Extra Space Storage is a real estate investment trust (REIT) that specializes in self-storage operations. The company provides month-to-month rental units for both personal and business use, offering a variety of unit sizes. In addition to its core self-storage services, Extra Space Storage engages in tenant reinsurance, providing insurance for goods stored by tenants, and operates a bridge lending program that finances third-party self-storage owners, generating interest and fee income.
Operating primarily within the self-storage industry, Extra Space Storage owns and/or operates 4,011 stores across 42 states and Washington, D.C., offering approximately 308.4 million square feet of net rentable space. The company's primary customers include residential and commercial tenants seeking flexible storage solutions. Extra Space Storage also manages 1,575 stores for third-party owners, earning management fees and expanding its geographic reach. Additionally, the company invests in preferred stock of other self-storage firms, generating dividend income.
Extra Space Storage's operational structure comprises two segments: self-storage operations and tenant reinsurance. Key factors impacting its business performance include occupancy rates, which are subject to seasonal fluctuations, and competition from other major players in the self-storage industry such as CubeSmart, National Storage Affiliates, and Public Storage. The company generates revenue through rental income, management fees, insurance premiums, interest and fee income from bridge lending, and dividends from investments.