National Storage Affiliates Trust (NSA) 29 Feb 242023 Q4 Earnings call transcript

Greetings. Welcome to National Storage Affiliates Fourth Quarter 2023 Conference Call. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, George Hoglund, Vice President of Investor Relations for National Storage Affiliates. Thank you, Mr. Hoglund.

begin. may You

thank Fourth to Storage joining today us Trust. We'd XXXX you Earnings the Quarter National Conference for like for Call Affiliates of

On NSA's today Cramer; me CFO, the CEO, and and Dave are Togashi. Brandon line with President here

accept will question Please if X from registered X you the queue follow-up and have management limit remarks, financial questions questions. your prepared questions Following to more to and analysts. then return

detail press the Relations supplemental release distributed our we be afternoon, may our additional website section at Investor to yesterday package nationalstorageaffiliates.com. furnished found with addition on our the which results, In in on

On from update February that or after circumstances today's The date and revise changing of management's remarks XXXX. no forward-looking assumes XX, risks results estimates forward-looking uncertainties statements because actual forward-looking your or and may answers projected management's company call, The any may company market conference contain other conditions questions materially to statement. to prepared of are obligation and those call. today, subject cautions of in that represent this to any as the statements differ

additional forward-looking concerning please refer details our filings with SEC. For public statements, the to our

now review our measures, website and in and in FFO on the the listeners of SEC non-GAAP information over reconciliations turn package will financial call supplemental the We encourage net operating also Investor the such section Relations to Core FFO, to contained as definitions and income available Dave. filings. I in our

that for Platform to our have our NSA. and phase XXXX Initiatives. strategically made off busy at a growth. for Process next George, We with very in position Thanks, pleased accomplished capped and in progress year everyone, call us of all I'm today. quarter the joining we Fourth thanks, significant here People,

key enhance optimization in our in as including machine transactions, busy. our hiring our in includes joined our management Teams release, plan, the Strategy models. areas, to many asset People sales and team, elevated a is as as invested Will hiring venture utilization leading who portfolio and June artificial has he models. our marketing intelligence, focused we've our we Will's detailed is moves in our and notable NSA data paid We including Cowan, and been acquisitions This joint handful pricing of Chief additional revenue customer rate front, made science On in team. Officer. which on of enhancing learning processes and front-end customer talent through our decisions intelligence and improved

including new invested position rates data conversion We to also XXXX, a upgraded better and of work customer system, platform. facilitate proud and upgrades property the These to warehouse growth to what to revenue over intelligence, and in strategies. Needless and management more customer have NSA marketing in increased sophisticated platforms web our experience, us say, diligently new and enhanced XXXX, in enhanced they deliver term. long very accomplished a position team management I'm

focused on puts on Teams to turning the remained maximize where played better operations balancing are There but markets high, in quarter. rate the expense fourth quarter, to out also occupancy especially for than our customers modestly new quarter and challenging supply several on the we and Now we have revenue for remains in takes asking focused remain whole, pressures. the Competition an front. control. Quarter rate while on expectations.

aiding us in Our environment. improvements the and team in navigating technology challenging certainly are

above remains to but base averages. stay historical like healthy, Our existing customer

we're the that that of Keep in being months and Continued conditions mind seeing to bottom. up is ability the stability for February occupancy to while evidence in first allowing implement rate, ends rates the wait and and year, the drop seasonal occur couple improve. we of in tends ECRIs demand likely to achieve

housing muted Sunbelt we remain is the due term, markets the migration below Phoenix, to broader at supply. Longer population MSA's our Sarasota average. markets, and due prospects Sunbelt very trends. With looking our in performing Vegas, new Lastly, and portfolio Las facing to the challenges all market confident different and currently like growth demand of

Now a very to a year, optimization had busy to the start strategies. portfolio fourth our We and turning following. including new quarter the

were sales a to December, half we of growth end Portfolio price sold we're closing First, portfolio. in the lower smaller margins February. lower our the that $XXX also and portfolio large our private than operator generally million. and with remaining and average, gross of markets one properties of consisted of for of XX properties storage with less The prospects portfolio assets generally than a portfolio a closed year in had The although straddled geographically assets concentrated.

efficiencies, our improves for such, generates operational balance sheet growth sale enhanced our prospects capital and long-term As the initiatives.

