Maryland
|
95-3551121
|
(State or other jurisdiction of
incorporation or organization)
|
(I.R.S. Employer Identification Number)
|
701 Western Avenue, Glendale, California
|
91201-2349
|
(Address of principal executive offices)
|
(Zip Code)
|
PUBLIC STORAGE
|
||
INDEX
|
||
PART I
|
FINANCIAL INFORMATION
|
Pages
|
Item 1.
|
Financial Statements (Unaudited)
|
|
Balance Sheets at March 31, 2012 and December 31, 2011
|
1
|
|
Statements of Income for the Three Months Ended March 31, 2012 and 2011
|
2
|
|
Statements of Comprehensive Income for the Three Months Ended
March 31, 2012 and 2011
|
3
|
|
Statement of Equity for the Three Months Ended March 31, 2012
|
4
|
|
Statements of Cash Flows for the Three Months Ended March 31, 2012 and 2011
|
5 - 6
|
|
Condensed Notes to Financial Statements
|
7 - 27
|
|
Item 2.
|
Management’s Discussion and Analysis of
Financial Condition and Results of Operations
|
28 - 54
|
Item 3.
|
Quantitative and Qualitative Disclosures about Market Risk
|
54
|
Item 4.
|
Controls and Procedures
|
55
|
PART II
|
OTHER INFORMATION (Items 3, 4 and 5 are not applicable)
|
|
Item 1.
|
Legal Proceedings
|
56
|
Item 1A.
|
Risk Factors
|
56
|
Item 2.
|
Unregistered Sales of Equity Securities and Use of Proceeds
|
56 – 57
|
Item 6.
|
Exhibits
|
57
|
March 31,
2012
|
December 31,
2011
|
|||||||
ASSETS
|
(Unaudited)
|
|||||||
Cash and cash equivalents
|
$ | 620,079 | $ | 139,008 | ||||
Real estate facilities, at cost:
|
||||||||
Land
|
2,823,255 | 2,811,515 | ||||||
Buildings
|
8,008,921 | 7,966,061 | ||||||
10,832,176 | 10,777,576 | |||||||
Accumulated depreciation
|
(3,483,067 | ) | (3,398,379 | ) | ||||
7,349,109 | 7,379,197 | |||||||
Investment in unconsolidated real estate entities
|
723,528 | 714,627 | ||||||
Goodwill and other intangible assets, net
|
211,278 | 209,833 | ||||||
Loans receivable from unconsolidated real estate entities
|
414,833 | 402,693 | ||||||
Other assets
|
87,485 | 87,204 | ||||||
Total assets
|
$ | 9,406,312 | $ | 8,932,562 | ||||
LIABILITIES AND EQUITY
|
||||||||
Notes payable
|
$ | 372,979 | $ | 398,314 | ||||
Preferred shares called for redemption (Note 8)
|
476,634 | - | ||||||
Accrued and other liabilities
|
212,766 | 210,966 | ||||||
Total liabilities
|
1,062,379 | 609,280 | ||||||
Redeemable noncontrolling interests
|
- | 12,355 | ||||||
Commitments and contingencies (Note 12)
|
||||||||
Equity:
|
||||||||
Public Storage shareholders:
|
||||||||
Cumulative Preferred Shares of beneficial interest, $0.01 par value, 100,000,000 shares authorized, 128,018 shares issued (in series) and outstanding, (475,000 at December 31, 2011) at liquidation preference
|
3,200,450 | 3,111,271 | ||||||
Common Shares of beneficial interest, $0.10 par value, 650,000,000 shares authorized, 170,449,508 shares issued and outstanding (170,238,805 at December 31, 2011)
|
17,045 | 17,024 | ||||||
Paid-in capital
|
5,413,151 | 5,442,506 | ||||||
Accumulated deficit
|
(296,969 | ) | (259,578 | ) | ||||
Accumulated other comprehensive loss
|
(11,950 | ) | (23,014 | ) | ||||
Total Public Storage shareholders’ equity
|
8,321,727 | 8,288,209 | ||||||
Permanent noncontrolling interests
|
22,206 | 22,718 | ||||||
Total equity
|
8,343,933 | 8,310,927 | ||||||
Total liabilities and equity
|
$ | 9,406,312 | $ | 8,932,562 |
Three Months Ended
March 31,
|
||||||||
2012
|
2011
|
|||||||
Revenues:
|
||||||||
Self-storage facilities
|
$ | 407,688 | $ | 385,008 | ||||
Ancillary operations
|
29,276 | 26,915 | ||||||
Interest and other income
|
5,655 | 7,768 | ||||||
442,619 | 419,691 | |||||||
Expenses:
|
||||||||
Cost of operations:
|
||||||||
Self-storage facilities
|
138,974 | 135,327 | ||||||
Ancillary operations
|
9,518 | 8,914 | ||||||
Depreciation and amortization
|
86,938 | 88,511 | ||||||
General and administrative
|
16,405 | 14,235 | ||||||
Interest expense
|
5,334 | 6,984 | ||||||
257,169 | 253,971 | |||||||
Income from continuing operations before equity in earnings of unconsolidated real estate entities, foreign currency exchange gain, and gain on real estate sales
|
185,450 | 165,720 | ||||||
Equity in earnings of unconsolidated real estate entities
|
9,115 | 13,716 | ||||||
Foreign currency exchange gain
|
12,157 | 31,252 | ||||||
Gain on real estate sales
|
- | 198 | ||||||
Income from continuing operations
|
206,722 | 210,886 | ||||||
Discontinued operations
|
- | (318 | ) | |||||
Net income
|
206,722 | 210,568 | ||||||
Net income allocated to noncontrolling interests
|
(870 | ) | (4,460 | ) | ||||
Net income allocable to Public Storage shareholders
|
$ | 205,852 | $ | 206,108 | ||||
Allocation of net income to Public Storage shareholders:
|
||||||||
Preferred shareholders based on distributions paid
|
$ | 55,095 | $ | 57,617 | ||||
Preferred shareholders based on redemptions
|
24,900 | - | ||||||
Restricted share units
|
514 | 432 | ||||||
Common shareholders
|
125,343 | 148,059 | ||||||
$ | 205,852 | $ | 206,108 | |||||
Net income per common share – basic
|
||||||||
Continuing operations
|
$ | 0.74 | $ | 0.87 | ||||
Discontinued operations
|
- | - | ||||||
$ | 0.74 | $ | 0.87 | |||||
Net income per common share – diluted
|
||||||||
Continuing operations
|
$ | 0.73 | $ | 0.87 | ||||
Discontinued operations
|
- | - | ||||||
$ | 0.73 | $ | 0.87 | |||||
Basic weighted average common shares outstanding
|
170,309 | 169,315 | ||||||
Diluted weighted average common shares outstanding
|
171,415 | 170,382 |
Three Months Ended
March 31,
|
||||||||
2012
|
2011
|
|||||||
Net income
|
$ | 206,722 | $ | 210,568 | ||||
Other comprehensive income:
|
||||||||
Aggregate foreign currency translation adjustments for the period
|
23,221 | 46,347 | ||||||
Adjust for foreign currency translation gain recognized during the period
|
(12,157 | ) | (31,252 | ) | ||||
Other comprehensive income for the period
|
11,064 | 15,095 | ||||||
Total comprehensive income
|
217,786 | 225,663 | ||||||
Comprehensive income allocated to noncontrolling interests:
|
||||||||
Based upon income of the subsidiaries
|
(870 | ) | (4,460 | ) | ||||
Comprehensive income allocable to Public Storage Shareholders
|
$ | 216,916 | $ | 221,203 |
Cumulative Preferred Shares
|
Common Shares
|
Paid-in Capital
|
Accumulated
Deficit
|
Accumulated Other Comprehensive (Loss) Income
|
Total
Public Storage Shareholders’ Equity
|
Equity of Permanent Noncontrolling Interests
|
Total Equity
|
|||||||||||||||||||||||||
Balance at December 31, 2011
|
$ | 3,111,271 | $ | 17,024 | $ | 5,442,506 | $ | (259,578 | ) | $ | (23,014 | ) | $ | 8,288,209 | $ | 22,718 | $ | 8,310,927 | ||||||||||||||
Issuance of cumulative preferred shares (36,900,000 shares) (Note 8)
|
922,500 | - | (29,330 | ) | - | - | 893,170 | - | 893,170 | |||||||||||||||||||||||
Redemption of cumulative preferred shares (33,332,833 shares) (Note 8)
|
(833,321 | ) | - | - | - | - | (833,321 | ) | - | (833,321 | ) | |||||||||||||||||||||
Issuance of common shares in connection with share-based compensation (210,703 shares) (Note 10)
|
- | 21 | 9,701 | - | - | 9,722 | - | 9,722 | ||||||||||||||||||||||||
Share-based compensation expense, net of cash paid in lieu of common shares (Note 10)
|
- | - | (1,502 | ) | - | - | (1,502 | ) | - | (1,502 | ) | |||||||||||||||||||||
Acquisition of redeemable noncontrolling interests (Note 7)
|
- | - | (7,954 | ) | - | - | (7,954 | ) | - | (7,954 | ) | |||||||||||||||||||||
Decrease in permanent noncontrolling interests in connection with the acquisition of interests in Subsidiaries (Note 7)
|
- | - | (270 | ) | - | - | (270 | ) | (52 | ) | (322 | ) | ||||||||||||||||||||
Net income of the Company
|
- | - | - | 206,722 | - | 206,722 | - | 206,722 | ||||||||||||||||||||||||
Net income allocated to:
|
||||||||||||||||||||||||||||||||
Redeemable noncontrolling interests
|
- | - | - | (236 | ) | - | (236 | ) | - | (236 | ) | |||||||||||||||||||||
Permanent noncontrolling interests
|
- | - | - | (634 | ) | - | (634 | ) | 634 | - | ||||||||||||||||||||||
Distributions to equity holders:
|
||||||||||||||||||||||||||||||||
Cumulative preferred shares (Note 8)
|
- | - | - | (55,095 | ) | - | (55,095 | ) | - | (55,095 | ) | |||||||||||||||||||||
Permanent noncontrolling interests
|
- | - | - | - | - | - | (1,094 | ) | (1,094 | ) | ||||||||||||||||||||||
Common shares and restricted share units ($1.10 per share)
|
- | - | - | (188,148 | ) | - | (188,148 | ) | - | (188,148 | ) | |||||||||||||||||||||
Other comprehensive income (Note 2)
|
- | - | - | - | 11,064 | 11,064 | - | 11,064 | ||||||||||||||||||||||||
Balance at March 31, 2012
|
$ | 3,200,450 | $ | 17,045 | $ | 5,413,151 | $ | (296,969 | ) | $ | (11,950 | ) | $ | 8,321,727 | $ | 22,206 | $ | 8,343,933 |
For the Three Months Ended
March 31,
|
||||||||
2012
|
2011
|
|||||||
Cash flows from operating activities:
|
||||||||
Net income
|
$ | 206,722 | $ | 210,568 | ||||
Adjustments to reconcile net income to net cash provided by operating activities:
|
||||||||
Loss on real estate sales and debt retirement, net, including amounts in discontinued operations
|
- | 55 | ||||||
Depreciation and amortization, including amounts in discontinued operations
|
86,938 | 88,553 | ||||||
Distributions received from unconsolidated real estate entities in excess of (less than) equity in earnings of unconsolidated real estate entities
|
1,957 | (820 | ) | |||||
Foreign currency exchange gain
|
(12,157 | ) | (31,252 | ) | ||||
Other
|
(3,970 | ) | (2,285 | ) | ||||
Total adjustments
|
72,768 | 54,251 | ||||||
Net cash provided by operating activities
|
279,490 | 264,819 | ||||||
Cash flows from investing activities:
|
||||||||
Capital improvements to real estate facilities
|
(14,278 | ) | (11,874 | ) | ||||
Construction in process
|
(997 | ) | (4,087 | ) | ||||
Acquisition of real estate facilities and property intangibles (Note 3)
|
(41,970 | ) | (26,196 | ) | ||||
Proceeds from sales of other real estate investments
|
- | 451 | ||||||
Loans to unconsolidated real estate entities
|
- | (358,877 | ) | |||||
Proceeds from repayments of loans receivable from unconsolidated real estate entities
|
- | 13,430 | ||||||
Maturities of marketable securities
|
- | 102,279 | ||||||
Other investing activities
|
2,950 | 347 | ||||||
Net cash used in investing activities
|
(54,295 | ) | (284,527 | ) | ||||
Cash flows from financing activities:
|
||||||||
Principal payments on notes payable
|
(24,884 | ) | (105,535 | ) | ||||
Net proceeds from the issuance of common shares
|
9,722 | 11,373 | ||||||
Issuance of cumulative preferred shares
|
893,170 | - | ||||||
Redemption of cumulative preferred shares
|
(356,687 | ) | - | |||||
Acquisition of redeemable noncontrolling interests in subsidiaries
|
(19,900 | ) | - | |||||
Acquisition of permanent noncontrolling interests
|
(322 | ) | - | |||||
Distributions paid to Public Storage shareholders
|
(243,243 | ) | (193,505 | ) | ||||
Distributions paid to noncontrolling interests
|
(1,739 | ) | (3,857 | ) | ||||
Net cash provided by (used in) financing activities
|
256,117 | (291,524 | ) | |||||
Net increase (decrease) in cash and cash equivalents
|
481,312 | (311,232 | ) | |||||
Net effect of foreign exchange translation on cash
|
(241 | ) | 85 | |||||
Cash and cash equivalents at the beginning of the period
|
139,008 | 456,252 | ||||||
Cash and cash equivalents at the end of the period
|
$ | 620,079 | $ | 145,105 |
For the Three Months Ended
March 31,
|
||||||||
2012
|
2011
|
|||||||
Supplemental schedule of non-cash investing and financing activities:
|
||||||||
Foreign currency translation adjustment:
|
||||||||
Real estate facilities, net of accumulated depreciation
|
$ | (464 | ) | $ | (524 | ) | ||
Investment in unconsolidated real estate entities
|
(10,858 | ) | (14,637 | ) | ||||
Loan receivable from unconsolidated real estate entities
|
(12,140 | ) | (31,101 | ) | ||||
Accumulated other comprehensive income
|
23,221 | 46,347 | ||||||
Preferred shares called for redemption and reclassified to liabilities
|
476,634 | - | ||||||
Preferred shares called for redemption and reclassified from equity
|
(476,634 | ) | - | |||||
Adjustments of redeemable noncontrolling interests to fair values:
|
||||||||
Accumulated deficit
|
- | (153 | ) | |||||
Redeemable noncontrolling interests
|
- | 153 | ||||||
Real estate acquired in connection with elimination of intangible assets
|
- | (4,738 | ) | |||||
Intangible assets eliminated in connection with acquisition of real estate
|
- | 4,738 | ||||||
1.
