.9)%84.4 %88.2 %(3.8)%11.12 11.08 0.4 %
Brownsville-Harlingen, TX6,569 943,771 87.9 %90.8 %(2.9)%88.5 %91.5 %(3.0)%12.93 13.54 (4.5)%
San Antonio-New Braunfels, TX6,474 828,790 81.8 %82.9 %(1.1)%82.9 %85.1 %(2.2)%15.22 15.59 (2.4)%
North Port-Sarasota-Bradenton, FL9,407 959,937 90.4 %84.6 %5.8 %89.5 %85.5 %4.0 %19.56 22.38 (12.6)%
Los Angeles-Long Beach-Anaheim, CA9,759 1,063,489 85.5 %86.7 %(1.2)%86.2 %87.7 %(1.5)%24.48 25.39 (3.6)%
Colorado Springs, CO5,640 707,834 81.4 %83.9 %(2.5)%83.4 %86.1 %(2.7)%13.74 13.72 0.1 %
San Juan-Bayamón-Caguas, PR12,409 1,333,058 90.6 %92.7 %(2.1)%90.7 %93.0 %(2.3)%29.54 28.24 4.6 %
Tulsa, OK6,112 811,904 84.2 %85.3 %(1.1)%84.9 %87.0 %(2.1)%11.01 11.40 (3.4)%
Shreveport-Bossier City, LA5,102 669,571 80.1 %86.1 %(6.0)%81.3 %88.3 %(7.0)%10.61 10.48 1.2 %
Austin-Round Rock-Georgetown, TX6,854 917,194 82.5 %85.6 %(3.1)%83.5 %86.8 %(3.3)%17.08 17.23 (0.9)%
Las Vegas-Henderson-Paradise, NV6,622 819,130 86.8 %87.2 %(0.4)%86.5 %88.4 %(1.9)%14.21 14.70 (3.3)%
New Orleans-Metairie, LA6,047 679,064 78.7 %82.1 %(3.4)%79.4 %83.2 %(3.8)%15.18 14.87 2.1 %
Wichita, KS4,200 586,926 84.2 %87.6 %(3.4)%85.8 %88.6 %(2.8)%13.10 12.78 2.5 %
Other MSAs175,414 22,267,161 84.0 %85.3 %(1.3)%84.7 %86.5 %(1.8)%15.17 15.49 (2.1)%
Total/Weighted Average386,529 49,561,666 84.4 %85.8 %(1.4)%85.2 %87.0 %(1.8)%$15.56 $15.96 (2.5)%
2023 Same Store Pool(2)
357,777 45,938,683 84.5 %86.0 %(1.5)%85.3 %87.2 %(1.9)%$15.65 $16.06 (2.6)%
2022 Same Store Pool(3)
274,462 34,974,459 84.8 %86.0 %(1.2)%85.6 %87.3 %(1.7)%$15.67 $16.29 (3.8)%
(1)MSA (Metropolitan Statistical Area) as defined by the United States Census Bureau.
(2)Represents the subset of properties included in the 2024 same store pool that were in NSA's same store pool reported in 2023.
(3)Represents the subset of properties included in the 2024 same store pool that were in NSA's same store pool reported in 2022.

