2017 I NVE ST OR PRE SE NT AT I ON 2 L IFE ST O RAG E AT - - PowerPoint PPT Presentation

FO URT H Q UART ER

2017 I NVE ST OR PRE SE NT AT I ON

1

Ove r 700 Store s in 28 Sta te s More tha n 375,000 Custome rs 91.6% Sa me Store Qua rte rly Oc c upa nc y $2.4 Billion Of Ac quisitions In Pa st 2 Ye a rs

(I nc lude s JVs)

$4.2 Billion Ma rke t Ca p 253% 10 Ye a r T

• ta l Re turn

122% Divide nd Inc re a se Ove r Pa st 5 Ye a rs 32 Ye a rs in Se lf- Stora g e Busine ss

L IFE ST O RAG E

AT A GL ANCE

2

Inve stme nt Gra de Ra te d Moody’s: Ba a 2 S&P: BBB 5.6x De bt to E BIT DA

During the la st 21 mo nths, L ife Sto ra g e 's tra nsfo rma tio n ha s e nha nc e d the c o mpa ny's ma rke t po sitio ning , sc a le d the o pe ra ting pla tfo rm a nd stre ng the ne d the b a la nc e she e t. L ife Sto ra g e is we ll po sitio ne d fo r g ro wth a nd is a ttra c tive ly-va lue d he a ding into 2018. Por tfolio T r ansfor mation Gr

• wth Dr

ive r s Ne w Br and Platfor ms F inanc ial Str e ngth Attr ac tive Valuation

L IFE ST O RAG E

NE W BRAND, NE W OPPORT UNI T Y

3 3

Inc re a se d Sc a le & Entra nc e into Fa st G ro wing Ma rke ts Im p ro ve d C o re Me tric s

L IFE ST O RAG E

PORT F OL I O T RANSF ORMAT I ON

4

*F

• rb e s 2017 F

a ste st Gro wing U.S. Citie s

542 706 37.0M 49.6M 290K 393K

Be fo re Afte r Be fo re Afte r Be fo re Afte r Se lf Sto ra g e F a c ilitie s Ne t Re nta b le Sq . F t. Custo me rs

Sa c ra me nto 0 to 11 L a s Ve g a s 0 to 22 L

• s Ang e le s

0 to 12 Austin 17 to 25 Ho usto n 55 to 61 Orla ndo 6 to 12 Bo sto n 10 to 17 Chic a g o 14 to 45 Da lla s/ F

• t. Wo rth

36 to 46

PO RT FO L IO T RANSFO RMAT IO N

E XPANSI ON & E NT RANCE I NT O F AST GROWI NG MARK E T S

5

Re c e nt a c q uisitio ns e xpa nde d the Co mpa ny's fo o tprint into Ca lifo rnia , Ne va da , a nd inc re a se d e xpo sure in I llino is. L ife Sto ra g e no w ha s a sig nific a nt pre se nc e in 20 o f 25 o f the fa ste st g ro wing ma rke ts in the US.*

Quic k F a c ts:

• Upg ra de d a g e , size & q ua lity o f

po rtfo lio

• Stre ng the ne d de mo g ra phic pro file
• I

mpro ve d sc a le a nd pe ne tra tio n in ma ny c o re ma rke ts

• E

nte re d thre e ke y ne w ma rke ts in sc a le

• L
• s Ang e le s
• L

a s Ve g a s

• Sa c ra me nto

+14%

I nc re a se in po pula tio n within 5 mile s

+25%

I nc re a se in Who lly Owne d Sto re s

+30%

I nc re a se in Ne t Re nta b le Sq . F t.