retained and we the we are of so that and We've XX sheet assets. JV we a February revenue-enhancing we contributed We flexibility bring venture on to want almost XX% structure. these $XXX assets, this balance in one million our existing JV partners. formed newly felt future. assets markets Second, on unlocked best these of These were a interest own the and to that venture a right totaling to off-balance the with maintain sheet properties because had joint opportunities joint they offer in the assets chose in term, back first long

we capital JV take and And acquisition of start a This million through $XXX venture a placement. which will billion XX%, a $X with we additional we power. last, The implies in that up XXXX. of an of leverage XXXX million up advantage partner. debt commitments, allowed formed to maximum JV has to of capital materialize $XXX buying new think private provides capital to opportunities raised existing joint total growth into of to Third, with also

to By completing these eliminated rate able activities, revolver debt. we all entire to repay floating our and exposure were of our balance

reduce few transactions quality, risk, short, significantly over and Net growth portfolio efficiencies, our enhance of the We also in $XX to FFO improved reduced and been common quarters. sheet past prospects concentration delivered million for of generation our we've quarter fourth and term. an share and the balance of additional strategically enhancing operational capital We've count these investment we've growth bought going million forward, the shares position future better long what and over on back $XX dry impact year-to-date. powder on improve messaging are acquisitions. In

turn the I'll to call over Brandon our financial results. to discuss

FFO of you, partially the we decrease the over prior higher an by $X.XX NOI same-store coming average share driven period, high a last approximately buyback and of core the guidance core per for in of reported growth At than midpoint. a of increase XXXX represent Yesterday the full in and announced Thank we by Dave. afternoon, $X.XX X% and the reduction program. revised NOI FFO of fourth by in guidance end per range, same-store expense, year for These in quarter the middle offset driven attributable acquisitions, share weighted year, overshadows shares year. share outstanding, to from performance it primarily our interest the

basis same-store year-over-year, a For occupancy ended marketing last offset growth partially driven year. Expense and drivers XX%, Similar foot below flat per rent on fourth average down revenue to the by in point to points in insurance, of prior quarters, competition spend the while Occupancy the property for quarter remain growth XXX decline the versus main a the payroll tax, revenue were X.X% by at full in basis past XXX basis, increased quarter, points year-over-year basis and due resulted growth couple during customers X.X%, by quarter. occupancy the that was period. square finished Marketing the January was a XXX and efficiencies growth quarter year. tough expenses X.X% in of offset the lower for year comp. elevated of

policy growth X. coming out until be to expense this continue insurance high will April level While at renewal our

earlier, busy the was and to XXXX quarter mentioned joint it venture Dave a As start asset sales front. and on

totaling and continue during to X million. also purchased quarter, opportunities evaluate $XX We assets acquisition the

our or our captive This other pipeline activity One of assets was our through all market captive off channels. year utilizing brought totaling full asset $XXX properties, pros, and sourced the their of in relationships was these million, industry. off-market to by the one local our acquisition pipeline XX from

ourselves B Looking at $XXX our revolver million, million repay JV used transactions to we've approximately of Dave our and sale July share common reducing proceeds rate to our Loan count FFO valuation, us growth approximately sourcing to revolver, new through enhance which our will opportunities significantly due by buy of which strategic from on our $XXX contribution as to of additional our up have debt these and since say, the over greater we all in the full, million earnings create to that matures repay share advantage Term shares of net back take eliminating and positioned capital they per our as growth time. arise. Needless have to position allowed of discounted the exposure, capital a portfolio of venture that today joint capacity transactions formation were all discussed, freeing $XXX floating in last call. These

summarize balance in and forma But that at the will won't see debt Turning sales X.Xx ] X.Xx. you our have would debt to sheet. was the which asset private net share repayments, leverage debt I buyback EBITDA all and to specifics activity, been our the highlight year-end the our end, or at with pro [ details I placement can of quarter our leverage of disclosures.

is remains guidance, XXXX to The very Now environment the interest start occupancy. which uncertainty rates which to yesterday. on year weighing And rental moving remains in leasing release. on season. introduced their range of rates, we regarding and full our factored year, on competitive are the a market guidance scenarios in the earnings turn, and the detailed into assumptions, which housing wide spring thus impact We've operating

follows. on a assumes same-store of of our occupancy the of housing fueled in muted of end Low-end of our midpoints part assumes of seasonality, growth downward customer growth $X.XX. throughout of guidance And with a return The level year. acquisition operating continued remaining Core items typical growth range key per The modest the share negative volume high pressure of X%, incorporates seasonality, $XXX occupancy of midpoint Same-store FFO demand. the normalization revenue rate million and X%, to expense due flat market. and by X%, same-store as negative are NOI relatively guidance toward of

self-storage the guidance fundamentals. be While healthy with backdrop our at purchases which pent-up demand a some for a creates for outlook, will range outcomes, point, an supply improving home reflects unlocked, wide combined of

