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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 State
Schedule 7 - Same Store Performance Summary By MSA
Schedule 8 - Same Store Operating Data - Trailing Five Quarters
Schedule 9 - Reconciliation of Same Store Data and Net Operating Income to Net Income
Schedule 10 - Selected Financial Information
Glossary



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November 5, 2020
National Storage Affiliates Trust Reports Third Quarter 2020 Results
GREENWOOD VILLAGE, Colo. - (BUSINESS WIRE) - National Storage Affiliates Trust ("NSA" or the "Company") (NYSE: NSA) today reported the Company’s third quarter 2020 results.
Third Quarter 2020 Highlights
Reported net income of $21.4 million for the third quarter of 2020, an increase of 29.7% compared to the third quarter of 2019. Reported diluted earnings per share of $0.15 for the third quarter of 2020, primarily relating to the HLBV method for allocating net income among the various classes of equity.
Reported core funds from operations ("Core FFO") of $44.0 million, or $0.44 per share for the third quarter of 2020, an increase of 10.0% per share compared to the third quarter of 2019.
Reported an increase in same store net operating income ("NOI") of 0.2% for the third quarter of 2020 compared to the same period in 2019, driven by a 0.4% decrease in same store property operating expenses while same store total revenues were unchanged.
Reported same store period-end occupancy of 91.9% as of September 30, 2020, an increase of 260 basis points compared to September 30, 2019.
Acquired four wholly-owned self storage properties for $23.8 million during the third quarter of 2020. Capital sources for the acquisition activity included the issuance of approximately $3.4 million of OP equity to sellers and $6.3 million of common equity raised under the Company’s at the market, or ATM, program at a combined weighted average price of $33.71 per share/unit, as well as borrowings under the Company’s revolving line of credit.
Completed an underwritten public offering of 4,500,000 common shares of beneficial interest under forward sale agreements at a public offering price of $33.15 per share. Subsequent to quarter-end, the underwriters exercised a portion of their option to purchase an additional 400,000 of the Company's common shares for a total offering of 4,900,000 common shares that the Company expects to result in proceeds of approximately $160 million, assuming full physical settlement of the forward sale agreements.
Highlights Subsequent to Quarter-End
Issued $150.0 million of 2.99% senior unsecured notes due August 5, 2030 and $100.0 million of 3.09% senior unsecured notes due August 5, 2032 in a private placement, completing the offering that was announced August 6, 2020.
Tamara Fischer, President and Chief Executive Officer, commented, "The team did a great job pulling together to execute our COVID management plan, delivering year-over-year growth in Core FFO per share of 10% for the quarter. Our strong results, highlighted by positive growth in same store NOI and increased occupancy of 260bps year-over-year at the end of the quarter, allowed us to increase our quarterly dividend by $0.01 per share, or 6.3% on an annualized basis. Because of the resilience demonstrated by the self storage sector, we are reinstating guidance for the remainder of 2020, and now believe that we will end the year with Core FFO per share of $1.66 to $1.68, with the midpoint being up 8.4% above 2019. We have also been pleased to see increased opportunities ahead for growth via acquisitions, so we opportunistically accessed the capital markets by executing a forward equity transaction which provides us the flexibility to continue to execute on our growth strategy as we close out 2020 and look forward to 2021."



