Smartstop Self Storage Reit, Inc. · NYSE:SMA
Smartstop Self Storage Reit — Q2 2021 Earnings Presentation
33 slides from Smartstop Self Storage Reit's earnings presentation, Sep 16, 2021
Slide 1: 2021 Second Quarter Update
2021 Second Quarter Update H. Michael Schwartz Chairman & CEO Exhibit 99.1
Slide 2: Disclaimer & Risk Factors
Disclaimer & Risk Factors 2 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 ou
Slide 3: SmartStop Platform at a Glance
SmartStop Platform at a Glance 3 11th Largest Self Storage Company in the U.S. 12.1 Million(1) Owned and Managed Rentable Square Feet 157(1) Owned and Managed Self Storage Facilities $1.8 Billion Self Storage Assets Under Management $4.0 Billion Historical Self Storage Transaction Activity(2) 400+ E
Slide 4: Major Company and Affiliate Milestones
Major Company and Affiliate Milestones 16+ Year Track Record Of Creating Shareholder Value NOVEMBER 2005 H. Michael Schwartz acquires first ten self storage properties MARCH 2008 SST, first public non-traded REIT entirely focused on self storage, declared effective and begins offering shares at $10.
Slide 5: Decades of Collective Industry Experience
Decades of Collective Industry Experience 5 Board of Directors Executive Team Bliss Edwards Executive Vice President - Canada 6 Years Storage Experience Wayne Johnson President & CIO 35 Years Storage Experience
Slide 6: SmartStop Self Storage REIT, Inc.
al, SmartStop Self Storage REIT, Inc. ..The Smarter Way to Storel°
Slide 7: Investment Highlights
Institutional Operator And Technology Platform Demonstrated Ability To Grow Externally Conservative And Diversified Capital Structure Experienced Management Team And Board High Quality, Diversified Portfolio In Key Growth Markets Investment Highlights 7 1 2 3 5 6 Naples, Florida High Growth Portfoli
Slide 8: Owned Operating Portfolio
Owned Operating Portfolio 8 Note: Portfolio as of 6/30/2021 and includes all operational properties owned by SmartStop. Determined based on largest US MSAs and Toronto. Includes all SmartStop owned properties, including JV owned assets. Greater Toronto Area included as a top 25 MSA, ranked 8th, with
Slide 9: Rents and Demographics Reflect Strength of Property Locations
Q2 2021 Same-Store Rent / SF(1) Percentage In Top 25 MSAs(2) 3 Mile Median Household Income (000s)(3) 3 Mile Population (000s)(3) Rents and Demographics Reflect Strength of Property Locations 9 Sources: SNL, Company internal data, Ontario Ministry of Finance, Company Filings, Evercore Storage Demogr
Slide 10: Toronto And Largest U.S. Cities By Population
Square Feet Per Capita(2) 2021A – 2026E Population Growth Projections(1) 10 Sources: SNL, Green Street Advisors, Statistics Canada Census 2016, and Ontario Ministry of Finance website. Population data for US cities per SNL; population data for Toronto per Ontario Ministry of Finance website. Represe
Slide 11: SmartStop Leading the Way in the GTA
SmartStop Leading the Way in the GTA 11 As measured by Net Rentable Square Feet at 8/31/21; Includes joint venture square footage. Colliers January and May 2021 reports Denominated in USD. Same-store NOI is a non-GAAP measure. See Appendix for a reconciliation of this measures to the most directly c
Slide 12: SmartCentres Joint Venture Case Study: Vaughan
SmartCentres Joint Venture 12 Case Study: Vaughan Joint Venture properties are held in various entities, including through SmartStop’s managed REITs (SST VI and SSGT II). One of the five operational joint ventures assets is owned by SSGT II. Joint Venture Summary 50/50 joint venture with SmartCentre
Slide 13: Best In Class Operating Performance
Best In Class Operating Performance 13 Q2 2021 YoY Same-Store Revenue Growth(1) Q2 2021 YoY Same-Store NOI Growth(1) Q2 2021 YoY Same-Store Occupancy Growth(2) Q2 2021 Ending Same-Store Occupancy Source: Company data and filings. Same-store NOI and Revenue are non-GAAP measures. See Appendix for a r
Slide 14: SmartStop REIT 2021 Operational Update
SmartStop REIT 2021 Operational Update 14 Source: Company data and filings. Same-store revenue, operating expenses, NOI and FFO, as adjusted (attributable to common stockholders and OP unit holders) are non-GAAP measures. See Appendix for a reconciliation of these measures to the most directly compa
Slide 15: External Growth: Strategic Storage Trust IV Merger
External Growth: Strategic Storage Trust IV Merger(1) 15 Portfolio Impacts: (5) As of 5/31/21 unless otherwise noted. Amounts include joint venture assets on a fully developed basis. Occupancy for wholly-owned assets as of 3/31/21 On March 17, 2021 SmartStop closed the acquisition of Strategic Stora
Slide 16: SST IV Merger: High Quality Properties in Key Growth Markets
SST IV Merger: High Quality Properties in Key Growth Markets 16 Toronto, ONT Houston, TX Naples, FL Orlando, FL San Diego, CA Charlotte, NC
