1. Asking Rental Rates – All rental rates referred to in this report are the monthly scheduled, posted, or offered rates for currently available 100-square-foot units and are reported on a median basis, unless otherwise noted. 

2. Benchmark – A recognized statistic used as a basis of comparison.

3. Concessions – Any discounts, specials, promotions, etc. offered with the rental of storage unit(s).

4. Data – SSDS collects operating data from self-storage facilities nationwide from three primary sources.

5. Data contributed from large operators. SSDS has a relationship with a number of public and private operators of large portfolios of self-storage properties who provide, on a recurring basis, site level revenue and expense data on a same-store sales basis.

6. Data contributed from small operators through the participant’s portal at SSDS’ website. These small operators typically own 5 or fewer sites. These data contributors also provide, on a recurring basis, site level revenue and expense data on a same-store sales basis.

7. Data collected from participating appraisers. SSDS provides market research data in aggregate for appraisers actively engaged in the valuation of self-storage properties. As a part of the agreement with these professionals, they provide additional site-level operating information. Each such exchange provides multiple years of same-store sales and operating expense data.

8. Same-store operating data is critical for evaluating the management of a given facility or portfolio of facilities. The majority of SSDS’ database includes same-store operating data. However, SSDS’ financial market products (the Self-Storage Performance Quarterly, the MSA Report and Snapshot Report) are designed to track the health and performance of the industry as a whole at the National, Regional, MSA, and Site levels.

9. Growth Scores, Quarterly and Aggregate – The growth score is calculated by adding the percentage change in asking rents and physical occupancy for the same time period. The aggregate growth score is calculated as a moving average of the quarterly growth scores for the last four quarters.

10. Interest Rates – All interest rates reported, except the 360-day LIBOR, are from the Federal Reserve Statistical Release H.15. The 360-day LIBOR values reported are from Fannie Mae’s Index of ARM Values.

11. Market – The geographic area or areas in which a research project takes place. A market may be a region of the country, a state, a county, a city or some portion of a city.

12. Median – The median is the middle value of a data set. It is defined after all the measurements in a data set have been arranged in order of magnitude. The middle measurement is the Median. The Median may be considered to be what is the typical response for a particular sample. If the data set contains an even number of measurements, the higher of the two middle values would be chosen as the Median.

13. Metropolitan Statistical Areas (MSA) – An MSA is a geographical region defined by the U.S. Census Bureau. SSDS tracks the operating performance trends of self-storage facilities located within the 50 largest MSAs. The size of each MSA is determined by their ranking. MSA rankings are based on the 2003 total population as reported by the U.S. Census Bureau’s.

14. Occupancy – Occupancies referred to in analysis, graphs and tables in this report are typically the median physical unit of the entire facility, not on that of a particular unit size, unless otherwise noted.

15. Operating Expenses – Operating expenses are calculated as a percentage of revenue. Source data is gathered from public (SEC filings of self-storage REITS) and private (surveyed and contributed) sources.

16. Performance-At-A-Glance – The overall trends in rental rates, occupancy and rent per available unit are compared on a quarterly, seasonal, and annual basis are illustrated in a table.

17. Physical Occupancy – Occupancy is the number of units available divided by the facility’s total number of units and is displayed as a percentage. Occupancies are reported on a median basis and based on that of the entire facility, not on that of a particular unit size, unless otherwise noted.

18. Population (Pop) – The total number of people in a market area.

19. Quarterly Change – This is the change in the current quarter from the previous quarter.

20. Range – A range also arranges a data set in order of magnitude. However, in a range, the bottom 25% of the set falls below the LOW and the top 25% falls above the HIGH. The Range represents the middle 50% of the data set.

21. Relative Market Position Graph – This graph, which is divided into four quadrants, plots the operating performance of each market relative to that of the other markets based upon the seasonal and annual changes in rental rates and physical occupancy. Over time, one can track the long-term performance of each individual MSA.

22. Relative Market Position Table – This table lists each market by the specific seasonal and annual changes in rental rates and occupancy sorted by those that experienced positive changes in both rent and occupancy, those which had a positive change in either rents or occupancy, and those that demonstrated negative changes in both rents and occupancy.

23. Rental Rates – All rental rates referred to in analysis, graphs and tables in this report are asking rental rates for 100-square-foot self-storage units and are reported on a median basis, unless otherwise noted. The 100 square foot unit size was selected as a benchmark, as it is the most universal unit size.

24. Rent Per Available Square Foot (RPASF) – A benchmark for measuring change. This statistic is calculated by: multiplying asking rental rates by the physical occupancy percentage; and then deducting the cost of concessions. This benchmark has a methodology similar to what is used in the hotel industry called RevPar. While RevPar stands for “Revenue per Available Room”, SSDS has modified the term to reflect rent per available self-storage unit reported on a per square foot basis.

25. Seasonal Change – This reflects the percent change in the current quarter compared to the same quarter of the previous year.

26. Self-Storage Performance Index© – The Self-Storage Performance Index measures the health of the self-storage industry based on key operating statistics from facilities in the 50 largest U.S. metropolitan statistical areas. The primary components of the SSPI include: asking rental rates, vacancy, concessions, and operating expenses. The SSPI is calculated on a per square foot basis and changes are reported based on changes since the initial reporting of the SSPI at December 2003 (100=12/31/03).

27. Total Rental Activity – This is the total of all move-ins and all move-outs. xxviii. Trailing 12, Moving Average, or Annual Change – This measure reflects the percent change in the four quarters ended in the current quarter relative to the four quarters ended in the prior quarter.