PUBLIC STORAGE 2 0 2 4 A N N U A L R E P O R T PROPERTI E S (as of December 31, ) WA OR CA NV UT AZ HI H CO NE KS OK TX LA MO MN WI IL IN OH I MI KY TN AL MS GA SC NC VA PA NY H NH MA RI CT NJ DE MD FL 45 446 34 13 60 2 12 88 10 24 48 464 14 44 68 15 137 54 66 61 17 55 32 5 128 83 111 121 37 73 4 29 2 15 5 67 106 3 365 3 107 ID 7 IA 1 UNITED UNITED UNITED KINGDOM KINGDOM KINGDOM FRANCE GERMANY NY NETHER ER ER E HERLA LA LA LA LA LA LA R NDS ND A BEL BEL BEL EL EL EL ELGIU GIUM U DENMARK NMA NMAR NMA N N SWEDEN EN 7 2 66 42 39 68 21 10 Number Net Rentable of Properties Square Feet Public Storage Alabama 32 1,528,000 Arizona 60 4,383,000 California 446 32,025,000 Colorado 88 6,518,000 Connecticut 15 1,024,000 Delaware 5 324,000 Florida 365 25,475,000 Georgia 128 8,621,000 Hawaii 12 890,000 Idaho 7 669,000 Illinois 137 8,930,000 Indiana 54 3,585,000 Iowa 1 59,000 Kansas 24 1,538,000 Kentucky 17 1,009,000 Louisiana 14 1,011,000 Maryland 106 7,990,000 Massachusetts 29 2,052,000 Michigan 61 4,387,000 Minnesota 68 5,425,000 Mississippi 5 449,000 Missouri 44 2,919,000 Nebraska 10 882,000 Nevada 34 2,419,000 New Hampshire 2 132,000 New Jersey 67 4,651,000 New York 73 5,232,000 North Carolina 111 8,195,000 Number Net Rentable of Properties Square Feet Public Storage (cont.) Ohio 66 4,511,000 Oklahoma 48 3,499,000 Oregon 45 2,618,000 Pennsylvania 37 2,685,000 Rhode Island 4 248,000 South Carolina 83 5,176,000 Tennessee 55 3,443,000 Texas 464 39,412,000 Utah 13 800,000 Virginia 121 7,969,000 Washington 107 7,629,000 Wisconsin 15 968,000 3,073 221,280,000 Shurgard Self Storage Limited Belgium 21 1,266,000 Denmark 10 580,000 France 66 3,536,000 Germany 42 2,310,000 Netherlands 68 3,917,000 Sweden 39 2,119,000 United Kingdom g 72 3,771,000 318 17,499,000 Total 3,391 238,779,000 2024) CHAIRMAN’S LETTER Fellow Stakeholders, Our businesses performed well in 2024, achieving operational stabilization in the United States and healthy growth in Europe. Both individually and collectively, Public Storage and Shurgard (Euronext Brussels: SHUR) achieved record revenues and net operating income in their core self- storage and ancillary businesses (primarily tenant reinsurance). Below are the key figures for these businesses. Public Storage owns approximately 35% of Shurgard, the largest owner and operator of self-storage properties in Europe. While our interest is significant, Shurgard is a separate company with its own management and Board of Directors. The figures below are presented on a combined basis to help you better understand our performance. Combined Revenues1 (Amounts in millions) 2024 2023 2022 U.S. self-storage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,396 $ 4,260 $ 3,946 European self-storage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 390 342 316 Ancillary businesses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 344 298 275 Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5,130 $ 4,900 $ 4,537 Combined Net Operating Income (NOI)1 (Amounts in millions) 2024 2023 2022 U.S. self-storage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,259 $ 3,198 $ 2,966 European self-storage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 239 212 195 Ancillary businesses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 217 207 196 Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,715 $ 3,617 $ 3,357 Public Storage’s share . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,535 $ 3,456 $ 3,209 1. See accompanying schedule “Supplemental Non-GAAP Disclosures.” The combined revenues of Public Storage and Shurgard increased by $230 million, to a record $5.1 billion, and the combined NOI increased to a record $3.7 billion in 2024. Our share of the combined NOI was $3.5 billion. Both companies are the industry leaders in their respective geographies, and they share the key characteristics of operational innovation and excellence, multi-factor external growth, and prudent balance sheet management. As detailed by Public Storage CEO Joe Russell and Shurgard CEO Marc 1 Oursin in their shareholder letters, the teams are successfully executing against strategic initiatives to drive growth and value creation. I want to thank Public Storage’s Board of Trustees and Shurgard’s Board of Directors for their support and leadership in guiding such talented teams. With industry-leading brands and strategic initiatives, increasingly efficient operating platforms, high-quality properties located in growing markets, multi-faceted growth levers, and balance sheets underpinned by low leverage, we are in a position of strength in 2025 and poised to deliver solid returns to shareholders for years to come. Ronald L. Havner, Jr. Chairman of the Board of Trustees February 28, 2025 2 CHIEF EXECUTIVE OFFICER’S LETTER Fellow Stakeholders, Before I discuss our 2024 accomplishments, I want to speak to the recent fires that have impacted our “home” market of Los Angeles. Public Storage was founded in Southern California in 1972, and our longstanding and deep connections to the area made the devastation from these tragic events even more poignant. We have been inspired by the strength and perseverance of LA’s residents, businesses, and associates, and I am extremely proud of our team for providing support to our customers in