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Financial Results
($ in thousands, except per share and unit data)
Three Months Ended September 30,Nine Months Ended September 30,
20202019Growth20202019Growth
Net income$21,411 $16,514 29.7 %$54,961 $47,187 16.5 %
Funds From Operations ("FFO")(1)
$43,440 $36,375 19.4 %$120,727 $102,933 17.3 %
Add back acquisition costs
596 321 85.7 %1,681 783 114.7 %
Core FFO(1)
$44,036 $36,696 20.0 %$122,408 $103,716 18.0 %
Earnings (loss) per share - basic and diluted
$0.15 $(0.20)175.0 %$0.32 $(0.32)200.0 %
FFO per share and unit(1)
$0.43 $0.39 10.3 %$1.23 $1.14 7.9 %
Core FFO per share and unit(1)
$0.44 $0.40 10.0 %$1.25 $1.15 8.7 %
(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.
Net income increased $4.9 million for the third quarter of 2020 and $7.8 million for the nine months ended September 30, 2020 ("year-to-date") as compared to the same periods in 2019. The increase for the third quarter of 2020 resulted primarily from additional NOI generated from the 51 wholly-owned self storage properties acquired between October 1, 2019 and September 30, 2020 and earnings from the Company's unconsolidated real estate ventures partially offset by increases in depreciation and amortization and interest expense. The year-to-date increase was the result of additional NOI generated from the 51 wholly-owned self storage properties acquired between October 1, 2019 and September 30, 2020 and a decrease in GAAP losses from the Company's unconsolidated real estate ventures partially offset by increases in depreciation and amortization, interest expense and a decrease in gains from the sale of self storage properties.
The increases in FFO and Core FFO for the third quarter of 2020 and year-to-date were primarily the result of incremental NOI from properties acquired between October 1, 2019 and September 30, 2020 and decreases in distributions to subordinated performance unitholders.
Same Store Operating Results (500 Stores)
($ in thousands, except per square foot data)
Three Months Ended September 30,Nine Months Ended September 30,
20202019Growth20202019Growth
Total revenues
$86,230 $86,230 — $253,747 $252,207 0.6 %
Property operating expenses
25,704 25,808 (0.4)%76,222 76,079 0.2 %
Net Operating Income (NOI)
$60,526 $60,422 0.2 %$177,525 $176,128 0.8 %
NOI Margin70.2 %70.1 %0.1 %70.0 %69.8 %0.2 %
Average Occupancy
91.1 %90.1 %1.0 %88.8 %88.9 %(0.1)%
Average Annualized Rental Revenue Per Occupied Square Foot
$12.02 $12.19 (1.4)%$12.10 $12.06 0.3 %
Year-over-year same store total revenues were unchanged for the third quarter of 2020 and increased 0.6% year-to-date as compared to the same periods in 2019. Third quarter 2020 average occupancy increased 100 basis points and average annualized rental revenue per occupied square foot decreased 1.4%. The year-to-date increase in same store total revenue was driven primarily by a 0.3% increase in average annualized rental revenue per occupied square foot partially offset by a 10 basis point decrease in average occupancy. Markets which generated above portfolio average same store total revenue growth include: Oklahoma City, Phoenix, and Kansas
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City. Markets which generated below portfolio average same store total revenue growth include: Portland, Dallas and Los Angeles.
Year-over-year same store property operating expenses decreased 0.4% for the third quarter of 2020 and increased 0.2% year-to-date as compared to the same periods in 2019. The decrease for the third quarter of 2020 primarily resulted from decreases in personnel costs and utilities expenses, partially offset by increases in property taxes. The year-to-date increase was driven primarily by an increase in property taxes partially offset by decreases in utilities and repairs & maintenance expenses.
Investment Activity
During the third quarter, NSA invested approximately $23.8 million in the acquisition of four self storage properties consisting of approximately 0.3 million rentable square feet configured in approximately 2,100 storage units. Total consideration for these acquisitions included approximately $20.2 million of net cash, the issuance of approximately $0.8 million of OP units and $2.6 million of subordinated performance units and the assumption of approximately $0.2 million of other working capital liabilities.
Balance Sheet
In September 2020, the Company completed an underwritten public offering of 4,500,000 common shares of beneficial interest under forward sale agreements at a public offering price of $33.15 per share. Subsequent to quarter-end, the underwriters exercised a portion of their option to purchase an additional 400,000 of the Company's common shares for a total offering of 4,900,000 common shares that the Company expects to result in net proceeds of approximately $160 million, assuming full physical settlement of the forward sale agreements. The Company expects to settle the forward sale agreements prior to March 22, 2021 via the issuance and physical delivery of the Company's common shares in exchange for cash proceeds, although the Company may elect cash settlement or net share settlement for all or a portion of its obligations under the forward sale agreements, subject to certain conditions.
On October 22, 2020, the Company's operating partnership issued $150.0 million of 2.99% senior unsecured notes due August 5, 2030 and $100.0 million of 3.09% senior unsecured notes due August 5, 2032 (the "Senior Unsecured Notes") in a private placement to certain institutional investors, completing the offering that was announced August 6, 2020. The Company used the proceeds to repay outstanding amounts on its revolving line of credit and for general corporate purposes.
Common Share Dividends
On August 20, 2020, NSA's Board of Trustees declared a quarterly cash dividend of $0.34 per common share, which was paid on September 30, 2020 to shareholders of record as of September 15, 2020.
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2020 Guidance
The following table outlines NSA's FFO guidance estimates and related assumptions for the year ended December 31, 2020:
Ranges for Full Year 2020
LowHigh
Core FFO per share(1)
$1.66$1.68
Same store operations (500 stores)
Total revenue growth
0.75%1.25%
Property operating expenses growth
1.5%2.0%
NOI growth
0.25%1.00%
General and administrative expenses
General and administrative expenses (excluding equity-based compensation), in millions
$38.5$39.5
Equity-based compensation, in millions$4.0$4.5
Management fees and other revenue, in millions
$22.0$23.0
Core FFO from unconsolidated real estate ventures, in millions
$14.5$15.5
Subordinated performance unit distributions, in millions
$28.5$29.5
Wholly-owned acquisitions, in millions$400.0$500.0

(1) The following table provides a reconciliation of the range of estimated earnings (loss) per share - diluted to estimated Core FFO per share and unit:
Ranges for Full Year 2020
LowHigh
Earnings (loss) per share - diluted$0.43$0.47
Impact of the difference in weighted average number of shares and GAAP accounting for noncontrolling interests, two-class method and treasury stock method
0.210.15
Add real estate depreciation and amortization, including NSA's share of unconsolidated venture real estate depreciation and amortization
1.281.32
FFO attributable to subordinated unitholders
(0.28)(0.29)
Add acquisition costs and NSA's share of unconsolidated real estate venture acquisition costs
0.020.03
Core FFO per share and unit
$1.66$1.68
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 November 5, 2020.
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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 Time on Friday, November 6, 2020 to discuss its third quarter 2020 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: Friday, November 6, 2020, 1:00pm ET
Webcast available at: www.nationalstorageaffiliates.com
Domestic (Toll Free US & Canada): 877.407.9711
International: 412.902.1014
Replay:
Domestic (Toll Free US & Canada): 877.660.6853
International: 201.612.7415
Conference ID: 13692161
A replay of the call will be available for one week through Friday, November 13, 2020. A replay of the webcast will be available for 30 days on NSA's website at www.nationalstorageaffiliates.com.
Upcoming Industry Conferences
NSA management is scheduled to participate in the Nareit REITworld Virtual Conference, November 17-19, 2020.

