Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Feb. 19, 2019 | Jun. 29, 2018 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | EXR | ||
Entity Registrant Name | Extra Space Storage Inc. | ||
Entity Central Index Key | 1,289,490 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Smaller Reporting Company | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 127,298,501 | ||
Entity Public Float | $ 12,155,910,603 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Assets: | ||
Real estate assets, net | $ 7,491,831 | $ 7,132,431 |
Investments in unconsolidated real estate ventures | 125,326 | 75,907 |
Cash and cash equivalents | 57,496 | 55,683 |
Restricted cash | 15,194 | 30,361 |
Other assets, net | 158,131 | 166,571 |
Total assets | 7,847,978 | 7,460,953 |
Liabilities, Noncontrolling Interests and Equity: | ||
Notes payable, net | 4,137,213 | 3,738,497 |
Exchangeable senior notes, net | 562,374 | 604,276 |
Notes payable to trusts, net | 30,928 | 117,444 |
Revolving lines of credit | 81,000 | 94,000 |
Cash distributions in unconsolidated real estate ventures | 45,197 | 5,816 |
Accounts payable and accrued expenses | 101,461 | 96,087 |
Other liabilities | 104,383 | 81,026 |
Total liabilities | 5,062,556 | 4,737,146 |
Commitments and contingencies | ||
Extra Space Storage Inc. stockholders' equity: | ||
Preferred stock, $0.01 par value, 50,000,000 shares authorized, no shares issued or outstanding | 0 | 0 |
Common stock, $0.01 par value, 500,000,000 shares authorized, 127,103,750 and 126,007,091 shares issued and outstanding at December 31, 2018 and December 31, 2017, respectively | 1,271 | 1,260 |
Additional paid-in capital | 2,640,705 | 2,569,485 |
Accumulated other comprehensive income | 34,650 | 33,290 |
Accumulated deficit | (262,902) | (253,284) |
Total Extra Space Storage Inc. stockholders' equity | 2,413,724 | 2,350,751 |
Noncontrolling interest represented by Preferred Operating Partnership units, net | 153,096 | 159,636 |
Noncontrolling interests in Operating Partnership, net and other noncontrolling interests | 218,602 | 213,420 |
Total noncontrolling interests and equity | 2,785,422 | 2,723,807 |
Total liabilities, noncontrolling interests and equity | $ 7,847,978 | $ 7,460,953 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 500,000,000 | 500,000,000 |
Common stock, shares issued (in shares) | 127,103,750 | 126,007,091 |
Common stock, shares outstanding (in shares) | 127,103,750 | 126,007,091 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Revenues: | |||
Property rental | $ 1,039,340 | $ 967,229 | $ 864,742 |
Tenant reinsurance | 115,507 | 98,401 | 87,291 |
Management fees and other income | 41,757 | 39,379 | 39,842 |
Total revenues | 1,196,604 | 1,105,009 | 991,875 |
Expenses: | |||
Property operations | 291,695 | 271,974 | 250,005 |
Tenant reinsurance | 25,707 | 19,173 | 15,555 |
Acquisition related costs and other | 0 | 0 | 12,111 |
General and administrative | 81,256 | 78,961 | 81,806 |
Depreciation and amortization | 209,050 | 193,296 | 182,560 |
Total expenses | 607,708 | 563,404 | 542,037 |
Gain on real estate transactions, earnout on prior acquisitions and impairment of real estate | 30,807 | 112,789 | 8,465 |
Income from operations | 619,703 | 654,394 | 458,303 |
Interest expense | (178,436) | (153,511) | (133,479) |
Non-cash interest expense related to amortization of discount on equity component of exchangeable senior notes | (4,687) | (5,103) | (4,980) |
Interest income | 5,292 | 6,736 | 10,998 |
Income before equity in earnings of unconsolidated real estate ventures and income tax expense | 441,872 | 502,516 | 330,842 |
Equity in earnings of unconsolidated real estate ventures | 14,452 | 15,331 | 12,895 |
Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and purchase of joint venture partners' interests | 0 | 0 | 69,199 |
Income tax expense | (9,244) | (3,625) | (15,847) |
Net income | 447,080 | 514,222 | 397,089 |
Net income allocated to Preferred Operating Partnership noncontrolling interests | (13,995) | (14,989) | (14,700) |
Net income allocated to Operating Partnership and other noncontrolling interests | (17,796) | (20,220) | (16,262) |
Net income attributable to common stockholders | $ 415,289 | $ 479,013 | $ 366,127 |
Earnings per common share | |||
Basic (in dollars per share) | $ 3.29 | $ 3.79 | $ 2.92 |
Diluted (in dollars per share) | $ 3.27 | $ 3.76 | $ 2.91 |
Weighted average number of shares | |||
Basic (in shares) | 126,087,487 | 125,967,831 | 125,087,554 |
Diluted (in shares) | 133,159,033 | 134,155,771 | 125,948,076 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 447,080 | $ 514,222 | $ 397,089 |
Other comprehensive income: | |||
Change in fair value of interest rate swaps | 1,430 | 17,308 | 24,598 |
Total comprehensive income | 448,510 | 531,530 | 421,687 |
Less: comprehensive income attributable to noncontrolling interests | 31,861 | 35,997 | 32,438 |
Comprehensive income attributable to common stockholders | $ 416,649 | $ 495,533 | $ 389,249 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Redemption of Operating Partnership units for sale of property | Redemption of Operating Partnership units for common stock and cash | Redemption of Operating Partnership units for cash | Preferred Operating Partnership, Series A | Preferred Operating Partnership, Series B | Preferred Operating Partnership, Series C | Preferred Operating Partnership, Series D | Operating Partnership | Operating PartnershipRedemption of Operating Partnership units for sale of property | Operating PartnershipRedemption of Operating Partnership units for common stock and cash | Operating PartnershipRedemption of Operating Partnership units for cash | Operating PartnershipRedemption of Operating Partnership units for stock | Other | Common Stock | Common StockRedemption of Operating Partnership units for common stock and cash | Common StockRedemption of Operating Partnership units for stock | Additional Paid-in Capital | Additional Paid-in CapitalRedemption of Operating Partnership units for common stock and cash | Additional Paid-in CapitalRedemption of Operating Partnership units for cash | Accumulated Other Comprehensive Income | Accumulated Deficit |
Beginning balance at Dec. 31, 2015 | $ 2,372,604 | $ 14,189 | $ 41,902 | $ 10,730 | $ 13,710 | $ 202,834 | $ 162 | $ 1,241 | $ 2,431,754 | $ (6,352) | $ (337,566) | |||||||||||
Beginning balance (in shares) at Dec. 31, 2015 | 124,119,531 | |||||||||||||||||||||
Increase (Decrease) in Stockholders' Equity | ||||||||||||||||||||||
Issuance of common stock upon the exercise of options (in shares) | 97,855 | 97,855 | ||||||||||||||||||||
Issuance of common stock upon the exercise of options | $ 1,444 | $ 0 | 1,444 | |||||||||||||||||||
Restricted stock grants issued (in shares) | 119,931 | |||||||||||||||||||||
Restricted stock grants issued | 2 | $ 2 | ||||||||||||||||||||
Restricted stock grants cancelled (in shares) | (9,947) | |||||||||||||||||||||
Issuance of common stock, net of offering costs (in shares) | 1,381,300 | |||||||||||||||||||||
Issuance of common stock, net of offering costs | 123,422 | $ 14 | 123,408 | |||||||||||||||||||
Compensation expense related to stock-based awards | 8,045 | 8,045 | ||||||||||||||||||||
Issuance of Operating Partnership units in conjunction with acquisitions | 7,247 | 7,247 | ||||||||||||||||||||
Redemption or purchase of noncontrolling interests | $ (7,689) | $ (506) | 800 | $ (7,689) | $ (1,083) | (162) | (638) | $ 577 | ||||||||||||||
Redemption of Operating Partnership units (in shares) | 23,850 | |||||||||||||||||||||
Issuance of Preferred D Units in the Operating Partnership in conjunction with acquisitions | 67,193 | 67,193 | 0 | |||||||||||||||||||
Repurchase of equity portion of 2013 exchangeable senior notes (in shares) | 148,940 | |||||||||||||||||||||
Repurchase of equity portion of 2013 exchangeable senior notes | (872) | $ 2 | (874) | |||||||||||||||||||
Net income (loss) | 397,089 | 7,645 | 2,514 | 2,570 | 1,971 | 16,262 | 366,127 | |||||||||||||||
Other comprehensive income | 24,598 | 201 | 1,275 | 23,122 | ||||||||||||||||||
Tax effect from vesting of restricted stock grants and stock option exercises | 2,404 | 2,404 | ||||||||||||||||||||
Distributions to Operating Partnership units held by noncontrolling interests | (30,997) | (7,650) | (2,514) | (2,570) | (1,971) | (16,292) | ||||||||||||||||
Dividends paid on common stock | (367,818) | (367,818) | ||||||||||||||||||||
Ending balance at Dec. 31, 2016 | $ 2,596,166 | 14,385 | 41,902 | 10,730 | 80,903 | 203,354 | 0 | $ 1,259 | 2,566,120 | 16,770 | (339,257) | |||||||||||
Ending balance (in shares) at Dec. 31, 2016 | 125,881,460 | |||||||||||||||||||||
Increase (Decrease) in Stockholders' Equity | ||||||||||||||||||||||
Issuance of common stock upon the exercise of options (in shares) | 38,418 | 38,418 | ||||||||||||||||||||
Issuance of common stock upon the exercise of options | $ 1,266 | 1,266 | ||||||||||||||||||||
Restricted stock grants issued (in shares) | 95,392 | |||||||||||||||||||||
Restricted stock grants issued | $ 1 | (1) | ||||||||||||||||||||
Restricted stock grants cancelled (in shares) | (8,179) | |||||||||||||||||||||
Compensation expense related to stock-based awards | 9,561 | 9,561 | ||||||||||||||||||||
Issuance of Operating Partnership units in conjunction with acquisitions | 7,618 | 7,618 | ||||||||||||||||||||
Redemption or purchase of noncontrolling interests | $ (2,510) | $ (1,238) | $ (1,272) | |||||||||||||||||||
Issuance of Preferred D Units in the Operating Partnership in conjunction with acquisitions | 11,161 | 11,161 | ||||||||||||||||||||
Noncontrolling interest in consolidated joint venture | 216 | 216 | ||||||||||||||||||||
Repurchase of equity portion of 2013 exchangeable senior notes | (6,189) | (6,189) | ||||||||||||||||||||
Net income (loss) | 514,222 | 6,300 | 2,514 | 2,703 | 3,472 | 20,317 | (97) | 479,013 | ||||||||||||||
Other comprehensive income | 17,308 | 106 | 682 | 16,520 | ||||||||||||||||||
Tax effect from vesting of restricted stock grants and stock option exercises | 0 | |||||||||||||||||||||
Distributions to Operating Partnership units held by noncontrolling interests | (31,972) | (5,851) | (2,514) | (2,703) | (3,472) | (17,432) | ||||||||||||||||
Dividends paid on common stock | (393,040) | (393,040) | ||||||||||||||||||||
Ending balance at Dec. 31, 2017 | $ 2,723,807 | 14,940 | 41,902 | 10,730 | 92,064 | 213,301 | 119 | $ 1,260 | 2,569,485 | 33,290 | (253,284) | |||||||||||
Ending balance (in shares) at Dec. 31, 2017 | 126,007,091 | 126,007,091 | ||||||||||||||||||||
Increase (Decrease) in Stockholders' Equity | ||||||||||||||||||||||
Issuance of common stock upon the exercise of options (in shares) | 54,575 | 54,575 | ||||||||||||||||||||
Issuance of common stock upon the exercise of options | $ 1,169 | 1,169 | ||||||||||||||||||||
Restricted stock grants issued (in shares) | 85,066 | |||||||||||||||||||||
Restricted stock grants issued | 1 | $ 1 | 0 | |||||||||||||||||||
Restricted stock grants cancelled (in shares) | (11,771) | |||||||||||||||||||||
Issuance of common stock, net of offering costs (in shares) | 933,789 | |||||||||||||||||||||
Issuance of common stock, net of offering costs | 90,231 | $ 10 | 90,221 | |||||||||||||||||||
Compensation expense related to stock-based awards | 11,176 | 11,176 | ||||||||||||||||||||
Repayment of receivable for preferred operating units pledged as collateral on loan | 495 | 495 | ||||||||||||||||||||
Issuance of Operating Partnership units in conjunction with acquisitions | 1,877 | 1,877 | ||||||||||||||||||||
Redemption or purchase of noncontrolling interests | $ (2,558) | $ (1,126) | $ (1,337) | $ (1,432) | ||||||||||||||||||
Redemption of Operating Partnership units (in shares) | 35,000 | |||||||||||||||||||||
Conversion of Preferred C Units in the Operating Partnership for Common Operating Partnership Units | (6,851) | 6,851 | ||||||||||||||||||||
Noncontrolling interest in consolidated joint venture | 122 | 122 | ||||||||||||||||||||
Repurchase of equity portion of 2013 exchangeable senior notes | (31,251) | (31,251) | ||||||||||||||||||||
Net income (loss) | 447,080 | 5,035 | 2,514 | 2,731 | 3,715 | 17,797 | (1) | 415,289 | ||||||||||||||
Other comprehensive income | 1,430 | 12 | 58 | 1,360 | ||||||||||||||||||
Tax effect from vesting of restricted stock grants and stock option exercises | 0 | |||||||||||||||||||||
Distributions to Operating Partnership units held by noncontrolling interests | (33,250) | (5,231) | (2,514) | (2,731) | (3,715) | (19,059) | ||||||||||||||||
Dividends paid on common stock | (424,907) | (424,907) | ||||||||||||||||||||
Ending balance at Dec. 31, 2018 | $ 2,785,422 | $ 14,756 | $ 41,902 | $ 4,374 | $ 92,064 | $ 218,362 | $ 240 | $ 1,271 | $ 2,640,705 | $ 34,650 | $ (262,902) | |||||||||||
Ending balance (in shares) at Dec. 31, 2018 | 127,103,750 | 127,103,750 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends paid on common stock (in dollars per share) | $ 3.36 | $ 3.12 | $ 2.93 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | |||
Net income | $ 447,080 | $ 514,222 | $ 397,089 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 209,050 | 193,296 | 182,560 |
Amortization of deferred financing costs | 14,286 | 12,289 | 12,922 |
Non-cash interest expense related to amortization of discount on equity component of exchangeable senior notes | 4,687 | 5,103 | 4,980 |
Non-cash interest expense related to amortization of premium on notes payable | 0 | 0 | (872) |
Compensation expense related to stock-based awards | 11,176 | 9,561 | 8,045 |
Gain on sale of real estate assets and purchase of joint venture partners' interests | 0 | 0 | (69,199) |
Gain on real estate transactions, earnout on prior acquisitions and impairment of real estate | (30,807) | (112,789) | (8,465) |
Distributions from unconsolidated real estate ventures in excess of earnings | 6,867 | 4,567 | 3,534 |
Changes in operating assets and liabilities: | |||
Other assets | (1,664) | (12,728) | (1,614) |
Accounts payable and accrued expenses | 2,736 | (10,515) | 10,075 |
Other liabilities | 14,384 | (5,631) | 208 |
Net cash provided by operating activities | 677,795 | 597,375 | 539,263 |
Cash flows from investing activities: | |||
Acquisition of real estate assets | (426,388) | (653,185) | (1,086,523) |
Development and redevelopment of real estate assets | (60,677) | (31,746) | (23,279) |
Proceeds from sale of real estate assets, investments in real estate ventures and other assets | 52,458 | 312,165 | 60,813 |
Investment in unconsolidated real estate ventures | (65,500) | (17,944) | (28,241) |
Return of investment in unconsolidated real estate ventures | 49,130 | 581 | 16,953 |
Issuance of notes receivable | (13,850) | 0 | (26,429) |
Principal payments received from notes receivable | 25,226 | 44,869 | 42,785 |
Purchase of equipment and fixtures | (4,297) | (7,819) | (4,968) |
Net cash used in investing activities | (443,898) | (353,079) | (1,048,889) |
Cash flows from financing activities: | |||
Proceeds from the sale of common stock, net of offering costs | 90,231 | 0 | 123,424 |
Proceeds from notes payable and revolving lines of credit | 1,413,030 | 1,325,623 | 1,900,357 |
Principal payments on notes payable and revolving lines of credit | (1,109,854) | (1,088,679) | (1,122,442) |
Principal payments on notes payable to trusts | (88,662) | 0 | 0 |
Deferred financing costs | (12,302) | (6,967) | (17,486) |
Repurchase of exchangeable senior notes | (80,270) | (19,916) | (22,195) |
Net proceeds from exercise of stock options | 1,169 | 1,266 | 1,444 |
Proceeds from termination of interest rate cap | 0 | 0 | 1,650 |
Payment of earnout from prior acquisition | 0 | 0 | (4,600) |
Redemption of Operating Partnership units held by noncontrolling interests | (2,558) | (2,510) | (506) |
Contributions from noncontrolling interests | 122 | 201 | 0 |
Dividends paid on common stock | (424,907) | (393,040) | (367,818) |
Distributions to noncontrolling interests | (33,250) | (31,972) | (30,997) |
Net cash (used in) provided by financing activities | (247,251) | (215,994) | 460,831 |
Net increase (decrease) in cash, cash equivalents, and restricted cash | (13,354) | 28,302 | (48,795) |
Cash, cash equivalents, and restricted cash, beginning of the period | 86,044 | 57,742 | 106,537 |
Cash, cash equivalents, and restricted cash end of the period | 72,690 | 86,044 | 57,742 |
Supplemental schedule of cash flow information | |||
Interest paid | 159,474 | 136,202 | 122,265 |
Income taxes paid | 730 | 5,648 | 14,864 |
Redemption of Operating Partnership units held by noncontrolling interests for common stock | |||
Common stock and paid-in capital | 1,337 | 0 | 577 |
Tax effect from vesting of restricted stock grants and option exercises | |||
Other assets | 0 | 0 | 2,404 |
Additional paid-in capital | 0 | 0 | (2,404) |
Acquisitions of real estate assets | |||
Real estate assets | 457,617 | 627,462 | |
Notes payable assumed | (87,500) | (24,055) | |
Investment in unconsolidated real estate ventures | 0 | ||
Accrued construction costs and capital expenditures | |||
Acquisition of real estate assets | 778 | 3,509 | 8,497 |
Development and redevelopment of real estate assets | 554 | 1,703 | 125 |
Accounts payable and accrued expenses | (1,332) | (5,212) | (8,622) |
Distribution of real estate from investments in unconsolidated real estate ventures | |||
Real estate assets, net | 0 | 0 | 25,055 |
Investments in unconsolidated real estate ventures | 0 | 0 | (25,055) |
Disposition of real estate assets | |||
Real estate assets, net | 0 | 0 | (7,869) |
Issuance of Preferred OP Units for additional investment in unconsolidated real estate venture | |||
Preferred OP Units issued | 0 | (4,351) | 0 |
Investment in unconsolidated real estate ventures | 0 | 4,351 | 0 |
Acquisitions of real estate assets | |||
Acquisitions of real estate assets | |||
Real estate assets | 88,842 | 51,455 | 84,163 |
Value of Operating Partnership units issued | (1,877) | (14,428) | (74,440) |
Notes payable assumed | (87,500) | (24,055) | (9,723) |
Investment in unconsolidated real estate ventures | 535 | (12,957) | |
Other noncontrolling interests | 0 | (15) | 0 |
Operating Partnership units redeemed | |||
Redemption of Operating Partnership units held by noncontrolling interests for common stock | |||
Noncontrolling interests in Operating Partnership | (1,337) | 0 | (577) |
Disposition of real estate assets | |||
Operating Partnership units redeemed | 0 | 0 | 7,869 |
Acquisition of noncontrolling interests | |||
Acquisition of noncontrolling interests | |||
Operating Partnership units issued | 0 | 0 | (800) |
Other noncontrolling interests | 0 | 0 | 162 |
Additional paid-in capital | $ 0 | $ 0 | $ 638 |
Description of Business
Description of Business | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DESCRIPTION OF BUSINESS | DESCRIPTION OF BUSINESS Extra Space Storage Inc. (the “Company”) is a fully integrated, self-administered and self-managed real estate investment trust (“REIT”), formed as a Maryland corporation on April 30, 2004, to own, operate, manage, acquire, develop and redevelop professionally managed self-storage properties located throughout the United States. The Company was formed to continue the business of Extra Space Storage LLC and its subsidiaries, which had engaged in the self-storage business since 1977. The Company’s interest in its stores is held through its operating partnership, Extra Space Storage LP (the “Operating Partnership”), which was formed on May 5, 2004. The Company’s primary assets are general partner and limited partner interests in the Operating Partnership. This structure is commonly referred to as an umbrella partnership REIT, or UPREIT. The Company invests in stores by acquiring wholly-owned stores or by acquiring an equity interest in real estate entities. At December 31, 2018 , the Company had direct and indirect equity interests in 1,111 storage facilities. In addition, the Company managed 536 stores for third parties bringing the total number of stores which it owns and/or manages to 1,647 . These stores are located in 39 states, Washington, D.C. and Puerto Rico. The Company also offers tenant reinsurance at its owned and managed stores that insures the value of goods in the storage units. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The consolidated financial statements are presented on the accrual basis of accounting in accordance with U.S. generally accepted accounting principles (“GAAP”) and include the accounts of the Company and its wholly- or majority-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Certain amounts previously reported in the consolidated financial statements have been reclassified in the accompanying consolidated financial statements to conform to the current period’s presentation, primarily to change the presentation of Gain on real estate transactions, earnout from prior acquisitions, and impairment of real estate on the consolidated statement of operations. The Company has included Gain on real estate transactions, earnout from prior acquisitions, and impairment of real estate as a component of Income from operations to present gain and losses on sales of properties in accordance with ASC 360-10-45-5. The change was made for the prior periods as the Securities and Exchange Commission has eliminated Rule 3-15(a) of Regulation S-X as part of Release No. 33-10532; 34-83875; IC-33203, which had required REITs to present gain and losses on sale of properties outside of continuing operations in the statement of operations. Immaterial Correction to Consolidated Balance Sheets In connection with the preparation of the financial statements for the quarter ended March 31, 2018, the Company determined that the negative balances in the "Investments in unconsolidated real estate ventures" line should be presented separately as liabilities. As a result, $5,816 should have been reported as "Cash distributions in unconsolidated real estate ventures" as of December 31, 2017. The Company concluded that the amount was not material to the consolidated balance sheet as of December 31, 2017 but has elected to present these amounts as liabilities in the accompanying financial statements for consistent presentation. The classification error had no effect on the previously reported consolidated statements of operations, comprehensive income, stockholders' equity or cash flows for the year ended December 31, 2017. Variable Interest Entities The Company accounts for arrangements that are not controlled through voting or similar rights as variable interest entities (“VIEs”). An enterprise is required to consolidate a VIE if it is the primary beneficiary of the VIE. A VIE is created when (i) the equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support from other parties, or (ii) the entity’s equity holders as a group either: (a) lack the power, through voting or similar rights, to direct the activities of the entity that most significantly impact the entity’s economic performance, (b) are not obligated to absorb expected losses of the entity if they occur, or (c) do not have the right to receive expected residual returns of the entity if they occur. If an entity is deemed to be a VIE, the enterprise that is deemed to have a variable interest, or combination of variable interests, that provides the enterprise with a controlling financial interest in the VIE, is considered the primary beneficiary and must consolidate the VIE. The Company has concluded that under certain circumstances when the Company enters into arrangements for the formation of joint ventures, a VIE may be created under condition (i), (ii) (b) or (c) of the previous paragraph. For each VIE created, the Company has performed a qualitative analysis, including considering which party, if any, has the power to direct the activities most significant to the economic performance of each VIE and whether that party has the obligation to absorb losses of the VIE or the right to receive benefits from the VIE that could be significant to the VIE. If the Company is determined to be the primary beneficiary of the VIE, the assets, liabilities and operations of the VIE are consolidated with the Company’s financial statements. Additionally, the Operating Partnership has notes payable to one trust that is a VIE under condition (ii)(a) above. Since the Operating Partnership is not the primary beneficiary of the trust, this VIE is not consolidated. The Company’s investments in real estate joint ventures, where the Company has significant influence, but not control, and joint ventures which are VIEs in which the Company is not the primary beneficiary, are recorded under the equity method of accounting on the accompanying consolidated financial statements. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Fair Value Disclosures Derivative financial instruments Currently, the Company uses interest rate swaps to manage its interest rate risk. The valuation of these instruments is determined using widely accepted valuation techniques including discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate curves. The fair values of interest rate swaps are determined using the market standard methodology of netting the discounted future fixed cash payments and the discounted expected variable cash receipts. The variable cash receipts are based on an expectation of future interest rates (forward curves) derived from observable market interest rate forward curves. The Company incorporates credit valuation adjustments to appropriately reflect both its own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. In adjusting the fair value of its derivative contracts for the effect of nonperformance risk, the Company has considered the impact of netting and any applicable credit enhancements, such as collateral postings, thresholds, mutual puts, and guarantees. In conjunction with the Financial Accounting Standard Board’s fair value measurement guidance, the Company made an accounting policy election to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio. Although the Company has determined that the majority of the inputs used to value its derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with its derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by itself and its counterparties. However, as of December 31, 2018 , the Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and has determined that the credit valuation adjustments are not significant to the overall valuation of its derivatives. As a result, the Company has determined that its derivative valuations in their entirety are classified in Level 2 of the fair value hierarchy. The table below presents the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2018 , aggregated by the level in the fair value hierarchy within which those measurements fall. Fair Value Measurements at Reporting Date Using Description December 31, 2018 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Other assets - Cash Flow Hedge Swap Agreements $ 42,324 $ — $ 42,324 $ — Other liabilities - Cash Flow Hedge Swap Agreements $ (2,131 ) $ — $ (2,131 ) $ — There were no transfers of assets and liabilities between Level 1 and Level 2 during the year ended December 31, 2018 . The Company did not have any significant assets or liabilities that are re-measured on a recurring basis using significant unobservable inputs as of December 31, 2018 or 2017 . Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Long-lived assets held for use are evaluated for impairment when events or circumstances indicate there may be impairment. The Company reviews each store at least annually to determine if any such events or circumstances have occurred or exist. The Company focuses on stores where occupancy and/or rental income have decreased by a significant amount. For these stores, the Company determines whether the decrease is temporary or permanent, and whether the store will likely recover the lost occupancy and/or revenue in the short term. In addition, the Company reviews stores in the lease-up stage and compares actual operating results to original projections. When the Company determines that an event that may indicate impairment has occurred, the Company compares the carrying value of the related long-lived assets to the undiscounted future net operating cash flows attributable to the assets. An impairment loss is recorded if the net carrying value of the assets exceeds the undiscounted future net operating cash flows attributable to the assets. The impairment loss recognized equals the excess of net carrying value over the related fair value of the assets. When real estate assets are identified by management as held for sale, the Company discontinues depreciating the assets and estimates the fair value of the assets, net of selling costs. The Company compares the carrying value of the related long-lived assets to the undiscounted future net operating cash flows attributable to the assets (categorized within Level 3 of the fair value hierarchy). If the estimated fair value, net of selling costs, of the assets that have been identified as held for sale is less than the net carrying value of the assets, the Company would recognize a loss on the assets held for sale. The operations of assets held for sale or sold during the period are presented as part of normal operations for all periods presented. The Company assesses annually whether there are any indicators that the value of the Company’s investments in unconsolidated real estate ventures may be impaired and when events or circumstances indicate that there may be impairment. An investment is impaired if management’s estimate of the fair value of the investment is less than its carrying value. To the extent impairment has occurred, and is considered to be other than temporary, the loss is measured as the excess of the carrying amount of the investment over the fair value of the investment. As of December 31, 2018 and 2017 , the Company did not have any assets or liabilities measured at fair value on a nonrecurring basis. Fair Value of Financial Instruments The carrying values of cash and cash equivalents, restricted cash, receivables, other financial instruments included in other assets, accounts payable and accrued expenses, variable-rate notes payable, revolving lines of credit and other liabilities reflected in the consolidated balance sheets at December 31, 2018 and 2017 , approximate fair value. The fair values of the Company’s notes receivable from Preferred Operating Partnership unit holders and other fixed rate notes receivable were based on the discounted estimated future cash flow of the notes (categorized within Level 3 of the fair value hierarchy); the discount rate used approximated the current market rate for loans with similar maturities and credit quality. The fair values of the Company’s fixed rate notes payable and notes payable to trusts were estimated using the discounted estimated future cash payments to be made on such debt (categorized within Level 3 of the fair value hierarchy); the discount rates used approximated current market rates for loans, or groups of loans, with similar maturities and credit quality. The fair value of the Company’s exchangeable senior notes was estimated using an average market price for similar securities obtained from a third party. The fair values of the Company’s fixed-rate assets and liabilities were as follows for the periods indicated: December 31, 2018 December 31, 2017 Fair Carrying Fair Carrying Notes receivable from Preferred and Common Operating Partnership unit holders $ 115,467 $ 119,735 $ 113,683 $ 120,230 Fixed rate notes receivable $ — $ — $ 20,942 $ 20,608 Fixed rate notes payable and notes payable to trusts $ 2,985,731 $ 3,022,414 $ 2,774,242 $ 2,815,085 Exchangeable senior notes $ 620,149 $ 575,000 $ 719,056 $ 624,259 Real Estate Assets Real estate assets are stated at cost, less accumulated depreciation. Direct and allowable internal costs associated with the development, construction, renovation, and improvement of real estate assets are capitalized. Interest, property taxes, and other costs associated with development incurred during the construction period are capitalized. The construction period begins when expenditures for the real estate assets have been made and activities that are necessary to prepare the asset for its intended use are in progress. The construction period ends when the asset is substantially complete and ready for its intended use. Expenditures for maintenance and repairs are charged to expense as incurred. Major replacements and betterments that improve or extend the life of the asset are capitalized and depreciated over their estimated useful lives. Depreciation is computed using the straight-line method over the estimated useful lives of the buildings and improvements, which are generally between five and 39 years. Stores purchased at the time of certificate of occupancy issuance and stores purchased subsequent to the Company's adoption of ASU 2017-01 on January 1, 2017 are considered asset acquisitions. As such, the purchase price is allocated to the real estate assets acquired based on their relative fair values, which are estimated using significant unobservable inputs. The value of the tangible assets, consisting of land and buildings, is determined as if vacant. Intangible assets, which represent the value of existing tenant relationships, are recorded at their relative fair values based on the avoided cost to replace the current leases. The Company measures the value of tenant relationships based on the rent lost due to the amount of time required to replace existing customers, which is based on the Company’s historical experience with turnover in its stores. Any debt assumed as part of the acquisition is recorded at fair value based on current interest rates compared to contractual rates. Acquisition-related transactions costs are capitalized as part of the purchase price. Intangible lease rights represent: (1) purchase price amounts allocated to leases on three stores that cannot be classified as ground or building leases; these rights are amortized to expense over the life of the leases and (2) intangibles related to ground leases on eight stores where the leases were assumed by the Company at rates that were lower than the current market rates for similar leases. The values associated with these assumed leases were recorded as intangibles, which will be amortized over the lease terms. Real Estate Sales In general, sales of real estate and related profits/losses are recognized when all consideration has changed hands and risks and rewards of ownership have been transferred. Certain types of continuing involvement preclude sale treatment and related profit recognition; other forms of continuing involvement allow for sale recognition but require deferral of profit recognition. Investments in Unconsolidated Real Estate Ventures The Company’s investments in real estate joint ventures, where the Company has significant influence, but not control and joint ventures which are VIEs in which the Company is not the primary beneficiary, are recorded under the equity method of accounting in the accompanying consolidated financial statements. Under the equity method, the Company’s investment in real estate ventures is stated at cost and adjusted for the Company’s share of net earnings or losses and reduced by distributions. Equity in earnings of real estate ventures is generally recognized based on the Company’s ownership interest in the earnings of each of the unconsolidated real estate ventures. For the purposes of presentation in the statement of cash flows, the Company follows the “look through” approach for classification of distributions from joint ventures. Under this approach, distributions are reported under operating cash flow unless the facts and circumstances of a specific distribution clearly indicate that it is a return of capital (e.g., a liquidating dividend or distribution of the proceeds from the joint venture’s sale of assets), in which case it is reported as an investing activity. Cash and Cash Equivalents The Company’s cash is deposited with financial institutions located throughout the United States and at times may exceed federally insured limits. The Company considers all highly liquid debt instruments with a maturity date of three months or less to be cash equivalents. Restricted Cash Restricted cash is comprised of letters of credit and escrowed funds deposited with financial institutions located throughout the United States relating to earnest money deposits on potential acquisitions, real estate taxes, insurance and capital expenditures. Other Assets Other assets consist of equipment and fixtures, rents receivable from our tenants, investments in trusts, notes and other receivables, other intangible assets, deferred tax assets, prepaid expenses and the fair value of interest rate swaps. Depreciation of equipment and fixtures is computed on a straight-line basis over three to five years. Derivative Instruments and Hedging Activities The Company records all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may enter into derivative contracts that are intended to economically hedge certain of its risk, even though hedge accounting does not apply or the Company elects not to apply hedge accounting. The Company made an accounting policy election to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio. Risk Management and Use of Financial Instruments In the normal course of its ongoing business operations, the Company encounters economic risk. There are three main components of economic risk: interest rate risk, credit risk and market risk. The Company is subject to interest rate risk on its interest-bearing liabilities. Credit risk is the risk of inability or unwillingness of tenants to make contractually required payments. Market risk is the risk of declines in the value of stores due to changes in rental rates, interest rates or other market factors affecting the value of stores held by the Company. The Company has entered into interest rate swap agreements to manage a portion of its interest rate risk. Exchange of Common Operating Partnership Units Redemption of common Operating Partnership units for shares of common stock, when redeemed under the original provisions of the Operating Partnership agreement, are accounted for by reclassifying the underlying net book value of the units from noncontrolling interest to the Company’s equity. Revenue and Expense Recognition Rental revenues are recognized as earned based upon amounts that are currently due from tenants. Leases are generally on month-to-month terms. Prepaid rents are recognized on a straight-line basis over the term of the leases. Promotional discounts are recognized as a reduction to rental income over the promotional period. Late charges, administrative fees and merchandise sales are recognized as income when earned. Equity in earnings of unconsolidated real estate entities is recognized based on the Company's ownership interest in the earnings of each of the unconsolidated real estate entities. Interest income is recognized as earned. The Company's management fees are earned subject to the terms of the related management services agreements ("MSAs"). These MSAs provide that the Company will perform management services, which include leasing and operating the property and providing accounting, marketing, banking, maintenance and other services. These services are provided in exchange for monthly management fees, which are based on a percentage of revenues collected from stores owned by third parties and unconsolidated joint ventures. MSAs generally have original terms from three to five years, after which management services are provided on a month-to-month basis unless terminated. Management