Extra Space Storage Inc. Reports 2017 Third Quarter Results

SALT LAKE CITY, Nov. 1, 2017

Highlights for the three months ended September 30, 2017:

• Achieved net income attributable to common stockholders of $0.74 per diluted share, representing a 20.4% decrease compared to the same period in 2016.
• Achieved funds from operations attributable to common stockholders and unit holders ("FFO") of $1.09 per diluted share. Excluding non-cash interest and property losses and tenant reinsurance claims due to hurricanes, FFO as adjusted was $1.13 per diluted share, representing a 10.8% increase compared to the same period in 2016.
• Increased same-store revenue by 4.8% and same-store net operating income ("NOI") by 5.5% compared to the same period in 2016.
• Reported same-store occupancy of 93.9% as of September 30, 2017, compared to 92.5% as of September 30, 2016.
• Acquired three operating stores and one store at completion of construction (a "Certificate of Occupancy store") for a total purchase price of approximately $31.8 million.
• Acquired one Certificate of Occupancy store with a joint venture partner for a total purchase price of approximately $8.8 million.
• Paid a quarterly dividend of $0.78 per share.

Highlights for the nine months ended September 30, 2017:

• Achieved net income attributable to common stockholders of $2.07 per diluted share, representing a 7.6% decrease compared to the same period in 2016.
• Achieved FFO of $3.20 per diluted share. Excluding non-cash interest and property losses and tenant reinsurance claims due to hurricanes, FFO as adjusted was $3.26 per diluted share, representing a 16.0% increase compared to the same period in 2016.
• Increased same-store revenue by 5.2% and same-store NOI by 7.4% compared to the same period in 2016.
• Acquired six operating stores and two Certificate of Occupancy stores for a total purchase price of approximately $75.7 million.
• Acquired four Certificate of Occupancy stores with joint venture partners for a total purchase price of approximately $40.9 million.

Joe Margolis, CEO of Extra Space Storage Inc., commented: "I am proud of the efforts and sacrifices our team made to take care of our customers, fellow employees and our stores during three hurricanes in the quarter.  In the midst of these tragic events, we had strong execution this quarter and posted another solid result.  We increased rental rates and gained occupancy by 140 basis points in the same-store pool.  This led to same-store revenue growth of 4.8%, NOI growth of 5.5% and FFO as adjusted growth of 10.8%."