Form: 8-K

Current report filing

August 5, 2024


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Table of Contents
Page
Earnings Release
Consolidated Statements of Operations
Consolidated Balance Sheets
Schedule 1 - Funds From Operations and Core Funds From Operations
Schedule 2 - Other Non-GAAP Financial Measurements
Schedule 3 - Portfolio Summary
Schedule 4 - Debt and Equity Capitalization
Schedule 5 - Summarized Information for Unconsolidated Real Estate Ventures
Schedule 6 - Same Store Performance Summary By MSA
Schedule 7 - Same Store Operating Data - Trailing Five Quarters
Schedule 8 - Reconciliation of Same Store Data and Net Operating Income to Net Income
Schedule 9 - Selected Financial Information
Glossary



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August 5, 2024
National Storage Affiliates Trust Reports Second Quarter 2024 Results
GREENWOOD VILLAGE, Colo. - (BUSINESS WIRE) - National Storage Affiliates Trust ("NSA" or the "Company") (NYSE: NSA) today reported the Company’s second quarter 2024 results.
Second Quarter 2024 Highlights
Reported net income of $32.3 million for the second quarter of 2024, a decrease of 29.0% compared to the second quarter of 2023. Reported diluted earnings per share of $0.16 for the second quarter of 2024 compared to $0.28 for the second quarter of 2023.
Reported core funds from operations ("Core FFO") of $71.2 million, or $0.62 per share for the second quarter of 2024, a decrease of 8.8% per share compared to the second quarter of 2023.
Reported a decrease in same store net operating income ("NOI") of 5.6% for the second quarter of 2024 compared to the same period in 2023, driven by a 2.8% decrease in same store total revenues and an increase of 4.8% in same store property operating expenses.
Reported same store period-end occupancy of 87.0% as of June 30, 2024, a decrease of 280 basis points compared to June 30, 2023.
Acquired three wholly-owned self storage properties for approximately $25.2 million during the second quarter of 2024.
Repurchased 1,908,397 of the Company's common shares for approximately $71.6 million under the Company's previously announced share repurchase program.
Highlights Subsequent to Quarter-End
Effective July 1, 2024 (the "Closing Date"), the Company completed the internalization of its participating regional operator ("PRO") structure. As a result, the Company purchased the PROs' management contracts, and in some cases, their brand names, related intellectual property and certain rights to the PROs' tenant insurance programs. As of the Closing Date, the Company will no longer pay supervisory and administrative fees or reimbursements under the previous agreements with the PROs. The Company plans to transition the majority of operations in a phased approach, which is expected to occur over the 12 month period following the Closing Date, and the Company has executed new asset management and property management agreements with a number of the PROs for all or a part of this transitionary period at newly negotiated management fees. In connection with the internalization, on July 1, 2024, 11,906,167 subordinated performance units and DownREIT subordinated performance units converted into 17,984,787 OP units and DownREIT OP units.
On July 29, 2024, the Company repaid in full the remaining $145.0 million of Term Loan Tranche B using the revolving line of credit.
On July 30, 2024, a joint venture between a subsidiary of NSA and a state pension fund advised by Heitman Capital Management, LLC (the "2023 Joint Venture") acquired a portfolio of five self storage properties for approximately $71.9 million. The venture financed the acquisition with capital contributions from the venture members, of which the Company contributed approximately $18.0 million.
David Cramer, President and Chief Executive Officer, commented, “We are focused on the internalization of the PRO structure that we announced in early June and closed on July 1st. We’ve made significant progress on our strategic initiatives over the past few quarters, including the sale of non-core assets, repayment of floating rate debt, formation of two new joint ventures, repurchase of common shares, and now the internalization of the PRO structure, all of which position NSA for growth going forward. I'd like to acknowledge and thank our PROs and the NSA team members for the significant time and effort that they have devoted to these initiatives as well as our People, Process and Platform projects, which we expect will significantly benefit our results going forward.”
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Mr. Cramer further commented, “We continue to feel pressure on operating results in this very competitive environment due to factors including less demand as a result of a muted housing market and the absorption of new supply, which is felt most prominently in the Sunbelt markets. We believe that these pressures will remain throughout the back half of the year. We also acknowledge that the transition of the PRO-managed stores creates an additional lift for our team in the near-term. We are acutely focused on navigating today’s challenges and remain well-positioned to benefit when sector headwinds subside.”
Financial Results
($ in thousands, except per share and unit data)
Three Months Ended June 30, Six Months Ended June 30,
2024 2023 Growth 2024 2023 Growth
Net income $ 32,280  $ 45,476  (29.0) % $ 127,368  $ 85,868  48.3  %
Funds From Operations ("FFO")(1)
$ 70,118  $ 88,478  (20.8) % $ 142,012  $ 172,744  (17.8) %
Add back acquisition costs
480  239  100.8  % 987  1,083  (8.9) %
Add integration and executive severance costs(2)
626  —  —  % 626  —  —  %
Subtract casualty-related recoveries(3)
—  (522) —  % —  (522) —  %
Add loss on early extinguishment of debt
—      % —  758    %
Core FFO(1)
$ 71,224  $ 88,195  (19.2) % $ 143,625  $ 174,063  (17.5) %
Earnings per share - basic and diluted $ 0.16  $ 0.28  (42.9) % $ 0.85  $ 0.56  51.8  %
FFO per share and unit(1)
$ 0.61  $ 0.68  (10.3) % $ 1.20  $ 1.32  (9.1) %
Core FFO per share and unit(1)
$ 0.62  $ 0.68  (8.8) % $ 1.22  $ 1.34  (9.0) %
(1)
Non-GAAP financial measures, including FFO, Core FFO and NOI, are defined in the Glossary in the supplemental financial information and, where appropriate, reconciliations of these measures and other non-GAAP financial measures to their most directly comparable GAAP measures are included in the Schedules to this press release and in the supplemental financial information.
(2) Integration and executive severance costs are recorded within the line items "General and administrative expenses" and "Non-operating income (expense)" in our condensed consolidated statements of operations. Integration costs relate to expenses incurred as a part of the internalization of the PRO structure.
(3) Casualty-related recoveries relate to casualty-related expenses incurred during 2022 and are recorded in the line item "Other" within operating expenses in our consolidated statements of operations.
Net income decreased $13.2 million for the second quarter of 2024 and increased $41.5 million for the six months ended June 30, 2024 ("year-to-date") as compared to the same periods in 2023. The decrease in net income in the second quarter of 2024 was primarily due to a decrease in NOI, primarily driven by (i) the sale of 32 self storage properties to a third party in December 2023, (ii) the contribution of 56 self storage properties to a joint venture between a subsidiary of NSA and a subsidiary of Heitman Capital Management, LLC (the "2024 Joint Venture"), in the first quarter of 2024, and (iii) the sale of 40 self storage properties to third parties in the six months ended June 30, 2024, partially offset by decreases in depreciation expense of $10.0 million and interest expense of $2.5 million. The year-to-date increase in net income resulted primarily from the gain on the sale of 40 self storage properties to third parties and 56 self storage properties contributed to the 2024 Joint Venture during the six months ended June 30, 2024.