fees are due on the last day of each calendar month that management services are provided. The Company accounts for the management services provided to a customer as a single performance obligation which are rendered over time each month. The total amount of consideration from the contract is variable as it is based on monthly revenues, which are influenced by multiple factors, some of which are outside the Company's control. Therefore, the Company recognizes the revenue at the end of each month once the uncertainty is resolved. Due to the standardized terms of the MSAs, the Company accounts for all MSAs in a similar, consistent manner. Therefore, no disaggregated information relating to MSAs is presented. Property expenses, including utilities, property taxes, repairs and maintenance and other costs to manage the facilities are recognized as incurred. The Company accrues for property tax expense based upon invoice amounts and estimates. If these estimates are incorrect, the timing of expense recognition could be affected. Tenant reinsurance premiums are recognized as revenue over the period of insurance coverage. The Company records an unpaid claims liability at the end of each period based on existing unpaid claims and historical claims payment history. The unpaid claims liability represents an estimate of the ultimate cost to settle all unpaid claims as of each period end, including both reported but unpaid claims and claims that may have been incurred but have not been reported. The Company uses a third party claims administrator to adjust all tenant reinsurance claims received. The administrator evaluates each claim to determine the ultimate claim loss and includes an estimate for claims that may have been incurred but not reported. Annually, a third party actuary evaluates the adequacy of the unpaid claims liability. Prior year claim reserves are adjusted as experience develops or new information becomes known. The impact of such adjustments is included in the current period operations. The unpaid claims liability is not discounted to its present value. Each tenant chooses the amount of insurance coverage they want through the tenant reinsurance program. Tenants can purchase policies in amounts of 2,000 dollars to 10,000 dollars of insurance coverage in exchange for a monthly fee. As of December 31, 2018 , the average insurance coverage for tenants was approximately 2,900 dollars. The Company’s exposure per claim is limited by the maximum amount of coverage chosen by each tenant. The Company purchases reinsurance for losses exceeding a set amount for any one event. The Company does not currently have any amounts recoverable under the reinsurance arrangements. For the years ended December 31, 2018 , 2017 and 2016 , the number of claims made were 7,870 , 5,671 and 4,055 , respectively. The following table presents information on the portion of the Company’s unpaid claims liability, which is included in other liabilities on the Company's consolidated balance sheets, that relates to tenant insurance for the periods indicated: For the Year Ended December 31, Tenant Reinsurance Claims: 2018 2017 2016 Unpaid claims liability at beginning of year $ 5,167 $ 3,896 $ 3,908 Claims and claim adjustment expense for claims incurred in the current year 15,800 11,700 7,250 Claims and claim adjustment expense (benefit) for claims incurred in the prior years 107 (203 ) 87 Payments for current year claims (11,010 ) (8,895 ) (5,423 ) Payments for prior year claims (2,738 ) (1,331 ) (1,926 ) Unpaid claims liability at the end of the year $ 7,326 $ 5,167 $ 3,896 Advertising Costs The Company incurs advertising costs primarily attributable to digital and other advertising. These costs are expensed as incurred. The Company recognized $16,153 , $14,410 and $12,867 in advertising expense for the years ended December 31, 2018 , 2017 and 2016 , respectively, which are included in property operating expenses on the Company’s consolidated statements of operations. Income Taxes The Company has elected to be treated as a REIT under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the "Internal Revenue Code"). In order to maintain its qualification as a REIT, among other things, the Company is required to distribute at least 90% of its REIT taxable income to its stockholders and meet certain tests regarding the nature of its income and assets. As a REIT, the Company is not subject to federal income tax with respect to that portion of its income which meets certain criteria and is distributed annually to stockholders. The Company plans to continue to operate so that it meets the requirements for taxation as a REIT. Many of these requirements, however, are highly technical and complex. For any taxable year that the Company fails to qualify as a REIT and for which applicable statutory relief provisions did not apply, we would be taxed at the regular corporate rates on all of our taxable income for at least that year and the ensuing four years. The Company is subject to certain state and local taxes. Provision for such taxes has been included in income tax expense on the Company’s consolidated statements of operations. For the year ended December 31, 2018 , 0% (unaudited) of all distributions to stockholders qualified as a return of capital. The Company has elected to treat its corporate subsidiary, Extra Space Management, Inc. (“ESMI”), as a taxable REIT subsidiary (“TRS”). In general, the Company’s TRS may perform additional services for tenants and may engage in any real estate or non-real estate related business. A TRS is subject to federal corporate income tax. ESM Reinsurance Limited, a wholly-owned subsidiary of ESMI, generates income from insurance premiums that are subject to federal corporate income tax and state insurance premiums tax. Deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities. At December 31, 2018 and 2017 , there were no material unrecognized tax benefits. Interest and penalties relating to uncertain tax positions will be recognized in income tax expense when incurred. As of December 31, 2018 and 2017 , the Company had no interest or penalties related to uncertain tax provisions. Stock-Based Compensation The measurement and recognition of compensation expense for all share-based payment awards to employees and directors are based on estimated fair values. Awards granted are valued at fair value and any compensation expense is recognized over the service periods of each award. Earnings Per Common Share Basic earnings per common share is computed using the two-class method by dividing net income attributable to common stockholders by the weighted average number of common shares outstanding during the period. All outstanding unvested restricted stock awards contain rights to non-forfeitable dividends and participate in undistributed earnings with common stockholders; accordingly, they are considered participating securities that are included in the two-class method. Diluted earnings per common share measures the performance of the Company over the reporting period while giving effect to all potential common shares that were dilutive and outstanding during the period. The denominator includes the weighted average number of basic shares and the number of additional common shares that would have been outstanding if the potential common shares that were dilutive had been issued, and is calculated using either the two-class, treasury stock or as if-converted method, whichever is most dilutive. Potential common shares are securities (such as options, convertible debt, Series A Participating Redeemable Preferred Units (“Series A Units”), Series B Redeemable Preferred Units (“Series B Units”), Series C Convertible Redeemable Preferred Units (“Series C Units”), Series D Redeemable Preferred Units (“Series D Units” and together with the Series A Units, Series B Units and Series C Units, the “Preferred OP Units") and common Operating Partnership units (“OP Units”)) that do not have a current right to participate in earnings of the Company but could do so in the future by virtue of their option, redemption or conversion right. In computing the dilutive effect of convertible securities, net income is adjusted to add back any changes in earnings in the period associated with the convertible security. The numerator also is adjusted for the effects of any other non-discretionary changes in income or loss that would result from the assumed conversion of those potential common shares. In computing diluted earnings per common share, only potential common shares that are dilutive (those that reduce earnings per common share) are included. For the years ended December 31, 2018 , 2017 and 2016 , options to purchase approximately 36,075 , 45,286 , and 88,552 shares of common stock, respectively, were excluded from the computation of earnings per share as their effect would have been anti-dilutive. For the purposes of computing the diluted impact of the potential exchange of the Preferred OP Units for common shares upon redemption, where the Company has the option to redeem in cash or shares and where the Company has stated the intent and ability to settle the redemption in shares, The Company divided the total value of the Preferred OP Units by the average share price of $90.30 for the year ended December 31, 2018 . The following table presents the number of weighted OP Units and Preferred OP Units, and the potential common shares, that were excluded from the computation of earnings per share as their effect would have been anti-dilutive: For the Year Ended December 31, 2018 2017 2016 Equivalent Shares (if converted) Equivalent Shares (if converted) Equivalent Shares (if converted) Common OP Units — — 5,564,631 Series A Units (Variable Only) — — 875,480 Series B Units 464,033 533,174 499,966 Series C Units 312,075 377,135 353,646 Series D Units 1,019,524 — 552,796 1,795,632 910,309 7,846,519 The Operating Partnership had $575,000 of its 3.125% Exchangeable Senior Notes due 2035 (the “2015 Notes”) issued and outstanding as of December 31, 2018 . The 2015 Notes could potentially have a dilutive impact on the Company’s earnings per share calculations. The 2015 Notes are exchangeable by holders into shares of the Company’s common stock under certain circumstances per the terms of the indenture governing the 2015 Notes. The exchange price of the 2015 Notes was $92.80 per share as of December 31, 2018 , and could change over time as described in the indenture. The Company has irrevocably agreed to pay o |
Real Estate Assets
Real Estate Assets | 12 Months Ended |
Dec. 31, 2018 | |
Real Estate [Abstract] | |
Real Estate Assets | REAL ESTATE ASSETS The components of real estate assets are summarized as follows: December 31, 2018 December 31, 2017 Land - operating $ 1,825,133 $ 1,731,915 Land - development 7,359 13,246 Buildings, improvements and other intangibles 6,743,355 6,286,762 Intangible assets - tenant relationships 119,557 114,375 Intangible lease rights 12,443 12,443 8,707,847 8,158,741 Less: accumulated depreciation and amortization (1,262,438 ) (1,060,060 ) Net operating real estate assets 7,445,409 7,098,681 Real estate under development/redevelopment 46,422 33,750 Net real estate assets $ 7,491,831 $ 7,132,431 Real estate assets held for sale included in net real estate assets $ 13,032 $ 10,276 As of December 31, 2018 , the Company had one operating store and one parcel of land classified as held for sale. The estimated fair value less selling costs of these assets are greater than the carrying value of the assets, and therefore no loss has been recorded related to these assets. These assets held for sale are included in the self-storage operations segment of the Company’s segment information. The Company amortizes to expense intangible assets—tenant relationships on a straight-line basis over the average period that a tenant is expected to utilize the facility (currently estimated at 18 months ). The Company amortizes to expense the intangible lease rights over the terms of the related leases. Amortization related to the tenant relationships and lease rights was $9,050 , $14,349 , and $21,133 for the years ended December 31, 2018 , 2017 and 2016 , respectively. The remaining balance of the unamortized lease rights will be amortized over the next one year to 43 years . Accumulated amortization related to intangibles was $121,238 and $112,347 as of December 31, 2018 and 2017 , respectively. |
Property Acquisitions and Dispo
Property Acquisitions and Dispositions | 12 Months Ended |
Dec. 31, 2018 | |
Real Estate [Abstract] | |
Property Acquisitions and Dispositions | PROPERTY ACQUISITIONS AND DISPOSITIONS The following table shows the Company’s acquisitions of stores for the years ended December 31, 2018 and 2017 . The table excludes purchases of raw land or improvements made to existing assets. Consideration Paid Total Quarter Number of Stores Total Cash Paid Loan Assumed Non- controlling interests Investments in Real Estate Ventures Net Liabilities/ (Assets) Assumed Value of OP Units Issued Number of OP Units Issued Real estate assets Q4 2018 6 $ 74,852 $ 74,868 $ — $ — $ — $ (16 ) $ — — $ 74,852 Q3 2018 6 74,694 71,989 — — — 2,705 — — 74,694 Q2 2018 17 237,284 148,650 87,500 — (1,024 ) 281 1,877 21,768 237,284 Q1 2018 5 70,787 70,171 — — 489 127 — — 70,787 34 (1) $ 457,617 $ 365,678 $ 87,500 $ — $ (535 ) $ 3,097 $ 1,877 21,768 $ 457,617 Q4 2017 37 $ 535,299 $ 502,845 $ 14,592 $ (1,812 ) $ 12,957 $ 1,099 $ 5,618 64,708 $ 535,299 Q3 2017 4 31,966 29,919 — — — 47 2,000 25,520 31,966 Q2 2017 3 34,641 16,608 9,463 1,827 — (67 ) 6,810 272,400 34,641 Q1 2017 2 25,556 25,541 — — — 15 — — 25,556 46 (2) $ 627,462 $ 574,913 $ 24,055 $ 15 $ 12,957 $ 1,094 $ 14,428 362,628 $ 627,462 (1) Store acquisitions during the year ended December 31, 2018 include the acquisition of 15 stores previously held in joint ventures where the Company held a noncontrolling interest. The Company purchased its partners' remaining equity interests in the joint ventures, and the properties owned by the joint ventures became wholly owned by the Company. (2) Store acquisitions during the year ended December 31, 2017 include the acquisition of seven stores that had been owned by joint ventures in which the Company held an equity interest. Store Disposals On August 16, 2018, the Company sold a store located in California that had been classified as held for sale for $40,235 in cash. The Company recorded a gain on the sale of $30,671 . On November 30, 2017, the Company sold 36 stores located in various states that had been classified as held for sale for an aggregate sales price of $295,000 . The buyer of these properties was Storage Portfolio II JV, LLC ("SP II"), a newly formed joint venture in which the Company has a 10.0% equity interest. The Company recognized a gain of $118,776 related to this disposition, which represented 90.0% of the total gain. This amount is included in Gain on real estate transactions, earnout on prior acquisitions and impairment of real estate on the Company's consolidated statements of operations. The Company deferred 10.0% of the gain due to the fact that it held an equity interest in the buyer, which resulted in a reduction in the carrying value of the Company's investment in SP II. On September 13, 2017, the Company closed on the sale of a parcel of land located in New York that had been classified as held for sale for $ 19,000 in cash. This parcel of land had been written down to its fair value less selling costs during the six months ended June 30, 2017, and a loss of $3,500 was recorded. Therefore, no additional gain or loss was recorded related to this sale at the time of closing. On July 26, 2016, the Company completed the sale of an operating store located in Indiana that had been classified as held for sale for $4,447 in cash. The Company recognized no gain or loss related to this disposition. On April 20, 2016, the Company completed the sale of seven operating stores located in Ohio and Indiana that had been classified as held for sale for $17,555 in cash. The Company recognized a gain of $11,265 related to this disposition, which is included in Gain on real estate transactions, earnout on prior acquisitions and impairment of real estate on the Company's consolidated statements of operations. On April 1, 2016, the Company disposed of a single store in Texas in exchange for 85,452 of the Company's OP Units valued at $7,689 . The Operating Partnership canceled the OP Units received in this disposition. The Company recognized a gain of $93 related to this disposition, which is included in Gain on real estate transactions, earnout on prior acquisitions and impairment of real estate on the Company's consolidated statements of operations. Loss on Earnouts from Prior Acquisitions On December 2014, the Company acquired a portfolio of five stores located in New Jersey and Virginia. As part of this acquisition, the Company agreed to make an additional cash payment to the sellers if the acquired stores exceeded a specified amount of net operating income for the years ending December 31, 2015 and 2016. At the acquisition date, the Company recorded an estimated liability related to this earnout provision. The operating income of these stores during the earnout period was higher than expected, resulting in an increase in the estimate of the amount due to the sellers of $4,284 , which was recorded as a loss and included in Gain on real estate transactions, earnout on prior acquisitions and impairment of real estate on the Company's consolidated statements of operations for the year ended December 31, 2016. |
Investments in Unconsolidated R
Investments in Unconsolidated Real Estate Ventures | 12 Months Ended |
Dec. 31, 2018 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investments in Unconsolidated Real Estate Ventures | INVESTMENTS IN UNCONSOLIDATED REAL ESTATE VENTURES Investments in unconsolidated real estate ventures and cash distributions in unconsolidated real estate ventures consist of the following: Number of Stores Equity Ownership % Excess Profit % December 31, 2018 2017 WICNN JV LLC 7 10% 25% $ 26,885 $ — VRS Self Storage, LLC 16 45% 54% 18,281 19,467 PRISA Self Storage LLC 85 4% 4% 9,334 9,638 Alan Jathoo JV LLC 9 10% 10% 8,180 — Extra Space West Two LLC (1) 5 5% 40% 3,818 3,939 ESS Bristol Investments LLC 7 10% 28% 2,331 1,258 WCOT Self Storage LLC — 5% 20% — (357 ) Extra Space West One LLC (1) 7 5% 40% (1,038 ) (900 ) Extra Space Northern Properties Six LLC 10 10% 35% (1,700 ) (1,279 ) Storage Portfolio II JV LLC 36 10% 30% (4,233 ) (3,140 ) Storage Portfolio I LLC 24 34% 49% (38,129 ) 11,495 Other minority owned stores (17 joint ventures) 23 10-50% 19-50% 56,400 29,970 Net Investments in and Cash distributions in unconsolidated real estate ventures 229 $ 80,129 $ 70,091 (1) Subsequent to year end, the Company acquired its joint venture partner's interests in Extra Space West One LLC and Extra Space West Two LLC joint ventures. The 12 stores owned by these joint ventures became wholly-owned by the Company subsequent to this acquisition. The Company paid cash of $172,515 and assumed an existing loan of $17,157 . In these joint ventures, the Company and the joint venture partner generally receive a preferred return on their invested capital. To the extent that cash or profits in excess of these preferred returns are generated through operations or capital transactions, the Company would receive a higher percentage of the excess cash or profits, as applicable, than its equity interest. In accordance with ASC 810, the Company reviews all of its joint venture relationships annually to ensure that there are no entities that require consolidation. As of December 31, 2018 , there were no previously unconsolidated entities that were required to be consolidated as a result of this review. The Company has entered into several new unconsolidated real estate ventures. The Company accounts for its investment in the following ventures under the equity method of accounting. Information about these real estate ventures is summarized as follows: Number of Stores Equity ownership % Investment in new stores For the Year Ended December 31, 2018 (1) 28 10.0% -50.0% $ 63,723 For the Year Ended December 31, 2017 39 10.0% - 25.0% $ 13,341 For the Year Ended December 31, 2016 8 20.0% - 50.0% $ 26,387 (1) Included in the new unconsolidated joint ventures for the year ended December 31, 2018 were two new joint ventures (WICNN JV LLC and GFV JV, LLC), in which the Company has $22,734 and $8,720 of preferred equity, respectively. The Company earns an 8.0% return on its preferred equity in these joint ventures, which has priority over other distributions. On April 30, 2018, the Company acquired its partner's interest in the WCOT Self Storage LLC joint venture. The Company paid cash of $115,797 and assumed a loan of $87,500 . The 14 properties owned by this joint venture became wholly-owned properties of the Company subsequent to this acquisition. On November 17, 2016, the Company acquired 11 stores from its ESS WCOT LLC joint venture ("WCOT") in a step acquisition. The Company owned 5.0% of WCOT, with the other 95.0% owned by affiliates of Prudential Global Investment Management ("Prudential"). WCOT created a new subsidiary, Extra Space Properties 132 LLC ("ESP 132") and transferred 11 stores into ESP 132. WCOT then distributed ESP 132 to the Company and Prudential on a pro rata basis. This distribution was accounted for as a spinoff, and was therefore recorded at the net carrying amount of the properties of $68,814 . Immediately after the distribution, the Company acquired Prudential's 95.0% interest in ESP 132 for $153,304 , resulting in 100% ownership of ESP 132 and the related 11 stores. Based on the purchase price of Prudential's share of ESP 132, the Company determined that the fair value of its investment in ESP 132 immediately prior to the acquisition of Prudential's share was $8,119 , and the Company recorded a gain of $4,651 as a result of remeasuring to fair value its existing equity interest in ESP 132. This gain is included in equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and purchase of joint venture partners' interests on the Company's consolidated statements of operations. The fair value of the stores purchased was recorded at $161,072 . On September 16, 2016, the Company acquired 23 stores from its ESS PRISA II LLC joint venture ("PRISA II") in a step acquisition. The Company owned 4.4% of PRISA II, with the other 95.6% owned by affiliates of Prudential. PRISA II created a new subsidiary, Extra Space Properties 131 LLC ("ESP 131"), and transferred 23 stores into ESP 131. PRISA II then distributed ESP 131 to the Company and Prudential on a pro rata basis. This distribution was accounted for as a spinoff, and was therefore recorded at the net carrying amount of the properties of $4,326 . Immediately after the distribution, the Company acquired Prudential's 95.6% interest in ESP 131 for $238,679 , resulting in 100% ownership of ESP 131 and the related 23 stores. Based on the purchase price of Prudential's share of ESP 131, the Company determined that the fair value of its investment in ESP 131 immediately prior to the acquisition of Prudential's share was $10,988 , and the Company recorded a gain of $6,778 as a result of re-measuring to fair value its existing equity interest in ESP 131. This gain is included in equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and purchase of joint venture partners' interests on the Company's consolidated statements of operations. The fair value of the stores purchased was recorded at $248,530 . Subsequent to these transactions, PRISA II owned 42 stores. On September 16, 2016, subsequent to its acquisition of 23 properties as outlined above, the Company sold its 4.42% interest in PRISA II to Prudential for $34,758 in cash. The carrying value of the Company's investment prior to the acquisition was $3,912 , and the Company recorded a gain on the sale of $30,846 . This gain is included in equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and purchase of joint venture partners' interests on the Company's consolidated statements of operations. On April 25, 2016, the Company and Prudential entered into the “Second Amendment to Amended and Restated Operating Agreement of ESS PRISA LLC” and the “First Amendment to Amended and Restated Operating Agreement of ESS PRISA II LLC” (the “Amendments”). The Amendments are deemed effective as of April 1, 2016. Under the Amendments, the Company gave up any future rights to receive distributions from these joint ventures at the higher “excess profit participation” percentage of 17.0% in exchange for a higher equity ownership percentage. The Company’s equity ownership in ESS PRISA LLC increased from 2.0% to 4.0% , and the Company’s equity ownership in ESS PRISA II LLC increased from 2.0% to 4.4% . The Company continues to account for its investment in PRISA under the equity method of accounting. The Company subsequently sold its interest in PRISA II as noted above. On February 2, 2016, the Company acquired six stores from its VRS Self Storage LLC joint venture (“VRS”) in a step acquisition. The Company owns 45.0% of VRS, with the other 55.0% owned by affiliates of Prudential. VRS created a new subsidiary, Extra Space Properties 122 LLC (“ESP 122”) and transferred six stores into ESP 122. VRS then distributed ESP 122 to the Company and Prudential on a pro rata basis. This distribution was accounted for as a spinoff, and was therefore recorded at the net carrying amount of the properties of $17,261 . Immediately after the distribution, the Company acquired Prudential’s 55.0% interest in ESP 122 for $53,940 , resulting in 100% ownership of ESP 122 and the related six stores. Based on the purchase price of Prudential’s share of ESP 122, the Company determined that the fair value of its investment in ESP 122 immediately prior to the acquisition of Prudential’s share was $44,184 , and the Company recorded a gain of $26,923 as a result of re-measuring to fair value its existing equity interest in ESP 122. This gain is included in equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and purchase of joint venture partners’ interests on the Company’s consolidated statements of operations. The fair value of the stores purchased was recorded at $98,082 . Equity in earnings of unconsolidated real estate ventures consists of the following: For the Year Ended December 31, 2018 2017 2016 Equity in earnings of WICNN JV LLC $ 622 $ — $ — Equity in earnings of VRS Self Storage, LLC 3,640 3,562 2,919 Equity in earnings of PRISA Self Storage LLC 2,338 2,430 1,912 Equity in earnings of Alan Jathoo JV LLC (12 ) — — Equity in earnings of Extra Space West Two LLC 1,042 1,210 174 Equity in earnings of ESS Bristol Investments LLC (152 ) — — Equity in earnings of Extra Space West One LLC 2,526 2,502 2,269 Equity in earnings of WCOT Self Storage LLC 359 1,033 614 Equity in earnings of Extra Space Northern Properties Six LLC 1,014 918 823 Equity in earnings of Storage Portfolio I LLC 1,886 2,684 2,380 Equity in earnings of Storage Portfolio II JV LLC 79 33 — Equity in earnings of other minority owned stores 1,110 959 1,804 $ 14,452 $ 15,331 $ 12,895 Equity in earnings of certain of our joint ventures includes the amortization of the Company’s excess purchase price of $27,867 of these equity investments over its original basis. The excess basis is amortized over 40 years. |
Notes Payable and Revolving Lin
Notes Payable and Revolving Lines of Credit | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Notes Payable and Revolving Lines of Credit | NOTES PAYABLE AND REVOLVING LINES OF CREDIT The components of notes payable are summarized as follows: Notes Payable December 31, 2018 December 31, 2017 Fixed Rate Variable Rate Basis Rate (2) Maturity Dates Secured fixed rate notes payable (1) $ 2,032,414 $ 2,095,495 2.5% - 6.0% February 2019 - February 2030 Secured variable rate notes payable (1) 834,735 717,979 3.9% - 4.1% Libor plus 1.4% - 1.6% May 2019 - August 2028 Unsecured fixed rate notes payable 990,000 600,000 3.4% - 4.4% January 2024 - July 2028 Unsecured variable rate notes payable 310,000 350,000 3.8% Libor plus 1.3% October 2023 - January 2024 Total 4,167,149 3,763,474 Less: unamortized debt issuance costs (29,936 ) (24,977 ) Total $ 4,137,213 $ 3,738,497 (1) The loans are collateralized by mortgages on real estate assets and the assignment of rents. (2) 30-day USD LIBOR On December 7, 2018, the Company amended the credit agreement originally entered into on October 14, 2016 (the "Credit Agreement"). The amended Credit Agreement provides for aggregate borrowings of up to $1.35 billion consisting of a senior unsecured four -year revolving credit facility of $650 million maturing January 2023 (the “Revolving Credit Facility”), a senior unsecured loan of $480 million maturing January 2024 (the Tranche 1 Term Loan Facility”) and a senior unsecured loan of $220 million maturing October 2023 (the “Tranche 2 Term Loan Facility” and, together with the Revolving Credit Facility and the Tranche 1 Term Loan Facility, the “Credit Facility”). The Company may request an increase in the amount of the commitments under the Credit Facility up to an aggregate of $2.0 billion , and extend the term of the Revolving Credit Facility for up to two additional periods of six months each, after satisfying certain conditions. Amounts outstanding under the Credit Facility bear interest at floating rates, at the Company’s option, equal to either (i) LIBOR plus the applicable Eurodollar rate margin or (ii) the applicable base rate which is the applicable margin plus the highest of (a) 0.0% , (b) the federal funds rate plus 0.50% , (c) U.S. Bank’s prime rate or (d) the Eurodollar rate plus 1.00% . The applicable Eurodollar rate margin will range from 1.05% to 1.7% per annum and the applicable base rate margin will range from 0.05% to 0.7% per annum, in each case depending on the Company’s Consolidated Leverage Ratio, as defined in the Credit Agreement, and the type of loan. If the Operating Partnership obtains a specified investment grade rating from two or more specified credit rating agencies, and elects to use the alternative rates based on the Company’s debt rating, the applicable Eurodollar rate margin will range from 0.75% to 1.65% per annum and the applicable base rate margin will range from 0.0% to 0.7% per annum, in each case depending on the rating achieved and the type of loan. The Credit Agreement is guaranteed by the Company and is not secured by any assets of the Company. We are subject to certain restrictive covenants relating to our outstanding debt. As of December 31, 2018, the Company was in compliance with all of its financial covenants. The following table summarizes the scheduled maturities of notes payable, excluding available extensions, at December 31, 2018 : 2019 $ 208,742 2020 699,522 2021 228,015 2022 294,948 2023 915,646 Thereafter 1,820,276 $ 4,167,149 Real estate assets are pledged as collateral for the secured loans. Of the Company’s $4,167,149 principal amount of notes payable outstanding at December 31, 2018 , $2,601,960 was recourse due to guarantees or other security provisions. All of the Company’s lines of credit are guaranteed by the Company. The following table presents information on the Company’s lines of credit, the proceeds of which are used to repay debt and for general corporate purposes, for the periods indicated: As of December 31, 2018 Revolving Lines of Credit Amount Drawn Capacity Interest Rate Origination Date Maturity Basis Rate (1) Credit Line 1 (2) $ 81,000 $ 140,000 4.0% 6/4/2010 7/1/2021 LIBOR plus 1.5% Credit Line 2 (3)(4) — 650,000 3.6% 12/7/2018 1/29/2023 LIBOR plus 1.1% $ 81,000 $ 790,000 (1) 30-day USD LIBOR (2) Secured by mortgages on certain real estate assets. One two-year extension available. (3) Unsecured. Two six-month extensions available. (4) Basis Rate as of December 31, 2018. Rate is subject to change based on our consolidated leverage ratio. EXCHANGEABLE SENIOR NOTES In September 2015, the Operating Partnership issued $575,000 of its 3.125% Exchangeable Senior Notes due 2035. Costs incurred to issue the 2015 Notes were approximately $11,992 , consisting primarily of a 2.0% underwriting fee. These costs are being amortized as an adjustment to interest expense over five years , which represents the estimated term based on the first available redemption date, and are included in exchangeable senior notes, net, in the consolidated balance sheets. The 2015 Notes are general unsecured senior obligations of the Operating Partnership and are fully guaranteed by the Company. Interest is payable on April 1 and October 1 of each year beginning April 1, 2016, until the maturity date of October 1, 2035. The Notes bear interest at 3.125% per annum and contain an exchange settlement feature, which provides that the 2015 Notes may, under certain circumstances, be exchangeable for cash (for the principal amount of the 2015 Notes) and, with respect to any excess exchange value, for cash, shares of the Company’s common stock, or a combination of cash and shares of the Company’s common stock, at the Company’s option. The exchange rate of the 2015 Notes as of December 31, 2018 was approximately 10.78 shares of the Company’s common stock per $1,000 principal amount of the 2015 Notes. The Operating Partnership may redeem the 2015 Notes at any time to preserve the Company’s status as a REIT. In addition, on or after October 5, 2020, the Operating Partnership may redeem the 2015 Notes for cash, in whole or in part, at 100% of the principal amount plus accrued and unpaid interest, upon at least 30 days but not more than 60 days prior written notice to the holders of the 2015 Notes. The holders of the 2015 Notes have the right to require the Operating Partnership to repurchase the 2015 Notes for cash, in whole or in part, on October 1 of the years 2020, 2025 and 2030, (unless the Operating Partnership has called the 2015 Notes for redemption), and upon the occurrence of certain designated events, in each case for a repurchase price equal to 100% of the principal amount of the 2015 Notes plus accrued and unpaid interest. Certain events are considered “Events of Default,” as defined in the indenture governing the 2015 Notes, which may result in the accelerated maturity of the 2015 Notes. Additionally, the 2015 Notes can be exchanged during any calendar quarter, if the last reported sale price of the common stock of the Company is greater than or equal to 130% of the exchange price for at least 20 trading days during a period of 30 consecutive trading days ending on the last trading day of the immediately preceding calendar quarter. The price of the Company’s common stock did not exceed 130% of the exchange price for the required time period for the 2015 Notes during the quarter ended December 31, 2018. On June 21, 2013, the Operating Partnership issued $250,000 of its 2013 Notes at a 1.5% discount, or $3,750 . Costs incurred to issue the 2013 Notes were approximately $1,672 . These costs were amortized as an adjustment to interest expense over five years , which represented the estimated term based on the first available redemption date. The 2013 Notes bore interest at 2.375% per annum and contained an exchange settlement feature. The Operating Partnership redeemed all remaining outstanding 2013 Notes on July 5, 2018. GAAP requires entities with convertible debt instruments that may be settled entirely or partially in cash upon conversion to separately account for the liability and equity components of the instrument in a manner that reflects the issuer’s economic interest cost. The Company therefore accounts for the liability and equity component of the 2015 Notes separately. The equity components are included in paid-in capital in stockholders’ equity in the consolidated balance sheets, and the value of the equity components are treated as original issue discount for purposes of accounting for the debt components. The discount is being amortized as interest expense over the remaining period of the debt through its first redemption date, October 1, 2020 for the 2015 Notes. The effective interest rate on the liability components of the 2015 Notes is 4.0% , which approximates the market rate of interest of similar debt without exchange features (i.e. nonconvertible debt) at the time of issuance. Information about the 2013 Notes and 2015 Notes (collectively, the "Notes"), including the total carrying amounts of the equity components, the principal amounts of the liability components, their unamortized discounts and net carrying amount were as follows for the periods indicated: December 31, 2018 December 31, 2017 Carrying amount of equity component - 2015 Notes $ 22,597 $ 22,597 Carrying amount of equity component - 2013 Notes — — Carrying amount of equity components $ 22,597 $ 22,597 Principal amount of liability component - 2015 Notes $ 575,000 $ 575,000 Principal amount of liability component - 2013 Notes — 49,259 Unamortized discount - equity component - 2015 Notes (8,417 ) (12,974 ) Unamortized discount - equity component - 2013 Notes — (315 ) Unamortized cash discount - 2013 Notes — (74 ) Unamortized debt issuance costs (4,209 ) (6,620 ) Net carrying amount of liability components $ 562,374 $ 604,276 The amount of interest cost recognized relating to the contractual interest rate and the amortization of the discount on the liability component for the Notes were as follows for the periods indicated: For the Year Ended December 31, 2018 2017 2016 Contractual interest $ 18,106 $ 19,303 $ 19,483 Amortization of discount 4,687 5,103 4,980 Total interest expense recognized $ 22,793 $ 24,406 $ 24,463 Repurchase of 2013 Notes During the year ended December 31, 2018, the Company repurchased a total principal amount of $49,259 of the 2013 Notes, which represented all of the remaining principal amount outstanding. The Company paid cash of $80,270 for the total of the principal amount and the exchange value in excess of the principal amount. During the year ended December 31, 2017, the Company repurchased a total principal amount of $13,911 of the 2013 Notes. The Company paid cash of $20,042 for the total of the principal amount and the exchange value in excess of the principal amount. During the year ended December 31, 2016, the Company repurchased a total principal amount of $22,194 of the 2013 Notes. The Company paid cash for the principal amount, and issued a total of 148,940 shares of common stock valued at $13,066 for the exchange value in excess of the principal amount. The Company allocated the value of the consideration paid to repurchase the 2013 Notes (1) to the extinguishment of the liability component and (2) to the reacquisition of the equity component. The amount allocated to the extinguishment of the liability component is equal to the fair value of that component immediately prior to extinguishment. The difference between the consideration attributed to the extinguishment of the liability component and the sum of (a) the net carrying amount of the repurchased liability component, and (b) the related unamortized debt issuance costs, is recognized as a gain on debt extinguishment. The remaining settlement consideration is allocated to the reacquisition of the equity component of the repurchased 2013 Notes and recognized as a reduction of stockholders’ equity. Information about the repurchases is as follows: For the Year Ended December 31, 2018 2017 2016 Principal amount repurchased $ 49,259 $ 13,911 $ 22,194 Amount allocated to: Extinguishment of liability component $ 49,019 $ 13,692 $ 21,363 Reacquisition of equity component 31,251 6,350 13,898 Total consideration paid for repurchase $ 80,270 $ 20,042 $ 35,261 Exchangeable senior notes repurchased $ 49,259 $ 13,911 $ 22,194 Extinguishment of liability component (49,019 ) (13,692 ) (21,363 ) Discount on exchangeable senior notes (230 ) (184 ) (788 ) Related debt issuance costs (10 ) (35 ) (43 ) Gain/(loss) on repurchase $ — $ — $ — |
