United States. The debt-to-equity ratio gives an indication of how much leverage a REIT takes on by comparing outstanding debt to the shareholder equity measured on the company balance sheet. Funds from operations in the first quarter of 2018 were up more than 20% from year-ago levels, and the REIT spent about $145 million on acquisitions of roughly 25 self-storage properties. Even with the share price having climbed substantially, the current $2 per share quarterly payout still works out to a solid 3.7%. For dividend investors, that's been a good philosophy so far. With lower expenses, greater income is available. Rental rates and revenue per available square foot have showed consistent gains, and occupancy rates well above 90% show the high levels of demand for storage space right now. Extra Space Storage is a subsidiary of Extra Space Storage Inc. (NYSE: EXR), a publicly traded REIT and the second largest owner and operator of self-storage properties in the United States. Proven Track Record Having … REITs invest in the majority of real estate property types, including offices, apartment buildings, warehouses, retail centers, medical facilities, data centers, cell towers, infrastructure and hotels. CubeSmart owns 485 stores with 33.8 million rentable square feet, with an occupancy rate of about 90% as of the first quarter of 2018. Extra Space Storage Inc., headquartered in Salt Lake City, Utah, owns and/or operates over 1,850 self-storage properties in 43 states, Washington, D.C. and Puerto Rico. It’s followed by Extra Space Storage with $7.8 billion and CubeSmart with $3.9 billion. 1-202-739-9401 (fax). Most corporate real-estate businesses that aren't REITs have to pay corporate income tax on any net income they bring in. Early in its history, Public Storage saw the potential network effects that could come from pulling together self-storage facilities in different cities under one corporate umbrella, building a brand that those who needed storage space could rely on wherever they lived. As of October 2019, the company owned or operated a total of 1,796 self-storage stores across 40 states, Washington D.C., and Puerto Rico. This puts the company at No. The potential for further share-price growth plus dividend income is a big draw for REIT investors, and self-storage has a lot of promise. Management fees hold the prospect of improving overall profit substantially, and that's led to a bounce for the share price. Investors like the real-estate investment trust structure because it ensures they'll be able to receive the lion's share of any income the REIT generates. The biggest risk among self-storage REITs right now is the threat of over-expansion. CubeSmart has been acquiring properties both outright and through partially owned joint ventures, and the REIT has seen good enough results that it boosted its guidance on earnings and funds from operations for the full year. Also, turnover at self-storage facilities isn't as high as you might expect. As of December 31, 2016, the Company owned and/or … By both owning and operating facilities, Extra Space makes maximum use of its expertise and broadens its options beyond solely company-owned storage facilities. About Extra Space Storage Inc.: Extra Space Storage Inc., headquartered in Salt Lake City, Utah, is a self-administered and self-managed REIT and a member of the S&P 500. Extra Space Storage Inc., a publicly traded self-storage real estate investment trust (REIT) and third-party management firm, raised more than $22,000 for Utah Food Bank (UFB) in December through a one-week virtual drive. It's important to understand that self-storage REITs aren't a perfect investment. As of September 30, 2020, the Company owned and/or operated 1,906 self-storage stores in 40 states, Washington, D.C. and Puerto Rico. Public Storage currently has a consensus rating of "hold," but if demand for self-storage REITs continues to climb, it may be well-suited for a buy-and-hold strategy for the long term. To be a REIT, a company must invest at least 75% of its total assets in real estate of various types. View Extra Space Storage Inc EXR investment & stock information. That tends to remain true regardless of whether the overall economy is strong or weak. See on Scoop.it - BBG Extra Space Storage, Inc. (EXR): REIT investors turn from sector Seeking Alpha The only sectors showing gains in Q3 were self-storage (+7.45%) and hotel (+6.23%) REITs.See on seekingalpha.com Nareit's members are REITs and other businesses … To qualify as a REIT, a company must be organized as a corporation and must have at least 100 shareholders. These REITs all cover self-storage facilities, but they still have differences that distinguish them from each other. Extra Space Storage Inc., headquartered in Salt Lake City, Utah, is a self-administered and self-managed REIT and a member of the S&P 500. By contrast, self-storage facilities can be as simple as inexpensive prefabricated metal buildings on open land on the outskirts of an urban or suburban area. Any remaining after-tax profit is available to the business, either to reinvest in more property, or to return to shareholders through dividends. Always Storage … REITs then take their real-estate holdings and find ways to generate regular income from them, most commonly by leasing out the property to tenants. Another corner of the REIT space that’s hit the mat hard is self-storage: all the major players— Public Storage PSA -0.5% (PSA), ExtraSpace Storage (EXR) and CubeSmart CUBE -0.4% … Get the latest Extra Space Storage Inc EXR detailed stock quotes, stock data, Real-Time ECN, charts, stats and more. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. Combine that with the long-term share-price appreciation that the stock has shown, and Public Storage deserves its reputation as a strong leader in self-storage. Later in this article, we'll reveal five of the top pure-play self-storage REITs available to investors. Nareit's members are REITs and other businesses throughout the world that own, operate, and finance income-producing real estate, as well as those firms and individuals who advise, study, and service those businesses. GUTHRIE — A real estate investment trust has bought Always Storage, an 801-unit self-storage property in Guthrie, paying $4,725,000, county records show. Компания Extra Space Storage Inc. принадлежит к индустрии Недвижимость, REIT - Промышленный, ЗПИФН, и базируется в Соединенных Штатах. With these five selections, you can choose from a well-diversified set of self-storage REITs that can help you round out your income-producing portfolio. › Real Estate Investment Trust (REITs) › Foreign. That gives investors a chance to tailor their exposure to match up with the risks they're willing to take and the opportunities they see in the self-storage space. It's been expanding aggressively, spending billions of dollars to bring its total network to about 910,000 units and 103 million square feet of rentable space. Акции EXR Extra Space Storage Inc. … About Extra Space Storage Inc. EXR's dividend yield, history, payout ratio, proprietary DARS™ rating & much more! With some types of REITs, having substantial portions of space vacant is simply part of the business cycle, and it's worth holding a property empty if it can lead to finding a high-quality tenant that will make a long-term commitment. Extra Space Storage Inc. is a US$16b large-cap, real estate investment trust (REIT) based in Salt Lake City, United States. The rent these tenants pay then comes back to the REIT, which meets the expenses of operating its business and managing the properties. It has more than 550 storage properties located in 29 different U.S. states, and it has about 34 million rentable square feet in its portfolio. Not every company that works with real estate is allowed to set itself up as a real-estate investment trust. As the Fool's Director of Investment Planning, Dan oversees much of the personal-finance and investment-planning content published daily on Fool.com. National Association of Real Estate Investment Trusts® and Nareit® are registered trademarks of the National Association of Real Estate Investment Trusts (Nareit). Historically, the self-storage business was highly fragmented, with local owners typically having, at most, a few locations concentrated within a close distance. Extra Space Storage Inc., headquartered in Salt Lake City, is a fully integrated, self-administered and self-managed real estate investment trust. About Extra Space Storage, Inc. NEW YORK, May 9, 2017 /PRNewswire/ -- On Monday, May 08, 2017, the NASDAQ Composite, the Dow Jones Industrial Average, and the S&P 500 edged higher at the closing bell. When new REITs initially form, they typically obtain capital from investors and seek to build up a portfolio of real-estate properties that fits with the intended purpose for that particular real-estate investment trust, through a combination of acquiring existing properties and constructing new ones. Storage and warehouse properties are in demand. It's similar to net income for regular companies, but it excludes the extensive depreciation that real-estate investment trusts typically have because of their large portfolios of real-estate holdings. Suite 400 Real-estate investment trusts are specifically structured businesses that hold interests in real estate. The company built its first self-storage facility back in 1972, but today, it has almost 2,400 locations in the U.S. as well as more than 220 facilities in seven different nations in Western Europe through its 49% interest in Shurgard Europe. The company has boosted its payout nine times in the past decade, quadrupling its payout since late 2007. Extra Space Storage is a real estate investment trust headquartered in Cottonwood Heights, Utah that invests in self storage units. Same-store revenue and net operating income were both