About National Storage Affiliates Trust
National Storage Affiliates Trust is a Maryland real estate investment trust focused on the ownership, operation and acquisition of self storage properties located within the top 100 metropolitan statistical areas throughout the United States. As of September 30, 2020, the Company held ownership interests in and operated 788 self storage properties located in 35 states and Puerto Rico with approximately 49.5 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 2000 Index of Companies and the S&P SmallCap 600 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, 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 our ability to execute on our acquisition pipeline; the timing of acquisitions under contract; the internalization of retiring participating regional operators ("PROs") into the Company; the negative impacts from the continued spread of COVID-19 on the economy, the self storage industry, the broader financial markets, the Company's financial condition, results of operations and cash flows and the ability of the Company's tenants to pay rent; and the Company's guidance estimates for the year ended December 31, 2020. 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 September 30,Nine Months Ended September 30,
2020201920202019
REVENUE
Rental revenue$99,690 $92,746 $290,394 $262,776 
Other property-related revenue3,883 3,217 10,672 9,169 
Management fees and other revenue5,901 5,374 17,047 15,383 
Total revenue109,474 101,337 318,113 287,328 
OPERATING EXPENSES
Property operating expenses31,546 28,988 92,395 82,635 
General and administrative expenses10,818 11,271 32,241 32,464 
Depreciation and amortization28,933 27,598 87,347 77,776 
Other479 768 1,330 1,511 
Total operating expenses71,776 68,625 213,313 194,386 
OTHER (EXPENSE) INCOME
Interest expense(15,262)(14,432)(46,403)(41,590)
Equity in earnings (losses) of unconsolidated real estate ventures
37 (1,214)(251)(4,962)
Acquisition costs(596)(321)(1,681)(783)
Non-operating expense(120)(8)(629)(275)
Gain on sale of self storage properties— — — 2,814 
Other expense(15,941)(15,975)(48,964)(44,796)
Income before income taxes21,757 16,737 55,836 48,146 
Income tax expense(346)(223)(875)(959)
Net income21,411 16,514 54,961 47,187 
Net income attributable to noncontrolling interests
(7,924)(25,374)(24,404)(56,292)
Net income (loss) attributable to National Storage Affiliates Trust13,487 (8,860)30,557 (9,105)
Distributions to preferred shareholders
(3,275)(3,272)(9,822)(9,117)
Net income (loss) attributable to common shareholders
$10,212 $(12,132)$20,735 $(18,222)
Earnings (loss) per share - basic and diluted$0.15 $(0.20)$0.32 $(0.32)
Weighted average shares outstanding - basic and diluted
68,887 59,278 65,643 57,835 

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National Storage Affiliates Trust
Consolidated Balance Sheets
(dollars in thousands, except per share amounts)
(unaudited)
September 30,December 31,
20202019
ASSETS
Real estate
Self storage properties$3,381,418 $3,091,719 
Less accumulated depreciation(416,423)(337,822)
Self storage properties, net2,964,995 2,753,897 
Cash and cash equivalents16,779 20,558 
Restricted cash4,486 3,718 
Debt issuance costs, net2,698 3,264 
Investment in unconsolidated real estate ventures206,284 214,061 
Other assets, net62,320 65,441 
Operating lease right-of-use assets23,354 23,306 
Total assets$3,280,916 $3,084,245 
LIABILITIES AND EQUITY
Liabilities
Debt financing$1,741,703 $1,534,047 
Accounts payable and accrued liabilities51,280 37,966 
Interest rate swap liabilities86,746 19,943 
Operating lease liabilities24,929 24,665 
Deferred revenue15,858 15,523 
Total liabilities1,920,516 1,632,144 
Equity
Preferred shares of beneficial interest, par value $0.01 per share. 50,000,000 authorized, 8,732,719 and 8,727,119 issued and outstanding at September 30, 2020 and December 31, 2019, respectively, at liquidation preference
218,318 218,178 
Common shares of beneficial interest, par value $0.01 per share. 250,000,000 shares authorized, 69,177,872 and 59,659,108 shares issued and outstanding at September 30, 2020 and December 31, 2019, respectively
692 597 
Additional paid-in capital993,164 905,763 
Distributions in excess of earnings(242,222)(197,075)
Accumulated other comprehensive loss(54,723)(7,833)
Total shareholders' equity915,229 919,630 
Noncontrolling interests445,171 532,471 
Total equity1,360,400 1,452,101 
Total liabilities and equity$3,280,916 $3,084,245 