Derivatives
Derivatives | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | DERIVATIVES The Company is exposed to certain risk arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources and duration of its debt funding and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing and duration of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s investments and borrowings. Cash Flow Hedges of Interest Rate Risk The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges is recorded in accumulated other comprehensive income (“OCI”) and is subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. A portion of these changes is excluded from accumulated other comprehensive income as it is allocated to noncontrolling interests. During the years ended December 31, 2018 , 2017 and 2016 , such derivatives were used to hedge the variable cash flows associated with existing variable-rate debt. During 2019 , the Company estimates that $17,439 will be reclassified as a decrease to interest expense. The following table summarizes the terms of the Company’s 28 derivative financial instruments, which have a total combined notional amount of $2,231,162 as of December 31, 2018 : Hedge Product Range of Notional Amounts Strike Effective Dates Maturity Dates Swap Agreements $4,873 - $267,431 1.13% - 3.87% 2/29/2012 - 12/31/2018 2/28/2019 - 7/12/2025 Fair Values of Derivative Instruments The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated balance sheets: Asset / Liability Derivatives December 31, 2018 December 31, 2017 Derivatives designated as hedging instruments: Fair Value Other assets $ 42,324 $ 38,365 Other liabilities $ 2,131 $ 9 Effect of Derivative Instruments The tables below present the effect of the Company’s derivative financial instruments on the consolidated statements of operations for the periods presented. No tax effect has been presented as the derivative instruments are held by the Company: Gain (loss) recognized in OCI For the Year Ended December 31, Location of amounts reclassified from OCI into income Gain (loss) reclassified from OCI For the Year Ended December 31, Type 2018 2017 2018 2017 2016 Swap Agreements $ 9,889 $ 8,499 Interest expense $ 8,258 $ (8,853 ) $ (18,800 ) Credit-Risk-Related Contingent Features The Company has agreements with some of its derivative counterparties that contain provisions pursuant to which, the Company could be declared in default of its derivative obligations if the Company defaults on any of its indebtedness, including default where repayment of the indebtedness has not been accelerated by the lender. The Company also has an agreement with some of its derivative counterparties that incorporates the loan covenant provisions of the Company’s indebtedness with a lender affiliate of the derivative counterparty. Failure to comply with the loan covenant provisions would result in the Company being in default on any derivative instrument obligations covered by the agreement. As of December 31, 2018 , the fair value of derivatives in a net liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements was $1,785 . As of December 31, 2018 , the Company had not posted any collateral related to these agreements. If the Company had breached any of these provisions as of December 31, 2018 , it could have been required to cash settle its obligations under these agreements at their termination value of $2,422 . |
Notes Payable to Trusts
Notes Payable to Trusts | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Notes Payable to Trusts | NOTES PAYABLE TO TRUSTS During July 2005, ESS Statutory Trust III (the “Trust III”), a newly formed Delaware statutory trust and a wholly-owned, unconsolidated subsidiary of the Operating Partnership, issued an aggregate of $40,000 of preferred securities which mature on July 31, 2035 . In addition, Trust III issued 1,238 of Trust common securities to the Operating Partnership for a purchase price of $1,238 . On July 27, 2005, the proceeds from the sale of the preferred and common securities of $41,238 were loaned in the form of a note to the Operating Partnership (“Note 3”). Note 3 had a fixed rate of 6.91% through July 31, 2010, and then was payable at a variable rate equal to the three month LIBOR plus 2.4% per annum. Effective July 11, 2011, Trust III entered into an interest rate swap that fixed the interest rate to be paid at 5.0% per annum and matured July 11, 2018 . The interest on Note 3, payable quarterly, was be used by Trust III to pay dividends on the trust preferred securities. The trust preferred securities became redeemable by Trust III with no prepayment premium on July 27, 2010 . During May 2005, ESS Statutory Trust II (the “Trust II”), a newly formed Delaware statutory trust and a wholly-owned, unconsolidated subsidiary of the Operating Partnership of the Company, issued an aggregate of $41,000 of preferred securities which mature on June 30, 2035 . In addition, Trust II issued 1,269 of Trust common securities to the Operating Partnership for a purchase price of $1,269 . On May 24, 2005, the proceeds from the sale of the preferred and common securities of $42,269 were loaned in the form of a note to the Operating Partnership (“Note 2”). Note 2 had a fixed rate of 6.7% through June 30, 2010 , and then was payable at a variable rate equal to the three month LIBOR plus 2.4% per annum. Effective July 11, 2011, Trust II entered into an interest rate swap that fixed the interest rate to be paid at 5.0% per annum and matured July 11, 2018 . The interest on Note 2, payable quarterly, was be used by Trust II to pay dividends on the trust preferred securities. The trust preferred securities became redeemable by Trust II with no prepayment premium on June 30, 2010. During April 2005, ESS Statutory Trust I (the “Trust”), a newly formed Delaware statutory trust and a wholly-owned, unconsolidated subsidiary of the Operating Partnership of the Company issued an aggregate of $35,000 of trust preferred securities which mature on June 30, 2035 . In addition, Trust issued 1,083 of Trust common securities to the Operating Partnership for a purchase price of $1,083 . On April 8, 2005, the proceeds from the sale of the trust preferred and common securities of $36,083 were loaned in the form of a note to the Operating Partnership (the “Note”). The Note has a variable rate equal to the three month LIBOR plus 2.3% per annum. Effective June 30, 2010, Trust entered into an interest rate swap that fixed the interest rate to be paid at 5.1% per annum and matured on June 30, 2018 . The interest on the Note, payable quarterly, will be used by Trust to pay dividends on the trust preferred securities. The trust preferred securities are redeemable by Trust with no prepayment premium. Trust, Trust II and Trust III (together, the “Trusts”) are VIEs because the holders of the equity investment at risk (the trust preferred securities) do not have the power to direct the activities of the entities that most significantly affect the entities’ economic performance because of their lack of voting or similar rights. Because the Operating Partnership’s investment in the Trusts’ common securities was financed directly by the Trusts as a result of its loan of the proceeds to the Operating Partnership, that investment is not considered to be an equity investment at risk. The Operating Partnership’s investment in the Trusts is not a variable interest because equity interests are variable interests only to the extent that the investment is considered to be at risk, and therefore the Operating Partnership cannot be the primary beneficiary of the Trusts. Since the Company is not the primary beneficiary of the Trusts, they have not been consolidated. A debt obligation has been recorded in the form of notes as discussed above for the proceeds, which are owed to the Trusts by the Company. The Company has also recorded its investment in the Trusts’ common securities as other assets. During the year ended December 31, 2018, the Company repaid a total principal amount of $88,662 , representing all of the notes payable to Trust III, all of the notes payable to Trust II, and all but $30,928 of the notes payable to Trust. The Trusts used the proceeds from these repayments to redeem their preferred and common securities. The Company has not provided financing or other support during the periods presented to the Trusts that it was not previously contractually obligated to provide. The Company’s maximum exposure to loss as a result of its involvement with the Trusts is equal to the total amount of the notes discussed above less the amounts of the Company’s investments in the Trusts’ common securities. The net amount is the notes payable that the Trusts owe to third parties for their investments in the Trusts’ preferred securities. The notes payable to trusts are presented net of unamortized deferred financing costs of $0 and $2,146 as of December 31, 2018 and 2017 , respectively. Following is a tabular comparison of the liabilities the Company has recorded as a result of its involvements with the Trusts to the maximum exposure to loss the Company is subject to related to the Trusts as of December 31, 2018 : Notes payable to Trusts Investment Balance Maximum exposure to loss Difference Trust $ 30,928 $ 928 $ 30,000 $ — |
Exchangeable Senior Notes
Exchangeable Senior Notes | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Exchangeable Senior Notes | NOTES PAYABLE AND REVOLVING LINES OF CREDIT The components of notes payable are summarized as follows: Notes Payable December 31, 2018 December 31, 2017 Fixed Rate Variable Rate Basis Rate (2) Maturity Dates Secured fixed rate notes payable (1) $ 2,032,414 $ 2,095,495 2.5% - 6.0% February 2019 - February 2030 Secured variable rate notes payable (1) 834,735 717,979 3.9% - 4.1% Libor plus 1.4% - 1.6% May 2019 - August 2028 Unsecured fixed rate notes payable 990,000 600,000 3.4% - 4.4% January 2024 - July 2028 Unsecured variable rate notes payable 310,000 350,000 3.8% Libor plus 1.3% October 2023 - January 2024 Total 4,167,149 3,763,474 Less: unamortized debt issuance costs (29,936 ) (24,977 ) Total $ 4,137,213 $ 3,738,497 (1) The loans are collateralized by mortgages on real estate assets and the assignment of rents. (2) 30-day USD LIBOR On December 7, 2018, the Company amended the credit agreement originally entered into on October 14, 2016 (the "Credit Agreement"). The amended Credit Agreement provides for aggregate borrowings of up to $1.35 billion consisting of a senior unsecured four -year revolving credit facility of $650 million maturing January 2023 (the “Revolving Credit Facility”), a senior unsecured loan of $480 million maturing January 2024 (the Tranche 1 Term Loan Facility”) and a senior unsecured loan of $220 million maturing October 2023 (the “Tranche 2 Term Loan Facility” and, together with the Revolving Credit Facility and the Tranche 1 Term Loan Facility, the “Credit Facility”). The Company may request an increase in the amount of the commitments under the Credit Facility up to an aggregate of $2.0 billion , and extend the term of the Revolving Credit Facility for up to two additional periods of six months each, after satisfying certain conditions. Amounts outstanding under the Credit Facility bear interest at floating rates, at the Company’s option, equal to either (i) LIBOR plus the applicable Eurodollar rate margin or (ii) the applicable base rate which is the applicable margin plus the highest of (a) 0.0% , (b) the federal funds rate plus 0.50% , (c) U.S. Bank’s prime rate or (d) the Eurodollar rate plus 1.00% . The applicable Eurodollar rate margin will range from 1.05% to 1.7% per annum and the applicable base rate margin will range from 0.05% to 0.7% per annum, in each case depending on the Company’s Consolidated Leverage Ratio, as defined in the Credit Agreement, and the type of loan. If the Operating Partnership obtains a specified investment grade rating from two or more specified credit rating agencies, and elects to use the alternative rates based on the Company’s debt rating, the applicable Eurodollar rate margin will range from 0.75% to 1.65% per annum and the applicable base rate margin will range from 0.0% to 0.7% per annum, in each case depending on the rating achieved and the type of loan. The Credit Agreement is guaranteed by the Company and is not secured by any assets of the Company. We are subject to certain restrictive covenants relating to our outstanding debt. As of December 31, 2018, the Company was in compliance with all of its financial covenants. The following table summarizes the scheduled maturities of notes payable, excluding available extensions, at December 31, 2018 : 2019 $ 208,742 2020 699,522 2021 228,015 2022 294,948 2023 915,646 Thereafter 1,820,276 $ 4,167,149 Real estate assets are pledged as collateral for the secured loans. Of the Company’s $4,167,149 principal amount of notes payable outstanding at December 31, 2018 , $2,601,960 was recourse due to guarantees or other security provisions. All of the Company’s lines of credit are guaranteed by the Company. The following table presents information on the Company’s lines of credit, the proceeds of which are used to repay debt and for general corporate purposes, for the periods indicated: As of December 31, 2018 Revolving Lines of Credit Amount Drawn Capacity Interest Rate Origination Date Maturity Basis Rate (1) Credit Line 1 (2) $ 81,000 $ 140,000 4.0% 6/4/2010 7/1/2021 LIBOR plus 1.5% Credit Line 2 (3)(4) — 650,000 3.6% 12/7/2018 1/29/2023 LIBOR plus 1.1% $ 81,000 $ 790,000 (1) 30-day USD LIBOR (2) Secured by mortgages on certain real estate assets. One two-year extension available. (3) Unsecured. Two six-month extensions available. (4) Basis Rate as of December 31, 2018. Rate is subject to change based on our consolidated leverage ratio. EXCHANGEABLE SENIOR NOTES In September 2015, the Operating Partnership issued $575,000 of its 3.125% Exchangeable Senior Notes due 2035. Costs incurred to issue the 2015 Notes were approximately $11,992 , consisting primarily of a 2.0% underwriting fee. These costs are being amortized as an adjustment to interest expense over five years , which represents the estimated term based on the first available redemption date, and are included in exchangeable senior notes, net, in the consolidated balance sheets. The 2015 Notes are general unsecured senior obligations of the Operating Partnership and are fully guaranteed by the Company. Interest is payable on April 1 and October 1 of each year beginning April 1, 2016, until the maturity date of October 1, 2035. The Notes bear interest at 3.125% per annum and contain an exchange settlement feature, which provides that the 2015 Notes may, under certain circumstances, be exchangeable for cash (for the principal amount of the 2015 Notes) and, with respect to any excess exchange value, for cash, shares of the Company’s common stock, or a combination of cash and shares of the Company’s common stock, at the Company’s option. The exchange rate of the 2015 Notes as of December 31, 2018 was approximately 10.78 shares of the Company’s common stock per $1,000 principal amount of the 2015 Notes. The Operating Partnership may redeem the 2015 Notes at any time to preserve the Company’s status as a REIT. In addition, on or after October 5, 2020, the Operating Partnership may redeem the 2015 Notes for cash, in whole or in part, at 100% of the principal amount plus accrued and unpaid interest, upon at least 30 days but not more than 60 days prior written notice to the holders of the 2015 Notes. The holders of the 2015 Notes have the right to require the Operating Partnership to repurchase the 2015 Notes for cash, in whole or in part, on October 1 of the years 2020, 2025 and 2030, (unless the Operating Partnership has called the 2015 Notes for redemption), and upon the occurrence of certain designated events, in each case for a repurchase price equal to 100% of the principal amount of the 2015 Notes plus accrued and unpaid interest. Certain events are considered “Events of Default,” as defined in the indenture governing the 2015 Notes, which may result in the accelerated maturity of the 2015 Notes. Additionally, the 2015 Notes can be exchanged during any calendar quarter, if the last reported sale price of the common stock of the Company is greater than or equal to 130% of the exchange price for at least 20 trading days during a period of 30 consecutive trading days ending on the last trading day of the immediately preceding calendar quarter. The price of the Company’s common stock did not exceed 130% of the exchange price for the required time period for the 2015 Notes during the quarter ended December 31, 2018. On June 21, 2013, the Operating Partnership issued $250,000 of its 2013 Notes at a 1.5% discount, or $3,750 . Costs incurred to issue the 2013 Notes were approximately $1,672 . These costs were amortized as an adjustment to interest expense over five years , which represented the estimated term based on the first available redemption date. The 2013 Notes bore interest at 2.375% per annum and contained an exchange settlement feature. The Operating Partnership redeemed all remaining outstanding 2013 Notes on July 5, 2018. GAAP requires entities with convertible debt instruments that may be settled entirely or partially in cash upon conversion to separately account for the liability and equity components of the instrument in a manner that reflects the issuer’s economic interest cost. The Company therefore accounts for the liability and equity component of the 2015 Notes separately. The equity components are included in paid-in capital in stockholders’ equity in the consolidated balance sheets, and the value of the equity components are treated as original issue discount for purposes of accounting for the debt components. The discount is being amortized as interest expense over the remaining period of the debt through its first redemption date, October 1, 2020 for the 2015 Notes. The effective interest rate on the liability components of the 2015 Notes is 4.0% , which approximates the market rate of interest of similar debt without exchange features (i.e. nonconvertible debt) at the time of issuance. Information about the 2013 Notes and 2015 Notes (collectively, the "Notes"), including the total carrying amounts of the equity components, the principal amounts of the liability components, their unamortized discounts and net carrying amount were as follows for the periods indicated: December 31, 2018 December 31, 2017 Carrying amount of equity component - 2015 Notes $ 22,597 $ 22,597 Carrying amount of equity component - 2013 Notes — — Carrying amount of equity components $ 22,597 $ 22,597 Principal amount of liability component - 2015 Notes $ 575,000 $ 575,000 Principal amount of liability component - 2013 Notes — 49,259 Unamortized discount - equity component - 2015 Notes (8,417 ) (12,974 ) Unamortized discount - equity component - 2013 Notes — (315 ) Unamortized cash discount - 2013 Notes — (74 ) Unamortized debt issuance costs (4,209 ) (6,620 ) Net carrying amount of liability components $ 562,374 $ 604,276 The amount of interest cost recognized relating to the contractual interest rate and the amortization of the discount on the liability component for the Notes were as follows for the periods indicated: For the Year Ended December 31, 2018 2017 2016 Contractual interest $ 18,106 $ 19,303 $ 19,483 Amortization of discount 4,687 5,103 4,980 Total interest expense recognized $ 22,793 $ 24,406 $ 24,463 Repurchase of 2013 Notes During the year ended December 31, 2018, the Company repurchased a total principal amount of $49,259 of the 2013 Notes, which represented all of the remaining principal amount outstanding. The Company paid cash of $80,270 for the total of the principal amount and the exchange value in excess of the principal amount. During the year ended December 31, 2017, the Company repurchased a total principal amount of $13,911 of the 2013 Notes. The Company paid cash of $20,042 for the total of the principal amount and the exchange value in excess of the principal amount. During the year ended December 31, 2016, the Company repurchased a total principal amount of $22,194 of the 2013 Notes. The Company paid cash for the principal amount, and issued a total of 148,940 shares of common stock valued at $13,066 for the exchange value in excess of the principal amount. The Company allocated the value of the consideration paid to repurchase the 2013 Notes (1) to the extinguishment of the liability component and (2) to the reacquisition of the equity component. The amount allocated to the extinguishment of the liability component is equal to the fair value of that component immediately prior to extinguishment. The difference between the consideration attributed to the extinguishment of the liability component and the sum of (a) the net carrying amount of the repurchased liability component, and (b) the related unamortized debt issuance costs, is recognized as a gain on debt extinguishment. The remaining settlement consideration is allocated to the reacquisition of the equity component of the repurchased 2013 Notes and recognized as a reduction of stockholders’ equity. Information about the repurchases is as follows: For the Year Ended December 31, 2018 2017 2016 Principal amount repurchased $ 49,259 $ 13,911 $ 22,194 Amount allocated to: Extinguishment of liability component $ 49,019 $ 13,692 $ 21,363 Reacquisition of equity component 31,251 6,350 13,898 Total consideration paid for repurchase $ 80,270 $ 20,042 $ 35,261 Exchangeable senior notes repurchased $ 49,259 $ 13,911 $ 22,194 Extinguishment of liability component (49,019 ) (13,692 ) (21,363 ) Discount on exchangeable senior notes (230 ) (184 ) (788 ) Related debt issuance costs (10 ) (35 ) (43 ) Gain/(loss) on repurchase $ — $ — $ — |
Related Party and Affiliated Re
Related Party and Affiliated Real Estate Joint Venture Transactions | 12 Months Ended |
Dec. 31, 2018 | |
Related Party Transactions [Abstract] | |
Related Party and Affiliated Real Estate Joint Venture Transactions | RELATED PARTY AND AFFILIATED REAL ESTATE JOINT VENTURE TRANSACTIONS The Company provides management services to certain joint ventures for a fee. Management fee revenues for related party and affiliated real estate joint ventures for the years ended December 31, 2018 , 2017 and 2016 were $14,123 , $12,650 and $16,066 , respectively. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Stockholders' Equity | STOCKHOLDERS’ EQUITY The Company’s charter provides that it can issue up to 500,000,000 shares of common stock, $0.01 par value per share and 50,000,000 shares of preferred stock, $0.01 par value per share. As of December 31, 2018 , 127,103,750 shares of common stock were issued and outstanding, and no shares of preferred stock were issued or outstanding. All holders of the Company's common stock are entitled to receive dividends and to one vote on all matters submitted to a vote of stockholders. The transfer agent and registrar for the Company’s common stock is American Stock Transfer & Trust Company. On August 28, 2015, the Company filed a $400,000 “at the market” equity program with the Securities and Exchange Commission, and entered into separate equity distribution agreements with five sales agents. On May 6, 2016, the Company filed its current $400,000 "at the market" equity program with the Securities and Exchange Commission using a new shelf registration statement on Form S-3, and entered into separate equity distribution agreements with five sales agents. Under the terms of the current equity distribution agreements, the Company may from time to time offer and sell shares of common stock, up to the aggregate offering price of $400,000 , through its sales agents. The current equity distribution agreements, dated May 6, 2016, replaced and superseded the previous equity distribution agreements, dated August 28, 2015. During the year ended December 31, 2018 , the Company sold 933,789 shares of common stock under its "at the market" equity program at an average sales price of $97.93 per share, resulting in net proceeds of $90,531 . At December 31, 2018 , the Company had $257,929 available for issuance under the current equity distribution agreements. During July 2016, the Company sold 550,000 shares of common stock under the current “at the market” equity program at an average sales price of $92.04 per share, resulting in net proceeds of $50,062 . From January 1, 2016, through May 6, 2016, the Company sold 831,300 shares of common stock under the previous “at the market” equity program at an average sales price of $89.66 per share, resulting in net proceeds of $73,360 . |
Noncontrolling Interest Represe
Noncontrolling Interest Represented By Preferred Operating Partnership Units | 12 Months Ended |
Dec. 31, 2018 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interest Represented By Preferred Operating Partnership Units | NONCONTROLLING INTEREST REPRESENTED BY PREFERRED OPERATING PARTNERSHIP UNITS Classification of Noncontrolling Interests GAAP requires a company to present ownership interests in subsidiaries held by parties other than the company in the consolidated financial statements within the equity section, but separate from the company’s equity. It also requires the amount of consolidated net income attributable to the parent and to the noncontrolling interest to be clearly identified and presented on the face of the consolidated statement of operations and requires changes in ownership interest to be accounted for similarly as equity transactions. If noncontrolling interests are determined to be redeemable, they are to be carried at their redemption value as of the balance sheet date and reported as temporary equity. The Company has evaluated the terms of the Operating Partnership’s preferred units and classifies the noncontrolling interest represented by such preferred units as stockholders’ equity in the accompanying consolidated balance sheets. The Company will periodically evaluate individual noncontrolling interests for the ability to continue to recognize the noncontrolling amount as permanent equity in the consolidated balance sheets. Any noncontrolling interests that fail to qualify as permanent equity will be reclassified as temporary equity and adjusted to the greater of (1) the carrying amount, or (2) its redemption value as of the end of the period in which the determination is made. At December 31, 2018 and 2017 , the noncontrolling interests represented by the Preferred OP Units qualified for classification as permanent equity on the Company's consolidated balance sheets. The partnership agreement of the Operating Partnership (as amended, the "Partnership Agreement") provides for the designation and issuance of the OP Units. Noncontrolling interests in Preferred OP Units were presented net of notes receivable from preferred Operating Partnership unit holders of $108,644 and $120,230 as of December 31, 2018 and 2017 , respectively, as more fully described below. Series A Participating Redeemable Preferred Units The Series A Units were issued in June 2007. Series A Units in the amount of $101,700 bear a fixed priority return of 2.3% , and originally had a fixed liquidation value of $115,000 . The remaining balance participates in distributions with, and has a liquidation value equal to, that of the common OP Units. The Series A Units became redeemable at the option of the holder on September 1, 2008, which redemption obligation may be satisfied, at the Company’s option, in cash or shares of its common stock. As a result of the redemption of 114,500 Series A Units in October 2014, the remaining fixed liquidation value was reduced to $101,700 which represents 875,480 Series A Units. On April 18, 2017, the holder of the Series A Units and the Operating Partnership agreed to reduce the fixed priority return on the Series A Units from 5.0% to 2.3% in exchange for a reduction in the interest rate of the related loan, as more fully described below. The Partnership Agreement provides for the designation and issuance of the Series A Units. The Series A Units have priority over all other partnership interests of the Operating Partnership with respect to distributions and liquidation. On June 25, 2007, the Operating Partnership loaned the holders of the Series A Units $100,000 . The note receivable bears interest at 2.1% . On April 18, 2017, a loan amendment was signed modifying the maturity date of the loan to the later of the death of the Series A Unit holder or his spouse and also lowering the interest rate of the loan from 4.9% to 2.1% . The loan amendment was determined to be a loan modification under GAAP, and therefore no change in value was recognized. The loan is secured by the borrower’s Series A Units. No future redemption of Series A Units can be made unless the loan secured by the Series A Units is also repaid. The Series A Units are shown on the balance sheet net of the $100,000 loan because the borrower under the loan is also the holder of the Series A Units. Series B Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series B Units. The Series B Units rank junior to the Series A Units, on parity with the Series C Units and Series D Units, and senior to all other partnership interests of the Operating Partnership with respect to distributions and liquidation. The Series B Units were issued in 2013 and 2014 and have a liquidation value of $25.00 per unit for a current fixed liquidation value of $41,902 which represents 1,676,087 Series B Units. Holders of the Series B Units receive distributions at an annual rate of 6.0% . These distributions are cumulative. The Series B Units are redeemable at the option of the holder on the first anniversary of the date of issuance, which redemption obligations may be satisfied at the Company’s option in cash or shares of its common stock. The Series B Units rank junior to the Series A Units, on parity with the Series C Units and Series D Units, and senior to all other partnership interests of the Operating Partnership with respect to distributions and liquidation. Series C Convertible Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series C Units. The Series C Units rank junior to the Series A Units, on parity with the Series B Units and Series D Units, and senior to all other partnership interests of the Operating Partnership with respect to distributions and liquidation. The Series C Units were issued in 2013 and 2014 and have a liquidation value of $42.10 per unit for a current fixed liquidation value of $12,462 which represents 296,020 Series C Units. From issuance to the fifth anniversary of issuance, each Series C Unit holder will receive quarterly distributions equal to the quarterly distribution for common OP Unit plus $0.18 . Beginning on the fifth anniversary of issuance, each Series C Unit holder will receive a fixed quarterly distribution equal to the aggregate quarterly distribution payable in respect of such Series C Unit during the four quarters immediately preceding the fifth anniversary of issuance divided by four. These distributions are cumulative. The Series C Units became redeemable at the option of the holder one year from the date of issuance, which redemption obligation may be satisfied at the Company’s option in cash or shares of its common stock. The Series C Units also became convertible into common OP Units at the option of the holder one year from the date of issuance, at a rate of 0.9145 common OP Units per Series C Unit converted. This conversion option expires upon the fifth anniversary of the date of issuance. In December 2014, the Operating Partnership loaned holders of the Series C Units $20,230 . The notes receivable, which are collateralized by the Series C Units, bear interest at 5.0% and mature on December 15, 2024. The Series C Units are shown on the balance sheet net of the loan because the borrower under the loan receivable is also the holder of the Series C Units. On December 1, 2018, certain holders of the Series C Units converted their Series C Units into common OP Units, with a total of 407,996 Series C Units being converted into a total of 373,113 common OP Units. As part of this conversion, the holders of the Series C Units agreed to pledge the common OP Units received in the conversion as collateral on the loan receivable to replace the Series C Units that were converted. As of December 31, 2018 , the total outstanding balance of the loan receivable was $19,735 , of which $8,644 is shown as a reduction of the noncontrolling interests related to the Series C Units and $11,091 is shown as a reduction of the noncontrolling interests related to the common OP Units on the Company's consolidated balance sheets. Series D Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series D Units. The Series D Units rank junior to the Series A Units, on parity with the Series B Units and Series C Units, and senior to all other partnership interest of the Operating Partnership with respect to distributions and liquidation. The Series D Units have been issued at various times from 2014 to 2017. During the year ended December 31, 2017, the Operating Partnership issued 446,420 Series D Units valued at $11,161 in conjunction with wholly-owned and joint venture acquisitions. During the year ended December 31, 2016, the Operating Partnership issued a total of 2,687,711 Series D Units valued at $67,193 in conjunction with the acquisition of real estate assets. The Series D Units have a liquidation value of $25.00 per unit, for a current fixed liquidation value of $92,064 which represents 3,682,521 Series D Units. Holders of the Series D Units receive distributions at an annual rate between 3.0% and 5.0% . These distributions are cumulative. The Series D Units will become redeemable at the option of the holder on the first anniversary of the date of issuance, which redemption obligation may be satisfied at the Company’s option in cash or shares of its common stock. In addition, certain of the Series D Units are exchangeable for common OP Units until the tenth anniversary of the date of issuance, with the number of common OP Units to be issued equal to $25.00 per Series D Unit, divided by the value of a share of common stock as of the exchange date. NONCONTROLLING INTEREST IN OPERATING PARTNERSHIP AND OTHER NONCONTROLLING INTERESTS Noncontrolling interest in Operating Partnership The Company’s interest in its stores is held through the Operating Partnership. Between its general partner and limited partner interests, the Company held a 91.0% majority ownership interest therein as of December 31, 2018 . The remaining ownership interests in the Operating Partnership (including Preferred OP Units) of 9.0% are held by certain former owners of assets acquired by the Operating Partnership. The noncontrolling interest in the Operating Partnership represents OP Units that are not owned by the Company. OP Units are redeemable at the option of the holder, which redemption may be satisfied at the Company's option in cash based upon the fair market value of an equivalent number of shares of the Company’s common stock (based on the ten -day average trading price) at the time of the redemption. Alternatively, the Company may, at its sole discretion, elect to acquire those OP Units in exchange for shares of its common stock on a one-for-one basis , subject to anti-dilution adjustments provided in the Operating Partnership agreement. The ten -day average closing stock price at December 31, 2018 , was $91.64 and there were 5,994,251 OP Units outstanding. Assuming that all of the OP Unit holders exercised their right to redeem all of their OP Units on December 31, 2018 and the Company elected to pay the OP Unit holders cash, the Company would have paid $549,313 in cash consideration to redeem the units. OP Unit activity is summarized as follows for the periods presented: For the Year Ended December 31, 2018 2017 2016 OP Units redeemed for common stock 35,000 — 23,850 OP Units redeemed for cash 30,000 33,896 6,760 Cash paid for OP Units redeemed $ 2,558 $ 2,510 $ 506 OP Units issued in conjunction with acquisitions 21,768 90,228 93,569 Value of OP Units issued in conjunction with acquisitions $ 1,877 $ 7,618 $ 7,247 Additionally, 373,113 common OP Units were issued in the conversion of 407,996 Series C Units on December 1, 2018. These newly issued OP Units are pledged as collateral on the existing loan receivable to the Series C Unit holders. As a result, noncontrolling interests in the Operating Partnership is reported net of $11,091 of the loan receivable, which represents the portion of the note receivable that is collateralized by the OP Units. GAAP requires a company to present ownership interests in subsidiaries held by parties other than the company in the consolidated financial statements within the equity section but separate from the company’s equity. It also requires the amount of consolidated net income attributable to the parent and to the noncontrolling interest to be clearly identified and presented on the face of the consolidated statement of operations and requires changes in ownership interest to be accounted for similarly as equity transactions. If noncontrolling interests are determined to be redeemable, they are to be carried at their redemption value as of the balance sheet date and reported as temporary equity. The Company has evaluated the terms of the common OP Units and classifies the noncontrolling interest represented by the common OP Units as stockholders’ equity in the accompanying consolidated balance sheets. The Company will periodically evaluate individual noncontrolling interests for the ability to continue to recognize the noncontrolling amount as permanent equity in the consolidated balance sheets. Any noncontrolling interests that fail to qualify as permanent equity will be reclassified as temporary equity and adjusted to the greater of (1) the carrying amount, or (2) its redemption value as of the end of the period in which the determination is made. |
Noncontrolling Interests In Ope
Noncontrolling Interests In Operating Partnership and Other Noncontrolling Interests | 12 Months Ended |
