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SEGMENT INFORMATION
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
The Company’s segment disclosures present the measure used by the chief operating decision maker (“CODM”) for purposes of assessing each segment’s performance. The Company’s CODM is its Executive Committee (“EC”), which uses net operating income (“NOI”) to assess the performance of the business for the Company’s reportable operating segments. The EC is comprised of the Chief Executive Officer, Chief Financial Officer, Chief Investment Officer, Chief Digital Officer, Chief Strategy and Partnership Officer, Chief Operations Officer, and Chief Legal Officer. The Company’s segments are comprised of two reportable segments: (1) self-storage operations and (2) tenant reinsurance. NOI for the Company’s self-storage operations represents total property revenue less direct property operating expenses. NOI for the Company’s tenant reinsurance segment represents tenant reinsurance revenue less tenant reinsurance expenses.
The Company’s consolidated revenues equal total segment revenues plus management fees and other income. The self-storage operations activities include rental operations of stores that are wholly-owned and in consolidated joint ventures. Tenant reinsurance activities include the reinsurance of risks relating to the loss of goods stored by tenants in the stores operated by the Company. Management fees and other income is excluded from segment revenues and net operating income.
The CODM regularly reviews NOI to assess the performance of each segment and makes decisions about resources to be allocated to each segment. As part of this process, the CODM approves each operating segment’s budget, determines allocation of funds for capital expenditures, and reviews discrete financial information on a quarterly basis. Based on each segment’s budgeted operating revenues and expenses, resources are allocated to each segment, and these budgeted amounts comprising NOI are compared against actual segment performance.
For all periods presented, substantially all of the Company’s real estate assets, intangible assets, other assets, and accrued and other liabilities are associated with the self-storage operations segment. Financial information for the Company’s business segments is set forth below:
For the Three Months Ended June 30,For the Six Months Ended June 30,
2025202420252024
Revenues
Self-Storage Operations$721,004 $697,100 $1,425,384 $1,385,144 
Tenant Reinsurance88,572 83,705 173,284 165,052 
Total segment revenues$809,576 $780,805 $1,598,668 $1,550,196 
Operating expenses
Self-Storage Operations:
Payroll and benefits$45,153 $42,282 $88,899 $85,681 
Marketing18,897 17,763 34,047 34,388 
Office expense36,150 28,886 71,144 58,340 
Property operating expense17,530 16,197 38,755 36,415 
Repairs and maintenance14,282 13,024 30,539 28,235 
Property taxes82,359 66,634 162,243 134,314 
Insurance8,765 8,065 17,197 16,310 
Other segment items (1)
4,485 4,051 8,379 7,737 
Total self-storage operations expenses227,621 196,902 451,203 401,420 
 
Tenant Reinsurance:
Tenant reinsurance expense and other segment items (2)
$16,945 $19,631 $34,061 $38,136 
 
Total segment operating expenses$244,566 $216,533 $485,264 $439,556 
 
Net operating income
Self-Storage Operations$493,383 $500,198 $974,181 $983,724 
Tenant Reinsurance71,627 64,074 139,223 126,916 
Total segment net operating income:$565,010 $564,272 $1,113,404 $1,110,640 
Other components of net income:
Management fees and other income32,042 29,858 62,947 60,006 
General and administrative expense(44,952)(39,901)(90,926)(83,623)
Depreciation and amortization expense(177,266)(194,809)(357,622)(391,775)
Gain (loss) on real estate assets held for sale and sold, net(864)(54,659)34,897 (54,659)
Interest expense (146,128)(137,133)(288,527)(270,020)
Non-cash interest expense related to amortization of discount on unsecured senior notes, net(11,770)(10,853)(23,083)(21,558)
Interest income 41,998 31,226 80,965 54,799 
Equity in earnings and dividend income from unconsolidated real estate entities16,284 17,255 36,215 32,262 
Income tax expense(11,638)(9,844)(20,629)(16,586)
Net income $262,716 $195,412 $547,641 $419,486 
(1) Other segment items for the Self-Storage Operations segment include miscellaneous items such as legal and professional fees, capital expenditures, taxes, and casualty losses.
(2) Tenant reinsurance expense and other segment items for the Tenant Reinsurance segment include claims expense, acquisition costs, claims service fees, and miscellaneous administrative items.