|
Description of the Business
|
2.
|
Summary of Significant Accounting Policies
|
For the Three Months Ended March 31,
|
||||||||
2012
|
2011
|
|||||||
(Amounts in thousands)
|
||||||||
Net income allocable to common shareholders from continuing operations and discontinued operations:
|
||||||||
Net income allocable to common shareholders
|
$ | 125,343 | $ | 148,059 | ||||
Eliminate: Discontinued operations allocable to common shareholders
|
- | 318 | ||||||
Net income from continuing operations allocable to common shareholders
|
$ | 125,343 | $ | 148,377 | ||||
Weighted average common shares and equivalents outstanding:
|
||||||||
Basic weighted average common shares outstanding
|
170,309 | 169,315 | ||||||
Net effect of dilutive stock options - based on treasury stock method
|
1,106 | 1,067 | ||||||
Diluted weighted average common shares outstanding
|
171,415 | 170,382 |
3.
|
Real Estate Facilities
|
Three Months Ended
March 31, 2012
|
||||
(Amounts in thousands)
|
||||
Operating facilities, at cost:
|
||||
Beginning balance
|
$ | 10,777,576 | ||
Capital improvements
|
14,278 | |||
Acquisition of real estate facilities
|
38,570 | |||
Current development
|
997 | |||
Impact of foreign exchange rate changes
|
755 | |||
Ending balance
|
10,832,176 | |||
Accumulated depreciation:
|
||||
Beginning balance
|
(3,398,379 | ) | ||
Depreciation expense
|
(84,397 | ) | ||
Impact of foreign exchange rate changes
|
(291 | ) | ||
Ending balance
|
(3,483,067 | ) | ||
Total real estate facilities at March 31, 2012
|
$ | 7,349,109 |
4.
|
Investments in Real Estate Entities
|
Investments in Unconsolidated
Real Estate Entities at
|
||||||||
March 31,
2012
|
December 31, 2011
|
|||||||
PSB
|
$ | 324,636 | $ | 328,508 | ||||
Shurgard Europe
|
388,310 | 375,467 | ||||||
Other Investments
|
10,582 | 10,652 | ||||||
Total
|
$ | 723,528 | $ | 714,627 |
Equity in Earnings of Unconsolidated Real Estate Entities for the Three Months Ended March 31,
|
||||||||
2012
|
2011
|
|||||||
PSB
|
$ | 1,895 | $ | 8,784 | ||||
Shurgard Europe
|
6,842 | 4,527 | ||||||
Other Investments
|
378 | 405 | ||||||
Total
|
$ | 9,115 | $ | 13,716 |
2012
|
2011
|
|||||||
(Amounts in thousands)
|
||||||||
For the three months ended March 31,
|
||||||||
Total revenue
|
$ | 84,894 | $ | 73,690 | ||||
Costs of operations
|
(28,172 | ) | (25,708 | ) | ||||
Depreciation and amortization
|
(27,299 | ) | (20,754 | ) | ||||
General and administrative
|
(2,273 | ) | (1,570 | ) | ||||
Other items
|
(5,305 | ) | (985 | ) | ||||
Net income
|
21,845 | 24,673 | ||||||
Net income allocated to preferred unitholders, preferred shareholders and restricted stock unitholders (a)
|
(17,329 | ) | (3,210 | ) | ||||
Net income allocated to common shareholders and common unitholders
|
$ | 4,516 | $ | 21,463 | ||||
(a)
|
Includes EITF D-42 allocations to preferred equity holders of $5.3 million and from preferred equity holders of $7.4 million, during the three months ended March 31, 2012 and 2011, respectively, related to PSB’s redemption of preferred securities.
|
March 31,
2012
|
December 31,
2011
|
|||||||
(Amounts in thousands)
|
||||||||
Total assets (primarily real estate)
|
$ | 2,121,991 | $ | 2,138,619 | ||||
Debt
|
637,874 | 717,084 | ||||||
Other liabilities
|
65,194 | 60,940 | ||||||
Preferred stock and units
|
669,979 | 604,129 | ||||||
Common equity and units
|
748,944 | 756,466 |
2012
|
2011
|
|||||||
(Amounts in thousands)
|
||||||||
For the three months ended March 31,
|
||||||||
Our 49% equity share of Shurgard Europe’s net income (loss)
|
$ | 1,985 | $ | (2,009 | ) | |||
Add our 49% equity share of amounts received from Shurgard Europe:
|
||||||||
Interest on loans due from Shurgard Europe
|
4,559 | 6,289 | ||||||
Trademark license fee
|
298 | 247 | ||||||
Total equity in earnings of Shurgard Europe
|
$ | 6,842 | $ | 4,527 | ||||
2012
|
2011
|
|||||||
(Amounts in thousands)
|
||||||||
For the three months ended March 31,
|
||||||||
Self-storage and ancillary revenues
|
$ | 60,774 | $ | 62,248 | ||||
Interest and other income
|
154 | 117 | ||||||
Self-storage and ancillary cost of operations
|
(25,007 | ) | (26,275 | ) | ||||
Trademark license fee payable to Public Storage
|
(608 | ) | (505 | ) | ||||
Depreciation and amortization
|
(16,711 | ) | (18,465 | ) | ||||
General and administrative
|
(2,682 | ) | (2,696 | ) | ||||
Interest expense on third party debt
|
(2,522 | ) | (3,516 | ) | ||||
Interest expense on debt due to Public Storage
|
(9,304 | ) | (12,835 | ) | ||||
Income (expenses) from foreign currency exchange
|
(42 | ) | 643 | |||||
Net income (loss)
|
$ | 4,052 | $ | (1,284 | ) | |||
Net income allocated to permanent noncontrolling equity interests
|
- | (2,816 | ) | |||||
Net income (loss) allocated to Shurgard Europe
|
$ | 4,052 | $ | (4,100 | ) | |||
Average exchange rates Euro to the U.S. dollar
|
1.310 | 1.366 | ||||||
March 31,
2012
|
December 31,
2011
|
|||||||
(Amounts in thousands)
|
||||||||
Total assets (primarily self-storage facilities)
|
$ | 1,459,233 | $ | 1,430,307 | ||||
Total debt to third parties
|
267,256 | 280,065 | ||||||
Total debt to Public Storage
|
414,833 | 402,693 | ||||||
Other liabilities
|
87,031 | 85,917 | ||||||
Equity
|
690,113 | 661,632 | ||||||
Exchange rate at end of period Euro to the U.S. dollar
|
1.334 | 1.295 |
2012
|
2011
|
|||||||
(Amounts in thousands)
|
||||||||
For the three months ended March 31,
|
||||||||
Total revenue
|
$ | 3,719 | $ | 3,583 | ||||
Cost of operations and other expenses
|
(1,541 | ) | (1,505 | ) | ||||
Depreciation and amortization
|
(550 | ) | (628 | ) | ||||
Net income
|
$ | 1,628 | $ | 1,450 | ||||
March 31,
2012
|
December 31,
2011
|
|||||||
(Amounts in thousands)
|
||||||||
Total assets (primarily self-storage facilities)
|
$ | 30,232 | $ | 31,331 | ||||
Total accrued and other liabilities
|
580 | 1,588 | ||||||
Total Partners’ equity
|
29,652 | 29,743 |
5.
|
Loans Receivable from Unconsolidated Real Estate Entities
|
6.
|
Line of Credit and Notes Payable
|
March 31,
2012
|
December 31, 2011
|
|||||||
Unsecured Notes Payable:
|
||||||||
5.875% effective and stated note rate, interest only and payable semi-annually, matures in March 2013
|
$ | 186,460 | $ | 186,460 | ||||
|
||||||||
Secured Notes Payable:
|
||||||||
5.0% average effective rate mortgage notes payable, secured by 71 real estate facilities with a net book value of approximately $427 million at March 31, 2012 and stated note rates between 4.95% and 7.43%, maturing at varying dates between August 2012 and September 2028 (carrying amount includes $2,014 of unamortized premium at March 31, 2012 and $2,665 at December 31, 2011)
|
186,519 | 211,854 | ||||||
Total notes payable
|
$ | 372,979 | $ | 398,314 |
Unsecured
Notes Payable
|
Secured Notes Payable
|
Total
|
||||||||||
2012 (remainder)
|
$ | - | $ | 26,835 | $ | 26,835 | ||||||
2013
|
186,460 | 78,391 | 264,851 | |||||||||
2014
|
- | 35,127 | 35,127 | |||||||||
2015
|
- | 30,009 | 30,009 | |||||||||
2016
|
- | 10,065 | 10,065 | |||||||||
Thereafter
|
- | 6,092 | 6,092 | |||||||||
$ | 186,460 | $ | 186,519 | $ | 372,979 | |||||||
Weighted average effective rate
|
5.9 | % | 5.0 | % | 5.5 | % | ||||||
7.