Dec. 31, 2018 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interests In Operating Partnership and Other Noncontrolling Interests | NONCONTROLLING INTEREST REPRESENTED BY PREFERRED OPERATING PARTNERSHIP UNITS Classification of Noncontrolling Interests GAAP requires a company to present ownership interests in subsidiaries held by parties other than the company in the consolidated financial statements within the equity section, but separate from the company’s equity. It also requires the amount of consolidated net income attributable to the parent and to the noncontrolling interest to be clearly identified and presented on the face of the consolidated statement of operations and requires changes in ownership interest to be accounted for similarly as equity transactions. If noncontrolling interests are determined to be redeemable, they are to be carried at their redemption value as of the balance sheet date and reported as temporary equity. The Company has evaluated the terms of the Operating Partnership’s preferred units and classifies the noncontrolling interest represented by such preferred units as stockholders’ equity in the accompanying consolidated balance sheets. The Company will periodically evaluate individual noncontrolling interests for the ability to continue to recognize the noncontrolling amount as permanent equity in the consolidated balance sheets. Any noncontrolling interests that fail to qualify as permanent equity will be reclassified as temporary equity and adjusted to the greater of (1) the carrying amount, or (2) its redemption value as of the end of the period in which the determination is made. At December 31, 2018 and 2017 , the noncontrolling interests represented by the Preferred OP Units qualified for classification as permanent equity on the Company's consolidated balance sheets. The partnership agreement of the Operating Partnership (as amended, the "Partnership Agreement") provides for the designation and issuance of the OP Units. Noncontrolling interests in Preferred OP Units were presented net of notes receivable from preferred Operating Partnership unit holders of $108,644 and $120,230 as of December 31, 2018 and 2017 , respectively, as more fully described below. Series A Participating Redeemable Preferred Units The Series A Units were issued in June 2007. Series A Units in the amount of $101,700 bear a fixed priority return of 2.3% , and originally had a fixed liquidation value of $115,000 . The remaining balance participates in distributions with, and has a liquidation value equal to, that of the common OP Units. The Series A Units became redeemable at the option of the holder on September 1, 2008, which redemption obligation may be satisfied, at the Company’s option, in cash or shares of its common stock. As a result of the redemption of 114,500 Series A Units in October 2014, the remaining fixed liquidation value was reduced to $101,700 which represents 875,480 Series A Units. On April 18, 2017, the holder of the Series A Units and the Operating Partnership agreed to reduce the fixed priority return on the Series A Units from 5.0% to 2.3% in exchange for a reduction in the interest rate of the related loan, as more fully described below. The Partnership Agreement provides for the designation and issuance of the Series A Units. The Series A Units have priority over all other partnership interests of the Operating Partnership with respect to distributions and liquidation. On June 25, 2007, the Operating Partnership loaned the holders of the Series A Units $100,000 . The note receivable bears interest at 2.1% . On April 18, 2017, a loan amendment was signed modifying the maturity date of the loan to the later of the death of the Series A Unit holder or his spouse and also lowering the interest rate of the loan from 4.9% to 2.1% . The loan amendment was determined to be a loan modification under GAAP, and therefore no change in value was recognized. The loan is secured by the borrower’s Series A Units. No future redemption of Series A Units can be made unless the loan secured by the Series A Units is also repaid. The Series A Units are shown on the balance sheet net of the $100,000 loan because the borrower under the loan is also the holder of the Series A Units. Series B Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series B Units. The Series B Units rank junior to the Series A Units, on parity with the Series C Units and Series D Units, and senior to all other partnership interests of the Operating Partnership with respect to distributions and liquidation. The Series B Units were issued in 2013 and 2014 and have a liquidation value of $25.00 per unit for a current fixed liquidation value of $41,902 which represents 1,676,087 Series B Units. Holders of the Series B Units receive distributions at an annual rate of 6.0% . These distributions are cumulative. The Series B Units are redeemable at the option of the holder on the first anniversary of the date of issuance, which redemption obligations may be satisfied at the Company’s option in cash or shares of its common stock. The Series B Units rank junior to the Series A Units, on parity with the Series C Units and Series D Units, and senior to all other partnership interests of the Operating Partnership with respect to distributions and liquidation. Series C Convertible Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series C Units. The Series C Units rank junior to the Series A Units, on parity with the Series B Units and Series D Units, and senior to all other partnership interests of the Operating Partnership with respect to distributions and liquidation. The Series C Units were issued in 2013 and 2014 and have a liquidation value of $42.10 per unit for a current fixed liquidation value of $12,462 which represents 296,020 Series C Units. From issuance to the fifth anniversary of issuance, each Series C Unit holder will receive quarterly distributions equal to the quarterly distribution for common OP Unit plus $0.18 . Beginning on the fifth anniversary of issuance, each Series C Unit holder will receive a fixed quarterly distribution equal to the aggregate quarterly distribution payable in respect of such Series C Unit during the four quarters immediately preceding the fifth anniversary of issuance divided by four. These distributions are cumulative. The Series C Units became redeemable at the option of the holder one year from the date of issuance, which redemption obligation may be satisfied at the Company’s option in cash or shares of its common stock. The Series C Units also became convertible into common OP Units at the option of the holder one year from the date of issuance, at a rate of 0.9145 common OP Units per Series C Unit converted. This conversion option expires upon the fifth anniversary of the date of issuance. In December 2014, the Operating Partnership loaned holders of the Series C Units $20,230 . The notes receivable, which are collateralized by the Series C Units, bear interest at 5.0% and mature on December 15, 2024. The Series C Units are shown on the balance sheet net of the loan because the borrower under the loan receivable is also the holder of the Series C Units. On December 1, 2018, certain holders of the Series C Units converted their Series C Units into common OP Units, with a total of 407,996 Series C Units being converted into a total of 373,113 common OP Units. As part of this conversion, the holders of the Series C Units agreed to pledge the common OP Units received in the conversion as collateral on the loan receivable to replace the Series C Units that were converted. As of December 31, 2018 , the total outstanding balance of the loan receivable was $19,735 , of which $8,644 is shown as a reduction of the noncontrolling interests related to the Series C Units and $11,091 is shown as a reduction of the noncontrolling interests related to the common OP Units on the Company's consolidated balance sheets. Series D Redeemable Preferred Units The Partnership Agreement provides for the designation and issuance of the Series D Units. The Series D Units rank junior to the Series A Units, on parity with the Series B Units and Series C Units, and senior to all other partnership interest of the Operating Partnership with respect to distributions and liquidation. The Series D Units have been issued at various times from 2014 to 2017. During the year ended December 31, 2017, the Operating Partnership issued 446,420 Series D Units valued at $11,161 in conjunction with wholly-owned and joint venture acquisitions. During the year ended December 31, 2016, the Operating Partnership issued a total of 2,687,711 Series D Units valued at $67,193 in conjunction with the acquisition of real estate assets. The Series D Units have a liquidation value of $25.00 per unit, for a current fixed liquidation value of $92,064 which represents 3,682,521 Series D Units. Holders of the Series D Units receive distributions at an annual rate between 3.0% and 5.0% . These distributions are cumulative. The Series D Units will become redeemable at the option of the holder on the first anniversary of the date of issuance, which redemption obligation may be satisfied at the Company’s option in cash or shares of its common stock. In addition, certain of the Series D Units are exchangeable for common OP Units until the tenth anniversary of the date of issuance, with the number of common OP Units to be issued equal to $25.00 per Series D Unit, divided by the value of a share of common stock as of the exchange date. NONCONTROLLING INTEREST IN OPERATING PARTNERSHIP AND OTHER NONCONTROLLING INTERESTS Noncontrolling interest in Operating Partnership The Company’s interest in its stores is held through the Operating Partnership. Between its general partner and limited partner interests, the Company held a 91.0% majority ownership interest therein as of December 31, 2018 . The remaining ownership interests in the Operating Partnership (including Preferred OP Units) of 9.0% are held by certain former owners of assets acquired by the Operating Partnership. The noncontrolling interest in the Operating Partnership represents OP Units that are not owned by the Company. OP Units are redeemable at the option of the holder, which redemption may be satisfied at the Company's option in cash based upon the fair market value of an equivalent number of shares of the Company’s common stock (based on the ten -day average trading price) at the time of the redemption. Alternatively, the Company may, at its sole discretion, elect to acquire those OP Units in exchange for shares of its common stock on a one-for-one basis , subject to anti-dilution adjustments provided in the Operating Partnership agreement. The ten -day average closing stock price at December 31, 2018 , was $91.64 and there were 5,994,251 OP Units outstanding. Assuming that all of the OP Unit holders exercised their right to redeem all of their OP Units on December 31, 2018 and the Company elected to pay the OP Unit holders cash, the Company would have paid $549,313 in cash consideration to redeem the units. OP Unit activity is summarized as follows for the periods presented: For the Year Ended December 31, 2018 2017 2016 OP Units redeemed for common stock 35,000 — 23,850 OP Units redeemed for cash 30,000 33,896 6,760 Cash paid for OP Units redeemed $ 2,558 $ 2,510 $ 506 OP Units issued in conjunction with acquisitions 21,768 90,228 93,569 Value of OP Units issued in conjunction with acquisitions $ 1,877 $ 7,618 $ 7,247 Additionally, 373,113 common OP Units were issued in the conversion of 407,996 Series C Units on December 1, 2018. These newly issued OP Units are pledged as collateral on the existing loan receivable to the Series C Unit holders. As a result, noncontrolling interests in the Operating Partnership is reported net of $11,091 of the loan receivable, which represents the portion of the note receivable that is collateralized by the OP Units. GAAP requires a company to present ownership interests in subsidiaries held by parties other than the company in the consolidated financial statements within the equity section but separate from the company’s equity. It also requires the amount of consolidated net income attributable to the parent and to the noncontrolling interest to be clearly identified and presented on the face of the consolidated statement of operations and requires changes in ownership interest to be accounted for similarly as equity transactions. If noncontrolling interests are determined to be redeemable, they are to be carried at their redemption value as of the balance sheet date and reported as temporary equity. The Company has evaluated the terms of the common OP Units and classifies the noncontrolling interest represented by the common OP Units as stockholders’ equity in the accompanying consolidated balance sheets. The Company will periodically evaluate individual noncontrolling interests for the ability to continue to recognize the noncontrolling amount as permanent equity in the consolidated balance sheets. Any noncontrolling interests that fail to qualify as permanent equity will be reclassified as temporary equity and adjusted to the greater of (1) the carrying amount, or (2) its redemption value as of the end of the period in which the determination is made. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | STOCK-BASED COMPENSATION As of December 31, 2018 , 1,587,625 shares were available for issuance under the Company’s 2015 Incentive Award Plan (the “Plan”). Option grants are issued with an exercise price equal to the closing price of stock on the date of grant. Unless otherwise determined by the Compensation, Nominating and Governance Committee (“CNG Committee”) at the time of grant, options shall vest ratably over a four -year period beginning on the date of grant. Each option wi ll be exercisable once it has vested. Options are exercisable at such times and subject to such terms as deter mined by the CNG Committee, but under no circumstances may be exercised if such exercise would cause a violation of the ownership limit in the Company’s charter. Options expire 10 years from the date of grant. Beginning in 2017, the CNG Committee decided to the replace stock options granted to executives with performance based stock units for executive compensation. See the "Performance-Based Stock Units" section below. Also as defined under the terms of the Plan, restricted stock grants may be awarded. The stock grants are subject to a vesting period over which the restrictions are released and the stock certificates are given to the grantee. During the performance or vesting period, the grantee is not permitted to sell, transfer, pledge, encumber or assign shares of restricted stock granted under the Plan; however, the grantee has the ability to vote the shares and receive nonforfeitable dividends paid on shares. Unless otherwise determined by the CNG Committee at the time of grant, the forfeiture and transfer restrictions on the shares lapse over a four -year period beginning on the date of grant. Option Grants A summary of stock option activity is as follows: Options Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Intrinsic Value as of December 31, 2018 Outstanding at December 31, 2015 572,629 $ 24.42 Granted 35,800 85.99 Exercised (97,855 ) 14.75 Outstanding at December 31, 2016 510,574 $ 30.60 Exercised (38,418 ) 32.94 Outstanding at December 31, 2017 472,156 $ 30.41 Exercised (54,575 ) 21.45 Outstanding at December 31, 2018 417,581 $ 31.58 2.78 $24,597 Vested and Expected to Vest 416,567 $ 31.46 2.77 $24,587 Ending Exercisable 377,292 $ 26.72 2.35 $24,057 The aggregate intrinsic value in the table above represents the total value (the difference between the Company’s closing stock price on the last trading day of 2018 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on December 31, 2018 . The amount of aggregate intrinsic value will change based on the fair market value of the Company’s stock. The weighted average fair value of stock options granted in 2016 , was $20.30 . There were no options granted in 2018 or 2017. The fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions: For the Year Ended December 31, 2016 Expected volatility 37.0% Dividend yield 3.6% Risk-free interest rate 1.3% Average expected term (years) 5 The Black-Scholes model incorporates assumptions to value stock-based awards. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of the grant for the estimated life of the option. The Company uses actual historical data to calculate the expected price volatility, dividend yield and average expected term. The forfeiture rate, which is estimated at a weighted-average of 7.4% of unvested options outstanding as of December 31, 2018 , is adjusted periodically based on the extent to which actual forfeitures differ, or are expected to differ, from the previous estimates. A summary of stock options outstanding and exercisable as of December 31, 2018 , is as follows: Options Outstanding Options Exercisable Exercise Price Shares Weighted Average Remaining Contractual Life Weighted Average Exercise Price Shares Weighted Average Exercise Price $6.22 - $6.22 139,250 0.13 $ 6.22 139,250 $ 6.22 $11.59 - $11.59 20,080 1.13 11.59 20,080 11.59 $12.21 - $12.21 77,400 1.18 12.21 77,400 12.21 $19.6 - $28.79 29,469 2.65 23.56 29,469 23.56 $38.4 - $38.4 10,360 4.14 38.4 10,360 38.40 $47.5 - $47.5 17,687 5.13 47.5 17,687 47.50 $65.36 - $65.36 20,395 6.15 65.36 15,297 65.36 $65.45 - $65.45 17,140 6.13 65.45 12,345 65.45 $73.52 - $73.52 50,000 6.58 73.52 37,500 73.52 $85.99 - $85.99 35,800 7.15 85.99 17,904 85.99 417,581 2.78 $ 31.58 377,292 $ 26.72 The Company recorded compensation expense relating to outstanding options of $570 , $649 and $729 in general and administrative expense for the years ended December 31, 2018 , 2017 and 2016 , respectively. Total cash received for the years ended December 31, 2018 , 2017 and 2016 , related to option exercises was $1,169 , $1,266 and $1,444 , respectively. At December 31, 2018 , there was $344 of total unrecognized compensation expense related to non-vested stock options under the Plan. That cost is expected to be recognized over a weighted-average period of 0.72 years. The valuation model applied in this calculation utilizes subjective assumptions that could potentially change over time, including the expected forfeiture rate. Therefore, the amount of unrecognized compensation expense at December 31, 2018 noted above does not necessarily represent the expense that will ultimately be realized by the Company in the statement of operations. Common Stock Granted to Employees and Directors The Company recorded $10,606 , $8,072 and $7,316 of expense in general and administrative expense in its statement of operations related to restricted stock awards granted to employees and directors for the years ended December 31, 2018 , 2017 and 2016 , respectively. The forfeiture rate, which is estimated at a weighted-average of 10.2% of unvested awards outstanding as of December 31, 2018 , is adjusted periodically based on the extent to which actual forfeitures differ, or are expected to differ, from the previous estimates. At December 31, 2018 there was $10,870 of total unrecognized compensation expense related to non-vested restricted stock awards under the Plan. That cost is expected to be recognized over a weighted-average period of 2.00 years. The fair value of common stock awards is determined based on the closing trading price of the Company’s common stock on the grant date. A summary of the Company’s employee and director share grant activity is as follows: Restricted Stock Grants Shares Weighted-Average Grant-Date Fair Value Unreleased at December 31, 2015 318,409 $ 55.75 Granted 119,931 87.61 Released (128,808 ) 50.05 Cancelled (9,947 ) 67.36 Unreleased at December 31, 2016 299,585 $ 70.57 Granted 95,392 74.49 Released (120,323 ) 63.95 Cancelled (8,179 ) 77.25 Unreleased at December 31, 2017 266,475 $ 74.76 Granted 85,066 86.14 Released (116,656 ) 72.38 Cancelled (11,771 ) 80.96 Unreleased at December 31, 2018 223,114 $ 80.02 Performance-based Stock Units In 2017, the CNG Committee changed its compensation for executives to issue performance-based stock units (the "PSUs") as a replacement for stock option awards. The PSUs granted to executives represent the right to earn shares of the Company's common stock. These awards have two financial performance components: (1) the Company's core FFO performance ("FFO Target"), and (2) the Company's total stockholder return relative to the performance of a defined group of peers ("TSR Target"). Each of these performance components are weighted 50% and are measured over the performance period, which is defined as the three -year period ending December 31 from the year of grant. At the end of the performance period, the financial performance components are reviewed to determine the number of shares actually granted to executives, which can be as low as zero shares and up to a maximum of two shares issued for each PSU. A summary of the PSU activity is as follows: Performance-Based Stock Units Units Weighted-Average Grant-Date Fair Value Unvested at December 31, 2016 — $ — Granted 30,071 83.84 Unvested at December 31, 2017 30,071 $ 83.84 Granted 28,735 96.19 Unvested at December 31, 2018 58,806 $ 89.87 The Company estimated the fair value of the PSUs as of the grant date, using the closing trading price of the Company's common stock on the grant date to value the FFO Target portion. A Monte Carlo simulation model was used to calculate the fair value of the TSR Target portion of the PSUs, using the following assumptions: For the Year Ended December 31, 2018 2017 Intrinsic value $5,321 $2,630 Compensation cost $1,873 $840 Risk-free rate 2.37% 1.62% Volatility 22.6% 21.4% Expected term (in years) 2.9 2.8 Dividend yield —% —% Unrecognized compensation cost $2,739 $1,681 Term over which unrecognized compensation cost recognized 2 2 Under the terms of the PSUs, dividends for the entire measurement period are paid in cash when the shares are issued, so a dividend yield of zero was used. The valuation model applied in this calculation utilizes subjective assumptions that could potentially change over time, including the probabilities associated with achieving the FFO Targets (categorized within Level 3 of the fair value hierarchy). Therefore, the amount of unrecognized compensation expense at December 31, 2018 noted above does not necessarily represent the expense that will ultimately be realized by the Company in the statement of operations. |
Employee Benefit Plan
Employee Benefit Plan | 12 Months Ended |
Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plan | EMPLOYEE BENEFIT PLAN The Company has a retirement savings plan under Section 401(k) of the Internal Revenue Code under which eligible employees can contribute up to 60% of their annual salary, subject to a statutory prescribed annual limit. For the years ended December 31, 2018 , 2017 and 2016 , the Company made matching contributions to the plan of $2,833 , $2,212 and $1,944 , respectively, based on 100% of the first 3% and up to 50% of the next 2% of an employee’s compensation. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES As a REIT, the Company is generally not subject to federal income tax with respect to that portion of its income which is distributed annually to its stockholders. However, the Company has elected to treat one of its corporate subsidiaries, Extra Space Management, Inc., as a TRS. In general, the Company’s TRS may perform additional services for tenants and generally may engage in any real estate or non-real estate related business. A TRS is subject to federal corporate income tax. The Company accounts for income taxes in accordance with the provisions of ASC 740, “Income Taxes.” Deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities. The Company has elected to use the Tax-Law-Ordering approach to determine when excess tax benefits will be realized. The income tax provision for the years ended December 31, 2018 , 2017 and 2016 , is comprised of the following components: For the Year Ended December 31, 2018 Federal State Total Current expense $ 9,136 $ 2,426 $ 11,562 Tax credits/true-up (5,841 ) (175 ) (6,016 ) Change in deferred expense/(benefit) 3,730 (32 ) 3,698 Total tax expense $ 7,025 $ 2,219 $ 9,244 For the Year Ended December 31, 2017 Federal State Total Current expense $ 5,677 $ 1,662 $ 7,339 Tax credits/true-up (5,573 ) (383 ) (5,956 ) Change in deferred expense 1,700 542 2,242 Total tax expense $ 1,804 $ 1,821 $ 3,625 For the Year Ended December 31, 2016 Federal State Total Current expense $ 14,627 $ 2,368 $ 16,995 Tax credits/true-up (312 ) — (312 ) Change in deferred benefit (369 ) (467 ) (836 ) Total tax expense $ 13,946 $ 1,901 $ 15,847 A reconciliation of the statutory income tax provisions to the effective income tax provisions for the periods indicated is as follows: For the Year Ended December 31, 2018 2017 2016 Expected tax at statutory rate $ 95,828 21.0 % $ 186,274 35.0 % $ 144,708 35.0 % Non-taxable REIT income (83,022 ) (18.2 )% (170,811 ) (32.1 )% (131,112 ) (31.7 )% State and local tax expense - net of federal benefit 2,385 0.5 % 2,306 0.4 % 2,399 0.6 % Change in valuation allowance (1,052 ) (0.2 )% 159 — % (845 ) (0.2 )% Tax credits/true-up (6,016 ) (1.3 )% (5,956 ) (1.1 )% (312 ) (0.1 )% Remeasurement of deferred balances — — % (8,460 ) (1.6 )% — — % Miscellaneous 1,121 0.2 % 113 — % 1,009 0.2 % Total provision $ 9,244 2.0 % $ 3,625 0.6 % $ 15,847 3.8 % The major sources of temporary differences stated at their deferred tax effects are as follows: December 31, 2018 December 31, 2017 Deferred tax liabilities: Fixed assets $ (20,907 ) $ (15,271 ) Other (96 ) (108 ) State deferred taxes (3,076 ) (2,822 ) Total deferred tax liabilities (24,079 ) (18,201 ) Deferred tax assets: Captive insurance subsidiary 324 252 Accrued liabilities 1,772 873 Stock compensation 1,604 1,287 Solar credit — 43 Other 53 57 SmartStop TRS 219 219 State deferred taxes 7,196 7,802 Total deferred tax assets 11,168 10,533 Valuation allowance (3,872 ) (4,924 ) Net deferred income tax liabilities $ (16,783 ) $ (12,592 ) The state income tax net operating losses expire between 2019 and 2036. The valuation allowance is associated with the state income tax net operating losses. The tax years 2014 through 2017 remain open related to the state returns, and 2015 through 2017 for the federal returns. Federal tax reform legislation that was enacted on December 22, 2017 (commonly known as the Tax Cuts and Jobs Act) (the “2017 Tax Legislation”) made substantial changes to the Internal Revenue Code. Among those changes were a reduction in the U.S. federal corporate tax rate from the previous rate of 35% to 21%, the elimination or modification of various allowed deductions, and a deduction for REIT stockholders that are individuals, trusts and estates of up to 20% of ordinary REIT dividends. Many of the provisions of the 2017 Tax Legislation required guidance through the issuance of Treasury regulations in order to assess their effect. It is possible that there will be technical corrections legislation proposed with respect to the 2017 Tax Legislation, the effect of which cannot be predicted and may be adverse to the Company or its stockholders. The SEC staff issued SAB 118, which provides guidance on accounting for the tax effects of the 2017 Tax Legislation. SAB 118 provides a measurement period that should not extend beyond one year from the 2017 Tax Legislation enactment date for companies to complete the accounting under ASC 740. In accordance with SAB 118, a company must reflect the income tax effects of those aspects of the 2017 Tax Legislation for which the accounting under ASC 740 is complete. To the extent that a company’s accounting for certain income tax effects of the 2017 Tax Legislation is incomplete but it is able to determine a reasonable estimate, it must record a provisional estimate in the financial statements. If a company cannot determine a provisional estimate to be included in the financial statements, it should continue to apply ASC 740 on the basis of the provisions of the tax laws that were in effect immediately before the enactment of the 2017 Tax Legislation. The Company recorded a provisional estimate of the impact of the 2017 Tax Legislation for the year ended December 31, 2017 . The SAB 118 measurement period closed on December 22, 2018. The Company's accounting for the 2017 Tax Legislation under SAB 118 has been finalized with no additional adjustments. For the year ended December 31, 2017 , the Company remeasured certain deferred tax assets and liabilities based on the rates at which they are expected to reverse in the future, which is generally 21%. The tax benefit recorded related to the remeasurement of the deferred tax balance and valuation allowance was $8,606 , which is included as a component of income tax expense for the year ended December 31, 2017 . The Company made no additional adjustments to this initial remeasurement for the year ended December 31, 2018 . |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATION The Company’s segment disclosures present the measure used by the chief operating decision makers ("CODMs") for purposes of assessing each segment’s performance. The Company’s CODMs are comprised of several members of its executive management team who use net operating income ("NOI") to assess the performance of the business for the Company’s reportable operating segments. NOI for our self-storage operations represents total property revenue less direct property operating expenses. NOI for our tenant reinsurance segment represents tenant reinsurance revenues less tenant reinsurance expense. The Company’s segments, prior to 2017, were comprised of three reportable segments: (1) rental operations; (2) tenant reinsurance; and (3) property management, acquisition and development. Based on how the CODMs reviews performance and makes decisions, the Company realigned its segments into two reportable segments: (1) self-storage operations and (2) tenant reinsurance. The self-storage operations activities include rental operations of wholly-owned stores. The Company's consolidated revenues equal total segment revenues plus property management fees and other income. Tenant reinsurance activities include the reinsurance of risks relating to the loss of goods stored by tenants in the stores operated by the Company. Excluded from segment revenues and net operating income is property management fees and other income. For all periods presented, substantially all of our real estate assets, intangible assets, other assets, and accrued and other liabilities are associated with the self-storage operations segment. The prior periods have been restated to conform to the current presentation. Financial information for the Company’s business segments is set forth below: Year Ended December 31, 2018 2017 2016 Revenues: Self-Storage Operations $ 1,039,340 $ 967,229 $ 864,742 Tenant Reinsurance 115,507 98,401 87,291 Total segment revenues 1,154,847 1,065,630 $ 952,033 Operating expenses: Self-Storage Operations $ 291,695 $ 271,974 $ 250,005 Tenant Reinsurance 25,707 19,173 15,555 Total segment operating expenses $ 317,402 $ 291,147 $ 265,560 Net operating income: Self-Storage Operations 747,645 695,255 $ 614,737 Tenant Reinsurance 89,800 79,228 71,736 Total segment net operating income: $ 837,445 $ 774,483 $ 686,473 Total segment net operating income $ 837,445 $ 774,483 $ 686,473 Other components of net income (loss): Property management fees and other income 41,757 39,379 39,842 General and administrative expense (81,256 ) (78,961 ) (81,806 ) Depreciation and amortization expense (209,050 ) (193,296 ) (182,560 ) Acquisition and other related costs (1) — — (12,111 ) Gain on real estate transactions, earnout from prior acquisitions and impairment of real estate 30,807 112,789 8,465 Interest expense (178,436 ) (153,511 ) (133,479 ) Non-cash interest expense related to the amortization of discount on equity component of exchangeable senior notes (4,687 ) (5,103 ) (4,980 ) Interest income 5,292 6,736 10,998 Equity in earnings of unconsolidated real estate ventures 14,452 15,331 12,895 Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and purchase of partners' interests — — 69,199 Income tax expense (9,244 ) (3,625 ) (15,847 ) Net income $ 447,080 $ 514,222 $ 397,089 (1) Beginning January 1, 2017, acquisition related costs have been capitalized due to the adoption of ASU 2017-01, " Business Combinations (Topic 805): Clarifying the Definition of a Business. " |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES The Company has operating leases on its corporate offices and owns 23 stores that are subject to leases. At December 31, 2018 , future minimum rental payments under these non-cancelable operating leases were as follows (unaudited): Less than 1 year $ 8,203 Year 2 8,307 Year 3 8,137 Year 4 7,837 Year 5 7,021 Thereafter 111,653 $ 151,158 The Company recorded expense of $8,229 , $6,898 and $4,578 related to operating leases in the years ended December 31, 2018 , 2017 and 2016 , respectively. The Company is involved in various legal proceedings and is subject to various claims and complaints arising in the ordinary course of business. Because litigation is inherently unpredictable, the outcome of these matters cannot presently be determined with any degree of certainty. In accordance with applicable accounting guidance, management establishes an accrued liability for litigation when those matters present loss contingencies that are both probable and reasonably estimable. In such cases, there may be an exposure to loss in excess of any amounts accrued. The estimated loss, if any, is based upon currently available information and is subject to significant judgment, a variety of assumptions, and known and unknown uncertainties. The Company could in the future incur judgments or enter into settlements of claims that could have a material adverse effect on its results of operations in any particular period, notwithstanding the fact that the Company is currently vigorously defending any legal proceedings against it. As of December 31, 2018 , the Company was involved in various legal proceedings and was subject to various claims and complaints arising in the ordinary course of business. In the opinion of management, such litigation, claims and complaints are not expected to have a material adverse effect on the Company’s financial condition or results of operations. As of December 31, 2018 , the Company was under agreement to acquire 18 stores at a total purchase price of $271,526 . Of these stores, 16 are scheduled to close in 2019 at a purchase price of $247,498 , and two are scheduled to close in 2020 at a purchase price of $24,028 . Additionally, the Company is under agreement to acquire 13 stores with joint venture partners, for a total investment of $73,860 . Eleven of these stores are scheduled to close in 2019, while the remaining two are scheduled to close in 2020. Although there can be no assurance, the Company is not aware of any material environmental liability, for which it believes it will be ultimately responsible, that could have a material adverse effect on its financial condition or results of operations. However, changes in applicable environmental laws and regulations, the uses and conditions of properties in the vicinity of the Company’s properties, the activities of its tenants and other environmental conditions of which the Company is unaware with respect to its properties could result in future material environmental liabilities. |
Supplementary Quarterly Financi
Supplementary Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Supplementary Quarterly Financial Data (Unaudited) | SUPPLEMENTARY QUARTERLY FINANCIAL DATA (UNAUDITED) For the Three Months Ended March 31, 2018 June 30, 2018 September 30, 2018 December 31, 2018 Revenues $ 285,485 $ 296,813 $ 306,953 $ 307,353 Cost of operations 151,573 152,097 153,362 150,676 Revenues less cost of operations $ 133,912 $ 144,716 $ 153,591 $ 156,677 Net income $ 95,430 $ 102,713 $ 139,687 $ 109,250 Net income attributable to common stockholders $ 88,256 $ 95,153 $ 130,418 $ 101,462 Earnings per common share—basic $ 0.70 $ 0.75 $ 1.03 $ 0.80 Earnings per common share—diluted $ 0.70 $ 0.75 $ 1.02 $ 0.80 For the Three Months Ended March 31, 2017 June 30, 2017 September 30, 2017 December 31, 2017 Revenues $ 263,008 $ 276,003 $ 284,156 $ 281,842 Cost of operations 138,805 139,596 144,275 140,728 Revenues less cost of operations $ 124,203 $ 136,407 $ 139,881 $ 141,114 Net income $ 89,734 $ 94,098 $ 101,075 $ 229,315 Net income attributable to common stockholders $ 82,282 $ 87,006 $ 93,742 $ 215,983 Earnings per common share—basic $ 0.65 $ 0.69 $ 0.74 $ 1.71 Earnings per common share—diluted $ 0.64 $ 0.69 $ 0.74 $ 1.69 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events | SUBSEQUENT EVENTS Subsequent to year end, the Company acquired its joint venture partner's interests in Extra Space West One LLC and Extra Space West Two LLC. The 12 stores owned by these joint ventures are now wholly-owned by the Company. The Company paid cash of $172,515 and assumed an existing loan of $17,157 . |
Schedule III - Real Estate and
Schedule III - Real Estate and Accumulated Depreciation | 12 Months Ended |
Dec. 31, 2018 | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation Disclosure [Abstract] | |
Schedule III - Real Estate and Accumulated Depreciation | Extra Space Storage Inc. Schedule III Real Estate and Accumulated Depreciation (Dollars in thousands) As of December 31, 2018 Building and Improvements Initial Cost Adjustments and Costs to Land and Building Subsequent to Acquisition Gross carrying amount at December 31, 2018 Self - Storage Facilities by State: Store Count Land Initial Cost Building and Improvements Accumulated Depreciation Debt Land Total AL 8 $ 30,215 $ 7,690 $ 42,770 $ 3,156 $ 7,691 $ 45,925 $ 53,616 $ 6,928 AZ 23 39,974 27,535 117,304 8,680 27,533 125,986 153,519 20,509 CA 146 699,982 446,176 1,069,102 91,467 446,863 1,159,882 1,606,745 227,969 CO 15 39,092 15,700 62,816 14,186 15,887 76,815 92,702 16,942 CT 7 23,869 9,875 50,966 3,861 9,874 54,828 64,702 8,279 FL 86 331,556 161,109 579,419 45,736 161,573 624,691 786,264 115,603 GA 59 104,806 77,306 372,157 22,117 77,290 394,290 471,580 48,711 HI 9 39,644 17,663 133,870 5,094 17,663 138,964 156,627 21,756 IL 31 58,189 44,427 225,423 21,944 43,449 248,345 291,794 35,630 IN 15 11,149 12,447 58,247 5,118 12,447 63,365 75,812 9,767 KS 1 — 366 1,897 529 366 2,426 2,792 997 KY 11 34,817 8,640 68,679 4,558 8,640 73,237 81,877 9,813 LA 2 — 6,114 8,541 1,297 6,115 9,837 15,952 3,919 MA 45 126,966 72,445 254,383 36,722 72,626 290,924 363,550 71,855 MD 32 140,841 99,147 284,253 14,408 97,180 300,628 397,808 61,719 MI 7 8,639 9,583 51,359 2,025 9,583 53,384 62,967 4,206 MN 4 — 6,681 42,252 277 6,681 42,529 49,210 1,348 MO 5 5,981 4,129 15,444 3,510 4,086 18,997 23,083 6,752 MS 3 — 2,420 20,849 1,403 2,420 22,252 24,672 1,983 NC 18 33,835 31,969 104,104 3,769 31,967 107,875 139,842 8,128 NH 2 6,024 754 4,054 1,108 817 5,099 5,916 2,225 NJ 59 201,091 134,032 560,512 34,227 134,479 594,292 728,771 113,188 NM 11 22,055 32,252 71,142 4,177 32,252 75,319 107,571 7,175 NV 14 35,797 15,252 74,376 4,081 15,252 78,457 93,709 8,114 NY 23 97,930 122,835 240,816 29,767 123,570 269,848 393,418 52,400 OH 17 43,789 17,788 50,493 5,983 17,787 56,477 74,264 11,500 OR 6 30,885 7,906 39,576 1,414 7,906 40,990 48,896 6,389 PA 17 34,544 23,376 132,317 9,331 22,668 142,356 165,024 19,949 RI 2 10,327 3,191 6,926 1,176 3,191 8,102 11,293 2,676 SC 23 44,560 37,075 135,760 8,834 37,076 144,593 181,669 18,349 TN 17 49,475 25,938 91,497 7,321 25,938 98,818 124,756 15,043 TX 99 279,717 169,160 648,128 52,440 169,012 700,716 869,728 91,986 UT 10 16,625 9,008 39,295 10,044 9,008 49,339 58,347 8,925 VA 46 228,363 139,318 414,335 16,668 139,319 431,002 570,321 56,712 WA 8 33,203 12,528 47,645 2,349 12,530 49,992 62,522 9,965 DC 1 9,038 14,394 18,172 356 14,394 18,528 32,922 1,311 Other corporate assets — — 2,202 116,855 — 119,057 119,057 32,473 Intangible tenant relationships and lease rights — — 132,000 — — 132,000 132,000 121,238 Construction in Progress/Undeveloped Land — 10,937 — 48,034 7,359 51,612 58,971 6 Totals 882 $ 2,872,978 $ 1,837,166 $ 6,273,080 $ 644,023 $ 1,832,492 $ 6,921,777 $ 8,754,269 $ 1,262,438 Activity in real estate facilities during the years ended December 31, 2018 , 2017 and 2016 is as follows: 2018 2017 2016 Operating facilities Balance at beginning of year $ 8,158,741 $ 7,649,448 $ 6,392,487 Acquisitions 459,223 628,391 1,159,304 Improvements 64,336 71,090 92,480 Transfers from construction in progress 49,449 19,079 26,400 Dispositions and other (22,434 ) (209,267 ) (21,223 ) Balance at end of year $ 8,709,315 $ 8,158,741 $ 7,649,448 Accumulated depreciation: Balance at beginning of year $ 1,060,060 $ 900,861 $ 728,087 Depreciation expense 203,030 185,903 174,906 Dispositions and other (652 ) (26,704 ) (2,132 ) Balance at end of year $ 1,262,438 $ 1,060,060 $ 900,861 Real estate under development/redevelopment: Balance at beginning of year $ 33,750 $ 21,860 $ 24,909 Current development 60,677 33,484 23,404 Transfers to operating facilities (49,449 ) (19,079 ) (26,400 ) Dispositions and other (24 ) (2,515 ) (53 ) Balance at end of year $ 44,954 $ 33,750 $ 21,860 Net real estate assets $ 7,491,831 $ 7,132,431 $ 6,770,447 As of December 31, 2018 , the aggregate cost of real estate for U.S. federal income tax purposes was $7,306,350 . |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The consolidated financial statements are presented on the accrual basis of accounting in accordance with U.S. generally accepted accounting principles (“GAAP”) and include the accounts of the Company and its wholly- or majority-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. |