The decreases in FFO and Core FFO for the second quarter of 2024 and year-to-date were the result of a decrease in NOI of 14.1% and 11.3%, respectively, which were partially offset by a decrease in interest expense of 6.2% and 3.0%, respectively, as compared to the same periods in 2023. The decrease in FFO and Core FFO per share and unit for the second quarter of 2024 and year-to-date was largely driven by a decrease in same store NOI and an increase in general and administrative expenses.
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Same Store Operating Results (776 Stores)
($ in thousands, except per square foot data)
Three Months Ended June 30, Six Months Ended June 30,
2024 2023 Growth 2024 2023 Growth
Total revenues
$ 174,182  $ 179,243  (2.8) % $ 348,053  $ 355,771  (2.2) %
Property operating expenses
49,840  47,576  4.8  % 99,495  95,108  4.6  %
Net Operating Income (NOI)
$ 124,342  $ 131,667  (5.6) % $ 248,558  $ 260,663  (4.6) %
NOI Margin 71.4  % 73.5  % (2.1) % 71.4  % 73.3  % (1.9) %
Average Occupancy
86.4  % 89.6  % (3.2) % 86.0  % 89.5  % (3.5) %
Average Annualized Rental Revenue Per Occupied Square Foot
$ 15.66  $ 15.57  0.6  % $ 15.73  $ 15.50  1.5  %
Year-over-year same store total revenues decreased 2.8% for the second quarter of 2024 and 2.2% year-to-date as compared to the same period in 2023. The decrease for the second quarter was driven primarily by a 320 basis point decrease in average occupancy, partially offset by a 0.6% increase in average annualized rental revenue per occupied square foot. The year-to-date same store total revenue decrease was driven primarily by a 350 basis point decrease in average occupancy, partially offset by a 1.5% increase in average annualized rental revenue per occupied square foot. Markets which generated above portfolio average same store total revenue growth for the second quarter of 2024 include: San Juan, Wichita and New Orleans. Markets which generated below portfolio average same store total revenue growth for the second quarter of 2024 include: Atlanta, Phoenix and Sarasota-Bradenton.
Year-over-year same store property operating expenses increased 4.8% for the second quarter of 2024 and 4.6% year-to-date as compared to the same periods in 2023. The increases primarily resulted from increases in marketing and insurance expense.
Disposition and Investment Activity
During the second quarter, NSA invested $25.2 million in the acquisition of three self storage properties completed under a 1031 exchange, consisting of approximately 200,000 rentable square feet configured in approximately 1,300 storage units. Total consideration for these acquisitions included approximately $25.1 million of net cash and the assumption of approximately $0.1 million of other liabilities.
During the second quarter, NSA sold one self storage property, consisting of approximately 155,000 rentable square feet configured in approximately 1,000 storage units for approximately $8.0 million.
On July 1, 2024, as part of the internalization of the PRO structure, the Company paid consideration in cash and equity for the purchase of the PRO management contracts and, in some cases, their brand names and related intellectual property at a value of approximately $34.6 million and to acquire certain rights with respect to each PROs' tenant insurance programs at a value of approximately $60.3 million. The total cash and equity consideration for these transactions consisted of approximately $32.6 million in cash and the issuance of 1,548,866 OP units. On June 28, 2024, NSA repurchased 194,888 subordinated performance units for approximately $8.5 million in cash in connection with the PRO structure internalization.
Balance Sheet
During the second quarter, NSA repurchased 1,908,397 of the Company's common shares for approximately $71.6 million under the previously approved share repurchase program.
Common Share Dividends
On May 16, 2024, NSA's Board of Trustees declared a quarterly cash dividend of $0.56 per common share. The second quarter 2024 dividend was paid on June 28, 2024 to shareholders of record as of June 14, 2024.
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2024 Guidance
The following table outlines NSA's updated and prior Core FFO guidance estimates and related assumptions for the year ended December 31, 2024. The Company's revisions to Core FFO guidance estimates are primarily driven by lower same store growth assumptions. Certain line items in the table below have been adjusted for the impact of the internalization of the PRO structure, such as general and administrative expenses, management fees and other revenue, and subordinated performance unit distributions. Additionally, the Core FFO per share guidance incorporates an estimated weighted average share count of approximately 135.0 million beginning July 1, 2024, or approximately 126.6 million for the full year 2024.
Current Ranges for
Full Year 2024
Prior Ranges for
Full Year 2024
Actual Results for Full Year 2023
Low High Low High
Core FFO per share(1)
$2.36 $2.44 $2.40 $2.56 $2.69
Same store operations(2)
Total revenue growth
(3.75)% (2.25)% (4.0)% 0.0% 2.4%
Property operating expenses growth
3.5% 5.0% 3.0% 5.0% 4.7%
NOI growth
(6.5)% (4.5)% (6.0)% (2.0)% 1.6%
General and administrative expenses
General and administrative expenses (excluding equity-based compensation), in millions
$50.0 $52.0 $54.5 $56.5 $52.6
Equity-based compensation, in millions $7.75 $8.25 $7.25 $7.75 $6.7
Management fees and other revenue, in millions
$39.5 $41.5 $32.0 $34.0 $34.4
Core FFO from unconsolidated real estate ventures, in millions
$22.0 $24.0 $23.5 $25.5 $24.6
Subordinated performance unit distributions, in millions
$21.6 $21.6 $40.0 $44.0 $49.0
Acquisitions of self storage properties, in millions $100.0 $300.0 $100.0 $300.0 $229.5
Current Ranges for
Full Year 2024
Prior Ranges for
Full Year 2024
Low High Low High
Earnings per share - diluted $1.10 $1.17 $1.31 $1.48
Impact of the difference in weighted average number of shares and GAAP accounting for noncontrolling interests, two-class method and treasury stock method
0.18 0.11 0.05 (0.01)
Add real estate depreciation and amortization
1.45 1.49 1.57 1.66
Add (subtract) equity in losses (earnings) of unconsolidated real estate ventures 0.11 0.13 0.11 0.09
Add NSA's share of FFO of unconsolidated real estate ventures 0.17 0.19 0.20 0.22
FFO attributable to subordinated unitholders
(0.17) (0.17) (0.34) (0.38)
Less gain on sale of self storage properties
(0.50) (0.50) (0.51) (0.51)
Add integration and executive severance costs 0.01 0.01
Add acquisition costs and NSA's share of unconsolidated real estate venture acquisition costs
0.01 0.01 0.01 0.01
Core FFO per share and unit
$2.36 $2.44 $2.40 $2.56
(1) The table above provides a reconciliation of the range of estimated earnings per share - diluted to estimated Core FFO per share and unit.