Thanks our call again today. for joining

turn questions. it Let's operator to the Operator? back now your take to

[Operator Capital first Todd from with Instructions] question Thomas Our KeyBanc is Markets.

questions. few A

commented the guess, you optimization portfolio progress on towards the progress company's significant I with process. initiatives. you've made the Dave, that you've strategic made First, -- on

is about sale then guess, pricing for implied can portfolio contributions? to venture do you moving about the the the announced more has here? talk think first, from So forward joint beyond we there been I as And what also and

Yes. Thanks Sure, for today. Todd. joining

you as of a about positioning lifting, I ourselves JVs think us grow. the think puts heavy the can majority and now assets of we where formation from the of the sale in place

we Our advantage balance take of to positioned back the sheet this year well towards that is and going come XXXX. think are half into opportunities of to

we the of the team And heavy of out the early that accomplishments set majority they've And made. of worked what year, back through extremely do lifting and this so I'm last the very, last half that done, year. part really to proud is of August, hard very

or And aspect, will piece X about just nearly bottom XX portfolio it. a of our it. had more lot if ourselves, you through that X that that of XX not where from piece so asked on sale, We it -- of of of magnitude a additional around be first, and I that the places the you think would assets. from sale on better so we at capital, was talk pruning portfolio the that at sales It and to tell that selective let's really The a cap assets. that the assets. and was portfolio, went cap the basis, about studied right things the could to rate those we on find top the recycle on

the that. it it So bit the primary really in if was pieces XX -- you little think through Southeast, down, states, you a broke the of Midwest, if XX was properties, about the it

markets think XX% X aspect, bigger markets less. Augustine. or assets And which had St. you about if we the and If think from had X then was it, exited, X we probably you major of Louis that over --

to growth, that really find could a take redeploy where where long And we revenue-enhancing better strategy the but the different take additional want we we portfolio really good assets at portfolio just efficiencies, ability and that look was it could that think JV, thought operational around did long there and some a job a term, so those I time through good our scenario job growth, for we term we on really Those lot a projects external we where do weren't a position of a team in capital some and coming sale we executing the there. own drive to as of having little at revenue are facilities. to again, assets. The did

us some with And more up some dollars but we will JV the those time so we and a into market come with those back an overall use assets into and effectively and team our the back spun in assets to those at a to lock those partner, us future, point put to performance allow want for to existing improve did JV that into also improve and position in properties buy portfolio. to capital

partner were our the Both future. for great strategies that, obviously, good through on of the working sale with and the appreciative participants, of executed working did well. a relationship both buyer Timing us. good forward And we're us. transition was a think of JV looking existing great that. a the I of partner, the They to job that So assets there very those very and then

portfolio part On -- I'm X. low sorry, was JV the a JV the assets

Sorry, ]. I cap out from rate that left a [

venture will the Got the of you like it. That's talk fee about just the And X helpful. ventures, tenant sort be and joint discuss will reinsurance NSA you structure And the income then what arrangement can what for look between joint like? partners? can

they're to similar JVs say previous lot of there. set had structure. I I'd probably detail up a in we've that very the get won't Yes,

that partner past. used same so in And we've the

similar So are very themselves the their JV and design structure in their makeup.

would structures there. around but with previous that had and just so going not tenant a details we've the that get JVs, fee of be lot And sharing of to insurance I'm

from is Capital. Spenser Green Our question with next Street Allaway

those would the make in XX sure achieved structure. were opportunities correctly, But have that JV the front? that's is understood like are the guys for assets to on best play. seem what be I they an doesn't those those JV, revenue-enhancing operating Just talk think are? opportunities to the and revenue-enhancing that mentioned your I comments selected it you just And you there CapEx done operational you managing if about something assets, Can be

Yes.

-- significant Unit that. there's go Spenser, of reconfigurations, dollars we on and that We you're a -- improve think thanks it, on the I touching and we and have put the for end to in things today. joining the properties. look way CapEx like certainly properties front appeal the JV at from street few

And getting their so was X dollars really competitor deployed in the within was there and XX upfront that properties really of hard upfront the months, put for improved be to work on to amount sets. an capital

looks unlocking so of that And of what that's that enhancing really revenue that like. piece

in prospects how as prospects? those you margins average like kind fared Okay. Great. the well specifics, mentioned lower about are the And relative of bit of in terms then more when margins growth in to as made, and thought you portfolio portfolio you able of you share lower growth a little divestment to terms the how

So so Spenser, NOI margin the XX. our portfolio the Like And sale is in existing our assets this were the XX, low Brandon. in far, is high portfolio, XXs. XX,

So mid- NOI margin. to XX% high

Okay. Great.