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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 September 30,Nine Months Ended September 30,
2020201920202019
Net income$21,411 $16,514 $54,961 $47,187 
Add (subtract):
Real estate depreciation and amortization28,564 27,279 86,283 76,816 
Company's share of unconsolidated real estate venture real estate depreciation and amortization
3,830 5,197 11,428 16,126 
Gain on sale of self storage properties
— — — (2,814)
Company's share of unconsolidated real estate venture loss on sale of properties
— — — 202 
Mark-to-market changes in value on equity securities
— — 142 — 
Distributions to preferred shareholders and unitholders
(3,513)(3,515)(10,541)(9,729)
FFO attributable to subordinated performance unitholders(1)
(6,852)(9,100)(21,546)(24,855)
FFO attributable to common shareholders, OP unitholders, and LTIP unitholders
43,440 36,375 120,727 102,933 
Add:
Acquisition costs596 321 1,681 783 
Core FFO attributable to common shareholders, OP unitholders, and LTIP unitholders
$44,036 $36,696 $122,408 $103,716 
Weighted average shares and units outstanding - FFO and Core FFO:(2)
Weighted average shares outstanding - basic68,887 59,278 65,643 57,835 
Weighted average restricted common shares outstanding32 27 30 29 
Weighted average OP units outstanding
29,559 30,483 29,994 30,217 
Weighted average DownREIT OP unit equivalents outstanding
1,925 1,848 1,900 1,848 
Weighted average LTIP units outstanding
513 535 555 605 
Total weighted average shares and units outstanding - FFO and Core FFO
100,916 92,171 98,122 90,534 
FFO per share and unit$0.43 $0.39 $1.23 $1.14 
Core FFO per share and unit$0.44 $0.40 $1.25 $1.15 
(1) Amounts represent distributions declared for subordinated performance unitholders and DownREIT subordinated performance unitholders for the periods presented.
(2) 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(3) 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 (Loss) Per Share - Diluted to FFO and Core FFO Per Share and Unit
Three Months Ended September 30,Nine Months Ended September 30,
2020201920202019
Earnings (loss) per share - diluted$0.15 $(0.20)$0.32 $(0.32)
Impact of the difference in weighted average number of shares(3)
(0.05)0.07 (0.10)0.11 
Impact of GAAP accounting for noncontrolling interests, two-class method and treasury stock method(4)
0.08 0.26 0.23 0.62 
Add real estate depreciation and amortization0.28 0.30 0.88 0.85 
Add Company's share of unconsolidated real estate venture real estate depreciation and amortization
0.04 0.06 0.12 0.18 
Subtract gain on sale of self storage properties— — — (0.03)
FFO attributable to subordinated performance unitholders
(0.07)(0.10)(0.22)(0.27)
FFO per share and unit
0.43 0.39 1.23 1.14 
Add acquisition costs
0.01 0.01 0.02 0.01 
Core FFO per share and unit
$0.44 $0.40 $1.25 $1.15 
(3) 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.
(4) Represents the effect of adjusting the numerator to consolidated net income (loss) 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(3).

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Supplemental Schedule 2
Other Non-GAAP Financial Measurements
(dollars in thousands) (unaudited)
Net Operating Income
Three Months Ended September 30,Nine Months Ended September 30,
2020201920202019
Net income$21,411 $16,514 $54,961 $47,187 
(Subtract) add:
Management fees and other revenue(5,901)(5,374)(17,047)(15,383)
General and administrative expenses10,818 11,271 32,241 32,464 
Other479 768 1,330 1,511 
Depreciation and amortization28,933 27,598 87,347 77,776 
Interest expense15,262 14,432 46,403 41,590 
Equity in (earnings) losses of unconsolidated real estate ventures
(37)1,214 251 4,962 
Acquisition costs596 321 1,681 783 
Income tax expense346 223 875 959 
Gain on sale of self storage properties— — — (2,814)
Non-operating expense120 629 275 
Net Operating Income
$72,027 $66,975 $208,671 $189,310 

EBITDA and Adjusted EBITDA
Three Months Ended September 30,Nine Months Ended September 30,
2020201920202019
Net income$21,411 $16,514 $54,961 $47,187 
Add:
Depreciation and amortization28,933 27,598 87,347 77,776 
Company's share of unconsolidated real estate venture depreciation and amortization
3,830 5,197 11,428 16,126 
Interest expense15,262 14,432 46,403 41,590 
Income tax expense346 223 875 959 
EBITDA
69,782 63,964 201,014 183,638 
Add (subtract):
Acquisition costs596 321 1,681 783 
Gain on sale of self storage properties— — — (2,814)
Company's share of unconsolidated real estate venture loss on sale of properties
— — — 202 
Equity-based compensation expense1,183 1,153 3,108 3,373 
Adjusted EBITDA
$71,561 $65,438 $205,803 $185,182 