|
Noncontrolling Interests
|
8.
|
Public Storage Shareholders’ Equity
|
At March 31, 2012
|
At December 31, 2011
|
||||||||||||||||||||
Series
|
Earliest Redemption
Date
|
Dividend Rate
|
Shares Outstanding
|
Liquidation Preference
|
Shares Outstanding
|
Liquidation Preference
|
|||||||||||||||
(Dollar amounts in thousands)
|
|||||||||||||||||||||
Series W
|
10/6/08
|
6.500 | % | 5,300 | $ | 132,500 | 5,300 | $ | 132,500 | ||||||||||||
Series X
|
11/13/08
|
6.450 | % | 4,800 | 120,000 | 4,800 | 120,000 | ||||||||||||||
Series Y
|
1/2/09
|
6.850 | % | - | - | 350,900 | 8,772 | ||||||||||||||
Series Z
|
3/5/09
|
6.250 | % | 4,500 | 112,500 | 4,500 | 112,500 | ||||||||||||||
Series A
|
3/31/09
|
6.125 | % | 4,600 | 115,000 | 4,600 | 115,000 | ||||||||||||||
Series C
|
9/13/09
|
6.600 | % | 4,425 | 110,625 | 4,425 | 110,625 | ||||||||||||||
Series D
|
2/28/10
|
6.180 | % | 5,400 | 135,000 | 5,400 | 135,000 | ||||||||||||||
Series E
|
4/27/10
|
6.750 | % | - | - | 5,650 | 141,250 | ||||||||||||||
Series F
|
8/23/10
|
6.450 | % | 9,893 | 247,325 | 9,893 | 247,325 | ||||||||||||||
Series L
|
10/20/11
|
6.750 | % | - | - | 8,267 | 206,665 | ||||||||||||||
Series M
|
1/9/12
|
6.625 | % | - | - | 19,065 | 476,634 | ||||||||||||||
Series N
|
7/2/12
|
7.000 | % | 6,900 | 172,500 | 6,900 | 172,500 | ||||||||||||||
Series O
|
4/15/15
|
6.875 | % | 5,800 | 145,000 | 5,800 | 145,000 | ||||||||||||||
Series P
|
10/7/15
|
6.500 | % | 5,000 | 125,000 | 5,000 | 125,000 | ||||||||||||||
Series Q
|
4/14/16
|
6.500 | % | 15,000 | 375,000 | 15,000 | 375,000 | ||||||||||||||
Series R
|
7/26/16
|
6.350 | % | 19,500 | 487,500 | 19,500 | 487,500 | ||||||||||||||
Series S
|
1/12/17
|
5.900 | % | 18,400 | 460,000 | - | - | ||||||||||||||
Series T
|
3/13/17
|
5.750 | % | 18,500 | 462,500 | - | - | ||||||||||||||
Total Cumulative Preferred Shares
|
128,018 | $ | 3,200,450 | 475,000 | $ | 3,111,271 |
9.
|
Related Party Transactions
|
11.
|
Segment Information
|
Domestic
Self-Storage
|
European
Self-Storage
|
Commercial
|
Other Items Not Allocated to Segments
|
Total
|
||||||||||||||||
(Amounts in thousands)
|
||||||||||||||||||||
Revenues:
|
||||||||||||||||||||
Self-storage facilities
|
$ | 407,688 | $ | - | $ | - | $ | - | $ | 407,688 | ||||||||||
Ancillary operations
|
- | - | 3,501 | 25,775 | 29,276 | |||||||||||||||
Interest and other income
|
- | 5,055 | - | 600 | 5,655 | |||||||||||||||
407,688 | 5,055 | 3,501 | 26,375 | 442,619 | ||||||||||||||||
Expenses:
|
||||||||||||||||||||
Cost of operations:
|
||||||||||||||||||||
Self-storage facilities
|
138,974 | - | - | - | 138,974 | |||||||||||||||
Ancillary operations
|
- | - | 1,304 | 8,214 | 9,518 | |||||||||||||||
Depreciation and amortization
|
86,238 | - | 700 | - | 86,938 | |||||||||||||||
General and administrative
|
- | - | - | 16,405 | 16,405 | |||||||||||||||
Interest expense
|
- | - | - | 5,334 | 5,334 | |||||||||||||||
225,212 | - | 2,004 | 29,953 | 257,169 | ||||||||||||||||
Income (loss) from continuing operations before equity in earnings of unconsolidated real estate entities, and foreign currency exchange gain
|
182,476 | 5,055 | 1,497 | (3,578 | ) | 185,450 | ||||||||||||||
Equity in earnings of unconsolidated real estate entities
|
378 | 6,842 | 1,895 | - | 9,115 | |||||||||||||||
Foreign currency exchange gain
|
- | 12,157 | - | - | 12,157 | |||||||||||||||
Net income (loss)
|
$ | 182,854 | $ | 24,054 | $ | 3,392 | $ | (3,578 | ) | $ | 206,722 |
Domestic
Self-Storage
|
European
Self-Storage
|
Commercial
|
Other Items Not Allocated to Segments
|
Total
|
||||||||||||||||
(Amounts in thousands)
|
||||||||||||||||||||
Revenues:
|
||||||||||||||||||||
Self-storage facilities
|
$ | 385,008 | $ | - | $ | - | $ | - | $ | 385,008 | ||||||||||
Ancillary operations
|
- | - | 3,800 | 23,115 | 26,915 | |||||||||||||||
Interest and other income
|
- | 6,803 | 195 | 770 | 7,768 | |||||||||||||||
385,008 | 6,803 | 3,995 | 23,885 | 419,691 | ||||||||||||||||
Expenses:
|
||||||||||||||||||||
Cost of operations:
|
||||||||||||||||||||
Self-storage facilities
|
135,327 | - | - | - | 135,327 | |||||||||||||||
Ancillary operations
|
- | - | 1,514 | 7,400 | 8,914 | |||||||||||||||
Depreciation and amortization
|
87,838 | - | 673 | - | 88,511 | |||||||||||||||
General and administrative
|
- | - | - | 14,235 | 14,235 | |||||||||||||||
Interest expense
|
- | - | - | 6,984 | 6,984 | |||||||||||||||
223,165 | - | 2,187 | 28,619 | 253,971 | ||||||||||||||||
Income (loss) from continuing operations before equity in earnings of unconsolidated real estate entities, foreign currency exchange gain and gain on real estate sales
|
161,843 | 6,803 | 1,808 | (4,734 | ) | 165,720 | ||||||||||||||
Equity in earnings of unconsolidated real estate entities
|
405 | 4,527 | 8,784 | - | 13,716 | |||||||||||||||
Foreign currency exchange gain
|
- | 31,252 | - | - | 31,252 | |||||||||||||||
Gain on real estate sales
|
- | - | - | 198 | 198 | |||||||||||||||
Income (loss) from continuing operations
|
162,248 | 42,582 | 10,592 | (4,536 | ) | 210,886 | ||||||||||||||
Discontinued operations
|
(318 | ) | - | - | - | (318 | ) | |||||||||||||
Net income (loss)
|
$ | 161,930 | $ | 42,582 | $ | 10,592 | $ | (4,536 | ) | $ | 210,568 |
12.
|
Commitments and Contingencies
|
13.
|
Subsequent Events
|
·
|
general risks associated with the ownership and operation of real estate including changes in demand, potential liability for environmental contamination, natural disasters, and adverse changes in laws and regulations governing property tax, real estate and zoning;
|
·
|
risks associated with downturns in the national and local economies in the markets in which we operate, including risks related to current economic conditions and the economic health of our tenants;
|
·
|
the impact of competition from new and existing self-storage and commercial facilities and other storage alternatives;
|
·
|
difficulties in our ability to successfully evaluate, finance, integrate into our existing operations, and manage acquired and developed properties;
|
·
|
risks associated with international operations including, but not limited to, unfavorable foreign currency rate fluctuations and local and global economic uncertainty that could adversely affect our earnings and cash flows;
|
·
|
risks related to our participation in joint ventures;
|
·
|
the impact of the regulatory environment as well as national, state, and local laws and regulations including, without limitation, those governing environmental, tax and tenant insurance matters and real estate investment trusts (“REITs”), and risks related to the impact of new laws and regulations;
|
·
|
risk of increased tax expense associated either with a possible failure by us to qualify as a REIT, or with challenges to intercompany transactions with our taxable REIT subsidiaries;
|
·
|
disruptions or shutdowns of our automated processes and systems or breaches of our data security;
|
·
|
difficulties in raising capital at a reasonable cost; and
|
·
|
economic uncertainty due to the impact of war or terrorism.