+11%

Ave ra g e Re ve nue Pe r Sto re

6%

De c re a se in Pro pe rty Ag e

+40%

I nc re a se in Clima te Co ntro l

PO RT FO L IO T RANSFO RMAT IO N

I MPROVE D CORE ME T RI CS

6

120+ Non Same - Stor e Pr

• pe r

tie s E xpansion Pr

• pe r

tie s L e ase - up Pr

• pe r

tie s Manage me nt F e e Inc ome Joint Ve ntur e Re ve nue s

L IFE ST O RAG E

GROWT H DRI VE RS

7

G RO WT H DRIVERS

E MBE DDE D GROWT H DRI VE RS

8

I mpro ve d Po rtfo lio NOIa nd NAV

Ac quisitions Re -De ve lopme nt T hir d Pa r ty Ma na g e me nt Joint Ve ntur e s

• 120 pro pe rtie s fro m the

L ife Sto ra g e a c q uisitio n a nd

• the rs will g a in a n
• n-b o a rding b e ne fit fro m the

Co mpa ny’ s pla tfo rms

• T

hre e ne w, de nse ma rke ts (L

• s Ang e le s, L

a s Ve g a s, Sa c ra me nto ) a re e xpe c te d to

• utpe rfo rm c o re po rtfo lio
• Sig nific a nt o pe ra ting ma rg in

g a ins fro m pla tfo rms a nd sc a le e ffic ie nc ie s

• Ong o ing suc c e ss with

e xpa nding a nd e nha nc ing sto re s in e xisting po rtfo lio

• Adds 10-20k sq . ft. o f

pre mium spa c e to suc c e ssful sto re s

• Upg ra de s o ve ra ll

“pre se nc e ” o f the pro pe rtie s

• Re duc e s e ffe c tive a g e
• 20+ ye a r tra c k re c o rd o f

spo nso ring a nd o pe ra ting jo intly o wne d pa rtne rships

• Pro vide s a dditio na l pre se nc e

a nd sc a le in e xisting ma rke ts; sig nific a nt c o st sha ring

• Pro pe rty a nd ma na g e me nt

fe e inc o me

• E

nha nc e s a c q uisitio n pipe line

• Re b ra nding ha s a c c e le ra te d the

Co mpa ny's push into 3rd Pa rty Ma na g e me nt, a llo wing sig nific a nt ra mp-up

• Re ve nue s fro m ma na g e me nt fe e s

g re w 79% in 2017 vs. 2016.

• Pro vide s a dditio na l pre se nc e a nd

sc a le in e xisting ma rke ts; sig nific a nt c o st sha ring

• E

nha nc e s a c q uisitio n pipe line

L e a se -Up Stor e s

• 25 "C o f O" a nd o the r

le a se -up pro pe rtie s will pro vide o ut-size d NOI g ro wth a s the y mo ve to sta b iliza tio n

• T

hre e o f the se will b e a dde d to the sa me sto re po o l in 2018

G RO WT H DRIVERS

120+ NON SAME

• ST

ORE PROPE RT I E S

9

T he Co mpa ny's o pe ra ting pla tfo rms will le nd o utsize d-g ro wth to a sig nific a nt b lo c k o f sto re s a c q uire d in 2016. Ma ny o f the se sto re s e nte r the Co mpa ny's sa me sto re re po rting in 2018, a nd inc lude ma rke ts in Ca lifo rnia a nd Ne va da whe re the Co mpa ny pre vio usly did no t ha ve a pre se nc e .

Re a lize d Ra te pe r Sq . F t. Ave ra g e Re ve nue pe r Sto re Ma rke t Sha re o f Co mpa ny Re ve nue , Be fo re a nd Afte r Re c e nt Ac q uisitio ns Sa me Sto re Ave ra g e 2016 Sta b le Ac q uisitio ns L

• s Ang e le s

L a s Ve g a s Sa c ra me nto Chic a g o

0.0% 3.5% 0.0% 2.3% 3.3% 7.9% 0.0% 2.9%

Be fo re Afte r

$13.31 $14.48 $831,202 $921,975

G RO WT H DRIVERS

NO N SAME-ST O RE: LEG AC Y LIFEST O RAG E PO ISED FO R G RO WT H

10

• Co mb ine d o c c upa nc y o f the “C o f O”, le a se -up a nd sta b ilize d sto re s g re w 6.6% in 2017
• 70 sta b ilize d lo c a tio ns will b e inc lude d in the 2018 sa me sto re po o l, inc luding two ne w hig h g ro wth ma rke ts – Sa c ra me nto

a nd L a s Ve g a s

Q4 2017 Ove r Q4 2016 Pe rforma nc e

Sta b ilize d L e a se -Up Co mb ine d Oc c upa nc y

86.3% 90.6% 60% 80% 100% Q4 '16 Q4 '17 72.6% 86.7% 60% 80% 100% Q4 '16 Q4 '17 84.5% 90.1% 60% 80% 100% Q4 '16 Q4 '17 5.0% 19.4% 6.6%