higher by 2.5%, and Life Storage sports an occupancy rate of about 91%. It also must get at least 75% of its gross income either in the form of rental income from real property or from mortgage interest or real-estate sales. Extra Space Storage Inc. is a US$16b large-cap, real estate investment trust (REIT) based in Salt Lake City, United States. In addition, like any REIT, self-storage REITs are vulnerable to interest rate increases. Although demand has been climbing, only about 10% of U.S. households rent self-storage space, according to industry estimates. Within the Hoya Capital Storage REIT Index, we track the five largest self-storage REITs, which account for roughly $65 billion in market value: Public Storage , Extra Space Storage … Public Storage owes its success to its early vision. Millions of people across America have so many things that they need to find places outside of their homes to keep all their stuff. “This property outperformance contributed to better-than-expected FFO growth of 6.1%, […] In an environment in which mall occupancies are declining and technological changes like telecommuting could pose long-term threats to the office and mall REIT spaces, inertia serves self-storage REITs quite well. Its current quarterly payout of $0.30 per share is 12 times the $0.025 per share it paid as recently as late 2010. For instance, the shift in population away from the Rust Belt toward the South is likely to put pressure on self-storage holdings in areas with declining populations while promoting rapid expansion in popular locations. In the first quarter of 2018, net income jumped by more than 60%, and funds from operations were up modestly from year-ago levels. 12/17/20 – Fund manager Elliott Management Corp., which has invested in self-storage real estate investment trust (REIT) Public Storage through two different entities, has publicly pressured … Self-storage REITs own and operate self-storage facilities like rooms, lockers, containers, and outdoor space. It's easy for a homeowner to rent out a storage unit and never even think about it, keeping their stuff there and making monthly payments for years on end. What's left is profit for the REIT. Beyond that point, REITs look like most other businesses, making strategic moves as necessary to capitalize on favorable trends while selling or discontinuing the operation of less successful properties. The pace of Life Storage's historical dividend growth hasn't been quite as impressive as those of some of its peers, but it's still a notable increase. The self-storage real estate investment trust unit initially purchased $150 million of the preferred stock on October 29, 2019. The Company operates, acquires, owns, and develops self-storage facilities and real estate investments. Below are five of the most promising top self-storage REITs for investors to consider. This payout ratio is at a healthy, … REITs that meet the requirements above don't have to pay taxes on their income. Extra Space Storage Inc., a publicly traded self-storage real estate investment trust (REIT) and third-party management firm, raised more than $22,000 for Utah Food Bank (UFB) in December … As Americans have accumulated more possessions over time, and have consequently needed more storage space, Public Storage has become the go-to provider for many of those seeking a place to put their things. Like its competitors, Life Storage has continued growing by acquisition. REITS often make further adjustments to FFO to reflect what income came from regular operations and what came from one-time sales of properties. Yet Extra Space has also rewarded its shareholders with growth. One option available to these companies is to organize themselves as real-estate investment trusts, or REITs, in order to gain some tax advantages over other types of companies. The company is the second largest owner and/or operator of self-storage properties in the U.S. and is the largest self-storage management company in the U.S. Nareit and Leader in the Light Award Winners Virtually Ring The Closing Bell® at the NYSE, Nareit's Leader in the Light Award Winners Share Sustainability Achievements and Goals. With a background as an estate-planning attorney and independent financial consultant, Dan's articles are based on more than 20 years of experience from all angles of the financial world. But with the branding change, Life Storage has been able to add third-party management as a more significant part of its overall business. Self Storage REIT Highlights Extra Space Storage (NYSE: EXR)* • Increased same store revenue a modest 1.4% as compared to the same period in 2016. Search the REIT directory to learn more about individual companies. That compares favorably to the roughly 2% average dividend yield for the stock market as a whole, so it's easy to understand why income-oriented investors might find REITs quite attractive. In particular, there are some specific metrics that apply