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Supplemental Schedule 6
Same Store Performance Summary By MSA(1)
(dollars in thousands, except per square foot data) (unaudited)
Year Ended December 31, 2024 compared to Year Ended December 31, 2023
Total RevenueProperty Operating ExpensesNet Operating IncomeNet Operating Income Margin
MSA(1)
StoresYTD 2024YTD 2023ChangeYTD 2024YTD 2023ChangeYTD 2024YTD 2023ChangeYTD 2024YTD 2023Change
Portland-Vancouver-Hillsboro, OR-WA52 $44,075 $44,915 (1.9)%$11,334 $10,757 5.4 %$32,741 $34,158 (4.1)%74.3 %76.1 %(1.8)%
Riverside-San Bernardino-Ontario, CA48 53,045 55,574 (4.6)%11,929 11,842 0.7 %41,116 43,732 (6.0)%77.5 %78.7 %(1.2)%
Houston-The Woodlands-Sugar Land, TX37 32,854 33,717 (2.6)%11,565 10,758 7.5 %21,289 22,959 (7.3)%64.8 %68.1 %(3.3)%
Atlanta-Sandy Springs-Alpharetta, GA30 23,414 25,792 (9.2)%6,702 6,406 4.6 %16,712 19,386 (13.8)%71.4 %75.2 %(3.8)%
Dallas-Fort Worth-Arlington, TX27 19,703 20,098 (2.0)%7,266 7,095 2.4 %12,437 13,003 (4.4)%63.1 %64.7 %(1.6)%
Phoenix-Mesa-Chandler, AZ25 22,829 24,804 (8.0)%5,728 6,138 (6.7)%17,101 18,666 (8.4)%74.9 %75.3 %(0.4)%
McAllen-Edinburg-Mission, TX21 18,433 19,393 (5.0)%5,071 5,207 (2.6)%13,362 14,186 (5.8)%72.5 %73.2 %(0.7)%
Oklahoma City, OK20 13,169 13,343 (1.3)%3,612 3,464 4.3 %9,557 9,879 (3.3)%72.6 %74.0 %(1.4)%
Brownsville-Harlingen, TX16 11,472 11,826 (3.0)%3,190 3,214 (0.7)%8,282 8,612 (3.8)%72.2 %72.8 %(0.6)%
San Antonio-New Braunfels, TX15 11,133 11,928 (6.7)%4,152 4,235 (2.0)%6,981 7,693 (9.3)%62.7 %64.5 %(1.8)%
North Port-Sarasota-Bradenton, FL15 17,747 19,390 (8.5)%5,643 5,422 4.1 %12,104 13,968 (13.3)%68.2 %72.0 %(3.8)%
Los Angeles-Long Beach-Anaheim, CA14 23,785 24,910 (4.5)%5,621 5,776 (2.7)%18,164 19,134 (5.1)%76.4 %76.8 %(0.4)%
Colorado Springs, CO14 8,580 8,776 (2.2)%2,844 2,576 10.4 %5,736 6,200 (7.5)%66.9 %70.6 %(3.7)%
San Juan-Bayamón-Caguas, PR14 36,693 35,473 3.4 %7,093 6,723 5.5 %29,600 28,750 3.0 %80.7 %81.0 %(0.3)%
Tulsa, OK13 8,207 8,373 (2.0)%2,400 2,155 11.4 %5,807 6,218 (6.6)%70.8 %74.3 %(3.5)%
Shreveport-Bossier City, LA12 6,248 6,475 (3.5)%2,099 1,976 6.2 %4,149 4,499 (7.8)%66.4 %69.5 %(3.1)%
Austin-Round Rock-Georgetown, TX12 13,484 13,823 (2.5)%4,507 4,146 8.7 %8,977 9,677 (7.2)%66.6 %70.0 %(3.4)%
Las Vegas-Henderson-Paradise, NV12 10,753 11,198 (4.0)%2,689 2,910 (7.6)%8,064 8,288 (2.7)%75.0 %74.0 %1.0 %
New Orleans-Metairie, LA12 8,692 8,836 (1.6)%2,741 2,513 9.1 %5,951 6,323 (5.9)%68.5 %71.6 %(3.1)%
Wichita, KS12 7,079 6,977 1.5 %2,471 2,273 8.7 %4,608 4,704 (2.0)%65.1 %67.4 %(2.3)%
Other MSAs355 302,153 309,675 (2.4)%90,839 86,702 4.8 %211,314 222,973 (5.2)%69.9 %72.0 %(2.1)%
Total/Weighted Average776 $693,548 $715,296 (3.0)%$199,496 $192,288 3.7 %$494,052 $523,008 (5.5)%71.2 %73.1 %(1.9)%
2023 Same Store Pool(2)
723 $647,517 $669,587 (3.3)%$184,406 $177,828 3.7 %$463,111 $491,759 (5.8)%71.5 %73.4 %(1.9)%
2022 Same Store Pool(3)
565 $496,416 $517,770 (4.1)%$138,281 $133,924 3.3 %$358,135 $383,846 (6.7)%72.1 %74.1 %(2.0)%
(1)MSA (Metropolitan Statistical Area) as defined by the United States Census Bureau.
