Public Storage, a self-storage real estate investment trust, released company operating results for the third quarter ending Sept. 30. Highlights include:
- Net income allocable to common shareholders was $182.2 million or $1.07 per diluted common share, compared to $173.5 million or $1.03 per diluted common share, for the same period in 2009, representing an increase of $8.7 million. This increase is due to improved operations of same-storage facilities, a foreign currency exchange gain of $55.5 million, and partially offset by a gain on disposition of $30.3 million related to an equity offering by PS Business Parks Inc.
- Revenue for same-store facilities increased 1.2 percent or $4.3 million in the quarter compared to the same period in 2009, primarily due to a 1.6 percent increase in average occupancy offset partially by a 0.5 percent reduction in realized rent per occupied square foot.
- Cost of operations for the same-storage facilities increased 3.2 percent or $3.7 million compared to the same period in 2009.
- Net operating income for same-storage facilities increased 0.2 percent or $0.6 million compared to the same period in 2009.
- Funds from operations (FFO) was $1.69 per common share on a diluted basis as compared to $1.44 per diluted common share for the same period in 2009, representing an increase of $0.25 per diluted common share or 17.4 percent.
During the third quarter, Public Storage acquired seven self-storage facilities, totaling 390,000 square feet, for approximately $27 million. Four of these facilities are in California, with the other three in Hawaii, Illinois and Louisiana. Public Storage is also under contract to acquire four properties for approximately $14.4 million, in Florida, New Jersey and Ohio. The acquisitions are expected to be completed in the fourth quarter of 2010.
Public Storage is a fully integrated, self-administered and self-managed real estate investment trust that primarily acquires, develops, owns and operates self-storage facilities. Headquartered in Glendale, Calif., the company has interests in 2,044 self-storage facilities in 38 states with approximately 129 million net rentable square feet in the United States, and 189 storage facilities in seven Western European nations operating under the Shurgard brand.