to REITs that aren't relevant in most other industries, and they play a vital role in judging the relative success of different players in the industry. In addition, the fact that REITs don't have to pay corporate-level tax enables them to pay dividend yields that are often above what a typical corporation would pay. Extra Space Storage is America’s second largest public storage REIT, owning or operating over 1,400 properties in 38 states, Washington DC, and Puerto Rico. Extra Space Storage Inc., a publicly traded self-storage real estate investment trust (REIT) and third-party management firm, has received recognition for its sustainability practices from multiple organizations. After having been off the radar for many investors who saw these facilities as low-rent, low-quality real-estate holdings, self-storage has shown how lucrative it can be, and that's invited more competition. Public Storage has more than 2,500 locations across the U.S. in 38 states and facilities in western Europe. 6 in terms of owners and operators of self-storage facilities in the U.S., and its overall strategy is to take the best regional operators in the business and tie them together with markets that have the best fundamental prospects for growth. CubeSmart aims to make itself the one-stop storage option for all sorts of customers. This figure shows you how REITs compare in terms of the amount of income they're able to generate from their holdings, as well as giving an indication about whether a particular REIT's shares carry a higher valuation than others. No five individuals can own more than 50% of any REIT's shares, and like most corporations, REIT management must be conducted by a board of directors or trustees. Real estate investment trusts, or REITs, can offer passive income opportunities without the everyday burdens that go along with being a … According to JLL’s Self Storage REITS Q3 2020 report, the national self-storage REITs appear to be recovering from the market slow-down caused by the COVID19 pandemic in the early part … Net asset value measures the total current market value of real-estate holdings in the REIT's portfolio, reduced by any outstanding debt. But first, it's important to understand the ins and outs of real-estate investment trusts more broadly and why businesses set themselves up this way. Investors should expect newly built facilities to take time to ramp up to full capacity, but persistent high vacancy rates can indicate poor decision-making in picking a location for the self-storage facility. Think about it: Residential and office buildings have to be built to strict codes to ensure the safety of residents and occupants, and malls and other retail operations have to be attractive enough to draw in shoppers and support the businesses who rent space there. Nareit® is the worldwide representative voice for REITs and publicly traded real estate companies with an interest in U.S. real estate and capital markets. An Extra Space Storage facility in Emeryville, Calif. In its most recent quarter, the REIT posted a nearly 5% rise in core funds from operations, with a better than 2% rise in same-store revenue among more than 2,000 facilities. Extra Space Storage Inc. is a company in the U.S. stock market and it is a holding in 164 U.S.-traded ETFs. For Extra Space Storage, anticipated headwinds from the coronavirus pandemic have shifted to tailwinds. For income investors, Public Storage has been a reliable dividend-payer. Public Storage Lif e Storage Inc CubeSmart Extra Space Natio nal Storage Affiliates $0.00 $0.50 $1.00 $1.50 $2.00 $2.50 $3. Extra Space Storage is a smaller company than Public Storage, but it's been aggressive in its efforts to expand. Dan Caplinger has been a contract writer for the Motley Fool since 2006. At Nareit's kick-off ESG Exchange event of 2021, REIT sustainability leaders were honored for their ESG achievements. Advanced Graph View of Extra Space Storage, Inc. EXR NYSE Advanced Graph View. As rates rise, the interest expense on loans that self-storage REITs borrow to buy or build facilities goes up. Extra Space Storage Inc., a publicly traded self-storage real estate investment trust (REIT) and third-party management firm, raised more than $22,000 for Utah Food Bank (UFB) in December … The buyer was NSA Property Holdings LLC, an affiliate of National Storage Affiliates Trust in Greenwood, Colorado. Self storage real estate investment trusts (REITs) have been excellent investments over the long term. Payout Changes NEW › Dividend Increases › Dividend Initiations › Special Dividends › Dividend Decreases › Dividend Suspensions. Stock Advisor launched in February of 2002. It's also the newcomer of the group, having come public back in 2015. Extra Space Storage Inc. is a fully integrated, self-administered, and self-managed REIT. Find company performance data, corporate information, and recent news. 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