Smartstop Self Storage Reit, Inc. · NYSE:SMA
Smartstop Self Storage Reit — Q1 2022 Earnings Presentation
29 slides from Smartstop Self Storage Reit's earnings presentation, Jun 1, 2022
Slide 1: 2022 First Quarter Update
2022 First Quarter Update H. Michael Schwartz – Chairman & CEO North York, Toronto 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: Key Executives
Key Executives Nicholas Look General Counsel 5 Years Storage Experience Board of Directors Senior Team Bliss Edwards Executive Vice President - Canada 7 Years Storage Experience H. Michael Schwartz Chairman & Chief Executive Officer 18 Years Storage Experience Wayne Johnson President & CIO 36 Years
Slide 4: SmartStop Platform at a Glance
SmartStop Platform at a Glance 11th Largest Self Storage Company in the U.S. (1) ~13.2 Million(2) Owned and Managed Rentable Square Feet 171(2) Owned and Managed Self Storage Facilities $2.5 Billion Total Capitalization(4) >$4.8 Billion Historical Self Storage Transaction Activity(3) ~420+ Employees
Slide 5: SmartStop Self Storage REIT
al, SmartStop Self Storage REIT, Inc. ..The Smarter Way to Store!”
Slide 6: 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 1 2 3 5 6 North York, Ontario High Growth Portfo
Slide 7: Owned Portfolio Overview
Owned Portfolio Overview 159 Operating Properties Owned In U.S. & Canada ~65% Concentration In Top 25 MSAs(1) 12.3 million Net Rentable Square Feet Note: Figures reflect wholly owned, JVs at 100% of NRSF, and pro forma closed and pending acquisitions including the SSGT II merger. (1) Toronto include
Slide 8: Concentration In High Growth North American Markets
Concentration In High Growth North American Markets Toronto % of Same- Store NOI(1) Miami - FLL Los Angeles Asheville Las Vegas # Total Properties(2) Total Rentable SQFT (000s)(2) 1Q22 YoY Same-Store Revenue Growth Same-Store Net Rent per Occupied SQFT(3) Avg. 3 Mi. Population (000s)(2) Avg. 3 Mi. M
Slide 9: Toronto Market Overview
Toronto Market Overview Sources: SNL, Green Street Advisors, Statistics Canada Census 2016, and Ontario Ministry of Finance website. (1) Population data for US cities per SNL; population data for Toronto per Ontario Ministry of Finance website. (2) Represents storage square feet per capita of each c
Slide 10: SmartStop Leading the Way in the GTA
SmartStop Leading the Way in the GTA (1) As measured by Net Rentable Square Feet at 3/31/22; Includes joint venture square footage. (2) Colliers August 2020 report (3) Denominated in USD. NOI is a non-GAAP measure. See Appendix for a reconciliation of this measure to the most directly comparable GAA
Slide 11: SmartCentres Joint Venture Case Study: Vaughan
SmartCentres Joint Venture Case Study: Vaughan Joint Venture Summary 5-123-187 21-155-215 127-190-66 127-127-127 182-182-182 50/50 joint venture with SmartCentres (TSX: SUR.UN), one of Canada’s largest fully-integrated REITs Provides exclusive right in certain markets to develop self storage facilit
Slide 12: SmartStop Self Storage REIT
al, SmartStop Self Storage REIT, Inc. ..The Smarter Way to Store!”