G RO WT H DRIVERS

E XPANSI ON PROPE RT I E S

11 I nve stme nt Clima te Co ntro l Sq F

• t. Adde d

I nc re me nta l NOIa t Sta b iliza tio n

We ig hing de ma nd indic a to rs & re ve nue po te ntia l, the Co mpa ny re de ve lo ps pro pe rtie s to a dd pre mium spa c e type s. F ifte e n suc h pro je c ts we re c o mple te d in 2017, a nd the Co mpa ny a ntic ipa te s a ppro xima te ly10-20 pro je c ts pe r ye a r in 2018 & 2019. With a n 8%+ yie ld, the se lo w risk inve stme nts in e xisting pro pe rtie s a lso upg ra de the a ppe a ra nc e a nd c usto me r e xpe rie nc e a t the se sto re s.

*Pro je c te d

$30 $35 $40 $45 2017 2018* 350 400 450 500 2017 2018* $3.0 $3.5 $4.0 $4.5 $5.0 2017* 2018* MM MM MM MM

K

MM MM MM

K K K

MM MM

+0.21

I nc re me nta l NOI I mpa c t pe r Sha re * E stima te d Sta b ilize d NOI

$20.7M

G RO WT H DRIVERS

L E ASE

• UP PROPE

RT I E S

T he Co mpa ny do e s no t de ve lo p ne w pro pe rtie s, b ut o c c a sio na lly purc ha se s ne wly b uilt pro pe rtie s o r pro pe rtie s in the e a rly sta g e s o f le a se -up. 25 o f the se le a se -up fa c ilitie s ha ve no t ye t ma de the ir full impa c t o n NOI . I n 2018 a nd o ve r the ne xt fe w ye a rs, the se pro pe rtie s will ha ve a n o utsize d c o ntrib utio n to NOI .

12 Ma rke t Numb e r o f Sto re s Co st Ne t Re nta b le Sq . F t. Oc c upa nc y 12/ 31/ 17 NOI

Chic a g o , I L 11 $ 134,416 866,708 83.5% $ 5,610 Austin, T X 2 12,477 146,976 82.1% 711 Da lla s, T X 2 21,690 127,207 81.9% 750 Pho e nix, AZ 2 17,179 131,858 89.0% 1,220 Bo sto n, MA 1 10,291 63,283 85.4% 406 Bo ulde r, CO 1 8,373 45,986 75.5% 303 Cha rle sto n, SC 1 8,620 70,165 37.2% (51) Cha tta no o g a , T N 1 6,550 57,260 92.7% 510 L

• s Ang e le s, CA

1 18,600 79,375 89.5% 566 Mia mi, F L 1 11,274 69,801 92.1% 605 Sa n Ma rc o s, T X 1 8,353 59,066 80.5% 211 Cha rlo tte , NC 1 12,425 70,118 2.0% (11)

25 $ 270,248 1,787,803 79.3%

10,830

* Ba se d o n the diffe re nc e b e twe e n e stima te d NOI a nd c urre nt NOI , a nd a ssuming 46,541,927 dilute d sha re s.

G RO WT H DRIVERS

T HI RD PART Y MANAGE ME NT

13

Sinc e re b ra nding to L ife Sto ra g e , the Co mpa ny's 3rd pa rty ma na g e me nt re ve nue s g re w b y 79% o n a ye a r

• ve r ye a r b a sis. T

he a dde d sto re s pro vide fo r a dditio na l o pe ra ting sc a le , a nd e xpa nd the a c q uisitio ns pipe line .

Ma na g e me nt F e e I nc o me +41% CAGR (sinc e 2011)

$0.0 $0.5 $1.0 $1.5 $2.0 2010 2011 2012 2013 2014 2015 2016 2017

Pro -Ra ta Sha re o f Jo int Ve nture F F O

G RO WT H DRIVERS

JOI NT VE NT URE RE VE NUE S

Re la tio nships with JV pa rtne rs a llo w L ife Sto ra g e to g ro w its na tio na l fo o tprint, le ve ra g e e xisting re so urc e s, a nd g e ne ra te a dditio na l fe e inc o me with limite d c a pita l c o mmitme nt. Jo int Ve nture F F O pe r Sha re c o ntrib utio n ha s g ro wn fro m ro ug hly $0.04 pe r sha re in 2010 to a n e stima te d $0.16 pe r sha re in 2017.