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Supplemental Schedule 3
Portfolio Summary
As of September 30, 2020
(dollars in thousands) (unaudited)
Wholly-Owned Store Data by State (Consolidated)Total Operated Store Data by State (Consolidated & Unconsolidated)
State/TerritoriesStores UnitsRentable Square FeetOccupancy at Period EndState/TerritoriesStores UnitsRentable Square FeetOccupancy at Period End
Texas100 39,274 5,555,286 90.1 %Texas104 41,599 5,832,575 90.0 %
California83 49,654 6,228,696 94.6 %California95 56,355 7,022,054 94.6 %
Oregon63 25,204 3,197,234 90.7 %Florida76 46,378 4,996,458 89.6 %
Florida49 31,114 3,274,986 90.5 %Oregon 63 25,204 3,197,234 90.7 %
Georgia45 19,410 2,599,824 89.7 %Georgia56 25,543 3,472,056 90.2 %
North Carolina33 15,360 1,885,379 93.9 %Oklahoma36 16,147 2,209,587 91.8 %
Arizona31 16,881 1,924,787 91.2 %Arizona33 17,884 2,034,617 90.9 %
Oklahoma30 13,820 1,902,372 92.1 %North Carolina33 15,360 1,885,379 93.9 %
Louisiana26 12,334 1,536,608 85.8 %Louisiana26 12,334 1,536,608 85.8 %
Indiana16 8,774 1,134,420 93.9 %Michigan24 15,615 1,978,748 92.7 %
Kansas16 5,697 763,229 90.8 %Ohio22 12,439 1,526,014 89.4 %
Washington14 4,494 578,723 89.2 %New Jersey19 12,717 1,497,327 92.5 %
Nevada13 6,730 846,687 92.9 %Nevada17 8,347 1,099,494 92.5 %
Colorado 15 6,387 798,076 92.9 %Indiana16 8,774 1,134,420 93.9 %
New Hampshire11 4,775 581,391 95.4 %Kansas16 5,697 763,229 90.8 %
Missouri3,856 489,523 81.0 %Alabama15 6,288 936,848 89.7 %
Ohio3,647 461,393 90.4 %Washington14 4,494 578,723 89.2 %
Pennsylvania4,318 497,245 92.0 %Massachusetts12 7,683 888,521 91.0 %
Other(1)
41 20,976 2,555,958 90.8 %Colorado15 6,387 798,076 92.9 %
Total
611 292,705 36,811,817 91.4 %New Hampshire11 4,775 581,391 95.4 %
Pennsylvania11 5,956 658,115 91.8 %
Other(2)
74 40,267 4,853,185 89.1 %
Total
788 396,243 49,480,659 91.2 %



(1) Other states and territories in NSA's owned portfolio as of September 30, 2020 include Alabama, Idaho, Illinois, Kentucky, Maryland, Massachusetts, Mississippi, New Jersey, New Mexico, South Carolina, Virginia and Puerto Rico.
(2) Other states and territories in NSA's operated portfolio as of September 30, 2020 include Delaware, Idaho, Illinois, Kentucky, Maryland, Minnesota, Mississippi, Missouri, New Mexico, New York, Rhode Island, South Carolina, Tennessee, Virginia and Puerto Rico.
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Supplemental Schedule 3 (continued)
Portfolio Summary
(dollars in thousands) (unaudited)
2020 Acquisition Activity
Self Storage Properties Acquired
During the Quarter Ended:
Summary of Investment
StoresUnitsRentable Square FeetCash and Acquisition CostsValue of OP EquityOther LiabilitiesTotal
March 31, 20203613,5551,759,019 $214,584 $7,217 $972 $222,773 
June 30, 202042,488277,560 30,198 5,842 207 36,247 
September 30, 202042,084251,300 20,173 3,427 204 23,804 
Total Acquisitions4418,1272,287,879 $264,955 $16,486 $1,383 $282,824 
Unconsolidated Real Estate Ventures (at 100%)(3)
March 31, 2020253239,952 12,108 — 37 12,145 
Total Investments(4)
4618,6592,327,831 $277,063 $16,486 $1,420 $294,969 


















(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 acquired self storage properties located in California (2), Colorado (4), Florida (3), Georgia (1), Maryland (1), Massachusetts (1), New Jersey (1), Oregon (2), Pennsylvania (2) and Texas (29).