Variable Interest Entities | Variable Interest Entities The Company accounts for arrangements that are not controlled through voting or similar rights as variable interest entities (“VIEs”). An enterprise is required to consolidate a VIE if it is the primary beneficiary of the VIE. A VIE is created when (i) the equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support from other parties, or (ii) the entity’s equity holders as a group either: (a) lack the power, through voting or similar rights, to direct the activities of the entity that most significantly impact the entity’s economic performance, (b) are not obligated to absorb expected losses of the entity if they occur, or (c) do not have the right to receive expected residual returns of the entity if they occur. If an entity is deemed to be a VIE, the enterprise that is deemed to have a variable interest, or combination of variable interests, that provides the enterprise with a controlling financial interest in the VIE, is considered the primary beneficiary and must consolidate the VIE. The Company has concluded that under certain circumstances when the Company enters into arrangements for the formation of joint ventures, a VIE may be created under condition (i), (ii) (b) or (c) of the previous paragraph. For each VIE created, the Company has performed a qualitative analysis, including considering which party, if any, has the power to direct the activities most significant to the economic performance of each VIE and whether that party has the obligation to absorb losses of the VIE or the right to receive benefits from the VIE that could be significant to the VIE. If the Company is determined to be the primary beneficiary of the VIE, the assets, liabilities and operations of the VIE are consolidated with the Company’s financial statements. Additionally, the Operating Partnership has notes payable to one trust that is a VIE under condition (ii)(a) above. Since the Operating Partnership is not the primary beneficiary of the trust, this VIE is not consolidated. The Company’s investments in real estate joint ventures, where the Company has significant influence, but not control, and joint ventures which are VIEs in which the Company is not the primary beneficiary, are recorded under the equity method of accounting on the accompanying consolidated financial statements. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Fair Value Disclosures | Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Long-lived assets held for use are evaluated for impairment when events or circumstances indicate there may be impairment. The Company reviews each store at least annually to determine if any such events or circumstances have occurred or exist. The Company focuses on stores where occupancy and/or rental income have decreased by a significant amount. For these stores, the Company determines whether the decrease is temporary or permanent, and whether the store will likely recover the lost occupancy and/or revenue in the short term. In addition, the Company reviews stores in the lease-up stage and compares actual operating results to original projections. When the Company determines that an event that may indicate impairment has occurred, the Company compares the carrying value of the related long-lived assets to the undiscounted future net operating cash flows attributable to the assets. An impairment loss is recorded if the net carrying value of the assets exceeds the undiscounted future net operating cash flows attributable to the assets. The impairment loss recognized equals the excess of net carrying value over the related fair value of the assets. When real estate assets are identified by management as held for sale, the Company discontinues depreciating the assets and estimates the fair value of the assets, net of selling costs. The Company compares the carrying value of the related long-lived assets to the undiscounted future net operating cash flows attributable to the assets (categorized within Level 3 of the fair value hierarchy). If the estimated fair value, net of selling costs, of the assets that have been identified as held for sale is less than the net carrying value of the assets, the Company would recognize a loss on the assets held for sale. The operations of assets held for sale or sold during the period are presented as part of normal operations for all periods presented. The Company assesses annually whether there are any indicators that the value of the Company’s investments in unconsolidated real estate ventures may be impaired and when events or circumstances indicate that there may be impairment. An investment is impaired if management’s estimate of the fair value of the investment is less than its carrying value. To the extent impairment has occurred, and is considered to be other than temporary, the loss is measured as the excess of the carrying amount of the investment over the fair value of the investment. As of December 31, 2018 and 2017 , the Company did not have any assets or liabilities measured at fair value on a nonrecurring basis. Fair Value of Financial Instruments The carrying values of cash and cash equivalents, restricted cash, receivables, other financial instruments included in other assets, accounts payable and accrued expenses, variable-rate notes payable, revolving lines of credit and other liabilities reflected in the consolidated balance sheets at December 31, 2018 and 2017 , approximate fair value. The fair values of the Company’s notes receivable from Preferred Operating Partnership unit holders and other fixed rate notes receivable were based on the discounted estimated future cash flow of the notes (categorized within Level 3 of the fair value hierarchy); the discount rate used approximated the current market rate for loans with similar maturities and credit quality. The fair values of the Company’s fixed rate notes payable and notes payable to trusts were estimated using the discounted estimated future cash payments to be made on such debt (categorized within Level 3 of the fair value hierarchy); the discount rates used approximated current market rates for loans, or groups of loans, with similar maturities and credit quality. The fair value of the Company’s exchangeable senior notes was estimated using an average market price for similar securities obtained from a third party. Fair Value Disclosures Derivative financial instruments Currently, the Company uses interest rate swaps to manage its interest rate risk. The valuation of these instruments is determined using widely accepted valuation techniques including discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate curves. The fair values of interest rate swaps are determined using the market standard methodology of netting the discounted future fixed cash payments and the discounted expected variable cash receipts. The variable cash receipts are based on an expectation of future interest rates (forward curves) derived from observable market interest rate forward curves. The Company incorporates credit valuation adjustments to appropriately reflect both its own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. In adjusting the fair value of its derivative contracts for the effect of nonperformance risk, the Company has considered the impact of netting and any applicable credit enhancements, such as collateral postings, thresholds, mutual puts, and guarantees. In conjunction with the Financial Accounting Standard Board’s fair value measurement guidance, the Company made an accounting policy election to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio. Although the Company has determined that the majority of the inputs used to value its derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with its derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by itself and its counterparties. However, as of December 31, 2018 , the Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and has determined that the credit valuation adjustments are not significant to the overall valuation of its derivatives. As a result, the Company has determined that its derivative valuations in their entirety are classified in Level 2 of the fair value hierarchy. |
Real Estate Assets | Real Estate Assets Real estate assets are stated at cost, less accumulated depreciation. Direct and allowable internal costs associated with the development, construction, renovation, and improvement of real estate assets are capitalized. Interest, property taxes, and other costs associated with development incurred during the construction period are capitalized. The construction period begins when expenditures for the real estate assets have been made and activities that are necessary to prepare the asset for its intended use are in progress. The construction period ends when the asset is substantially complete and ready for its intended use. Expenditures for maintenance and repairs are charged to expense as incurred. Major replacements and betterments that improve or extend the life of the asset are capitalized and depreciated over their estimated useful lives. Depreciation is computed using the straight-line method over the estimated useful lives of the buildings and improvements, which are generally between five and 39 years. Stores purchased at the time of certificate of occupancy issuance and stores purchased subsequent to the Company's adoption of ASU 2017-01 on January 1, 2017 are considered asset acquisitions. As such, the purchase price is allocated to the real estate assets acquired based on their relative fair values, which are estimated using significant unobservable inputs. The value of the tangible assets, consisting of land and buildings, is determined as if vacant. Intangible assets, which represent the value of existing tenant relationships, are recorded at their relative fair values based on the avoided cost to replace the current leases. The Company measures the value of tenant relationships based on the rent lost due to the amount of time required to replace existing customers, which is based on the Company’s historical experience with turnover in its stores. Any debt assumed as part of the acquisition is recorded at fair value based on current interest rates compared to contractual rates. Acquisition-related transactions costs are capitalized as part of the purchase price. Intangible lease rights represent: (1) purchase price amounts allocated to leases on three stores that cannot be classified as ground or building leases; these rights are amortized to expense over the life of the leases and (2) intangibles related to ground leases on eight stores where the leases were assumed by the Company at rates that were lower than the current market rates for similar leases. The values associated with these assumed leases were recorded as intangibles, which will be amortized over the lease terms. |
Investments in Unconsolidated Real Estate Ventures | Investments in Unconsolidated Real Estate Ventures The Company’s investments in real estate joint ventures, where the Company has significant influence, but not control and joint ventures which are VIEs in which the Company is not the primary beneficiary, are recorded under the equity method of accounting in the accompanying consolidated financial statements. Under the equity method, the Company’s investment in real estate ventures is stated at cost and adjusted for the Company’s share of net earnings or losses and reduced by distributions. Equity in earnings of real estate ventures is generally recognized based on the Company’s ownership interest in the earnings of each of the unconsolidated real estate ventures. For the purposes of presentation in the statement of cash flows, the Company follows the “look through” approach for classification of distributions from joint ventures. Under this approach, distributions are reported under operating cash flow unless the facts and circumstances of a specific distribution clearly indicate that it is a return of capital (e.g., a liquidating dividend or distribution of the proceeds from the joint venture’s sale of assets), in which case it is reported as an investing activity. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company’s cash is deposited with financial institutions located throughout the United States and at times may exceed federally insured limits. The Company considers all highly liquid debt instruments with a maturity date of three months or less to be cash equivalents. |
Restricted Cash | Restricted Cash Restricted cash is comprised of letters of credit and escrowed funds deposited with financial institutions located throughout the United States relating to earnest money deposits on potential acquisitions, real estate taxes, insurance and capital expenditures. |
Other Assets | Other Assets Other assets consist of equipment and fixtures, rents receivable from our tenants, investments in trusts, notes and other receivables, other intangible assets, deferred tax assets, prepaid expenses and the fair value of interest rate swaps. Depreciation of equipment and fixtures is computed on a straight-line basis over three to five years. |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities The Company records all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may enter into derivative contracts that are intended to economically hedge certain of its risk, even though hedge accounting does not apply or the Company elects not to apply hedge accounting. The Company made an accounting policy election to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio. |
Risk Management and Use of Financial Instruments | Risk Management and Use of Financial Instruments In the normal course of its ongoing business operations, the Company encounters economic risk. There are three main components of economic risk: interest rate risk, credit risk and market risk. The Company is subject to interest rate risk on its interest-bearing liabilities. Credit risk is the risk of inability or unwillingness of tenants to make contractually required payments. Market risk is the risk of declines in the value of stores due to changes in rental rates, interest rates or other market factors affecting the value of stores held by the Company. The Company has entered into interest rate swap agreements to manage a portion of its interest rate risk. |
Exchange of Common Operating Partnership Units | Exchange of Common Operating Partnership Units Redemption of common Operating Partnership units for shares of common stock, when redeemed under the original provisions of the Operating Partnership agreement, are accounted for by reclassifying the underlying net book value of the units from noncontrolling interest to the Company’s equity. |
Revenue and Expense Recognition | Revenue and Expense Recognition Rental revenues are recognized as earned based upon amounts that are currently due from tenants. Leases are generally on month-to-month terms. Prepaid rents are recognized on a straight-line basis over the term of the leases. Promotional discounts are recognized as a reduction to rental income over the promotional period. Late charges, administrative fees and merchandise sales are recognized as income when earned. Equity in earnings of unconsolidated real estate entities is recognized based on the Company's ownership interest in the earnings of each of the unconsolidated real estate entities. Interest income is recognized as earned. The Company's management fees are earned subject to the terms of the related management services agreements ("MSAs"). These MSAs provide that the Company will perform management services, which include leasing and operating the property and providing accounting, marketing, banking, maintenance and other services. These services are provided in exchange for monthly management fees, which are based on a percentage of revenues collected from stores owned by third parties and unconsolidated joint ventures. MSAs generally have original terms from three to five years, after which management services are provided on a month-to-month basis unless terminated. Management fees are due on the last day of each calendar month that management services are provided. The Company accounts for the management services provided to a customer as a single performance obligation which are rendered over time each month. The total amount of consideration from the contract is variable as it is based on monthly revenues, which are influenced by multiple factors, some of which are outside the Company's control. Therefore, the Company recognizes the revenue at the end of each month once the uncertainty is resolved. Due to the standardized terms of the MSAs, the Company accounts for all MSAs in a similar, consistent manner. Therefore, no disaggregated information relating to MSAs is presented. Property expenses, including utilities, property taxes, repairs and maintenance and other costs to manage the facilities are recognized as incurred. The Company accrues for property tax expense based upon invoice amounts and estimates. If these estimates are incorrect, the timing of expense recognition could be affected. Tenant reinsurance premiums are recognized as revenue over the period of insurance coverage. The Company records an unpaid claims liability at the end of each period based on existing unpaid claims and historical claims payment history. The unpaid claims liability represents an estimate of the ultimate cost to settle all unpaid claims as of each period end, including both reported but unpaid claims and claims that may have been incurred but have not been reported. The Company uses a third party claims administrator to adjust all tenant reinsurance claims received. The administrator evaluates each claim to determine the ultimate claim loss and includes an estimate for claims that may have been incurred but not reported. Annually, a third party actuary evaluates the adequacy of the unpaid claims liability. Prior year claim reserves are adjusted as experience develops or new information becomes known. The impact of such adjustments is included in the current period operations. The unpaid claims liability is not discounted to its present value. Each tenant chooses the amount of insurance coverage they want through the tenant reinsurance program. Tenants can purchase policies in amounts of 2,000 dollars to 10,000 dollars of insurance coverage in exchange for a monthly fee. As of December 31, 2018 , the average insurance coverage for tenants was approximately 2,900 dollars. The Company’s exposure per claim is limited by the maximum amount of coverage chosen by each tenant. The Company purchases reinsurance for losses exceeding a set amount for any one event. The Company does not currently have any amounts recoverable under the reinsurance arrangements. For the years ended December 31, 2018 , 2017 and 2016 , the number of claims made were 7,870 , 5,671 and 4,055 , respectively. The following table presents information on the portion of the Company’s unpaid claims liability, which is included in other liabilities on the Company's consolidated balance sheets, that relates to tenant insurance for the periods indicated: |
Advertising Costs | Advertising Costs The Company incurs advertising costs primarily attributable to digital and other advertising. These costs are expensed as incurred. The Company recognized $16,153 , $14,410 and $12,867 in advertising expense for the years ended December 31, 2018 , 2017 and 2016 , respectively, which are included in property operating expenses on the Company’s consolidated statements of operations. |
Income Taxes | Income Taxes The Company has elected to be treated as a REIT under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the "Internal Revenue Code"). In order to maintain its qualification as a REIT, among other things, the Company is required to distribute at least 90% of its REIT taxable income to its stockholders and meet certain tests regarding the nature of its income and assets. As a REIT, the Company is not subject to federal income tax with respect to that portion of its income which meets certain criteria and is distributed annually to stockholders. The Company plans to continue to operate so that it meets the requirements for taxation as a REIT. Many of these requirements, however, are highly technical and complex. For any taxable year that the Company fails to qualify as a REIT and for which applicable statutory relief provisions did not apply, we would be taxed at the regular corporate rates on all of our taxable income for at least that year and the ensuing four years. The Company is subject to certain state and local taxes. Provision for such taxes has been included in income tax expense on the Company’s consolidated statements of operations. For the year ended December 31, 2018 , 0% (unaudited) of all distributions to stockholders qualified as a return of capital. The Company has elected to treat its corporate subsidiary, Extra Space Management, Inc. (“ESMI”), as a taxable REIT subsidiary (“TRS”). In general, the Company’s TRS may perform additional services for tenants and may engage in any real estate or non-real estate related business. A TRS is subject to federal corporate income tax. ESM Reinsurance Limited, a wholly-owned subsidiary of ESMI, generates income from insurance premiums that are subject to federal corporate income tax and state insurance premiums tax. Deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities. At December 31, 2018 and 2017 , there were no material unrecognized tax benefits. Interest and penalties relating to uncertain tax positions will be recognized in income tax expense when incurred. As of December 31, 2018 and 2017 , the Company had no interest or penalties related to uncertain tax provisions. |
Stock-Based Compensation | Stock-Based Compensation The measurement and recognition of compensation expense for all share-based payment awards to employees and directors are based on estimated fair values. Awards granted are valued at fair value and any compensation expense is recognized over the service periods of each award. |
Earnings Per Common Share | The Operating Partnership had $575,000 of its 3.125% Exchangeable Senior Notes due 2035 (the “2015 Notes”) issued and outstanding as of December 31, 2018 . The 2015 Notes could potentially have a dilutive impact on the Company’s earnings per share calculations. The 2015 Notes are exchangeable by holders into shares of the Company’s common stock under certain circumstances per the terms of the indenture governing the 2015 Notes. The exchange price of the 2015 Notes was $92.80 per share as of December 31, 2018 , and could change over time as described in the indenture. The Company has irrevocably agreed to pay only cash for the accreted principal amount of the 2015 Notes relative to its exchange obligations, but retained the right to satisfy the exchange obligation in excess of the accreted principal amount in cash and/or common stock. Though the Company has retained that right, Accounting Standards Codification (“ASC”) 260, “Earnings per Share,” requires an assumption that shares would be used to pay the exchange obligation in excess of the accreted principal amount, and requires that those shares be included in the Company’s calculation of weighted average common shares outstanding for the diluted earnings per share computation. As of December 31, 2018 , the Company had repaid the principal and accrued interest of its Exchangeable Senior Notes due 2033 (the “2013 Notes”), and therefore, no shares underlying the 2013 Notes were included in the dilution calculation for 2018. For the years ended December 31, 2017 and 2016 , 344,430 shares and 309,730 shares, respectively, related to the 2013 Notes were included in the computation for diluted earnings per share. For the years ended December 31, 2018 , 2017 and 2016 , no shares related to the 2015 Notes were included in the computation for diluted earnings per share as the exchange price exceeded the per share price of the Company’s common stock during this period. For the purposes of computing the diluted impact on earnings per share of the potential exchange of Series A Units for common shares upon redemption, where the Company has the option to redeem in cash or shares and where the Company has stated the positive intent and ability to settle at least $101,700 of the instrument in cash (or net settle a portion of the Series A Units against the related outstanding note receivable), only the amount of the instrument in excess of $101,700 is considered in the calculation of shares contingently issuable for the purposes of computing diluted earnings per share as allowed by ASC 260-10-45-46. |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU 2014-9, “ Revenue from Contracts with Customers, ” ("Topic 606") which amends the guidance for revenue recognition to replace numerous, industry-specific requirements and converges areas under this topic with those of the International Financial Reporting Standards. Topic 606 outlines a five-step process for customer contract revenue recognition that focuses on transfer of control, as opposed to transfer of risk and rewards. The amendment also requires enhanced disclosures regarding the nature, amount, timing and uncertainty of revenues and cash flows from contracts with customers. Topic 606 became effective for annual and interim periods beginning after December 15, 2017. The Company determined that its property rental revenue and tenant reinsurance revenue are not subject to the guidance in Topic 606, as they qualify as lease contract and insurance contracts, which are excluded from its scope. The Company's management fee revenue is included in the scope of Topic 606, and revenue recognized under the standard does not differ materially from revenue recognized under previous guidance. The Company adopted the standard using the modified retrospective transition method as of January 1, 2018. The Company's adoption of Topic 606 did not result in a cumulative catch-up adjustment or any significant changes to financial statement line items. In February 2016, the FASB issued ASU 2016-02, "Leases (Topic 842)," which modifies the accounting for leases, intending to increase transparency and comparability of organizations by requiring balance sheet presentation of leased assets and increased financial statement disclosure of leasing arrangements. ASU 2016-02 will require entities to recognize a liability for their lease obligations and a corresponding asset representing the right to use the underlying asset over the lease term. Lease obligations are to be measured at the present value and accounted for using the effective interest method. The accounting for the leased asset will differ slightly depending on whether the agreement is deemed to be a financing or operating lease. For finance leases, the leased asset is depreciated on a straight-line basis and recorded separately from the interest expense in the statements of operations, resulting in higher expense in the earlier part of the lease term. For operating leases, the depreciation and interest expense components are combined, recognized evenly over the term of the lease, and presented as a reduction to operating income. ASU 2016-02 requires that assets and liabilities be presented or disclosed separately, and requires additional disclosure of certain qualitative and quantitative information related to these lease agreements. ASU 2016-02 is effective for annual periods beginning after December 15, 2018. The Company plans to adopt the standard using the modified retrospective approach as of January 1, 2019. The Company expects to elect the package of practical expedients upon adoption, which allows for the application of the standard solely to the transition period in 2019 but does not require application to prior fiscal comparative periods presented. The Company estimates that the cumulative catch-up adjustment recorded upon adoption will not have a significant impact on retained earnings. The primary impact is expected to be related to the Company's 23 operating ground leases and two corporate facility leases under which it serves as lessee. The Company estimates the lease assets and lease liabilities to be between $90,000 and $ 110,000 related to its operating leases upon the adoption of Topic 842. In October 2016, the FASB issued ASU 2016-18, " Statement of Cash Flows (Topic 230): Restricted Cash," which requires that a statement of cash flows explains the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. This guidance is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company adopted this guidance as of January 1, 2018, and now presents restricted cash along with cash and cash equivalents in its consolidated statements of cash flows. Prior periods have been reclassified to conform to the current year's presentation. In January 2017, the FASB issued ASU 2017-01, "Business Combinations (Topic 805) - Clarifying the Definition of a Business," which provides guidance on whether transactions should be accounted for as acquisitions or disposals of assets or businesses. Specifically, when substantially all of the fair value of the gross assets acquired (or disposed of) is concentrated in a single identifiable asset or a group of similar identifiable assets, the set is not a business. Additionally, ASU 2017-01 also provides other guidance providing a more robust framework to use in determining whether a set of assets and activities is a business. This guidance is effective for annual periods beginning after December 15, 2017. Early application of ASU 2017-01 is permitted for transactions for which the acquisition or disposition date occurs before the issuance date or effective date of the amendments, only when the transaction has not been reported in financial statements that have been issued. The Company adopted the guidance in ASU 2017-01 prospectively to new acquisitions beginning on January 1, 2017. The adoption of this guidance resulted in a decrease in acquisition related costs, as the Company's acquisition of operating stores are considered asset acquisitions rather than business combinations under ASU 2017-01, and such costs are capitalized under the new guidance. In August 2017, the FASB issued ASU 2017-12, "Derivatives and Hedging (Topic 815): Targeted Improvements for Accounting for Hedging Activities," which amends and simplifies existing guidance for the financial reporting of hedging relationships to allow companies to better portray the economic effects of risk management activities in their financial statements. ASU 2017-12 is effective for annual periods beginning after December 15, 2018, with early adoption permitted. The Company adopted this standard on January 1, 2018. The adoption of this standard did not have a material impact on the Company's financial statements. In August 2018, the FASB issued ASU 2018-15, " Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40 ): Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract." ASU 2018-15 amends the accounting for implementation costs incurred in a hosting arrangement that is a service contract, and aligns them with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. ASU 2018-15 also requires that entities amortize the capitalized implementation costs over the term of the hosting arrangement. ASU 2018-15 is effective for annual periods beginning after December 15, 2020, with early adoption permitted, including early adoption in any interim period. The Company adopted this guidance on a prospective basis as of October 1, 2018. The adoption of this standard did not have a material impact on the Company's financial statements. |
Convertible Debt | GAAP requires entities with convertible debt instruments that may be settled entirely or partially in cash upon conversion to separately account for the liability and equity components of the instrument in a manner that reflects the issuer’s economic interest cost. The Company therefore accounts for the liability and equity component of the 2015 Notes separately. The equity components are included in paid-in capital in stockholders’ equity in the consolidated balance sheets, and the value of the equity components are treated as original issue discount for purposes of accounting for the debt components. The discount is being amortized as interest expense over the remaining period of the debt through its first redemption date, October 1, 2020 for the 2015 Notes. The effective interest rate on the liability components of the 2015 Notes is 4.0% , which approximates the market rate of interest of similar debt without exchange features (i.e. nonconvertible debt) at the time of issuance. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis | The table below presents the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2018 , aggregated by the level in the fair value hierarchy within which those measurements fall. Fair Value Measurements at Reporting Date Using Description December 31, 2018 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Other assets - Cash Flow Hedge Swap Agreements $ 42,324 $ — $ 42,324 $ — Other liabilities - Cash Flow Hedge Swap Agreements $ (2,131 ) $ — $ (2,131 ) $ — |
Schedule of Fair Value of Financial Instruments | The fair values of the Company’s fixed-rate assets and liabilities were as follows for the periods indicated: December 31, 2018 December 31, 2017 Fair Carrying Fair Carrying Notes receivable from Preferred and Common Operating Partnership unit holders $ 115,467 $ 119,735 $ 113,683 $ 120,230 Fixed rate notes receivable $ — $ — $ 20,942 $ 20,608 Fixed rate notes payable and notes payable to trusts $ 2,985,731 $ 3,022,414 $ 2,774,242 $ 2,815,085 Exchangeable senior notes $ 620,149 $ 575,000 $ 719,056 $ 624,259 |
Schedule of Unpaid Claims Liability | The following table presents information on the portion of the Company’s unpaid claims liability, which is included in other liabilities on the Company's consolidated balance sheets, that relates to tenant insurance for the periods indicated: For the Year Ended December 31, Tenant Reinsurance Claims: 2018 2017 2016 Unpaid claims liability at beginning of year $ 5,167 $ 3,896 $ 3,908 Claims and claim adjustment expense for claims incurred in the current year 15,800 11,700 7,250 Claims and claim adjustment expense (benefit) for claims incurred in the prior years 107 (203 ) 87 Payments for current year claims (11,010 ) (8,895 ) (5,423 ) Payments for prior year claims (2,738 ) (1,331 ) (1,926 ) Unpaid claims liability at the end of the year $ 7,326 $ 5,167 $ 3,896 |
Schedule of Antidilutive Shares Excluded from Computation of Earnings Per Share | The following table presents the number of weighted OP Units and Preferred OP Units, and the potential common shares, that were excluded from the computation of earnings per share as their effect would have been anti-dilutive: For the Year Ended December 31, 2018 2017 2016 Equivalent Shares (if converted) Equivalent Shares (if converted) Equivalent Shares (if converted) Common OP Units — — 5,564,631 Series A Units (Variable Only) — — 875,480 Series B Units 464,033 533,174 499,966 Series C Units 312,075 377,135 353,646 Series D Units 1,019,524 — 552,796 1,795,632 910,309 7,846,519 |
Schedule of Computation of Earnings Per Common Share | The computation of earnings per share is as follows for the periods presented: For the Year Ended December 31, 2018 2017 2016 Net income attributable to common stockholders $ 415,289 $ 479,013 $ 366,127 Earnings and dividends allocated to participating securities (723 ) (975 ) (792 ) Earnings for basic computations 414,566 478,038 365,335 Earnings and dividends allocated to participating securities 723 — 792 Income allocated to noncontrolling interest - Preferred Operating Partnership Units and Operating Partnership Units 22,831 30,088 — Fixed component of income allocated to noncontrolling interest - Preferred Operating Partnership (Series A Units) (2,288 ) (3,119 ) — Net income for diluted computations $ 435,832 $ 505,007 $ 366,127 Weighted average common shares outstanding: Average number of common shares outstanding - basic 126,087,487 125,967,831 125,087,554 OP Units 5,675,547 5,590,831 — Series A Units 875,480 875,480 — Series D Units — 1,081,561 — Unvested restricted stock awards included for treasury stock method 244,215 — 299,585 Shares related to exchangeable senior notes and dilutive stock options 276,304 640,068 560,937 Average number of common shares outstanding - diluted 133,159,033 134,155,771 125,948,076 Earnings per common share Basic $ 3.29 $ 3.79 $ 2.92 Diluted $ 3.27 $ 3.76 $ 2.91 |
Real Estate Assets (Tables)
Real Estate Assets (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Real Estate [Abstract] | |
Schedule of Components of Real Estate Assets | The components of real estate assets are summarized as follows: December 31, 2018 December 31, 2017 Land - operating $ 1,825,133 $ 1,731,915 Land - development 7,359 13,246 Buildings, improvements and other intangibles 6,743,355 6,286,762 Intangible assets - tenant relationships 119,557 114,375 Intangible lease rights 12,443 12,443 8,707,847 8,158,741 Less: accumulated depreciation and amortization (1,262,438 ) (1,060,060 ) Net operating real estate assets 7,445,409 7,098,681 Real estate under development/redevelopment 46,422 33,750 Net real estate assets $ 7,491,831 $ 7,132,431 Real estate assets held for sale included in net real estate assets $ 13,032 $ 10,276 |
Property Acquisitions and Dis_2
Property Acquisitions and Dispositions (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Real Estate [Abstract] | |
Schedule of Operating Properties Acquired | The following table shows the Company’s acquisitions of stores for the years ended December 31, 2018 and 2017 . The table excludes purchases of raw land or improvements made to existing assets. Consideration Paid Total Quarter Number of Stores Total Cash Paid Loan Assumed Non- controlling interests Investments in Real Estate Ventures Net Liabilities/ (Assets) Assumed Value of OP Units Issued Number of OP Units Issued Real estate assets Q4 2018 6 $ 74,852 $ 74,868 $ — $ — $ — $ (16 ) $ — — $ 74,852 Q3 2018 6 74,694 71,989 — — — 2,705 — — 74,694 Q2 2018 17 237,284 148,650 87,500 — (1,024 ) 281 1,877 21,768 237,284 Q1 2018 5 70,787 70,171 — — 489 127 — — 70,787 34 (1) $ 457,617 $ 365,678 $ 87,500 $ — $ (535 ) $ 3,097 $ 1,877 21,768 $ 457,617 Q4 2017 37 $ 535,299 $ 502,845 $ 14,592 $ (1,812 ) $ 12,957 $ 1,099 $ 5,618 64,708 $ 535,299 Q3 2017 4 31,966 29,919 — — — 47 2,000 25,520 31,966 Q2 2017 3 34,641 16,608 9,463 1,827 — (67 ) 6,810 272,400 34,641 Q1 2017 2 25,556 25,541 — — — 15 — — 25,556 46 (2) $ 627,462 $ 574,913 $ 24,055 $ 15 $ 12,957 $ 1,094 $ 14,428 362,628 $ 627,462 (1) Store acquisitions during the year ended December 31, 2018 include the acquisition of 15 stores previously held in joint ventures where the Company held a noncontrolling interest. The Company purchased its partners' remaining equity interests in the joint ventures, and the properties owned by the joint ventures became wholly owned by the Company. (2) Store acquisitions during the year ended December 31, 2017 include the acquisition of seven stores that had been owned by joint ventures in which the Company held an equity interest. |