14 Jo int Ve nture F e e I nc o me

$0 $1 $2 $3 $4 $5 $6 $7 $8

2010 2011 2012 2013 2014 2015 2016 2017

$0 $1 $2 $3 $4 $5 $6 $7

2010 2011 2012 2013 2014 2015 2016 2017

MM MM MM MM MM MM MM MM MM MM MM MM MM MM MM MM MM

T ime line A Name that F its Positive Indic ator s Impr

• ve me nt in Se ar

c h Rankings

L IFE ST O RAG E

A NE W BRAND

15

L IFE ST O RAG E BRAND

T I ME L I NE

16

2015

25 ye a rs a s Unc le Bo b 's Se lf Sto ra g e

Aug . 2016

So vra n is no w L ife Sto ra g e o n NYSE

Ma r. 2017

T ransition to L ife Storage c omple te

• Jul. 2016

So vra n a c q uire s L ife Sto ra g e

Se p. 2016

Unc le Bo b 's b e g ins b ra nd tra nsfo rma tio n

Afte r 25 ye a rs o f b uilding the Unc le Bo b ’ s b ra nd into a le a de r in the industry, the Co mpa ny is no w le ve ra g ing the ir e xpe rie nc e to b uild the L ife Sto ra g e b ra nd.

L IFE ST O RAG E BRAND

A NAME FO R ANY C UST O MER, ANY LIFE EVENT

17

I nc re a se in c lic k-thro ug h ra te s

A c lic k-thro ug h ra te is a me a sure o f impre ssio ns to c lic ks in se a rc h e ng ine re sults. Whe n we 've b e e n sho wn in se a rc h re sults, Unc le Bo b 's a nd L ife Sto ra g e re sults do n't lo o k muc h diffe re nt - the ma in diffe re nc e is the b ra nd na me a nd we b site . Howe ve r

, a s L ife Stor a g e , the Compa ny's c lic k-thr

• ug h r

a te s ha ve inc r e a se d fr

• m 22% to 28% .

F a c e b o o k "L ike s" (F

• llo we rship)

L e ve ra g ing so c ia l me dia fo r b ra nd e xpo sure a nd se a rc h e ng ine o ptimiza tio n is pa rt o f the Co mpa ny's o nline ma rke ting stra te g y. With the L ife Sto ra g e b ra nd, g a ining fo llo we rship ha s b e e n e a sie r - in o ne ye a r a s L ife Sto ra g e o n F a c e b o o k, fo llo we rship ha s inc re a se d 430%. 22% 28% 27k 143k

L IFE ST O RAG E BRAND

PO SIT IVE INDIC AT O RS FO R A NEW BRAND

18

L IFE ST O RAG E BRAND

I MPROVE ME NT I N SE ARCH RANK I NGS

19

Cha rts me a sure a ve ra g e po sitio n in a Go o g le se a rc h re sults fo r the se ve n hig he st-vo lume se a rc h te rms in the industry. Va lue s re pre se nt pla c e me nt in re sults. whe re the to p re sult is 1.

As a ny c o mpa ny unde rg o ing a b ra nd c ha ng e , L ife Sto ra g e fa c e d lo we r Go o g le Se a rc h Ra nking s fo r se ve ra l mo nths po st-tra nsitio n. I n la te Oc to b e r, a dra ma tic impro ve me nt in se a rc h ra nking s b e g a n, a nd c o ntinue s to impro ve ma rke t to ma rke t. T he Co mpa ny's a ve ra g e ra nking po sitio ns in Go o g le Se a rc h Re sults fo r the se ve n hig he st vo lume ke ywo rds in the industry impro ve d to the c o ve te d first pa g e , c urre ntly with a n a ve ra g e ra ting o f six.

