graphic graphic

2020 Annual Report

Innovating for a better tomorrow

Portfolio

“Extra Space has taken one of real estate’s most durable sectors and made it even more resilient . We purposefully built our highly diversified portfolio, to have exposure to many high-growth primary and secondary markets. We have no single key property, market, tenant, demographic, or partner that substantially impacts our results, positioning us to provide steady long-term growth.”

We are a self-storage pure-play, and our portfolio includes over 1,900 locations and counting. Storage is a need-based product and years of customer data shows us that people from every walk of life and in every demographic have use for self-storage. While our demand drivers are too numerous to count, we have found that the one thing our customers usually have in common is that they are going through a life transition. Whether it is moving, renovating, downsizing, or making room for a home office – the transitions in life often require extra space. While the triggers for those transitions may vary with economic changes, the result has been steady demand.

Extra Space enhances the stability of storage by choosing to have a diverse portfolio specifically designed to decrease volatility. We operate in all of the 50 largest metropolitan statistical areas and have stores in 40 states, Washington D.C. and Puerto Rico. This diversification reduces the impact of individual market volatility and helps create steady portfolio returns.

Graphic
graphic graphic

  • 94.8%
    Same-Store Occupancy at Year-End

  • 149
    million square feet

  • 1921
    stores

This consistency has historically given self-storage, and specifically Extra Space a reputation for being a recession-resilient investment. This was proven to be true yet again in 2020. After a temporary interruption in demand due to stay-at-home orders, steady rental activity and muted vacate activity resulted in the highest average same-store occupancy our company has ever seen, ending the year at 94.8%, 240 basis points higher than 2019. High occupancies led to steady street rate growth in the back half of the year, and delinquencies remained in-check despite disruption from the pandemic.

Hover to view locations

  • Northwest

    44

    2%

  • California

    278

    14%

  • Hawaii

    17

    1%

  • Texas

    187

    10%

  • Southeast

    222

    12%

  • Northeast

    314

    16%

  • Mid-Atlantic

    202

    10%

  • Florida & P.R.

    229

    12%

  • EXR PRESENCE

  • NO PRESENCE

Ownership Structure

Additionally, our portfolio ownership structure is unique in that 49% of our stores are wholly-owned by Extra Space, 13% are held in joint ventures and 38% are managed on behalf of third-party owners. This structure allows for flexibility and stability, and gives us multiple avenues for growth, while allowing for investments to range from capital-light expansions or more significant acquisitions. Additionally, it gives us relationships with over 200 partner groups of different sizes and in different locations which we find invaluable. Altogether, our portfolio ownership structure gives us economies of scale, additional market control and insights, and increases our yields.

Redevelopment

We have a robust redevelopment program aimed to enhance net operating income (NOI) at existing properties by increasing the net rentable square feet and optimizing unit mix. These redevelopments also come with the additional benefits of stores getting a fresh, on-brand facelift; turning older properties into modern, inviting space, that will be competitive in the market for years to come. We continually review our portfolio and identify opportunities to invest in properties today, to improve performance in the future.