Investments in Unconsolidated_2
Investments in Unconsolidated Real Estate Ventures - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Schedule of Investments in Unconsolidated Real Estate Ventures | Investments in unconsolidated real estate ventures and cash distributions in unconsolidated real estate ventures consist of the following: Number of Stores Equity Ownership % Excess Profit % December 31, 2018 2017 WICNN JV LLC 7 10% 25% $ 26,885 $ — VRS Self Storage, LLC 16 45% 54% 18,281 19,467 PRISA Self Storage LLC 85 4% 4% 9,334 9,638 Alan Jathoo JV LLC 9 10% 10% 8,180 — Extra Space West Two LLC (1) 5 5% 40% 3,818 3,939 ESS Bristol Investments LLC 7 10% 28% 2,331 1,258 WCOT Self Storage LLC — 5% 20% — (357 ) Extra Space West One LLC (1) 7 5% 40% (1,038 ) (900 ) Extra Space Northern Properties Six LLC 10 10% 35% (1,700 ) (1,279 ) Storage Portfolio II JV LLC 36 10% 30% (4,233 ) (3,140 ) Storage Portfolio I LLC 24 34% 49% (38,129 ) 11,495 Other minority owned stores (17 joint ventures) 23 10-50% 19-50% 56,400 29,970 Net Investments in and Cash distributions in unconsolidated real estate ventures 229 $ 80,129 $ 70,091 (1) Subsequent to year end, the Company acquired its joint venture partner's interests in Extra Space West One LLC and Extra Space West Two LLC joint ventures. The 12 stores owned by these joint ventures became wholly-owned by the Company subsequent to this acquisition. The Company paid cash of $172,515 and assumed an existing loan of $17,157 . |
Equity Method Investments | Information about these real estate ventures is summarized as follows: Number of Stores Equity ownership % Investment in new stores For the Year Ended December 31, 2018 (1) 28 10.0% -50.0% $ 63,723 For the Year Ended December 31, 2017 39 10.0% - 25.0% $ 13,341 For the Year Ended December 31, 2016 8 20.0% - 50.0% $ 26,387 (1) Included in the new unconsolidated joint ventures for the year ended December 31, 2018 were two new joint ventures (WICNN JV LLC and GFV JV, LLC), in which the Company has $22,734 and $8,720 of preferred equity, respectively. The Company earns an 8.0% return on its preferred equity in these joint ventures, which has priority over other distributions. |
Schedule of Equity in Earnings of Unconsolidated Real Estate Ventures | Equity in earnings of unconsolidated real estate ventures consists of the following: For the Year Ended December 31, 2018 2017 2016 Equity in earnings of WICNN JV LLC $ 622 $ — $ — Equity in earnings of VRS Self Storage, LLC 3,640 3,562 2,919 Equity in earnings of PRISA Self Storage LLC 2,338 2,430 1,912 Equity in earnings of Alan Jathoo JV LLC (12 ) — — Equity in earnings of Extra Space West Two LLC 1,042 1,210 174 Equity in earnings of ESS Bristol Investments LLC (152 ) — — Equity in earnings of Extra Space West One LLC 2,526 2,502 2,269 Equity in earnings of WCOT Self Storage LLC 359 1,033 614 Equity in earnings of Extra Space Northern Properties Six LLC 1,014 918 823 Equity in earnings of Storage Portfolio I LLC 1,886 2,684 2,380 Equity in earnings of Storage Portfolio II JV LLC 79 33 — Equity in earnings of other minority owned stores 1,110 959 1,804 $ 14,452 $ 15,331 $ 12,895 |
Notes Payable and Revolving L_2
Notes Payable and Revolving Lines of Credit (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Components of Notes Payable | The components of notes payable are summarized as follows: Notes Payable December 31, 2018 December 31, 2017 Fixed Rate Variable Rate Basis Rate (2) Maturity Dates Secured fixed rate notes payable (1) $ 2,032,414 $ 2,095,495 2.5% - 6.0% February 2019 - February 2030 Secured variable rate notes payable (1) 834,735 717,979 3.9% - 4.1% Libor plus 1.4% - 1.6% May 2019 - August 2028 Unsecured fixed rate notes payable 990,000 600,000 3.4% - 4.4% January 2024 - July 2028 Unsecured variable rate notes payable 310,000 350,000 3.8% Libor plus 1.3% October 2023 - January 2024 Total 4,167,149 3,763,474 Less: unamortized debt issuance costs (29,936 ) (24,977 ) Total $ 4,137,213 $ 3,738,497 (1) The loans are collateralized by mortgages on real estate assets and the assignment of rents. (2) 30-day USD LIBOR |
Schedule of Maturities of Notes Payable | The following table summarizes the scheduled maturities of notes payable, excluding available extensions, at December 31, 2018 : 2019 $ 208,742 2020 699,522 2021 228,015 2022 294,948 2023 915,646 Thereafter 1,820,276 $ 4,167,149 |
Schedule of Information on Lines of Credit | The following table presents information on the Company’s lines of credit, the proceeds of which are used to repay debt and for general corporate purposes, for the periods indicated: As of December 31, 2018 Revolving Lines of Credit Amount Drawn Capacity Interest Rate Origination Date Maturity Basis Rate (1) Credit Line 1 (2) $ 81,000 $ 140,000 4.0% 6/4/2010 7/1/2021 LIBOR plus 1.5% Credit Line 2 (3)(4) — 650,000 3.6% 12/7/2018 1/29/2023 LIBOR plus 1.1% $ 81,000 $ 790,000 (1) 30-day USD LIBOR (2) Secured by mortgages on certain real estate assets. One two-year extension available. (3) Unsecured. Two six-month extensions available. (4) Basis Rate as of December 31, 2018. Rate is subject to change based on our consolidated leverage ratio. |
Derivatives (Tables)
Derivatives (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule Summarizing Terms of Entity's Derivative Financial Instruments | The following table summarizes the terms of the Company’s 28 derivative financial instruments, which have a total combined notional amount of $2,231,162 as of December 31, 2018 : Hedge Product Range of Notional Amounts Strike Effective Dates Maturity Dates Swap Agreements $4,873 - $267,431 1.13% - 3.87% 2/29/2012 - 12/31/2018 2/28/2019 - 7/12/2025 |
Schedule of Balance Sheet Classification and Fair Value of Entity's Derivative Financial Instruments | The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated balance sheets: Asset / Liability Derivatives December 31, 2018 December 31, 2017 Derivatives designated as hedging instruments: Fair Value Other assets $ 42,324 $ 38,365 Other liabilities $ 2,131 $ 9 |
Schedule of Information Relating to Gain (Loss) Recognized on Swap Agreements | The tables below present the effect of the Company’s derivative financial instruments on the consolidated statements of operations for the periods presented. No tax effect has been presented as the derivative instruments are held by the Company: Gain (loss) recognized in OCI For the Year Ended December 31, Location of amounts reclassified from OCI into income Gain (loss) reclassified from OCI For the Year Ended December 31, Type 2018 2017 2018 2017 2016 Swap Agreements $ 9,889 $ 8,499 Interest expense $ 8,258 $ (8,853 ) $ (18,800 ) |
Notes Payable to Trusts (Tables
Notes Payable to Trusts (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Schedule of Liabilities and Maximum Exposure to Loss Related to Trusts | Following is a tabular comparison of the liabilities the Company has recorded as a result of its involvements with the Trusts to the maximum exposure to loss the Company is subject to related to the Trusts as of December 31, 2018 : Notes payable to Trusts Investment Balance Maximum exposure to loss Difference Trust $ 30,928 $ 928 $ 30,000 $ — |
Exchangeable Senior Notes - (Ta
Exchangeable Senior Notes - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Information about Carrying Amount of Equity Component, Principal Amount of Liability Component, Unamortized Discount and Net Carrying Amount for Notes | Information about the 2013 Notes and 2015 Notes (collectively, the "Notes"), including the total carrying amounts of the equity components, the principal amounts of the liability components, their unamortized discounts and net carrying amount were as follows for the periods indicated: December 31, 2018 December 31, 2017 Carrying amount of equity component - 2015 Notes $ 22,597 $ 22,597 Carrying amount of equity component - 2013 Notes — — Carrying amount of equity components $ 22,597 $ 22,597 Principal amount of liability component - 2015 Notes $ 575,000 $ 575,000 Principal amount of liability component - 2013 Notes — 49,259 Unamortized discount - equity component - 2015 Notes (8,417 ) (12,974 ) Unamortized discount - equity component - 2013 Notes — (315 ) Unamortized cash discount - 2013 Notes — (74 ) Unamortized debt issuance costs (4,209 ) (6,620 ) Net carrying amount of liability components $ 562,374 $ 604,276 |
Summary of Amount of Interest Cost Recognized Relating to Contractual Interest Rate and Amortization of Discount on Liability Component of Notes | The amount of interest cost recognized relating to the contractual interest rate and the amortization of the discount on the liability component for the Notes were as follows for the periods indicated: For the Year Ended December 31, 2018 2017 2016 Contractual interest $ 18,106 $ 19,303 $ 19,483 Amortization of discount 4,687 5,103 4,980 Total interest expense recognized $ 22,793 $ 24,406 $ 24,463 |
Summary of Repurchase of Debt | Information about the repurchases is as follows: For the Year Ended December 31, 2018 2017 2016 Principal amount repurchased $ 49,259 $ 13,911 $ 22,194 Amount allocated to: Extinguishment of liability component $ 49,019 $ 13,692 $ 21,363 Reacquisition of equity component 31,251 6,350 13,898 Total consideration paid for repurchase $ 80,270 $ 20,042 $ 35,261 Exchangeable senior notes repurchased $ 49,259 $ 13,911 $ 22,194 Extinguishment of liability component (49,019 ) (13,692 ) (21,363 ) Discount on exchangeable senior notes (230 ) (184 ) (788 ) Related debt issuance costs (10 ) (35 ) (43 ) Gain/(loss) on repurchase $ — $ — $ — |
Noncontrolling Interests In O_2
Noncontrolling Interests In Operating Partnership and Other Noncontrolling Interests Noncontrolling Interest in Operating Partnership (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Noncontrolling Interest [Abstract] | |
Redeemable Noncontrolling Interest | OP Unit activity is summarized as follows for the periods presented: For the Year Ended December 31, 2018 2017 2016 OP Units redeemed for common stock 35,000 — 23,850 OP Units redeemed for cash 30,000 33,896 6,760 Cash paid for OP Units redeemed $ 2,558 $ 2,510 $ 506 OP Units issued in conjunction with acquisitions 21,768 90,228 93,569 Value of OP Units issued in conjunction with acquisitions $ 1,877 $ 7,618 $ 7,247 |
Stock-Based Compensation - (Tab
Stock-Based Compensation - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Stock Option Activity | A summary of stock option activity is as follows: Options Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Intrinsic Value as of December 31, 2018 Outstanding at December 31, 2015 572,629 $ 24.42 Granted 35,800 85.99 Exercised (97,855 ) 14.75 Outstanding at December 31, 2016 510,574 $ 30.60 Exercised (38,418 ) 32.94 Outstanding at December 31, 2017 472,156 $ 30.41 Exercised (54,575 ) 21.45 Outstanding at December 31, 2018 417,581 $ 31.58 2.78 $24,597 Vested and Expected to Vest 416,567 $ 31.46 2.77 $24,587 Ending Exercisable 377,292 $ 26.72 2.35 $24,057 |
Schedule of Weighted Average Assumptions Used to Estimate Fair Value of Awards | The fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions: For the Year Ended December 31, 2016 Expected volatility 37.0% Dividend yield 3.6% Risk-free interest rate 1.3% Average expected term (years) 5 The Company estimated the fair value of the PSUs as of the grant date, using the closing trading price of the Company's common stock on the grant date to value the FFO Target portion. A Monte Carlo simulation model was used to calculate the fair value of the TSR Target portion of the PSUs, using the following assumptions: For the Year Ended December 31, 2018 2017 Intrinsic value $5,321 $2,630 Compensation cost $1,873 $840 Risk-free rate 2.37% 1.62% Volatility 22.6% 21.4% Expected term (in years) 2.9 2.8 Dividend yield —% —% Unrecognized compensation cost $2,739 $1,681 Term over which unrecognized compensation cost recognized 2 2 |
Schedule of Stock Options Outstanding and Exercisable | A summary of stock options outstanding and exercisable as of December 31, 2018 , is as follows: Options Outstanding Options Exercisable Exercise Price Shares Weighted Average Remaining Contractual Life Weighted Average Exercise Price Shares Weighted Average Exercise Price $6.22 - $6.22 139,250 0.13 $ 6.22 139,250 $ 6.22 $11.59 - $11.59 20,080 1.13 11.59 20,080 11.59 $12.21 - $12.21 77,400 1.18 12.21 77,400 12.21 $19.6 - $28.79 29,469 2.65 23.56 29,469 23.56 $38.4 - $38.4 10,360 4.14 38.4 10,360 38.40 $47.5 - $47.5 17,687 5.13 47.5 17,687 47.50 $65.36 - $65.36 20,395 6.15 65.36 15,297 65.36 $65.45 - $65.45 17,140 6.13 65.45 12,345 65.45 $73.52 - $73.52 50,000 6.58 73.52 37,500 73.52 $85.99 - $85.99 35,800 7.15 85.99 17,904 85.99 417,581 2.78 $ 31.58 377,292 $ 26.72 |
Summary of Company's Employee and Director Share Grant Activity | A summary of the Company’s employee and director share grant activity is as follows: Restricted Stock Grants Shares Weighted-Average Grant-Date Fair Value Unreleased at December 31, 2015 318,409 $ 55.75 Granted 119,931 87.61 Released (128,808 ) 50.05 Cancelled (9,947 ) 67.36 Unreleased at December 31, 2016 299,585 $ 70.57 Granted 95,392 74.49 Released (120,323 ) 63.95 Cancelled (8,179 ) 77.25 Unreleased at December 31, 2017 266,475 $ 74.76 Granted 85,066 86.14 Released (116,656 ) 72.38 Cancelled (11,771 ) 80.96 Unreleased at December 31, 2018 223,114 $ 80.02 |
Schedule of Nonvested Performance-based Units Activity | A summary of the PSU activity is as follows: Performance-Based Stock Units Units Weighted-Average Grant-Date Fair Value Unvested at December 31, 2016 — $ — Granted 30,071 83.84 Unvested at December 31, 2017 30,071 $ 83.84 Granted 28,735 96.19 Unvested at December 31, 2018 58,806 $ 89.87 |
Income Taxes - (Tables)
Income Taxes - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Summarized Statement of Components of Income Tax Provision | The income tax provision for the years ended December 31, 2018 , 2017 and 2016 , is comprised of the following components: For the Year Ended December 31, 2018 Federal State Total Current expense $ 9,136 $ 2,426 $ 11,562 Tax credits/true-up (5,841 ) (175 ) (6,016 ) Change in deferred expense/(benefit) 3,730 (32 ) 3,698 Total tax expense $ 7,025 $ 2,219 $ 9,244 For the Year Ended December 31, 2017 Federal State Total Current expense $ 5,677 $ 1,662 $ 7,339 Tax credits/true-up (5,573 ) (383 ) (5,956 ) Change in deferred expense 1,700 542 2,242 Total tax expense $ 1,804 $ 1,821 $ 3,625 For the Year Ended December 31, 2016 Federal State Total Current expense $ 14,627 $ 2,368 $ 16,995 Tax credits/true-up (312 ) — (312 ) Change in deferred benefit (369 ) (467 ) (836 ) Total tax expense $ 13,946 $ 1,901 $ 15,847 |
Schedule of Reconciliation of Statutory Income Tax Provisions to the Effective Income Tax Provisions | A reconciliation of the statutory income tax provisions to the effective income tax provisions for the periods indicated is as follows: For the Year Ended December 31, 2018 2017 2016 Expected tax at statutory rate $ 95,828 21.0 % $ 186,274 35.0 % $ 144,708 35.0 % Non-taxable REIT income (83,022 ) (18.2 )% (170,811 ) (32.1 )% (131,112 ) (31.7 )% State and local tax expense - net of federal benefit 2,385 0.5 % 2,306 0.4 % 2,399 0.6 % Change in valuation allowance (1,052 ) (0.2 )% 159 — % (845 ) (0.2 )% Tax credits/true-up (6,016 ) (1.3 )% (5,956 ) (1.1 )% (312 ) (0.1 )% Remeasurement of deferred balances — — % (8,460 ) (1.6 )% — — % Miscellaneous 1,121 0.2 % 113 — % 1,009 0.2 % Total provision $ 9,244 2.0 % $ 3,625 0.6 % $ 15,847 3.8 % |
Schedule of Major Sources of Temporary Differences Stated at their Deferred Tax Effects | The major sources of temporary differences stated at their deferred tax effects are as follows: December 31, 2018 December 31, 2017 Deferred tax liabilities: Fixed assets $ (20,907 ) $ (15,271 ) Other (96 ) (108 ) State deferred taxes (3,076 ) (2,822 ) Total deferred tax liabilities (24,079 ) (18,201 ) Deferred tax assets: Captive insurance subsidiary 324 252 Accrued liabilities 1,772 873 Stock compensation 1,604 1,287 Solar credit — 43 Other 53 57 SmartStop TRS 219 219 State deferred taxes 7,196 7,802 Total deferred tax assets 11,168 10,533 Valuation allowance (3,872 ) (4,924 ) Net deferred income tax liabilities $ (16,783 ) $ (12,592 ) |
Segment Information - (Tables)
Segment Information - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Schedule of Financial Information of Business Segments | Financial information for the Company’s business segments is set forth below: Year Ended December 31, 2018 2017 2016 Revenues: Self-Storage Operations $ 1,039,340 $ 967,229 $ 864,742 Tenant Reinsurance 115,507 98,401 87,291 Total segment revenues 1,154,847 1,065,630 $ 952,033 Operating expenses: Self-Storage Operations $ 291,695 $ 271,974 $ 250,005 Tenant Reinsurance 25,707 19,173 15,555 Total segment operating expenses $ 317,402 $ 291,147 $ 265,560 Net operating income: Self-Storage Operations 747,645 695,255 $ 614,737 Tenant Reinsurance 89,800 79,228 71,736 Total segment net operating income: $ 837,445 $ 774,483 $ 686,473 Total segment net operating income $ 837,445 $ 774,483 $ 686,473 Other components of net income (loss): Property management fees and other income 41,757 39,379 39,842 General and administrative expense (81,256 ) (78,961 ) (81,806 ) Depreciation and amortization expense (209,050 ) (193,296 ) (182,560 ) Acquisition and other related costs (1) — — (12,111 ) Gain on real estate transactions, earnout from prior acquisitions and impairment of real estate 30,807 112,789 8,465 Interest expense (178,436 ) (153,511 ) (133,479 ) Non-cash interest expense related to the amortization of discount on equity component of exchangeable senior notes (4,687 ) (5,103 ) (4,980 ) Interest income 5,292 6,736 10,998 Equity in earnings of unconsolidated real estate ventures 14,452 15,331 12,895 Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and purchase of partners' interests — — 69,199 Income tax expense (9,244 ) (3,625 ) (15,847 ) Net income $ 447,080 $ 514,222 $ 397,089 (1) Beginning January 1, 2017, acquisition related costs have been capitalized due to the adoption of ASU 2017-01, " Business Combinations (Topic 805): Clarifying the Definition of a Business. " |
Commitments and Contingencies -
Commitments and Contingencies - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments Under Non-Cancelable Operating Lease | At December 31, 2018 , future minimum rental payments under these non-cancelable operating leases were as follows (unaudited): Less than 1 year $ 8,203 Year 2 8,307 Year 3 8,137 Year 4 7,837 Year 5 7,021 Thereafter 111,653 $ 151,158 |
Supplementary Quarterly Finan_2
Supplementary Quarterly Financial Data (Unaudited) - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Supplementary Quarterly Financial Data | SUPPLEMENTARY QUARTERLY FINANCIAL DATA (UNAUDITED) For the Three Months Ended March 31, 2018 June 30, 2018 September 30, 2018 December 31, 2018 Revenues $ 285,485 $ 296,813 $ 306,953 $ 307,353 Cost of operations 151,573 152,097 153,362 150,676 Revenues less cost of operations $ 133,912 $ 144,716 $ 153,591 $ 156,677 Net income $ 95,430 $ 102,713 $ 139,687 $ 109,250 Net income attributable to common stockholders $ 88,256 $ 95,153 $ 130,418 $ 101,462 Earnings per common share—basic $ 0.70 $ 0.75 $ 1.03 $ 0.80 Earnings per common share—diluted $ 0.70 $ 0.75 $ 1.02 $ 0.80 For the Three Months Ended March 31, 2017 June 30, 2017 September 30, 2017 December 31, 2017 Revenues $ 263,008 $ 276,003 $ 284,156 $ 281,842 Cost of operations 138,805 139,596 144,275 140,728 Revenues less cost of operations $ 124,203 $ 136,407 $ 139,881 $ 141,114 Net income $ 89,734 $ 94,098 $ 101,075 $ 229,315 Net income attributable to common stockholders $ 82,282 $ 87,006 $ 93,742 $ 215,983 Earnings per common share—basic $ 0.65 $ 0.69 $ 0.74 $ 1.71 Earnings per common share—diluted $ 0.64 $ 0.69 $ 0.74 $ 1.69 |
Description of Business (Detail
Description of Business (Details) | Dec. 31, 2018storestate |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of storage facilities in which the entity had equity interests | 1,111 |
Number of stores managed for third parties | 536 |
Number of stores owned and/or managed | 1,647 |
Number of states in which storage facilities are located | state | 39 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Basis of Presentation (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||
Investments in unconsolidated real estate ventures | $ 125,326 | $ 75,907 |
Cash distributions in unconsolidated real estate ventures | $ 45,197 | 5,816 |
Reclassification | ||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||
Investments in unconsolidated real estate ventures | (5,816) | |
Cash distributions in unconsolidated real estate ventures | $ 5,816 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Variable Interest Entities (Details) | Dec. 31, 2018entity |
Accounting Policies [Abstract] | |
Number of nonconsolidated VIEs to which Operating Partnership has notes payable (in number of entities) | 1 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - Recurring $ in Thousands | Dec. 31, 2018USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Other assets - Cash Flow Hedge Swap Agreements | $ 42,324 |
Other liabilities - Cash Flow Hedge Swap Agreements | (2,131) |
Quoted Prices in Active Markets for Identical Assets (Level 1) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Other assets - Cash Flow Hedge Swap Agreements | 0 |
Other liabilities - Cash Flow Hedge Swap Agreements | 0 |
Significant Other Observable Inputs (Level 2) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Other assets - Cash Flow Hedge Swap Agreements | 42,324 |
Other liabilities - Cash Flow Hedge Swap Agreements | (2,131) |
Significant Unobservable Inputs (Level 3) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Other assets - Cash Flow Hedge Swap Agreements | 0 |
Other liabilities - Cash Flow Hedge Swap Agreements | $ 0 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Schedule of Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value | ||
Fair Value of Financial Instruments [Line Items] | ||
Notes receivable from Preferred and Common Operating Partnership unit holders | $ 115,467 | $ 113,683 |
Fixed rate notes receivable | 0 | 20,942 |
Fixed rate notes payable and notes payable to trusts | 2,985,731 | 2,774,242 |
Exchangeable senior notes | 620,149 | 719,056 |
Carrying Value | ||
Fair Value of Financial Instruments [Line Items] | ||
Notes receivable from Preferred and Common Operating Partnership unit holders | 119,735 | 120,230 |
Fixed rate notes receivable | 0 | 20,608 |
Fixed rate notes payable and notes payable to trusts | 3,022,414 | 2,815,085 |
Exchangeable senior notes | $ 575,000 | $ 624,259 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Real Estate Assets (Details) | 12 Months Ended |
Dec. 31, 2018store | |
Property, Plant and Equipment [Line Items] | |
Number of properties whereby leases cannot be classified as ground or building leases | 3 |
Number of properties whereby leases have been assumed at rates lower than the current market rates | 8 |
Buildings, improvements and other intangibles | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 5 years |
Buildings, improvements and other intangibles | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 39 years |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Other Assets (Details) - Equipment and fixtures | 12 Months Ended |
Dec. 31, 2018 | |
Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 3 years |
Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 5 years |
Summary of Significant Accou_10
Summary of Significant Accounting Policies - Risk Management and Use of Financial Instruments (Details) | 12 Months Ended |
Dec. 31, 2018item | |
Accounting Policies [Abstract] | |
Number of main components of economic risk | 3 |
Summary of Significant Accou_11
Summary of Significant Accounting Policies - Revenue and Expense Recognition (Details) | 12 Months Ended | ||
Dec. 31, 2018USD ($)claim | Dec. 31, 2017claim | Dec. 31, 2016claim | |
Disaggregation of Revenue [Line Items] | |||
Minimum amount of insurance coverage | $ 2,000 | ||
Maximum amount of insurance coverage | 10,000 | ||
Average amount of insurance coverage | $ 2,900 | ||
Number of claims made | claim | 7,870 | 5,671 | 4,055 |
Management Services Agreements (MSA) | Minimum | |||
Disaggregation of Revenue [Line Items] | |||
Contract term | 3 years | ||
Management Services Agreements (MSA) | Maximum | |||
Disaggregation of Revenue [Line Items] | |||
Contract term | 5 years |
Summary of Significant Accou_12
Summary of Significant Accounting Policies - Schedule of Unpaid Claims Liability (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Tenant Reinsurance Claims: | |||
Unpaid claims liability at beginning of year | $ 5,167 | $ 3,896 | $ 3,908 |
Claims and claim adjustment expense for claims incurred in the current year | 15,800 | 11,700 | 7,250 |
Claims and claim adjustment expense (benefit) for claims incurred in the prior years | 107 | (203) | 87 |
Payments for current year claims | (11,010) | (8,895) | (5,423) |
Payments for prior year claims | (2,738) | (1,331) | (1,926) |
Unpaid claims liability at the end of the year | $ 7,326 | $ 5,167 | $ 3,896 |
Summary of Significant Accou_13
Summary of Significant Accounting Policies - Advertising Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Accounting Policies [Abstract] | |||
Advertising expense | $ 16,153 | $ 14,410 | $ 12,867 |
Summary of Significant Accou_14
Summary of Significant Accounting Policies - Income Taxes (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Accounting Policies [Abstract] | ||
REIT taxable income required to be distributed (as a percent) | 90.00% | |
Percentage of all distributions to stockholders which qualified as a return of capital | 0.00% | |
Unrecognized tax benefits | $ 0 | $ 0 |
Interest or penalties related to uncertain tax provisions | $ 0 | $ 0 |
Summary of Significant Accou_15
Summary of Significant Accounting Policies - Earnings Per Common Share (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2015 | Jun. 21, 2013 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Average share price (in dollars per share) | $ 90.30 | ||||
Exchangeable senior notes | $ 562,374,000 | $ 604,276,000 | |||
Series A Units | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Instruments to be settled in cash (at least) | $ 101,700,000 | ||||
Options | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Anti-dilutive securities excluded from computation of earnings per common share (in shares) | 36,075 | 45,286 | 88,552 | ||
2013 Notes | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Fixed interest rate | 2.375% | ||||
Shares related to the Notes included in the computation for diluted earnings per share (in shares) | 344,430 | ||||
2013 Notes | Operating Partnership | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Shares related to the Notes included in the computation for diluted earnings per share (in shares) | 309,730 | ||||
2015 Notes | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Exchangeable senior notes | $ 575,000,000 | ||||
Fixed interest rate | 3.125% | 3.125% | |||
Exchange price (in dollars per share) | $ 92.80 | ||||
Shares related to the Notes included in the computation for diluted earnings per share (in shares) | 0 | 0 | 0 |
Summary of Significant Accou_16
Summary of Significant Accounting Policies - Schedule of Antidilutive Shares Excluded from Computation of Earnings Per Share (Details) - shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Equivalent Shares (if converted) (in shares) | 1,795,632 | 910,309 | 7,846,519 |
Common OP Units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Equivalent Shares (if converted) (in shares) | 0 | 0 | 5,564,631 |
Series A Units (Variable Only) | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Equivalent Shares (if converted) (in shares) | 0 | 0 | 875,480 |
Series B Units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Equivalent Shares (if converted) (in shares) | 464,033 | 533,174 | 499,966 |
Series C Units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Equivalent Shares (if converted) (in shares) | 312,075 | 377,135 | 353,646 |
Series D Units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Equivalent Shares (if converted) (in shares) | 1,019,524 | 0 | 552,796 |
Summary of Significant Accou_17
Summary of Significant Accounting Policies - Schedule of Computation of Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Accounting Policies [Abstract] | |||||||||||
Net income attributable to common stockholders | $ 101,462 | $ 130,418 | $ 95,153 | $ 88,256 | $ 215,983 | $ 93,742 | $ 87,006 | $ 82,282 | $ 415,289 | $ 479,013 | $ 366,127 |
Earnings and dividends allocated to participating securities | (723) | (975) | (792) | ||||||||
Earnings for basic computations | 414,566 | 478,038 | 365,335 | ||||||||
Earnings and dividends allocated to participating securities | 723 | 0 | 792 | ||||||||
Income allocated to noncontrolling interest - Preferred Operating Partnership Units and Operating Partnership Units | 22,831 | 30,088 | 0 | ||||||||
Fixed component of income allocated to noncontrolling interest - Preferred Operating Partnership (Series A Units) | (2,288) | (3,119) | 0 | ||||||||
Net income for diluted computations | $ 435,832 | $ 505,007 | $ 366,127 | ||||||||
Weighted average common shares outstanding: | |||||||||||
Average number of common shares outstanding - basic (in shares) | 126,087,487 | 125,967,831 | 125,087,554 | ||||||||
OP Units (in shares) | 5,675,547 | 5,590,831 | 0 | ||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Unvested restricted stock awards included for treasury stock method (in shares) | 244,215 | 0 | 299,585 | ||||||||
Shares related to exchangeable senior notes and dilutive stock options (in shares) | 276,304 | 640,068 | 560,937 | ||||||||
Average number of common shares outstanding - diluted (in shares) | 133,159,033 | 134,155,771 | 125,948,076 | ||||||||
Earnings per common share | |||||||||||
Basic (in dollars per share) | $ 0.80 | $ 1.03 | $ 0.75 | $ 0.70 | $ 1.71 | $ 0.74 | $ 0.69 | $ 0.65 | $ 3.29 | $ 3.79 | $ 2.92 |
Diluted (in dollars per share) | $ 0.80 | $ 1.02 | $ 0.75 | $ 0.70 | $ 1.69 | $ 0.74 | $ 0.69 | $ 0.64 | $ 3.27 | $ 3.76 | $ 2.91 |
Series A Units | |||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Series A&D Units (in shares) | 875,480 | 875,480 | 0 | ||||||||
Series D Units | |||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Series A&D Units (in shares) | 0 | 1,081,561 | 0 |
Summary of Significant Accou_18
Summary of Significant Accounting Policies - Recently Issued Accounting Standards (Details) $ in Thousands | Jan. 01, 2019USD ($) | Dec. 31, 2018lease |
ASU 2016-02 | Estimated | Minimum | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Lease assets | $ 90,000 | |
Lease liabilities | 90 | |
ASU 2016-02 | Estimated | Maximum | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Lease assets | 110,000 | |
Lease liabilities | $ 110 | |
Operating ground leases | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Number of operating ground leases | lease | 23 | |
Corporate facility leases | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Number of operating ground leases | lease | 2 |
Real Estate Assets - Schedule o
Real Estate Assets - Schedule of Components of Real Estate Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Real Estate Properties [Line Items] | |||
Real estate assets, at cost | $ 8,707,847 | $ 8,158,741 | |
Less: accumulated depreciation and amortization | (1,262,438) | (1,060,060) | |
Net operating real estate assets | 7,445,409 | 7,098,681 | |
Real estate under development/redevelopment | 46,422 | 33,750 | |
Net real estate assets | 7,491,831 | 7,132,431 | $ 6,770,447 |
Real estate assets held for sale included in net real estate assets | 13,032 | 10,276 | |
Land - operating | |||
Real Estate Properties [Line Items] | |||
Real estate assets, at cost | 1,825,133 | 1,731,915 | |
Land - development | |||
Real Estate Properties [Line Items] | |||
Real estate assets, at cost | 7,359 | 13,246 | |
Buildings, improvements and other intangibles | |||
Real Estate Properties [Line Items] | |||
Real estate assets, at cost | 6,743,355 | 6,286,762 | |
Intangible assets - tenant relationships | |||
Real Estate Properties [Line Items] | |||
Real estate assets, at cost | 119,557 | 114,375 | |
Intangible lease rights | |||
Real Estate Properties [Line Items] | |||
Real estate assets, at cost | $ 12,443 | $ 12,443 |
Real Estate Assets - Additional
Real Estate Assets - Additional Information (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018USD ($)storeland_parcel | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Real Estate [Abstract] | |||
Number of operating stores classified as held for sale | store | 1 | ||
Number of parcels of land classified as held for sale | land_parcel | 1 | ||
Average period that a tenant is expected to utilize the facility | 18 months | ||
Amortization related to the tenant relationships and lease rights | $ 9,050 | $ 14,349 | $ 21,133 |
Real Estate Properties [Line Items] | |||
Intangible assets, accumulated amortization | $ 121,238 | $ 112,347 | |
Minimum | |||
Real Estate Properties [Line Items] | |||
Remaining amortization period | 1 year | ||
Maximum | |||
Real Estate Properties [Line Items] | |||
Remaining amortization period | 43 years |
Property Acquisitions and Dis_3
Property Acquisitions and Dispositions - Acquisitions of Operating Stores (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2018USD ($)storeshares | Sep. 30, 2018USD ($)storeshares | Jun. 30, 2018USD ($)storeshares | Mar. 31, 2018USD ($)storeshares | Dec. 31, 2017USD ($)storeshares | Sep. 30, 2017USD ($)storeshares | Jun. 30, 2017USD ($)storeshares | Mar. 31, 2017USD ($)storeshares | Dec. 31, 2018USD ($)storeshares | Dec. 31, 2017USD ($)storeshares | |
Real Estate [Abstract] | ||||||||||
Number of stores | store | 6 | 6 | 17 | 5 | 37 | 4 | 3 | 2 | 34 | 46 |
Total | $ 74,852 | $ 74,694 | $ 237,284 | $ 70,787 | $ 535,299 | $ 31,966 | $ 34,641 | $ 25,556 | $ 457,617 | $ 627,462 |
Cash Paid | 74,868 | 71,989 | 148,650 | 70,171 | 502,845 | 29,919 | 16,608 | 25,541 | 365,678 | 574,913 |
Loan Assumed | 0 | 0 | 87,500 | 0 | 14,592 | 0 | 9,463 | 0 | 87,500 | 24,055 |
Non- controlling interests | 0 | 0 | 0 | 0 | (1,812) | 0 | 1,827 | 0 | 0 | 15 |
Investments in Real Estate Ventures | 0 | 0 | (1,024) | 489 | 12,957 | 0 | 0 | 0 | (535) | 12,957 |
Net Liabilities/ (Assets) Assumed | (16) | 2,705 | 281 | 127 | 1,099 | 47 | (67) | 15 | 3,097 | 1,094 |
Value of OP Units Issued | $ 0 | $ 0 | $ 1,877 | $ 0 | $ 5,618 | $ 2,000 | $ 6,810 | $ 0 | $ 1,877 | $ 14,428 |
Number of units issued (in shares) | shares | 0 | 0 | 21,768 | 0 | 64,708 | 25,520 | 272,400 | 0 | 21,768 | 362,628 |
Real estate assets | $ 74,852 | $ 74,694 | $ 237,284 | $ 70,787 | $ 535,299 | $ 31,966 | $ 34,641 | $ 25,556 | $ 457,617 | $ 627,462 |
Number of stores acquired, previously held noncontrolling interest | store | 15 | |||||||||
Number of stores acquired, previously held equity interest | store | 7 |
Property Acquisitions and Dis_4
Property Acquisitions and Dispositions - Additional Information (Details) $ in Thousands | Aug. 16, 2018USD ($) | Nov. 30, 2017USD ($)store | Sep. 13, 2017USD ($) | Jul. 26, 2016USD ($) | Apr. 20, 2016USD ($)store | Apr. 01, 2016USD ($)shares | Dec. 31, 2014store | Jun. 30, 2017USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) |
Property Acquisitions [Line Items] | |||||||||||
Proceeds from sale of real estate assets, investments in real estate ventures and other assets | $ 52,458 | $ 312,165 | $ 60,813 | ||||||||
Acquisition of Stores in New Jersey and Virginia | |||||||||||
Property Acquisitions [Line Items] | |||||||||||
Number of stores acquired | store | 5 | ||||||||||
Increase in payments due to sellers | $ 4,284 | ||||||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Disposal of California Store | |||||||||||
Property Acquisitions [Line Items] | |||||||||||
Proceeds from sale of real estate assets, investments in real estate ventures and other assets | $ 40,235 | ||||||||||
Gain (loss) on disposition of assets | $ 30,671 | ||||||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Disposal of 36 Stores Located in Various States | |||||||||||
Property Acquisitions [Line Items] | |||||||||||
Proceeds from sale of real estate assets, investments in real estate ventures and other assets | $ 295,000 | ||||||||||
Gain (loss) on disposition of assets | $ 118,776 | ||||||||||
Number of stores sold | store | 36 | ||||||||||
Percentage of gain received on disposition | 90.00% | ||||||||||
Percentage of gain deferred on disposition | 10.00% | ||||||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Disposal of New York Land | |||||||||||
Property Acquisitions [Line Items] | |||||||||||
Proceeds from sale of real estate assets, investments in real estate ventures and other assets | $ 19,000 | ||||||||||
Gain (loss) on disposition of assets | $ (3,500) | ||||||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Disposal of Indiana Store | |||||||||||
Property Acquisitions [Line Items] | |||||||||||
Proceeds from sale of real estate assets, investments in real estate ventures and other assets | $ 4,447 | ||||||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Disposal of Ohio and Indiana Stores | |||||||||||
Property Acquisitions [Line Items] | |||||||||||
Proceeds from sale of real estate assets, investments in real estate ventures and other assets | $ 17,555 | ||||||||||
Gain (loss) on disposition of assets | $ 11,265 | ||||||||||
Number of stores sold | store | 7 | ||||||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Disposal of Texas Store | |||||||||||
Property Acquisitions [Line Items] | |||||||||||
Gain (loss) on disposition of assets | $ 93 | ||||||||||
OP Units received on disposal (in shares) | shares | 85,452 | ||||||||||
Value of OP Units received on disposal | $ 7,689 | ||||||||||
Storage Portfolio II JV LLC | |||||||||||
Property Acquisitions [Line Items] | |||||||||||
Equity ownership % | 10.00% | 10.00% |
Investments in Unconsolidated_3
Investments in Unconsolidated Real Estate Ventures - Schedule of Investments in Unconsolidated Real Estate Ventures (Details) $ in Thousands | Apr. 30, 2018USD ($)store | Feb. 26, 2019USD ($)store | Dec. 31, 2018USD ($)storepropertyjoint_venture | Sep. 30, 2018USD ($)store | Jun. 30, 2018USD ($)store | Mar. 31, 2018USD ($)store | Dec. 31, 2017USD ($)store | Sep. 30, 2017USD ($)store | Jun. 30, 2017USD ($)store | Mar. 31, 2017USD ($)store | Dec. 31, 2018USD ($)storepropertyjoint_venture | Dec. 31, 2017USD ($)store | Nov. 30, 2017 | Dec. 31, 2016 |
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 229 | 229 | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ 80,129 | $ 70,091 | $ 80,129 | $ 70,091 | ||||||||||
Number of joint ventures, not significant for separate disclosure | joint_venture | 17 | 17 | ||||||||||||
Number of stores acquired | store | 6 | 6 | 17 | 5 | 37 | 4 | 3 | 2 | 34 | 46 | ||||
Cash paid to acquire properties | $ 74,868 | $ 71,989 | $ 148,650 | $ 70,171 | $ 502,845 | $ 29,919 | $ 16,608 | $ 25,541 | $ 365,678 | $ 574,913 | ||||
Loan assumed | $ 0 | $ 0 | $ 87,500 | $ 0 | $ 14,592 | $ 0 | $ 9,463 | $ 0 | $ 87,500 | $ 24,055 | ||||
Minimum | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Equity Ownership % | 10.00% | 10.00% | 10.00% | 10.00% | 20.00% | |||||||||
Maximum | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Equity Ownership % | 50.00% | 25.00% | 50.00% | 25.00% | 50.00% | |||||||||
WICNN JV LLC | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 7 | 7 | ||||||||||||
