CubeSmart 10-Q 29 Apr 16 2016 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2016	Apr. 27, 2016
Document and Entity Information
Entity Registrant Name	CubeSmart
Entity Central Index Key	1,298,675
Document Type	10-Q
Document Period End Date	Mar. 31, 2016
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		177,522,870
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
ASSETS
Storage facilities	$ 3,679,665	$ 3,467,032
Less: Accumulated depreciation	(622,824)	(594,049)
Storage facilities, net (including VIE assets of $169,141 and $136,274, respectively)	3,056,841	2,872,983
Cash and cash equivalents	2,754	62,869
Restricted cash	2,652	24,600
Loan procurement costs, net of amortization	2,637	2,800
Investment in real estate venture, at equity	100,477	97,281
Other assets, net	41,326	43,631
Total assets	3,206,687	3,104,164
LIABILITIES AND EQUITY
Unsecured senior notes, net	742,153	741,904
Revolving credit facility	54,300
Unsecured term loans, net	398,325	398,183
Mortgage loans and notes payable, net	101,716	111,455
Accounts payable, accrued expenses and other liabilities	96,245	85,034
Distributions payable	39,210	38,685
Deferred revenue	18,673	17,519
Security deposits	397	403
Total liabilities	1,451,019	1,393,183
Noncontrolling interests in the Operating Partnership	$ 71,916	$ 66,128
Commitments and contingencies
Equity
7.75% Series A Preferred shares $.01 par value, 3,220,000 shares authorized, 3,100,000 shares issued and outstanding at March 31, 2016 and December 31, 2015, respectively	$ 31	$ 31
Common shares $.01 par value, 400,000,000 shares authorized, 177,126,709 and 174,667,870 shares issued and outstanding at March 31, 2016 and December 31, 2015, respectively	1,771	1,747
Additional paid in capital	2,299,527	2,231,181
Accumulated other comprehensive loss	(5,302)	(4,978)
Accumulated deficit	(613,734)	(584,654)
Total CubeSmart shareholders' equity	1,682,293	1,643,327
Noncontrolling interests in subsidiaries	1,459	1,526
Total equity	1,683,752	1,644,853
Total liabilities and equity	$ 3,206,687	$ 3,104,164

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2016	Dec. 31, 2015
Storage facilities, net	$ 3,056,841	$ 2,872,983
Series A Preferred shares, percentage	7.75%	7.75%
Series A Preferred shares, par value (in dollars per share)	$ 0.01	$ 0.01
Series A Preferred shares, shares authorized	3,220,000	3,220,000
Series A Preferred shares, shares issued	3,100,000	3,100,000
Series A Preferred shares, shares outstanding	3,100,000	3,100,000
Common shares, par value (in dollars per share)	$ 0.01	$ 0.01
Common shares, shares authorized	400,000,000	400,000,000
Common shares, shares issued	177,126,709	174,667,870
Common shares, shares outstanding	177,126,709	174,667,870
VIE
Storage facilities, net	$ 169,141	$ 136,274

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
REVENUES
Rental income	$ 104,997	$ 91,556
Other property related income	11,763	10,543
Property management fee income	2,111	1,589
Total revenues	118,871	103,688
OPERATING EXPENSES
Property operating expenses	40,219	37,431
Depreciation and amortization	39,356	37,895
General and administrative	8,228	7,173
Acquisition related costs	2,342	510
Total operating expenses	90,145	83,009
OPERATING INCOME	28,726	20,679
Interest:
Interest expense on loans	(12,084)	(11,057)
Loan procurement amortization expense	(605)	(546)
Equity in losses of real estate ventures	(512)	(238)
Other	330	(316)
Total other expense	(12,871)	(12,157)
NET INCOME	15,855	8,522
NET (INCOME) LOSS ATTRIBUTABLE TO NONCONTROLLING INTERESTS
Noncontrolling interests in the Operating Partnership	(172)	(91)
Noncontrolling interest in subsidiaries	67	3
NET INCOME ATTRIBUTABLE TO THE COMPANY	15,750	8,434
Distribution to preferred shareholders	(1,502)	(1,502)
NET INCOME ATTRIBUTABLE TO THE COMPANY'S COMMON SHAREHOLDERS	$ 14,248	$ 6,932
Basic earnings per share attributable to common shareholders (in dollars per share)	$ 0.08	$ 0.04
Diluted earnings per share attributable to common shareholders (in dollars per share)	$ 0.08	$ 0.04
Weighted-average basic shares outstanding (in shares)	175,798	165,502
Weighted-average diluted shares outstanding (in shares)	177,261	167,165

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
NET INCOME	$ 15,855	$ 8,522
Other comprehensive (loss) income:
Unrealized losses on interest rate swaps	(1,654)	(2,329)
Reclassification of realized losses on interest rate swaps	1,326	1,565
Unrealized loss on foreign currency translation		(337)
OTHER COMPREHENSIVE LOSS	(328)	(1,101)
COMPREHENSIVE INCOME	15,527	7,421
Comprehensive income attributable to noncontrolling interests in the Operating Partnership	(168)	(76)
Comprehensive loss attributable to noncontrolling interests in subsidiaries	67	13
COMPREHENSIVE INCOME ATTRIBUTABLE TO THE COMPANY	$ 15,426	$ 7,358

CONSOLIDATED STATEMENTS OF EQUI

CONSOLIDATED STATEMENTS OF EQUITY - USD ($) shares in Thousands, $ in Thousands	Total Shareholders' Equity	Common Shares	Preferred Shares	Additional Paid-in Capital	Accumulated Other Comprehensive (Loss) Income	Accumulated Deficit	Noncontrolling Interest in Subsidiaries	Noncontrolling Interests in Operating Partnership	Total
Balance at Dec. 31, 2014	$ 1,448,026	$ 1,639	$ 31	$ 1,974,308	$ (8,759)	$ (519,193)	$ 1,592		$ 1,449,618
Balance (in shares) at Dec. 31, 2014		163,957	3,100
Balance of Noncontrolling Interests in the Operating Partnership at Dec. 31, 2014								$ 49,823
Increase (Decrease) in Stockholders' Equity
Contributions from noncontrolling interests in subsidiaries							178		178
Issuance of common shares, net	29,441	$ 12		29,429					29,441
Issuance of common shares, net (in shares)		1,210
Issuance of restricted shares	1	$ 1							1
Issuance of restricted shares (in shares)		126
Conversion from units to shares	74			74				(74)	74
Conversion from units to shares (in shares)		3
Exercise of stock options	8,438	$ 9		8,429					8,438
Exercise of stock options (in shares)		855
Amortization of restricted shares	(789)			(789)					(789)
Share compensation expense	244			244					244
Adjustment for noncontrolling interest in the Operating Partnership	(4,982)					(4,982)		4,982	(4,982)
Net income (loss)	8,434					8,434	(3)		8,431
Net income (loss)								91
Other comprehensive income (loss), net	(1,076)				(1,076)		(10)		(1,086)
Other comprehensive income (loss), net								(15)
Preferred share distributions	(1,502)					(1,502)			(1,502)
Common share distributions	(26,617)					(26,617)		(361)	(26,617)
Balance at Mar. 31, 2015	1,459,692	$ 1,661	$ 31	2,011,695	(9,835)	(543,860)	1,757		1,461,449
Balance (in shares) at Mar. 31, 2015		166,151	3,100
Balance of Noncontrolling Interests in the Operating Partnership at Mar. 31, 2015								54,446
Balance at Dec. 31, 2014	1,448,026	$ 1,639	$ 31	1,974,308	(8,759)	(519,193)	1,592		1,449,618
Balance (in shares) at Dec. 31, 2014		163,957	3,100
Balance of Noncontrolling Interests in the Operating Partnership at Dec. 31, 2014								49,823
Balance at Dec. 31, 2015	1,643,327	$ 1,747	$ 31	2,231,181	(4,978)	(584,654)	1,526		1,644,853
Balance (in shares) at Dec. 31, 2015		174,668	3,100
Balance of Noncontrolling Interests in the Operating Partnership at Dec. 31, 2015								66,128	66,128
Increase (Decrease) in Stockholders' Equity
Issuance of common shares, net	62,890	$ 20		62,870					62,890
Issuance of common shares, net (in shares)		2,023
Issuance of restricted shares	1	$ 1							1
Issuance of restricted shares (in shares)		106
Exercise of stock options	5,887	$ 3		5,884					5,887
Exercise of stock options (in shares)		330
Amortization of restricted shares	(712)			(712)					(712)
Share compensation expense	304			304					304
Adjustment for noncontrolling interest in the Operating Partnership	(6,073)					(6,073)		6,073	(6,073)
Net income (loss)	15,750					15,750	(67)		15,683
Net income (loss)								172
Other comprehensive income (loss), net	(324)				(324)				(324)
Other comprehensive income (loss), net								(4)
Preferred share distributions	(1,502)					(1,502)			(1,502)
Common share distributions	(37,255)					(37,255)		(453)	(37,255)
Balance at Mar. 31, 2016	$ 1,682,293	$ 1,771	$ 31	$ 2,299,527	$ (5,302)	$ (613,734)	$ 1,459		1,683,752
Balance (in shares) at Mar. 31, 2016		177,127	3,100
Balance of Noncontrolling Interests in the Operating Partnership at Mar. 31, 2016								$ 71,916	$ 71,916

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Operating Activities
Net income	$ 15,855	$ 8,522
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation and amortization	39,961	38,441
Equity in losses of real estate ventures	512	238
Equity compensation expense	(408)	(545)
Accretion of fair market value adjustment of debt	(236)	(395)
Changes in other operating accounts:
Restricted cash	(233)	(288)
Other assets	808	136
Accounts payable and accrued expenses	5,013	(3,399)
Other liabilities	661	715
Net cash provided by operating activities	61,933	43,425
Investing Activities
Acquisitions of storage facilities	(158,457)	(41,347)
Additions and improvements to storage facilities	(6,609)	(4,948)
Development costs	(28,273)	(9,155)
Investment in real estate venture, at equity	(5,498)
Change in restricted cash	162	(31)
Cash distributed from real estate venture	1,791	1,553
Net cash used in investing activities	(196,884)	(53,928)
Proceeds from:
Revolving credit facility	301,300	161,900
Principal payments on:
Revolving credit facility	(247,000)	(159,900)
Mortgage loans and notes payable	(9,556)	(1,283)
Loan procurement costs		(19)
Proceeds from issuance of common shares, net	62,891	29,442
Exercise of stock options	5,887	8,438
Contributions from noncontrolling interests in subsidiaries		178
Distributions paid to common shareholders	(36,730)	(26,274)
Distributions paid to preferred shareholders	(1,502)	(1,502)
Distributions paid to noncontrolling interests in Operating Partnership	(454)	(361)
Net cash provided by financing activities	74,836	10,619
Change in cash and cash equivalents	(60,115)	116
Cash and cash equivalents at beginning of period	62,869	2,901
Cash and cash equivalents at end of period	2,754	3,017
Supplemental Cash Flow and Noncash Information
Cash paid for interest, net of interest capitalized	10,756	12,115
Supplemental disclosure of noncash activities:
Restricted cash - acquisition of storage facilities	(22,019)
Accretion of liability	7,886	3,619
Derivative valuation adjustment	$ (328)	(764)
Foreign currency translation adjustment		(337)
Mortgage loan assumption - acquisitions of storage facilities		$ 2,695

ORGANIZATION AND NATURE OF OPER

ORGANIZATION AND NATURE OF OPERATIONS	3 Months Ended
	Mar. 31, 2016
ORGANIZATION AND NATURE OF OPERATIONS
ORGANIZATION AND NATURE OF OPERATIONS	1. ORGANIZATION AND NATURE OF OPERATIONS CubeSmart (the “Parent Company”) operates as a self-managed and self-administered real estate investment trust (“REIT”) with its operations conducted solely through CubeSmart, L.P. and its subsidiaries. CubeSmart, L.P., a Delaware limited partnership (the “Operating Partnership”), operates through an umbrella partnership structure, with the Parent Company, a Maryland REIT, as its sole general partner. In the notes to the consolidated financial statements, we use the terms “the Company”, “we” or “our” to refer to the Parent Company and the Operating Partnership together, unless the context indicates otherwise. As of March 31, 2016 , the Company owned self-storage facilities located in 22 states throughout the United States and the District of Columbia which are presented under one reportable segment: the Company owns, operates, develops, manages and acquires self-storage facilities. As of March 31, 2016 , the Parent Company owned approximately 98.8% of the partnership interests (“OP Units”) of the Operating Partnership. The remaining OP Units, consisting exclusively of limited partner interests, are held by persons who contributed their interests in facilities to the Operating Partnership in exchange for OP Units. Under the partnership agreement, these persons have the right to tender their OP Units for redemption to the Operating Partnership at any time for cash equal to the fair value of an equivalent number of common shares of the Parent Company. In lieu of delivering cash, however, the Parent Company, as the Operating Partnership’s general partner, may, at its option, choose to acquire any OP Units so tendered by issuing common shares in exchange for the tendered OP Units. If the Parent Company so chooses, its common shares will be exchanged for OP Units on a one -for-one basis. This one-for-one exchange ratio is subject to adjustment to prevent dilution. With each such exchange or redemption, the Parent Company’s percentage ownership in the Operating Partnership will increase. In addition, whenever the Parent Company issues common or other classes of its shares, it contributes the net proceeds it receives from the issuance to the Operating Partnership and the Operating Partnership issues to the Parent Company an equal number of OP Units or other partnership interests having preferences and rights that mirror the preferences and rights of the shares issued. This structure is commonly referred to as an umbrella partnership REIT or “UPREIT”.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Mar. 31, 2016
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared pursuant to the rules and regulations of the SEC regarding interim financial reporting and, in the opinion of each of the Parent Company’s and Operating Partnership’s respective management, include all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of financial position, results of operations and cash flows for each respective company for the interim periods presented in accordance with generally accepted accounting principles in the United States (“GAAP”). Accordingly, readers of this Quarterly Report on Form 10-Q should refer to the Parent Company’s and the Operating Partnership’s audited financial statements prepared in accordance with GAAP, and the related notes thereto, for the year ended December 31, 2015 , which are included in the Parent Company’s and the Operating Partnership’s Annual Report on Form 10-K for the fiscal year ended December 31, 2015 . The results of operations for the three months ended March 31, 2016 and 2015 are not necessarily indicative of the results of operations to be expected for any future period or the full year. T he Company adopted Accounting Standard Update (“ASU“) No. 2015-02, Consolidation – Amendments to the Consolidation Analysis, as of January 1, 2016. The Company evaluated the application of this guidance and concluded that there were no changes to any previous conclusions with respect to consolidation accounting for any of its interests in less than wholly owned joint ventures. However, the Operating Partnership now meets the criteria as a variable interest entity. The Parent Company’s sole significant asset is its investment in the Operating Partnership. As a result, substantially all of the Parent Company’s assets and liabilities represent those assets and liabilities of the Operating Partnership. All of the Parent Company’s debt is an obligation of the Operating Partnership. Reclassifications Certain amounts from the prior year have been reclassified to conform to the current year presentation as described below. During the first quarter of 2016, the Company adopted ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs, which requires the Company to reclassify debt financing costs, which were previously included in loan procurement costs, net of amortization on the Company’s consolidated balance sheets, and present them as a direct deduction from the carrying amount of the related debt liability. Net costs of $10.7 million have been reclassified in the December 31, 2015 consolidated balance sheets from the loan procurement costs line and netted against the related debt liability. See Recent Accounting Pronouncements below for revisions to the accounting guidance for debt issuance costs. Recent Accounting Pronouncements In March 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting, which is intended to simplify various aspects related to how share-based payments are accounted for and presented in the financial statements. The new guidance allows for entities to make an entity-wide accounting policy election to either estimate the number of awards that are expected to vest or account for forfeitures when they occur. In addition, the guidance allows employers to withhold shares to satisfy minimum statutory tax withholding requirements up to the employees’ maximum individual tax rate without causing the award to be classified as a liability. The guidance also stipulates that cash paid by an employer to a taxing authority when directly withholding shares for tax-withholding purposes should be classified as a financing activity on the statement of cash flows. The standard is effective on January 1, 2017, however early adoption is permitted. The Company is in the process of evaluating the impact of this new guidance. In February 2016, the FASB issued ASU No. 2016-02 - Leases (Topic 842), which sets out the principles for the recognition, measurement, presentation and disclosure of leases for both parties to a contract (i.e. lessees and lessors). The new standard requires lessees to apply a dual approach, classifying leases as either financing or operating leases based on the principle of whether or not the lease is effectively a financed purchase by the lessee. This classification will determine whether lease expense is recognized based on an effective interest method or on a straight line basis over the term of the lease, respectively. A lessee is also required to record a right-of-use asset and a lease liability for all leases with a term of greater than 12 months regardless of their classification. Leases with a term of 12 months or less will be accounted for similar to existing guidance for operating leases today. The new standard requires lessors to account for leases using an approach that is substantially equivalent to existing guidance for sales-type leases, direct financing leases and operating leases. The standard is effective on January 1, 2019, however early adoption is permitted. The Company is in the process of evaluating the impact of this new guidance. In September 2015, the FASB issued ASU No. 2015-16, Simplifying the Accounting for Measurement-Period Adjustments, which amends the current business combination guidance to require that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined, as opposed to having to revise prior period information. The standard also requires additional disclosure about the impact on current-period income statement line items of adjustments that would have been recognized in prior periods if prior period information had been revised. The new standard became effective for the Company on January 1, 2016. The adoption of this guidance did not have a material impact on the Company’s consolidated financial position or results of operations as there have been no measurement-period adjustments recorded. In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs, an update to the accounting standard relating to the presentation of debt issuance costs. Under the new guidance, debt issuance costs related to a recognized debt liability will be presented on the balance sheet as a direct deduction from the debt liability. In the event that there is not an associated debt liability recorded in the consolidated financial statements, the debt issuance costs will continue to be recorded on the consolidated balance sheet as an asset until the debt liability is recorded. The new standard became effective for the Company on January 1, 2016. The adoption of this guidance did not have a material impact on the Company’s consolidated financial position or results of operations as the update only related to changes in financial statement presentation. In February 2015, the FASB issued ASU No. 2015-02, Consolidation – Amendments to the Consolidation Analysis, which amends the current consolidation guidance affecting both the variable interest entity (“VIE”) and voting interest entity (“VOE”) consolidation models. The standard does not add or remove any of the characteristics in determining if an entity is a VIE or VOE, but rather enhances the way the Company assesses some of these characteristics. The new standard became effective for the Company on January 1, 2016. As discussed under Basis of Presentation above, the adoption of this guidance did not have a material impact on the Company’s consolidated financial position or results of operations as none of its existing consolidation conclusions were changed. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance under GAAP when it becomes effective. The new standard will be effective for the Company beginning on January 1, 2018, however early application beginning on January 1, 2017 is permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company has not yet selected a transition method nor has it determined the effect of the standard on its financial statements and related disclosures.