their time of need. LA has been one of the best-performing self-storage markets consistently throughout our history. As in the past, it will recover from this tragedy and ultimately be stronger from it. Public Storage is built to operate, innovate, and evolve in any environment. We performed well in 2024 by achieving operational stabilization, advancing our distinctive transformation plan, and driving total shareholder return outperformance relative to our self-storage REIT peers. We created growth and value for our stakeholders while further strengthening our industry-leading brand and platform. In reviewing our 2024 performance and outlook into 2025, we are mindful of the challenges that our industry still faces, including a competitive environment for new customers. We are appropriately calibrated, and the rallying of our community, operational stabilization of our business, advancement of our unique platform, growth-oriented balance sheet, and broadly positive momentum make me even more optimistic for Public Storage’s future. 2024 Performance Summary Reflecting on 2024, we reached several milestones, including: • Expanding our portfolio to 3,380 properties, 245 million square feet, and over two million customers; • Delivering $4.7 billion and $3.4 billion in consolidated revenue and net operating income (NOI), respectively; • Leading self-storage REITs on same store revenue and NOI per square foot; • Achieving peer-leading profitability with a 79% same store direct operating margin; • Completing the Property of Tomorrow program, a more than five year and $600 million investment to re-brand and modernize properties throughout our portfolio; • Driving outsized growth through our non-same store portfolio, comprising 566 properties and 51 million square feet, which is now 23% of our total owned portfolio; • Maintaining a more than $741 million property development and redevelopment pipeline; and 3 • Outperforming our self-storage REIT peers on total shareholder returns by 570 basis points, on average, during the year. I am proud of the team for their commendable focus and determination. Our initiatives have positioned us well for improving fundamentals, additional performance-enhancing innovation, and a more active transaction environment in the coming years. 2024 Business Results We have two principal businesses: (i) self-storage, conducted under the Public Storage® brand, and (ii) ancillary businesses, primarily the reinsurance of policies offered to our self-storage customers under the Orange Door Storage Insurance Program® brand. Below are the revenues and NOI for each business. Revenues (Amounts in millions) 2024 2023 2022 Self-storage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,396 $ 4,260 $ 3,946 Ancillary businesses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 300 258 236 Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,696 $ 4,518 $ 4,182 Net Operating Income1 (Amounts in millions) 2024 2023 2022 Self-storage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,259 $ 3,198 $ 2,966 Ancillary businesses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 178 172 163 Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,437 $ 3,370 $ 3,129 In 2024, the NOI of these businesses increased by $67 million, or 2%, to a record $3.4 billion. Our core funds from operations and free cash flow per diluted common share were as follows: 2024 2023 2022 Earnings per share . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 10.64 $ 11.06 $ 23.50 Core FFO per share1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 16.67 $ 16.89 $ 15.92 Free cash flow per share1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 14.74 $ 14.80 $ 13.85 1. See accompanying schedule “Supplemental Non-GAAP Disclosures.” How We Measure Our Results We consider our operating results by analyzing our portfolio across two categories: (i) stabilized properties in the same store pool and (ii) unstabilized properties in the non-same store pool. The 4 same store pool allows us and investors to assess the health of our self-storage business by only including properties with stabilized revenues (i.e., rent and occupancy) and operating expenses that reflect organic growth on an “apples-to-apples” basis. Same store NOI declined by 1.7% in 2024, slowing from 4.7% growth in 2023 and record 17.9% and 15.4% growth in 2022 and 2021, respectively. Same Store Properties (Dollar amounts in millions, except occupancy and REVPAF) 2024 2023 2022 Revenues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,677 $ 3,703 $ 3,533 Costs of operations . . . . . . . . . . . . . . . . . . . . . . . . . . 896 874 836 Net operating income1 . . . . . . . . . . . . . . . . . . . . . . . $ 2,781 $ 2,829 $ 2,697 Net rentable square feet . . . . . . . . . . . . . . . . . . . . . . 170.0 170.0 170.0 Average occupancy . . . . . . . . . . . . . . . . . . . . . . . . . . 92.4% 93.0% 94.6% Year-end occupancy . . . . . . . . . . . . . . . . . . . . . . . . . 90.5% 91.3% 92.0% REVPAF . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 20.89 $ 21.05 $ 20.12 1. See accompanying schedule “Supplemental Non-GAAP Disclosures.” We exclude our 566 unstabilized non-same store properties from the same store pool because their year-over-year performance is not comparable to stabilized assets. Given self-storage’s stabilization period (typically 3-5 years for occupancy and rents), this group primarily comprises properties developed or redeveloped since 2019 and acquired since 2022. It consists of 51 million square feet, or 23% of our total portfolio, as we enter 2025. The cost to acquire and build these properties totaled approximately $8.7 billion. At stabilization, we estimate their market value will approximate $11.5 billion, resulting in nearly $3 billion of value creation. Our non-same store NOI increased meaningfully during 2024 due to strong lease-up and the addition of new acquisition and development properties, providing an engine of growth to offset the industry’s broader deceleration. We have significant upside tied to this pool of high-growth assets over the coming years. Non-Same Store Properties (Amounts in millions, except occupancy and REVPAF) 2024 2023 2022 Revenues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 719 $ 557 $ 413 Costs of operations . . . . . . . . . . . . . . . . . . . . . . . . . . 241 188 144 Net operating income1 . . . . . . . . . . . . . . . . . . . . . . . $ 478 $ 369 $ 269 Net rentable square feet . . . . . . . . . . . . . . . . . . . . . . 51.3 48.1 34.2 Average occupancy . . . . . . . . . . . . . . . . . . . . . . . . . . 83.1% 82.7% 82.4% REVPAF . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 14.02 $ 13.51 $ 12.78 1. See accompanying schedule “Supplemental Non-GAAP Disclosures.” 5 2024 Business Strategy Impact The competitive advantages unique to Public Storage, including our leading operating platform, multi-factor external growth strategy, and strong balance sheet, comprise a wide moat relative to our competition. We entered 2024 with a teamwide focus on: • Driving revenues and controlling expenses; • Transforming our operating model to further enhance the customer experience, advance the employee experience, and bolster our financial performance; • Partnering with industry peers through third-party management and our new lending program; • Investing in our people, culture, and communities; • Enhancing the size and quality of our property portfolio; and • Utilizing our growth-oriented balance sheet. Operationally, 2024 was a year of stabilization for Public Storage. Following two consecutive years of record growth in 2021 and 2022, a mix of customer demand normalization and competitive move-in pricing behavior among property owners drove significant growth deceleration in 2023. These trends continued into 2024, but the deceleration slowed, and fundamentals improved sequentially throughout the year. Move-in rents, the primary source of pressure, closed from being down 16% year-over-year during the first quarter to being down 5% during the fourth quarter. The improvement was primarily driven by stabilizing move-in demand. Performance was bolstered by in-place customers, who continue to behave well with strong payment patterns, healthy lengths of stay, and consistent move-out volumes. These dynamics were particularly evident in our sequential same store revenue growth, which improved for the first time in more than two years during the fourth quarter. While better operational trends are broad-based across markets, we expect a more gradual re-acceleration than in the past due to the competitive new customer environment, a year of pricing restrictions in Los Angeles, and muted housing activity. -5% 0% 5% 10% 15% 20% 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Quarterly Same Store Revenue Growth 6 Within the stabilizing yet still competitive environment of 2024, the Public Storage team once again achieved the highest same store revenue and NOI per square foot among the self-storage REIT peer group. We did so at a superior level of profitability as well, with a 79% operating margin that was 440 to 730 basis points higher than the respective margins of our peers. Transforming Our Operating Model Developing and implementing the industry’s first comprehensive and centralized digital ecosystem continues to strengthen our competitive advantages and enhance our operating performance. Natalia Johnson, our Chief Administrative Officer who oversees technology, data science, human capital, and customer care, leads the effort with Mike Braine, our Chief Technology Officer. Natalia and Mike closely partner with Chris Sambar, our Chief Operating Officer, and Steven Lentin in operations, Richard Craig in revenue management, Philip Kim in advanced data science, Dilhara Kaluarachchi in customer care, Jeff Cox in security, and additional leaders from across the company. The digital ecosystem connects all aspects of our business. Customers utilize the omni-channel digital tools to rent units, manage their accounts, and receive live customer care. Our centralized security team monitors for safety through digital cameras and property access systems. Cleaning, repairs, and maintenance are led by multi-property local teams. The result is an even better customer experience as we’ve aligned it with the digital expectations customers now have across their lives. Adoption has been swift, with self-selected digital options now comprising 85% of our customer interactions, a significant increase from 30% in 2019. The ecosystem is a