(2)Represents the subset of properties included in the 2024 same store pool that were in NSA's same store pool reported in 2023.
(3)Represents the subset of properties included in the 2024 same store pool that were in NSA's same store pool reported in 2022.
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Supplemental Schedule 6 (continued)
Same Store Performance Summary By MSA(1)
(dollars in thousands, except per square foot data) (unaudited)
Year Ended December 31, 2024 compared to Year Ended December 31, 2023
Rentable Square FeetOccupancy at Period EndAverage OccupancyAverage Annualized Rental Revenue per Occupied Square Foot
MSA(1)
UnitsYTD 2024YTD 2023ChangeYTD 2024YTD 2023ChangeYTD 2024YTD 2023Change
Portland-Vancouver-Hillsboro, OR-WA21,027 2,566,876 87.6 %84.7 %2.9 %88.1 %88.1 %— %$18.89 $19.33 (2.3)%
Riverside-San Bernardino-Ontario, CA26,481 3,606,608 86.2 %86.3 %(0.1)%86.7 %90.3 %(3.6)%16.25 16.39 (0.9)%
Houston-The Woodlands-Sugar Land, TX18,044 2,764,527 85.9 %88.3 %(2.4)%88.0 %91.5 %(3.5)%12.95 12.71 1.9 %
Atlanta-Sandy Springs-Alpharetta, GA14,242 1,991,779 79.9 %81.6 %(1.7)%82.1 %86.8 %(4.7)%13.79 14.50 (4.9)%
Dallas-Fort Worth-Arlington, TX12,344 1,605,800 79.3 %84.6 %(5.3)%83.0 %87.0 %(4.0)%14.23 14.10 0.9 %
Phoenix-Mesa-Chandler, AZ14,750 1,650,300 82.4 %84.3 %(1.9)%83.4 %86.5 %(3.1)%16.02 16.82 (4.8)%
McAllen-Edinburg-Mission, TX9,847 1,462,870 88.8 %90.2 %(1.4)%89.8 %92.4 %(2.6)%13.48 13.97 (3.5)%
Oklahoma City, OK9,185 1,325,077 82.9 %86.8 %(3.9)%86.3 %91.3 %(5.0)%11.04 10.59 4.2 %
Brownsville-Harlingen, TX6,569 943,771 87.9 %90.8 %(2.9)%89.3 %92.7 %(3.4)%13.14 13.43 (2.2)%
San Antonio-New Braunfels, TX6,474 828,790 81.8 %82.9 %(1.1)%83.1 %87.9 %(4.8)%15.41 15.46 (0.3)%
North Port-Sarasota-Bradenton, FL9,407 959,937 90.4 %84.6 %5.8 %86.2 %87.2 %(1.0)%20.68 22.33 (7.4)%
Los Angeles-Long Beach-Anaheim, CA9,759 1,063,489 85.5 %86.7 %(1.2)%86.7 %90.2 %(3.5)%24.78 24.94 (0.6)%
Colorado Springs, CO5,640 707,834 81.4 %83.9 %(2.5)%85.3 %88.8 %(3.5)%13.66 13.45 1.6 %
San Juan-Bayamón-Caguas, PR12,409 1,333,058 90.6 %92.7 %(2.1)%91.4 %93.5 %(2.1)%29.06 27.40 6.1 %
Tulsa, OK6,112 811,904 84.2 %85.3 %(1.1)%85.9 %89.6 %(3.7)%11.20 10.97 2.1 %
Shreveport-Bossier City, LA5,102 669,571 80.1 %86.1 %(6.0)%83.6 %90.1 %(6.5)%10.57 10.25 3.1 %
Austin-Round Rock-Georgetown, TX6,854 917,194 82.5 %85.6 %(3.1)%84.4 %88.2 %(3.8)%16.98 16.98 — %
Las Vegas-Henderson-Paradise, NV6,622 819,130 86.8 %87.2 %(0.4)%86.7 %87.5 %(0.8)%14.48 14.98 (3.3)%
New Orleans-Metairie, LA6,047 679,064 78.7 %82.1 %(3.4)%81.2 %85.3 %(4.1)%15.24 14.79 3.0 %
Wichita, KS4,200 586,926 84.2 %87.6 %(3.4)%87.0 %91.0 %(4.0)%12.99 12.38 4.9 %
Other MSAs175,414 22,267,161 84.0 %85.3 %(1.3)%85.4 %87.9 %(2.5)%15.29 15.28 0.1 %
Total/Weighted Average386,529 49,561,666 84.4 %85.8 %(1.4)%85.8 %88.7 %(2.9)%$15.68 $15.71 (0.2)%
2023 Same Store Pool(2)
357,777 45,938,683 84.5 %86.0 %(1.5)%86.0 %89.1 %(3.1)%$15.77 $15.80 (0.2)%
2022 Same Store Pool(3)
274,462 34,974,459 84.8 %86.0 %(1.2)%86.1 %89.4 %(3.3)%$15.86 $16.02 (1.0)%
(1)MSA (Metropolitan Statistical Area) as defined by the United States Census Bureau.