Equity Ownership % | 10.00% | 10.00% | ||||||||||||
Excess Profit % | 25.00% | 25.00% | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ 26,885 | $ 0 | $ 26,885 | $ 0 | ||||||||||
VRS Self Storage, LLC | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 16 | 16 | ||||||||||||
Equity Ownership % | 45.00% | 45.00% | ||||||||||||
Excess Profit % | 54.00% | 54.00% | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ 18,281 | 19,467 | $ 18,281 | 19,467 | ||||||||||
PRISA Self Storage LLC | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 85 | 85 | ||||||||||||
Equity Ownership % | 4.00% | 4.00% | ||||||||||||
Excess Profit % | 4.00% | 4.00% | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ 9,334 | 9,638 | $ 9,334 | 9,638 | ||||||||||
Alan Jathoo JV LLC | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 9 | 9 | ||||||||||||
Equity Ownership % | 10.00% | 10.00% | ||||||||||||
Excess Profit % | 10.00% | 10.00% | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ 8,180 | 0 | $ 8,180 | 0 | ||||||||||
Extra Space West Two LLC (1) | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 5 | 5 | ||||||||||||
Equity Ownership % | 5.00% | 5.00% | ||||||||||||
Excess Profit % | 40.00% | 40.00% | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ 3,818 | 3,939 | $ 3,818 | 3,939 | ||||||||||
ESS Bristol Investments LLC | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 7 | 7 | ||||||||||||
Equity Ownership % | 10.00% | 10.00% | ||||||||||||
Excess Profit % | 28.00% | 28.00% | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ 2,331 | 1,258 | $ 2,331 | 1,258 | ||||||||||
WCOT Self Storage LLC | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 0 | 0 | ||||||||||||
Equity Ownership % | 5.00% | 5.00% | ||||||||||||
Excess Profit % | 20.00% | 20.00% | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ 0 | (357) | $ 0 | (357) | ||||||||||
Number of stores acquired | store | 14 | |||||||||||||
Cash paid to acquire properties | $ 115,797 | |||||||||||||
Loan assumed | $ 87,500 | |||||||||||||
Extra Space West One LLC (1) | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 7 | 7 | ||||||||||||
Equity Ownership % | 5.00% | 5.00% | ||||||||||||
Excess Profit % | 40.00% | 40.00% | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ (1,038) | (900) | $ (1,038) | (900) | ||||||||||
Extra Space Northern Properties Six LLC | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 10 | 10 | ||||||||||||
Equity Ownership % | 10.00% | 10.00% | ||||||||||||
Excess Profit % | 35.00% | 35.00% | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ (1,700) | (1,279) | $ (1,700) | (1,279) | ||||||||||
Storage Portfolio II JV LLC | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 36 | 36 | ||||||||||||
Equity Ownership % | 10.00% | 10.00% | 10.00% | |||||||||||
Excess Profit % | 30.00% | 30.00% | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ (4,233) | (3,140) | $ (4,233) | (3,140) | ||||||||||
Storage Portfolio I LLC | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 24 | 24 | ||||||||||||
Equity Ownership % | 34.00% | 34.00% | ||||||||||||
Excess Profit % | 49.00% | 49.00% | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ (38,129) | 11,495 | $ (38,129) | 11,495 | ||||||||||
Other minority owned stores | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of Stores | property | 23 | 23 | ||||||||||||
Net Investments in and Cash distributions in unconsolidated real estate ventures | $ 56,400 | $ 29,970 | $ 56,400 | $ 29,970 | ||||||||||
Other minority owned stores | Minimum | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Equity Ownership % | 10.00% | 10.00% | ||||||||||||
Excess Profit % | 19.00% | 19.00% | ||||||||||||
Other minority owned stores | Maximum | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Equity Ownership % | 50.00% | 50.00% | ||||||||||||
Excess Profit % | 50.00% | 50.00% | ||||||||||||
Extra Space West One LLC and Extra Space Two LLC | Subsequent Event | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Number of stores acquired | store | 12 | |||||||||||||
Cash paid to acquire properties | $ 172,515 | |||||||||||||
Loan assumed | $ 17,157 |
Investments in Unconsolidated_4
Investments in Unconsolidated Real Estate Ventures - New Unconsolidated Joint Ventures (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018USD ($)storeJointVenture | Dec. 31, 2017USD ($)store | Dec. 31, 2016USD ($)store | |
Schedule of Equity Method Investments [Line Items] | |||
Number of Stores | store | 28 | 39 | 8 |
Investment in new stores | $ 63,723 | $ 13,341 | $ 26,387 |
Number of new joint ventures with preferred equity investment | JointVenture | 2 | ||
Minimum | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity ownership % | 10.00% | 10.00% | 20.00% |
Maximum | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity ownership % | 50.00% | 25.00% | 50.00% |
WICNN JV LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity ownership % | 10.00% | ||
Joint venture preferred equity investment | $ 22,734 | ||
Joint venture preferred equity investment return percentage | 8.00% | ||
GFV JV, LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Joint venture preferred equity investment | $ 8,720 | ||
Joint venture preferred equity investment return percentage | 8.00% |
Investments in Unconsolidated_5
Investments in Unconsolidated Real Estate Ventures - Schedule of Equity in Earnings of Unconsolidated Real Estate Ventures (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | $ 14,452 | $ 15,331 | $ 12,895 |
WICNN JV LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | 622 | 0 | 0 |
VRS Self Storage, LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | 3,640 | 3,562 | 2,919 |
PRISA Self Storage LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | 2,338 | 2,430 | 1,912 |
Alan Jathoo JV LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | (12) | 0 | 0 |
Extra Space West Two LLC (1) | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | 1,042 | 1,210 | 174 |
ESS Bristol Investments LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | (152) | 0 | 0 |
Extra Space West One LLC (1) | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | 2,526 | 2,502 | 2,269 |
WCOT Self Storage LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | 359 | 1,033 | 614 |
Extra Space Northern Properties Six LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | 1,014 | 918 | 823 |
Storage Portfolio I LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | 1,886 | 2,684 | 2,380 |
Storage Portfolio II JV LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | 79 | 33 | 0 |
Other minority owned stores | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings | $ 1,110 | $ 959 | $ 1,804 |
Investments in Unconsolidated_6
Investments in Unconsolidated Real Estate Ventures - Additional Information (Details) $ in Thousands | Apr. 30, 2018USD ($)store | Nov. 17, 2016USD ($)store | Sep. 16, 2016USD ($)store | Feb. 02, 2016USD ($)store | Dec. 31, 2018USD ($)store | Sep. 30, 2018USD ($)store | Jun. 30, 2018USD ($)store | Mar. 31, 2018USD ($)store | Dec. 31, 2017USD ($)store | Sep. 30, 2017USD ($)store | Jun. 30, 2017USD ($)store | Mar. 31, 2017USD ($)store | Dec. 31, 2018USD ($)store | Dec. 31, 2017USD ($)store | Apr. 25, 2016 | Apr. 24, 2016 |
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Cash paid to acquire properties | $ 74,868 | $ 71,989 | $ 148,650 | $ 70,171 | $ 502,845 | $ 29,919 | $ 16,608 | $ 25,541 | $ 365,678 | $ 574,913 | ||||||
Loan assumed | $ 0 | $ 0 | $ 87,500 | $ 0 | $ 14,592 | $ 0 | $ 9,463 | $ 0 | $ 87,500 | $ 24,055 | ||||||
Number of stores acquired | store | 6 | 6 | 17 | 5 | 37 | 4 | 3 | 2 | 34 | 46 | ||||||
Amortization amount of excess purchase price included in equity earnings | $ 27,867 | $ 27,867 | ||||||||||||||
Amortization period of excess purchase price included in equity earnings | 40 years | |||||||||||||||
Properties acquired September 2016 | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Fair value of stores purchased | $ 248,530 | |||||||||||||||
WCOT Self Storage LLC | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Cash paid to acquire properties | $ 115,797 | |||||||||||||||
Loan assumed | $ 87,500 | |||||||||||||||
Number of stores acquired | store | 14 | |||||||||||||||
Equity ownership % | 5.00% | 5.00% | ||||||||||||||
ESS WCOT LLC | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Number of acquired stores | store | 11 | |||||||||||||||
Equity ownership % | 5.00% | |||||||||||||||
Percentage interests acquired | 95.00% | |||||||||||||||
Net carrying amount of properties distributed | $ 68,814 | |||||||||||||||
Payment to acquire joint venture interests | $ 153,304 | |||||||||||||||
Ownership percentage after transaction | 100.00% | |||||||||||||||
Fair value of investment prior to acquisition of additional interest | $ 8,119 | |||||||||||||||
Gain recorded as a result of remeasuring fair value of existing equity interest | 4,651 | |||||||||||||||
Fair value of stores purchased | $ 161,072 | |||||||||||||||
ESS PRISA II LLC | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Number of acquired stores | store | 23 | |||||||||||||||
Equity ownership % | 4.40% | |||||||||||||||
Number of stores owned | store | 42 | |||||||||||||||
Ownership percentage sold | 4.42% | |||||||||||||||
Carrying value of investment prior to acquisition | $ 3,912 | |||||||||||||||
Realized gain on sale | 30,846 | |||||||||||||||
ESS PRISA II LLC | Prudential Real Estate and Affiliates | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Proceeds from sale of interest | 34,758 | |||||||||||||||
Extra Space Properties 131 LLC | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Net carrying amount of properties distributed | $ 4,326 | |||||||||||||||
Ownership percentage after transaction | 100.00% | |||||||||||||||
Fair value of investment prior to acquisition of additional interest | $ 10,988 | |||||||||||||||
Gain recorded as a result of remeasuring fair value of existing equity interest | $ 6,778 | |||||||||||||||
Number of transferred stores | store | 23 | |||||||||||||||
Extra Space Properties 131 LLC | Prudential Real Estate and Affiliates | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Percentage interests acquired | 95.60% | |||||||||||||||
Payment to acquire joint venture interests | $ 238,679 | |||||||||||||||
ESS PRISA LLC and ESS PRISA II LLC | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Unconsolidated joint ventures excess profit participation percentage forfeited | 17.00% | |||||||||||||||
ESS PRISA LLC | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Equity ownership % | 4.00% | 2.00% | ||||||||||||||
ESS Prisa II LLC | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Equity ownership % | 4.40% | 2.00% | ||||||||||||||
VRS Self Storage LLC | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Number of acquired stores | store | 6 | |||||||||||||||
Equity ownership % | 45.00% | |||||||||||||||
Extra Space Properties 122 LLC | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Number of acquired stores | store | 6 | |||||||||||||||
Net carrying amount of properties distributed | $ 17,261 | |||||||||||||||
Ownership percentage after transaction | 100.00% | |||||||||||||||
Fair value of investment prior to acquisition of additional interest | $ 44,184 | |||||||||||||||
Gain recorded as a result of remeasuring fair value of existing equity interest | 26,923 | |||||||||||||||
Fair value of stores purchased | $ 98,082 | |||||||||||||||
Number of transferred stores | store | 6 | |||||||||||||||
Extra Space Properties 122 LLC | Prudential Real Estate and Affiliates | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Percentage interests acquired | 55.00% | |||||||||||||||
Payment to acquire joint venture interests | $ 53,940 |
Notes Payable and Revolving L_3
Notes Payable and Revolving Lines of Credit - Schedule of Components of Notes Payable (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Debt Instrument [Line Items] | ||
Notes payable, net | $ 4,137,213 | $ 3,738,497 |
Notes Payable | ||
Debt Instrument [Line Items] | ||
Total | 4,167,149 | 3,763,474 |
Unamortized debt issuance costs | (29,936) | (24,977) |
Notes payable, net | 4,137,213 | 3,738,497 |
Notes Payable | Secured notes payable | ||
Debt Instrument [Line Items] | ||
Fixed rate notes payable | 2,032,414 | 2,095,495 |
Variable rate notes payable | $ 834,735 | 717,979 |
Notes Payable | Secured notes payable | Minimum | ||
Debt Instrument [Line Items] | ||
Fixed Rate | 2.50% | |
Variable Rate | 3.90% | |
Notes Payable | Secured notes payable | Maximum | ||
Debt Instrument [Line Items] | ||
Fixed Rate | 6.00% | |
Variable Rate | 4.10% | |
Notes Payable | Secured notes payable | LIBOR | Minimum | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.40% | |
Notes Payable | Secured notes payable | LIBOR | Maximum | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.60% | |
Notes Payable | Unsecured notes payable | ||
Debt Instrument [Line Items] | ||
Fixed rate notes payable | $ 990,000 | 600,000 |
Variable rate notes payable | $ 310,000 | $ 350,000 |
Variable Rate | 3.80% | |
Notes Payable | Unsecured notes payable | Minimum | ||
Debt Instrument [Line Items] | ||
Fixed Rate | 3.40% | |
Notes Payable | Unsecured notes payable | Maximum | ||
Debt Instrument [Line Items] | ||
Fixed Rate | 4.40% | |
Notes Payable | Unsecured notes payable | LIBOR | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.30% |
Notes Payable and Revolving L_4
Notes Payable and Revolving Lines of Credit - Schedule of Maturities of Notes Payable (Details) - Notes Payable - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Debt Instrument [Line Items] | ||
2,019 | $ 208,742 | |
2,020 | 699,522 | |
2,021 | 228,015 | |
2,022 | 294,948 | |
2,023 | 915,646 | |
Thereafter | 1,820,276 | |
Total | $ 4,167,149 | $ 3,763,474 |
Notes Payable and Revolving L_5
Notes Payable and Revolving Lines of Credit - Schedule of Information on Lines of Credit (Details) | 12 Months Ended | |
Dec. 31, 2018USD ($)extension | Dec. 31, 2017USD ($) | |
Debt Instrument [Line Items] | ||
Amount Drawn | $ 81,000,000 | $ 94,000,000 |
Capacity | 790,000,000 | |
Credit Line 1 | ||
Debt Instrument [Line Items] | ||
Amount Drawn | 81,000,000 | |
Capacity | $ 140,000,000 | |
Interest Rate | 4.00% | |
Number of extensions available | extension | 1 | |
Extension term | 2 years | |
Credit Line 2 | ||
Debt Instrument [Line Items] | ||
Amount Drawn | $ 0 | |
Capacity | $ 650,000,000 | |
Interest Rate | 3.60% | |
Number of extensions available | extension | 2 | |
Extension term | 6 months | |
LIBOR | Credit Line 1 | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.50% | |
LIBOR | Credit Line 2 | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.10% |
Notes Payable and Revolving L_6
Notes Payable and Revolving Lines of Credit - Additional Information (Details) | Dec. 07, 2018USD ($)extension | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) |
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 790,000,000 | ||
Line of Credit | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 1,350,000,000 | ||
Increase limit | $ 2,000,000,000 | ||
Number of extension options | extension | 2 | ||
Extension term | 6 months | ||
Line of Credit | Base rate | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 0.00% | ||
Line of Credit | Base rate | Based on Company's Consolidated Leverage Ratio and type of loan | Minimum | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 0.05% | ||
Line of Credit | Base rate | Based on Company's Consolidated Leverage Ratio and type of loan | Maximum | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 0.70% | ||
Line of Credit | Base rate | If Company elects to use alternative rates based on specified investment grade rating | Minimum | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 0.00% | ||
Line of Credit | Base rate | If Company elects to use alternative rates based on specified investment grade rating | Maximum | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 0.65% | ||
Line of Credit | Federal funds rate | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 0.50% | ||
Line of Credit | Eurodollar | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 1.00% | ||
Line of Credit | Eurodollar | Based on Company's Consolidated Leverage Ratio and type of loan | Minimum | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 1.05% | ||
Line of Credit | Eurodollar | Based on Company's Consolidated Leverage Ratio and type of loan | Maximum | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 1.70% | ||
Line of Credit | Eurodollar | If Company elects to use alternative rates based on specified investment grade rating | Minimum | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 0.75% | ||
Line of Credit | Eurodollar | If Company elects to use alternative rates based on specified investment grade rating | Maximum | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 1.65% | ||
Line of Credit | Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 650,000,000 | ||
Term | 4 years | ||
Line of Credit | Tranche 1 Term Loan Facility | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 480,000,000 | ||
Line of Credit | Tranche 2 Term Loan Facility | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 220,000,000 | ||
Notes Payable | |||
Debt Instrument [Line Items] | |||
Notes payable to Trusts | 4,167,149,000 | $ 3,763,474,000 | |
Notes payable subject to recourse | $ 2,601,960,000 |
Derivatives - Additional Inform
Derivatives - Additional Information (Details) $ in Thousands | Dec. 31, 2018USD ($)derivative |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Gain to be reclassified as a decrease to interest expense in 2019 | $ 17,439 |
Number of derivative financial instruments | derivative | 28 |
Combined notional amount | $ 2,231,162 |
Derivatives with contingent features, net liability position | 1,785 |
Derivatives with contingent features, contingent cash settlement value | $ 2,422 |
Derivatives - Schedule Summariz
Derivatives - Schedule Summarizing Terms of Entity's Derivative Financial Instruments (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Derivative [Line Items] | |
Notional amounts | $ 2,231,162 |
Cash flow hedging | Swap Agreements | Minimum | |
Derivative [Line Items] | |
Notional amounts | $ 4,873 |
Strike rate | 1.13% |
Cash flow hedging | Swap Agreements | Maximum | |
Derivative [Line Items] | |
Notional amounts | $ 267,431 |
Strike rate | 3.87% |
Derivatives - Schedule of Balan
Derivatives - Schedule of Balance Sheet Classification and Fair Value of Entity's Derivative Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Other assets | ||
Derivative [Line Items] | ||
Asset Derivatives | $ 42,324 | $ 38,365 |
Other liabilities | ||
Derivative [Line Items] | ||
Liability Derivatives | $ 2,131 | $ 9 |
Derivatives - Schedule of Infor
Derivatives - Schedule of Information Relating to Gain (Loss) Recognized on Swap Agreements (Details) - Swap Agreements - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Gain (loss) recognized in OCI | $ 9,889 | $ 8,499 | |
Gain (loss) reclassified from OCI | $ 8,258 | $ (8,853) | $ (18,800) |
Notes Payable to Trusts - Addit
Notes Payable to Trusts - Additional Information (Details) | Jul. 27, 2010USD ($) | Jul. 31, 2005USD ($)Security | May 31, 2005USD ($)Security | Apr. 30, 2005USD ($)Security | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Jun. 30, 2010 | Jul. 31, 2010 | Jul. 11, 2011 |
Variable Interest Entity [Line Items] | ||||||||||
Principal payments on notes payable to trusts | $ 88,662,000 | $ 0 | $ 0 | |||||||
Variable Interest Entity, Not Primary Beneficiary | Trust III | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Proceeds from issuance of securities | $ 41,238,000 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | Trust III | Preferred Securities | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Issuance of securities | 40,000,000 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | Trust III | Common Securities | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Issuance of securities | $ 1,238,000 | |||||||||
Number of securities issued (in securities) | Security | 1,238 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | Trust II | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Proceeds from issuance of securities | $ 42,269,000 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | Trust II | Preferred Securities | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Issuance of securities | 41,000,000 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | Trust II | Common Securities | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Issuance of securities | $ 1,269,000 | |||||||||
Number of securities issued (in securities) | Security | 1,269 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | Trust | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Proceeds from issuance of securities | $ 36,083,000 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | Trust | Preferred Securities | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Issuance of securities | 35,000,000 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | Trust | Common Securities | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Issuance of securities | $ 1,083,000 | |||||||||
Number of securities issued (in securities) | Security | 1,083 | |||||||||
Operating Partnership | Variable Interest Entity, Not Primary Beneficiary | Trust III | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Interest rate, fixed | 6.91% | |||||||||
Interest rate swap, fixed interest rate | 5.00% | |||||||||
Prepayment premium | $ 0 | |||||||||
Operating Partnership | Variable Interest Entity, Not Primary Beneficiary | Trust III | LIBOR | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Basis spread on variable rate | 2.40% | |||||||||
Operating Partnership | Variable Interest Entity, Not Primary Beneficiary | Trust II | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Interest rate, fixed | 6.70% | |||||||||
Interest rate swap, fixed interest rate | 5.00% | |||||||||
Prepayment premium | $ 0 | |||||||||
Operating Partnership | Variable Interest Entity, Not Primary Beneficiary | Trust II | LIBOR | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Basis spread on variable rate | 2.40% | |||||||||
Operating Partnership | Variable Interest Entity, Not Primary Beneficiary | Trust | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Interest rate swap, fixed interest rate | 5.10% | |||||||||
Prepayment premium | $ 0 | |||||||||
Operating Partnership | Variable Interest Entity, Not Primary Beneficiary | Trust | LIBOR | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Basis spread on variable rate | 2.30% | |||||||||
Notes payable to Trusts | Variable Interest Entity, Not Primary Beneficiary | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Principal payments on notes payable to trusts | $ 88,662,000 | |||||||||
Unamortized deferred financing costs, net | 0 | $ 2,146,000 | ||||||||
Notes payable to Trusts | Variable Interest Entity, Not Primary Beneficiary | Trust | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||
Notes payable to Trusts | $ 30,928,000 |
Notes Payable to Trusts - Sched
Notes Payable to Trusts - Schedule of Liabilities and Maximum Exposure to Loss Related to Trusts (Details) - Variable Interest Entity, Not Primary Beneficiary - Trust | Dec. 31, 2018USD ($) |
Variable Interest Entity [Line Items] | |
Investment Balance | $ 928,000 |
Maximum exposure to loss | 30,000,000 |
Difference | 0 |
Notes payable to Trusts | |
Variable Interest Entity [Line Items] | |
Notes payable to Trusts | $ 30,928,000 |
Exchangeable Senior Notes - Add
Exchangeable Senior Notes - Additional Information (Details) | Dec. 31, 2018USD ($) | Jun. 21, 2013USD ($) | Sep. 30, 2015USD ($) | Dec. 31, 2018USD ($)day | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($)shares |
Debt Instrument [Line Items] | ||||||
Cash paid for repurchase of debt | $ 1,109,854,000 | $ 1,088,679,000 | $ 1,122,442,000 | |||
Common Stock | ||||||
Debt Instrument [Line Items] | ||||||
Converted instrument, shares issued (in shares) | shares | 148,940 | |||||
Converted instrument, amount | $ 13,066,000 | |||||
2015 Notes | ||||||
Debt Instrument [Line Items] | ||||||
Principal amount of notes issued | $ 575,000,000 | |||||
Fixed interest rate | 3.125% | 3.125% | 3.125% | |||
Related debt issuance costs | $ 11,992,000 | |||||
Underwriting fee percentage | 2.00% | |||||
Amortization period | 5 years | |||||
Conversion ratio | 0.01078 | |||||
Redemption price as percentage of principal amount of notes plus accrued and unpaid interest | 100.00% | |||||
Redemption price as percentage of principal amount of notes at request of debt holders and upon occurrence of designated event | 100.00% | |||||
Variable Rate | 4.00% | 4.00% | ||||
2015 Notes | Minimum | ||||||
Debt Instrument [Line Items] | ||||||
Number of days of written notice to holders of notes required for redemption | 30 days | |||||
2015 Notes | Maximum | ||||||
Debt Instrument [Line Items] | ||||||
Number of days of written notice to holders of notes required for redemption | 60 days | |||||
2013 Notes | ||||||
Debt Instrument [Line Items] | ||||||
Principal amount of notes issued | $ 250,000,000 | |||||
Fixed interest rate | 2.375% | |||||
Related debt issuance costs | $ 10,000 | $ 1,672,000 | $ 10,000 | 35,000 | 43,000 | |
Notes exchange, threshold percentage | 130.00% | |||||
Notes exchange, threshold trading days | day | 20 | |||||
Notes exchange, threshold consecutive trading days | day | 30 | |||||
Debt, measurement input | 1.50% | |||||
Unamortized cash discount | $ 230,000 | $ 3,750,000 | $ 230,000 | 184,000 | 788,000 | |
Amortization period | 5 years | |||||
Variable Rate | 4.00% | 4.00% | ||||
Principal amount repurchased | $ 49,259,000 | $ 49,259,000 | 13,911,000 | 22,194,000 | ||
Cash paid for repurchase of debt | $ 80,270,000 | $ 20,042,000 | $ 35,261,000 |
Exchangeable Senior Notes - Car
Exchangeable Senior Notes - Carrying Amount of Equity Component and Principal Amount of Liability Component (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2015 | Jun. 21, 2013 |
Debt Instrument [Line Items] | |||||
Principal amount of liability component | $ 562,374 | $ 604,276 | |||
2015 Notes | |||||
Debt Instrument [Line Items] | |||||
Principal amount of liability component | 575,000 | ||||
Unamortized debt issuance costs | $ (11,992) | ||||
2013 Notes | |||||
Debt Instrument [Line Items] | |||||
Unamortized debt issuance costs | (10) | (35) | $ (43) | $ (1,672) | |
Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Carrying amount of equity components | 22,597 | 22,597 | |||
Unamortized debt issuance costs | (4,209) | (6,620) | |||
Net carrying amount of liability components | 562,374 | 604,276 | |||
Senior Notes | 2015 Notes | |||||
Debt Instrument [Line Items] | |||||
Carrying amount of equity components | 22,597 | 22,597 | |||
Principal amount of liability component | 575,000 | 575,000 | |||
Unamortized discount - equity components | (8,417) | (12,974) | |||
Senior Notes | 2013 Notes | |||||
Debt Instrument [Line Items] | |||||
Carrying amount of equity components | 0 | 0 | |||
Principal amount of liability component | 0 | 49,259 | |||
Unamortized discount - equity components | 0 | (315) | |||
Unamortized cash discount | $ 0 | $ (74) |
Exchangeable Senior Notes - Int
Exchangeable Senior Notes - Interest Cost Recognized (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |||
Contractual interest | $ 18,106 | $ 19,303 | $ 19,483 |
Amortization of discount | 4,687 | 5,103 | 4,980 |
Total interest expense recognized | $ 22,793 | $ 24,406 | $ 24,463 |
Exchangeable Senior Notes - Rep
Exchangeable Senior Notes - Repurchase of Debt (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jun. 21, 2013 | |
Debt Instrument [Line Items] | ||||
Total consideration paid for repurchase | $ 1,109,854 | $ 1,088,679 | $ 1,122,442 | |
2013 Notes | ||||
Debt Instrument [Line Items] | ||||
Principal amount repurchased | 49,259 | 13,911 | 22,194 | |
Extinguishment of liability component | 49,019 | 13,692 | 21,363 | |
Reacquisition of equity component | 31,251 | 6,350 | 13,898 | |
Total consideration paid for repurchase | 80,270 | 20,042 | 35,261 | |
Extinguishment of liability component | (49,019) | (13,692) | (21,363) | |
Discount on exchangeable senior notes | (230) | (184) | (788) | $ (3,750) |
Related debt issuance costs | (10) | (35) | (43) | $ (1,672) |
Gain/(loss) on repurchase | $ 0 | $ 0 | $ 0 |
Related Party and Affiliated _2
Related Party and Affiliated Real Estate Joint Venture Transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Related Party Transaction [Line Items] | |||
Management fees and other income | $ 41,757 | $ 39,379 | $ 39,842 |
Affiliated entities and joint ventures | |||
Related Party Transaction [Line Items] | |||
Management fees and other income | $ 14,123 | $ 12,650 | $ 16,066 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) $ / shares in Units, $ in Thousands | May 06, 2016USD ($)sales_agent | Aug. 28, 2015USD ($)sales_agent | Jul. 31, 2016USD ($)$ / sharesshares | May 06, 2016USD ($)$ / sharesshares | Dec. 31, 2018USD ($)item$ / sharesshares | Dec. 31, 2017USD ($)$ / sharesshares | Dec. 31, 2016USD ($) |
Changes In Equity And Comprehensive Income Line Items [Line Items] | |||||||
Common stock, shares authorized (in shares) | 500,000,000 | 500,000,000 | |||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | |||||
Preferred stock, shares authorized (in shares) | 50,000,000 | 50,000,000 | |||||
Preferred stock, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | |||||
Common stock, shares issued (in shares) | 127,103,750 | 126,007,091 | |||||
Common stock, shares outstanding (in shares) | 127,103,750 | 126,007,091 | |||||
Preferred stock, shares issued (in shares) | 0 | 0 | |||||
Preferred stock, shares outstanding (in shares) | 0 | 0 | |||||
Number of votes, common stockholder rights | item | 1 | ||||||
Net proceeds from sale of stock | $ | $ 90,231 | $ 0 | $ 123,424 | ||||
“At the market” equity program | |||||||
Changes In Equity And Comprehensive Income Line Items [Line Items] | |||||||
Aggregate offering price | $ | $ 400,000 | $ 400,000 | |||||
Number of sales agents | sales_agent | 5 | 5 | |||||
Common stock sold (in shares) | 550,000 | 831,300 | 933,789 | ||||
Average sales price (in dollars per share) | $ / shares | $ 92.04 | $ 89.66 | |||||
Net proceeds from sale of stock | $ | $ 50,062 | $ 73,360 | |||||
Available for issuance | $ | $ 257,929 |
Noncontrolling Interest Repre_2
Noncontrolling Interest Represented By Preferred Operating Partnership Units (Details) - USD ($) $ / shares in Units, $ in Thousands | Dec. 01, 2018 | Apr. 18, 2017 | Jun. 25, 2007 | Dec. 31, 2014 | Oct. 31, 2014 | Jun. 30, 2007 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Noncontrolling Interest [Line Items] | |||||||||||||||||
Loan to holders of preferred OP units | $ 108,644 | $ 120,230 | $ 108,644 | $ 120,230 | |||||||||||||
Number of units issued (in shares) | 0 | 0 | 21,768 | 0 | 64,708 | 25,520 | 272,400 | 0 | 21,768 | 362,628 | |||||||
Value of units issued | $ 0 | $ 0 | $ 1,877 | $ 0 | $ 5,618 | $ 2,000 | $ 6,810 | $ 0 | $ 1,877 | $ 14,428 | |||||||
Series A Units | |||||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||||
Fixed priority return on preferred OP units, amount | $ 101,700 | ||||||||||||||||
Fixed priority return on preferred OP units, stated return rate | 2.30% | 5.00% | |||||||||||||||
Fixed priority return on preferred OP units, liquidation value | $ 115,000 | ||||||||||||||||
Preferred units outstanding (in shares) | 875,480 | 875,480 | |||||||||||||||
Series A Units | Holders Of Series A Preferred Operating Partnership Units | |||||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||||
Loan to holders of preferred OP units | $ 100,000 | $ 100,000 | $ 100,000 | ||||||||||||||
Maximum number of preferred OP units converted prior to the maturity date of the loan (in shares) | 114,500 | ||||||||||||||||
Note receivable interest rate | 2.10% | 4.90% | |||||||||||||||
Additional units redeemed | 0 | ||||||||||||||||
Series B Units | |||||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||||
Preferred units outstanding (in shares) | 1,676,087 | 1,676,087 | |||||||||||||||
Liquidation value (in dollars per share) | $ 25 | $ 25 | |||||||||||||||
Fixed liquidation value | $ 41,902 | $ 41,902 | |||||||||||||||
Annual rate of return percent | 6.00% | ||||||||||||||||
Series C Units | |||||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||||
Loan to holders of preferred OP units | $ 19,735 | $ 20,230 | $ 19,735 | 20,230 | |||||||||||||
Preferred units outstanding (in shares) | 296,020 | 296,020 | |||||||||||||||
Note receivable interest rate | 5.00% | ||||||||||||||||
Liquidation value (in dollars per share) | $ 42.1 | $ 42.1 | |||||||||||||||
Fixed liquidation value | $ 12,462 | $ 12,462 | |||||||||||||||
Quarterly distribution per preferred OP unit payable above quarterly distribution for common OP Unit (in dollars per share) | $ 0.18 | ||||||||||||||||
Basis for determining fixed quarterly distribution in year 5, period before fifth anniversary | 12 months | ||||||||||||||||
Period from date of issuance after which preferred OP units will become redeemable at the option of the holder | 1 year | ||||||||||||||||
Period from date of issuance after which preferred OP units will become convertible into common OP units at the option of the holder | 1 year | ||||||||||||||||
Preferred OP units conversion ratio (in units) | 0.9145 | ||||||||||||||||
Conversion of units, units converted (in shares) | 407,996 | ||||||||||||||||
Series D Units | |||||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||||
Preferred units outstanding (in shares) | 3,682,521 | 3,682,521 | |||||||||||||||
Liquidation value (in dollars per share) | $ 25 | $ 25 | |||||||||||||||
Fixed liquidation value | $ 92,064 | $ 92,064 | |||||||||||||||
Value of units issued | $ 11,161 | $ 67,193 | |||||||||||||||
Series D Units | Minimum | |||||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||||
Annual rate of return percent | 3.00% | ||||||||||||||||
Series D Units | Maximum | |||||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||||
Annual rate of return percent | 5.00% | ||||||||||||||||
Series D Units | Operating Partnership | |||||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||||
Number of units issued (in shares) | 446,420 | 2,687,711 | |||||||||||||||
Preferred Operating Partnership, Series C | |||||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||||
Reduction of noncontrolling interest for note receivable | 8,644 | $ 8,644 | |||||||||||||||
Operating Partnership | |||||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||||
Conversion of units, units issued upon conversion (in shares) | 373,113 | ||||||||||||||||
Reduction of noncontrolling interest for note receivable | $ 11,091 | $ 11,091 |
Noncontrolling Interests In O_3
Noncontrolling Interests In Operating Partnership and Other Noncontrolling Interests - Additional Information (Details) $ / shares in Units, $ in Thousands | Dec. 01, 2018shares | Dec. 31, 2018USD ($)storejoint_venture$ / sharesshares | Dec. 31, 2017store | Dec. 31, 2016store |
Noncontrolling Interest [Line Items] | ||||
Period used as a denomination to determine the average closing price of common stock | 10 days | |||
Ten day average closing stock price (in dollars per share) | $ / shares | $ 91.64 | |||
OP units outstanding (in units) | 5,994,251 | |||
Consideration to be paid on redemption of common OP units | $ | $ 549,313 | |||
Number of owned stores | store | 28 | 39 | 8 | |
Operating Partnership | ||||
Noncontrolling Interest [Line Items] | ||||
Ownership interest held by entity (as a percent) | 91.00% | |||
Voting interests of third-party owners | 9.00% | |||
Operating Partnership | ||||
Noncontrolling Interest [Line Items] | ||||
Conversion of units, units issued upon conversion (in shares) | 373,113 | |||
Reduction of noncontrolling interest for note receivable | $ | $ 11,091 | |||
Common Stock | ||||
Noncontrolling Interest [Line Items] | ||||
Unit conversion ratio | 1 | |||
Other | ||||
Noncontrolling Interest [Line Items] | ||||
Number of consolidated joint ventures | joint_venture | 2 | |||
Series C Units | ||||
Noncontrolling Interest [Line Items] | ||||
Conversion of units, units converted (in shares) | 407,996 | |||
Joint venture one | ||||
Noncontrolling Interest [Line Items] | ||||
Number of owned stores | store | 2 | |||
Minimum | Other | ||||
Noncontrolling Interest [Line Items] | ||||
Voting interests of third-party owners | 5.00% | |||
Maximum | Other | ||||
Noncontrolling Interest [Line Items] | ||||
Voting interests of third-party owners | 20.00% |
Noncontrolling Interests In O_4
Noncontrolling Interests In Operating Partnership and Other Noncontrolling Interests - Schedule of OP Unit Activity (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Noncontrolling Interest [Abstract] | |||
OP Units redeemed for common stock (in shares) | 35,000 | 0 | 23,850 |
OP Units redeemed for cash (in shares) | 30,000 | 33,896 | 6,760 |
Cash paid for OP Units redeemed | $ 2,558 | $ 2,510 | $ 506 |
OP Units issued in conjunction with acquisitions (in shares) | 21,768 | 90,228 | 93,569 |
Value of OP Units issued in conjunction with acquisitions | $ 1,877 | $ 7,618 | $ 7,247 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for issuance under plans (in shares) | 1,587,625 | ||
Weighted average fair value of stock options granted (in dollars per share) | $ 20.30 | ||
Options granted (in shares) | 0 | 0 | 35,800 |
Weighted average forfeiture rate | 7.40% | ||
Net proceeds from exercise of stock options | $ 1,169 | $ 1,266 | $ 1,444 |
Dividend yield | 3.60% | ||
Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 4 years | ||
Expiration period | 10 years | ||
Compensation cost | $ 570 | 649 | $ 729 |
Net proceeds from exercise of stock options | 1,169 | 1,266 | 1,444 |
Unrecognized compensation cost | $ 344 | ||
Term over which unrecognized compensation cost recognized | 8 months 21 days | ||
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 4 years | ||
Weighted average forfeiture rate | 10.20% | ||
Compensation cost | $ 10,606 | 8,072 | $ 7,316 |
Unrecognized compensation cost | $ 10,870 | ||
Term over which unrecognized compensation cost recognized | 2 years | ||
Performance-Based Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Compensation cost | $ 1,873 | 840 | |
Unrecognized compensation cost | $ 2,739 | $ 1,681 | |
Term over which unrecognized compensation cost recognized | 2 years | 2 years | |
Performance component weight percentage | 50.00% | ||
Minimum shares issued for each PSU (in shares) | 0 | ||
Maximum shares issued for each PSU (in shares) | 2 | ||
Dividend yield | 0.00% | 0.00% |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Stock option activity | |||
Balance at the beginning of the period (in shares) | 472,156 | 510,574 | 572,629 |
Granted (in shares) | 0 | 0 | 35,800 |
Exercised (in shares) | (54,575) | (38,418) | (97,855) |
Balance at the end of the period (in shares) | 417,581 | 472,156 | 510,574 |
Vested and Expected to Vest (in shares) | 416,567 | ||
Exercisable at the end of the period (in shares) | 377,292 | ||
Weighted average exercise price | |||
Balance at the beginning of the period (in dollars per share) | $ 30.41 | $ 30.60 | $ 24.42 |
Granted (in dollars per share) | 85.99 | ||
Exercised (in dollars per share) | 21.45 | 32.94 | 14.75 |
Balance at the end of the period (in dollars per share) | 31.58 | $ 30.41 | $ 30.60 |
Vested and Expected to Vest (in dollars per share) | 31.46 | ||
Exercisable at the end of the period (in dollars per share) | $ 26.72 | ||
Weighted average remaining contractual life | |||