STORAGE FACILITIES

STORAGE FACILITIES	3 Months Ended
	Mar. 31, 2016
STORAGE FACILITIES
STORAGE FACILITIES	3. STORAGE FACILITIES The book value of the Company’s real estate assets is summarized as follows: March 31, December 31, 2016 2015 (in thousands) Land $ $ Buildings and improvements Equipment Construction in progress Storage facilities Less Accumulated depreciation Storage facilities, net $ $ The following table summarizes the Company’s acquisition and disposition activity from the period beginning on January 1, 2015 through March 31, 2016: Number of Purchase / Sale Price Asset/Portfolio Market Transaction Date Facilities (in thousands) 2016 Acquisitions: Metro DC Asset Baltimore / DC January 2016 1 $ Texas Assets Texas Markets - Major January 2016 2 New York Asset New York / Northern NJ January 2016 1 Texas Asset Texas Markets - Major January 2016 1 Connecticut Asset Connecticut February 2016 1 Texas Asset Texas Markets - Major March 2016 1 Florida Assets Florida Markets - Other March 2016 3 10 $ 2015 Acquisitions: Texas Asset Texas Markets - Major February 2015 1 $ HSRE Assets Chicago March 2015 4 Arizona Asset Arizona / Las Vegas March 2015 1 Tennessee Asset Tennessee March 2015 1 Texas Asset Texas Markets - Major April 2015 1 Florida Asset Florida Markets - Other May 2015 1 Arizona Asset Arizona / Las Vegas June 2015 1 Florida Asset Florida Markets - Other June 2015 1 Texas Asset Texas Markets - Major July 2015 1 Maryland Asset Baltimore / DC July 2015 1 Maryland Asset Baltimore / DC July 2015 1 New York/New Jersey Assets New York / Northern NJ August 2015 2 New Jersey Asset New York / Northern NJ December 2015 1 PSI Assets Various (see note 4) December 2015 12 29 $ 2015 Dispositions: Texas Assets Texas Markets - Major October 2015 7 $ Florida Asset Florida Markets - Other October 2015 1 8 $

INVESTMENT ACTIVITY

INVESTMENT ACTIVITY	3 Months Ended
	Mar. 31, 2016
INVESTMENT ACTIVITY
INVESTMENT ACTIVITY	4. INVESTMENT ACTIVITY 2016 Acquisitions During the three months ended March 31, 2016, the Company acquired 10 self-storage facilities, including one facility upon completion of construction and the issuance of a certificate of occupancy, located throughout the United States for an aggregate purchase price of approximately $184.4 million. In connection with these acquisitions, the Company allocated a portion of the purchase price to the intangible value of in-place leases, which aggregated $7.6 million at the time of the acquisition and prior to any amortization of such amounts. The estimated life of these in-place leases was 12 months, and the amortization expense that was recognized during the three months ended March 31, 2016 was approximately $0.8 million. As final information regarding fair value of the assets acquired and liabilities assumed is received and estimates are refined, appropriate adjustments, if necessary, will be made to the purchase price allocation, in no case later than twelve months of the acquisition date. As of March 31, 2016, the Company was under contract and had made aggregate deposits of $1.7 million associated with five facilities under construction for a total purchase price of $64.2 million. In connection with one of the facilities, the Company provided a $4.1 million loan, which was repaid to the Company in full in December 2015 , for the purpose of acquiring the premises on which the facility will be built. The deposits are reflected in Other assets, net on the Company’s consolidated balance sheets. The purchase of these five facilities is expected to occur by the first quarter of 2017 after the completion of construction and the issuance of a certificate of occupancy. These acquisitions are subject to due diligence and other customary closing conditions and no assurance can be provided that these acquisitions will be completed on the terms described, or at all. 2015 Acquisitions On December 15, 2015, the Company acquired all of the issued and outstanding uncertificated shares of common stock of a privately held self-storage REIT (“PSI”) for $115.8 million. As of the date of the acquisition, PSI owned real property consisting of 12 fully operational self-storage facilities which were acquired for $109.8 million, and one self-storage facility that is under construction, which was acquired for $6.0 million (the “PSI Assets”). The PSI Assets are located in Arizona, Florida, Georgia, Massachusetts, New York, North Carolina, Tennessee, and Texas. In connection with this acquisition, the Company allocated a portion of the purchase price to the intangible value of in-place leases, which aggregated to $6.7 million at the time of the acquisition and prior to any amortization of such amounts. The estimated life of these in-place leases was 12 months, and the amortization expense that was recognized during the three months ended March 31, 2016 was approximately $1.7 million. During 2014, the Operating Partnership entered into an Agreement for Purchase and Sale with certain limited liability companies controlled by HSRE REIT I and HSRE REIT II, both Maryland real estate investment trusts, to acquire (the “HSRE Acquisition”) 26 self-storage facilities for an aggregate purchase price of $223.0 million plus customary closing costs. During 2014, the Company closed on the first tranche of 22 facilities comprising the HSRE Acquisition, for an aggregate purchase price of $195.5 million. On March 18, 2015, the Company closed on the second tranche of the remaining four self-storage facilities comprising the HSRE Acquisition, for an aggregate purchase price of $27.5 million. The four facilities purchased in the second tranche are located in Illinois. In connection with this acquisition, the Company allocated a portion of the purchase price to the intangible value of in-place leases, which aggregated to $2.7 million at the time of the acquisition and prior to any amortization of such amounts. The estimated life of these in-place leases was 12 months, and the amortization expense that was recognized during the three months ended March 31, 2016 was approximately $0.7 million . During the year ended December 31, 2015, the Company acquired 13 additional self-storage facilities, including one facility upon completion of construction and the issuance of a certificate of occupancy, located throughout the United States for an aggregate purchase price of approximately $155.0 million. In connection with these acquisitions, the Company allocated a portion of the purchase price to the tangible and intangible assets acquired based on fair value. Intangible assets consist of in-place leases, which aggregated $10.7 million at the time of the acquisitions and prior to any amortization of such amounts. The estimated life of these in-place leases was 12 months, and the amortization expense that was recognized during the three months ended March 31, 2016 was approximately $2.6 million. In connection with one of the acquired facilities, the Company assumed mortgage debt that was recorded at a fair value of $2.7 million, which fair value includes an outstanding principal balance totaling $2.5 million and a net premium of $0.2 million to reflect the estimated fair value of the debt at the time of assumption. 2015 Dispositions On October 8, 2015, the Company sold seven assets in Texas and one asset in Florida for an aggregate sales price of approximately $37.8 million. In connection with these sales, the Company recorded gains that totaled $14.4 million. The proceeds from these sales were held in escrow to fund future acquisitions under a tax free like kind exchange. As of March 31, 2016, the total net proceeds of $36.4 million had been applied to three separate acquisitions, of which one closed in December 2015 and two closed in January 2016. On October 2, 2015, USIFB, LLP (“USIFB”), a consolidated real estate joint venture in which the Company owned a 97% interest, sold its remaining asset in London, England, for an aggregate sales price of £6.5 million (approximately $9.9 million). In connection with the sale, the Company recorded a gain of $3.0 million net of a foreign currency translation loss of $1.2 million. Development As of March 31, 2016, the Company had four contracts through joint ventures for the construction of three self-storage facilities located in New York (see note 12) and one self-storage facility located in Washington, D.C. As part of the acquisition of the PSI Assets, the Company also acquired a self-storage facility that is under construction in North Palm Beach, FL. Construction for all projects is expected to be completed by the second quarter of 2018. As of March 31, 2016, development costs for these projects totaled $ 79.8 million. Total construction costs for these projects are expected to be $206.6 million. These costs are capitalized to construction in progress while the projects are under development and are reflected in Storage facilities on the Company’s consolidated balance sheets. During the first quarter of 2016, the Company, through a joint venture in which the Company owns a 51% interest, completed the construction, and opened for operation, a self-storage facility located in New York, NY. Total costs for this project were $31.8 million. These costs are capitalized to land, building, and improvements as well as equipment and are reflected in Storage facilities on the Company’s consolidated balance sheets. During the fourth quarter of 2015, the Company, through two separate joint ventures in which the Company owns a 90% interest in each, completed the construction of two self-storage facilities located in the boroughs of New York, NY and the facilities opened for operation. Total costs for these projects were $32.2 million in aggregate. These costs are capitalized to land, building, and improvements as well as equipment and are reflected in Storage facilities on the Company’s consolidated balance sheets. During the second quarter of 2015, the Company, through a joint venture in which the Company owns a 90% interest, completed the construction, and opened for operation, a self-storage facility located in Arlington, VA. Total costs for this project were $17.1 million. These costs are capitalized to land, building, and improvements as well as equipment and are reflected in Storage facilities on the Company’s consolidated balance sheets. The following table summarizes the Company’s revenue and earnings associated with the 2016 and 2015 acquisitions from the respective acquisition dates in the period they were acquired, included in the consolidated statements of operations for the three months ended March 31, 2016 and 2015 : Three Months Ended March 31, 2016 2015 (in thousands) Total revenue $ $ Net (loss) income

INVESTMENT IN UNCONSOLIDATED RE

INVESTMENT IN UNCONSOLIDATED REAL ESTATE VENTURE	3 Months Ended
	Mar. 31, 2016
INVESTMENT IN UNCONSOLIDATED REAL ESTATE VENTURE
INVESTMENT IN UNCONSOLIDATED REAL ESTATE VENTURE	5. INVESTMENT IN UNCONSOLIDATED REAL ESTATE VENTURE On December 8, 2015, the Company invested $8.4 million in exchange for a 10% ownership interest in a newly-formed joint venture (“HVP”) that acquired 30 self-storage facilities located in Michigan (16) , Massachusetts (6) , Tennessee (5) , and Florida (3) . On January 26, 2016, the Company invested $0.2 million related to HVP’s acquisition of another facility located in Michigan. HVP paid $199.4 million for these 31 facilities, of which $15.9 million was allocated to the value of the in-place lease intangible. The acquisitions were funded primarily through advances totaling $116.0 million on the venture’s $122.0 million loan facility. The remainder of the purchase price was contributed pro-rata by the Company and its unaffiliated joint venture partner. The loan bears interest at LIBOR plus 2.00% per annum and matures on December 7, 2018 with options to extend the maturity date through December 7, 2020, subject to satisfaction of certain conditions and payment of the extension fees as stipulated in the loan agreement. On March 30, 2016, the Company invested $5.3 million, bringing its total investment in HVP to $13.9 million, in conjunction with HVP’s acquisition of an additional 30 self-storage facilities. These facilities are located in North Carolina (4) , South Carolina (21) , and Georgia (5) , and were previously managed by the Company. HVP paid $112.8 million for these 30 facilities , of which $10.3 million was allocated to the value of the in-place lease intangible. In conjunction with the acquisition, HVP refinanced its existing loan facility by entering into an increased amended and restated loan facility not to exceed $185.5 million. The acquisition was funded primarily through an advance totaling $61.8 million on the venture’s amended and restated loan facility. The remainder of the purchase price was contributed pro-rata by the Company and its unaffiliated joint venture partner. The amended and restated loan facility bears interest at LIBOR plus 2.00% per annum. The initial maturity date was extended to March 30, 2019 with options to extend through March 30, 2021, subject to satisfaction of certain conditions and payment of the extension fees as stipulated in the amended and restated loan agreement. As of March 31, 2016, HVP is under contract to purchase an additional seven properties for an aggregate purchase price of approximately $45.8 million (see note 15). On December 10, 2013, the Company invested a 50% ownership interest in a newly-formed joint venture (“HHF”) that acquired 35 self-storage facilities located in Texas (34) and North Carolina (1) . HHF paid $315.7 million for these facilities, of which $12.1 million was allocated to the value of the in-place lease intangible. The Company and the unaffiliated joint venture partner, collectively the “HHF Partners”, each contributed cash equal to 50% of the capital required to fund the acquisition. On May 1, 2014, HHF obtained a $100.0 million loan secured by the 34 self-storage facilities located in Texas that are owned by the venture. There is no recourse to the Company, subject to customary exceptions to non-recourse provisions. The loan bears interest at 3.59% per annum and matures on April 30, 2021. This financing completed the planned capital structure of HHF and proceeds (net of closing costs) of $99.2 million were distributed proportionately to the partners. Based upon the facts and circumstances at formation of HVP and HHF, the Company determined that neither entity is a VIE in accordance with the accounting standard for the consolidation of VIEs. As a result, the Company used the voting interest model under the accounting standard for consolidation in order to determine whether to consolidate HVP and HHF. Based upon each member's substantive participating rights over the activities of each entity as stipulated in the operating agreements, HHF and HVP are not consolidated by the Company and are accounted for under the equity method of accounting. The Company’s investments in HVP and HHF are included in Investment in real estate ventures, at equity on the Company’s consolidated balance sheets and the Company’s earnings from its investments in HVP and HHF are presented in Equity in losses of real estate ventures on the Company’s consolidated statements of operations. The amounts reflected in the following table are based on the historical financial information of the real estate ventures. The following is a summary of the financial position of the HVP and HHF ventures as of March 31, 201 6 and December 31, 2015 (in thousands): March 31, December 31, 2016 2015 Assets Storage facilities, net $ $ Other assets Total assets $ $ Liabilities and equity Other liabilities $ $ Debt Equity CubeSmart Joint venture partners Total liabilities and equity $ $ The following is a summary of results of operations of HVP and HHF for the three months ended March 31, 2016 and 2015 (in thousands): Three Months Ended March 31, 2016 2015 Total revenues $ $ Operating expenses Interest expense, net Depreciation and amortization Net loss $ $ Company’s share of net loss $ $