(2) 2024 guidance reflects NSA's 2024 same store pool comprising 776 stores. 2023 actual results reflect NSA's 2023 same store pool comprising 724 stores.
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Supplemental Financial Information
The full text of this earnings release and supplemental financial information, including certain financial information referenced in this release, are available on NSA's website at http://ir.nationalstorageaffiliates.com/quarterly-reporting and as exhibit 99.1 to the Company's Form 8-K furnished to the SEC on August 5, 2024.
Non-GAAP Financial Measures & Glossary
This press release contains certain non-GAAP financial measures. These non-GAAP measures are presented because NSA's management believes these measures help investors understand NSA's business, performance and ability to earn and distribute cash to its shareholders by providing perspectives not immediately apparent from net income (loss). These measures are also frequently used by securities analysts, investors and other interested parties. The presentations of FFO, Core FFO and NOI in this press release are not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. In addition, NSA's method of calculating these measures may be different from methods used by other companies, and, accordingly, may not be comparable to similar measures as calculated by other companies that do not use the same methodology as NSA. These measures, and other words and phrases used herein, are defined in the Glossary in the supplemental financial information and, where appropriate, reconciliations of these measures and other non-GAAP financial measures to their most directly comparable GAAP measures are included in the Schedules to this press release and in the supplemental financial information.
Quarterly Teleconference and Webcast
The Company will host a conference call at 1:00 pm Eastern Daylight Time on Tuesday, August 6, 2024 to discuss its second quarter 2024 financial results. At the conclusion of the call, management will accept questions from certified financial analysts. All other participants are encouraged to listen to a webcast of the call by accessing the link found on the Company's website at www.nationalstorageaffiliates.com.
Conference Call and Webcast:
Date/Time: Tuesday, August 6, 2024, 1:00 pm EDT
Webcast available at: www.nationalstorageaffiliates.com
Domestic (Toll Free US & Canada): 877.407.9711
International: 412.902.1014
A replay of the webcast will be available for 30 days on NSA's website at www.nationalstorageaffiliates.com.
Upcoming Industry Conference
NSA management is scheduled to participate in the upcoming 2024 BofA Securities Global Real Estate Conference on September 10-11, 2024, in New York City, New York.

About National Storage Affiliates Trust
National Storage Affiliates Trust is a real estate investment trust headquartered in Greenwood Village, Colorado, focused on the ownership, operation and acquisition of self storage properties predominantly located within the top 100 metropolitan statistical areas throughout the United States. As of June 30, 2024, the Company held ownership interests in and operated 1,052 self storage properties located in 42 states and Puerto Rico with approximately 68.8 million rentable square feet. NSA is one of the largest owners and operators of self storage properties among public and private companies in the United States. For more information, please visit the Company’s website at www.nationalstorageaffiliates.com. NSA is included in the MSCI US REIT Index (RMS/RMZ), the Russell 1000 Index of Companies and the S&P MidCap 400 Index.
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NOTE REGARDING FORWARD LOOKING STATEMENTS
Certain statements contained in this press release constitute forward-looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are intended to be covered by the safe harbor provided by the same. Forward-looking statements are subject to substantial risks and uncertainties, many of which are difficult to predict and are generally beyond the Company's control. These forward-looking statements include information about possible or assumed future results of the Company's business, financial condition, liquidity, results of operations, plans and objectives. Changes in any circumstances may cause the Company's actual results to differ significantly from those expressed in any forward-looking statement. When used in this release, the words "believe," "expect," "anticipate," "estimate," "plan," "continue," "intend," "should," "may" or similar expressions are intended to identify forward-looking statements. Statements regarding the following subjects, among others, may be forward-looking: market trends in the Company's industry, interest rates, inflation, the debt and lending markets or the general economy; the Company's business and investment strategy; the acquisition of properties, including those under contract and the Company's ability to execute on its acquisition pipeline; the timing of acquisitions under contract; and the Company's guidance estimates for the year ended December 31, 2024. For a further list and description of such risks and uncertainties, see the Company's most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K filed with the Securities and Exchange Commission, and the other documents filed by the Company with the Securities and Exchange Commission. The forward-looking statements, and other risks, uncertainties and factors are based on the Company's beliefs, assumptions and expectations of its future performance, taking into account all information currently available to the Company. Forward-looking statements are not predictions of future events. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Contact:
National Storage Affiliates Trust
Investor/Media Relations
George Hoglund, CFA
Vice President - Investor Relations
720.630.2160
ghoglund@nsareit.net
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National Storage Affiliates Trust
Consolidated Statements of Operations
(in thousands, except per share amounts)
(unaudited)
Three Months Ended June 30, Six Months Ended June 30,
2024 2023 2024 2023
REVENUE
Rental revenue $ 174,369  $ 199,311  $ 354,751  $ 393,440 
Other property-related revenue 6,557  7,613  13,249  14,420 
Management fees and other revenue 9,522  8,587  18,596  15,644 
Total revenue 190,448  215,511  386,596  423,504 
OPERATING EXPENSES
Property operating expenses 52,201  57,094  106,895  113,577 
General and administrative expenses 16,189  14,404  31,863  29,225 
Depreciation and amortization 46,710  56,705  94,041  112,163 
Other 3,375  3,220  6,867  4,393 
Total operating expenses 118,475  131,423  239,666  259,358 