Slide 17: SST IV Merger: Finance and Balance Sheet Impacts
External Growth: Strategic Storage Trust IV Merger 17 Finance and Balance Sheet Impacts: SST IV In tandem with the closing of the merger, SmartStop entered into a multi-currency credit facility of up to $500 million with a syndicate of banks led by KeyBank National Association; Wells Fargo N.A.; Cit
Slide 18: SmartStop Managed REIT Funds
SmartStop Managed REIT Funds 18 (5) Strategic Storage Growth Trust II, Inc. (“SSGT II”) Strategic Storage Trust VI, Inc. (“SST VI”) $155 million assets under management 11 self storage properties 10 wholly-owned 1 joint venture property with SmartCentres SSGT II Portfolio Stats Income and growth pro
Slide 19: Strong and Valuable Brand Identity
Store Branding Brand Awareness Strong and Valuable Brand Identity 19 Well-Known Brand Name Brand Protection Recognizable Signage and Colors SmartStop® Brand Appearances Registered trademarks in U.S. / Canada 250 U.S. / Canadian domain names Continued investment in brand and marketing translates to c
Slide 20: Industry Leader In Customer Experience
Ability to search for and reserve units at one of SmartStop’s 140+ locations Integrated into revenue management system to update pricing and occupancy real time Online Reservations Industry Leader In Customer Experience 20 Technology-driven platform gives SmartStop the ability to meet customers’ uni
Slide 21: Sophisticated Operating And Analytics Technology
Sophisticated Operating And Analytics Technology 21 Optimization of rental rates, discounts, and incentives driven by scientifically-based, proprietary pricing models Proprietary competitive rate analysis allows dynamic and real-time pricing based on forecasted future demand Evaluation and implement
Slide 22: SmartStop Self Storage REIT, Inc.
al, SmartStop Self Storage REIT, Inc. ..The Smarter Way to Storel°
Slide 23: SmartStop Self Storage REIT, Inc.
al, SmartStop Self Storage REIT, Inc. ..The Smarter Way to Storel°
Slide 24: MSA Exposure – Same-Store (2Q21)
MSA Exposure – Same-Store 24 Source: Company internal data. Note: Data presented represents SmartStop’s existing owned same store portfolio only MSAs (Metropolitan Statistical Areas) as defined by the U.S. Census Bureau. 2Q21 Wholly-Owned Same-Store Portfolio at 6/30/21 Source: Company internal data
Slide 25: MSA Exposure – Same-Store (Six Months)
MSA Exposure – Same-Store 25 Source: Company internal data. Note: Data presented represents SmartStop’s existing owned same store portfolio only MSAs (Metropolitan Statistical Areas) as defined by the U.S. Census Bureau. Wholly-Owned Same-Store Portfolio for the Six Months Ended 6/30/21 Source: Comp
Slide 26: MSA Exposure – Total Portfolio
MSA Exposure – Total Portfolio 26 2Q21 Wholly-Owned Total Portfolio at 6/30/21 Source: Company internal data. Note: Data presented represents SmartStop’s existing wholly-owned portfolio only, excluding joint ventures. (1) MSAs (Metropolitan Statistical Areas) as defined by the U.S. Census Bureau. To
Slide 27: Reconciliation of Same-Store Revenue and NOI 2Q21
Reconciliation of Same-Store Revenue and Net Operating Income 2Q21 27 (1) Revenue includes rental revenue, Tenant Programs revenue, ancillary revenue, and administrative and late fees. (2) Property operating expenses excludes corporate general and administrative expenses, interest expense, depreciat
Slide 28: Reconciliation of Same-Store Revenue and NOI YTD 2021
Reconciliation of Same-Store Revenue and Net Operating Income YTD 2021 28 N/M Not meaningful (1) Revenue includes rental revenue, Tenant Programs revenue, ancillary revenue, and administrative and late fees. (2) Property operating expenses excludes corporate general and administrative expenses, inte
Slide 29: Reconciliation: Net Loss to Property Operating Income (NOI)
Reconciliation: Net Loss to Property Operating Income (NOI) 29
Slide 30: Reconciliation: Net Loss to Property Operating Income (NOI)
Reconciliation: Net Loss to Property Operating Income (NOI) 30
Slide 31: Reconciliation: Net Loss to FFO & FFO, as Adjusted
Reconciliation: Net Loss to FFO & FFO, as Adjusted 31 These items represent the amortization, accretion, or adjustment of intangible assets or deferred tax liabilities. As these items are non-cash and not primary drivers in SmartStop’s decision-making process, FFO is adjusted for their effect to arr
Slide 32: Additional Information Regarding NOI, FFO & FFO, as adjusted
Additional Information Regarding NOI, FFO & FFO, as adjusted 32 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 appropria
Slide 33: Additional Information Regarding NOI, FFO & FFO, as adjusted
Additional Information Regarding NOI, FFO & FFO, as adjusted 33 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 fe
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