Smartstop Self Storage Reit, Inc. · NYSE:SMA
Smartstop Self Storage Reit — Q3 2019 Earnings Presentation
28 slides from Smartstop Self Storage Reit's earnings presentation, Dec 5, 2019
Slide 1: Third Quarter Update
+ + Third Quarter Update Exhibit 99.1
Slide 2: Disclaimer & Risk Factors
Disclaimer & Risk Factors Certain of the matters discussed in this investor presentation constitute forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements can generally be identified by our
Slide 3: Additional Information Regarding NOI, FFO & FFO, as adjusted
Additional Information Regarding NOI, FFO & FFO, as adjusted Funds from Operations (“FFO”) and FFO, as adjusted Funds from operations (“FFO”) is an industry wide metric promulgated by the National Association of Real Estate Investment Trusts, or NAREIT, which SmartStop believes to be an appropriate
Slide 4: Additional Information Regarding NOI, FFO & FFO, as adjusted: NOI
Additional Information Regarding NOI, FFO & FFO, as adjusted Net Operating Income or (“NOI”) NOI is a non-GAAP measure that SmartStop defines as net income (loss), computed in accordance with GAAP, generated from properties before corporate general and administrative expenses, asset management fees,
Slide 5: SmartStop Self Storage REIT, Inc.
SmartStop Self Storage REIT, Inc.
Slide 6: SmartStop Self Storage REIT, Inc.
SmartStop Self Storage REIT, Inc. SmartStop Self Storage REIT, Inc. (“SmartStop”) is a self-managed and fully-integrated self storage company with a portfolio of over $1.5 billion of self storage assets. SmartStop is the 10th largest self storage company in the U.S. with an owned and managed portfol
Slide 7: SmartStop's Executive Team
SmartStop’s Executive Team H. Michael Schwartz Founder & Executive Chairman Mike Terjung Chief Accounting Officer Michael McClure Chief Executive Officer Joe Robinson Chief Operations Officer Wayne Johnson President & Chief Investment Officer Gerald Valle Senior Vice President Self Storage Operation
Slide 8: Institutional Management
Institutional Management Day-to-day operations Technology Innovation Web Development Marketing Pricing Analytics Revenue Management Dedicated In-house Call Center Developments & C/Os
Slide 9: State-of-the-Art Website
State-of-the-Art Website Modern New Website Emphasis on mobile speed & experience → 1.9 second load time Geo-serving content Better search functionality UX testing to build best user flow Live chat with call center Online rentals ready to be released Web leads now converting over 63%
Slide 10: SmartStop Self Storage – Branding
SmartStop Self Storage – Branding Brand Awareness Strong, well-known brand name Brand protection Registered trademarks in U.S./Canada 250 U.S./Canadian domain names Processes in place to act upon potential brand infringement Store Branding Locations feature SmartStop signage and colors SmartStop bra
Slide 11: Brand Awareness
Brand Awareness Shane Kline Mississauga Steelheads Jessica Klejka Multiple Fighters CYCLIST ‘20 Olympic Hopeful HOCKEY IDITAROD MUSHER BOXING /MMA Social Media Followers: 18,548 Impressions: 15,181,271 Engagements: 628,940 YTD Nov 2019: INDY CAR Sage Karam Bryce Hudson MOTO X STEP UP
Slide 12: 2019 Highlights and Recent Transactions
2019 Highlights and Recent Transactions
Slide 13: SSGT Merger Overview
SSGT Merger Overview SmartStop completed its acquisition of Strategic Storage Growth Trust, Inc. (“SSGT”) by merger on January 24, 2019 in a 100% cash transaction Total transaction value of approximately $350M at $12.00/share, which includes SSGT debt that was assumed or repaid Subsequent to the mer
Slide 14: Unique Opportunity For Growth In Self Storage
Unique Opportunity For Growth In Self Storage SmartStop offers a unique opportunity for future growth: Highly talented team of over 380 dedicated self storage professionals and executive team with an average of 15 years of self storage experience Tenth largest self storage company in the US with who
Slide 15: SmartStop Self Storage - Managed REIT Platform