UNSECURED SENIOR NOTES

UNSECURED SENIOR NOTES	3 Months Ended
	Mar. 31, 2016
UNSECURED SENIOR NOTES
UNSECURED SENIOR NOTES	6. UNSECURED SENIOR NOTES On October 26, 2015, the Operating Partnership issued $250.0 million in aggregate principal amount of 4.00% unsecured senior notes due November 15, 2025 (the “2025 Senior Notes”). On December 17, 2013, the Operating Partnership issued $250.0 million in aggregate principal amount of 4.375% unsecured senior notes due December 15, 2023 (the “2023 Senior Notes”). On June 26, 2012, the Operating Partnership issued $250.0 million in aggregate principal amount of 4.80% unsecured senior notes due July 15, 2022 (the “2022 Senior Notes”) . The 2025 Senior Notes, the 2023 Senior Notes, and the 2022 Senior Notes are collectively referred to as the “Senior Notes.” The indenture under which the Senior Notes were issued restricts the ability of the Operating Partnership and its subsidiaries to incur debt unless the Operating Partnership and its consolidated subsidiaries comply with a leverage ratio not to exceed 60% and an interest coverage ratio of more than 1.5:1 after giving effect to the incurrence of the debt. The indenture also restricts the ability of the Operating Partnership and its subsidiaries to incur secured debt unless the Operating Partnership and its consolidated subsidiaries comply with a secured debt leverage ratio not to exceed 40% after giving effect to the incurrence of the debt. The indenture also contains other financial and customary covenants, including a covenant not to own unencumbered assets with a value less than 150% of the unsecured indebtedness of the Operating Partnership and its consolidated subsidiaries. As of March 31, 2016 , the Operating Partnership was in compliance with all of the financial covenants under the Senior Notes.

REVOLVING CREDIT FACILITY AND U

REVOLVING CREDIT FACILITY AND UNSECURED TERM LOANS	3 Months Ended
	Mar. 31, 2016
REVOLVING CREDIT FACILITY AND UNSECURED TERM LOANS
REVOLVING CREDIT FACILITY AND UNSECURED TERM LOANS	7. REVOLVING CREDIT FACILITY AND UNSECURED TERM LOANS On June 20, 2011, the Company entered into an unsecured term loan agreement (the “Term Loan Facility”) which consisted of a $100.0 million term loan with a five -year maturity (“Term Loan A”) and a $100.0 million term loan with a seven -year maturity (“Term Loan B”). On December 9, 2011, the Company entered into a credit facility (the “Credit Facility”) comprised of a $100.0 million unsecured term loan maturing in December 2014 (“Term Loan C”); a $200.0 million unsecured term loan maturing in March 2017 (“Term Loan D”); and a $300.0 million unsecured revolving facility maturing in December 2015 (“Revolver”). On June 18, 2013 , the Company amended both the Term Loan Facility and Credit Facility. With respect to the Term Loan Facility, among other things, the amendment extended the maturity date to June 2018 and decreased the pricing of Term Loan A, while Term Loan B remained unchanged by the amendment. With respect to the Credit Facility, among other things, the amendment extended the maturity date to January 2019 and decreased the pricing of Term Loan D. On August 5, 2014, the Company further amended the Term Loan Facility to extend the maturity date to January 2020 and decrease the pricing of Term Loan B. On December 17, 2013, the Company repaid the $100.0 million balance under Term Loan C that was scheduled to mature in December 2014. Pricing on the Term Loan Facility depends on the Company’s unsecured debt credit ratings. At the Company’s current Baa2/BBB level, amounts drawn under Term Loan A are priced at 1.30% over LIBOR , while amounts drawn under Term Loan B are priced at 1.15% over LIBOR . On April 22, 2015, the Company further amended its Credit Facility with respect to the Revolver. Among other things, the amendment increased the aggregate amount of the Revolver from $300.0 million to $500.0 million, decreased the facility fee from 0.20% to 0.15% and extended the maturity date from June 18, 2017 to April 22, 2020. Pricing on the Credit Facility depends on the Company’s unsecured debt credit ratings. At the Company’s current Baa2/BBB level, amounts drawn under the Revolver are priced at 1.25% over LIBOR , inclusive of a facility fee of 0.15% , while amounts drawn under Term Loan D are priced at 1.30% over LIBOR . T he Company incurred costs of $2.3 million in 2015 in connection with amending the Credit Facility and capitalized such costs as a component of loan procurement costs, net of amortization on the consolidated balance sheet. Additionally, in connection with the amendment, $0.1 million of unamortized costs were written-off. All remaining unamortized costs, along with costs incurred in connection with the amendment, are amortized as an adjustment to interest expense over the remaining term of the modified facilities. As of March 31, 2016 , $200.0 million of unsecured term loan borrowings were outstanding under the Term Loan Facility, $200.0 million of unsecured term loan borrowings were outstanding under the Credit Facility, $54.3 million of unsecured revolving credit facility borrowings were outstanding under the Credit Facility and $445.7 million was available for borrowing under the unsecured revolving portion of the Credit Facility. In connection with a portion of the unsecured borrowings, the Company had interest rate swaps as of March 31, 2016 that fix 30 -day LIBOR (see note 10). As of March 31, 2016 , borrowings under the Credit Facility and Term Loan Facility, as amended and after giving effect to the interest rate swaps, had an effective weighted average interest rate of 2.84% . The Term Loan Facility and the term loan under the Credit Facility were fully drawn at March 31, 2016 and no further borrowings may be made under the term loans. The Company’s ability to borrow under the revolving portion of the Credit Facility is subject to ongoing compliance with certain financial covenants which include: · Maximum total indebtedness to total asset value of 60.0% at any time; · Minimum fixed charge coverage ratio of 1.50:1 .00; and · Minimum tangible net worth of $821,211,200 plus 75% of net proceeds from equity issuances after June 30, 2010 . Further, under the Credit Facility and Term Loan Facility, the Company is restricted from paying distributions on the Parent Company’s common shares in excess of the greater of (i) 95% of funds from operations, and (ii) such amount as may be necessary to maintain the Parent Company’s REIT status. As of March 31, 2016 , the Company was in compliance with all of its financial covenants and anticipates being in compliance with all of its financial covenants through the terms of the Credit Facility and Term Loan Facility.

MORTGAGE LOANS AND NOTES PAYABL

MORTGAGE LOANS AND NOTES PAYABLE	3 Months Ended
	Mar. 31, 2016
MORTGAGE LOANS AND NOTES PAYABLE
MORTGAGE LOANS AND NOTES PAYABLE	8. MORTGAGE LOANS AND NOTES PAYABLE The Company’s mortgage loans and notes payable are summarized as follows: Carrying Value as of: March 31, December 31, Effective Maturity Mortgage Loans and Notes Payable 2016 2015 Interest Rate Date (in thousands) YSI 59 $ — $ % Mar-16 YSI 60 % Aug-16 YSI 51 % Sep-16 YSI 64 % Oct-16 YSI 62 % Dec-16 YSI 33 % Jul-19 YSI 26 % Nov-20 YSI 57 % Nov-20 YSI 55 % Jun-21 YSI 24 % Jun-21 YSI 65 % Jun-23 Principal balance outstanding Plus: Unamortized fair value adjustment Less: Loan procurement costs, net Total mortgage loans and notes payable, net $ $ As of March 31, 2016 and December 31, 2015 , the Company’s mortgage loans payable were secured by certain of its self-storage facilities with net book values of approximately $167.4 million and $195.4 million, respectively. The following table represents the future principal payment requirements on the outstanding mortgage loans and notes payable at March 31, 2016 (in thousands): 2016 $ 2017 2018 2019 2020 2021 and thereafter Total mortgage payments Plus: Unamortized fair value adjustment Less: Loan procurement costs, net Total mortgage indebtedness $

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE LOSS	3 Months Ended
	Mar. 31, 2016
ACCUMULATED OTHER COMPREHENSIVE LOSS
ACCUMULATED OTHER COMPREHENSIVE LOSS	9. ACCUMULATED OTHER COMPREHENSIVE LOSS The following table summarizes the changes in accumulated other comprehensive loss by component for the three months ended March 31, 2016 (in thousands): Unrealized losses on interest rate swaps Balance at December 31, 2015 $ Other comprehensive loss before reclassifications Amounts reclassified from accumulated other comprehensive loss Net current-period other comprehensive income Balance at March 31, 2016 $ (a) See note 10 for additional information about the effects of the amounts reclassified .

RISK MANAGEMENT AND USE OF FINA

RISK MANAGEMENT AND USE OF FINANCIAL INSTRUMENTS	3 Months Ended
	Mar. 31, 2016
RISK MANAGEMENT AND USE OF FINANCIAL INSTRUMENTS
RISK MANAGEMENT AND USE OF FINANCIAL INSTRUMENTS	10. RISK MANAGEMENT AND USE OF FINANCIAL INSTRUMENTS The Company’s use of derivative instruments is limited to the utilization of interest rate swap agreements or other instruments to manage interest rate risk exposures and not for speculative purposes. The principal objective of such arrangements is to minimize the risks and/or costs associated with the Company’s operating and financial structure, as well as to hedge specific transactions. The counterparties to these arrangements are major financial institutions with which the Company and its subsidiaries may also have other financial relationships. The Company is potentially exposed to credit loss in the event of non-performance by these counterparties. However, because of the high credit ratings of the counterparties, the Company does not anticipate that any of the counterparties will fail to meet these obligations as they come due. The Company does not hedge credit or property value market risks. The Company has entered into interest rate swap agreements that qualify and are designated as cash flow hedges designed to reduce the impact of interest rate changes on its variable rate debt. Therefore, the interest rate swaps are recorded in the consolidated balance sheet at fair value and the related gains or losses are deferred in shareholders’ equity as accumulated other comprehensive loss. These deferred gains and losses are amortized into interest expense during the period or periods in which the related interest payments affect earnings. However, to the extent that the interest rate swaps are not perfectly effective in offsetting the change in value of the interest payments being hedged, the ineffective portion of these contracts is recognized in earnings immediately. The Company formally assesses, both at inception of a hedge and on an on-going basis, whether each derivative is highly-effective in offsetting changes in cash flows of the hedged item. If management determines that a derivative is highly-effective as a hedge, then the Company accounts for the derivative using hedge accounting, pursuant to which gains or losses inherent in the derivative do not impact the Company’s results of operations. If management determines that a derivative is not highly-effective as a hedge or if a derivative ceases to be a highly-effective hedge, the Company will discontinue hedge accounting prospectively and will reflect in its statement of operations realized and unrealized gains and losses in respect of the derivative. The following table summarizes the terms and fair values of the Company’s derivative financial instruments at March 31, 2016 and December 31, 2015 , respectively (dollars in thousands): Hedge Notional Fair Value Product Hedge Type (a) Amount Strike Effective Date Maturity March 31, 2016 December 31, 2015 Swap Cash flow $ % 6/20/2011 6/20/2016 $ $ Swap Cash flow % 6/20/2011 6/20/2016 Swap Cash flow % 6/20/2011 6/20/2016 Swap Cash flow % 12/30/2011 3/31/2017 Swap Cash flow % 12/30/2011 3/31/2017 Swap Cash flow % 12/30/2011 3/31/2017 Swap Cash flow % 12/30/2011 3/31/2017 Swap Cash flow % 6/20/2011 6/20/2018 Swap Cash flow % 6/20/2011 6/20/2018 Swap Cash flow % 6/20/2011 6/20/2018 $ $ $ (a) Hedging unsecured variable rate debt by fixing 30 -day LIBOR. The Company measures its derivative instruments at fair value and records them in the balance sheet as either an asset or liability. As of March 31, 2016 and December 31, 2015 , all derivative instruments were included in accounts payable, accrued expenses and other liabilities in the accompanying consolidated balance sheets. The effective portions of changes in the fair value of the derivatives are reported in accumulated other comprehensive income (loss). Amounts reported in accumulated other comprehensive income (loss) related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. The change in unrealized loss on interest rate swap reflects a reclassification of $1.3 million of unrealized losses from accumulated other comprehensive loss as an increase to interest expense during the three months ended March 31, 2016 . The Company estimates that $3.8 million will be reclassified as an increase to interest expense within the next 12 months.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	3 Months Ended
	Mar. 31, 2016
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS	11. FAIR VALUE MEASUREMENTS The Company applies the methods of determining fair value as described in authoritative guidance, to value its financial assets and liabilities. As defined in the guidance, fair value is based on the price that would be received from the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. In order to increase consistency and comparability in fair value measurements, the guidance establishes a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three broad levels, which are described below: Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs. Level 2: Observable prices that are based on inputs not quoted on active markets, but corroborated by market data. Level 3: Unobservable inputs are used when little or no market data is available. The fair value hierarchy gives the lowest priority to Level 3 inputs. In determining fair value, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs, to the extent possible, as well as considering counterparty credit risk in its assessment of fair value. Financial assets and liabilities carried at fair value as of March 31, 2016 are classified in the table below in one of the three categories described above (in thousands): Level 1 Level 2 Level 3 Interest Rate Swap Derivative Liabilities $ — $ $ — Total liabilities at fair value $ — $ $ — Financial assets and liabilities carried at fair value as of December 31, 2015 are classified in the table below in one of the three categories described above (in thousands): Level 1 Level 2 Level 3 Interest Rate Swap Derivative Liabilities $ — $ $ — Total liabilities at fair value $ — $ $ — Financial assets and liabilities carried at fair value were classified as Level 2 inputs. For financial liabilities that utilize Level 2 inputs, the Company utilizes both direct and indirect observable price quotes, including LIBOR yield curves, bank price quotes for forward starting swaps, NYMEX futures pricing and common stock price quotes. Below is a summary of valuation techniques for Level 2 financial liabilities: · Interest rate swap derivative assets and liabilities – valued using LIBOR yield curves at the reporting date. Counterparties to these contracts are most often highly rated financial institutions, none of which experienced any significant downgrades in 2016 that would reduce the amount owed by the Company. 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 the Company’s derivatives utilize Level 3 inputs, such as estimates of current credit spreads, to evaluate the likelihood of default by the Company and the counterparties. However, as of March 31, 2016 , the Company has assessed the significance of the effect 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 fair values of financial instruments, including cash and cash equivalents, accounts receivable and accounts payable approximate their respective carrying values at March 31, 2016 and December 31, 2015 . The aggregate carrying value of the Company’s debt was $1. 3 billion at March 31, 2016 and December 31, 2015 . The estimated fair value of the Company’s debt was $1.3 billion at March 31, 2016 and December 31, 2015 . These estimates were based on a discounted cash flow analysis assuming market interest rates for comparable obligations at March 31, 2016 and December 31, 2015 . The Company estimates the fair value of its fixed rate debt and the credit spreads over variable market rates on its variable rate debt by discounting the future cash flows of each instrument at estimated market rates or credit spreads consistent with the maturity of the debt obligation with similar credit policies, which is classified within level 2 of the fair value hierarchy. Rates and credit spreads take into consideration general market conditions and maturity.