And last just one. sorry,

through in that also on certain move But mentioned well to the have at you the you acquisitions you certainly did balance months. composition progress you you sheet guys portfolio and grow made you great that So in 'XX. and the you that positioned as few feel look comment last feel

and cost of about trading how you a your do financing at still that fairly given growing discount, impaired, dynamic? think However, capital NAV given double-digit

of question. to as started. think on offer things certainly the capital course, market. and get think to for the start with stores started the portfolios, probably there's we get to We a JVs going couple and with a small of see way portfolios the It's that's and opportunity we We great us, best think light, best

to come start starting little and realistic we're bit more think see pleased turn, that. I to about things so pricing, we as in are a properties

us And sheet And great markets I on we of the improve, conditions start. find JV team balance buy some one-off so will assets the as well. where these do for as then the place in to a is market believe can

Our question America. next from of with Bank Spector Jeff is

on wanted seeing [indiscernible], from on up Lizzie beginning the I go to evidence back Jeff. for February It's comments just ends likely bottom. the to that being

Just you're kind occupancy? clarify, more to that color of into new this wanted maybe giving confidence? that is to was some the for referring can you February trends customer seeing give rate on you And

-- activity, Thanks quarter, fourth was the really us for from in we fourth -- rental overly a Yes, an lot we out Well, saw quarter not the competitiveness. great really of question. of dynamic was as itself was a came it we joining. quarter. the There for net

focused much the revenue result. team Our at on very looking in

we dip and at as sets in January competitive rate into seen and where competitive volume is is year improvement, year. wanted last to down our really quarter, in February, finger to as not move-out patient compared so we've fourth And volume the trying think Move-out improved we've I we looked really we're rental what February And a year. and rental ourselves, and at volume in environment. What above position street we and rate and below year. volume. volumes Rental to volume January's last last rental move-out -- were volume seen looked the last

have in net to going February. month actually rental we're So a

conversion this still -- the coming rate we've pick rate X but the about to the the definitely is first months street we're encouraged fourth of the pick seen environment So move trend of competitive, think year. up out very the the change quarter in and up. activity We

cap sold rest December XX you then sales the And That's if the the properties wondering I is around made expectations activity any the February? And in portfolio dispositions -- and more rate of -- year? guys for helpful. like this separately, did was there disclose Okay. year in

to question. kind just Yes. I of Todd's talked

of cap assets, You properties, ] around X. rate And close And have we be are X X the that's the -- will for year, closings, said, rate really going to in as we closing On sale of the last right? [ that we which XX the have this asset a full March. was right it year. then X closed

so the of end And that. be will that

There year have areas again, of as last far year from probably year, to be As lifting a that are was this to to will of that we identified we effort still position be There and this sales perspective. properties transact heavy at. sale year, really on know half ourselves this year. this concerted But going assets still we're looking some in back we're the selective. done really the growth ready this for through are

manager then, on of Dave debt those X Lizzy at we put million reference, the interest of fees X.XX a earlier via on $XXX the cap ], JV portfolio point And as a after that did just rate. JV And the us [ that, assets. assets, as on to give that's low of rate

important proceeds, of a of from down out kind And the with line it of perspective, yield clear inside of partner were a getting terms which what of is that be was use rate. X.X at paying JV also so to our credit we us to immediate it for our of but in then

question ISI. next is from with Samir Our Khanal Evercore

you wide that. pretty mean, a it's growth I spoke about and curious just on a range. Brandon, bit little revenue guidance,

here biggest market? us is what or to factor something end? kind you low get Or it of Is top your swing understand it end what's housing help the the So the else? -- the kind of

underestimated our to and guidance their XXXX, I I the in hindsight, bit the -- our a revise in ago, second back rates. transition and our year I on important a rates mean I Yes. impact and say it, year on it's interest joining. mean, having severity beginning largely report, would we in we August look of generally with little quarter of for thanks But when think that business. housing. mobility is think I I rewinding on for impact obviously, mean, Samir,

and will mid-year rates And a general exactly this when at down, and consensus of beyond. that there's look thinking certainly, but a come people we when so lot that year, happens,

a So there's just to going the confidence don't of I think impact that spring. in lot a we're see meaningful

baked into expectations. And so that's our certainly

where our a not the rest improvement So at but and spring/summer, of in right midpoint And maybe assuming of then stay -- negative just run gets tremendous where relatively really rates it is is from occupancy kind flat comp, you kind the prior that of when we're flat from X% really you throughout And not that modest water guide, what and the the of that rates assuming a lift. now the Samir, really that's out year to really they the are. versus similarly, of kind tread midpoint. relatively year

it. you know the find of kind occupancy occupancy XXXX, could Okay. how I 'XX? in guess, how lower. guess, of have right maybe I points in versus you're occupancy. look you when But mean, to quarters Got through 'XX? basis about I we balance compare through And think and sort the about at us I trend help I rate think today Dave, should between XXX occupancy pre-pandemic, think

Yes, occupancy of there expense of there in markets, I personally with really some of could on. think the push see half rate what substantial environments and a going that competitive great improvement. a do the of think some was hold lot to And we competitive occupancy was rate. back really I at XXXX, nature that came happened the question.

