Extra Space Storage Inc

Good afternoon, ladies and gentlemen, and welcome to the Extra Space Storage Inc. Q3 2025 earnings conference call. At this time, all lines are in listen-only mode. Following the presentation, we will conduct a question and answer session. If at any time during this call you require immediate assistance, please press star zero for the operator. This call is being recorded on October 30, 2025. And I would now like to turn the conference over To Mr. Jared Conley, thank you. Please go ahead.

Thank you, and welcome to Extra Space Storage's third quarter 2025 earnings call. In addition to our press release, we have furnished unaudited supplemental financial information on our website. Please remember that management's prepared remarks and answers to your questions may contain forward-looking statements as defined in the Private Securities Litigation Reform Act. Actual results could differ materially from those stated or implied by our forward-looking statements due to risks and uncertainties associated with the company's business. These forward-looking statements are qualified by the cautionary statements contained in the company's latest filings with the SEC, which we encourage our listeners to review. Forward-looking statements represent management's estimates as of today, October 30th, 2025. The company assumes no obligation to revise or update any forward-looking statements because of the changing market conditions or other circumstances after the date of this conference call. I would now like to turn the call over to Joe Margolis, Chief Executive Officer.

Thank you, Jared. Good morning, everyone, and thank you for joining us today. Extra Space delivered solid results in the third quarter with core FFO of $2.08 per share meeting our internal expectations, and demonstrating our ability to generate consistent earnings through our diversified platform. Same-store occupancy at quarter end was 93.7% and averaged 94.1% during the quarter, a 30 basis point improvement year over year. Last quarter, we reported that our high occupancy allowed us to begin pushing new customer rates which inflected positive for the first time in three years. This trend continued and accelerated in the third quarter as we achieved new customer rate growth of over 3% year-over-year net of discounts. While new customer rates continued to improve, same-store revenue prior to other income was flat and slightly below our internal projections. This was partially due to strategic discounts which were offered in the quarter focused on long-term revenue optimization. Excluding the impact of discounts, same-store new customer rate growth was approximately 6%. While these initiatives created a short-term headwind in the quarter and for the year, we view them as an investment for future revenue growth and still believe we are well positioned for accelerating revenue going forward. We have also been active in our diversified external growth channels. We have been able to complete and secure strategic off-market transactions through deep industry relationships at attractive going in and long-term yields. I am particularly excited about the $244 million purchase of a 24 property portfolio in Utah, Arizona, and Nevada, which is the primary driver of our increased acquisition guidance to $900 million. A portion of this acquisition closed earlier this week, with the rest to close shortly when we complete the assumption of the seller's below-market secured loans. The acquisition will be primarily capitalized by the disposition of 25 assets, 22 of which are former life storage properties, and which should close late this year or early in 2020-26. The stabilized yields of the newly acquired stores will be greater than those of the disposed assets, and those assets are of higher quality and in markets which provide better diversification and future opportunities for growth. Additionally, our bridge loan program delivered strong performance with $123 million in originations during the quarter. And we strategically sold $71 million in mortgage loans. This program continues to provide interest income, attract customers to our management platform, and serves as an acquisition pipeline as we deepen our relationships with key industry partners. Finally, our third-party management platform expanded by an additional 95 stores during the quarter, with net growth of 62 stores. Year-to-date, we have added over 300 stores, which brings our total managed portfolio to 1,811 stores. This multi-channel approach to prudent growth allows us to create value across market cycles. whether through direct ownership, joint venture partnerships, lending activities, management services, or other creative structures. Our ability to deploy capital efficiently across these complementary strategies positions us to capitalize on market conditions regardless of the external environment. As a result, we are raising our full-year core FFO guidance per share at the midpoint. reflecting our confidence in our operational execution and gradually improving storage fundamentals. While we expect same-store revenue to remain relatively flat for 2025, we have driven outside growth in our other revenue streams, which are bridging the gap until a positive trend in new customer rates translates into revenue acceleration. I will now like to turn the time over to Jeff Norman.