critical element of our broader operating model transformation. Real-time data, which provide insight into how and when customers use our properties, and cross-platform cohesion are enabling a shift to optimized staffing based on the timing of customer needs. Our expert team of over 5,000 property personnel now have more tools to support customers when and where they need us on a 24/7 basis instead of being constrained to a traditional property office for nine business hours each day. We are tracking ahead of schedule on our transformation plan, with more optimization and margin expansion to come from additional initiatives, including our growing solar power program, over the next few years. Select Progress & Goals 30% REIT peer average 75% Digital Customer Rentals (% of move-ins) 25% 29% Payroll Cost Savings (Field hours versus 2019) 200 bps 270 bps NOI Margin Expansion (Versus 2020) Customers increasingly executing rentals online instead of in-person Savings enabled by digitalization and staffing optimization Transformation is additive to broader margin expansion = Current progress = Goals 7 Supporting and Investing in Our People, Culture, and Communities Nathan Tan leads our human capital management and development. Our brand and platform strength are driven by our people, who embody a culture of pride, integrity, innovation, development, engagement, and community. Highlights of our people-centric approach in 2024 included: • Receiving the Great Place to Work® certification, an award based entirely on employees’ experiences working at Public Storage, for a third consecutive year; • Reducing team member turnover and increasing engagement, in part driven by expanding roles for our 5,000 property managers, including new specialized positions focused on team training and customer delinquency, and creating a new career path leading to district management; and • Completing year three of “Community Connects,” our corporate volunteering and giving program. The quality and dedication of our people drive our success. I am honored to lead such a strong team and am committed to ongoing advancement to ensure our people are positioned to excel professionally and personally within our communities. Enhancing the Size and Quality of Our Property Portfolio Tom Boyle, our Chief Financial and Investment Officer, leads our capital allocation strategies. We have a multi-dimensional approach to portfolio growth centered on acquisitions, development, redevelopment, and third-party property management. We expanded our portfolio by adding 29 properties comprising 3 million square feet through acquisition, development, and redevelopment in 2024. The 566 non-same store properties, which we refer to as a “company within a company” due to its size and growth potential, now comprise 23% of our total portfolio square footage, but only 15% of our NOI (due to 83% average occupancy and rents that are below market), providing meaningful embedded growth through lease-up over the next few years. 8 77% 13% 10% Total Owned Portfolio By Property Type 221 million square feet Stabilized Same Store Properties Acquisitions Development & Redevelopment High growth lease-up properties are 23% of the total portfolio Non-Same Store Lease-Up Properties: Acquisitions Led by Mike McGowan and Paul Spittle, we acquired 22 properties comprising 1.7 million square feet for $268 million during 2024. Similar to 2023, higher interest rates and macroeconomic uncertainty caused a significant slowdown in industry wide transaction volume. However, volumes gradually improved throughout the year, and we are seeing signs of the transaction market reopening. We have a differentiated acquisition strategy grounded in big data and analytics, and a reputation as a preferred buyer that offers speed and certainty to close. We are well-positioned to acquire and drive outsized returns as we enhance properties to our unmatched level of profitability over the next few years. $796 $5,115 $731 $2,675 $268 $141 $0 $1,000 $2,000 $3,000 $4,000 $5,000 $6,000 2020 2021 2022 2023 2024 2025 (through February) Acquisitions1 ($ millions) 1. 2025 figure includes properties that are closed and under contract. 9 Development and Redevelopment Self-storage property development has always been a difficult business. Recently, the confluence of normalizing operations, higher costs and interest rates, and municipal roadblocks (e.g., NIMBY-ism) have made it even more difficult. As a result, we expect new industry-wide development deliveries to remain below 3% of existing stock over the next few years after peaking at more than 5% in 2019. Less new competition will be supportive of industry operating fundamentals. We have a sizeable development platform and skilled team led by Andres Friedman and Phil Williams. Building directly is a major competitive advantage because, when and where it makes sense, we can develop new properties at costs below the level at which existing properties are trading in the marketplace. Property development is a long-term business that allows us to achieve superior returns when combined with our industry-leading NOI generation. We remain disciplined and are confident in our ability to grow the development pipeline to continue achieving attractive returns. We are uniquely