I going ease. think to that's

a think few move and sit think will testing occupancy-based we of more a think I rate is where And view, for go opportunity objectives models, obviously to and it little our we're where can model. improve to where I today We if there around our point occupancy. be some higher earlier, standpoint, an prove about on to test we're occupancy. around But us And talking I he's points the need to to Brandon's that. we and look it success conditions at get are testing I strategy, to it it different best revenue that met. we're proves seeing out from being

market little basis market, color, a Portland, late in about the of rates come more we than more rate. the Samir, And points pandemic. the craziness they example. give were multiple lower actually prior stores years our at than to you of just XXXX, like an then. a I were throughout right, In mean XXX those all I'll that's for And like we're second cost maybe are biggest occupied

And so that's we to have it's a drive about can, to but just where try market rates clearly moving it's by situation, bashful where occupancy -- we market. been not

we're making level so on where market a those best And decisions we returns. think we the yield

That's right.

the a you amount why still Oklahoma pointed occupancy, at think If that the portfolio. if increases it's significant to That's City, [ look is the adverse which carrying you in down largest but of we balance, of ] Samir. one revenue

And condition, do competitiveness. that is transition a help And dynamic occupancy. around us a just worst the rate will from far hope the country, us hopefully, as grow behind as bit, the improves economic and macro so we that little

Citi. Eric Our next from with Wolfe is question

of if foot of that mentioned right? revenue the there? per to churn ECRIs going around levels you And that think, I get of guidance, sort you then which to talk occupied what would first, and it slightly see sort to is going at you're occupancy current get about expecting you're of to to your imply stay You up sort be midpoint sort guess, I rates, is XX%, second, moving need from of can that year-over-year. to flattish to

through year. contract greater as achieved we mean, carry I right. you're away we pretty yes, flat rates And much the question. great Yes,

our durable remarks, about has now. they're consumers, remained super right Our in opening talked we stable, very as existing and

helping our so is achieve And us program rate. the around contract ECRI stability really

are is our stable. remaining customers and our cadences the Our very same, the effectiveness we're lift giving

of be the the of These get we're are, and downs rate think to environment allows around tough some we really, changes some I through really lift with in some now. to if street our lift we're street also season the off upside country. if guidance, occupancy roll transition coming as improves, rate can to trying would so we again, the come street And rates, us that improvement to spring the upside, our right of that this around and

in the to said, the we've February. And what We've hard good clarity But have at to through some spring until months. we'll had that's us when looked now. and really January that's really the encouraged midpoint. that's stayed If everything the same, really, Brandon as We're really leasing It's how gets X we by lift, get it's able season, year. know, spring. if that, have and right of rates some midpoint not going do push guidance. we're street we're around an hard push clarity to a then just did But until above the If our occupancy able conviction that, the we know to to get really that's midpoint to here. we more us having

it. That's the on a cap helpful. clarification then Got just And rate.

then X% for You the holding and Xs for mentioned [ X%, on contributed assets around disposition, to low the ] what you to JV. the

CapEx? include a trying to of Just nominal it basis? forward-looking? historical curious, does it's understand that rate Is Or sort calculated. it is how Just cap

historical on basis, of a kind basis. [ really It's depending NOI nominal, ] NOI

the owner a manager for JV fees and JV the adjusting on thing just I'll -- one the add those. be in continue because with we as to Eric, partial is us to

look to have we way at the that's So that.