OTHER INCOME (EXPENSE)
Interest expense (37,228) (39,693) (75,345) (77,641)
Loss on early extinguishment of debt —  —  —  (758)
Equity in (losses) earnings of unconsolidated real estate ventures
(4,449) 1,861  (6,079) 3,539 
Acquisition costs (480) (239) (987) (1,083)
Non-operating income (expense) 337  196  435  (402)
Gain on sale of self storage properties 2,668  —  63,841  — 
Other expense, net (39,152) (37,875) (18,135) (76,345)
Income before income taxes 32,821  46,213  128,795  87,801 
Income tax expense (541) (737) (1,427) (1,933)
Net income 32,280  45,476  127,368  85,868 
Net income attributable to noncontrolling interests
(15,218) (16,028) (51,279) (27,461)
Net income attributable to National Storage Affiliates Trust 17,062  29,448  76,089  58,407 
Distributions to preferred shareholders
(5,110) (5,119) (10,220) (8,799)
Net income attributable to common shareholders
$ 11,952  $ 24,329  $ 65,869  $ 49,608 
Earnings per share - basic and diluted $ 0.16  $ 0.28  $ 0.85  $ 0.56 
Weighted average shares outstanding - basic and diluted
75,160  88,312  77,698  88,902 
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National Storage Affiliates Trust
Consolidated Balance Sheets
(dollars in thousands, except per share amounts)
(unaudited)
June 30, December 31,
2024 2023
ASSETS
Real estate
Self storage properties $ 5,818,388  $ 5,792,174 
Less accumulated depreciation (961,977) (874,359)
Self storage properties, net 4,856,411  4,917,815 
Cash and cash equivalents 58,975  64,980 
Restricted cash 8,064  22,713 
Debt issuance costs, net 7,055  8,442 
Investment in unconsolidated real estate ventures 230,295  211,361 
Other assets, net 138,522  134,002 
Assets held for sale, net —  550,199 
Operating lease right-of-use assets 21,779  22,299 
Total assets $ 5,321,101  $ 5,931,811 
LIABILITIES AND EQUITY
Liabilities
Debt financing $ 3,365,836  $ 3,658,205 
Accounts payable and accrued liabilities 93,042  92,766 
Interest rate swap liabilities —  3,450 
Operating lease liabilities 23,731  24,195 
Deferred revenue 21,427  27,354 
Total liabilities 3,504,036  3,805,970 
Equity
Series A Preferred shares of beneficial interest, par value $0.01 per share. 50,000,000 authorized, 9,017,588 and 9,017,588 issued and outstanding at June 30, 2024 and December 31, 2023, respectively, at liquidation preference
225,439  225,439 
Series B Preferred shares of beneficial interest, par value $0.01 per share. 7,000,000 authorized, 5,668,128 and 5,668,128 issued and outstanding at June 30, 2024 and December 31, 2023, respectively, at liquidation preference
115,212  115,212 
Common shares of beneficial interest, par value $0.01 per share. 250,000,000 shares authorized, 75,169,162 and 82,285,995 shares issued and outstanding at June 30, 2024 and December 31, 2023, respectively
752  823 
Additional paid-in capital 1,293,694  1,509,563 
Distributions in excess of earnings (469,768) (449,907)
Accumulated other comprehensive income 25,881  21,058 
Total shareholders' equity 1,191,210  1,422,188 
Noncontrolling interests 625,855  703,653 
Total equity 1,817,065  2,125,841 
Total liabilities and equity $ 5,321,101  $ 5,931,811 
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Supplemental Schedule 1
Funds From Operations and Core Funds From Operations
(in thousands, except per share and unit amounts) (unaudited)
Reconciliation of Net Income to FFO and Core FFO
Three Months Ended June 30, Six Months Ended June 30,
2024 2023 2024 2023
Net income $ 32,280  $ 45,476  $ 127,368  $ 85,868 
Add (subtract):
Real estate depreciation and amortization 46,339  56,398  93,302  111,551 
Equity in losses (earnings) of unconsolidated real estate ventures 4,449  (1,861) 6,079  (3,539)
Company's share of FFO in unconsolidated real estate ventures 6,177  6,176  11,862  12,325 
Gain on sale of self storage properties (2,668) —  (63,841) — 
Distributions to preferred shareholders and unitholders (5,568) (5,402) (11,136) (9,365)
FFO attributable to subordinated performance units(1)
(10,891) (12,309) (21,622) (24,096)
FFO attributable to common shareholders, OP unitholders, and LTIP unitholders
70,118  88,478  142,012  172,744 
Add (subtract):
Acquisition costs 480  239  987  1,083 
Integration and executive severance costs(2)
626  —  626  — 
Casualty-related recoveries(3)
—  (522) —  (522)
Loss on early extinguishment of debt —  —  —  758 
Core FFO attributable to common shareholders, OP unitholders, and LTIP unitholders
$ 71,224  $ 88,195  $ 143,625  $ 174,063 
Weighted average shares and units outstanding - FFO and Core FFO:(4)
Weighted average shares outstanding - basic 75,160  88,312  77,698  88,902 
Weighted average restricted common shares outstanding 21  28  22  26 
Weighted average OP units outstanding
37,644  38,755  37,638  38,746 
Weighted average DownREIT OP unit equivalents outstanding
2,120  2,120  2,120  2,120 
Weighted average LTIP units outstanding
673  523  683  537 
Total weighted average shares and units outstanding - FFO and Core FFO
115,618  129,738  118,161  130,331 
FFO per share and unit $ 0.61  $ 0.68  $ 1.20  $ 1.32 
Core FFO per share and unit $ 0.62  $ 0.68  $ 1.22  $ 1.34 
(1) Amounts represent distributions declared for subordinated performance unitholders and DownREIT subordinated performance unitholders for the periods presented.
(2) Integration and executive severance costs are recorded within the line items "General and administrative expenses" and "Non-operating income (expense)" in our condensed consolidated statements of operations. Integration costs relate to expenses incurred as a part of the internalization of the PRO structure.
(3) Casualty-related recoveries relate to casualty-related expenses incurred during 2022 and are recorded in the line item "Other" within operating expenses in our consolidated statements of operations.
(4)
NSA combines OP units and DownREIT OP units with common shares because, after the applicable lock-out periods, OP units in the Company's operating partnership are redeemable for cash or, at NSA's option, exchangeable for common shares on a one-for-one basis and DownREIT OP units are also redeemable for cash or, at NSA's option, exchangeable for OP units in the Company's operating partnership on a one-for-one basis, subject to certain adjustments in each case. Subordinated performance units, DownREIT subordinated performance units and LTIP units may also, under certain circumstances, be convertible into or exchangeable for common shares (or other units that are convertible into or exchangeable for common shares). See footnote(5) for additional discussion of subordinated performance units, DownREIT subordinated performance units, and LTIP units in the calculation of FFO and Core FFO per share and unit.