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Supplemental Schedule 4
Debt and Equity Capitalization
As of September 30, 2020
(unaudited)
Debt Summary (dollars in thousands)
Effective Interest Rate(1)
Basis of RateMaturity Date2020202120222023202420252026ThereafterTotal
Credit Facility:
Revolving line of credit
1.45%
Variable(2)
January 2024$— $— $— $— $246,500 $— $— $— $246,500 
Term loan - Tranche A
3.74%Swapped To FixedJanuary 2023— — — 125,000 — — — — 125,000 
Term loan - Tranche B
2.91%Swapped To FixedJuly 2024— — — — 250,000 — — — 250,000 
Term loan - Tranche C
2.80%Swapped To FixedJanuary 2025— — — — — 225,000 — — 225,000 
Term loan - Tranche D
3.57%Swapped To FixedJuly 2026— — — — — — 175,000 — 175,000 
Term loan facility - 20232.83%Swapped To FixedJune 2023— — — 175,000 — — — — 175,000 
Term loan facility - 20284.62%Swapped To FixedDecember 2028— — — — — — — 75,000 75,000 
Term loan facility - 20294.27%Swapped To FixedApril 2029— — — — — — — 100,000 100,000 
2029 Senior Unsecured Notes3.98%FixedAugust 2029— — — — — — — 100,000 100,000 
2031 Senior Unsecured Notes4.08%FixedAugust 2031— — — — — — — 50,000 50,000 
Fixed rate mortgages payable4.26%FixedJuly 2021 - October 2031— 3,555 — 80,149 20,224 — — 120,725 224,653 
Total Principal/Weighted Average
3.23%5.0 years$ $3,555 $ $380,149 $516,724 $225,000 $175,000 $445,725 $1,746,153 
Unamortized debt issuance costs and debt premium, net
(4,450)
Total Debt
$1,741,703 

Debt Ratios
Covenant
Amount
Net Debt to Annualized Current Quarter Adjusted EBITDAn/a6.0x
Trailing Twelve Month Fixed Charge Coverage Ratio
> 1.5x3.1x
Total Leverage Ratio< 60.0%43.1%
(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) For the $500 million revolving line of credit, the effective interest rate is calculated based on one month LIBOR plus an applicable margin of 1.30% and excludes fees which range from 0.15% to 0.20% for unused borrowings.
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Supplemental Schedule 4 (continued)
Debt and Equity Capitalization
As of September 30, 2020
(unaudited)

Preferred Shares and Units
Outstanding
6.000% Series A cumulative redeemable preferred shares of beneficial interest8,732,719 
6.000% Series A-1 cumulative redeemable preferred units637,382 
Common Shares and Units
OutstandingIf Converted
Common shares of beneficial interest69,146,476 69,146,476 
Restricted common shares31,396 31,396 
Total shares outstanding
69,177,872 69,177,872 
Operating partnership units29,443,460 29,443,460 
DownREIT operating partnership unit equivalents
1,924,918 1,924,918 
Total operating partnership units
31,368,378 31,368,378 
Long-term incentive plan units(3)
512,946 512,946 
Total shares and Class A equivalents outstanding
101,059,196 101,059,196 
Subordinated performance units(4)
8,770,744 10,437,185 
DownREIT subordinated performance unit equivalents(4)
4,337,111 5,161,162 
Total subordinated partnership units
13,107,855 15,598,347 
Total common shares and units outstanding
114,167,051 116,657,543 






(3) Balances exclude 252,894 long-term incentive plan ("LTIP") units which only vest and participate in dividend distributions upon the future contribution of properties from the PROs or the completion of expansion projects.
(4) If converted balance assumes that each subordinated performance unit (including each DownREIT subordinated performance unit) is convertible into OP units, notwithstanding the two-year lock-out period on conversions for certain series of subordinated performance units, and that each subordinated performance unit would on average convert on a hypothetical basis into an estimated 1.19 OP units based on historical financial information for the trailing twelve months ended September 30, 2020. The hypothetical conversions are calculated by dividing the average cash available for distribution, or CAD, per subordinated performance unit by 110% of the CAD per OP unit over the same period. The Company anticipates that as CAD grows over time, the conversion ratio will also grow, including to levels that may exceed these amounts.

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Supplemental Schedule 5
Summarized Information for Unconsolidated Real Estate Ventures
(dollars in thousands) (unaudited)
Combined Balance Sheet Information
 Total Ventures at 100%(1)
September 30, 2020December 31, 2019
ASSETS
Self storage properties, net$1,803,992 $1,835,235 
Other assets26,094 22,413 
Total assets$1,830,086 $1,857,648 
LIABILITIES AND EQUITY
Debt financing$989,819 $989,182 
Other liabilities23,462 20,487 
Equity816,805 847,979 
Total liabilities and equity$1,830,086 $1,857,648 

Combined Operating Information
Three Months Ended September 30, 2020Nine Months Ended September 30, 2020
 Total Ventures at 100%(1)
NSA Proportionate Share (Ventures at 25%)(2)
 Total Ventures at 100%(1)
NSA Proportionate Share (Ventures at 25%)(2)
Total revenue$41,878 $10,470 $121,846 $30,462 
Property operating expenses13,005 3,251 37,554 9,389 
Net operating income28,873 7,219 84,292 21,073 
Supervisory, administrative and other expenses
(2,780)(695)(8,089)(2,022)
Depreciation and amortization(15,320)(3,830)(45,711)(11,428)
Interest expense(10,303)(2,576)(30,867)(7,717)
Acquisition and other expenses(381)(95)(800)(200)
Net income (loss)$89 $23 $(1,175)$(294)
Add (subtract):
Equity in earnings adjustments related to amortization of basis differences
14 43 
Company's share of unconsolidated real estate venture real estate depreciation and amortization
3,830 11,428 
Company's share of FFO and Core FFO from unconsolidated real estate ventures
$3,867 $11,177 