(2)Represents the subset of properties included in the 2024 same store pool that were in NSA's same store pool reported in 2023.
(3)Represents the subset of properties included in the 2024 same store pool that were in NSA's same store pool reported in 2022.
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Supplemental Schedule 7
Same Store Operating Data (776 Stores) - Trailing Five Quarters
(dollars in thousands, except per square foot data) (unaudited)
4Q 20243Q 20242Q 20241Q 20244Q 2023YTD 2024YTD 2023
Revenue
Rental revenue$164,307 $167,796 $167,930 $167,775 $171,996 $667,808 $690,176 
Other property-related revenue6,380 7,012 6,252 6,096 6,318 25,740 25,120 
Total revenue170,687 174,808 174,182 173,871 178,314 693,548 715,296 
Property operating expenses
Store payroll and related costs12,115 11,791 12,293 12,368 12,169 48,567 49,263 
Property tax expense14,716 14,325 13,910 14,304 13,405 57,255 54,812 
Utilities expense4,840 5,714 4,571 4,855 4,666 19,980 19,653 
Repairs & maintenance expense3,527 3,658 4,012 3,891 3,632 15,088 15,171 
Marketing expense4,509 4,538 4,763 4,419 4,054 18,229 15,790 
Insurance expense2,637 2,555 2,657 2,514 2,596 10,363 9,062 
Other property operating expenses7,493 7,583 7,634 7,304 7,092 30,014 28,537 
Total property operating expenses49,837 50,164 49,840 49,655 47,614 199,496 192,288 
Net operating income$120,850 $124,644 $124,342 $124,216 $130,700 $494,052 $523,008 
Net operating income margin70.8 %71.3 %71.4 %71.4 %73.3 %71.2 %73.1 %
Occupancy at period end84.4 %85.6 %87.0 %85.9 %85.8 %84.4 %85.8 %
Average occupancy85.2 %86.3 %86.4 %85.6 %87.0 %85.8 %88.7 %
Average annualized rental revenue per occupied square foot
$15.56 $15.67 $15.66 $15.80 $15.96 $15.68 $15.71 

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Supplemental Schedule 8
Reconciliation of Same Store Data and Net Operating Income to Net Income
(dollars in thousands) (unaudited)
4Q 20243Q 20242Q 20241Q 20244Q 2023YTD 2024YTD 2023
Rental revenue
Same store portfolio
$164,307 $167,796 $167,930 $167,775 $171,996 $667,808 $690,176 
Non-same store portfolio
6,722 6,671 6,439 12,607 26,697 32,439 103,790 
Total rental revenue
171,029 174,467 174,369 180,382 198,693 700,247 793,966 
Other property-related revenue
Same store portfolio
6,380 7,012 6,252 6,096 6,318 25,740 25,120 
Non-same store portfolio
328 393 305 596 1,184 1,622 4,566 
Total other property-related revenue
6,708 7,405 6,557 6,692 7,502 27,362 29,686 
Property operating expenses
Same store portfolio
49,837 50,164 49,840 49,655 47,614 199,496 192,288 
Non-same store portfolio
2,408 2,548 2,361 5,039 9,214 12,356 36,698 
Total property operating expenses
52,245 52,712 52,201 54,694 56,828 211,852 228,986 
Net operating income125,492 129,160 128,725 132,380 149,367 515,757 594,666 
Management fees and other revenue12,381 11,749 9,522 9,074 9,217 42,726 34,411 
General and administrative expenses(12,629)(13,114)(16,189)(15,674)(14,956)(57,606)(59,281)
Depreciation and amortization(48,153)(47,661)(46,710)(47,331)(53,988)(189,855)(221,993)