|
Three Months Ended March 31,
|
||||||||||||
2012
|
2011
|
Percentage
Change
|
||||||||||
FFO per diluted common share prior to adjustments for the following items
|
$ | 1.44 | $ | 1.28 | 12.5 | % | ||||||
Foreign currency exchange gain
|
0.07 | 0.18 | ||||||||||
Application of EITF D-42 to the redemption of our securities and our equity share from PSB
|
(0.16 | ) | 0.02 | |||||||||
FFO per diluted common share, as reported
|
$ | 1.35 | $ | 1.48 | (8.8 | )% |
Three Months Ended March 31,
|
||||||||
2012
|
2011
|
|||||||
(Amounts in thousands, except per share data)
|
||||||||
Computation of Funds from Operations (“FFO”) allocable to Common Shares:
|
||||||||
Net income
|
$ | 206,722 | $ | 210,568 | ||||
Add back – depreciation and amortization
|
86,938 | 88,511 | ||||||
Add back – depreciation from unconsolidated real estate investments
|
19,741 | 16,788 | ||||||
Add back – depreciation and amortization included in Discontinued Operations
|
- | 42 | ||||||
Eliminate – gain on sale of real estate investments
|
- | (198 | ) | |||||
Eliminate – loss on sale of real estate included in Discontinued Operations
|
- | 253 | ||||||
FFO allocable to our equity holders
|
313,401 | 315,964 | ||||||
Less allocations of FFO to other noncontrolling equity interests in subsidiaries
|
(1,718 | ) | (4,929 | ) | ||||
FFO allocable to Public Storage shareholders
|
311,683 | 311,035 | ||||||
Less allocations of FFO to:
|
||||||||
Preferred shareholders, based upon distributions paid
|
(55,095 | ) | (57,617 | ) | ||||
Preferred shareholders, based on redemptions
|
(24,900 | ) | - | |||||
Restricted share unitholders
|
(923 | ) | (728 | ) | ||||
Remaining FFO allocable to Common Shares
|
$ | 230,765 | $ | 252,690 | ||||
Diluted weighted average common shares outstanding
|
171,415 | 170,382 | ||||||
FFO per diluted common share
|
$ | 1.35 | $ | 1.48 | ||||
Self-Storage Operations Summary
|
Three Months Ended March 31,
|
|||||||||||
2012
|
2011
|
Percentage
Change
|
||||||||||
(Dollar amounts in thousands)
|
||||||||||||
Revenues:
|
||||||||||||
Same Store Facilities
|
$ | 383,928 | $ | 366,497 | 4.8 | % | ||||||
Non Same Store Facilities
|
23,760 | 18,511 | 28.4 | % | ||||||||
Total rental income
|
407,688 | 385,008 | 5.9 | % | ||||||||
Cost of operations:
|
||||||||||||
Same Store Facilities
|
130,682 | 128,295 | 1.9 | % | ||||||||
Non Same Store Facilities
|
8,292 | 7,032 | 17.9 | % | ||||||||
Total cost of operations
|
138,974 | 135,327 | 2.7 | % | ||||||||
Net operating income (a):
|
||||||||||||
Same Store Facilities
|
253,246 | 238,202 | 6.3 | % | ||||||||
Non Same Store Facilities
|
15,468 | 11,479 | 34.8 | % | ||||||||
Total net operating income
|
268,714 | 249,681 | 7.6 | % | ||||||||
Total depreciation and amortization expense:
|
||||||||||||
Same Store Facilities
|
(76,482 | ) | (77,941 | ) | (1.9 | )% | ||||||
Non Same Store Facilities
|
(9,756 | ) | (9,897 | ) | (1.4 | )% | ||||||
Total depreciation and amortization expense
|
(86,238 | ) | (87,838 | ) | (1.8 | )% | ||||||
Total net income
|
$ | 182,476 | $ | 161,843 | 12.7 | % | ||||||
Number of facilities at period end:
|
||||||||||||
Same Store Facilities
|
1,941 | 1,941 | - | |||||||||
Non Same Store Facilities
|
107 | 92 | 16.3 | % | ||||||||
Net rentable square footage at period end (in thousands):
|
||||||||||||
Same Store Facilities
|
122,464 | 122,464 | - | |||||||||
Non Same Store Facilities
|
7,896 | 6,444 | 22.5 | % |
SAME STORE FACILITIES
|
Three Months Ended March 31,
|
|||||||||||
2012
|
2011
|
Percentage
Change
|
||||||||||
Revenues:
|
(Dollar amounts in thousands, except weighted average amounts)
|
|||||||||||
Rental income
|
$ | 364,128 | $ | 347,754 | 4.7 | % | ||||||
Late charges and administrative fees
|
19,800 | 18,743 | 5.6 | % | ||||||||
Total revenues (a)
|
383,928 | 366,497 | 4.8 | % | ||||||||
Cost of operations:
|
||||||||||||
Property taxes
|
43,058 | 41,382 | 4.1 | % | ||||||||
On site property manager payroll
|
25,928 | 25,773 | 0.6 | % | ||||||||
Repairs and maintenance
|
12,025 | 10,765 | 11.7 | % | ||||||||
Utilities
|
9,424 | 10,101 | (6.7 | )% | ||||||||
Media advertising
|
3,145 | 4,046 | (22.3 | )% | ||||||||
Other advertising and selling expense
|
7,360 | 7,818 | (5.9 | )% | ||||||||
Other direct property costs
|
9,084 | 9,143 | (0.6 | )% | ||||||||
Supervisory payroll
|
8,934 | 8,360 | 6.9 | % | ||||||||
Allocated overhead
|
11,724 | 10,907 | 7.5 | % | ||||||||
Total cost of operations (a)
|
130,682 | 128,295 | 1.9 | % | ||||||||
Net operating income (b)
|
253,246 | 238,202 | 6.3 | % | ||||||||
Depreciation and amortization expense
|
(76,482 | ) | (77,941 | ) | (1.9 | )% | ||||||
Net income
|
$ | 176,764 | $ | 160,261 | 10.3 | % | ||||||
Gross margin (before depreciation and amortization expense)
|
66.0 | % | 65.0 | % | 1.5 | % | ||||||
Weighted average for the period:
|
||||||||||||
Square foot occupancy (c)
|
90.3 | % | 89.8 | % | 0.6 | % | ||||||
Realized annual rent per occupied square foot (d)(e)
|
$ | 13.17 | $ | 12.65 | 4.1 | % | ||||||
REVPAF (e)(f)
|
$ | 11.89 | $ | 11.36 | 4.7 | % | ||||||
Weighted average at March 31:
|
||||||||||||
Square foot occupancy
|
90.8 | % | 90.6 | % | 0.2 | % | ||||||
In place annual rent per occupied square foot (g)
|
$ | 13.96 | $ | 13.42 | 4.0 | % | ||||||
Total net rentable square feet (in thousands)
|
122,464 | 122,464 | - | |||||||||
Number of facilities
|
1,941 | 1,941 | - | |||||||||
(a)
|
Revenues and cost of operations do not include ancillary revenues and expenses generated at the facilities with respect to tenant reinsurance and retail sales.
|
(b)
|
See “Net Operating Income” below for a reconciliation of this non-GAAP measure to our net income in our statements of income for the three months ended March 31, 2012 and 2011.
|
(c)
|
Square foot occupancies represent weighted average occupancy levels over the entire period.
|
(d)
|
Realized annual rent per occupied square foot is computed by annualizing the result of dividing rental income (which excludes late charges and administrative fees) by the weighted average occupied square feet for the period. Realized annual rent per occupied square foot takes into consideration promotional discounts that reduce rental income from the contractual amounts due.
|
(e)
|
Late charges and administrative fees are excluded from the computation of realized annual rent per occupied square foot and REVPAF. Exclusion of these amounts provides a better measure of our ongoing level of revenue, by excluding the volatility of late charges, which are dependent principally upon the level of tenant delinquency, and administrative fees, which are charged upon move-in volumes and are therefore dependent principally upon the absolute level of move-ins for a period.
|
(f)
|
Realized annual rent per available foot or “REVPAF” is computed by dividing rental income (which excludes late charges and administrative fees) by the total available net rentable square feet for the period.
|
(g)
|
In place annual rent per occupied square foot represents annualized contractual rents per occupied square foot without reductions for promotional discounts and excludes late charges and administrative fees.
|
For the Quarter Ended
|
||||||||||||||||||||
March 31
|
June 30
|
September 30
|
December 31
|
Entire Year
|
||||||||||||||||
(Amounts in thousands, except for per square foot amount)
|
||||||||||||||||||||
Total revenues:
|
||||||||||||||||||||
2012
|
$ | 383,928 | ||||||||||||||||||
2001
|
$ | 366,497 | $ | 375,543 | $ | 393,819 | $ | 386,196 | $ | 1,522,055 | ||||||||||
Total cost of operations:
|
||||||||||||||||||||
2012
|
$ | 130,682 | ||||||||||||||||||
2011
|
$ | 128,295 | $ | 122,776 | $ | 121,338 | $ | 104,632 | $ | 477,041 | ||||||||||
Property tax expense:
|
||||||||||||||||||||
2012
|
$ | 43,058 | ||||||||||||||||||
2011
|
$ | 41,382 | $ | 40,264 | $ | 39,550 | $ | 26,063 | $ | 147,259 | ||||||||||
Repairs and maintenance expense:
|
||||||||||||||||||||
2012
|
$ | 12,025 | ||||||||||||||||||
2011
|
$ | 10,765 | $ | 10,993 | $ | 10,960 | $ | 12,519 | $ | 45,237 | ||||||||||
Media advertising expense:
|
||||||||||||||||||||
2012
|
$ | 3,145 | ||||||||||||||||||
2011
|
$ | 4,046 | $ | 3,360 | $ | 2,144 | $ | 992 | $ | 10,542 | ||||||||||
REVPAF:
|
||||||||||||||||||||
2012
|
$ | 11.89 | ||||||||||||||||||
2011
|
$ | 11.36 | $ | 11.64 | $ | 12.16 | $ | 11.96 | $ | 11.78 | ||||||||||
Weighted average realized annual rent per occupied square foot:
|
||||||||||||||||||||
2012
|
$ | 13.17 | ||||||||||||||||||
2011
|
$ | 12.65 | $ | 12.61 | $ | 13.19 | $ | 13.26 | $ | 12.92 | ||||||||||
Weighted average occupancy levels for the period:
|
||||||||||||||||||||
2012
|
90.3 | % | ||||||||||||||||||
2011
|
89.8 | % | 92.3 | % | 92.2 | % | 90.2 | % | 91.2 | % | ||||||||||
Three Months Ended March 31,
|
||||||||||||
2012
|
2011
|
Change
|
||||||||||
(Amounts in thousands, except for weighted average data)
|
||||||||||||
Same Store Facilities Operating Trends by Region
|
||||||||||||
Revenues:
|
||||||||||||
Southern California (191 facilities)
|
$ | 57,856 | $ | 55,922 | 3.5 | % | ||||||
Northern California (167 facilities)
|
39,142 | 37,029 | 5.7 | % | ||||||||
Texas (228 facilities)
|
38,002 | 35,637 | 6.6 | % | ||||||||
Florida (181 facilities)
|
35,994 | 34,248 | 5.1 | % | ||||||||
Illinois (121 facilities)
|
23,488 | 22,620 | 3.8 | % | ||||||||
Georgia (92 facilities)
|
14,121 | 13,423 | 5.2 | % | ||||||||
Washington (89 facilities)
|
18,889 | 18,290 | 3.3 | % | ||||||||
All other states (872 facilities)
|
156,436 | 149,328 | 4.8 | % | ||||||||
Total revenues
|
383,928 | 366,497 | 4.8 | % | ||||||||
Net operating income:
|
||||||||||||
Southern California
|
43,754 | 42,940 | 1.9 | % | ||||||||
Northern California
|
28,788 | 27,198 | 5.8 | % | ||||||||
Texas
|
23,888 | 21,664 | 10.3 | % | ||||||||
Florida
|
22,780 | 21,308 | 6.9 | % | ||||||||
Illinois
|
11,352 | 10,629 | 6.8 | % | ||||||||
Georgia
|
8,997 | 8,552 | 5.2 | % | ||||||||
Washington
|
13,454 | 13,151 | 2.3 | % | ||||||||
All other states
|
100,233 | 92,760 | 8.1 | % | ||||||||
Total net operating income
|
$ | 253,246 | $ | 238,202 | 6.3 | % | ||||||
Weighted average occupancy:
|
||||||||||||
Southern California
|
91.8 | % | 91.6 | % | 0.2 | % | ||||||
Northern California
|
92.5 | % | 91.4 | % | 1.2 | % | ||||||
Texas
|
90.2 | % | 89.0 | % | 1.3 | % | ||||||
Florida
|
90.3 | % | 89.4 | % | 1.0 | % | ||||||
Illinois
|
90.8 | % | 89.3 | % | 1.7 | % | ||||||
Georgia
|
88.8 | % | 88.6 | % | 0.2 | % | ||||||
Washington
|
89.7 | % | 89.8 | % | (0.1 | )% | ||||||
All other states
|
89.7 | % | 89.6 | % | 0.1 | % | ||||||
Total weighted average occupancy
|
90.3 | % | 89.8 | % | 0.6 | % | ||||||
Same Store Facilities Operating
Trends by Region (Continued)
|
Three Months Ended March 31,
|
|||||||||||
2012
|
2011
|
Change
|
||||||||||
(Amounts in thousands, except for weighted average data)
|
||||||||||||
Realized annual rent per occupied square foot:
|
||||||||||||
Southern California
|
$ | 18.26 | $ | 17.65 | 3.5 | % | ||||||
Northern California
|
16.91 | 16.13 | 4.8 | % | ||||||||
Texas
|
10.56 | 10.07 | 4.9 | % | ||||||||
Florida
|
12.44 | 11.96 | 4.0 | % | ||||||||
Illinois
|
12.81 | 12.62 | 1.5 | % | ||||||||
Georgia
|
9.82 | 9.35 | 5.0 | % | ||||||||
Washington
|
13.83 | 13.36 | 3.5 | % | ||||||||
All other states
|