(1) 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%.
(2) NSA's proportionate share of its unconsolidated real estate ventures is derived by applying NSA's 25% ownership interest to each line item in the GAAP financial statements of the unconsolidated real estate ventures to calculate NSA's share of that line item. NSA believes this information offers insights into the financial performance of the Company, although the presentation of such information, and its combination with NSA's consolidated results, may not accurately depict the legal and economic implications of holding a noncontrolling interest in the unconsolidated real estate ventures. 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 State
(dollars in thousands, except per square foot data) (unaudited)
Three Months Ended September 30, 2020 compared to Three Months Ended September 30, 2019
Total RevenueProperty Operating ExpensesNet Operating IncomeNet Operating Income Margin
StateStores3Q 20203Q 2019Growth3Q 20203Q 2019Growth3Q 20203Q 2019Growth3Q 20203Q 2019Growth
California81 $19,401 $19,439 (0.2)%$5,256 $5,219 0.7 %$14,145 $14,220 (0.5)%72.9 %73.2 %(0.3)%
Oregon60 10,029 10,115 (0.9)%2,629 2,574 2.1 %7,400 7,541 (1.9)%73.8 %74.6 %(0.8)%
Texas60 7,921 7,935 (0.2)%2,908 2,938 (1.0)%5,013 4,997 0.3 %63.3 %63.0 %0.3 %
Florida37 8,416 8,475 (0.7)%2,614 2,666 (2.0)%5,802 5,809 (0.1)%68.9 %68.5 %0.4 %
Georgia35 4,597 4,642 (1.0)%1,407 1,403 0.3 %3,190 3,239 (1.5)%69.4 %69.8 %(0.4)%
North Carolina33 5,058 5,118 (1.2)%1,426 1,433 (0.5)%3,632 3,685 (1.4)%71.8 %72.0 %(0.2)%
Oklahoma30 3,823 3,735 2.4 %1,161 1,195 (2.8)%2,662 2,540 4.8 %69.6 %68.0 %1.6 %
Arizona30 5,615 5,476 2.5 %1,630 1,589 2.6 %3,985 3,887 2.5 %71.0 %71.0 %— 
Indiana16 2,614 2,588 1.0 %795 825 (3.6)%1,819 1,763 3.2 %69.6 %68.1 %1.5 %
Kansas16 2,265 2,205 2.7 %791 833 (5.0)%1,474 1,372 7.4 %65.1 %62.2 %2.9 %
Louisiana14 1,868 1,932 (3.3)%664 687 (3.3)%1,204 1,245 (3.3)%64.5 %64.4 %0.1 %
Washington14 1,838 1,859 (1.1)%536 503 6.6 %1,302 1,356 (4.0)%70.8 %72.9 %(2.1)%
Nevada13 2,344 2,351 (0.3)%645 664 (2.9)%1,699 1,687 0.7 %72.5 %71.8 %0.7 %
Colorado11 1,785 1,810 (1.4)%576 619 (6.9)%1,209 1,191 1.5 %67.7 %65.8 %1.9 %
New Hampshire10 1,658 1,625 2.0 %523 505 3.6 %1,135 1,120 1.3 %68.5 %68.9 %(0.4)%
Other(1)
40 6,998 6,925 1.1 %2,143 2,155 (0.6)%4,855 4,770 1.8 %69.4 %68.9 %0.5 %
Total/Weighted Average500 $86,230 $86,230  $25,704 $25,808 (0.4)%$60,526 $60,422 0.2 %70.2 %70.1 %0.1 %
2019 Same Store Pool(2)
438 $75,233 $75,565 (0.4)%$22,440 $22,465 (0.1)%$52,793 $53,100 (0.6)%70.2 %70.3 %(0.1)%
2018 Same Store Pool(3)
373 $63,554 $63,937 (0.6)%$18,694 $18,595 0.5 %$44,860 $45,342 (1.1)%70.6 %70.9 %(0.3)%





(1) Other states and territories in NSA's same store portfolio include Alabama, Illinois, Kentucky, Maryland, Massachusetts, Mississippi, Missouri, New Mexico, Ohio, South Carolina, Virginia and Puerto Rico.
(2) Represents the subset of properties included in the 2020 same store pool that were in NSA's same store pool reported in 2019.
(3) Represents the subset of properties included in the 2020 same store pool that were in NSA's same store pool reported in 2018.