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Supplemental Schedule 1 (continued)
Funds From Operations and Core Funds From Operations
(in thousands, except per share and unit amounts) (unaudited)
Reconciliation of Earnings Per Share - Diluted to FFO and Core FFO Per Share and Unit
Three Months Ended June 30, Six Months Ended June 30,
2024 2023 2024 2023
Earnings per share - diluted $ 0.16  $ 0.28  $ 0.85  $ 0.56 
Impact of the difference in weighted average number of shares(5)
(0.06) (0.09) (0.29) (0.18)
Impact of GAAP accounting for noncontrolling interests, two-class method and treasury stock method(6)
0.13  0.12  0.42  0.21 
Add real estate depreciation and amortization 0.40  0.43  0.79  0.85 
Add (subtract) equity in losses (earnings) of unconsolidated real estate ventures 0.04  (0.02) 0.05  (0.03)
Add Company's share of FFO in unconsolidated real estate ventures 0.05  0.05  0.10  0.09 
Subtract gain on sale of self storage properties (0.02) —  (0.54) — 
FFO attributable to subordinated performance unitholders (0.09) (0.09) (0.18) (0.18)
FFO per share and unit
0.61  0.68  1.20  1.32 
Add acquisition costs —  —  0.01  0.01 
Add integration and executive severance costs 0.01  —  0.01  — 
Add loss on early extinguishment of debt —  —  —  0.01 
Core FFO per share and unit
$ 0.62  $ 0.68  $ 1.22  $ 1.34 





(5)
Adjustment accounts for the difference between the weighted average number of shares used to calculate diluted earnings per share and the weighted average number of shares used to calculate FFO and Core FFO per share and unit. Diluted earnings per share is calculated using the two-class method for the company's restricted common shares and the treasury stock method for certain unvested LTIP units, and assumes the conversion of vested LTIP units into OP units on a one-for-one basis and the hypothetical conversion of subordinated performance units, and DownREIT subordinated performance units into OP units, even though such units may only be convertible into OP units (i) after a lock-out period and (ii) upon certain events or conditions. For additional information about the conversion of subordinated performance units and DownREIT subordinated performance units into OP units, see Note 10 to the Company's most recent Annual Report on Form 10-K, filed with the Securities and Exchange Commission. The computation of weighted average shares and units for FFO and Core FFO per share and unit includes all restricted common shares and LTIP units that participate in distributions and excludes all subordinated performance units and DownREIT subordinated performance units because their effect has been accounted for through the allocation of FFO to the related unitholders based on distributions declared.
(6)
Represents the effect of adjusting the numerator to consolidated net income prior to GAAP allocations for noncontrolling interests, after deducting preferred share and unit distributions, and before the application of the two-class method and treasury stock method, as described in footnote(5).
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Supplemental Schedule 2
Other Non-GAAP Financial Measurements
(dollars in thousands) (unaudited)
Net Operating Income
Three Months Ended June 30, Six Months Ended June 30,
2024 2023 2024 2023
Net income $ 32,280  $ 45,476  $ 127,368  $ 85,868 
(Subtract) add:
Management fees and other revenue (9,522) (8,587) (18,596) (15,644)
General and administrative expenses 16,189  14,404  31,863  29,225 
Other 3,375  3,220  6,867  4,393 
Depreciation and amortization 46,710  56,705  94,041  112,163 
Interest expense 37,228  39,693  75,345  77,641 
Equity in losses (earnings) of unconsolidated real estate ventures 4,449  (1,861) 6,079  (3,539)
Loss on early extinguishment of debt —  —  —  758 
Acquisition costs 480  239  987  1,083 
Income tax expense 541  737  1,427  1,933 
Gain on sale of self storage properties (2,668) —  (63,841) — 
Non-operating (income) expense (337) (196) (435) 402 
Net Operating Income
$ 128,725  $ 149,830  $ 261,105  $ 294,283 
EBITDA and Adjusted EBITDA
Three Months Ended June 30, Six Months Ended June 30,
2024 2023 2024 2023
Net income $ 32,280  $ 45,476  $ 127,368  $ 85,868 
Add:
Depreciation and amortization 46,710  56,705  94,041  112,163 
Company's share of unconsolidated real estate ventures depreciation and amortization 5,141  4,315  9,693  8,786 
Interest expense 37,228  39,693  75,345  77,641 
Income tax expense 541  737  1,427  1,933 
Loss on early extinguishment of debt —  —  —  758 
EBITDA
121,900  146,926  307,874  287,149 
Add (subtract):
Acquisition costs 480  239  987  1,083 
Effect of hypothetical liquidation at book value (HLBV) accounting for unconsolidated 2024 Joint Venture(1)
5,485  —  8,249  — 
Gain on sale of self storage properties (2,668) —  (63,841) — 
Integration and executive severance costs, excluding equity-based compensation(2)
223  —  223  — 
Casualty-related recoveries(3)
—  (522) —  (522)
Equity-based compensation expense 2,331  1,677  4,186  3,326 
Adjusted EBITDA
$ 127,751  $ 148,320  $ 257,678  $ 291,036 
(1)
Reflects the non-cash impact of applying HLBV to the 2024 Joint Venture, which allocates GAAP income (loss) on a hypothetical liquidation of the underlying joint venture at book value as of the reporting date.
(2) Integration and executive severance costs are recorded within the line items "General and administrative expenses" and "Non-operating income (expense)" in our condensed consolidated statements of operations. Integration costs relate to expenses incurred as a part of the internalization of the PRO structure.
(3) Casualty-related recoveries relate to casualty-related expenses incurred during 2022 and are recorded in the line item "Other" within operating expenses in our consolidated statements of operations
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Supplemental Schedule 3
Portfolio Summary
As of June 30, 2024
(dollars in thousands) (unaudited)
Wholly-Owned Store Data by State (Consolidated) Total Operated Store Data by State (Consolidated & Unconsolidated)
State/Territories Stores Units Rentable Square Feet Occupancy at Period End State/Territories Stores Units Rentable Square Feet Occupancy at Period End
Texas 175  80,652  11,271,809  87.7  % Texas 197  94,846  12,970,392  88.1  %
California 86  51,371  6,473,778  86.7  % Florida 103  58,867  6,685,063  86.7  %
Florida 76  43,833  4,969,210  86.5  % California 98  58,020  7,253,240  86.7  %
Oregon 70  29,264  3,661,064  90.3  % Georgia 72  33,626  4,611,479  84.5  %
Georgia 50  22,019  3,024,142  83.8  % Oregon 70  29,264  3,661,064  90.3  %
Arizona 34  18,894  2,183,631  83.4  % Oklahoma 39  17,616  2,443,101  88.2  %
North Carolina 34  16,760  2,096,937  89.4  % Arizona 36  19,901  2,293,736  82.9  %
Oklahoma 33  15,297  2,136,981  87.9  % North Carolina 34  16,760  2,096,937  89.4  %
Louisiana 25  11,452  1,389,381  83.0  % Ohio 27  14,878  1,853,164  88.0  %
Pennsylvania 22  10,440  1,296,020  83.4  % Louisiana 25  11,452  1,389,381  83.0  %
Colorado 22  9,480  1,195,684  91.1  % Alabama 25  11,638  1,773,110  82.8  %
Washington 19  6,638  872,069  87.8  % Michigan 25  15,933  2,018,423  89.8  %
Puerto Rico 15  12,868  1,393,475  91.7  % Pennsylvania 25  12,074  1,456,490  84.1  %
Nevada 15  7,570  964,890  87.2  % Colorado 22  9,480  1,195,684  91.1  %
New Hampshire 15  7,159  893,985  86.0  % Kansas 21  7,774  1,068,725  89.8  %
Kansas 14  4,925  669,676  88.7  % New Jersey 20  13,495  1,602,176  85.9  %
Indiana 12  6,531  827,524  84.4  % Tennessee 20  10,250  1,311,484  89.9  %
Alabama 11  6,120  947,722  79.1  % Washington 19  6,638  872,069  87.8  %
New Mexico 10  5,515  719,177  86.6  % Nevada 19  9,188  1,217,383  87.4  %
Other(1)
73  40,299  5,076,970  84.6  % Indiana 19  9,822  1,286,329  85.7  %
Total
811  407,087  52,064,125  86.7  % Puerto Rico 15  12,868  1,393,475  91.7  %
Massachusetts 15  11,059  1,210,376  86.3  %
New Hampshire 15  7,159  893,985  86.0  %
Minnesota 12  5,728  732,545  87.4  %
Illinois 10  6,766  728,608  87.5  %
New Mexico 10  5,515  719,177  86.6  %
Other(2)
59  31,610  4,042,730  85.7  %
Total 1,052  542,227  68,780,326  87.1  %
(1)
Other states in NSA's owned portfolio as of June 30, 2024 include Arkansas, Connecticut, Idaho, Illinois, Iowa, Kentucky, Maryland, Massachusetts, Minnesota, Missouri, Montana, New Jersey, New York, Ohio, South Carolina, Tennessee, Utah, Virginia, Wisconsin and Wyoming.