Other(3,356)(3,643)(3,375)(3,492)(2,577)(13,866)(11,108)
Interest expense(39,340)(39,575)(37,228)(38,117)(45,441)(154,260)(166,147)
Loss on early extinguishment of debt— (323)— — — (323)(758)
Equity in (losses) earnings of unconsolidated real estate ventures(5,284)(4,712)(4,449)(1,630)2,084 (16,075)7,553 
Acquisition and integration costs(1,465)(1,164)(480)(507)(235)(3,616)(1,659)
Non-operating (expense) income(38)(83)337 98 (590)314 (1,016)
Gain on sale of self storage properties— — 2,668 61,173 63,910 63,841 63,910 
Income tax (expense) benefit(1,477)(863)(541)(886)1,265 (3,767)(1,590)
Net Income$26,131 $29,771 $32,280 $95,088 $108,056 $183,270 $236,988 
22
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Supplemental Schedule 9
Selected Financial Information
(dollars in thousands, except per square foot data) (unaudited)
Three Months Ended December 31,Year Ended December 31,
2024202320242023
Average Annualized Rental Revenue Per Occupied Square Foot
Same store
$15.56 $15.96 $15.68 $15.71 
Total consolidated portfolio
15.47 15.49 15.61 15.24 
Average Occupancy
Same store
85.2 %87.0 %85.8 %88.7 %
Total consolidated portfolio
84.9 %86.4 %85.6 %88.0 %
Total Consolidated Portfolio Capital Expenditures
Recurring capital expenditures
$3,802 $5,659 $12,989 $16,957 
Value enhancing capital expenditures186 520 2,861 6,364 
Acquisitions capital expenditures
233 1,577 1,844 9,649 
Total consolidated portfolio capital expenditures$4,221 $7,756 $17,694 $32,970 
Property Operating Expenses Detail
Store payroll and related costs$12,701 $14,547 $51,675 $58,519 
Property tax expense15,418 16,126 60,893 66,315 
Utilities expense5,068 5,593 21,288 23,440 
Repairs & maintenance expense3,686 4,350 16,044 17,911 
Marketing expense4,721 4,901 19,152 18,995 
Insurance expense2,823 3,051 11,135 10,633 
Other property operating expenses7,828 8,260 31,665 33,173 
Property operating expenses on the Company's statements of operations
$52,245 $56,828 $211,852 $228,986 
General and Administrative Expenses Detail
Supervisory and administrative expenses$2,072 $5,148 $15,639 $21,237 
Equity-based compensation expense1,855 1,651 7,952 6,679 
Other general and administrative expenses8,702 8,157 34,015 31,365 
General and administrative expenses on the Company's statements of operations
$12,629 $14,956 $57,606 $59,281 


23
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Glossary
This Earnings Release and Supplemental Financial Information includes certain financial and operating measures used by NSA management that are not calculated in accordance with accounting principles generally accepted in the United States, or GAAP. NSA's definitions and calculations of these non-GAAP financial and operating measures and other terms may differ from the definitions and methodologies used by other real estate companies and, accordingly, may not be comparable. These non-GAAP financial and operating measures should not be considered an alternative to GAAP net income or any other GAAP measurement of performance and should not be considered an alternative measure of liquidity.