NONCONTROLLING INTERESTS

NONCONTROLLING INTERESTS	3 Months Ended
	Mar. 31, 2016
NONCONTROLLING INTERESTS
NONCONTROLLING INTERESTS	12. NONCONTROLLING INTERESTS Interests in Consolidated Real Estate Joint Ventures 2880 Exterior St, LLC (“Exterior St”) was formed to own, operate, and develop a self-storage facility in New York, NY. The Company owns a 51% interest in Exterior St, and 49% is owned by another member (the “Exterior St Member”). The facility is expected to commence operations during 2018. The Exterior St Member has an option to put its ownership interest in the venture to the Company for $37.8 million within the one -year period after construction of the facility is substantially complete. Additionally, the Company has a one -year option to call the ownership interest of the Exterior St Member for $37.8 million beginning on the second anniversary of the facility’s construction being substantially complete. The Company is accreting the $37.8 million liability during the development period and has accrued $2.1 million as of March 31, 2016. The Company determined that Exterior St is a variable interest entity, and that the Company is the primary beneficiary. Accordingly, the Company consolidates the assets, liabilities, and results of operations of Exterior St. As of March 31, 2016, Exterior St had total assets of $21.5 million and total liabilities of $2.1 million. 3068 Cropsey Avenue, LLC (“Cropsey Ave”) was formed to own, operate, and develop a self-storage facility in Brooklyn, NY. The Company owns a 51% interest in Cropsey Ave, and 49% is owned by another member (the “Cropsey Ave Member”). The facility is expected to commence operations during 2017. The Cropsey Ave Member has an option to put its ownership interest in the venture to the Company for $20.4 million within the one -year period after construction of the facility is substantially complete. Additionally, the Company has a one -year option to call the ownership interest of the Cropsey Ave Member for $20.4 million beginning on the second anniversary of the facility’s construction being substantially complete. The Company is accreting the $20.4 million liability during the development period and has accrued $4.5 million as of March 31, 2016. The Company determined that Cropsey Ave is a variable interest entity, and that the Company is the primary beneficiary. Accordingly, the Company consolidates the assets, liabilities, and results of operations of Cropsey Ave. As of March 31, 2016, Cropsey Ave had total assets of $13.3 million and total liabilities of $4.6 million. 2301 Tillotson Ave, LLC (“Tillotson”) was formed to own, operate and develop a self-storage facility in New York, NY. The Company owns a 51% interest in Tillotson and 49% is owned by another member (the “Tillotson Member”). The facility is expected to commence operations during 2016. The Tillotson Member has an option to put its ownership interest in the venture to the Company for $17.0 million within the one -year period after construction of the facility is substantially complete. Additionally, the Company has a one -year option to call the ownership interest of the Tillotson Member for $17.0 million beginning on the second anniversary of the facility’s construction being substantially complete. The Company is accreting the $17.0 million liability during the development period and has accrued $13.4 million as of March 31, 2016. The Company determined that Tillotson is a variable interest entity, and that the Company is the primary beneficiary. Accordingly, the Company consolidates the assets, liabilities and results of operations of Tillotson. As of March 31, 2016, Tillotson had total assets of $22.2 million and total liabilities of $15.2 million. 251 Jamaica Ave, LLC (“Jamaica Ave”) was formed to own, operate and develop a self-storage facility in New York, NY. The Company owns a 51% interest in Jamaica Ave and 49% is owned by another member (the “Jamaica Ave Member”). The construction was substantially completed and the facility commenced operations during the first quarter of 2016. The Jamaica Ave Member has an option to put its ownership interest in the venture to the Company for $12.5 million within the one -year period after construction of the facility is substantially complete. Additionally, the Company has a one -year option to call the ownership interest of the Jamaica Ave Member for $12.5 million beginning on the second anniversary of the facility’s construction being substantially complete. The Company has accreted the $12.5 million liability during the development period and it is fully accrued as of March 31, 2016. The Company determined that Jamaica Ave is a variable interest entity, and that the Company is the primary beneficiary. Accordingly, the Company consolidates the assets, liabilities and results of operations of Jamaica Ave. As of March 31, 2016 , Jamaica Ave had total assets of $31.8 million and total liabilities of $13.4 million. CS SNL New York Ave, LLC and 186 Jamaica Avenue, LLC, collectively known as “SNL”, were formed with a partner to own, operate and develop two self-storage facilities in the boroughs of New York, NY. The Company owns 90% of SNL, and the facilities commenced operations during the fourth quarter of 2015. The Company determined that SNL are variable interest entities, and that the Company is the primary beneficiary. Accordingly, the Company consolidates the assets, liabilities and results of operations of SNL. As of March 31, 2016 , SNL had total assets of $31.3 million and total liabilities of $20.1 million. The Company has provided $19.0 million of a total $22.6 million loan commitment to SNL which is secured by a mortgage on the real estate assets of SNL. The loan and related interest were eliminated during consolidation. Shirlington Rd, LLC (“SRLLC”) was formed to own, operate and develop a self-storage facility in Northern Virginia. The Company owns a 90% interest in SRLLC and the facility commenced operations during the second quarter of 2015. The Company consolidates the assets, liabilities and results of operations of SRLLC. During 2013, SRLLC acquired land for development for $13.1 million. In 2014, SRLLC completed the planned subdivision of the land into two parcels and sold one parcel for $6.5 million. No gain or loss was recorded as a result of this transaction. SRLLC retained the second parcel of land for the development of the storage facility. The Company determined that SRLLC is a variable interest entity, and that the Company is the primary beneficiary. Accordingly, the Company consolidates the assets, liabilities and results of operations of SRLLC. As of March 31, 2016 , SRLLC had total assets of $16.7 million and total liabilities of $13.1 million. As of March 31, 2016, the Company has provided $13.1 million of a total $14.6 million loan commitment to SRLLC, which loan is secured by a mortgage on the real estate assets of SRLLC. The loan and related interest were eliminated during consolidation. USIFB, LLP (“USIFB”) was formed to own, operate, acquire and develop self-storage facilities in England. The Company owned a 97% interest in the USIFB through a wholly-owned subsidiary and USIFB commenced operations at two facilities in London, England during 2008. The Company determined that USIFB is a variable interest entity, and that the Company is the primary beneficiary. Accordingly, the Company consolidates the assets, liabilities and results of operations of USIFB. On December 31, 2013 the Company provided a $6.8 million (£4.1 million) loan secured by a mortgage on real estate assets of USIFB. On June 30, 2014, one of the assets was sold for net proceeds of $7.0 million and the loan was repaid with proceeds from the sale. The loan and any related interest were eliminated during consolidation. On October 2, 2015, USIFB sold its remaining asset in London, England, for an aggregate sales price of £6.5 million (approximately $9.9 million). In connection with the sale during the fourth quarter of 2015, the Company recorded a gain of $3.0 million net of a foreign currency translation loss of $1.2 million. Operating Partnership Ownership The Company follows guidance regarding the classification and measurement of redeemable securities. Under this guidance, securities that are redeemable for cash or other assets, at the option of the holder and not solely within the control of the issuer, must be classified outside of permanent equity/capital. This classification results in certain outside ownership interests being included as redeemable noncontrolling interests outside of permanent equity/capital in the consolidated balance sheets. The Company makes this determination based on terms in applicable agreements, specifically in relation to redemption provisions. Additionally, with respect to redeemable ownership interests in the Operating Partnership held by third parties for which CubeSmart has a choice to settle the redemption by delivery of its own shares, the Operating Partnership considered the guidance regarding accounting for derivative financial instruments indexed to, and potentially settled in, a company’s own shares, to evaluate whether CubeSmart controls the actions or events necessary to presume share settlement. The guidance also requires that noncontrolling interests classified outside of permanent capital be adjusted each period to the greater of the carrying value based on the accumulation of historical cost or the redemption value. Approximately 1.2% of the outstanding OP Units as of March 31, 2016 and December 31, 2015 , were not owned by CubeSmart, the sole general partner. The interests in the Operating Partnership represented by these OP Units were a component of the consideration that the Operating Partnership paid to acquire certain self-storage facilities. The holders of the OP Units are limited partners in the Operating Partnership and have the right to require CubeSmart to redeem all or part of their OP Units for, at the general partner’s option, an equivalent number of common shares of CubeSmart or cash based upon the fair value of an equivalent number of common shares of CubeSmart. However, the partnership agreement contains certain provisions that could result in a settlement outside the control of CubeSmart and the Operating Partnership, as CubeSmart does not have the ability to settle in unregistered shares. Accordingly, consistent with the guidance, the Operating Partnership will record the OP Units owned by third parties outside of permanent capital in the consolidated balance sheets. Net income or loss related to the OP Units owned by third parties is excluded from net income or loss attributable to Operating Partner in the consolidated statements of operations. On May 14, 2015, the Company closed on the acquisition of real property that will be developed into a self-storage facility in Washington, D.C. In conjunction with the closing, the Company issued 20,408 OP Units, valued at approximately $0.5 million to pay a portion of the consideration. Additional consideration of $1.5 million will be paid upon the completion of certain milestones within a one-year period from closing. The Company is accreting the $1.5 million liability during the development period and has accrued $1.3 million as of March 31, 2016. As of March 31, 2016 and December 31, 2015, 2,159,650 OP units were held by third parties. The per unit cash redemption amount of the outstanding OP units was calculated based upon the average of the closing prices of the common shares of CubeSmart on the New York Stock Exchange for the final 10 trading days of the quarter. Based on the Company’s evaluation of the redemption value of the redeemable noncontrolling interest, the Company has reflected these interests at their redemption value at March 31, 2016 and December 31, 2015 , as the estimated redemption value exceeded their carrying value. The Operating Partnership recorded an increase to OP Units owned by third parties and a corre sponding decrease to capital of $6.1 milllion and $19.6 million at March 31, 2016 and December 31, 2015 , respectively.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	3 Months Ended
	Mar. 31, 2016
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	13. RELATED PARTY TRANSACTIONS Affiliated Real Estate Investments The Company provides management services to certain joint ventures and other related party facilities. Management agreements provide generally for management fees of between 5 - 6% of cash collections at the managed facilities. Total management fees for unconsolidated joint ventures or other entities in which the Company held an ownership interest for the three months ended March 31, 2016 and 2015 totaled $0.5 million and $0.2 million, respectively. The management agreements for certain joint ventures, other related parties and third-party facilities provide for the reimbursement to the Company for certain expenses incurred to manage the facilities. These amounts consist of amounts due for management fees, payroll, and other expenses incurred on behalf of the facilities. The amounts due to the Company were $1.9 million as of March 31, 2016 and December 31, 2015, and are reflected in Other assets, net on the Company’s consolidated balance sheets. Additionally, as discussed in note 12, the Company has outstanding mortgage loans receivable from consolidated joint ventures of $32.0 million and $29.6 million as of March 31, 2016 and December 31, 2015 , respectively, which are eliminated for consolidation purposes. The Company believes that all of these related-party receivables are fully collectible . The HVP operating agreement provides for an acquisition fee payable from HVP to the Company in an amount equal to 0.5% of the purchase price upon the closing of an acquisition by HVP or any of its subsidiaries. During the three months ended March 31, 2016, the Company recognized $0.6 million in acquisition fees, in conjunction with the acquisition of 30 self storage facilities on March 30, 2016, which are included in Other income on the consolidated statements of operations.

PRO FORMA FINANCIAL INFORMATION

PRO FORMA FINANCIAL INFORMATION	3 Months Ended
	Mar. 31, 2016
PRO FORMA FINANCIAL INFORMATION
PRO FORMA FINANCIAL INFORMATION	14. PRO FORMA FINANCIAL INFORMATION During the three months ended March 31, 2016 and the year ended December 31, 2015 , the Company acquired ten self-storage facilities for an aggregate purchase price of approximately $184.4 million (see note 4) and 29 self-storage facilities for an aggregate purchase price of approximately $292.4 million, respectively. The condensed consolidated pro forma financial information set forth below reflects adjustments to the Company’s historical financial data to give effect to each of the acquisitions and related financing activity (including the issuance of common shares) that occurred during 2016 and 2015 as if each had occurred as of January 1, 2015 and 2014, respectively. The unaudited pro forma information presented below does not purport to represent what the Company’s actual results of operations would have been for the periods indicated, nor does it purport to represent the Company’s future results of operations. The following table summarizes, on a pro forma basis, the Company’s consolidated results of operations for the three months ended March 31, 2016 and 2015 based on the assumptions described above: Three Months Ended March 31, 2016 2015 (in thousands, except per share data) Pro forma revenue $ $ Pro forma net income $ $ Earnings per common share: Basic and diluted - as reported $ $ Basic - as pro forma $ $ Diluted - as pro forma $ $

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	3 Months Ended
	Mar. 31, 2016
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	15. SUBSEQUENT EVENTS Subsequent to March 31, 2016, the Company acquired two self-storage facilities in Colorado (1) and Texas (1) , for an aggregate purchase price of approximately $23.0 million. Subsequent to March 31, 2016, HVP acquired five self-storage facilities in Tennessee (4) and Massachussetts (1) for an aggregate purchase price of $36.1 million.

