National Storage Affiliates narrows Q4 same-store revenue decline to 0.7% with $0.57 FFO
National Storage Affiliates reported Q4 Core FFO of $0.57 and FY $2.23, with same-store revenue decline narrowing to 0.7% versus 2.6% as occupancy rose 20 basis points year-over-year. 2026 guidance calls for $2.19 Core FFO, net debt/EBITDA at 6.6x with $375M of maturities likely refinanced at ~4.25% and $550M liquidity.
1. Q4 Operational Performance
National Storage Affiliates reported Q4 same-store revenue declined 0.7%, an improvement from a 2.6% drop in Q3, driven by a 20-basis-point occupancy increase year-over-year at January month-end. Core FFO per share reached $0.57 in the quarter and $2.23 for the year, at the high end of guidance, supported by a 0.8% reduction in operating expenses and focused marketing investments that rose 37%. Nine of 21 markets posted positive same-store revenue growth in the quarter.
2. 2026 Guidance and Outlook
Guidance for 2026 includes Core FFO per share of $2.19, implying a $0.04 decline at the midpoint, based on flat same-store NOI, 0.9% same-store revenue growth, and 3% operating expense growth. Headwinds include approximately $0.02 per share from higher G&A reflecting restored incentive compensation and $0.02 from refinancing and insurance costs, while management expects revenue trends to turn positive through the year.
3. Balance Sheet and Capital Plan
The trust finished Q4 with net debt to EBITDA of 6.6x, slightly above its 5.5x–6.5x target, and holds $550 million of liquidity with a $400 million revolver. In 2026, $375 million of maturities—comprising a $275 million term loan and $100 million of unsecured notes—are slated for refinancing at mid-to-high 4% rates. Capital deployment plans include $50 million–$150 million in acquisitions and dispositions, following $45 million of asset sales in and after Q4.