AVERAGE ANNUALIZED RENTAL REVENUE PER OCCUPIED SQUARE FOOT: Average annualized rental revenue per occupied square foot is computed by dividing annualized rental revenue (including fees and net of any discounts and uncollectible customer amounts) by average occupied square feet.
AVERAGE OCCUPANCY: Average occupancy is calculated based on the average of the month-end occupancy immediately preceding the period presented and the month-end occupancies included in the respective period presented.
CAPITAL EXPENDITURES DEFINITIONS
ACQUISITIONS CAPITAL EXPENDITURES: Acquisitions capital expenditures represents the portion of capital expenditures capitalized during the current period that were identified and underwritten prior to a property's acquisition.
RECURRING CAPITAL EXPENDITURES: Recurring capital expenditures represents the portion of capital expenditures that are deemed to replace the consumed portion of acquired capital assets and extend their useful lives.
VALUE ENHANCING CAPITAL EXPENDITURES: Value enhancing capital expenditures represents the portion of capital expenditures that are made to enhance the revenue and value of an asset from its original purchase condition.
EBITDA: NSA defines EBITDA as net income (loss), as determined under GAAP, plus interest expense, loss on early extinguishment of debt, income taxes, depreciation and amortization expense and the Company's share of unconsolidated real estate venture depreciation and amortization. NSA defines ADJUSTED EBITDA as EBITDA plus acquisition costs, integration costs, executive severance costs, equity-based compensation expense, losses on sale of properties, impairment of long-lived assets and casualty-related expenses, losses and recoveries, minus gains on sale of properties and debt forgiveness, and after adjustments for unconsolidated partnerships and joint ventures, including the removal of the non-cash effect of applying hypothetical liquidation at book value (HLBV) for purposes of allocating GAAP net income (loss) for the 2024 Joint Venture. These further adjustments eliminate the impact of items that the Company does not consider indicative of its core operating performance. In evaluating EBITDA and Adjusted EBITDA, you should be aware that in the future the Company may incur expenses that are the same as or similar to some of the adjustments in this presentation. NSA's presentation of EBITDA and Adjusted EBITDA should not be construed as an inference that its future results will be unaffected by unusual or non-recurring items.
NSA presents EBITDA and Adjusted EBITDA because the Company believes they assist investors and analysts in comparing the Company's performance across reporting periods on a consistent basis by excluding items that the Company does not believe are indicative of its core operating performance. EBITDA and Adjusted EBITDA have limitations as an analytical tool. Some of these limitations are:
•EBITDA and Adjusted EBITDA do not reflect the Company's cash expenditures, or future requirements, for capital expenditures, contractual commitments or working capital needs;
•EBITDA and Adjusted EBITDA do not reflect the significant interest expense, or the cash requirements necessary to service interest or principal payments, on the Company's debts;
•although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and EBITDA and Adjusted EBITDA do not reflect any cash requirements for such replacements;
•Adjusted EBITDA excludes equity-based compensation expense, which is and will remain a key element of the Company's overall long-term incentive compensation package, although the Company excludes it as an expense when evaluating its ongoing operating performance for a particular period;
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•EBITDA and Adjusted EBITDA do not reflect the impact of certain cash charges resulting from matters the Company considers not to be indicative of its ongoing operations; and
•other companies in NSA's industry may calculate EBITDA and Adjusted EBITDA differently than NSA does, limiting their usefulness as comparative measures.
NSA compensates for these limitations by considering the economic effect of the excluded expense items independently as well as in connection with the Company's analysis of net income (loss). EBITDA and Adjusted EBITDA should be considered in addition to, but not as a substitute for, other measures of financial performance reported in accordance with GAAP, such as total revenues and net income (loss).