next Sanabria Markets. Juan BMO Capital is with from question Our

in to Juan. This how year-over-year? a there, as do Haneland, just for follow-up and update Maybe impact is expect ECRIs, pace magnitude sitting relative Robin the there? Or you Is on to 'XX the QX? any bumps changing growth

percentage last at to percentage us and really tools customer really what base we have of probably We in Yes. we're how percentage on hitting the a and of we year. first we're joining. more the Stability, increase. our of half -- at looking -- of allowed Thanks assertive were we our actually base now look what rate were increase the than for customer little

the And as we we so in year, dialed are the first weren't half now. of as

I think So stable. it's

more or year, program rate frequency, we've our far what in a customers and little how based working. few a I the what -- a I'd frequency, probably half year. of is with, little of is first might But no think our of the end real be see half change, I back what as conviction more the not the more just we through program a the might as but guess, increase the learned with on

in you mentioned what And markets pressures. point? quantify have you in And versus maybe into you exposed supply visibility some if just know Could Okay. you seeing 'XX maybe the your remarks to are that of prepared at 'XX? if the this supply 'XX portfolio that's percentage

tell portfolio. think going -- year-over-year, start I completions would or it's would we'll do start have additions our to outlook the or are you we I looks be and new -- certainly like new with, for less less new

really way markets, look each one percentage we of declining about the we our around of competitors. the is if competition, at you properties from new of those it All think our a that impact study having of rings is new

So means fill to of they're and up were less this them in that ones around our come maturity, being and added were our that built, -- to in rings starting properties. the

as as we favorable impacting and so look And portfolio our supply new in 'XX. far 'XX

like up a population a COVID, But and in back product these had Sunbelt, are by that the but there we lot opening to lot there's that success had we during masked a cycle. operating through discussed have phenomenal the -- time of particularly pandemic lot there, was was markets we of were fill there's of where we now to built the because during still go been they're call [ COVID results coming that growth, in was the that ]

out example It a and time. So just absorbed of it, but product take great Phoenix be to will there be itself that. grow that will lot a would is of of

with next Wolfe question Our from Carl Research. is Keegan

between differentiate just could if wholly-owned your first, on some Maybe and going color how to JVs? give opportunities your strategy you're newly-formed us wondering your acquisition you

Great question.

going opportunities bit going to JV, around what the opportunity an And we the have will is more probably out us think, an want be opportunity be stuff time. probably to aggressive The in pricing it's to a that And is look fit a cost for own, properties it probably the to and lot we a to, markets want. buying wholly that's And little those we're going we'll little property and in that be little take at the tap more of we'll to think level the be property. frame the great to a accretion have in. that of patient to more time to we're a I type around into find with, those. there this I

a us, JVs and allows have the to the started it's it having think, if So get sooner great we to us than advantage, available we didn't JVs.

like it. Got guys bit this for regarding expected just a expense you have that? of of help would you year? here. range a then an underlying X done And us would your balance what little with be Could maybe And ton shifting gears, what assumptions look sort your interest sheet. Obviously, Brandon

Keegan. Yes.

going just really to our So them. It specific hedged we're whether X.X to on so deployment I capital. can have that I for It's close of don't the dollar is depending some using with the to term variable the and was to X% or SOFR assumption necessarily we it. but that if of year carry puts haven't on the share talking facilities that loan variable revolver X.X, tell rate you rate, you're move can an a amounts you, of our about average you

to or of a to, your that did XX% balance caution, earlier. closing back think, guiding And acquisition get on. amount -- the really the share biased $XXX of could have previous to back an take kind the through have that guided case, what which the in are And on that we also half us. of And I response to. Dave timing maybe transaction for Spenser, going that place earlier volume We just the So a that be I from I that that's towards Dave, hit of question year. is that guess, added to $XXX it JV would to dollar sheet we could could on million million, question, we we

And so the the move to most. what's going that's really needle

it's the More will remaining $XXX have continue the We've you. that December. repurchase level that program And we been you can active first expect share months. these immediately, though, we capacity at, extent that to that stays established in in to that been price our of million share on got at acknowledge execute couple I on the to on us if the

the couple some and of next will into of over And numbers so line that for forward we the of immediate year, the that's go as include use also credit months. our baked

question from with next is Our Ki Truist. Bin Kim

some going asset of sales. the Just to back

Also language kind an you more might option ROFR? JV, a have some the just any it in the curious buy type that mentioned opportunity there's with back. contractual in that's to if You just pricing them of of of Or set contracts? is

a more ROFR. of a There's more It's of but pricing defined ROFR. there, no

of opportunity we step be -- of Ki involved. involved either us based process, also other marketing similar to our kind that very but point then a other purchase the end help we've there's at to promote that's it's price ventures, to there's ability JVs, And -- to at in or our partner, returns reduce valuation that Similar Bin, provided process the the some time. have would our that that to the on

think million total or are Okay. And about $XXX so. the I sales like

for to debt assets? speaking, like of roughly use those proceeds versus what Just you repurchase versus about down percent it buying are thinking paying

it said year, Yes. advantage the quarters year, these strategy executing past of portfolio -- dry way, some and on kind the over this couple characterize paying line through up of some on defined powder, We've these Bin. as price I then program repurchase we dislocation our that our obviously down of stock taking of really credit, last in freeing strategies. the improvement of executing Ki would on of we've middle been beginning, Dave a at