SUMMARY OF SIGNIFICANT ACCOUN23

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) - 10Q	3 Months Ended
	Mar. 31, 2016
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Presentation	Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared pursuant to the rules and regulations of the SEC regarding interim financial reporting and, in the opinion of each of the Parent Company’s and Operating Partnership’s respective management, include all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of financial position, results of operations and cash flows for each respective company for the interim periods presented in accordance with generally accepted accounting principles in the United States (“GAAP”). Accordingly, readers of this Quarterly Report on Form 10-Q should refer to the Parent Company’s and the Operating Partnership’s audited financial statements prepared in accordance with GAAP, and the related notes thereto, for the year ended December 31, 2015 , which are included in the Parent Company’s and the Operating Partnership’s Annual Report on Form 10-K for the fiscal year ended December 31, 2015 . The results of operations for the three months ended March 31, 2016 and 2015 are not necessarily indicative of the results of operations to be expected for any future period or the full year. T he Company adopted Accounting Standard Update (“ASU“) No. 2015-02, Consolidation – Amendments to the Consolidation Analysis, as of January 1, 2016. The Company evaluated the application of this guidance and concluded that there were no changes to any previous conclusions with respect to consolidation accounting for any of its interests in less than wholly owned joint ventures. However, the Operating Partnership now meets the criteria as a variable interest entity. The Parent Company’s sole significant asset is its investment in the Operating Partnership. As a result, substantially all of the Parent Company’s assets and liabilities represent those assets and liabilities of the Operating Partnership. All of the Parent Company’s debt is an obligation of the Operating Partnership.
Reclassifications	Reclassifications Certain amounts from the prior year have been reclassified to conform to the current year presentation as described below. During the first quarter of 2016, the Company adopted ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs, which requires the Company to reclassify debt financing costs, which were previously included in loan procurement costs, net of amortization on the Company’s consolidated balance sheets, and present them as a direct deduction from the carrying amount of the related debt liability. Net costs of $10.7 million have been reclassified in the December 31, 2015 consolidated balance sheets from the loan procurement costs line and netted against the related debt liability. See Recent Accounting Pronouncements below for revisions to the accounting guidance for debt issuance costs.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In March 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting, which is intended to simplify various aspects related to how share-based payments are accounted for and presented in the financial statements. The new guidance allows for entities to make an entity-wide accounting policy election to either estimate the number of awards that are expected to vest or account for forfeitures when they occur. In addition, the guidance allows employers to withhold shares to satisfy minimum statutory tax withholding requirements up to the employees’ maximum individual tax rate without causing the award to be classified as a liability. The guidance also stipulates that cash paid by an employer to a taxing authority when directly withholding shares for tax-withholding purposes should be classified as a financing activity on the statement of cash flows. The standard is effective on January 1, 2017, however early adoption is permitted. The Company is in the process of evaluating the impact of this new guidance. In February 2016, the FASB issued ASU No. 2016-02 - Leases (Topic 842), which sets out the principles for the recognition, measurement, presentation and disclosure of leases for both parties to a contract (i.e. lessees and lessors). The new standard requires lessees to apply a dual approach, classifying leases as either financing or operating leases based on the principle of whether or not the lease is effectively a financed purchase by the lessee. This classification will determine whether lease expense is recognized based on an effective interest method or on a straight line basis over the term of the lease, respectively. A lessee is also required to record a right-of-use asset and a lease liability for all leases with a term of greater than 12 months regardless of their classification. Leases with a term of 12 months or less will be accounted for similar to existing guidance for operating leases today. The new standard requires lessors to account for leases using an approach that is substantially equivalent to existing guidance for sales-type leases, direct financing leases and operating leases. The standard is effective on January 1, 2019, however early adoption is permitted. The Company is in the process of evaluating the impact of this new guidance. In September 2015, the FASB issued ASU No. 2015-16, Simplifying the Accounting for Measurement-Period Adjustments, which amends the current business combination guidance to require that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined, as opposed to having to revise prior period information. The standard also requires additional disclosure about the impact on current-period income statement line items of adjustments that would have been recognized in prior periods if prior period information had been revised. The new standard became effective for the Company on January 1, 2016. The adoption of this guidance did not have a material impact on the Company’s consolidated financial position or results of operations as there have been no measurement-period adjustments recorded. In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs, an update to the accounting standard relating to the presentation of debt issuance costs. Under the new guidance, debt issuance costs related to a recognized debt liability will be presented on the balance sheet as a direct deduction from the debt liability. In the event that there is not an associated debt liability recorded in the consolidated financial statements, the debt issuance costs will continue to be recorded on the consolidated balance sheet as an asset until the debt liability is recorded. The new standard became effective for the Company on January 1, 2016. The adoption of this guidance did not have a material impact on the Company’s consolidated financial position or results of operations as the update only related to changes in financial statement presentation. In February 2015, the FASB issued ASU No. 2015-02, Consolidation – Amendments to the Consolidation Analysis, which amends the current consolidation guidance affecting both the variable interest entity (“VIE”) and voting interest entity (“VOE”) consolidation models. The standard does not add or remove any of the characteristics in determining if an entity is a VIE or VOE, but rather enhances the way the Company assesses some of these characteristics. The new standard became effective for the Company on January 1, 2016. As discussed under Basis of Presentation above, the adoption of this guidance did not have a material impact on the Company’s consolidated financial position or results of operations as none of its existing consolidation conclusions were changed. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance under GAAP when it becomes effective. The new standard will be effective for the Company beginning on January 1, 2018, however early application beginning on January 1, 2017 is permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company has not yet selected a transition method nor has it determined the effect of the standard on its financial statements and related disclosures.

STORAGE FACILITIES (Tables)

STORAGE FACILITIES (Tables)	3 Months Ended
	Mar. 31, 2016
STORAGE FACILITIES
Summary of real estate assets	March 31, December 31, 2016 2015 (in thousands) Land $ $ Buildings and improvements Equipment Construction in progress Storage facilities Less Accumulated depreciation Storage facilities, net $ $
Schedule of acquisitions and dispositions of real estate assets	Number of Purchase / Sale Price Asset/Portfolio Market Transaction Date Facilities (in thousands) 2016 Acquisitions: Metro DC Asset Baltimore / DC January 2016 1 $ Texas Assets Texas Markets - Major January 2016 2 New York Asset New York / Northern NJ January 2016 1 Texas Asset Texas Markets - Major January 2016 1 Connecticut Asset Connecticut February 2016 1 Texas Asset Texas Markets - Major March 2016 1 Florida Assets Florida Markets - Other March 2016 3 10 $ 2015 Acquisitions: Texas Asset Texas Markets - Major February 2015 1 $ HSRE Assets Chicago March 2015 4 Arizona Asset Arizona / Las Vegas March 2015 1 Tennessee Asset Tennessee March 2015 1 Texas Asset Texas Markets - Major April 2015 1 Florida Asset Florida Markets - Other May 2015 1 Arizona Asset Arizona / Las Vegas June 2015 1 Florida Asset Florida Markets - Other June 2015 1 Texas Asset Texas Markets - Major July 2015 1 Maryland Asset Baltimore / DC July 2015 1 Maryland Asset Baltimore / DC July 2015 1 New York/New Jersey Assets New York / Northern NJ August 2015 2 New Jersey Asset New York / Northern NJ December 2015 1 PSI Assets Various (see note 4) December 2015 12 29 $ 2015 Dispositions: Texas Assets Texas Markets - Major October 2015 7 $ Florida Asset Florida Markets - Other October 2015 1 8 $

INVESTMENT ACTIVITY (Tables)

INVESTMENT ACTIVITY (Tables)	3 Months Ended
	Mar. 31, 2016
INVESTMENT ACTIVITY
Schedule of revenue and earnings from acquisitions since the acquisition dates included in consolidated statement of operations	Three Months Ended March 31, 2016 2015 (in thousands) Total revenue $ $ Net (loss) income

INVESTMENT IN UNCONSOLIDATED 26

INVESTMENT IN UNCONSOLIDATED REAL ESTATE VENTURE (Tables)	3 Months Ended
	Mar. 31, 2016
INVESTMENT IN UNCONSOLIDATED REAL ESTATE VENTURE
Summary of the financial position of the HVP and HHF venture	The following is a summary of the financial position of the HVP and HHF ventures as of March 31, 201 6 and December 31, 2015 (in thousands): March 31, December 31, 2016 2015 Assets Storage facilities, net $ $ Other assets Total assets $ $ Liabilities and equity Other liabilities $ $ Debt Equity CubeSmart Joint venture partners Total liabilities and equity $ $
Summary of results of operations of the HVP and HHF Venture	The following is a summary of results of operations of HVP and HHF for the three months ended March 31, 2016 and 2015 (in thousands): Three Months Ended March 31, 2016 2015 Total revenues $ $ Operating expenses Interest expense, net Depreciation and amortization Net loss $ $ Company’s share of net loss $ $

MORTGAGE LOANS AND NOTES PAYA27

MORTGAGE LOANS AND NOTES PAYABLE (Tables)	3 Months Ended
	Mar. 31, 2016
MORTGAGE LOANS AND NOTES PAYABLE
Summary of mortgage loans and notes payable	Carrying Value as of: March 31, December 31, Effective Maturity Mortgage Loans and Notes Payable 2016 2015 Interest Rate Date (in thousands) YSI 59 $ — $ % Mar-16 YSI 60 % Aug-16 YSI 51 % Sep-16 YSI 64 % Oct-16 YSI 62 % Dec-16 YSI 33 % Jul-19 YSI 26 % Nov-20 YSI 57 % Nov-20 YSI 55 % Jun-21 YSI 24 % Jun-21 YSI 65 % Jun-23 Principal balance outstanding Plus: Unamortized fair value adjustment Less: Loan procurement costs, net Total mortgage loans and notes payable, net $ $
Schedule of the future principal payment requirements on the outstanding mortgage loans and notes payable	The following table represents the future principal payment requirements on the outstanding mortgage loans and notes payable at March 31, 2016 (in thousands): 2016 $ 2017 2018 2019 2020 2021 and thereafter Total mortgage payments Plus: Unamortized fair value adjustment Less: Loan procurement costs, net Total mortgage indebtedness $

ACCUMULATED OTHER COMPREHENSI28

ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables)	3 Months Ended
	Mar. 31, 2016
ACCUMULATED OTHER COMPREHENSIVE LOSS
Summary of changes in accumulated other comprehensive loss by component	The following table summarizes the changes in accumulated other comprehensive loss by component for the three months ended March 31, 2016 (in thousands): Unrealized losses on interest rate swaps Balance at December 31, 2015 $ Other comprehensive loss before reclassifications Amounts reclassified from accumulated other comprehensive loss Net current-period other comprehensive income Balance at March 31, 2016 $ (a) See note 10 for additional information about the effects of the amounts reclassified .

RISK MANAGEMENT AND USE OF FI29

RISK MANAGEMENT AND USE OF FINANCIAL INSTRUMENTS (Tables)	3 Months Ended
	Mar. 31, 2016
RISK MANAGEMENT AND USE OF FINANCIAL INSTRUMENTS
Summary of terms and fair values of the derivative financial instruments	The following table summarizes the terms and fair values of the Company’s derivative financial instruments at March 31, 2016 and December 31, 2015 , respectively (dollars in thousands): Hedge Notional Fair Value Product Hedge Type (a) Amount Strike Effective Date Maturity March 31, 2016 December 31, 2015 Swap Cash flow $ % 6/20/2011 6/20/2016 $ $ Swap Cash flow % 6/20/2011 6/20/2016 Swap Cash flow % 6/20/2011 6/20/2016 Swap Cash flow % 12/30/2011 3/31/2017 Swap Cash flow % 12/30/2011 3/31/2017 Swap Cash flow % 12/30/2011 3/31/2017 Swap Cash flow % 12/30/2011 3/31/2017 Swap Cash flow % 6/20/2011 6/20/2018 Swap Cash flow % 6/20/2011 6/20/2018 Swap Cash flow % 6/20/2011 6/20/2018 $ $ $ (a) Hedging unsecured variable rate debt by fixing 30 -day LIBOR.

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	3 Months Ended
	Mar. 31, 2016
FAIR VALUE MEASUREMENTS
Schedule of financial assets and liabilities carried at fair value	Financial assets and liabilities carried at fair value as of March 31, 2016 are classified in the table below in one of the three categories described above (in thousands): Level 1 Level 2 Level 3 Interest Rate Swap Derivative Liabilities $ — $ $ — Total liabilities at fair value $ — $ $ — Financial assets and liabilities carried at fair value as of December 31, 2015 are classified in the table below in one of the three categories described above (in thousands): Level 1 Level 2 Level 3 Interest Rate Swap Derivative Liabilities $ — $ $ — Total liabilities at fair value $ — $ $ —

PRO FORMA FINANCIAL INFORMATI31

PRO FORMA FINANCIAL INFORMATION (Tables)	3 Months Ended
	Mar. 31, 2016
PRO FORMA FINANCIAL INFORMATION
Schedule of consolidated results of operations on a pro forma basis	Three Months Ended March 31, 2016 2015 (in thousands, except per share data) Pro forma revenue $ $ Pro forma net income $ $ Earnings per common share: Basic and diluted - as reported $ $ Basic - as pro forma $ $ Diluted - as pro forma $ $

ORGANIZATION AND NATURE OF OP32

ORGANIZATION AND NATURE OF OPERATIONS (Details)	3 Months Ended
	Mar. 31, 2016statesegment
ORGANIZATION AND NATURE OF OPERATIONS
Number of states in which self-storage facilities are located | state	22
Number of reportable segments | segment	1
Percentage of the entity's partnership interest in Operating Partnership	98.80%
Common stock, conversion ratio	1

STORAGE FACILITIES - Summary (D

STORAGE FACILITIES - Summary (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
STORAGE FACILITIES
Storage facilities	$ 3,679,665	$ 3,467,032
Less: Accumulated depreciation	(622,824)	(594,049)
Storage facilities, net (including VIE assets of $169,141 and $136,274, respectively)	3,056,841	2,872,983
Land
STORAGE FACILITIES
Storage facilities	636,038	588,503
Buildings and improvements
STORAGE FACILITIES
Storage facilities	2,681,209	2,534,193
Equipment
STORAGE FACILITIES
Storage facilities	260,043	243,442
Construction in progress
STORAGE FACILITIES
Storage facilities	$ 102,375	$ 100,894

STORAGE FACILITIES - Activity (

STORAGE FACILITIES - Activity (Details) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2016USD ($)property	Dec. 31, 2015USD ($)property
2016 Acquisitions
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property	10
Purchase / Sales Price | $	$ 184,425
2016 Acquisitions | Metro DC Asset One
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property	1
Purchase / Sales Price | $	$ 21,000
2016 Acquisitions | Texas Asset Nineteen
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property	2
Purchase / Sales Price | $	$ 24,800
2016 Acquisitions | New York Asset Four
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property	1
Purchase / Sales Price | $	$ 48,500
2016 Acquisitions | Texas Asset Twenty
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property	1
Purchase / Sales Price | $	$ 11,600
2016 Acquisitions | Connecticut Asset
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property	1
Purchase / Sales Price | $	$ 19,000
2016 Acquisitions | Texas Asset Twenty-one
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property	1
Purchase / Sales Price | $	$ 11,600
2016 Acquisitions | Florida Assets Thirteen
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property	3
Purchase / Sales Price | $	$ 47,925
2015 Acquisitions
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		29
Purchase / Sales Price | $		$ 292,362
2015 Acquisitions | Texas Asset Seventeen
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		1
Purchase / Sales Price | $		$ 7,295
2015 Acquisitions | HSRE Assets Two
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		4
Purchase / Sales Price | $		$ 27,500
2015 Acquisitions | Arizona Asset Five
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		1
Purchase / Sales Price | $		$ 7,900
2015 Acquisitions | Tennessee Assets
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		1
Purchase / Sales Price | $		$ 6,575
2015 Acquisitions | Texas Asset Eighteen
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		1
Purchase / Sales Price | $		$ 15,795
2015 Acquisitions | Florida Assets Eleven
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		1
Purchase / Sales Price | $		$ 7,300
2015 Acquisitions | Arizona Asset Six
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		1
Purchase / Sales Price | $		$ 10,100
2015 Acquisitions | Florida Assets Twelve
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		1
Purchase / Sales Price | $		$ 10,500
2015 Acquisitions | Texas Asset Eight
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		1
Purchase / Sales Price | $		$ 14,200
2015 Acquisitions | Maryland Asset Three
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		1
Purchase / Sales Price | $		$ 17,000
2015 Acquisitions | Maryland Asset Four
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		1
Purchase / Sales Price | $		$ 19,200
2015 Acquisitions | New York/New Jersey Assets
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		2
Purchase / Sales Price | $		$ 24,823
2015 Acquisitions | New Jersey Assets
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		1
Purchase / Sales Price | $		$ 14,350
2015 Acquisitions | PSI Assets
STORAGE FACILITIES
Number of Facilities, acquisitions (in properties) | property		12
Purchase / Sales Price | $		$ 109,824
Dispositions
STORAGE FACILITIES
Number of Facilities, dispositions (in properties) | property		8
Purchase / Sales Price | $		$ 37,800
Dispositions | Texas Asset One
STORAGE FACILITIES
Number of Facilities, dispositions (in properties) | property		7
Purchase / Sales Price | $		$ 28,000
Dispositions | Florida Assets
STORAGE FACILITIES
Number of Facilities, dispositions (in properties) | property		1
Purchase / Sales Price | $		$ 9,800

INVESTMENT ACTIVITY (Details)