(2)
Other states in NSA's operated portfolio as of June 30, 2024 include Arkansas, Connecticut, Delaware, Idaho, Iowa, Kentucky, Maryland, Mississippi, Missouri, Montana, New York, Rhode Island, South Carolina, Utah, Virginia, Wisconsin and Wyoming.
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Supplemental Schedule 3 (continued)
Portfolio Summary
(dollars in thousands) (unaudited)
2024 Acquisition Activity
Self Storage Properties Acquired
During the Quarter Ended:
Summary of Investment
Stores Units Rentable Square Feet Cash and Acquisition Costs Value of Equity Other Liabilities Total
June 30, 2024 3 1,291 200,313  $ 25,063  $ —  $ 174  $ 25,237 
Unconsolidated Real Estate Ventures (at 100%)(3)
March 31, 2024 56 24,015 3,227,743  346,194  —  2,237  348,431 
Total Investments(4)
59 25,306 3,428,056  $ 371,257  $   $ 2,411  $ 373,668 

2024 Disposition & Divestiture Activity
Dispositions Closed During the Quarter Ended: Stores Units Rentable Square Feet Net Proceeds
Self Storage Properties sold to 3rd Parties
March 31, 2024 39 17,610 2,417,135  $ 265,063 
June 30, 2024 1 1,066 155,113  8,035 
Self Storage Properties contributed to Joint Venture
March 31, 2024 56 24,015 3,227,743  343,714 
Total Dispositions and Divestitures(5)
96 42,691 5,799,991  $ 616,812 







(3)
Values represent entire unconsolidated real estate ventures at 100%, not NSA's proportionate share. NSA's ownership in each of the unconsolidated real estate ventures is 25%.
(4)
NSA through its unconsolidated real estate ventures and wholly-owned portfolio acquired self storage properties located in Georgia (11), Indiana (7), Kansas (7), Missouri (2), Ohio (12), Tennessee (6) and Texas (14).
(5)
NSA disposed of self storage properties are located in California (1), Georgia (11), Illinois (4), Indiana (9), Kansas (9), Louisiana (6), Missouri (9), Mississippi (3), Ohio (12), South Carolina (1), Tennessee (6) and Texas (25).
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Supplemental Schedule 4
Debt and Equity Capitalization BBB+ Rated
As of June 30, 2024 (with Negative Outlook)
(unaudited) by Kroll Bond Rating Agency
Debt Summary (dollars in thousands)
Effective Interest Rate(1)
Basis of Rate Maturity Date 2024 2025 2026 2027 2028 2029 2030 Thereafter Total
Credit Facility:
Revolving line of credit(2)
6.71%
Variable(3)
January 2027 $ —  $ —  $ —  $ 222,000  $ —  $ —  $ —  $ —  $ 222,000 
Term loan - Tranche B(4)
2.95%
Swapped To Fixed(5)
July 2024 145,000  —  —  —  —  —  —  —  145,000 
Term loan - Tranche C
2.93%
Swapped To Fixed(5)
January 2025 —  325,000  —  —  —  —  —  —  325,000 
Term loan - Tranche D
3.96% Swapped To Fixed July 2026 —  —  275,000  —  —  —  —  —  275,000 
Term loan - Tranche E
4.79%
Swapped To Fixed(5)
March 2027 —  —  —  130,000  —  —  —  —  130,000 
Term loan facility - 2028 4.62% Swapped To Fixed December 2028 —  —  —  —  75,000  —  —  —  75,000 
Term loan facility - April 2029 4.27% Swapped To Fixed April 2029 —  —  —  —  —  100,000  —  —  100,000 
Term loan facility - June 2029 5.37% Swapped To Fixed June 2029 —  —  —  —  —  285,000  —  —  285,000 
May 2026 Senior Unsecured Notes 2.16% Fixed May 2026 —  —  35,000  —  —  —  —  —  35,000 
October 2026 Senior Unsecured Notes 6.46% Fixed October 2026 —  —  65,000  —  —  —  —  —  65,000 
July 2028 Senior Unsecured Notes 5.75% Fixed July 2028 —  —  —  —  120,000  —  —  —  120,000 
October 2028 Senior Unsecured Notes 6.55% Fixed October 2028 —  —  —  —  100,000  —  —  —  100,000 
2029 Senior Unsecured Notes 3.98% Fixed August 2029 —  —  —  —  —  100,000  —  —  100,000 
August 2030 Senior Unsecured Notes 2.99% Fixed August 2030 —  —  —  —  —  —  150,000  —  150,000 
October 2030 Senior Unsecured Notes 6.66% Fixed October 2030 —  —  —  —  —  —  35,000  —  35,000 
November 2030 Senior Unsecured Notes 2.72% Fixed November 2030 —  —  —  —  —  —  75,000  —  75,000 
May 2031 Senior Unsecured Notes 3.00% Fixed May 2031 —  —  —  —  —  —  —  90,000  90,000 
August 2031 Senior Unsecured Notes 4.08% Fixed August 2031 —  —  —  —  —  —  —  50,000  50,000 
November 2031 Senior Unsecured Notes 2.81% Fixed November 2031 —  —  —  —  —  —  —  175,000  175,000 
August 2032 Senior Unsecured Notes 3.09% Fixed August 2032 —  —  —  —  —  —  —  100,000  100,000 
November 2032 Senior Unsecured Notes 5.06% Fixed November 2032 —  —  —  —  —  —  —  200,000  200,000 
May 2033 Senior Unsecured Notes 3.10% Fixed May 2033 —  —  —  —  —  —  —  55,000  55,000 
October 2033 Senior Unsecured Notes 6.73% Fixed October 2033 —  —  —  —  —  —  —  50,000  50,000 
November 2033 Senior Unsecured Notes 2.96% Fixed November 2033 —  —  —  —  —  —  —  125,000  125,000 
2036 Senior Unsecured Notes 3.06% Fixed November 2036 —  —  —  —  —  —  —  75,000  75,000 
Fixed rate mortgages payable 3.60% Fixed August 2027 - October 2031 15,828  —  —  84,900  88,000  —  —  28,937  217,665 
Total Principal/Weighted Average
4.20% 4.7 years $ 160,828  $ 325,000  $ 375,000  $ 436,900  $ 383,000  $ 485,000  $ 260,000  $ 948,937  $ 3,374,665 
Weighted average effective interest rate of maturing debt 3.08% 2.93% 4.22% 5.64% 5.05% 4.86% 3.41% 3.70%
Unamortized debt issuance costs and debt premium, net
(8,829)
Total Debt
$ 3,365,836 
(1)
Effective interest rate incorporates the stated rate plus the impact of interest rate cash flow hedges and discount and premium amortization, if applicable.