12.43 | 11.90 | 4.5 | % | ||||||||
Total realized rent per square foot
|
$ | 13.17 | $ | 12.65 | 4.1 | % | ||||||
REVPAF:
|
||||||||||||
Southern California
|
$ | 16.76 | $ | 16.17 | 3.6 | % | ||||||
Northern California
|
15.63 | 14.74 | 6.0 | % | ||||||||
Texas
|
9.53 | 8.96 | 6.4 | % | ||||||||
Florida
|
11.24 | 10.70 | 5.0 | % | ||||||||
Illinois
|
11.63 | 11.26 | 3.3 | % | ||||||||
Georgia
|
8.72 | 8.29 | 5.2 | % | ||||||||
Washington
|
12.40 | 12.00 | 3.3 | % | ||||||||
All other states
|
11.15 | 10.66 | 4.6 | % | ||||||||
Total REVPAF
|
$ | 11.89 | $ | 11.36 | 4.7 | % | ||||||
NON SAME STORE FACILITIES
|
Three Months Ended March 31,
|
|||||||||||
2012
|
2011
|
Change
|
||||||||||
(Dollar amounts in thousands, except square foot amounts)
|
||||||||||||
Rental income:
|
||||||||||||
Facilities placed into service in 2012
|
$ | 138 | $ | - | $ | 138 | ||||||
Facilities placed into service in 2011
|
3,053 | 427 | 2,626 | |||||||||
Other facilities
|
20,569 | 18,084 | 2,485 | |||||||||
Total rental income
|
23,760 | 18,511 | 5,249 | |||||||||
Cost of operations before depreciation and amortization expense:
|
||||||||||||
Facilities placed into service in 2012
|
$ | 49 | $ | - | $ | 49 | ||||||
Facilities placed into service in 2011
|
1,014 | 176 | 838 | |||||||||
Other facilities
|
7,229 | 6,856 | 373 | |||||||||
Total cost of operations
|
8,292 | 7,032 | 1,260 | |||||||||
Net operating income before depreciation and amortization expense (a):
|
||||||||||||
Facilities placed into service in 2012
|
$ | 89 | $ | - | $ | 89 | ||||||
Facilities placed into service in 2011
|
2,039 | 251 | 1,788 | |||||||||
Other facilities
|
13,340 | 11,228 | 2,112 | |||||||||
Total net operating income (a)
|
15,468 | 11,479 | 3,989 | |||||||||
Depreciation and amortization expense
|
(9,756 | ) | (9,897 | ) | 141 | |||||||
Net income
|
$ | 5,712 | $ | 1,582 | $ | 4,130 | ||||||
At March 31:
|
||||||||||||
Square foot occupancy:
|
||||||||||||
Facilities placed into service in 2012
|
69.5 | % | - | - | ||||||||
Facilities placed into service in 2011
|
77.7 | % | 64.7 | % | 20.1 | % | ||||||
Other facilities
|
86.6 | % | 79.7 | % | 8.7 | % | ||||||
84.1 | % | 78.8 | % | 6.7 | % | |||||||
In place annual rent per occupied square foot:
|
||||||||||||
Facilities placed into service in 2012
|
$ | 12.13 | $ | - | - | |||||||
Facilities placed into service in 2011
|
14.32 | 8.48 | 68.9 | % | ||||||||
Other facilities
|
15.66 | 15.43 | 1.5 | % | ||||||||
$ | 15.28 | $ | 15.09 | 1.3 | % | |||||||
Number of Facilities:
|
||||||||||||
Facilities placed into service in 2012
|
6 | - | 6 | |||||||||
Facilities placed into service in 2011
|
14 | 5 | 9 | |||||||||
Other facilities
|
87 | 87 | - | |||||||||
107 | 92 | 15 | ||||||||||
Net rentable square feet (in thousands):
|
||||||||||||
Facilities placed into service in 2012
|
532 | - | 532 | |||||||||
Facilities placed into service in 2011
|
1,166 | 386 | 780 | |||||||||
Other facilities
|
6,198 | 6,058 | 140 | |||||||||
7,896 | 6,444 | 1,452 | ||||||||||
(a)
|
See “Net Operating Income” below for a reconciliation of this non-GAAP measure to our net income in our statements of income for the three months ended March 31, 2012 and 2011.
|
Historical summary:
|
Three Months Ended March 31,
|
|||||||||||
2012
|
2011
|
Change
|
||||||||||
(Amounts in thousands)
|
||||||||||||
Equity in earnings of unconsolidated real estate entities:
|
||||||||||||
PSB
|
$ | 1,895 | $ | 8,784 | $ | (6,889 | ) | |||||
Shurgard Europe
|
6,842 | 4,527 | 2,315 | |||||||||
Other Investments
|
378 | 405 | (27 | ) | ||||||||
Total equity in earnings of unconsolidated real estate entities
|
$ | 9,115 | $ | 13,716 | $ | (4,601 | ) |
Selected Operating Data for the 163 facilities operated by Shurgard Europe on a stabilized basis since January 1, 2010 (“European Same Store Facilities”):
|
Three Months Ended March 31,
|
|||||||||||
2012
|
2011
|
Percentage
Change
|
||||||||||
(Dollar amounts in thousands, except weighted average data,
utilizing constant exchange rates) (a)
|
||||||||||||
Revenues
|
$ | 47,433 | $ | 47,443 | 0.0 | % | ||||||
Less: Cost of operations (excluding depreciation and amortization expenses):
|
20,733 | 20,895 | (0.8 | )% | ||||||||
Net operating income (b)
|
$ | 26,700 | $ | 26,548 | 0.6 | % | ||||||
Gross margin
|
56.3 | % | 56.0 | % | 0.5 | % | ||||||
Weighted average for the period:
|
||||||||||||
Square foot occupancy (c)
|
83.8 | % | 84.6 | % | (0.9 | )% | ||||||
Realized annual rent per occupied square foot (d)(e)
|
$ | 25.66 | $ | 25.36 | 1.2 | % | ||||||
REVPAF (e)(f)
|
$ | 21.51 | $ | 21.46 | 0.2 | % | ||||||
Weighted average at March 31:
|
||||||||||||
Square foot occupancy
|
83.8 | % | 84.5 | % | (0.8 | )% | ||||||
In place annual rent per occupied square foot (g)
|
$ | 28.74 | $ | 28.18 | 2.0 | % | ||||||
Total net rentable square feet (in thousands)
|
8,677 | 8,677 | - | |||||||||
Average Euro to the U.S. Dollar (a):
|
||||||||||||
Constant exchange rates used herein
|
1.310 | 1.310 | - | |||||||||
Actual historical exchange rates
|
1.310 | 1.366 | (4.1 | )% |
(a)
|
In order to isolate changes in the underlying operations from the impact of exchange rates, the amounts in this table are presented on a constant exchange rate basis. The amounts for the three months ended March 31, 2011 have been restated using the actual exchange rate for the three months ended March 31, 2012.
|
(b)
|
We present net operating income “NOI” of the European Same Store Facilities, which is a non-GAAP financial measure that excludes the impact of depreciation and amortization expense. Although depreciation and amortization is a component of GAAP net income, we believe that NOI is a meaningful measure of operating performance, because we utilize NOI in making decisions with respect to capital allocations, segment performance, and comparing period-to-period and market-to-market property operating results. In addition, the investment community utilizes NOI in determining real estate values, and does not consider depreciation expense as it is based upon historical cost. NOI is not a substitute for net operating income after depreciation and amortization in evaluating our operating results.
|
(c)
|
Square foot occupancies represent weighted average occupancy levels over the entire period.
|
(d)
|
Realized annual rent per occupied square foot is computed by annualizing the result of dividing rental income (which excludes late charges and administrative fees) by the weighted average occupied square feet for the period. Realized annual rent per occupied square foot takes into consideration promotional discounts that reduce rental income from the contractual amounts due.
|
(e)
|
Late charges and administrative fees are excluded from the computation of realized annual rent per occupied square foot and REVPAF. Exclusion of these amounts provides a better measure of our ongoing level of revenue.
|
(f)
|
Realized annual rent per available foot or “REVPAF” is computed by dividing rental income before late charges and administrative fees by the total available net rentable square feet for the period.
|
(g)
|
In place annual rent per occupied square foot represents annualized contractual rents per occupied square foot without reductions for promotional discounts and excludes late charges and administrative fees.
|
Three Months Ended March 31
|
||||||||||||
2012
|
2011
|
Change
|
||||||||||
(Amounts in thousands)
|
||||||||||||
Ancillary Revenues:
|
||||||||||||
Tenant reinsurance premiums
|
$ | 18,592 | $ | 16,755 | $ | 1,837 | ||||||
Commercial
|
3,501 | 3,800 | (299 | ) | ||||||||
Merchandise and other
|
7,183 | 6,360 | 823 | |||||||||
Total revenues
|
29,276 | 26,915 | 2,361 | |||||||||
Ancillary Cost of Operations:
|
||||||||||||
Tenant reinsurance
|
3,533 | 3,118 | 415 | |||||||||
Commercial
|
1,304 | 1,514 | (210 | ) | ||||||||
Merchandise and other
|
4,681 | 4,282 | 399 | |||||||||
Total cost of operations
|
9,518 | 8,914 | 604 | |||||||||
Depreciation – commercial operations:
|
700 | 673 | 27 | |||||||||
Ancillary net income:
|
||||||||||||
Tenant reinsurance
|
15,059 | 13,637 | 1,422 | |||||||||
Commercial
|
1,497 | 1,613 | (116 | ) | ||||||||
Merchandise and other
|
2,502 | 2,078 | 424 | |||||||||
Total ancillary net income
|
$ | 19,058 | $ | 17,328 | $ | 1,730 |
|
Three Months Ended March 31
|
|||||||||||
2012
|
2011
|
Change
|
||||||||||
(Amounts in thousands)
|
||||||||||||
Stock based compensation expense
|
$ | 5,305 | $ | 5,070 | $ | 235 | ||||||
Costs of senior executives
|
3,485 | 2,056 | 1,429 | |||||||||
Development and acquisition overhead
|
2,513 | 1,992 | 521 | |||||||||
Tax compliance costs and taxes paid
|
1,622 | 1,720 | (98 | ) | ||||||||
Legal costs
|
1,632 | 1,330 | 302 | |||||||||
Public company costs
|
810 | 849 | (39 | ) | ||||||||
Other
|
1,038 | 1,218 | (180 | ) | ||||||||
Total
|
$ | 16,405 | $ | 14,235 | $ | 2,170 |
Net Operating Income
|
Three Months Ended March 31,
|
||||||||
2012
|
2011
|
|||||||
(Amounts in thousands)
|
||||||||
Net operating income:
|
||||||||
Same Store Facilities
|
$ | 253,246 | $ | 238,202 | ||||
Non Same Store Facilities
|
15,468 | 11,479 | ||||||
Total net operating income from self-storage
|
268,714 | 249,681 | ||||||
Depreciation and amortization expense:
|
||||||||
Same Store Facilities
|
(76,482 | ) | (77,941 | ) | ||||
Non Same Store Facilities
|
(9,756 | ) | (9,897 | ) | ||||
Total depreciation and amortization expense from self-storage
|
(86,238 | ) | (87,838 | ) | ||||
Net income:
|
||||||||
Same Store Facilities
|
176,764 | 160,261 | ||||||
Non Same Store Facilities
|
5,712 | 1,582 | ||||||
Total net income from self-storage
|
182,476 | 161,843 | ||||||
Ancillary operating revenue
|
29,276 | 26,915 | ||||||
Interest and other income
|
5,655 | 7,768 | ||||||
Ancillary cost of operations
|
(9,518 | ) | (8,914 | ) | ||||
Depreciation and amortization, commercial
|
(700 | ) | (673 | ) | ||||
General and administrative expense
|
(16,405 | ) | (14,235 | ) | ||||
Interest expense
|
(5,334 | ) | (6,984 | ) | ||||
Equity in earnings of unconsolidated real estate entities
|
9,115 | 13,716 | ||||||
Foreign currency exchange gain
|
12,157 | 31,252 | ||||||
Gains on real estate sales
|
- | 198 | ||||||
Discontinued operations
|
- | (318 | ) | |||||
Net income of the Company
|
$ | 206,722 | $ | 210,568 |
For the Three Months Ended March 31,
|
||||||||
2012
|
2011
|
|||||||
(Amount in thousands)
|
||||||||
Net cash provided by operating activities (a)
|
$ | 279,490 | $ | 264,819 | ||||
Capital improvements to real estate facilities
|
(14,278 | ) | (11,874 | ) | ||||
Remaining operating cash flow available for distributions to equity holders
|
265,212 | 252,945 | ||||||
Distributions paid to noncontrolling interests
|
(1,739 | ) | (3,857 | ) | ||||
Distributions paid to common shareholders and restricted share unitholders ($1.10 per share for the quarter ended
March 31, 2012 as compared to $0.80 per share for the same period in 2011) |
(188,148 | ) | (135,888 | ) | ||||
Distributions paid to preferred shareholders
|
(55,095 | ) | (57,617 | ) | ||||
Cash from operations available for principal payments on debt and reinvestment (b)
|
$ | 20,230 | $ | 55,583 |
(a)
|
Represents net cash provided by operating activities for each respective period as presented in our March 31, 2012 statements of cash flows.