INVESTMENT ACTIVITY (Details) £ in Millions	Dec. 15, 2015USD ($)facility	Dec. 05, 2015USD ($)	Oct. 08, 2015USD ($)facility	Oct. 02, 2015USD ($)	Mar. 18, 2015USD ($)facility	Jan. 31, 2016facility	Dec. 31, 2015USD ($)facility	Nov. 30, 2015USD ($)facility	Jun. 30, 2014USD ($)facility	Mar. 31, 2016USD ($)propertyfacility	Dec. 31, 2015USD ($)itemfacility	Jun. 30, 2015USD ($)	Mar. 31, 2015USD ($)	Dec. 31, 2015USD ($)propertyfacility	Dec. 31, 2014USD ($)facility	Dec. 31, 2008	Oct. 02, 2015GBP (£)	Oct. 02, 2015USD ($)
Self-storage facilities
Development costs										$ 79,800,000
Expected construction cost										206,600,000
Storage facilities							$ 3,467,032,000			3,679,665,000	$ 3,467,032,000			$ 3,467,032,000
Number of facilities under contract										4
Restricted cash							24,600,000			2,652,000	24,600,000			24,600,000
Summary of the amounts of revenue and earnings of the 2014 and 2013 acquisitions since the acquisition dates
Total revenue										1,149,000			$ 219,000
Net loss										$ (1,177,000)			$ 22,000
USIFB, LLP
Self-storage facilities
Aggregate purchase or sale price																	£ 6.5	$ 9,900,000
Proceeds from Sale of Real Estate Held-for-investment									$ 7,000,000
Number of assets sold | facility									1
Ownership interest held by the entity (as a percent)																97.00%
Gain from sale of real estate											3,000,000
Foreign currency translation loss											$ (1,200,000)
Self-storage facilities located in New York
Self-storage facilities
Number of self-storage facilities | facility										3	2
Number of joint ventures | item											2
Storage facilities							32,200,000				$ 32,200,000			$ 32,200,000
Ownership interest held by the entity (as a percent)											90.00%
Self-storage Facility in Washington DC
Self-storage facilities
Number of self-storage facilities | facility										1
Self-storage Facility in Arlington, VA
Self-storage facilities
Storage facilities												$ 17,100,000
Ownership interest held by the entity (as a percent)												90.00%
2016 Acquisitions
Self-storage facilities
Number of self-storage facilities acquired | property										10
Aggregate purchase or sale price										$ 184,425,000
Intangible value of the in-place leases										$ 7,600,000
Estimated life										12 months
Amortization expense										$ 800,000
2016 Acquisitions | Self storage under construction
Self-storage facilities
Number of facilities under contract										1
2015 Acquisitions
Self-storage facilities
Number of self-storage facilities acquired | property														29
Aggregate purchase or sale price							292,362,000				$ 292,362,000			$ 292,362,000
2015 Acquisitions | PSI
Self-storage facilities
Intangible value of the in-place leases		$ 6,700,000
Estimated life		12 months
Amortization expense										1,700,000
2015 Acquisitions | HSRE
Self-storage facilities
Number of self-storage facilities | facility															26
Number of self-storage facilities acquired | facility					4										22
Aggregate purchase or sale price															$ 223,000,000
Intangible value of the in-place leases					$ 2,700,000
Estimated life					12 months
Amortization expense										700,000
Aggregate purchase price of facilities closed					$ 27,500,000										$ 195,500,000
2015 Acquisitions | Self storage in operation | PSI
Self-storage facilities
Aggregate purchase or sale price	$ 109,800,000
2015 Acquisitions | Self storage under construction | PSI
Self-storage facilities
Number of self-storage facilities | facility	1
Aggregate purchase or sale price	$ 6,000,000
2015 Acquisitions | Self-storage facilities located in US
Self-storage facilities
Number of self-storage facilities | facility														13
Aggregate purchase or sale price							155,000,000				155,000,000			$ 155,000,000
Intangible value of the in-place leases							10,700,000				10,700,000			$ 10,700,000
Estimated life														12 months
Amortization expense										2,600,000
Number of properties, assumed mortgage | facility														1
Assumed mortgage debt, at fair value							2,700,000				2,700,000			$ 2,700,000
Outstanding principal balance of mortgage debt assumed on acquisitions							2,500,000				2,500,000			2,500,000
Premium on debt assumed on acquisitions							200,000				200,000			200,000
Real Estate Acquisition Expected in 2017
Self-storage facilities
Deposit										1,700,000
Number of facilities under contract										5
Number of facilities with a loan outstanding | facility								1
Expected aggregate purchase or sales price										$ 64,200,000
Note receivable							$ 0	$ 4,100,000			0			$ 0
2015 Dispositions | USIFB, LLP
Self-storage facilities
Aggregate purchase or sale price																	£ 6.5	$ 9,900,000
Ownership interest held by the entity (as a percent)				97.00%
Gain from sale of real estate				$ 3,000,000
Foreign currency translation loss				$ 1,200,000
2015 Dispositions | Properties in Texas and Florida
Self-storage facilities
Aggregate purchase or sale price			$ 37,800,000
Number of facilities sold, transaction completed | facility						2	1			3
Amount of net proceeds applied to acquisitions closed during the year										$ 36,400,000
Gain from sale of real estate			$ 14,400,000
Self-storage facilities
Self-storage facilities
Number of self-storage facilities acquired | property										10				29
Aggregate purchase or sale price							$ 292,400,000			$ 184,400,000	$ 292,400,000			$ 292,400,000
Self-storage facilities | 2016 Acquisitions
Self-storage facilities
Number of self-storage facilities | facility										10
Self-storage facilities | 2015 Acquisitions | PSI
Self-storage facilities
Number of self-storage facilities | facility	12
Aggregate purchase or sale price	$ 115,800,000
Texas | 2015 Dispositions | Properties in Texas and Florida
Self-storage facilities
Number of self-storage facilities | facility			7
Florida | 2015 Dispositions | Properties in Texas and Florida
Self-storage facilities
Number of self-storage facilities | facility			1
New York
Self-storage facilities
Development costs										$ 31,800,000
New York | Self-storage facilities located in New York
Self-storage facilities
Ownership interest held by the entity (as a percent)										51.00%

INVESTMENT IN UNCONSOLIDATED 36

INVESTMENT IN UNCONSOLIDATED REAL ESTATE VENTURE (Details) $ in Thousands	Mar. 30, 2016USD ($)facility	Dec. 08, 2015USD ($)facility	May. 01, 2014USD ($)property	Dec. 10, 2013USD ($)property	Mar. 31, 2016USD ($)facility	Mar. 31, 2015USD ($)	Jan. 26, 2016USD ($)	Dec. 31, 2015USD ($)
Investment in Unconsolidated Real Estate Venture
Investment in real estate entities					$ 100,477			$ 97,281
Acquisitions of storage facilities					158,457	$ 41,347
Payment made for acquisition of interest in real estate ventures					5,498
Summary of results of operations of the real estate venture
Company’s share of net income (loss)					$ (512)	(238)
HVP
Investment in Unconsolidated Real Estate Venture
Number of self-storage facilities acquired | facility	30	31
Acquisitions of storage facilities	$ 112,800	$ 199,400
Number of properties to be acquired under the contract | facility					7
Contract amount to purchase real estate					$ 45,800
Intangible value of the in-place leases	$ 10,300	$ 15,900
Michigan | HVP
Investment in Unconsolidated Real Estate Venture
Number of self-storage facilities acquired | facility		16
Massachusetts | HVP
Investment in Unconsolidated Real Estate Venture
Number of self-storage facilities acquired | facility		6
Tennessee | HVP
Investment in Unconsolidated Real Estate Venture
Number of self-storage facilities acquired | facility		5
Florida | HVP
Investment in Unconsolidated Real Estate Venture
Number of self-storage facilities acquired | facility		3
North Carolina | HVP
Investment in Unconsolidated Real Estate Venture
Number of self-storage facilities acquired | facility	4
South Carolina | HVP
Investment in Unconsolidated Real Estate Venture
Number of self-storage facilities acquired | facility	21
Georgia | HVP
Investment in Unconsolidated Real Estate Venture
Number of self-storage facilities acquired | facility	5
HVP and HHF
Assets
Storage facilities, net					558,654			456,452
Other assets					28,159			19,677
Total Assets					586,813			476,129
Liabilities and equity
Other liabilities					5,359			4,470
Debt					277,830			212,666
Equity
CubeSmart					100,477			97,281
Joint venture partner					203,147			161,712
Total liabilities and equity					586,813			$ 476,129
Summary of results of operations of the real estate venture
Total revenues					12,324	7,060
Operating expenses					6,441	3,053
Interest expense, net					1,856	931
Depreciation and amortization					9,750	3,552
Net income (loss)					(5,723)	(476)
Company’s share of net income (loss)					(512)	$ (238)
HVP
Investment in Unconsolidated Real Estate Venture
Investment in real estate entities		$ 8,400			$ 13,900
Ownership interest in partnership (as a percent)		10.00%
Number of self-storage facilities acquired | facility		30
Payment made for acquisition of interest in real estate ventures	$ 5,300
Initial advance	61,800	$ 116,000
Venture's loan		$ 122,000
HVP | Maximum
Investment in Unconsolidated Real Estate Venture
Venture's loan	$ 185,500
HVP | LIBOR
Investment in Unconsolidated Real Estate Venture
Interest rate (as percentage)	2.00%	2.00%
HVP | Michigan
Investment in Unconsolidated Real Estate Venture
Investment in real estate entities							$ 200
HHF
Investment in Unconsolidated Real Estate Venture
Ownership interest in partnership (as a percent)				50.00%
Number of storage facilities owned by investee | property				35
Payment made for acquisition of interest in real estate ventures				$ 315,700
Intangible value of the in-place leases				$ 12,100
Proceeds after closing costs distributed proportionately to partners			$ 99,200
HHF | Secured loan 3.59% due April 30, 2021
Investment in Unconsolidated Real Estate Venture
Amount of loan obtained			$ 100,000
Interest on real estate venture debt			3.59%
HHF | Texas
Investment in Unconsolidated Real Estate Venture
Number of storage facilities owned by investee | property			34	34
HHF | North Carolina
Investment in Unconsolidated Real Estate Venture
Number of storage facilities owned by investee | property				1

UNSECURED SENIOR NOTES (Details

UNSECURED SENIOR NOTES (Details) $ in Millions	3 Months Ended
	Mar. 31, 2016	Oct. 26, 2015USD ($)	Dec. 17, 2013USD ($)	Jun. 26, 2012USD ($)
Senior Notes | Maximum
Mortgage loans and Notes payable
Consolidated leverage ratio	0.60
Secured debt leverage ratio	0.40
Senior Notes | Minimum
Mortgage loans and Notes payable
Consolidated interest coverage ratio	1.50
Financial and customary covenant, minimum unencumbered asset (as a percent)	150.00%
Senior notes 4.00% due November 15, 2025
Mortgage loans and Notes payable
Senior notes, principal amount		$ 250
Interest rate (as a percent)		4.00%
Senior notes 4.375% due December 15, 2023
Mortgage loans and Notes payable
Senior notes, principal amount			$ 250
Interest rate (as a percent)			4.375%
Senior notes 4.80% due July 15, 2022
Mortgage loans and Notes payable
Senior notes, principal amount				$ 250
Interest rate (as a percent)				4.80%

REVOLVING CREDIT FACILITY AND38

REVOLVING CREDIT FACILITY AND UNSECURED TERM LOANS (Details)	Apr. 22, 2015USD ($)	Apr. 21, 2015USD ($)	Dec. 17, 2013USD ($)	Jun. 20, 2011USD ($)	Mar. 31, 2016USD ($)	Dec. 31, 2015USD ($)	Dec. 09, 2011USD ($)
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Unsecured term loan borrowings outstanding					$ 398,325,000	$ 398,183,000
Term Loan Facility
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Loan procurement costs capitalized						$ 2,300,000
Net proceeds from equity issuances added to minimum tangible net worth (as a percent)					75.00%
Term Loan Facility | Minimum
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Fixed charge coverage ratio					1.50
Tangible net worth					$ 821,211,200
Term Loan Facility | Maximum
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Total indebtedness to total asset value ratio (as a percent)					60.00%
Percentage of funds from operations that can be distributed on common shares					95.00%
Term Loan Facility | Term Loan A
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Maximum borrowing capacity				$ 100,000,000
Term of debt instrument				5 years
Term Loan Facility | Term Loan A | Baa2/BBB
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Interest rate, basis spread (as a percent)					1.30%
Variable interest rate basis					LIBOR
Term Loan Facility | Term Loan B
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Maximum borrowing capacity				$ 100,000,000
Term of debt instrument				7 years
Term Loan Facility | Term Loan B | Baa2/BBB
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Interest rate, basis spread (as a percent)					1.15%
Variable interest rate basis					LIBOR
Term Loan Facility | Unsecured term loan
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Unsecured term loan borrowings outstanding					$ 200,000,000
Credit Facility
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Effective weighted average interest rate (as a percent)					2.84%
Net proceeds from equity issuances added to minimum tangible net worth (as a percent)					75.00%
Credit Facility | Minimum
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Fixed charge coverage ratio					1.50
Tangible net worth					$ 821,211,200
Credit Facility | Maximum
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Total indebtedness to total asset value ratio (as a percent)					60.00%
Percentage of funds from operations that can be distributed on common shares					95.00%
Credit Facility | Revolver
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Maximum borrowing capacity	$ 500,000,000	$ 300,000,000					$ 300,000,000
Interest rate, basis spread (as a percent)					1.25%
Variable interest rate basis					LIBOR
Facility fee (as a percent)	0.15%	0.20%			0.15%
Unsecured term loan borrowings outstanding					$ 54,300,000
Remaining borrowing capacity					$ 445,700,000
Credit Facility | Term Loan C
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Maximum borrowing capacity							100,000,000
Repayment of outstanding debt			$ 100,000,000
Credit Facility | Term Loan D
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Maximum borrowing capacity							$ 200,000,000
Interest rate, basis spread (as a percent)					1.30%
Credit Facility | Unsecured term loan
SECURED CREDIT FACILITY, UNSECURED CREDIT FACILITY AND SECURED TERM LOANS
Unsecured term loan borrowings outstanding					$ 200,000,000

MORTGAGE LOANS AND NOTES PAYA39

MORTGAGE LOANS AND NOTES PAYABLE - Summary (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Mortgage loans and Notes payable
Less: Loan procurement costs, net	$ (2,637)	$ (2,800)
Total mortgage loans and notes payable	101,716	111,455
Net book value of self-storage facilities	3,056,841	2,872,983
Mortgages
Mortgage loans and Notes payable
Carrying value	100,437	109,993
Unamortized fair value adjustment	1,983	2,219
Less: Loan procurement costs, net	(704)	(757)
Total mortgage loans and notes payable	101,716	111,455
Net book value of self-storage facilities	$ 167,400	195,400
YSI 59
Mortgage loans and Notes payable
Carrying value		9,012
Effective interest rate (as a percent)	4.82%
YSI 60
Mortgage loans and Notes payable
Carrying value	$ 3,530	3,546
Effective interest rate (as a percent)	5.04%
YSI 51
Mortgage loans and Notes payable
Carrying value	$ 6,953	6,984
Effective interest rate (as a percent)	5.15%
YSI 64
Mortgage loans and Notes payable
Carrying value	$ 7,745	7,781
Effective interest rate (as a percent)	3.54%
YSI 62
Mortgage loans and Notes payable
Carrying value	$ 7,801	7,835
Effective interest rate (as a percent)	3.54%
YSI 33
Mortgage loans and Notes payable
Carrying value	$ 10,082	10,154
Effective interest rate (as a percent)	6.42%
YSI 26
Mortgage loans and Notes payable
Carrying value	$ 8,560	8,606
Effective interest rate (as a percent)	4.56%
YSI 57
Mortgage loans and Notes payable
Carrying value	$ 3,005	3,021
Effective interest rate (as a percent)	4.61%
YSI 55
Mortgage loans and Notes payable
Carrying value	$ 23,265	23,369
Effective interest rate (as a percent)	4.85%
YSI 24
Mortgage loans and Notes payable
Carrying value	$ 27,007	27,185
Effective interest rate (as a percent)	4.64%
YSI 65
Mortgage loans and Notes payable
Carrying value	$ 2,489	$ 2,500
Effective interest rate (as a percent)	3.85%