(2)
NSA may, at its election, extend the maturity date of the revolving line of credit to January 2028, subject to meeting customary conditions and payment of an extension fee.
(3)
For the $950 million revolving line of credit, the effective interest rate is calculated based on Daily Simple SOFR plus an applicable margin of 1.30% and a SOFR Index Adjustment of .10%, and excludes fees which range from 0.15% to 0.20% for unused borrowings.
(4)
Term loan - Tranche B was repaid in full on July 29, 2024 using the revolving line of credit.
(5)
NSA has $250 million of interest rate swaps that mature in August 2024, and effectively fix Daily Simple SOFR at 1.59%. The impact of these interest rate swaps are reflected in the effective interest rates shown herein, with the notional amount allocated by tranche as follows: Tranche B ($145 million), Tranche C ($100 million), Tranche E ($5 million).
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Supplemental Schedule 4 (continued)
Debt and Equity Capitalization
As of June 30, 2024
(unaudited)
Debt Ratios
Covenant
Amount
Net Debt to Annualized Current Quarter Adjusted EBITDA n/a 6.5x
Trailing Twelve Month Fixed Charge Coverage Ratio
> 1.5x 2.9x
Total Leverage Ratio < 60.0% 42.5%
Preferred Shares and Units
Outstanding
6.000% Series A cumulative redeemable preferred shares of beneficial interest 9,017,588 
6.000% Series B cumulative redeemable preferred shares of beneficial interest(5)
4,608,445 
6.000% Series A-1 cumulative redeemable preferred units 1,212,340 
Common Shares and Units
Outstanding as June 30, 2024
As of July 1, 2024(6)
Common shares of beneficial interest 75,149,671  75,149,671 
Restricted common shares 19,491  19,225 
Total shares outstanding
75,169,162  75,168,896 
Operating partnership units 37,464,684  53,349,614 
DownREIT operating partnership unit equivalents
2,120,491  5,769,214 
Total operating partnership units
39,585,175  59,118,828 
Long-term incentive plan units(7)
662,270  662,270 
Total shares and Class A equivalents outstanding
115,416,607  134,949,994 
Subordinated performance units 7,772,693  — 
DownREIT subordinated performance unit equivalents 4,133,474  — 
Total subordinated partnership units
11,906,167   
Total common shares and units outstanding
127,322,774  134,949,994 
(5)
We have reflected 4,608,445 Series B Preferred Shares herein, which corresponds to the $115.2 million liquidation preference reflected on the balance sheet at June 30, 2024, although the Company’s balance sheet describes 5,668,128 Series B Preferred Shares issued and outstanding at June 30, 2024. As part of a March 16, 2023 property acquisition of 15 properties from an affiliate of Personal Mini, the Company recorded a $26.1 million promissory note receivable from the Personal Mini affiliate, and the affiliate of Personal Mini used the loan proceeds to acquire $26.1 million of subordinated performance units. The promissory note bears interest at a rate equivalent to the dividends paid on 1,059,683 Series B Preferred Shares. As a result of these agreements, in accordance with GAAP, the $26.1 million promissory note receivable, interest income on the promissory note receivable, $26.1 million of Series B Preferred Shares value, and dividends on such Series B Preferred Shares have been offset for presentation purposes in the accompanying consolidated balance sheets and consolidated statements of operations.
(6)
The July 1, 2024 balance reflects the conversion of all subordinated performance units (including each DownREIT subordinated performance unit) into OP units effective July 1, 2024, in connection with the internalization of the PRO structure, at a weighted average conversion ratio of approximately 1.51. The conversion ratios were calculated by dividing the average cash available for distribution (CAD) per subordinated performance unit by 110% of the CAD per OP unit over a one-year period ending December 31, 2023. The July 1, 2024 balance also includes 775,210 OP units issued in connection with the purchase of the PRO management contracts and specified intellectual property, and 773,656 OP units issued in connection with the purchase of rights to the PRO tenant insurance business. These newly issued OP units, as well as OP units issued upon conversion of SP units, will generally have a one-year lockup on resales.
(7)
Balances exclude 208,400 long-term incentive plan ("LTIP") units which only vest and participate in dividend distributions upon the future contribution of properties from the PROs.