Slide 13: Internal Growth: Concentration of Growth Assets
Internal Growth: Concentration of Growth Assets 1Q22 ending physical occupancy 220bps below same-store average 1Q22 RentPOF 15% below same-store average Represents 8.2% of 1Q22 total rental revenue Source: Company data and filings. NM: not a meaningful comparison. 1) RentPOF defined as rental revenu
Slide 14: 2022 Operational Update
2022 Operational Update 1Q22 Highlights Additional 2022 Updates Strong YoY same-store results Revenues increased 18.4% Operating expenses increased 2.3% NOI increased 25.7%(1) Average physical occupancy increased 190bps to 95.1% Annualized rent per occupied square foot increased 16.6% to $17.77(2) I
Slide 15: External Growth: Investment Activity
External Growth: Investment Activity Stabilized Acquisitions: Note: All acquisition and development prices reflect the original purchase price executed by SmartStop, including Strategic Storage Growth Trust, Inc. and Strategic Storage Trust IV, Inc. (1) Includes 3rd party deals under contract. Acqui
Slide 16: Overview of SmartStop Portfolio Expansion
Overview of SmartStop Portfolio Expansion On February 24, 2022, SmartStop entered into a merger agreement with Strategic Storage Growth Trust II, Inc. (“SSGT II”) 100% stock-for-stock transaction SSGT II is a private REIT that was formed in October of 2018 Continues SmartStop’s successful track reco
Slide 17: SmartStop Managed REIT Funds
SmartStop Managed REIT Funds Strategic Storage Trust VI, Inc. (“SST VI”) $181 million assets under management on a cost basis 13 self storage properties 11 wholly-owned Two joint venture development properties with SmartCentres SST VI Portfolio Stats Vancouver, WA (SST VI) Note: Data as of 5/17/2022
Slide 18: Well Positioned Balance Sheet
Well Positioned Balance Sheet (1) Does not take into account potential extension options. (2) Leverage as measured by debt less cash on hand to total capitalization (Total capitalization includes debt, preferred equity and equity market cap) (3) Includes the impact of interest rate derivatives. (4)E
Slide 19: Store Branding
Store Branding Brand Awareness Strong and Valuable Brand Identity 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 cust
Slide 20: Industry Leader In Customer Experience
Ability to search for and reserve units at one of SmartStop’s 150+ locations Integrated into revenue management system to update pricing and occupancy real time Online Reservations Industry Leader In Customer Experience Technology-driven platform gives SmartStop the ability to meet customers’ unique
Slide 21: Sophisticated Operating And Analytics Technology
Sophisticated Operating And Analytics Technology 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 implementati
Slide 22: SmartStop Self Storage REIT
al, SmartStop Self Storage REIT, Inc. ..The Smarter Way to Store!”
Slide 23: SmartStop Self Storage REIT
al, SmartStop Self Storage REIT, Inc. ..The Smarter Way to Store!”
Slide 24: MSA Exposure – Same-Store
MSA Exposure – Same-Store 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. 1Q22 Wholly Owned Same-Store Results as of 3/31/22 Note: Data presented represents
Slide 25: MSA Exposure – Total Portfolio
MSA Exposure – Total Portfolio 1Q22 Wholly Owned Total Portfolio at 3/31/22 MSAs (Metropolitan Statistical Areas) as defined by the U.S. Census Bureau. Toronto CMA (Census Metropolitan Area) as defined by Statistics Canada. Other markets include: Baltimore, Charleston, Charlottesville, College Stati
Slide 26: Reconciliation: Net Loss to Net Operating Income
Reconciliation: Net Loss to Net Operating Income Includes the net operating income of one property owned by Strategic Storage Trust VI, Inc.'s operating partnership, which was consolidated for part of the quarters ending March 31, 2021 and June 30, 2021. This property's net operating income for the
Slide 27: Non-GAAP Reconciliations (continued): FFO Reconciliations
Non-GAAP Reconciliations (continued) FFO Reconciliations This represents the portion of the above stated adjustments in the calculations of FFO and FFO, as adjusted, that are attributable to our non-controlling interests. Includes all Class A Shares, Class T Shares and OP Units, as well as the dilut
Slide 28: Reconciliation: Net Income (Loss) to Adjusted EBITDA: Trailing 5 Quarters
Reconciliation: Net Income (Loss) to Adjusted EBITDA: Trailing 5 Quarters
Slide 29: 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
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