|
(b)
|
We present cash from operations available for principal payments on debt and reinvestment because we believe it is an important measure to evaluate our ongoing liquidity. This measure is not a substitute for cash flows from operations or net cash flows in evaluating our liquidity, ability to repay our debt, or to meet our distribution requirements. In addition, this measure is not necessarily indicative of what can be expected for the year ended December 31, 2012, because cash generated by operating activities varies seasonally, while dividends vary based upon the dividend rate. However, we expect the cash from operations available for principal payments on debt and reinvestment for the full year ended December 31, 2012 to exceed the annualized amount for the three months ended March 31, 2012.
|
Unsecured debt
|
Secured debt
|
Total
|
||||||||||
2012 (remainder)
|
$ | - | $ | 26,835 | $ | 26,835 | ||||||
2013
|
186,460 | 78,391 | 264,851 | |||||||||
2014
|
- | 35,127 | 35,127 | |||||||||
2015
|
- | 30,009 | 30,009 | |||||||||
2016
|
- | 10,065 | 10,065 | |||||||||
Thereafter
|
- | 6,092 | 6,092 | |||||||||
$ | 186,460 | $ | 186,519 | $ | 372,979 |
Total
|
Remainder of
2012
|
2013
|
2014
|
2015
|
2016
|
Thereafter
|
||||||||||||||||||||||
Long-term debt (1)
|
$ | 409,062 | $ | 46,707 | $ | 274,412 | $ | 38,534 | $ | 31,358 | $ | 10,851 | $ | 7,200 | ||||||||||||||
Preferred shares called for redemption (2)
|
476,634 | 476,634 | - | - | - | - | - | |||||||||||||||||||||
Operating leases (3)
|
69,622 | 3,306 | 4,447 | 4,325 | 3,356 | 3,201 | 50,987 | |||||||||||||||||||||
Total
|
$ | 955,318 | $ | 526,647 | $ | 278,859 | $ | 42,859 | $ | 34,714 | $ | 14,052 | $ | 58,187 |
(1)
|
Amounts include principal and fixed-rate interest payments on our notes payable based on their contractual terms. See Note 6 to our March 31, 2012 financial statements for additional information on our notes payable.
|
(2)
|
In March 2012, we called for redemption all of our Cumulative Preferred Shares, Series M, at par plus accrued dividends. We redeemed these shares on April 11, 2012. Amounts include the liquidation amount of $476.6 million.
|
(3)
|
We lease land, equipment and office space under various operating leases. Certain leases are cancelable; however, significant penalties would be incurred upon cancellation. Amounts reflected above consider continuance of the lease without cancellation.
|
Remainder
of
2012
|
2013
|
2014
|
2015
|
2016
|
Thereafter
|
Total
|
Fair Value
|
|||||||||||||||||||||||||
Fixed rate debt
|
$ | 26,835 | $ | 264,851 | $ | 35,127 | $ | 30,009 | $ | 10,065 | $ | 6,092 | $ | 372,979 | $ | 378,497 | ||||||||||||||||
Average interest rate
|
5.53 | % | 5.72 | % | 5.34 | % | 4.33 | % | 5.59 | % | 5.66 | % | ||||||||||||||||||||
Variable rate debt (1)
|
$ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||||||||
Average interest rate
|
||||||||||||||||||||||||||||||||
(1)
|
Amounts include borrowings under our line of credit, which expires in March 2017. As of March 31, 2012, we have no borrowings under our line of credit.
|
PART II.
|
OTHER INFORMATION
|
Period Covered
|
Total Number of Shares Repurchased
|
Average Price Paid per Share
|
||||||
January 1, 2012 – January 31, 2012 |
- | - | ||||||
February 1, 2012 – February 29, 2012
|
||||||||
Preferred Shares - Series L
|
8,266,600 | $ | 25.00 | |||||
Preferred Shares - Series E
|
5,650,000 | $ | 25.00 | |||||
March 1, 2012 – March 31, 2012
|
||||||||
Preferred Shares - Series Y
|
350,900 | $ | 25.00 | |||||
Total |
14,267,500 | $ | 25.00 |
By:
|
/s/ John Reyes
|
John Reyes
Senior Vice President and Chief Financial Officer
(Principal financial officer and duly authorized officer)
|
3.1
|
Articles of Amendment and Restatement of Declaration of Trust of Public Storage, a Maryland real estate investment trust. Filed with the Registrant’s Annual Report on Form 10-K for the year ended December 31, 2010 and incorporated by reference herein.
|
3.2
|
Bylaws of Public Storage, a Maryland real estate investment trust. Filed with the Registrant’s Current Report on Form 8-K dated May 11, 2010 and incorporated by reference herein.
|
3.3
|
Articles Supplementary for Public Storage 6.500% Cumulative Preferred Shares, Series W. Filed with the Registrant’s Current Report on Form 8-K dated June 6, 2007 and incorporated by reference herein.
|
3.4
|
Articles Supplementary for Public Storage 6.450% Cumulative Preferred Shares, Series X. Filed with the Registrant’s Current Report on Form 8-K dated June 6, 2007 and incorporated by reference herein.
|
3.5
|
Articles Supplementary for Public Storage 6.850% Cumulative Preferred Shares, Series Y. Filed with the Registrant’s Current Report on Form 8-K dated June 6, 2007 and incorporated by reference herein.
|
3.6
|
Articles Supplementary for Public Storage 6.250% Cumulative Preferred Shares, Series Z. Filed with the Registrant’s Current Report on Form 8-K dated June 6, 2007 and incorporated by reference herein.
|
3.7
|
Articles Supplementary for Public Storage 6.125% Cumulative Preferred Shares, Series A. Filed with the Registrant’s Current Report on Form 8-K dated June 6, 2007 and incorporated by reference herein.
|
3.8
|
Articles Supplementary for Public Storage 6.600% Cumulative Preferred Shares, Series C. Filed with the Registrant’s Current Report on Form 8-K dated June 6, 2007 and incorporated by reference herein.
|
3.9
|
Articles Supplementary for Public Storage 6.180% Cumulative Preferred Shares, Series D. Filed with the Registrant’s Current Report on Form 8-K dated June 6, 2007 and incorporated by reference herein.
|
3.10
|
Articles Supplementary for Public Storage 6.450% Cumulative Preferred Shares, Series F. Filed with the Registrant’s Current Report on Form 8-K dated June 6, 2007 and incorporated by reference herein.
|
3.11
|
Articles Supplementary for Public Storage 6.625% Cumulative Preferred Shares, Series M. Filed with the Registrant’s Current Report on Form 8-K dated June 6, 2007 and incorporated by reference herein.
|
3.12
|
Articles Supplementary for Public Storage 7.000% Cumulative Preferred Shares, Series N. Filed with the Registrant’s Current Report on Form 8-K dated June 28, 2007 and incorporated by reference herein.
|
3.13
|
Articles Supplementary for Public Storage 6.875% Cumulative Preferred Shares, Series O. Filed with the Registrant’s Current Report on Form 8-K dated April 8, 2010 and incorporated by reference herein.
|
3.14
|
Articles Supplementary for Public Storage 6.500% Cumulative Preferred Shares, Series P. Filed with the Registrant’s Current Report on Form 8-K dated October 6, 2010 and incorporated by reference herein.
|
3.15
|
Articles Supplementary for Public Storage 6.5% Cumulative Preferred Shares, Series Q. Filed with the Registrant’s Current Report on Form 8-K dated May 2, 2011 and incorporated by reference herein.
|
3.16
|
Articles Supplementary for Public Storage 6.35% Cumulative Preferred Shares, Series R. Filed with the Registrant’s Current Report on Form 8-K dated July 20, 2011 and incorporated by reference herein.
|
3.17
|
Articles Supplementary for Public Storage 5.900% Cumulative Preferred Shares, Series S. Filed with the Registrant’s Current Report on Form 8-K dated January 9, 2012 and incorporated by reference herein.
|
3.18
|
Articles Supplementary for Public Storage 5.750% Cumulative Preferred Shares, Series T. Filed with the Registrant’s Current Report on Form 8-K dated March 7, 2012 and incorporated by reference herein.
|
4.1
|
Master Deposit Agreement, dated as of May 31, 2007. Filed with the Registrant’s Current Report on Form 8-K dated June 6, 2007 and incorporated by reference herein.
|
10.1
|
Amended Management Agreement between Registrant and Public Storage Commercial Properties Group, Inc. dated as of February 21, 1995. Filed with Public Storage Inc.’s (“PSI”) Annual Report on Form 10-K for the year ended December 31, 1994 (SEC File No. 001-0839) and incorporated herein by reference.
|
10.2
|
Second Amended and Restated Management Agreement by and among Registrant and the entities listed therein dated as of November 16, 1995. Filed with PS Partners, Ltd.’s Annual Report on Form 10-K for the year ended December 31, 1996 (SEC File No. 001-11186) and incorporated herein by reference.
|
10.3
|
Agreement of Limited Partnership of PS Business Parks, L.P. Filed with PS Business Parks, Inc.’s Quarterly Report on Form 10-Q for the quarterly period ended June 30, 1998 (SEC File No. 001-10709) and incorporated herein by reference.
|
10.4
|
Amended and Restated Agreement of Limited Partnership of Storage Trust Properties, L.P. (March 12, 1999). Filed with PSI’s Quarterly Report on Form 10-Q for the quarterly period ended June 30, 1999 (SEC File No. 001-0839) and incorporated herein by reference.