T

• p 20 Ma rke ts - Ave ra g e Go o g le Ra nking

3/ 1 4/ 1 5/ 1 6/ 1 7/ 1 8/ 1 9/ 1 10/ 1 10/ 14 10/ 19 10/ 28 11/ 5 12/ 1 1/ 1 2/ 1

30 25 20 15 10 5 1

Re ve nue Manage me nt Marke ting Custome r Care Ce nte r Store Ope rations

L IFE ST O RAG E

OPE RAT I NG PL AT F ORMS

20

REVENUE MANAG EMENT

MAXIMIZE L O NG T ERM REVENUE

21

L ife Sto ra g e ma ximize s lo ng te rm re ve nue b y de ve lo ping , a na lyzing a nd re fining q ua ntita tive pro c e sse s de sig ne d fo r the c ha ra c te ristic s uniq ue to se lf sto ra g e . T he Co mpa ny's Re ve nue Ma na g e me nt Syste m use s da ta to b a la nc e stre e t ra te s, pro mo tio ns a nd in-pla c e ra te inc re a se s while ma ximizing re ve nue .

Da ta c o lle c te d fro m the Co mpa ny’ s sto re s, Custo me r Ca re Ce nte r, a nd we b site , a lo ng with e xte rna l da ta , drive the Co mpa ny's syste ms a nd de c isio n ma king . Pric ing mo de l with a na lyst

• ve rsig ht stra te g ic a lly

a djusts ra te s with c urre nt a nd fo re c a ste d ma rke t tre nds. I nc e ntive s a djust dyna mic a lly in re a l time a nd a re de sig ne d to a ttra c t lo ng -te rm c usto me rs. T a rg e ts c usto me rs with a lo w pro b a b ility o f mo ving

• ut o r with hig h

re pla c e me nt va lue .

Da ta Ra te s Spe c ia ls I n-Pla c e I nc re a se s

T he Go a l

Ma tc h to da ys so phistic a te d & info rme d c usto me r to the ir ide a l spa c e a t the ide a l pric e within the L ife Sto ra g e po rtfo lio .

T he Rig ht Da ta T he Mo de l

Ana lyst pa ra me te rs, pric ing a lg o rithms a nd ma c hine le a rning mo de ls c o mb ine to

• utput pric ing a nd pro mo tio ns.

T he Re sult

Optimize d pric ing a nd pro mo tio ns a ttra c t the rig ht c usto me rs to ma ximize lo ng -te rm re ve nue . Big da ta is tra nsfo rme d,

• rg a nize d a nd distille d to use a s

inputs fo r pric ing mo de ls.

REVENUE MANAG EMENT

RE VE NUE MANAGE ME NT SYST E M

22

REVENUE MANAG MENT

MONI T ORI NG AND ADJUST I NG

23

E xpe rie nc e d pric ing a na lysts use so phistic a te d a na lytic a l to o ls to mo nito r c urre nt stra te g ie s a nd spo t c ha ng ing tre nds q uic kly.

• F
• c us o n a c c ura te fo re c a sting mo de ls a nd a le rts so tha t whe n ma rke t c o nditio ns de via te fro m e xpe c ta tio ns,

a djustme nts a re ma de q uic kly.

• Ne w De ve lo pme nt T

ra c king a pplic a tio n a llo ws a na lysts to sta y a he a d o f ne w supply a nd b uild/ ma inta in

• c c upa nc y whe n a ne w c o mpe tito r o pe ns.

Bra nd Ma rke ting

+

Uppe r F unne l Ma rke ting

+

Se a rc h Ma rke ting

=

Co nve rsio ns

T he Co mpa ny inve sts in a dve rtising a nd spo nso rships in the c o mmunitie s tha t imme dia te ly surro und its fa c ilitie s. T he se pla c e me nts c re a te po sitive , me mo ra b le b ra nd impre ssio ns tha t c re a te fa milia rity a nd influe nc e po te ntia l c usto me rs’ c ho ic e s whe n se a rc hing fo r sto ra g e . 82% o f c usto me rs re se a rc h b e fo re ma king purc ha se s. L ife Sto ra g e e ng a g e s po te ntia l c usto me rs e a rly in the pro c e ss. By le ve ra g ing a rtic le s, vide o s, a nd a ds tha t a ddre ss pre -sto ra g e inte nt, L ife Sto ra g e ta rg e ts po te ntia l c usto me rs with se a rc h, so c ia l me dia , a nd re ma rke ting c a mpa ig ns to intro duc e sto ra g e so lutio ns e a rly. Se a rc h E ng ine s a re the prima ry so urc e o f mo st c o nve rsio ns, a nd the Co mpa ny inve sts stra te g ic a lly in se a rc h e ng ine