FUNDS FROM OPERATIONS: Funds from operations, or FFO, is a widely used performance measure for real estate companies and is provided here as a supplemental measure of the Company's operating performance. The December 2018 Nareit Funds From Operations White Paper - 2018 Restatement defines FFO as net income (as determined under GAAP), excluding: real estate depreciation and amortization, gains and losses from the sale of certain real estate assets, gains and losses from change in control, mark-to-market changes in value recognized on equity securities, impairment write-downs of certain real estate assets and impairment of investments in entities when it is directly attributable to decreases in the value of depreciable real estate held by the entity, and after adjusting equity in earnings (losses) to reflect the Company's share of FFO in unconsolidated real estate ventures. Distributions declared on subordinated performance units and DownREIT subordinated performance units represent NSA's allocation of FFO to noncontrolling interests held by subordinated performance unitholders and DownREIT subordinated performance unitholders. For purposes of calculating FFO attributable to common shareholders, OP unitholders, and LTIP unitholders, NSA excludes distributions declared on preferred shares and preferred units, and, prior to the internalization of the PRO structure, subordinated performance units and DownREIT subordinated performance units. NSA defines CORE FFO as FFO, as further adjusted to eliminate the impact of certain items that the Company does not consider indicative of its core operating performance. These further adjustments consist of acquisition costs, integration costs, executive severance costs, gains on debt forgiveness, gains (losses) on early extinguishment of debt, casualty-related expenses, losses and related recoveries, and after adjustments for unconsolidated partnerships and joint ventures.
Management uses FFO and Core FFO as key performance indicators in evaluating the operations of NSA's properties. Given the nature of NSA's business as a real estate owner and operator, the Company considers FFO and Core FFO as key supplemental measures of its operating performance that are not specifically defined by GAAP. NSA believes that FFO and Core FFO are useful to management and investors as a starting point in measuring the Company's operational performance because FFO and Core FFO exclude various items included in net income (loss) that do not relate to or are not indicative of the Company's operating performance such as gains (or losses) from sales of self storage properties and depreciation, which can make periodic and peer analyses of operating performance more difficult. NSA's computation of FFO and Core FFO may not be comparable to FFO reported by other REITs or real estate companies.
FFO and Core FFO should be considered in addition to, but not as a substitute for, other measures of financial performance reported in accordance with GAAP, such as total revenues, operating income and net income (loss). FFO and Core FFO do not represent cash generated from operating activities determined in accordance with GAAP and are not a measure of liquidity or an indicator of NSA's ability to make cash distributions. NSA believes that to further understand the Company's performance, FFO and Core FFO should be compared with the Company's reported net income (loss) and considered in addition to cash flows computed in accordance with GAAP, as presented in the Company's consolidated financial statements.
HYPOTHETICAL LIQUIDATION AT BOOK VALUE METHOD OF UNCONSOLIDATED REAL ESTATE VENTURE: Subject to achieving certain performance benchmarks by the non-NSA investor, the distribution rights and priorities set forth in the 2024 Joint Venture agreement may differ from what is reflected by the underlying percentage ownership interest of the venture. Accordingly, NSA allocates GAAP income (loss) for its 2024 Joint Venture utilizing the hypothetical liquidation at book value ("HLBV") method, in which NSA allocates income or loss based on the change in each owners' claim on the net assets of the venture at period end assuming the liquidation of the underlying book value of the venture after adjusting for any distributions or contributions made during such period.
NET DEBT TO ANNUALIZED CURRENT QUARTER ADJUSTED EBITDA: NSA calculates net debt to Adjusted EBITDA as debt financing less cash and cash equivalents (both as reflected on the consolidated balance sheet), divided by annualized current quarter Adjusted EBITDA.
NET OPERATING INCOME:  Net operating income, or NOI, represents rental revenue plus other property-related revenue less property operating expenses. NOI is not a measure of performance calculated in accordance with GAAP.
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NSA believes NOI is useful to investors in evaluating the Company's operating performance because:
•NOI is one of the primary measures used by NSA's management to evaluate the economic productivity of the Company's properties, including the Company's ability to lease its properties, increase pricing and occupancy and control the Company's property operating expenses;
•NOI is widely used in the real estate industry and the self storage industry to measure the performance and value of real estate assets without regard to various items included in net income that do not relate to or are not indicative of operating performance, such as depreciation and amortization, which can vary depending upon accounting methods, the book value of assets, and the impact of NSA's capital structure; and
•NSA believes NOI helps the Company's investors to meaningfully compare the results of its operating performance from period to period by removing the impact of the Company's capital structure (primarily interest expense on the Company's outstanding indebtedness) and depreciation of the cost basis of NSA's assets from its operating results.