disclosed. used And mentioned, that so that XX we they've you the number

got be million the started on the go $XXX program. $XXX a debt million share these gives about XX% getting of available we active to XX% We've be would prior pay million. little you about $XXX under all you a repurchases, the that repurchase equity, really months And of company from If debt capitalization X executions. back over the is rest If and that, we've that dissimilar a down. little would than mix, not less to when we our recently ago, established exhaust program, done which

kind that numbers we and -- are deliberate down those set so that on. And of path hanging together with the

pivot. favorable Of playing how share of conditions if then if the But this than market that's in months acquisition that few and kind become out. change, change foresaw course, we switch the opportunities next we'll repurchases, can more

far, that out way. played it's so And

missed the in And Okay. and rate how not I'm and for but January that in did sure XQ what February? it, guys trended year-over-year I about change if you talk

Are you talking street rate or -- sorry. I'm

Street rates.

about Street quarter year-over-year. rates, Yes. down to fourth the pins quarter entered negative a shade we just above XX%. XX.X Fourth

And crept spread it The much. changed this year, much. hasn't hasn't far that so

Luebchow from Eric Fargo. is Wells with question next Our

Dave, a side. level, price on touched you looking even could of about And a year your you're this the be management more how from units revenue course I in upside. Is this know know investments that technology source I talked to or wanted be throughout higher reconfiguration, should longer-term that I then perhaps of touch dynamic on a we something you that perspective? unit making. past the Are the you've on to and you the kind occupancy in aspiration? of see

earlier, see the we're about successes team for Great the program, management technology, talked from and our conviction that. today. and -- do tenants we've the around we the I'll and and questions. what with strength payoff we really there. revenue being ECRI what to as can Thanks we've Yes, with the starting of around We're take particularly with heavily invested us had

been first. immediate so And the that's

little around mix. the actually and models ideal rate a occupancy testing front-end And we're that of could that we've more implemented then pricing couple bit look a street

stood to they're starting in come And up, of markets, And those different out and so the in have models actually ] see [ with several we're and bid along an testing that. automated iterations Google mode model. just been

it investment, how spending how get we the we So of return dollars, the best we we're we're technology actually to what that and ad spending when when ad at out take it. apply looking dollars, we're do with

things business lot added And -- play, are on as markets, come around that spent all we of as we competitive thing get out We've and last organization. market, these really of that's to what forward. The in about to competitive that team term, service working themselves is really members we've and talk learn but what particularly I gives put we a can drive a on a we amount adapt good of a organization we have customer we been this time as that a our starting better, that outlook, in us of in we didn't in lot and a we as really longer so do tremendous talent really think, center. and

become and working can the consumer this staffing we've the about hours properties, and so that So this important as you in piece centers deal customer having an properties with been with think about the on that hours and they satellite reduction really deal phone. remote our staffing service payroll can model over digitally,

service helps platforms we the so a to seamless operating conduct And integration new us the all fourth up this quarter platform the in stood of really all customer allows remotely. and center it of business

lift it's back it's with it strategic be much the during of And I year the not through -- at so initiatives, half how yes, the a the went of but underscored team was looking with really look what a X And to going we've year to we're them. proud now, it's be back happy get from the I'm completed. technology pieces what on in place. really, or of And -- to

little you've some XX% believe XX% touched on I portfolio. to X just across ECRI I And in a was of increase that periods the bit follow-up. this the previous know Great. kind program. average on range your you somewhere the said in

Just dynamic do guide? last over for And your wondering lower of in for customers? rate your kind if customers especially tenured success, we Or of the then a perhaps, slightly rate earlier about embedded lower you -- are having in magnitude longer increase increases how some rent that pushing think much the higher year, the cycle?

it Yes, think right the thinking about I way. you're

rate less We less cycle, of it's increase. an are can entries of through is we harder. certainly first more to can technology push different the impactful or we are to environments, the customers, a that life your given they if [ new rate -- that where today's certainly you ] environment to or rate little learning, maybe a impact And a have us being the you little newer yes, particularly frequency as think pretty about teaching on But certainly approach are on we way further coming be a discounted worked in increase. at a

Our from UBS. [Operator with Goldsmith next Instructions] Michael question is

But your that rental improvement it the making mentioned down, up, thesis in data net the in what move-outs driving move-ins February, behind your you does improvement? or Dave, month. that's the What's were show February? were a surveys

It's good a question.