MORTGAGE LOANS AND NOTES PAYA40

MORTGAGE LOANS AND NOTES PAYABLE - Future Payments (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Future principal payment requirements on the outstanding mortgage loans and notes payable at year end
Less: Loan procurement costs, net	$ (2,637)	$ (2,800)
Total mortgage indebtedness	101,716	111,455
Mortgages
Future principal payment requirements on the outstanding mortgage loans and notes payable at year end
2,016	27,324
2,017	1,830
2,018	1,934
2,019	10,902
2,020	12,009
2021 and thereafter	46,438
Total mortgage payments	100,437	109,993
Unamortized fair value adjustment	1,983	2,219
Less: Loan procurement costs, net	(704)	(757)
Total mortgage indebtedness	$ 101,716	$ 111,455

ACCUMULATED OTHER COMPREHENSI41

ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)
Changes in accumulated other comprehensive income by component
Beginning balance	$ (4,978)
Ending balance	(5,302)
Unrealized losses on interest rate swaps
Changes in accumulated other comprehensive income by component
Beginning balance	(4,978)
Other comprehensive loss before reclassifications	(1,634)
Amounts reclassified from accumulated other comprehensive loss	1,310
Net current-period other comprehensive income (loss)	(324)
Ending balance	$ (5,302)

RISK MANAGEMENT AND USE OF FI42

RISK MANAGEMENT AND USE OF FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Dec. 31, 2015
Derivative financial instruments
Unrealized losses reclassified from accumulated other comprehensive loss	$ 1,300
Amount estimated to be reclassified as an increase to interest expense	3,800
Designated | Cash flow
Derivative financial instruments
Notional Amount	400,000
Fair Value	$ (5,773)	$ (5,445)
Maximum number of days outstanding to have the option to borrow at the LIBOR	30 days
Designated | Cash flow | Hedge Product, Swap one
Derivative financial instruments
Notional Amount	$ 40,000
Swap, Strike rate (as a percent)	1.8025%
Fair Value	$ (120)	(243)
Designated | Cash flow | Hedge Product, Swap two
Derivative financial instruments
Notional Amount	$ 40,000
Swap, Strike rate (as a percent)	1.8025%
Fair Value	$ (120)	(243)
Designated | Cash flow | Hedge Product, Swap three
Derivative financial instruments
Notional Amount	$ 20,000
Swap, Strike rate (as a percent)	1.8025%
Fair Value	$ (60)	(122)
Designated | Cash flow | Hedge Product, Swap four
Derivative financial instruments
Notional Amount	$ 75,000
Swap, Strike rate (as a percent)	1.336%
Fair Value	$ (581)	(540)
Designated | Cash flow | Hedge Product, Swap five
Derivative financial instruments
Notional Amount	$ 50,000
Swap, Strike rate (as a percent)	1.336%
Fair Value	$ (387)	(360)
Designated | Cash flow | Hedge Product, Swap six
Derivative financial instruments
Notional Amount	$ 50,000
Swap, Strike rate (as a percent)	1.336%
Fair Value	$ (387)	(360)
Designated | Cash flow | Hedge Product, Swap seven
Derivative financial instruments
Notional Amount	$ 25,000
Swap, Strike rate (as a percent)	1.3375%
Fair Value	$ (194)	(180)
Designated | Cash flow | Hedge Product, Swap eight
Derivative financial instruments
Notional Amount	$ 40,000
Swap, Strike rate (as a percent)	2.459%
Fair Value	$ (1,562)	(1,350)
Designated | Cash flow | Hedge Product, Swap nine
Derivative financial instruments
Notional Amount	$ 40,000
Swap, Strike rate (as a percent)	2.4725%
Fair Value	$ (1,574)	(1,364)
Designated | Cash flow | Hedge Product, Swap ten
Derivative financial instruments
Notional Amount	$ 20,000
Swap, Strike rate (as a percent)	2.475%
Fair Value	$ (788)	$ (683)

FAIR VALUE MEASUREMENTS (Detail

FAIR VALUE MEASUREMENTS (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)item	Dec. 31, 2015USD ($)
Fair value of financial assets and liabilities carried at fair value
Aggregate carrying value of total debt	$ 1,300,000	$ 1,300,000
Estimated fair value of total debt	$ 1,300,000	1,300,000
Interest rate swap
Fair value of financial assets and liabilities carried at fair value
Number of counterparties to derivative contracts who experienced significant downgrades in 2015 | item	0
Level 2
Fair value of financial assets and liabilities carried at fair value
Total liabilities at fair value	$ 5,773	5,445
Level 2 | Interest rate swap
Fair value of financial assets and liabilities carried at fair value
Derivative Liabilities	$ 5,773	$ 5,445

NONCONTROLLING INTERESTS - Inte

NONCONTROLLING INTERESTS - Interests in Consolidated Real Estate Joint Ventures (Details) $ in Thousands, £ in Millions	1 Months Ended	3 Months Ended			12 Months Ended
	Jun. 30, 2014USD ($)facility	Mar. 31, 2016USD ($)property	Dec. 31, 2015USD ($)	Mar. 31, 2015USD ($)	Dec. 31, 2014USD ($)item	Dec. 31, 2013USD ($)	Dec. 31, 2008property	Oct. 02, 2015GBP (£)	Oct. 02, 2015USD ($)	Dec. 31, 2013GBP (£)	Dec. 31, 2013USD ($)
Interests in Consolidated Real Estate Joint Ventures
Reduction to additional paid in capital				$ 178
Exterior St
Interests in Consolidated Real Estate Joint Ventures
Option to put ownership interest in the venture		$ 37,800
Period of option to call ownership interest of another member		1 year
Period of option to put ownership interest in venture		1 year
Option to call ownership interest of another member		$ 37,800
Cropsey Ave
Interests in Consolidated Real Estate Joint Ventures
Option to put ownership interest in the venture		$ 20,400
Period of option to call ownership interest of another member		1 year
Period of option to put ownership interest in venture		1 year
Option to call ownership interest of another member		$ 20,400
Tilloston Ave
Interests in Consolidated Real Estate Joint Ventures
Ownership interest held by the entity (as a percent)		51.00%
Minority ownership interest (as a percent)		49.00%
Option to put ownership interest in the venture		$ 17,000
Period of option to call ownership interest of another member		1 year
Period of option to put ownership interest in venture		1 year
Option to call ownership interest of another member		$ 17,000
Accretion liability		17,000
Accrued accretion expenses		13,400
Total assets		22,200
Total liabilities		15,200
Jamaica Ave
Interests in Consolidated Real Estate Joint Ventures
Accretion liability		12,500
Total liabilities		$ 13,400
USIFB, LLP
Interests in Consolidated Real Estate Joint Ventures
Ownership interest held by the entity (as a percent)							97.00%
Number of self-storage facilities owned and operated | property							2
Carrying amount of mortgage loans										£ 4.1	$ 6,800
Gain (loss) from sale of land			$ 3,000
Number of assets sold | facility	1
Proceeds from sales of facilities, net	$ 7,000
Gain from sale of real estate			3,000
Foreign currency translation loss			$ (1,200)
Aggregate purchase or sale price								£ 6.5	$ 9,900
SRLLC
Interests in Consolidated Real Estate Joint Ventures
Ownership interest held by the entity (as a percent)		90.00%
Total assets		$ 16,700
Total liabilities		13,100
Carrying amount of mortgage loans		13,100
Amount of mortgage loan commitment		$ 14,600
Payments to acquire land for development						$ 13,100
Number of parcels in which the subdivision of land is done reporting period | item					2
Number of parcel sold | item					1
Proceeds from sales of facilities, net					$ 6,500
SNL
Interests in Consolidated Real Estate Joint Ventures
Ownership interest held by the entity (as a percent)		90.00%
Number of self-storage facilities owned and operated | property		2
Total assets		$ 31,300
Total liabilities		20,100
Carrying amount of mortgage loans		19,000
Amount of mortgage loan commitment		$ 22,600
Jamaica Ave
Interests in Consolidated Real Estate Joint Ventures
Ownership interest held by the entity (as a percent)		51.00%
Minority ownership interest (as a percent)		49.00%
Period of option to call ownership interest of another member		1 year
Option to call ownership interest of another member		$ 12,500
Total assets		31,800
Jamaica Ave | Jamaica Ave
Interests in Consolidated Real Estate Joint Ventures
Option to put ownership interest in the venture		$ 12,500
Period of option to put ownership interest in venture		1 year
Exterior St
Interests in Consolidated Real Estate Joint Ventures
Ownership interest held by the entity (as a percent)		51.00%
Minority ownership interest (as a percent)		49.00%
Accretion liability		$ 37,800
Accrued accretion expenses		2,100
Total assets		21,500
Total liabilities		$ 2,100
Cropsey Ave
Interests in Consolidated Real Estate Joint Ventures
Ownership interest held by the entity (as a percent)		51.00%
Minority ownership interest (as a percent)		49.00%
Accretion liability		$ 20,400
Accrued accretion expenses		4,500
Total assets		13,300
Total liabilities		$ 4,600

NONCONTROLLING INTERESTS - Oper

NONCONTROLLING INTERESTS - Operating Partnership Ownership (Details) - USD ($) $ in Thousands	May. 14, 2015	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Operating Partnership Ownership
OP units issued (in shares)	20,408
Issuance of OP Units	$ 500
Additional consideration to be paid upon the completion of certain milestones within a specified period from closing	$ 1,500
Acrrued liability relating to the additional consideration to be paid in the acquisition of real property		$ 1,300
Increase to OP units owned by third parties and a corresponding decrease to capital		$ 6,073	$ 4,982
CubeSmart, L.P. and Subsidiaries
Operating Partnership Ownership
OP Units outstanding which are not owned by the general partner (as a percent)		1.20%		1.20%
OP units outstanding (in shares)		2,159,650		2,159,650
Number of trading days used to determine average of the closing prices of the common shares		10 days
Increase to OP units owned by third parties and a corresponding decrease to capital		$ 6,073	$ 4,982	$ 19,600

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) $ in Millions	Mar. 30, 2016facility	Dec. 08, 2015facility	Mar. 31, 2016USD ($)	Mar. 31, 2015USD ($)	Dec. 31, 2015USD ($)
HVP
RELATED PARTY TRANSACTIONS
Number of Real Estate Properties Acquired | facility		30
Joint ventures related to affiliated real estate investments
RELATED PARTY TRANSACTIONS
Management fees			$ 0.5	$ 0.2
Amounts due to the Company from related parties			1.9		$ 1.9
Mortgage loans receivable from consolidated joint ventures			$ 32		$ 29.6
Joint ventures related to affiliated real estate investments | HVP
RELATED PARTY TRANSACTIONS
Acquisition fee (as a percent)			0.50%
Acquisition fees			$ 0.6
Number of Real Estate Properties Acquired | facility	30
Joint ventures related to affiliated real estate investments | Minimum
RELATED PARTY TRANSACTIONS
Management fee (as a percent)			5.00%
Joint ventures related to affiliated real estate investments | Maximum
RELATED PARTY TRANSACTIONS
Management fee (as a percent)			6.00%

PRO FORMA FINANCIAL INFORMATI47

PRO FORMA FINANCIAL INFORMATION (Details) $ / shares in Units, $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2016USD ($)property$ / shares	Mar. 31, 2015USD ($)$ / shares	Dec. 31, 2015USD ($)property
Consolidated results of operations on a pro forma basis
Pro forma revenue | $	$ 120,091	$ 111,948
Pro forma income | $	$ 23,672	$ 12,924
Earnings per share from continuing operations:
Basic and diluted - as reported (in dollars per share) | $ / shares	$ 0.08	$ 0.04
Basic - as pro forma (in dollars per share) | $ / shares	0.13	0.07
Diluted - as pro forma (in dollars per share) | $ / shares	$ 0.12	$ 0.07
Self-storage facilities
Self-storage facilities
Number of self-storage facilities acquired | property	10		29
Aggregate purchase or sale price | $	$ 184,400		$ 292,400

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) $ in Millions	Mar. 30, 2016facility	Dec. 08, 2015facility	Apr. 25, 2016USD ($)facility
Assets in Colorado and Texas 2016 Transaction
Subsequent Events
Purchase price of acquisition | $			$ 23
HVP
Subsequent Events
Number of self-storage facilities acquired	30	31
Tennessee | HVP
Subsequent Events
Number of self-storage facilities acquired		5
Massachusetts | HVP
Subsequent Events
Number of self-storage facilities acquired		6
Subsequent event | Assets in Colorado and Texas 2016 Transaction
Subsequent Events
Number of self-storage facilities acquired			2
Subsequent event | HVP | Assets in Tennessee and Massachusetts 2016 Transaction
Subsequent Events
Number of self-storage facilities acquired			5
Purchase price of acquisition | $			$ 36.1
Subsequent event | Colorado | Assets in Colorado and Texas 2016 Transaction
Subsequent Events
Number of self-storage facilities acquired			1
Subsequent event | Texas | Assets in Colorado and Texas 2016 Transaction
Subsequent Events
Number of self-storage facilities acquired			1
Subsequent event | Tennessee | HVP | Assets in Tennessee and Massachusetts 2016 Transaction
Subsequent Events
Number of self-storage facilities acquired			4
Subsequent event | Massachusetts | HVP | Assets in Tennessee and Massachusetts 2016 Transaction
Subsequent Events
Number of self-storage facilities acquired			1

CONSOLIDATED BALANCE SHEETS (LP

CONSOLIDATED BALANCE SHEETS (LP cube) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
ASSETS
Storage facilities	$ 3,679,665	$ 3,467,032
Less: Accumulated depreciation	(622,824)	(594,049)
Storage facilities, net (including VIE assets of $169,141 and $136,274, respectively)	3,056,841	2,872,983
Cash and cash equivalents	2,754	62,869
Restricted cash	2,652	24,600
Loan procurement costs, net of amortization	2,637	2,800
Investment in real estate venture, at equity	100,477	97,281
Other assets, net	41,326	43,631
Total assets	3,206,687	3,104,164
LIABILITIES AND CAPITAL
Unsecured senior notes, net	742,153	741,904
Revolving credit facility	54,300
Unsecured term loan	398,325	398,183
Mortgage loans and notes payable, net	101,716	111,455
Accounts payable, accrued expenses and other liabilities	96,245	85,034
Distributions payable	39,210	38,685
Deferred revenue	18,673	17,519
Security deposits	397	403
Total liabilities	1,451,019	1,393,183
Limited Partnership interests of third parties	$ 71,916	$ 66,128
Commitments and contingencies
Capital
Accumulated other comprehensive loss	$ (5,302)	$ (4,978)
Total liabilities and equity	3,206,687	3,104,164
CubeSmart, L.P. and Subsidiaries
ASSETS
Storage facilities	3,679,665	3,467,032
Less: Accumulated depreciation	(622,824)	(594,049)
Storage facilities, net (including VIE assets of $169,141 and $136,274, respectively)	3,056,841	2,872,983
Cash and cash equivalents	2,754	62,869
Restricted cash	2,652	24,600
Loan procurement costs, net of amortization	2,637	2,800
Investment in real estate venture, at equity	100,477	97,281
Other assets, net	41,326	43,631
Total assets	3,206,687	3,104,164
LIABILITIES AND CAPITAL
Unsecured senior notes, net	742,153	741,904
Revolving credit facility	54,300
Unsecured term loan	398,325	398,183
Mortgage loans and notes payable, net	101,716	111,455
Accounts payable, accrued expenses and other liabilities	96,245	85,034
Distributions payable	39,210	38,685
Deferred revenue	18,673	17,519
Security deposits	397	403
Total liabilities	1,451,019	1,393,183
Limited Partnership interests of third parties	71,916	66,128
Capital
Operating Partner	1,687,595	1,648,305
Accumulated other comprehensive loss	(5,302)	(4,978)
Total CubeSmart, L.P. capital	1,682,293	1,643,327
Noncontrolling interests in subsidiaries	1,459	1,526
Total capital	1,683,752	1,644,853
Total liabilities and equity	$ 3,206,687	$ 3,104,164