There are material limitations to using a non-GAAP measure such as NOI, including the difficulty associated with comparing results among more than one company and the inability to analyze certain significant items, including depreciation and interest expense, that directly affect the Company's net income (loss). NSA compensates for these limitations by considering the economic effect of the excluded expense items independently as well as in connection with the Company's analysis of net income (loss). NOI should be considered in addition to, but not as a substitute for, other measures of financial performance reported in accordance with GAAP, such as total revenues and net income (loss).
NON-SAME STORE PORTFOLIO: Non-same store portfolio comprises those properties that do not meet the Same Store portfolio property definition. 
OPERATING PARTNERSHIP UNITS:  Operating partnership units, or OP Units, are Class A common units of limited partner interest in the Company's operating partnership which are economically equivalent to NSA's common shares. NSA also owns certain of the Company's self storage properties through other consolidated subsidiaries of the Company's operating partnership, which the Company refers to as "DownREIT partnerships." The DownREIT partnerships issue certain units of limited partner or limited liability company interest that are intended to be economically equivalent to the Company's OP units, which the Company defines as DOWNREIT OPERATING PARTNERSHIP UNIT EQUIVALENTS, or DownREIT OP units.
PROs: Participating regional operators, or "PROs", were NSA's experienced regional self storage operators with local operational focus and expertise. Effective July 1, 2024, NSA completed the internalization of its PRO structure. NSA has transitioned the majority of operations in a phased approach, which is expected to continue over the 12 month period following July 1, 2024.
RENTABLE SQUARE FEET: Rentable square feet includes all enclosed self storage units but excludes commercial, residential, and covered parking space.
SAME STORE PORTFOLIO: NSA's same store portfolio is defined as those properties owned and operated on a stabilized basis since the first day of the earliest year presented. The Company considers a property to be stabilized once it has achieved an occupancy rate that is representative of similar properties in the applicable market. NSA excludes any properties sold, expected to be sold or subject to significant changes such as expansions or casualty events which cause the portfolio's year-over-year operating results to no longer be comparable.
SUBORDINATED PERFORMANCE UNITS:  Subordinated performance units, or SP Units, were Class B common units of limited partner interest in the Company's operating partnership. SP units, which were linked to the performance of specific contributed portfolios, were intended to incentivize the Company's former PROs to drive operating performance and support the sustainability of the operating cash flow generated by the contributed self storage properties that the PROs continued to manage on NSA's behalf. Because subordinated performance unit holders received distributions only after portfolio-specific minimum performance thresholds were satisfied, the Company believed SP units played a key role in aligning the interests of the Company's former PROs with NSA and the Company's shareholders. The DownREIT partnerships also issued units of limited partner interest that were intended to be economically equivalent to the Company's SP units, which the Company defines as DOWNREIT SUBORDINATED PERFORMANCE UNIT EQUIVALENTS, or DownREIT SP units. Effective July 1, 2024, in connection with the internalization of the PRO structure, all 11,906,167 outstanding subordinated performance units and DownREIT subordinated performance units were converted into an aggregate of 17,984,787 OP units and DownREIT OP units.
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Equity Research Coverage
BarclaysBMO Capital MarketsBofA Global Research
Brendan LynchJuan SanabriaJeff Spector
212.526.9428312.845.4074646.855.1363
Citi Investment ResearchDeutsche BankEvercore ISI
Eric WolfeOmotayo OkusanyaSamir Khanal / Steve Sakwa
212.816.2640212.250.9284212.888.3796 / 212.446.9462
Green StreetJefferies LLCKeyBanc Capital Markets
Spenser AllawayJonathan PetersenTodd Thomas
949.640.8780212.284.1705917.368.2286
Morgan StanleyRW BairdTruist Securities
Ronald KamdemWes GolladayKi Bin Kim
212.296.8319216.737.7510212.303.4124
UBSWells FargoWolfe Research
Michael GoldsmithEric LuebchowKeegan Carl
212.713.2951312.630.2386646.582.9251


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