• ptimiza tio n te c hniq ue s to

se c ure to p pla c e me nt in se a rc h re sults. T he Co mpa ny a lso le ve ra g e s da ta fro m se a rc h e ng ine a dve rtising to o ptimize c a mpa ig ns with g re a te r pre c isio n a nd e ffic ie nc y. L e ve ra g ing e a c h o f the se c ha nne ls, the Co mpa ny e ng a g e s c usto me rs e a rly, a nd influe nc e s future c ho ic e s. T he stra te g y b ring s in a la rg e r po o l o f po te ntia l c usto me rs tha n se a rc h e ng ine ma rke ting c a n pro vide a lo ne .

MARKET ING

ST RAT E GY AND RE SUL T S

24

OPT I MI ZAT I ON F OR CONVE RSI ON WHE RE I T ’ S NE E DE D

25

Data Analysis

Da ta fro m the Co mpa ny's Re ve nue Ma na g e me nt syste ms a nd Po int o f Sa le syste ms is a na lyze d fo r

• c c upa nc y, ra te a nd inc e ntive

sig na ls. F a c ilitie s a re ta rg e te d b a se d

• n a va ila b ility a nd fa vo ra b le inc e ntive s

a nd ra te s, sig na ling the ne e d to drive mo re inq uirie s to the se lo c a tio ns. L ife Sto ra g e ma rke ting c a mpa ig ns ta rg e t individua ls mo st like ly to re nt a t fa c ilitie s with the mo st a va ila b ility, a nd the n "le a rn" ho w to do it mo re o fte n a nd mo re e ffic ie ntly.

Campaign Optimization

Ca mpa ig n da ta is a na lyze d fo r c o nve rsio n suc c e ss a nd c o st e ffic ie nc y. Ca mpa ig ns a re

• ptimize d to ta rg e t individua ls tha t sho w

simila r se a rc h b e ha vio r.

Campaign T ar ge ting

Se a rc h a dve rtising c a mpa ig ns a re a djuste d, ta rg e ting the fa c ilitie s tha t ne e d mo re inq uirie s with hig he r spe nding . Ca mpa ig ns a re e xpa nde d to c a pture mo re se a rc hing c usto me rs in the imme dia te 2-5 mile ra dius a ro und fa c ilitie s ta rg e te d.

MARKET ING

C UST O MER C ARE C ENT ER

T RAI NI NG F OR SAL E S

26

T he Co mpa ny 's Custo me r Ca re Ce nte r pro vide s sc a la b le a ssista nc e to pro spe c tive c usto me rs lo o king fo r a Co nsulta tive sa le s a ppro a c h. T he Ce nte r a lso pro vide s 24/ 7/ 364 a ssista nc e fo r e xisting L ife Sto ra g e c usto me rs.

100% U.S. b a se d a nd sta ffe d with L ife Sto ra g e e mplo ye e s Custo me rs wa it (o n a ve ra g e ) le ss tha n e ig ht se c o nds to spe a k to a live re pre se nta tive Pro prie ta ry Po int o f Sa le so ftwa re

• inte rna lly de sig ne d, de ve lo pe d

a nd susta ine d Ca re fully mo nito re d, hig h q ua lity sta nda rds a nd e xpe c ta tio ns fo r a ll c usto me r inte ra c tio ns E xa c ting pe rfo rma nc e with a 98%+ Se rvic e L e ve l

ST O RE O PERAT IO NS

PL AT F ORMS

27

L ife Sto ra g e 's fro nt line sto re te a ms a nd ma na g e ria l pe rso nne l a re de dic a te d to e nsuring a n unpa ra lle le d c usto me r e xpe rie nc e .

