INVESTMENTS IN UNCONSOLIDATED REAL ESTATE ENTITIES (Tables)

6 Months Ended

Jun. 30, 2025

Equity Method Investments and Joint Ventures [Abstract]

Schedule of investments in unconsolidated real estate ventures

Net investments in unconsolidated real estate entities and cash distributions in unconsolidated real estate ventures consist of the following:


	Number of Stores	Equity Ownership %	Excess Profit % (1)	June 30,		December 31,
				2025		2024
PRISA Self Storage LLC	85	4%	4%	$	8,815	$	8,967
HF1 Sovran HHF Storage Holdings LLC	37	49%	49%-59%	302,275		304,526
Storage Portfolio II JV LLC	36	10%	30%	(10,085)		(9,584)
Storage Portfolio IV JV LLC	32	10%	30%	46,626		47,150
Storage Portfolio I LLC	24	34%	49%	(43,951)		(43,803)
ESS CA-TIVS JV LP (2)	—	55%	55%-65%	—		27,217
HF2 Sovran HHF Storage Holdings II LLC	22	49%	49%-59%	113,120		114,034
HF5 Life Storage-HIERS Storage LLC	17	20%	20%	24,842		25,192
HF6 191 V Life Storage Holdings LLC	17	20%	20%	10,175		10,821
PR II EXR JV LLC (3)	—	25%	25%	—		105,909
VRS Self Storage, LLC	16	45%	54%	(18,226)		(17,557)
HF10 Life Storage HHF Wasatch Holdings LLC	16	20%	20%	18,620		19,295
Other unconsolidated real estate ventures (2)	112	10%-50%	10%-50%	309,945		314,852
Strategic Storage Growth Trust III, Inc. Preferred Stock (4)	n/a	n/a	n/a	100,000		—
Strategic Storage Trust VI, Inc. Preferred Stock (5)	n/a	n/a	n/a	150,000		150,000
SmartStop Self Storage REIT, Inc. Preferred Stock (6)	n/a	n/a	n/a	—		200,000
Net Investments in and Cash distributions in unconsolidated real estate entities	414			$	1,012,156	$	1,257,019

Investments in unconsolidated real estate entities				$	1,088,983	$	1,332,338
Cash distributions in unconsolidated real estate ventures				(76,827)		(75,319)
Net Investments in and Cash distributions in unconsolidated real estate entities				$	1,012,156	$	1,257,019

(1) Includes pro-rata equity ownership share and promoted interest.

(2) On April 30, 2025, the Company acquired all of its partners’ membership interests in the ESS-NYFL JV LP and ESS CA-TIVS JV LP joint ventures. The total value of the real estate was recorded at $436,797, which included $258,000 of assumed debt. The Company now owns 100% of the 27 properties that were held in the two joint ventures.

(3) On March 31, 2025, the Company closed on the transfer and distribution of membership interests in its PR II EXR JV LLC joint venture. The Company exchanged its 25% ownership interest in 17 properties for its partner’s 75% ownership interest in six properties. The portfolio consisted of 23 properties; therefore, the Company now owns 100% of the six properties, and its partner now owns 100% of the 17 properties.

(4) On February 4, 2025, the Company invested $100,000 in shares of newly issued convertible preferred stock of Strategic Storage Growth Trust III, Inc., an affiliate of SmartStop. The dividend rate for the preferred shares is 8.85% per annum, subject to increase after five years. The preferred shares are generally not redeemable for five years, except in the case of a change of control or initial listing, and are redeemable thereafter subject to a redemption premium. Dividend income from this investment is included on the equity in earnings and dividend income from unconsolidated real estate entities line on the Company’s condensed consolidated statements of operations.

(5) In May 2023, the Company invested $150,000 in shares of convertible preferred stock of Strategic Storage Trust VI, Inc. with a dividend rate of 8.35% per annum, subject to increase after five years. The preferred shares are generally not redeemable for three years, except in the case of a change of control or initial listing of Strategic Storage. Dividend income from this investment is included on the equity in earnings and dividend income from unconsolidated real estate entities on the Company’s condensed consolidated statements of operations.

(6) In October 2019, the Company invested $200,000 in shares of convertible preferred stock of SmartStop with a dividend rate of 7.00% per annum as of October 2024. Dividend income from this investment is included on the equity in earnings and dividend income from unconsolidated real estate entities line on the Company’s condensed consolidated statements of operations. On April 4, 2025, the Company was repaid its $200,000 preferred equity investment in SmartStop.