|
10.5
|
Amended and Restated Agreement of Limited Partnership of PSA Institutional Partners, L.P. Filed with PSI’s Annual Report on Form 10-K for the year ended December 31, 1999 (SEC File No. 001-0839) and incorporated herein by reference.
|
10.6
|
Amendment to Amended and Restated Agreement of Limited Partnership of PSA Institutional Partners, L.P. Filed with PSI’s Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2000 (SEC File No. 001-0839) and incorporated herein by reference.
|
10.7
|
Second Amendment to Amended and Restated Agreement of Limited Partnership of PSA Institutional Partners, L.P. Filed with PSI’s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2004 (SEC File No. 001-0839) and incorporated herein by reference.
|
10.8
|
Third Amendment to Amended and Restated Agreement of Limited Partnership of PSA Institutional Partners, L.P. Filed with PSI’s Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2004 (SEC File No. 001-0839) and incorporated herein by reference.
|
10.9
|
Amended and Restated Credit Agreement by and among Registrant, Wells Fargo Securities, LLC and Merrill Lynch, Pierce Fenner & Smith Incorporated as joint lead arrangers, Wells Fargo Bank, National Association, as administrative agent, and the other financial institutions party thereto, dated as of March 21, 2012. Filed with PSI’s Current Report on Form 8-K on March 27, 2012 (SEC File No. 001-0839) and incorporated herein by reference.
|
10.10*
|
Post-Retirement Agreement between Registrant and B. Wayne Hughes dated as of March 11, 2004. Filed with Registrant’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2009 and incorporated herein by reference.
|
10.11*
|
Shurgard Storage Centers, Inc. 2004 Long Term Incentive Compensation Plan. Incorporated by reference to Appendix A of Definitive Proxy Statement dated June 7, 2004 filed by Shurgard (SEC File No. 001-11455).
|
10.12*
|
Public Storage, Inc. 2001 Stock Option and Incentive Plan (“2001 Plan”). Filed with PSI’s Registration Statement on Form S-8 (SEC File No. 333-59218) and incorporated herein by reference.
|
10.13*
|
Form of 2001 Plan Non-qualified Stock Option Agreement. Filed with PSI’s Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2004 (SEC File No. 001-0839) and incorporated herein by reference.
|
10.14*
|
Form of 2001 Plan Restricted Share Unit Agreement. Filed with PSI’s Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2004 (SEC File No. 001-0839) and incorporated herein by reference.
|
10.15*
|
Form of 2001 Plan Non-Qualified Outside Director Stock Option Agreement. Filed with PSI’s Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2004 (SEC File No. 001-0839) and incorporated herein by reference.
|
10.16*
|
Public Storage 2007 Equity and Performance-Based Incentive Compensation Plan. Filed as Exhibit 4.1 to Registrant’s Registration Statement on Form S-8 (SEC File No. 333-144907) and incorporated herein by reference.
|
10.17*
|
Form of 2007 Plan Restricted Stock Unit Agreement. Filed with Registrant’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2007 and incorporated herein by reference.
|
10.18*
|
Form of 2007 Plan Stock Option Agreement. Filed with Registrant’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2007 and incorporated herein by reference.
|
10.19*
|
Form of Indemnity Agreement. Filed with Registrant’s Amendment No. 1 to Registration Statement on Form S-4 (SEC File No. 333-141448) and incorporated herein by reference.
|
10.20*
|
Amendment to Form of Trustee Stock Option Agreement. Filed as Exhibit 10.30 to Registrant’s Annual Report on Form 10-K for the year ended December 31, 2010 and incorporated herein by reference.
|
10.21*
|
Revised Form of Trustee Stock Option Agreement. Filed as Exhibit 10.31 to Registrant’s Annual Report on Form 10-K for the year ended December 31, 2010 and incorporated herein by reference.
|
10.22*
|
Employment Offer Letter Agreement dated July 7, 2011 between Registrant and Shawn Weidmann. Filed with Registrant’s Current Report on Form 8-K dated August 29, 2011 and incorporated herein by reference.
|
12
|
Statement Re: Computation of Ratio of Earnings to Fixed Charges and Preferred Stock Dividends. Filed herewith.
|
31.1
|
31.1 Rule 13a – 14(a) Certification. Filed herewith.
|
31.2
|
31.2 Rule 13a – 14(a) Certification. Filed herewith.
|
32
|
Section 1350 Certifications. Filed herewith.
|
101 .INS**
|
XBRL Instance Document
|
101 .SCH**
|
XBRL Taxonomy Extension Schema
|
101 .CAL**
|
XBRL Taxonomy Extension Calculation Linkbase
|
101 .DEF**
|
XBRL Taxonomy Extension Definition Linkbase
|
101 .LAB**
|
XBRL Taxonomy Extension Label Linkbase
|
101 .PRE**
|
XBRL Taxonomy Extension Presentation Link
|
_
|
(1)
|
SEC File No. 001-33519 unless otherwise indicated.
|
*
|
Denotes management compensatory plan agreement or arrangement.
|
**
|
Furnished herewith.
|
For the Three Months Ended
March 31,
|
For the Year Ended December 31,
|
|||||||||||||||||||||||||||
2012
|
2011
|
2011
|
2010
|
2009
|
2008
|
2007
|
||||||||||||||||||||||
(Amounts in thousands)
|
||||||||||||||||||||||||||||
Net income
|
$ | 206,722 | $ | 210,568 | $ | 836,459 | $ | 696,114 | $ | 790,456 | $ | 973,872 | $ | 487,078 | ||||||||||||||
Less: Income allocated to noncontrolling interests which do not have fixed charges
|
(706 | ) | (4,101 | ) | (11,993 | ) | (16,561 | ) | (17,203 | ) | (17,668 | ) | (16,527 | ) | ||||||||||||||
Less: Equity in earnings of investments
|
(9,115 | ) | (13,716 | ) | (58,704 | ) | (38,352 | ) | (53,244 | ) | (20,391 | ) | (12,738 | ) | ||||||||||||||
Add: Cash distributions from investments
|
11,072 | 12,896 | 53,507 | 49,888 | 49,408 | 43,455 | 23,606 | |||||||||||||||||||||
Less: Impact of discontinued operations
|
- | 318 | (2,417 | ) | (6,907 | ) | 6,902 | 7,834 | 521 | |||||||||||||||||||
Adjusted net income
|
207,973 | 205,965 | 816,852 | 684,182 | 776,319 | 987,102 | 481,940 | |||||||||||||||||||||
Interest expense
|
5,334 | 6,984 | 24,222 | 30,225 | 29,916 | 43,944 | 63,671 | |||||||||||||||||||||
Total earnings available to cover fixed charges
|
$ | 213,307 | $ | 212,949 | $ | 841,074 | $ | 714,407 | $ | 806,235 | $ | 1,031,046 | $ | 545,611 | ||||||||||||||
Total fixed charges - interest expense (including capitalized interest)
|
$ | 5,365 | $ | 7,064 | $ | 24,586 | $ | 30,610 | $ | 30,634 | $ | 45,942 | $ | 68,417 | ||||||||||||||
Cumulative preferred share cash dividends
|
$ | 55,095 | $ | 57,617 | $ | 224,877 | $ | 232,745 | $ | 232,431 | $ | 239,721 | $ | 236,757 | ||||||||||||||
Preferred partnership unit cash distributions
|
- | - | - | 5,930 | 9,455 | 21,612 | 21,612 | |||||||||||||||||||||
Allocations pursuant to EITF Topic D-42
|
24,900 | - | 35,585 | 8,289 | (78,218 | ) | (33,851 | ) | - | |||||||||||||||||||
Total preferred distributions
|
$ | 79,995 | $ | 57,617 | $ | 260,462 | $ | 246,964 | $ | 163,668 | $ | 227,482 | $ | 258,369 | ||||||||||||||
Total combined fixed charges and preferred share distributions
|
$ | 85,360 | $ | 64,681 | $ | 285,048 | $ | 277,574 | $ | 194,302 | $ | 273,424 | $ | 326,786 | ||||||||||||||
Ratio of earnings to fixed charges
|
39.76 | x | 30.15 | x | 34.21 | x | 23.34 | x | 26.32 | x | 22.44 | x | 7.97 | x | ||||||||||||||
Ratio of earnings to fixed charges and preferred share distributions
|
2.50 | x | 3.29 | x | 2.95 | x | 2.57 | x | 4.15 | x | 3.77 | x | 1.67 | x |
1.
|
I have reviewed this Quarterly Report on Form 10-Q of Public Storage;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
|
a)
|
designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
|
b)
|
designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
|
c)
|
evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
|
d)
|
disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant's other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
|
a)
|
all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
|
b)
|
any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
1.