Outstanding at the beginning of period | 2 years 284 days | ||
Vested and Expected to Vest | 2 years 281 days | ||
Exercisable at the end of period | 2 years 128 days | ||
Aggregate intrinsic value | |||
Outstanding at the end of the period | $ 24,597 | ||
Vested and Expected to Vest at the end of the period | 24,587 | ||
Exercisable at the end of the period | $ 24,057 |
Stock-Based Compensation - Assu
Stock-Based Compensation - Assumptions Used to Estimate Fair Value of Stock Options (Details) | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Expected volatility | 37.00% |
Dividend yield | 3.60% |
Risk-free interest rate | 1.30% |
Average expected term | 5 years |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary Stock Options Outstanding and Exercisable (Details) | 12 Months Ended |
Dec. 31, 2018$ / sharesshares | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Options outstanding (in shares) | shares | 417,581 |
Options outstanding, weighted average remaining contractual life | 2 years 285 days |
Weighted average exercise price (in dollars per share) | $ 31.58 |
Options exercisable (in shares) | shares | 377,292 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 26.72 |
$6.22 - $6.22 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower limit (in dollars per share) | 6.22 |
Exercise price range, upper limit (in dollars per share) | $ 6.22 |
Options outstanding (in shares) | shares | 139,250 |
Options outstanding, weighted average remaining contractual life | 47 days |
Weighted average exercise price (in dollars per share) | $ 6.22 |
Options exercisable (in shares) | shares | 139,250 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 6.22 |
$11.59 - $11.59 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower limit (in dollars per share) | 11.59 |
Exercise price range, upper limit (in dollars per share) | $ 11.59 |
Options outstanding (in shares) | shares | 20,080 |
Options outstanding, weighted average remaining contractual life | 1 year 47 days |
Weighted average exercise price (in dollars per share) | $ 11.59 |
Options exercisable (in shares) | shares | 20,080 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 11.59 |
$12.21 - $12.21 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower limit (in dollars per share) | 12.21 |
Exercise price range, upper limit (in dollars per share) | $ 12.21 |
Options outstanding (in shares) | shares | 77,400 |
Options outstanding, weighted average remaining contractual life | 1 year 66 days |
Weighted average exercise price (in dollars per share) | $ 12.21 |
Options exercisable (in shares) | shares | 77,400 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 12.21 |
$19.6 - $28.79 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower limit (in dollars per share) | 19.60 |
Exercise price range, upper limit (in dollars per share) | $ 28.79 |
Options outstanding (in shares) | shares | 29,469 |
Options outstanding, weighted average remaining contractual life | 2 years 237 days |
Weighted average exercise price (in dollars per share) | $ 23.56 |
Options exercisable (in shares) | shares | 29,469 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 23.56 |
$38.4 - $38.4 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower limit (in dollars per share) | 38.4 |
Exercise price range, upper limit (in dollars per share) | $ 38.4 |
Options outstanding (in shares) | shares | 10,360 |
Options outstanding, weighted average remaining contractual life | 4 years 51 days |
Weighted average exercise price (in dollars per share) | $ 38.4 |
Options exercisable (in shares) | shares | 10,360 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 38.40 |
$47.5 - $47.5 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower limit (in dollars per share) | 47.5 |
Exercise price range, upper limit (in dollars per share) | $ 47.5 |
Options outstanding (in shares) | shares | 17,687 |
Options outstanding, weighted average remaining contractual life | 5 years 47 days |
Weighted average exercise price (in dollars per share) | $ 47.5 |
Options exercisable (in shares) | shares | 17,687 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 47.50 |
$65.36 - $65.36 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower limit (in dollars per share) | 65.36 |
Exercise price range, upper limit (in dollars per share) | $ 65.36 |
Options outstanding (in shares) | shares | 20,395 |
Options outstanding, weighted average remaining contractual life | 6 years 55 days |
Weighted average exercise price (in dollars per share) | $ 65.36 |
Options exercisable (in shares) | shares | 15,297 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 65.36 |
$65.45 - $65.45 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower limit (in dollars per share) | 65.45 |
Exercise price range, upper limit (in dollars per share) | $ 65.45 |
Options outstanding (in shares) | shares | 17,140 |
Options outstanding, weighted average remaining contractual life | 6 years 47 days |
Weighted average exercise price (in dollars per share) | $ 65.45 |
Options exercisable (in shares) | shares | 12,345 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 65.45 |
$73.52 - $73.52 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower limit (in dollars per share) | 73.52 |
Exercise price range, upper limit (in dollars per share) | $ 73.52 |
Options outstanding (in shares) | shares | 50,000 |
Options outstanding, weighted average remaining contractual life | 6 years 212 days |
Weighted average exercise price (in dollars per share) | $ 73.52 |
Options exercisable (in shares) | shares | 37,500 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 73.52 |
$85.99 - $85.99 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower limit (in dollars per share) | 85.99 |
Exercise price range, upper limit (in dollars per share) | $ 85.99 |
Options outstanding (in shares) | shares | 35,800 |
Options outstanding, weighted average remaining contractual life | 7 years 55 days |
Weighted average exercise price (in dollars per share) | $ 85.99 |
Options exercisable (in shares) | shares | 17,904 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 85.99 |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Employee and Director Share Grant Activity (Details) - Restricted Stock - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Restricted Stock Grants | |||
Balance at the beginning of the period (in shares) | 266,475 | 299,585 | 318,409 |
Granted (in shares) | 85,066 | 95,392 | 119,931 |
Released (in shares) | (116,656) | (120,323) | (128,808) |
Cancelled (in shares) | (11,771) | (8,179) | (9,947) |
Balance at the end of the period (in shares) | 223,114 | 266,475 | 299,585 |
Weighted-Average Grant-Date Fair | |||
Balance at the beginning of the period (in dollars per share) | $ 74.76 | $ 70.57 | $ 55.75 |
Granted (in dollars per share) | 86.14 | 74.49 | 87.61 |
Released (in dollars per share) | 72.38 | 63.95 | 50.05 |
Cancelled (in dollars per share) | 80.96 | 77.25 | 67.36 |
Balance at the end of the period (in dollars per share) | $ 80.02 | $ 74.76 | $ 70.57 |
Stock-Based Compensation - Su_4
Stock-Based Compensation - Summary of PSU Activity (Details) - Performance-Based Stock Units - $ / shares | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Units | ||
Balance at the beginning of the period (in shares) | 30,071 | 0 |
Granted (in shares) | 28,735 | 30,071 |
Balance at the end of the period (in shares) | 58,806 | 30,071 |
Weighted-Average Grant-Date Fair Value | ||
Balance at the beginning of the period (in dollars per share) | $ 83.84 | $ 0 |
Granted (in dollars per share) | 96.19 | 83.84 |
Balance at the end of the period (in dollars per share) | $ 89.87 | $ 83.84 |
Stock-Based Compensation - As_2
Stock-Based Compensation - Assumptions Used to Calculate Fair Value of Awards (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free rate | 1.30% | ||
Volatility | 37.00% | ||
Expected term | 5 years | ||
Dividend yield | 3.60% | ||
Performance-Based Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Intrinsic value | $ 5,321 | $ 2,630 | |
Compensation cost | $ 1,873 | $ 840 | |
Risk-free rate | 2.37% | 1.62% | |
Volatility | 22.60% | 21.40% | |
Expected term | 2 years 10 months 30 days | 2 years 10 months 1 day | |
Dividend yield | 0.00% | 0.00% | |
Unrecognized compensation cost | $ 2,739 | $ 1,681 | |
Term over which unrecognized compensation cost recognized | 2 years | 2 years |
Employee Benefit Plan - Additio
Employee Benefit Plan - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Retirement Benefits [Abstract] | |||
Employee contribution to retirement saving plan as a percentage of annual salary, maximum | 60.00% | ||
Matching contributions made by the entity during the period | $ 2,833 | $ 2,212 | $ 1,944 |
Percentage of company's matching contributions of first 3 percent of employee's compensation | 100.00% | ||
Percentage of employee's compensation that qualifies for 100 percent matching contribution by the company | 3.00% | ||
Maximum percentage of the company's matching contributions of next 2 percent of employee's compensation | 50.00% | ||
Percentage of employee's compensation that qualifies for 50 percent matching contribution by the company | 2.00% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017USD ($) | Dec. 31, 2018subsidiary | |
Income Tax [Line Items] | ||
Tax benefit related to remeasurment of deferred tax balance and valuation allowance | $ | $ 8,606 | |
Extra Space Management, Inc | ||
Income Tax [Line Items] | ||
Number of taxable REIT subsidiaries | subsidiary | 1 |
Income Taxes - Income Tax Provi
Income Taxes - Income Tax Provision (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Federal | |||
Current expense, federal | $ 9,136 | $ 5,677 | $ 14,627 |
Tax credits/true-up, federal | (5,841) | (5,573) | (312) |
Change in deferred expense/(benefit), federal | 3,730 | 1,700 | (369) |
Income tax expense, federal | 7,025 | 1,804 | 13,946 |
State | |||
Current expense, state | 2,426 | 1,662 | 2,368 |
Tax credits/true-up, state | (175) | (383) | 0 |
Change in deferred expense/(benefit), state | (32) | 542 | (467) |
Income tax expense, state | 2,219 | 1,821 | 1,901 |
Current expense, total | 11,562 | 7,339 | 16,995 |
Tax credits/true-up, total | (6,016) | (5,956) | (312) |
Change in deferred expense/(benefit), total | 3,698 | 2,242 | (836) |
Total provision | $ 9,244 | $ 3,625 | $ 15,847 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Statutory Income Tax Provision (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Expected tax at statutory rate | $ 95,828 | $ 186,274 | $ 144,708 |
Non-taxable REIT income | (83,022) | (170,811) | (131,112) |
State and local tax expense - net of federal benefit | 2,385 | 2,306 | 2,399 |
Change in valuation allowance | (1,052) | 159 | (845) |
Tax credits/true-up | (6,016) | (5,956) | (312) |
Remeasurement of deferred balances | 0 | (8,460) | 0 |
Miscellaneous | 1,121 | 113 | 1,009 |
Total provision | $ 9,244 | $ 3,625 | $ 15,847 |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Expected tax at statutory rate | 21.00% | 35.00% | 35.00% |
Non-taxable REIT income | (18.20%) | (32.10%) | (31.70%) |
State and local tax expense - net of federal benefit | 0.50% | 0.40% | 0.60% |
Change in valuation allowance | (0.20%) | 0.00% | (0.20%) |
Tax credits/true-up | (1.30%) | (1.10%) | (0.10%) |
Remeasurement of deferred balances | 0.00% | (1.60%) | 0.00% |
Miscellaneous | 0.20% | 0.00% | 0.20% |
Total provision | 2.00% | 0.60% | 3.80% |
Income Taxes - Sources of Tempo
Income Taxes - Sources of Temporary Differences (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred Tax Liabilities, Gross [Abstract] | ||
Fixed assets | $ (20,907) | $ (15,271) |
Other | (96) | (108) |
State deferred taxes | (3,076) | (2,822) |
Total deferred tax liabilities | (24,079) | (18,201) |
Deferred Tax Assets, Gross [Abstract] | ||
Captive insurance subsidiary | 324 | 252 |
Accrued liabilities | 1,772 | 873 |
Stock compensation | 1,604 | 1,287 |
Solar credit | 0 | 43 |
Other | 53 | 57 |
SmartStop TRS | 219 | 219 |
State deferred taxes | 7,196 | 7,802 |
Total deferred tax assets | 11,168 | 10,533 |
Valuation allowance | (3,872) | (4,924) |
Net deferred income tax liabilities | $ (16,783) | $ (12,592) |
Segment Information - Additiona
Segment Information - Additional Information (Details) - segment | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2016 | |
Segment Reporting [Abstract] | ||
Number of reportable segments | 2 | 3 |
Segment Information - Schedule
Segment Information - Schedule of Financial Information of Business Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||||||||||
Revenues | $ 307,353 | $ 306,953 | $ 296,813 | $ 285,485 | $ 281,842 | $ 284,156 | $ 276,003 | $ 263,008 | $ 1,196,604 | $ 1,105,009 | $ 991,875 |
Operating expenses | 150,676 | 153,362 | 152,097 | 151,573 | 140,728 | 144,275 | 139,596 | 138,805 | 607,708 | 563,404 | 542,037 |
Net operating income | 156,677 | 153,591 | 144,716 | 133,912 | 141,114 | 139,881 | 136,407 | 124,203 | 619,703 | 654,394 | 458,303 |
Property management fees and other income | 41,757 | 39,379 | 39,842 | ||||||||
General and administrative expense | (81,256) | (78,961) | (81,806) | ||||||||
Gain on real estate transactions, earnout from prior acquisitions and impairment of real estate | 30,807 | 112,789 | 8,465 | ||||||||
Interest expense | (178,436) | (153,511) | (133,479) | ||||||||
Non-cash interest expense related to amortization of discount on equity component of exchangeable senior notes | (4,687) | (5,103) | (4,980) | ||||||||
Interest income | 5,292 | 6,736 | 10,998 | ||||||||
Equity in earnings of unconsolidated real estate ventures | 14,452 | 15,331 | 12,895 | ||||||||
Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and purchase of partners' interests | 0 | 0 | 69,199 | ||||||||
Income tax expense | (9,244) | (3,625) | (15,847) | ||||||||
Net income | $ 109,250 | $ 139,687 | $ 102,713 | $ 95,430 | $ 229,315 | $ 101,075 | $ 94,098 | $ 89,734 | 447,080 | 514,222 | 397,089 |
Operating Segments | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 1,154,847 | 1,065,630 | 952,033 | ||||||||
Operating expenses | 317,402 | 291,147 | 265,560 | ||||||||
Net operating income | 837,445 | 774,483 | 686,473 | ||||||||
Operating Segments | Self-Storage Operations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 1,039,340 | 967,229 | 864,742 | ||||||||
Operating expenses | 291,695 | 271,974 | 250,005 | ||||||||
Net operating income | 747,645 | 695,255 | 614,737 | ||||||||
Operating Segments | Tenant Reinsurance | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 115,507 | 98,401 | 87,291 | ||||||||
Operating expenses | 25,707 | 19,173 | 15,555 | ||||||||
Net operating income | 89,800 | 79,228 | 71,736 | ||||||||
Segment reconciling items | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Property management fees and other income | 41,757 | 39,379 | 39,842 | ||||||||
General and administrative expense | (81,256) | (78,961) | (81,806) | ||||||||
Depreciation and amortization expense | (209,050) | (193,296) | (182,560) | ||||||||
Acquisition and other related costs | 0 | 0 | (12,111) | ||||||||
Gain on real estate transactions, earnout from prior acquisitions and impairment of real estate | 30,807 | 112,789 | 8,465 | ||||||||
Interest expense | (178,436) | (153,511) | (133,479) | ||||||||
Non-cash interest expense related to amortization of discount on equity component of exchangeable senior notes | (4,687) | (5,103) | (4,980) | ||||||||
Interest income | 5,292 | 6,736 | 10,998 | ||||||||
Equity in earnings of unconsolidated real estate ventures | 14,452 | 15,331 | 12,895 | ||||||||
Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and purchase of partners' interests | 0 | 0 | 69,199 | ||||||||
Income tax expense | $ (9,244) | $ (3,625) | $ (15,847) |
Commitments and Contingencies_2
Commitments and Contingencies - Additional Information (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018USD ($)storeFacility | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Other Commitments [Line Items] | |||
Number of owned stores that have leases | Facility | 23 | ||
Expense related to ground leases | $ | $ 8,229 | $ 6,898 | $ 4,578 |
Commitment to acquire stores | |||
Other Commitments [Line Items] | |||
Number of properties to be acquired | 18 | ||
Other commitment | $ | $ 271,526 | ||
Commitment to acquire stores, 2019 | |||
Other Commitments [Line Items] | |||
Other commitment | $ | $ 247,498 | ||
Number of store acquisitions expected to close | 16 | ||
Commitment to acquire stores, 2020 | |||
Other Commitments [Line Items] | |||
Other commitment | $ | $ 24,028 | ||
Number of store acquisitions expected to close | 2 | ||
Commitment to acquire stores with joint venture partners | |||
Other Commitments [Line Items] | |||
Number of properties to be acquired | 13 | ||
Other commitment | $ | $ 73,860 | ||
Commitment to acquire stores with joint venture partners, 2019 | |||
Other Commitments [Line Items] | |||
Number of store acquisitions expected to close | 11 | ||
Commitment to acquire stores with joint venture partners, 2020 | |||
Other Commitments [Line Items] | |||
Number of store acquisitions expected to close | 2 |
Commitments and Contingencies_3
Commitments and Contingencies - Schedule of Future Minimum Payments (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Less than 1 year | $ 8,203 |
Year 2 | 8,307 |
Year 3 | 8,137 |
Year 4 | 7,837 |
Year 5 | 7,021 |
Thereafter | 111,653 |
Total | $ 151,158 |
Supplementary Quarterly Finan_3
Supplementary Quarterly Financial Data (Unaudited) - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Revenues | $ 307,353 | $ 306,953 | $ 296,813 | $ 285,485 | $ 281,842 | $ 284,156 | $ 276,003 | $ 263,008 | $ 1,196,604 | $ 1,105,009 | $ 991,875 |
Cost of operations | 150,676 | 153,362 | 152,097 | 151,573 | 140,728 | 144,275 | 139,596 | 138,805 | 607,708 | 563,404 | 542,037 |
Income from operations | 156,677 | 153,591 | 144,716 | 133,912 | 141,114 | 139,881 | 136,407 | 124,203 | 619,703 | 654,394 | 458,303 |
Net income | 109,250 | 139,687 | 102,713 | 95,430 | 229,315 | 101,075 | 94,098 | 89,734 | 447,080 | 514,222 | 397,089 |
Net income attributable to common stockholders | $ 101,462 | $ 130,418 | $ 95,153 | $ 88,256 | $ 215,983 | $ 93,742 | $ 87,006 | $ 82,282 | $ 415,289 | $ 479,013 | $ 366,127 |
Earnings per common share-basic (in dollars per share) | $ 0.80 | $ 1.03 | $ 0.75 | $ 0.70 | $ 1.71 | $ 0.74 | $ 0.69 | $ 0.65 | $ 3.29 | $ 3.79 | $ 2.92 |
Earnings per common share-diluted (in dollars per share) | $ 0.80 | $ 1.02 | $ 0.75 | $ 0.70 | $ 1.69 | $ 0.74 | $ 0.69 | $ 0.64 | $ 3.27 | $ 3.76 | $ 2.91 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Details) $ in Thousands | 2 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||
Feb. 26, 2019USD ($)store | Dec. 31, 2018USD ($)store | Sep. 30, 2018USD ($)store | Jun. 30, 2018USD ($)store | Mar. 31, 2018USD ($)store | Dec. 31, 2017USD ($)store | Sep. 30, 2017USD ($)store | Jun. 30, 2017USD ($)store | Mar. 31, 2017USD ($)store | Dec. 31, 2018USD ($)store | Dec. 31, 2017USD ($)store | |
Subsequent Event [Line Items] | |||||||||||
Number of stores acquired | store | 6 | 6 | 17 | 5 | 37 | 4 | 3 | 2 | 34 | 46 | |
Cash paid to acquire properties | $ 74,868 | $ 71,989 | $ 148,650 | $ 70,171 | $ 502,845 | $ 29,919 | $ 16,608 | $ 25,541 | $ 365,678 | $ 574,913 | |
Loan assumed | $ 0 | $ 0 | $ 87,500 | $ 0 | $ 14,592 | $ 0 | $ 9,463 | $ 0 | $ 87,500 | $ 24,055 | |
Subsequent Event | Extra Space West One LLC and Extra Space Two LLC | |||||||||||
Subsequent Event [Line Items] | |||||||||||
Number of stores acquired | store | 12 | ||||||||||
Cash paid to acquire properties | $ 172,515 | ||||||||||
Loan assumed | $ 17,157 |
Schedule III - Real Estate an_2
Schedule III - Real Estate and Accumulated Depreciation - Property Summary (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018USD ($)store | Dec. 31, 2017USD ($) | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 882 | |
Debt | $ 2,872,978 | |
Land Initial Cost | 1,837,166 | |
Building and Improvements Initial Cost | 6,273,080 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 644,023 | |
Gross carrying amount - Land | 1,832,492 | |
Gross carrying amount - Building and improvements | 6,921,777 | |
Gross carrying amount - Total | 8,754,269 | |
Accumulated Depreciation | 1,262,438 | $ 1,060,060 |
AL | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 6,928 | |
AZ | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 20,509 | |
CA | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 227,969 | |
CO | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 16,942 | |
CT | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 8,279 | |
FL | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 115,603 | |
GA | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 48,711 | |
HI | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 21,756 | |
IL | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 35,630 | |
IN | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 9,767 | |
KS | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 997 | |
KY | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 9,813 | |
LA | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 3,919 | |
MA | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 71,855 | |
MD | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 61,719 | |
MI | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 4,206 | |
MN | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 1,348 | |
MO | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 6,752 | |
MS | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 1,983 | |
NC | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 8,128 | |
NH | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 2,225 | |
NJ | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 113,188 | |
NM | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 7,175 | |
NV | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 8,114 | |
NY | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 52,400 | |
OH | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | 11,500 | |
OR | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Accumulated Depreciation | $ 6,389 | |
Self Storage Facility | AL | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 8 | |
Debt | $ 30,215 | |
Land Initial Cost | 7,690 | |
Building and Improvements Initial Cost | 42,770 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 3,156 | |
Gross carrying amount - Land | 7,691 | |
Gross carrying amount - Building and improvements | 45,925 | |
Gross carrying amount - Total | $ 53,616 | |
Self Storage Facility | AZ | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 23 | |
Debt | $ 39,974 | |
Land Initial Cost | 27,535 | |
Building and Improvements Initial Cost | 117,304 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 8,680 | |
Gross carrying amount - Land | 27,533 | |
Gross carrying amount - Building and improvements | 125,986 | |
Gross carrying amount - Total | $ 153,519 | |
Self Storage Facility | CA | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 146 | |
Debt | $ 699,982 | |
Land Initial Cost | 446,176 | |
Building and Improvements Initial Cost | 1,069,102 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 91,467 | |
Gross carrying amount - Land | 446,863 | |
Gross carrying amount - Building and improvements | 1,159,882 | |
Gross carrying amount - Total | $ 1,606,745 | |
Self Storage Facility | CO | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 15 | |
Debt | $ 39,092 | |
Land Initial Cost | 15,700 | |
Building and Improvements Initial Cost | 62,816 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 14,186 | |
Gross carrying amount - Land | 15,887 | |
Gross carrying amount - Building and improvements | 76,815 | |
Gross carrying amount - Total | $ 92,702 | |
Self Storage Facility | CT | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 7 | |
Debt | $ 23,869 | |
Land Initial Cost | 9,875 | |
Building and Improvements Initial Cost | 50,966 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 3,861 | |
Gross carrying amount - Land | 9,874 | |
Gross carrying amount - Building and improvements | 54,828 | |
Gross carrying amount - Total | $ 64,702 | |
Self Storage Facility | FL | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 86 | |
Debt | $ 331,556 | |
Land Initial Cost | 161,109 | |
Building and Improvements Initial Cost | 579,419 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 45,736 | |
Gross carrying amount - Land | 161,573 | |
Gross carrying amount - Building and improvements | 624,691 | |
Gross carrying amount - Total | $ 786,264 | |
Self Storage Facility | GA | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 59 | |
Debt | $ 104,806 | |
Land Initial Cost | 77,306 | |
Building and Improvements Initial Cost | 372,157 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 22,117 | |
Gross carrying amount - Land | 77,290 | |
Gross carrying amount - Building and improvements | 394,290 | |
Gross carrying amount - Total | $ 471,580 | |
Self Storage Facility | HI | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 9 | |
Debt | $ 39,644 | |
Land Initial Cost | 17,663 | |
Building and Improvements Initial Cost | 133,870 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 5,094 | |
Gross carrying amount - Land | 17,663 | |
Gross carrying amount - Building and improvements | 138,964 | |
Gross carrying amount - Total | $ 156,627 | |
Self Storage Facility | IL | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 31 | |
Debt | $ 58,189 | |
Land Initial Cost | 44,427 | |
Building and Improvements Initial Cost | 225,423 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 21,944 | |
Gross carrying amount - Land | 43,449 | |
Gross carrying amount - Building and improvements | 248,345 | |
Gross carrying amount - Total | $ 291,794 | |
Self Storage Facility | IN | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 15 | |
Debt | $ 11,149 | |
Land Initial Cost | 12,447 | |
Building and Improvements Initial Cost | 58,247 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 5,118 | |
Gross carrying amount - Land | 12,447 | |
Gross carrying amount - Building and improvements | 63,365 | |
Gross carrying amount - Total | $ 75,812 | |
Self Storage Facility | KS | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 1 | |
Debt | $ 0 | |
Land Initial Cost | 366 | |
Building and Improvements Initial Cost | 1,897 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 529 | |
Gross carrying amount - Land | 366 | |
Gross carrying amount - Building and improvements | 2,426 | |
Gross carrying amount - Total | $ 2,792 | |
Self Storage Facility | KY | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 11 | |
Debt | $ 34,817 | |
Land Initial Cost | 8,640 | |
Building and Improvements Initial Cost | 68,679 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 4,558 | |
Gross carrying amount - Land | 8,640 | |
Gross carrying amount - Building and improvements | 73,237 | |
Gross carrying amount - Total | $ 81,877 | |
Self Storage Facility | LA | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 2 | |
Debt | $ 0 | |
Land Initial Cost | 6,114 | |
Building and Improvements Initial Cost | 8,541 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 1,297 | |
Gross carrying amount - Land | 6,115 | |
Gross carrying amount - Building and improvements | 9,837 | |
Gross carrying amount - Total | $ 15,952 | |
Self Storage Facility | MA | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 45 | |
Debt | $ 126,966 | |
Land Initial Cost | 72,445 | |
Building and Improvements Initial Cost | 254,383 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 36,722 | |
Gross carrying amount - Land | 72,626 | |
Gross carrying amount - Building and improvements | 290,924 | |
Gross carrying amount - Total | $ 363,550 | |
Self Storage Facility | MD | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 32 | |
Debt | $ 140,841 | |
Land Initial Cost | 99,147 | |
Building and Improvements Initial Cost | 284,253 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 14,408 | |
Gross carrying amount - Land | 97,180 | |
Gross carrying amount - Building and improvements | 300,628 | |
Gross carrying amount - Total | $ 397,808 | |
Self Storage Facility | MI | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 7 | |
Debt | $ 8,639 | |
Land Initial Cost | 9,583 | |
Building and Improvements Initial Cost | 51,359 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 2,025 | |
Gross carrying amount - Land | 9,583 | |
Gross carrying amount - Building and improvements | 53,384 | |
Gross carrying amount - Total | $ 62,967 | |
Self Storage Facility | MN | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 4 | |
Debt | $ 0 | |
Land Initial Cost | 6,681 | |
Building and Improvements Initial Cost | 42,252 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 277 | |
Gross carrying amount - Land | 6,681 | |
Gross carrying amount - Building and improvements | 42,529 | |
Gross carrying amount - Total | $ 49,210 | |
Self Storage Facility | MO | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 5 | |
Debt | $ 5,981 | |
Land Initial Cost | 4,129 | |
Building and Improvements Initial Cost | 15,444 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 3,510 | |
Gross carrying amount - Land | 4,086 | |
Gross carrying amount - Building and improvements | 18,997 | |
Gross carrying amount - Total | $ 23,083 | |
Self Storage Facility | MS | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 3 | |
Debt | $ 0 | |
Land Initial Cost | 2,420 | |
Building and Improvements Initial Cost | 20,849 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 1,403 | |
Gross carrying amount - Land | 2,420 | |
Gross carrying amount - Building and improvements | 22,252 | |
Gross carrying amount - Total | $ 24,672 | |
Self Storage Facility | NC | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 18 | |
Debt | $ 33,835 | |
Land Initial Cost | 31,969 | |
Building and Improvements Initial Cost | 104,104 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 3,769 | |
Gross carrying amount - Land | 31,967 | |
Gross carrying amount - Building and improvements | 107,875 | |
Gross carrying amount - Total | $ 139,842 | |
Self Storage Facility | NH | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 2 | |
Debt | $ 6,024 | |
Land Initial Cost | 754 | |
Building and Improvements Initial Cost | 4,054 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 1,108 | |
Gross carrying amount - Land | 817 | |
Gross carrying amount - Building and improvements | 5,099 | |
Gross carrying amount - Total | $ 5,916 | |
Self Storage Facility | NJ | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 59 | |
Debt | $ 201,091 | |
Land Initial Cost | 134,032 | |
Building and Improvements Initial Cost | 560,512 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 34,227 | |
Gross carrying amount - Land | 134,479 | |
Gross carrying amount - Building and improvements | 594,292 | |
Gross carrying amount - Total | $ 728,771 | |
Self Storage Facility | NM | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 11 | |
Debt | $ 22,055 | |
Land Initial Cost | 32,252 | |
Building and Improvements Initial Cost | 71,142 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 4,177 | |
Gross carrying amount - Land | 32,252 | |
Gross carrying amount - Building and improvements | 75,319 | |
Gross carrying amount - Total | $ 107,571 | |
Self Storage Facility | NV | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 14 | |
Debt | $ 35,797 | |
Land Initial Cost | 15,252 | |
Building and Improvements Initial Cost | 74,376 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 4,081 | |
Gross carrying amount - Land | 15,252 | |
Gross carrying amount - Building and improvements | 78,457 | |
Gross carrying amount - Total | $ 93,709 | |
Self Storage Facility | NY | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 23 | |
Debt | $ 97,930 | |
Land Initial Cost | 122,835 | |
Building and Improvements Initial Cost | 240,816 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 29,767 | |
Gross carrying amount - Land | 123,570 | |
Gross carrying amount - Building and improvements | 269,848 | |
Gross carrying amount - Total | $ 393,418 | |
Self Storage Facility | OH | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 17 | |
Debt | $ 43,789 | |
Land Initial Cost | 17,788 | |
Building and Improvements Initial Cost | 50,493 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 5,983 | |
Gross carrying amount - Land | 17,787 | |
Gross carrying amount - Building and improvements | 56,477 | |
Gross carrying amount - Total | $ 74,264 | |
Self Storage Facility | OR | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 6 | |
Debt | $ 30,885 | |
Land Initial Cost | 7,906 | |
Building and Improvements Initial Cost | 39,576 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 1,414 | |
Gross carrying amount - Land | 7,906 | |
Gross carrying amount - Building and improvements | 40,990 | |
Gross carrying amount - Total | $ 48,896 | |
Self Storage Facility | PA | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 17 | |
Debt | $ 34,544 | |
Land Initial Cost | 23,376 | |
Building and Improvements Initial Cost | 132,317 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 9,331 | |
Gross carrying amount - Land | 22,668 | |
Gross carrying amount - Building and improvements | 142,356 | |
Gross carrying amount - Total | 165,024 | |
Accumulated Depreciation | $ 19,949 | |
Self Storage Facility | RI | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 2 | |
Debt | $ 10,327 | |
Land Initial Cost | 3,191 | |
Building and Improvements Initial Cost | 6,926 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 1,176 | |
Gross carrying amount - Land | 3,191 | |
Gross carrying amount - Building and improvements | 8,102 | |
Gross carrying amount - Total | 11,293 | |
Accumulated Depreciation | $ 2,676 | |
Self Storage Facility | SC | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 23 | |
Debt | $ 44,560 | |
Land Initial Cost | 37,075 | |
Building and Improvements Initial Cost | 135,760 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 8,834 | |
Gross carrying amount - Land | 37,076 | |
Gross carrying amount - Building and improvements | 144,593 | |
Gross carrying amount - Total | 181,669 | |
Accumulated Depreciation | $ 18,349 | |
Self Storage Facility | TN | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 17 | |
Debt | $ 49,475 | |
Land Initial Cost | 25,938 | |
Building and Improvements Initial Cost | 91,497 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 7,321 | |
Gross carrying amount - Land | 25,938 | |
Gross carrying amount - Building and improvements | 98,818 | |
Gross carrying amount - Total | 124,756 | |
Accumulated Depreciation | $ 15,043 | |
Self Storage Facility | TX | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 99 | |
Debt | $ 279,717 | |
Land Initial Cost | 169,160 | |
Building and Improvements Initial Cost | 648,128 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 52,440 | |
Gross carrying amount - Land | 169,012 | |
Gross carrying amount - Building and improvements | 700,716 | |
Gross carrying amount - Total | 869,728 | |
Accumulated Depreciation | $ 91,986 | |
Self Storage Facility | UT | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 10 | |
Debt | $ 16,625 | |
Land Initial Cost | 9,008 | |
Building and Improvements Initial Cost | 39,295 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 10,044 | |
Gross carrying amount - Land | 9,008 | |
Gross carrying amount - Building and improvements | 49,339 | |
Gross carrying amount - Total | 58,347 | |
Accumulated Depreciation | $ 8,925 | |
Self Storage Facility | VA | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 46 | |
Debt | $ 228,363 | |
Land Initial Cost | 139,318 | |
Building and Improvements Initial Cost | 414,335 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 16,668 | |
Gross carrying amount - Land | 139,319 | |
Gross carrying amount - Building and improvements | 431,002 | |
Gross carrying amount - Total | 570,321 | |
Accumulated Depreciation | $ 56,712 | |
Self Storage Facility | DC | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 8 | |
Debt | $ 33,203 | |
Land Initial Cost | 12,528 | |
Building and Improvements Initial Cost | 47,645 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 2,349 | |
Gross carrying amount - Land | 12,530 | |
Gross carrying amount - Building and improvements | 49,992 | |
Gross carrying amount - Total | 62,522 | |
Accumulated Depreciation | $ 9,965 | |
Self Storage Facility | DC | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Store Count | store | 1 | |
Debt | $ 9,038 | |
Land Initial Cost | 14,394 | |
Building and Improvements Initial Cost | 18,172 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 356 | |
Gross carrying amount - Land | 14,394 | |
Gross carrying amount - Building and improvements | 18,528 | |
Gross carrying amount - Total | 32,922 | |
Accumulated Depreciation | 1,311 | |
Other Corporate Assets | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Debt | 0 | |
Land Initial Cost | 0 | |
Building and Improvements Initial Cost | 2,202 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 116,855 | |
Gross carrying amount - Land | 0 | |
Gross carrying amount - Building and improvements | 119,057 | |
Gross carrying amount - Total | 119,057 | |
Accumulated Depreciation | 32,473 | |
Intangible tenant relationships and lease rights | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Debt | 0 | |
Land Initial Cost | 0 | |
Building and Improvements Initial Cost | 132,000 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 0 | |
Gross carrying amount - Land | 0 | |
Gross carrying amount - Building and improvements | 132,000 | |
Gross carrying amount - Total | 132,000 | |
Accumulated Depreciation | 121,238 | |
Construction in Progress/Undeveloped Land | ||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items] | ||
Debt | 0 | |
Land Initial Cost | 10,937 | |
Building and Improvements Initial Cost | 0 | |
Adjustments and Costs to Land and Building Subsequent to Acquisition | 48,034 | |
Gross carrying amount - Land | 7,359 | |
Gross carrying amount - Building and improvements | 51,612 | |
Gross carrying amount - Total | 58,971 | |
Accumulated Depreciation | $ 6 |
Schedule III - Real Estate an_3
Schedule III - Real Estate and Accumulated Depreciation - Activity in Real Estate Facilities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Real estate, gross: | |||
Balance at end of year | $ 8,754,269 | ||
Accumulated depreciation: | |||
Balance at beginning of year | 1,060,060 | ||
Balance at end of year | 1,262,438 | $ 1,060,060 | |
Net real estate assets: | |||
Net real estate assets | 7,491,831 | 7,132,431 | $ 6,770,447 |
Aggregate cost of real estate for U.S. federal income tax purposes | 7,306,350 | ||
Operating facilities | |||
Real estate, gross: | |||
Balance at beginning of year | 8,158,741 | 7,649,448 | 6,392,487 |
Acquisitions | 459,223 | 628,391 | 1,159,304 |
Improvements | 64,336 | 71,090 | 92,480 |
Transfers from construction in progress (to operating facilities) | 49,449 | 19,079 | 26,400 |
Dispositions and other | (22,434) | (209,267) | (21,223) |
Balance at end of year | 8,709,315 | 8,158,741 | 7,649,448 |
Accumulated depreciation: | |||
Balance at beginning of year | 1,060,060 | 900,861 | 728,087 |
Depreciation expense | 203,030 | 185,903 | 174,906 |
Dispositions and other | (652) | (26,704) | (2,132) |
Balance at end of year | 1,262,438 | 1,060,060 | 900,861 |
Real estate under development/redevelopment | |||
Real estate, gross: | |||
Balance at beginning of year | 33,750 | 21,860 | 24,909 |
Current development | 60,677 | 33,484 | 23,404 |
Transfers from construction in progress (to operating facilities) | (49,449) | (19,079) | (26,400) |
Dispositions and other | (24) | (2,515) | (53) |
Balance at end of year | $ 44,954 | $ 33,750 | $ 21,860 |