Re c urring se c re t sho ppe r visits e nsure sto re te a ms a re ma inta ining the hig he st le ve ls o f c usto me r sa tisfa c tio n Co mpre he nsive a nd vig o ro us c o a c hing a nd tra ining pro vide d o n a n o ng o ing b a sis to a ll Sto re T e a ms K e y Pe rfo rma nc e Me tric s drive e xc e ptio na l e mplo ye e pe rfo rma nc e Custo me r Sa tisfa c tio n surve ying , a na lysis a nd pro c e dure fo r fo llo w-up o n c usto me r se rvic e issue s 9 o ut o f 10 c usto me rs wo uld re c o mme nd L ife Sto ra g e to a frie nd (o r do b usine ss with us a g a in)

Gr

• wing Value

We ll Positione d Balanc e She e t Conse r vative F inanc ial Ratios Str

• ng Capital Str

uc tur e

L IFE ST O RAG E

F I NANCI AL ST RE NGT H

28

*As a djuste d **Midpo int o f g uida nc e ***Pro je c te d

Ro b ust F F O* Pe r Sha re Gro wth

FINANC IAL ST RENG T H

GROWI NG VAL UE

29

L ife Sto ra g e is we ll po sitio ne d to c o ntinue c a sh flo w a nd divide nd g ro wth, suppo rte d b y multiple re ve nue drive rs, a fa vo ra b le pa yo ut ra tio , a nd a so lid b a la nc e she e t.

$2.00 $3.00 $4.00 $5.00 $6.00

2010 2011 2012 2013 2014 2015 2016 2017 2018**

$1.00 $1.50 $2.00 $2.50 $3.00 $3.50 $4.00 $4.50

2010 2011 2012 2013 2014 2015 2016 2017 2018***

Stro ng Divide nd Gro wth

2010 2011 2012 2013 2014 2015 2016 2017 2018***

Pa yo ut Ra tio

73.5% 65.5% 54.9% 52.7% 62.2% 64.8% 71.3% 74.4% 74.3%

FINANC IAL ST RENG T H

WELL PO SIT IO NED BALANC E SHEET

30

So lid, unse c ure d b a la nc e she e t with no de b t ma turitie s until 2019, a 7.8 ye a r we ig hte d a ve ra g e de b t te no r, a nd a virtua lly 100% une nc umb e re d a sse t b a se .

De b t Ma turity Sc he d ule

$0 $100 $200 $300 $400 $500 $600 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028

MM MM MM MM MM MM MM

Ba nk T e rm No te s L ine I nstitutio ns Pub lic Bo nd Mo rtg a g e

De b t Se rvic e Co ve ra g e De b t to Gro ss Asse ts

5.6x

De b t/ E BI T DA

4.7x

De b t Se rvic e Co ve ra g e

39%

De b t to Gro ss Asse ts

Se nio r Unse c ure d No te Co ve na nts Re q uire d Ac tua l

*Co ve na nts furthe r de fine d in the Co mpa ny’ s Ba se inde nture a s o f June 20, 2016

FINANC IAL ST RENG T H

C O NSERVAT IVE FINANC IAL RAT I OS

31

L ife Sto ra g e ’ s c o nse rva tive F ina nc ia l Ra tio s pro vide fle xib ility a nd a fa vo ra b le o utlo o k.

2 3 4 5 6

2010 2011 2012 2013 2014 2015 2016 2017

Se nio r Unse c ure d No te Co ve na nts Re q uire d Ac tua l T

• ta l Co nso lida te d De b t to T
• ta l Asse ts

≤ 60%

38.9% T

• ta l Se c ure d De b t to T
• ta l Asse ts

≤ 40%

0.3% T

• ta l Une nc umb e re d Asse ts to T
• ta l Unse c ure d De b t

≥ 150%

249.0% Co nso lida te d Inc o me Ava ila b le fo r De b t Se rvic e to T

• ta l

≥ 1:5 : 1

4:7 : 1

X X X X X 20% 30% 40%

2010 2011 2012 2013 2014 2015 2016 2017

FINANC IAL ST RENG T H

ST RO NG C APIT AL ST RUC T URE

32

T he Co mpa ny ha s a c c e ss to a b ro a d a rra y o f c a pita l re so urc e s, b o th pub lic a nd priva te , c re a ting a n a ttra c tive le ve ra g e pro file tha t suppo rts its g ro wth stra te g y. T he re is sig nific a nt fre e c a sh flo w a fte r Ca pe x a nd divide nd re q uire me nts a re me t.