|
I have reviewed this Quarterly Report on Form 10-Q of Public Storage;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
|
a)
|
designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
|
b)
|
designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
|
c)
|
evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
|
d)
|
disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant's other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
|
a)
|
all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
|
b)
|
any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
(1)
|
The Report fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934, as amended; and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
Investments In Real Estate Entities (Other Investments) (Narrative) (Details) (Other Investments [Member], USD $)
|
3 Months Ended |
---|---|
Mar. 31, 2012
|
|
Other Investments [Member]
|
|
Schedule of Equity Method Investments [Line Items] | |
Other equity ownership | 26.00% |
Number of self-storage facilities owned, other | 17 |
Debt on other investments | $ 0 |
Line Of Credit And Notes Payable (Carrying Amount Of Notes Payable) (Parenthetical) (Details) (USD $)
|
3 Months Ended | 12 Months Ended | |||
---|---|---|---|---|---|
Mar. 31, 2012
|
Mar. 31, 2012
5.875% Unsecured Notes Payable Due March 2013 [Member]
|
Mar. 31, 2012
5.0% Secured Notes Payable Maturing At Varying Between April 2012 And September 2028 [Member]
|
Dec. 31, 2011
5.0% Secured Notes Payable Maturing At Varying Between April 2012 And September 2028 [Member]
|
Dec. 31, 2010
Secured Notes Payable Maturity Date Maximum [Member]
5.0% Secured Notes Payable Maturing At Varying Between April 2012 And September 2028 [Member]
|
|
Line of Credit Facility [Line Items] | |||||
Effective note rate | 5.50% | 5.875% | |||
Stated note rate | 5.875% | ||||
Maturity date | Mar. 01, 2013 | ||||
Average effective rate fixed rate mortgage notes payable | 5.00% | ||||
Secured by real estate facilities | 71 | ||||
Net book value of real estate facilities securing notes payable | $ 427,000,000 | ||||
Secured notes payable stated rate minimum | 4.95% | ||||
Secured notes payable stated rates maximum | 7.43% | ||||
Secured notes payable stated maturity maximum | September 2028 | ||||
Carrying amount of unamortized premium of unsecured notes payable (parenthetical of notes payable) | $ 2,014,000 | $ 2,665,000 |
Share-Based Compensation (Stock Options) (Narrative) (Details) (USD $)
In Millions, except Share data, unless otherwise specified |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2012
|
Mar. 31, 2011
|
Dec. 31, 2011
|
|
Share Based Compensation [Line Items] | |||
Expiration period, number of years | ten | ||
Stock options compensation expense | $ 0.7 | $ 0.7 | |
Stock options exercised | 134,990 | ||
Stock options forfeited | 4,000 | ||
Stock options outstanding | 2,452,076 | 2,591,066 | |
Stock Options [Member]
|
|||
Share Based Compensation [Line Items] | |||
Vesting period, number of years | five |
Line Of Credit And Notes Payable (Narrative) (Details) (USD $)
|
3 Months Ended | 12 Months Ended | ||
---|---|---|---|---|
Mar. 31, 2012
|
Mar. 31, 2011
|
Dec. 31, 2011
|
May 04, 2012
|
|
Line of Credit Facility [Line Items] | ||||
Expiration of "credit agreement" | March 21, 2017 | |||
Credit agreement aggregate limit | $ 300,000,000 | |||
Credit agreement interest at March 31, 2012 spread (LIBOR) | 0.95% | |||
Quarterly facility fee information | 0.125 | |||
Outstanding borrowings on Credit Agreement | 0 | 0 | ||
Reduction in borrowing capacity to amount of letters of credit | 15,900,000 | 18,400,000 | ||
Cash paid for interest expense | 6,000,000 | 8,100,000 | ||
Interest capitalized as real estate | $ 0 | $ 100,000 | ||
Maximum [Member]
|
||||
Line of Credit Facility [Line Items] | ||||
Credit agreement interest rate spread (LIBOR) | 1.85% | |||
Quarterly facility fee | 0.40% | |||
Minimum [Member]
|
||||
Line of Credit Facility [Line Items] | ||||
Credit agreement interest rate spread (LIBOR) | 0.925% | |||
Quarterly facility fee | 0.125% |
Summary Of Significant Accounting Policies (Evaluation Of Asset Impairment And Foreign Currency Exchange Translation) (Narrative) (Details) (USD $)
|
3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | ||
---|---|---|---|---|---|---|
Mar. 31, 2012
|
Dec. 31, 2011
|
Mar. 31, 2012
Foreign Currency Average Exchange Rate [Member]
|
Mar. 31, 2011
Foreign Currency Average Exchange Rate [Member]
|
Mar. 31, 2012
Foreign Currency Actual [Member]
|
Dec. 31, 2011
Foreign Currency Actual [Member]
|
|
Trading Activity, Gains and Losses, Net [Line Items] | ||||||
Impairment of goodwill | $ 0 | $ 0 | ||||
Average exchange rates USD to Euro | 1.310 | 1.366 | 1.334 | 1.295 |
Segment Information (Narrative) (Details)
|
3 Months Ended |
---|---|
Mar. 31, 2012
|
|
Domestic Self-Storage [Member]
|
|
Segment Reporting Information [Line Items] | |
Number of self-storage facilities owned by the Company | 2,048 |
Europe Self-Storage [Member]
|
|
Segment Reporting Information [Line Items] | |
Institutional investor ownership in Shurgard | 51.00% |
Investments In Real Estate Entities (Tables)
|
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2012
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule Of Investments In Real Estate Entities And Equity In Earnings Of Real Estate |
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule Of Equity In Earnings |
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule Of Condensed Financial Information Of Other Investments |
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
PSB [Member]
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule Of Selected Financial Information |
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shurgard Europe [Member]
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule Of Selected Financial Information |
|
Investments In Real Estate Entities (Schedule Of Equity In Earnings) (Details) (Shurgard Europe Investment [Member], USD $)
In Thousands, unless otherwise specified |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2012
|
Mar. 31, 2011
|
Dec. 31, 2011
|
|
Shurgard Europe Investment [Member]
|
|||
Schedule of Equity Method Investments [Line Items] | |||
Our 49% equity share of Shurgard Europe's net income (loss) | $ 1,985 | $ (2,009) | |
Interest on loans due from Shurgard Europe | 4,559 | 6,289 | |
Trademark license fee | 298 | 247 | |
Total equity in earnings of Shurgard Europe | $ 6,842 | $ 4,527 | |
Equity share percentage in Shurgard Europe | 49.00% | 49.00% | 49.00% |
Investments In Real Estate Entities (Investments) (Narrative) (Details) (USD $)
|
3 Months Ended | |||
---|---|---|---|---|
Mar. 31, 2012
|
Mar. 31, 2011
|
Mar. 31, 2012
PSB Real Estate Investment [Member]
|
Dec. 31, 2011
PSB Real Estate Investment [Member]
|
|
Schedule of Equity Method Investments [Line Items] | ||||
Cash distributions from real estate investment entities | $ 11,100,000 | $ 12,900,000 | ||
Ownership interest, percentage | 42.00% | 42.00% | ||
Common stock owned of PSB | 5,801,606 | |||
Limited partnership units in PSB | 7,305,355 | |||
Closing price per share PSB stock | $ 65.54 | |||
Market value of PSB stock and LP units | $ 859,000,000 |
Public Storage Shareholders' Equity (Cumulative Preferred Shares Outstanding) (Details) (USD $)
In Thousands, except Share data, unless otherwise specified |
3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 0 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 1 Months Ended | 3 Months Ended | 12 Months Ended | 1 Months Ended | 3 Months Ended | |
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2012
|
Dec. 31, 2011
|
Mar. 31, 2012
Series W Preferred Stock [Member]
|
Dec. 31, 2011
Series W Preferred Stock [Member]
|
Mar. 31, 2012
Series X Preferred Stock [Member]
|
Dec. 31, 2011
Series X Preferred Stock [Member]
|
Mar. 31, 2012
Series Y Preferred Stock [Member]
|
Dec. 31, 2011
Series Y Preferred Stock [Member]
|
Mar. 31, 2012
Series Z Preferred Stock [Member]
|
Dec. 31, 2011
Series Z Preferred Stock [Member]
|
Mar. 31, 2012
Series A Preferred Stock [Member]
|
Dec. 31, 2011
Series A Preferred Stock [Member]
|
Mar. 31, 2012
Series C Preferred Stock [Member]
|
Dec. 31, 2011
Series C Preferred Stock [Member]
|
Mar. 31, 2012
Series D Preferred Stock [Member]
|
Dec. 31, 2011
Series D Preferred Stock [Member]
|
Mar. 31, 2012
Series E Preferred Stock [Member]
|
Dec. 31, 2011
Series E Preferred Stock [Member]
|
Mar. 31, 2012
Series F Preferred Stock [Member]
|
Dec. 31, 2011
Series F Preferred Stock [Member]
|
Mar. 31, 2012
Series L Preferred Stock [Member]
|
Dec. 31, 2011
Series L Preferred Stock [Member]
|
Mar. 31, 2012
Series M Preferred Stock [Member]
|
Dec. 31, 2011
Series M Preferred Stock [Member]
|
May 04, 2012
Series N Preferred Stock [Member]
|
Mar. 31, 2012
Series N Preferred Stock [Member]
|
Dec. 31, 2011
Series N Preferred Stock [Member]
|
Mar. 31, 2012
Series O Preferred Stock [Member]
|
Dec. 31, 2011
Series O Preferred Stock [Member]
|
Mar. 31, 2012
Series P Preferred Stock [Member]
|
Dec. 31, 2011
Series P Preferred Stock [Member]
|
Mar. 31, 2012
Series Q Preferred Stock [Member]
|
Dec. 31, 2011
Series Q Preferred Stock [Member]
|
Mar. 31, 2012
Series R Preferred Stock [Member]
|
Mar. 31, 2012
Series R Preferred Stock [Member]
|
Dec. 31, 2011
Series R Preferred Stock [Member]
|
Jan. 31, 2012
Series S Preferred Stock [Member]
|
Mar. 31, 2012
Series S Preferred Stock [Member]
|
Mar. 31, 2012
Series T Preferred Stock [Member]
|
|
Class of Stock [Line Items] | |||||||||||||||||||||||||||||||||||||||
Earliest Redemption Date | Oct. 06, 2008 | Nov. 13, 2008 | Jan. 02, 2009 | Mar. 05, 2009 | Mar. 31, 2009 | Sep. 13, 2009 | Feb. 28, 2010 | Apr. 27, 2010 | Aug. 23, 2010 | Oct. 20, 2011 | Jan. 09, 2012 | Jul. 02, 2012 | Apr. 15, 2015 | Oct. 07, 2015 | Apr. 14, 2016 | Jul. 26, 2016 | Jan. 12, 2017 | Mar. 13, 2017 | |||||||||||||||||||||
Dividend Rate % | 6.50% | 6.45% | 6.85% | 6.25% | 6.125% | 6.60% | 6.18% | 6.75% | 6.45% | 6.75% | 6.625% | 7.00% | 7.00% | 6.875% | 6.50% | 6.50% | 5.75% | 6.35% | 5.90% | 5.90% | 5.75% | ||||||||||||||||||
Shares Outstanding | 128,018 | 475,000 | 5,300 | 5,300 | 4,800 | 4,800 | 350,900 | 4,500 | 4,500 | 4,600 | 4,600 | 4,425 | 4,425 | 5,400 | 5,400 | 5,650 | 9,893 | 9,893 | 8,267 | 19,065 | 6,900 | 6,900 | 5,800 | 5,800 | 5,000 | 5,000 | 15,000 | 15,000 | 19,500 | 19,500 | 19,500 | 18,400 | 18,500 | ||||||
Liquidation Preference | $ 3,200,450 | $ 3,111,271 | $ 132,500 | $ 132,500 | $ 120,000 | $ 120,000 | $ 8,772 | $ 112,500 | $ 112,500 | $ 115,000 | $ 115,000 | $ 110,625 | $ 110,625 | $ 135,000 | $ 135,000 | $ 141,250 | $ 247,325 | $ 247,325 | $ 206,665 | $ 476,634 | $ 172,500 | $ 172,500 | $ 145,000 | $ 145,000 | $ 125,000 | $ 125,000 | $ 375,000 | $ 375,000 | $ 487,500 | $ 487,500 | $ 460,000 | $ 462,500 |
Line Of Credit And Notes Payable (Carrying Amount Of Notes Payable) (Details) (USD $)
In Thousands, unless otherwise specified |
Mar. 31, 2012
|
Dec. 31, 2011
|
---|---|---|
Line of Credit Facility [Line Items] | ||
Secured Notes Payable | $ 186,519 | $ 211,854 |
Total notes payable | 372,979 | 398,314 |
Carrying Amount [Member]
|
||
Line of Credit Facility [Line Items] | ||
Total notes payable | 372,979 | 398,314 |
Carrying Amount [Member] | 5.875% Unsecured Notes Payable Due March 2013 [Member]
|
||
Line of Credit Facility [Line Items] | ||
Unsecured Notes Payable | $ 186,460 | $ 186,460 |
Description Of The Business
|
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2012
|
|||
Description Of The Business [Abstract] | |||
Description Of The Business |
Public Storage (referred to herein as "the Company", "we", "us", or "our"), a Maryland real estate investment trust, was organized in 1980. Our principal business activities include the acquisition, development, ownership and operation of self-storage facilities which offer storage spaces for lease, generally on a month-to-month basis, for personal and business use.
At March 31, 2012, we had direct and indirect equity interests in 2,064 self-storage facilities (with approximately 131 million net rentable square feet) located in 38 states in the U.S. operating under the "Public Storage" name. In Europe, we own one facility in London, England and we have a 49% interest in Shurgard Europe, which owns 188 self-storage facilities (with approximately 10.1 million net rentable square feet) located in seven Western European countries, all operating under the "Shurgard" name. We also have direct and indirect equity interests in approximately 28.9 million net rentable square feet of commercial space located in 11 states in the U.S. primarily owned and operated by PS Business Parks, Inc. ("PSB") under the "PS Business Parks" name. At March 31, 2012, we have a 42% interest in PSB.
Any reference to the number of properties, square footage, number of tenant reinsurance policies outstanding and the aggregate coverage of such reinsurance policies are unaudited and outside the scope of our independent registered public accounting firm's audit of our financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). |