SmartStop Self Storage - Managed REIT Platform SmartStop REIT Advisors, a subsidiary of SmartStop, now serves as the sponsor, advisor, and property manager for one public non-traded REIT, SST IV, and one private REIT, SSGT II SST IV and SSGT II have approximately $332M of combined current AUM and ov
Slide 16: Preferred Equity Investment
Preferred Equity Investment On October 29, 2019, SmartStop entered into a purchase agreement with Extra Space Storage (“EXR”, NYSE: EXR), a publicly-traded self storage REIT with a market capitalization of approximately $14 billion, for Series A Convertible Preferred Stock (“Preferred Stock”) EXR’s
Slide 17: NAV Process
NAV Process Net Asset Value (“NAV”) of $10.66/share as of March 31, 2019 Independent, 3rd Party Valuation by Robert A. Stanger & Co, Inc. Asset-by-Asset valuation of Real Estate (no portfolio premium) In accordance with IPA NAV Guideline See our Form 8-K filed with the SEC on June 27, 2019 for a des
Slide 18: Portfolio & Financial Update
Portfolio & Financial Update
Slide 19: Canadian Joint Venture
Canadian Joint Venture PRESS RELEASE TORONTO, ONTARIO–(Feb. 23, 2017) – SmartStop Asset Management, LLC, a diversified real estate company, announced today that it has signed a letter of intent to enter a joint venture with Smart Real Estate Investment Trust (SmartREIT) (TSX: SRU.UN), one of Canada’
Slide 20: Toronto Portfolio
Toronto Portfolio $265M CAD INVESTMENT IN TORONTO* *$265M figure represents Canadian dollar-denominated value of SmartStop’s owned or managed portfolio, as designated under the “Current Properties” section. Value is determined based on the appraised value of the assets from the declared Net Asset Va
Slide 21: Current Portfolio
Current Portfolio Portfolio as of 11/14/2019 *SST IV includes 4 under development properties owned through SmartCentres JV SSGT II includes 1 operating property owned through SmartCentres JV *
Slide 22: SmartStop NOI by State Q3 2019
*NOI represents Q3 2019. SmartStop NOI by State Q3 2019 $17,200,000* Our portfolio is geographically diversified, with targeted investments in high growth markets such as California, Florida, and the Greater Toronto Area Owned NOI Owned & Managed NOI Q3 2019 $19,850,000*
Slide 23: Borden Park – Property Disposition
Borden Park – Property Disposition San Antonio II – San Antonio, TX Business Strategy Acquire a multi-use self storage development deal Convert large office, warehouse and cold storage components into higher-yielding traditional self-storage space Expand self storage RSF by adding a building on exis
Slide 24: Balance Sheet
Balance Sheet Royal Palm Beach, Florida Loan to Value(1) September 30, 2019 = 55% October 29, 2019 = 45% (1) Debt, net of cash / Value based on most recent NAV Distributions(2) SmartStop pays a distribution rate of approximately $0.001644 per day per share (equivalent to $0.60 per share annually) to
Slide 25: SmartStop Financial Update Third Quarter 2019 vs. 2018
SmartStop Financial Update Third Quarter 2019 vs. 2018 Revenues (as reported) Revenues (adjusted for impact of ASU 2016-02 Leases) Net Operating Income* Property Operating Expenses as a Percentage of Revenue Number of Facilities Average Physical Occupancy Annualized Revenue per Occupied SF (excludes
Slide 26: SmartStop Financial Update Nine Months Ended September 30, 2019 vs. 2018
SmartStop Financial Update Nine Months Ended September 30, 2019 vs. 2018 Revenues (as reported) Revenues (adjusted for impact of ASU 2016-02 Leases) Net Operating Income* Property Operating Expenses as a Percentage of Revenue Number of Facilities Average Physical Occupancy Annualized Revenue per Occ
Slide 27: Publicly Traded Self Storage Companies / Public Non-Traded Self Storage REITs
Publicly Traded Self Storage Companies NYSE: EXR NYSE: PSA NYSE: CUBE NYSE: LSI NYSE: UHAL NYSE: JCAP NYSE: NSA Public Non-Traded Self Storage REITs - OFFERING CLOSED - - OFFERING OPEN -
Slide 28: Questions?
al, SmartStop Self Storage REIT, Inc. ... Fhe Smarter Way to Store!® Questions?
SmartStop Self Storage REIT — Q3 2019 Earnings Presentation on 6ix