L iq uidity

Ca sh o n Ha nd $9.2 Millio n

Cre dit Ava ila b le

$395 Millio n

De b t to E nte rprise Va lue

29.5% Re vo lve r 6%

OP Units <1% Unse c ure d No te s 28% Co mmo n Sto c k 70% Mo rtg a g e De b t <1% Re vo lve r 2%

Outpe r for ming Cur r e nt Va lua tion

L IFE ST O RAG E

AT T RACT I VE VAL UAT I ON

33

OUT PE RF ORMI NG CURRE NT VAL UAT I ON

34

Co mpa ra tive ly, impo rta nt me tric s a re imb a la nc e d de spite the Co mpa ny's po sitio n a nd pe rfo rma nc e . T he Co mpa ny is we ll-po sitio ne d fina nc ia lly a nd ha s a po sitive o utlo o k po st-a c q uisitio n, b ut is tra ding a t a va lue pric e . Divide nd Yie ld 2017 & 2018 E BI T DA Multiple

17 F F O Multiple 2017 E BI T DA Multiple

AT T RAC T IVE VAL UAT IO N

4 8 12 16 20 24 CUBE E XR NSA PSA RMZ L SI 2017 & 2018 F F O Multiple 4 8 12 16 20 24 CUBE E XR NSA PSA RMZ L SI

2018 E BI T DA Multiple 2018 E BI T DA Multiple

0% 1% 2% 3% 4% 5% CUBE E XR NSA PSA RMZ L SI 0% 1% 2% 3% 4% 5% 6% 7% CUBE E XR NSA PSA RMZ L SI I mplie d Ca p Ra te

X X X X X X X X X X X X X X

2018 E BI T DA Multiple 2017 E BI T DA Multiple

2017 E BI T DA Multiple 2018 E BI T DA Multiple 2018 E BI T DA Multiple

2018 F F O Multiple 2017 F F O Multiple

N/ A So urc e s: F a c tSe t, SNL , Blo o mb e rg a nd Pub lic F iling s

Pric e d a s o f 2/ 23/ 18

Ove r 700 Store s in 28 Sta te s More tha n 375,000 Custome rs 91.6% Sa me Store Qua rte rly Oc c upa nc y $2.4 Billion Of Ac quisitions In Pa st 2 Ye a rs

(I nc lude s JVs)

$4.2 Billion Ma rke t Ca p 253% 10 Ye a r T

• ta l Re turn

122% Divide nd Inc re a se Ove r Pa st 5 Ye a rs 32 Ye a rs in Se lf- Stora g e Busine ss

L IFE ST O RAG E

AT A GL ANCE

2

Inve stme nt Gra de Ra te d Moody’s: Ba a 2 S&P: BBB 5.6x De bt to E BIT DA

SAFE HARBO R ST AT EMENT

F ORWARD L OOK I NG ST AT E ME NT S

36

T his pre se nta tio n ma y c o nta in fo rwa rd lo o king sta te me nts a s de fine d in Se c tio n 27A o f the Se c uritie s Ac t o f 1933, a nd in Se c tio n 21E

• f the Se c uritie s E

xc ha ng e Ac t o f 1934. F

• rwa rd lo o king sta te me nts a ddre ss ma tte rs tha t a re sub je c t to a numb e r
• f risks a nd unc e rta intie s.

Suc h fa c to rs inc lude , b ut a re no t limite d to , the e ffe c t o f c o mpe titio n fro m ne w se lf sto ra g e fa c ilitie s; the Co mpa ny's a b ility to e va lua te , fina nc e a nd inte g ra te a c q uire d b usine sse s into the Co mpa ny's e xisting o pe ra tio ns; the Co mpa ny’ s a b ility to e nte r ne w ma rke ts whe re it ha s little o r no o pe ra tio na l e xpe rie nc e ; a nd o the r suc h fa c to rs a s se t fo rth in the Co mpa ny's 10-K fo r the ye a r e nde d De c e mb e r 31, 2016 a s file d with the Se c uritie s a nd E xc ha ng e Co mmissio n. T he Co mpa ny is unde r no o b lig a tio n to upda te a ny suc h fo rwa rd lo o king sta te me nts.