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Supplemental Schedule 5
Summarized Information for Unconsolidated Real Estate Ventures
(dollars in thousands) (unaudited)
Real Estate Venture Balance Sheet Data as of June 30, 2024
Number of Stores at June 30,
Occupancy at Period End
Real Estate Ventures
Carrying Value of NSA's Investment(1)
Gross Book Value of Real Estate Assets Outstanding Debt
2024
2023
Total Rentable Square Feet
Q2 2024
Q2 2023
2016 Joint Venture $ 102,139  $ 925,289  $ 357,912  81 81 5,657,024  88.4  % 88.4  %
2018 Joint Venture 101,866  1,280,387  645,773  104 104 7,831,434  88.8  % 90.2  %
2024 Joint Venture 26,290  342,247  208,907  56 3,227,743  88.0  % — 
Total $ 230,295  $ 2,547,923  $ 1,212,592  241 185 16,716,201  88.5  % 89.4  %

Combined Operating Information(2)
Three Months Ended June 30, 2024
Six Months Ended June 30, 2024
2016 Joint Venture 2018 Joint Venture 2024 Joint Venture Total 2016 Joint Venture 2018 Joint Venture 2024 Joint Venture Total
Total revenue $ 22,562  $ 28,487  $ 9,667  $ 60,716  $ 45,289  $ 56,907  $ 14,616  $ 116,812 
Property operating expenses 7,185  8,396  3,868  19,449  14,258  16,999  5,795  37,052 
Net operating income 15,377  20,091  5,799  41,267  31,031  39,908  8,821  79,760 
Supervisory, administrative and other expenses
(1,632) (1,750) (493) (3,875) (3,276) (3,495) (762) (7,533)
Depreciation and amortization (5,765) (10,053) (4,746) (20,564) (11,563) (20,102) (7,105) (38,770)
Interest expense (3,270) (7,145) (3,240) (13,655) (6,540) (14,289) (4,926) (25,755)
Acquisition and other (expenses) income (13) 902  15  904  (11) 882  (26) 845 
Net income (loss) $ 4,697  $ 2,045  $ (2,665) $ 4,077  $ 9,641  $ 2,904  $ (3,998) $ 8,547 
Add (subtract):
Unconsolidated real estate venture real estate depreciation and amortization
5,765  10,053  4,746  20,564  11,563  20,102  7,105  38,770 
FFO and Core FFO for unconsolidated real estate ventures
$ 10,462  $ 12,098  $ 2,081  $ 24,641  $ 21,204  $ 23,006  $ 3,107  $ 47,317 














(1) NSA's investment in its unconsolidated real estate ventures are recorded under the equity method of accounting. Under the equity method, NSA’s investments in unconsolidated real estate ventures are stated at cost and adjusted for NSA’s share of net earnings or losses and reduced by distributions.
(2) Values represent entire unconsolidated real estate ventures at 100%, not NSA's proportionate share. NSA's ownership in each of the unconsolidated real estate ventures is 25%. The operating agreements of the unconsolidated real estate ventures provide for the distribution of net cash flow to the unconsolidated real estate ventures' investors no less than monthly, generally in proportion to the investors’ respective ownership interests, subject to a promoted distribution to NSA upon the achievement of certain performance benchmarks by the non-NSA investor.
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Supplemental Schedule 6
Same Store Performance Summary By MSA(1)
(dollars in thousands, except per square foot data) (unaudited)
Three Months Ended June 30, 2024 compared to Three Months Ended June 30, 2023
Total Revenue Property Operating Expenses Net Operating Income Net Operating Income Margin
MSA(1)
Stores 2Q 2024 2Q 2023 Growth 2Q 2024 2Q 2023 Growth 2Q 2024 2Q 2023 Growth 2Q 2024 2Q 2023 Growth
Portland-Vancouver-Hillsboro, OR-WA 52  $ 11,056  $ 11,364  (2.7) % $ 2,864  $ 2,581  11.0  % $ 8,192  $ 8,783  (6.7) % 74.1  % 77.3  % (3.2) %
Riverside-San Bernardino-Ontario, CA 48  13,431  13,891  (3.3) % 3,087  2,817  9.6  % 10,344  11,074  (6.6) % 77.0  % 79.7  % (2.7) %
Houston-The Woodlands-Sugar Land, TX 37  8,126  8,378  (3.0) % 2,845  3,074  (7.4) % 5,281  5,304  (0.4) % 65.0  % 63.3  % 1.7  %
Atlanta-Sandy Springs-Alpharetta, GA 30  5,933  6,496  (8.7) % 1,655  1,438  15.1  % 4,278  5,058  (15.4) % 72.1  % 77.9  % (5.8) %
Dallas-Fort Worth-Arlington, TX 27  4,931  5,051  (2.4) % 1,866  1,743  7.1  % 3,065  3,308  (7.3) % 62.2  % 65.5  % (3.3) %
Phoenix-Mesa-Chandler, AZ 25  5,810  6,238  (6.9) % 1,502  1,545  (2.8) % 4,308  4,693  (8.2) % 74.1  % 75.2  % (1.1) %
McAllen-Edinburg-Mission, TX 21  4,643  4,910  (5.4) % 1,282  1,336  (4.0) % 3,361  3,574  (6.0) % 72.4  % 72.8  % (0.4) %
Oklahoma City, OK 20  3,301  3,339  (1.1) % 958  834  14.9  % 2,343  2,505  (6.5) % 71.0  % 75.0  % (4.0) %
Brownsville-Harlingen, TX 16  2,876  2,999  (4.1) % 786  837  (6.1) % 2,090  2,162  (3.3) % 72.7  % 72.1  % 0.6  %
San Antonio-New Braunfels, TX 15  2,796  2,982  (6.2) % 806  1,183  (31.9) % 1,990  1,799  10.6  % 71.2  % 60.3  % 10.9  %
North Port-Sarasota-Bradenton, FL 15  4,433  4,850  (8.6) % 1,427  1,351  5.6  % 3,006  3,499  (14.1) % 67.8  % 72.1  % (4.3) %
Los Angeles-Long Beach-Anaheim, CA 14  6,039  6,221  (2.9) % 1,510  1,401  7.8  % 4,529  4,820  (6.0) % 75.0  % 77.5  % (2.5) %
Colorado Springs, CO 14  2,160  2,205  (2.0) % 655  682  (4.0) % 1,505  1,523  (1.2) % 69.7  % 69.1  % 0.6  %
San Juan-Bayamón-Caguas, PR 14  9,110  8,768  3.9  % 1,735  1,706  1.7  % 7,375  7,062  4.4  % 81.0  % 80.5  % 0.5  %
Tulsa, OK 13  2,074  2,089  (0.7) % 586  524  11.8  % 1,488  1,565  (4.9) % 71.7  % 74.9  % (3.2) %
Shreveport-Bossier City, LA 12  1,570  1,623  (3.3) % 535  479  11.7  % 1,035  1,144  (9.5) % 65.9  % 70.5  % (4.6) %
Austin-Round Rock-Georgetown, TX 12  3,348  3,444  (2.8) % 1,084  1,067  1.6  % 2,264  2,377  (4.8) % 67.6  % 69.0  % (1.4) %
Las Vegas-Henderson-Paradise, NV 12  2,722  2,773  (1.8) % 685  683  0.3  % 2,037  2,090  (2.5) % 74.8  % 75.4  % (0.6) %
New Orleans-Metairie, LA 12  2,215  2,213  0.1  % 671  645  4.0  % 1,544  1,568  (1.5) % 69.7  % 70.9  % (1.2) %
Wichita, KS 12  1,757  1,731  1.5  % 594  543  9.4  % 1,163  1,188  (2.1) % 66.2  % 68.6  % (2.4) %
Other MSAs 355  75,851  77,678  (2.4) % 22,707