tenants surveying actually bit Our a bit. showing moving more is little a little

see Now to maybe in who are to house maybe to we moving. moving a in they're little apartment but and did more not uptick house, apartment people

surveys, rentals, on just and coming out. And as are encouraging. And and that's that's people moving who exit new Michael, customers so going we pull

business that that's not of part of the And that serving. around is transition. I I right rest factor lower we're metrics, we would a the whole and think larger the the really probably point impact a our lot what positive about so on. demand change now, missing that's say The encouraging that's because saw really that's of

Is any core revenue properties, And your there XX% that think there to same-store growth, XXX sold portfolio. portfolio? margin that portfolio. You in facilities basis were on without your Brandon, the the slower, sort growth. you these in kind lower facilities the impact growing frame of about -- of right? in revenue the portfolio, any that's to should about And points to if be just thinking XX to out about you'll for asset sales, what a the XX the way whole basis lower benefit about of tend they see on have benefit sold -- it example, framework the Is point profiles how same-store

Yes, Michael.

assets, me quarter. fourth sale just So some completed way the those you obviously give of I think the a in best to sense the for is we

through on of pool revenue, have saw, did to knock same-store and sold. help year-to-date, that it still had down of know NOI, Others your for have were I and XXX then -- held XXX. seat. points stores, don't year numbers maybe example, at the that remaining we like stores. do. ], of It was [ the where was assets than basis when that to XX you basis months blended the I looked aren't of But points XXX I on that profile XXX properties. was going full performance revised for X sale, wasn't out XX those now of So remaining X a that our numbers maybe as we better for the old XX effect It and the XXX like That I growth

So just on. scale. are call remarked tremendous better some margin, Dave also modestly a Obviously, that the meaningful on things the markets impact. talked And I mean of amount I where in NOI of I it's regard. about terms think hit in a other it that located those where we in assets just that's more of earlier just on then the and efficiencies there's a we of lot operational didn't have think,

And just divisions, of a regions a so our there. efficiencies the cited. But running that running there's in I from numbers lot lot see the portfolio, of and there's benefit quite maybe don't you

is Kamdem Stanley. Ronald question next with Our from Morgan

It's Jenny, I a just few questions. on quick for Ron.

you curious mind change few year-over-year know have rates sharing hours And the street I that. would about still February, and of a we to occupancy as exact but today? the finish First,

has That of movement in little is down occupancy, XXX some towards on month. of spot days at But mentioned there opening Jenny, over too we February occupancy in prior So want last end really few to about much the year. January I was points February. a the bit yes, the the just because that speak my don't remarks, basis tightened

to we're days be think few of based looked on probably closer the last Feb points going XXX I year-over-year. basis just to

read-throughs. that So said optimistic earlier some hand-in-hand February goes Dave having about with what

rate, Dave, if me in on you February, I front share... street don't of but then do, And have

Yes. -- the X.X got some fourth better talked about ago, we in about, largely, And testing our markets we and year itself, model. XX%, down as we same worse bit a XX.X% rates, a can we little then they because rate, street trying that's rate rates to closer Yes. point, better maybe down XX.X% around, we by think X, to you improving occupancy figure come some I revenue the street February out drive can were are were quarter. year-over-year. to similar mean of compared so I street rates, the out a where Street maybe to

bit year-over-year street rate. So little deterioration in a of

Makes power should think pricing of specific upcoming last I sense. your this season markets? And about in how leasing the year like versus peak

That's a really question. good

thinking last raise year think all rates occupancy an in think I have change street rates, And lifted street in we and our we occupancy. I saw could and no we've lift. we approached markets,

through street drive probably around in go see the a little rate leasing the the to I as we occupancy of first and think cautious lift of spring what we couple can we're be going season. months then more

the then type can't really, looks There's think street certainly if also, will If competitor up, remains able store, move of compares we the market, lift. are competitive we market store any by set things very like. moving it what sets And we'll by It competitive, on rate with up to drive control. be not we them.

squeeze another sense. just one. Makes I Can

in Just on some asset recycle of you something your mind? do like like after not to sale front, or plan sell this 'XX, capital like in batch to one, additional assets that's

the I large not we're don't looking done is lift optimization. at over. think certainly I think the portfolio

point. a maybe or selective. I And little some large and at be Xs in it's so doubles be Xs not It going It here, singles, to come more not but chunks. may may just this probably now chunks think

closing question-and-answer back I end like reached for would remarks. session. George to have Hoglund We conference turn the the to of over our

NSA. be Thank week next Florida. in look take and the to current able advantage opportunities. many position you We of about all in We're those our forward continued interest excited you lie for to seeing to that of your ahead opportunities

conference. you. Thank This today's will conclude

You may thank lines at and you time, this your participation. disconnect for your