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Supplemental Schedule 6 (continued)
Same Store Performance Summary By State
(dollars in thousands, except per square foot data) (unaudited)
Three Months Ended September 30, 2020 compared to Three Months Ended September 30, 2019
Rentable Square FeetOccupancy at Period EndAverage OccupancyAverage Annualized Rental Revenue per Occupied Square Foot
StateUnits3Q 20203Q 2019Growth3Q 20203Q 2019Growth3Q 20203Q 2019Growth
California48,062 6,084,977 95.0 %90.2 %4.8 %93.4 %91.0 %2.4 %$12.99 $13.45 (3.4)%
Oregon24,299 3,074,344 90.7 %84.5 %6.2 %88.8 %86.0 %2.8 %14.33 14.97 (4.3)%
Texas24,172 3,420,824 90.5 %89.8 %0.7 %90.0 %90.8 %(0.8)%9.98 9.95 0.3 %
Florida23,645 2,526,698 89.8 %87.8 %2.0 %88.3 %88.5 %(0.2)%14.49 14.60 (0.8)%
Georgia14,322 1,934,436 90.6 %91.5 %(0.9)%90.4 %91.3 %(0.9)%10.16 10.15 0.1 %
North Carolina15,360 1,885,379 93.9 %94.2 %(0.3)%93.7 %95.0 %(1.3)%11.01 10.99 0.2 %
Oklahoma13,820 1,902,372 92.1 %88.9 %3.2 %92.0 %89.3 %2.7 %8.47 8.53 (0.7)%
Arizona16,521 1,876,247 91.1 %89.0 %2.1 %90.1 %89.2 %0.9 %12.90 12.73 1.3 %
Indiana8,774 1,134,420 93.9 %91.9 %2.0 %93.7 %92.1 %1.6 %9.57 9.64 (0.7)%
Kansas5,697 763,229 90.8 %88.8 %2.0 %91.9 %90.1 %1.8 %12.12 12.04 0.7 %
Louisiana6,312 857,928 86.4 %87.0 %(0.6)%86.6 %87.2 %(0.6)%9.86 10.10 (2.4)%
Washington4,494 578,723 89.2 %82.5 %6.7 %87.0 %84.7 %2.3 %14.33 14.87 (3.6)%
Nevada6,730 846,687 92.9 %90.6 %2.3 %92.7 %90.6 %2.1 %11.37 11.75 (3.2)%
Colorado5,035 614,106 93.1 %89.8 %3.3 %92.5 %91.6 %0.9 %12.25 12.55 (2.4)%
New Hampshire4,294 519,966 95.2 %90.2 %5.0 %94.2 %91.6 %2.6 %13.12 13.48 (2.7)%
Other(1)
19,027 2,334,334 90.8 %89.2 %1.6 %90.2 %90.3 %(0.1)%12.69 12.66 0.2 %
Total/Weighted Average240,564 30,354,670 91.9 %89.3 %2.6 %91.1 %90.1 %1.0 %$12.02 $12.19 (1.4)%
2019 Same Store Pool(2)
210,433 26,928,680 92.1 %89.5 %2.6 %91.1 %90.2 %0.9 %$11.81 $12.03 (1.8)%
2018 Same Store Pool(3)
177,961 22,654,770 92.3 %89.5 %2.8 %91.2 %90.3 %0.9 %$11.85 $12.09 (2.0)%



(1) Other states and territories in NSA's same store portfolio include Alabama, Illinois, Kentucky, Maryland, Massachusetts, Mississippi, Missouri, New Mexico, Ohio, South Carolina, Virginia and Puerto Rico.
(2) Represents the subset of properties included in the 2020 same store pool that were in NSA's same store pool reported in 2019.
(3) Represents the subset of properties included in the 2020 same store pool that were in NSA's same store pool reported in 2018.
18

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Supplemental Schedule 6
Same Store Performance Summary By State
(dollars in thousands, except per square foot data) (unaudited)
Nine Months Ended September 30, 2020 compared to Nine Months Ended September 30, 2019
Total RevenueProperty Operating ExpensesNet Operating IncomeNet Operating Income Margin
StateStoresYTD 2020YTD 2019GrowthYTD 2020YTD 2019GrowthYTD 2020YTD 2019GrowthYTD 2020YTD 2019Growth
California81 $57,448 $56,990 0.8 %$15,742 $15,421 2.1 %$41,706 $41,569 0.3 %72.6 %72.9 %(0.3)%
Oregon60 29,063 29,486 (1.4)%7,730 7,699 0.4 %21,333 21,787 (2.1)%73.4 %73.9 %(0.5)%
Texas60 23,339 23,191 0.6 %8,564 8,726 (1.9)%14,775 14,465 2.1 %63.3 %62.4 %0.9 %
Florida37 24,946 24,959 (0.1)%7,646 7,671 (0.3)%17,300 17,288 0.1 %69.3 %69.3 %— 
Georgia35 13,689 13,452 1.8 %4,320 4,394 (1.7)%9,369 9,058 3.4 %68.4 %67.3 %1.1 %
North Carolina33 14,963 14,864 0.7 %4,251 4,342 (2.1)%10,712 10,522 1.8 %71.6 %70.8 %0.8 %
Oklahoma30 11,244 11,025 2.0 %3,436 3,512 (2.2)%7,808 7,513 3.9 %69.4 %68.1 %1.3 %
Arizona30 16,452 16,008 2.8 %4,718 4,625 2.0 %11,734 11,383 3.1 %71.3 %71.1 %0.2 %
Indiana16 7,683 7,625 0.8 %2,439 2,279 7.0 %5,244 5,346 (1.9)%68.3 %70.1 %(1.8)%
Kansas16 6,566 6,291 4.4 %2,355 2,454 (4.0)%4,211 3,837 9.7 %64.1 %61.0 %3.1 %
Louisiana14