CONSOLIDATED BALANCE SHEETS (50

CONSOLIDATED BALANCE SHEETS (Parenthetical) (LP cube) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Storage facilities, net	$ 3,056,841	$ 2,872,983
VIE
Storage facilities, net	169,141	136,274
CubeSmart, L.P. and Subsidiaries
Storage facilities, net	3,056,841	2,872,983
CubeSmart, L.P. and Subsidiaries | VIE
Storage facilities, net	$ 169,141	$ 136,274

CONSOLIDATED STATEMENTS OF OP51

CONSOLIDATED STATEMENTS OF OPERATIONS (LP cube) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
REVENUES
Rental income	$ 104,997	$ 91,556
Other property related income	11,763	10,543
Property management fee income	2,111	1,589
Total revenues	118,871	103,688
OPERATING EXPENSES
Property operating expenses	40,219	37,431
Depreciation and amortization	39,356	37,895
General and administrative	8,228	7,173
Acquisition related costs	2,342	510
Total operating expenses	90,145	83,009
OPERATING INCOME	28,726	20,679
Interest:
Interest expense on loans	(12,084)	(11,057)
Loan procurement amortization expense	(605)	(546)
Equity in losses of real estate ventures	(512)	(238)
Other	330	(316)
Total other expense	(12,871)	(12,157)
NET INCOME	15,855	8,522
NET (INCOME) LOSS ATTRIBUTABLE TO NONCONTROLLING INTERESTS
Noncontrolling interest in subsidiaries	67	3
Operating Partnership interests of third parties	(172)	(91)
Distribution to preferred unitholders	(1,502)	(1,502)
NET INCOME ATTRIBUTABLE TO THE COMPANY'S COMMON SHAREHOLDERS	$ 14,248	$ 6,932
Diluted earnings per unit attributable to common unitholders (in dollars per share)	$ 0.08	$ 0.04
Weighted-average basic units outstanding (in units)	175,798	165,502
Weighted-average diluted units outstanding (in units)	177,261	167,165
AMOUNTS ATTRIBUTABLE TO COMMON UNITHOLDERS:
Net income	$ 14,248	$ 6,932
CubeSmart, L.P. and Subsidiaries
REVENUES
Rental income	104,997	91,556
Other property related income	11,763	10,543
Property management fee income	2,111	1,589
Total revenues	118,871	103,688
OPERATING EXPENSES
Property operating expenses	40,219	37,431
Depreciation and amortization	39,356	37,895
General and administrative	8,228	7,173
Acquisition related costs	2,342	510
Total operating expenses	90,145	83,009
OPERATING INCOME	28,726	20,679
Interest:
Interest expense on loans	(12,084)	(11,057)
Loan procurement amortization expense	(605)	(546)
Equity in losses of real estate ventures	(512)	(238)
Other	330	(316)
Total other expense	(12,871)	(12,157)
NET INCOME	15,855	8,522
NET (INCOME) LOSS ATTRIBUTABLE TO NONCONTROLLING INTERESTS
Noncontrolling interest in subsidiaries	67	3
NET INCOME (LOSS) ATTRIBUTABLE TO CUBESMART L.P.	15,922	8,525
Operating Partnership interests of third parties	(172)	(91)
NET INCOME ATTRIBUTABLE TO OPERATING PARTNER	15,750	8,434
Distribution to preferred unitholders	(1,502)	(1,502)
NET INCOME ATTRIBUTABLE TO THE COMPANY'S COMMON SHAREHOLDERS	$ 14,248	$ 6,932
Basic earnings per unit attributable to common unitholders	$ 0.08	$ 0.04
Diluted earnings per unit attributable to common unitholders (in dollars per share)	$ 0.08	$ 0.04
Weighted-average basic units outstanding (in units)	175,798	165,502
Weighted-average diluted units outstanding (in units)	177,261	167,165
AMOUNTS ATTRIBUTABLE TO COMMON UNITHOLDERS:
Net income	$ 14,248	$ 6,932

CONSOLIDATED STATEMENTS OF CO52

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (LP cube) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
NET INCOME	$ 15,855	$ 8,522
Other comprehensive (loss) income:
Unrealized losses on interest rate swaps	(1,654)	(2,329)
Reclassification of realized losses on interest rate swaps	1,326	1,565
Unrealized loss on foreign currency translation		(337)
OTHER COMPREHENSIVE LOSS	(324)	(1,086)
OTHER COMPREHENSIVE LOSS	(328)	(1,101)
COMPREHENSIVE INCOME	15,527	7,421
Comprehensive income attributable to Operating Partnership interests of third parties	(168)	(76)
Comprehensive loss attributable to noncontrolling interest in subsidiaries	67	13
COMPREHENSIVE INCOME ATTRIBUTABLE TO THE COMPANY	15,426	7,358
CubeSmart, L.P. and Subsidiaries
NET INCOME	15,855	8,522
Other comprehensive (loss) income:
Unrealized losses on interest rate swaps	(1,654)	(2,329)
Reclassification of realized losses on interest rate swaps	1,326	1,565
Unrealized loss on foreign currency translation		(337)
OTHER COMPREHENSIVE LOSS	(324)	(1,086)
OTHER COMPREHENSIVE LOSS	(328)	(1,101)
COMPREHENSIVE INCOME	15,527	7,421
Comprehensive income attributable to Operating Partnership interests of third parties	(168)	(76)
Comprehensive loss attributable to noncontrolling interest in subsidiaries	67	13
COMPREHENSIVE INCOME ATTRIBUTABLE TO THE COMPANY	$ 15,426	$ 7,358

CONSOLIDATED STATEMENTS OF CAPI

CONSOLIDATED STATEMENTS OF CAPITAL (LP cube) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Increase (Decrease) in Partners' Capital
Balance of Noncontrolling Interests in the Operating Partnership	$ 66,128
Contributions from noncontrolling interests in subsidiaries		$ 178
Adjustment for Operating Partnership interests of third parties	(6,073)	(4,982)
Net income (loss)	15,683	8,431
Other comprehensive income (loss), net	(324)	(1,086)
Balance of Noncontrolling Interests in the Operating Partnership	71,916		$ 66,128
Noncontrolling Interests in Operating Partnership
Increase (Decrease) in Partners' Capital
Balance of Noncontrolling Interests in the Operating Partnership	66,128	49,823	49,823
Adjustment for Operating Partnership interests of third parties	6,073	4,982
Net income (loss)	172	91
Other comprehensive income (loss), net	(4)	(15)
Balance of Noncontrolling Interests in the Operating Partnership	71,916	54,446	66,128
CubeSmart, L.P. and Subsidiaries
Increase (Decrease) in Partners' Capital
Balance	1,644,853	1,449,618	1,449,618
Balance of Noncontrolling Interests in the Operating Partnership	66,128
Contributions from noncontrolling interests in subsidiaries		178
Issuance of common OP units	62,890	29,441
Issuance of restricted OP units	1	1
Conversion from units to shares		74
Exercise of OP unit options	5,887	8,438
Amortization of restricted OP units	(712)	(789)
OP unit compensation expense	304	244
Adjustment for Operating Partnership interests of third parties	(6,073)	(4,982)	(19,600)
Net income (loss)	15,683	8,431
Other comprehensive income (loss), net	(324)	(1,086)
Preferred OP unit distributions	(1,502)	(1,502)
Common OP unit distributions	(37,255)	(26,617)
Balance	1,683,752	1,461,449	1,644,853
Balance of Noncontrolling Interests in the Operating Partnership	71,916		66,128
CubeSmart, L.P. and Subsidiaries | Noncontrolling Interests in Operating Partnership
Increase (Decrease) in Partners' Capital
Balance of Noncontrolling Interests in the Operating Partnership	66,128	49,823	49,823
Conversion from units to shares		(74)
Adjustment for Operating Partnership interests of third parties	6,073	4,982
Net income (loss)	172	91
Other comprehensive income (loss), net	(4)	(15)
Common OP unit distributions	(453)	(361)
Balance of Noncontrolling Interests in the Operating Partnership	71,916	54,446	66,128
CubeSmart, L.P. and Subsidiaries | Total Shareholders' Equity
Increase (Decrease) in Partners' Capital
Balance	1,643,327	1,448,026	1,448,026
Issuance of common OP units	62,890	29,441
Issuance of restricted OP units	1	1
Conversion from units to shares		74
Exercise of OP unit options	5,887	8,438
Amortization of restricted OP units	(712)	(789)
OP unit compensation expense	304	244
Adjustment for Operating Partnership interests of third parties	(6,073)	(4,982)
Net income (loss)	15,750	8,434
Other comprehensive income (loss), net	(324)	(1,076)
Preferred OP unit distributions	(1,502)	(1,502)
Common OP unit distributions	(37,255)	(26,617)
Balance	1,682,293	1,459,692	1,643,327
CubeSmart, L.P. and Subsidiaries | Operating Partner
Increase (Decrease) in Partners' Capital
Balance	$ 1,648,305	$ 1,456,785	$ 1,456,785
Balance (in units)	174,668	163,957	163,957
Issuance of common OP units	$ 62,890	$ 29,441
Issuance of common OP units (in units)	2,023	1,210
Issuance of restricted OP units	$ 1	$ 1
Issuance of restricted OP units (in units)	106	126
Conversion from units to shares		$ 74
Conversion from units to shares (in units)		3
Exercise of OP unit options	$ 5,887	$ 8,438
Exercise of OP unit options (in units)	330	855
Amortization of restricted OP units	$ (712)	$ (789)
OP unit compensation expense	304	244
Adjustment for Operating Partnership interests of third parties	(6,073)	(4,982)
Net income (loss)	15,750	8,434
Preferred OP unit distributions	(1,502)	(1,502)
Common OP unit distributions	(37,255)	(26,617)
Balance	$ 1,687,595	$ 1,469,527	$ 1,648,305
Balance (in units)	177,127	166,151	174,668
CubeSmart, L.P. and Subsidiaries | Preferred Operating Partner
Increase (Decrease) in Partners' Capital
Balance (in units)	3,100	3,100	3,100
Balance (in units)	3,100	3,100	3,100
CubeSmart, L.P. and Subsidiaries | Accumulated Other Comprehensive (Loss) Income
Increase (Decrease) in Partners' Capital
Balance	$ (4,978)	$ (8,759)	$ (8,759)
Other comprehensive income (loss), net	(324)	(1,076)
Balance	(5,302)	(9,835)	(4,978)
CubeSmart, L.P. and Subsidiaries | Noncontrolling Interest in Subsidiaries
Increase (Decrease) in Partners' Capital
Balance	1,526	1,592	1,592
Contributions from noncontrolling interests in subsidiaries		178
Net income (loss)	(67)	(3)
Other comprehensive income (loss), net		(10)
Balance	$ 1,459	$ 1,757	$ 1,526

CONSOLIDATED STATEMENTS OF CA54

CONSOLIDATED STATEMENTS OF CASH FLOWS (LP cube) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Operating Activities
Net income	$ 15,855	$ 8,522
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation and amortization	39,961	38,441
Equity in losses of real estate ventures	512	238
Equity compensation expense	(408)	(545)
Accretion of fair market value adjustment of debt	(236)	(395)
Changes in other operating accounts:
Restricted cash	(233)	(288)
Other assets	808	136
Accounts payable and accrued expenses	5,013	(3,399)
Other liabilities	661	715
Net cash provided by operating activities	61,933	43,425
Investing Activities
Acquisitions of storage facilities	(158,457)	(41,347)
Additions and improvements to storage facilities	(6,609)	(4,948)
Development costs	(28,273)	(9,155)
Investment in real estate venture, at equity	(5,498)
Cash distributed from real estate venture	1,791	1,553
Change in restricted cash	162	(31)
Net cash used in investing activities	(196,884)	(53,928)
Proceeds from:
Revolving credit facility	301,300	161,900
Principal payments on:
Revolving credit facility	(247,000)	(159,900)
Mortgage loans and notes payable	(9,556)	(1,283)
Loan procurement costs		(19)
Contributions from noncontrolling interests in subsidiaries		178
Distributions paid to common OP unitholders	(36,730)	(26,274)
Distributions paid to preferred OP unitholders	(1,502)	(1,502)
Net cash provided by financing activities	74,836	10,619
Change in cash and cash equivalents	(60,115)	116
Cash and cash equivalents at beginning of period	62,869	2,901
Cash and cash equivalents at end of period	2,754	3,017
Supplemental Cash Flow and Noncash Information
Cash paid for interest, net of interest capitalized	10,756	12,115
Supplemental disclosure of noncash activities:
Restricted cash - acquisition of storage facilities	(22,019)
Accretion Of Liability	7,886	3,619
Derivative valuation adjustment	(328)	(764)
Foreign currency translation adjustment		(337)
Mortgage loan assumption - acquisitions of storage facilities		2,695
CubeSmart, L.P. and Subsidiaries
Operating Activities
Net income	15,855	8,522
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation and amortization	39,961	38,441
Equity in losses of real estate ventures	512	238
Equity compensation expense	(408)	(545)
Accretion of fair market value adjustment of debt	(236)	(395)
Changes in other operating accounts:
Restricted cash	(233)	(288)
Other assets	808	136
Accounts payable and accrued expenses	5,013	(3,399)
Other liabilities	661	715
Net cash provided by operating activities	61,933	43,425
Investing Activities
Acquisitions of storage facilities	(158,457)	(41,347)
Additions and improvements to storage facilities	(6,609)	(4,948)
Development costs	(28,273)	(9,155)
Investment in real estate venture, at equity	(5,498)
Cash distributed from real estate venture	1,791	1,553
Change in restricted cash	162	(31)
Net cash used in investing activities	(196,884)	(53,928)
Proceeds from:
Revolving credit facility	(301,300)	(161,900)
Principal payments on:
Revolving credit facility	(247,000)	(159,900)
Mortgage loans and notes payable	(9,556)	(1,283)
Loan procurement costs		(19)
Proceeds from issuance of common OP units	62,891	29,442
Exercise of OP unit options	5,887	8,438
Contributions from noncontrolling interests in subsidiaries		178
Distributions paid to common OP unitholders	(37,184)	(26,635)
Distributions paid to preferred OP unitholders	(1,502)	(1,502)
Net cash provided by financing activities	74,836	10,619
Change in cash and cash equivalents	(60,115)	116
Cash and cash equivalents at beginning of period	62,869	2,901
Cash and cash equivalents at end of period	2,754	3,017
Supplemental Cash Flow and Noncash Information
Cash paid for interest, net of interest capitalized	10,756	12,115
Supplemental disclosure of noncash activities:
Restricted cash - acquisition of storage facilities	(22,019)
Accretion Of Liability	7,886	3,619
Derivative valuation adjustment	$ (328)	(764)
Foreign currency translation adjustment		(337)
Mortgage loan assumption - acquisitions of storage facilities		$ 2,695