positioned to deliver new properties at an opportune time when others can’t. To that end, we delivered $343 million of development in 2024 and are building the pipeline for growth and value creation for years to come. 17.6% 18.2% 14.2% 12.7% 11.4% 8.3% 12.9% 7.7% 6.1% 0% 4% 8% 12% 16% 20% 2014 2015 2016 2017 2018 2019 2020 2021 2022 Year Delivered Development Property NOI Yields1 Recent vintages are leasing up to strong yields 1. Based on NOI for full-year 2024. Third-Party Management Pete Panos leads our third-party management business. Through this platform, we manage properties for independent private owners as if they were our own. We are happy to share our competitive advantages as a lever to increase our market coverage and scale, while benefiting from stronger relationships when our partners choose to sell. We achieved strong third-party management growth in 2024, adding 133 properties and expanding to 402 properties in total. The momentum of this business is building as our partners see the economic and reputational benefits of Public Storage’s platform and brand, in addition to the ease and certainty of execution when they decide to sell. 10 Property of Tomorrow We completed the Property of Tomorrow program at the end of 2024 under the direction of Robbie Williams, who leads our asset management team. This multi-year program comprised over $600 million of property and brand-enhancing initiatives including LED lighting, solar power generation, heat pumps, low-water irrigation, higher-efficiency offices, enhanced digital security, and plenty of easily recognized orange paint and signage. While the program is complete, many learnings it afforded will help align key opportunities to holistically enhance our competitive advantages going forward. Leading Tenant Reinsurance Our Orange Door Storage Insurance Program® offers customers peace of mind and protection from loss or damage to their belongings. The program leads the self-storage tenant reinsurance industry under the direction of Marshann Varley. Over the past few years, we have digitalized the offering process and enhanced overall coverage. This has been well received by customers, with adoption increasing and the program generating $170 million of NOI in 2024, up 5% relative to 2023 and more than 60% relative to 2019. The Orange Door Storage Insurance Program® is positioned for long-term growth as we continue expanding the portfolio and innovating to ensure best-in-class protection for our customers. Sustainability Leader Sustainability is a part of our long-term and resilience-focused strategy. Jonathan Balas leads our program and Nathan Vitan, our Chief Legal Officer, provides executive oversight in addition to leading legal, compliance, and enterprise risk management. Nareit named us a “Leader in the Light” for a second consecutive year in 2024. The award honors companies that demonstrate outstanding sustainability practices, and we were pleased to be among nine out of approximately 215 Nareit members to receive it. We are also in the top 7% of the Sustainalytics global coverage universe (15,100+ companies) and lead the U.S. self-storage REIT peer group across the major sustainability benchmarks. We are executing an ambitious environmental program. Strategic reductions in energy, carbon, water, and waste in recent years have resulted in our impact being approximately 83% below other property types. Furthermore, our average impact is approximately 35% below our self-storage REIT peers despite owning similar building structures. We are committed to reducing our footprint further, including increasing our solar power capability to more than 1,300 properties from nearly 900 today. In 2024, we announced a new long-term operational carbon reduction target of 45% by 2032, based on a 2022 baseline. 11 Utilizing Our Growth-Oriented Balance Sheet Public Storage’s balance sheet is calibrated to enable strong, sustainable growth over full economic cycles. We are the only U.S. REIT with A2 and A credit ratings from Moody’s and S&P, respectively. We have funded external growth primarily with retained cash flow and unsecured notes at attractive pricing on a relative basis given the low-leverage nature of our balance sheet, significant cash flow generation, and stable operating profile. In 2024, we established the company’s first at-the-market (ATM) common equity program to provide additional flexibility in funding our growth moving forward. This complements the common share repurchase program we have in place. With significant cash on-hand and low variable rate debt, Tom Boyle, Nick Kangas, and the finance team once again did an admirable job on our balance sheet and financing activities. We utilized retained cash flow, net unsecured note issuance, and common stock issuance to finance our capital allocation, resulting in $447 million in cash on hand at year-end. Capital was allocated to a combination of acquisitions, development, and, for the first time in over a decade, common share repurchases. Our operating strategies and balance sheet, including industry-leading access to and cost of capital, meaningfully benefited Public Storage this year. With 3.9x net debt and preferred equity to EBITDA, retained cash flow expected to increase from $400 million in 2024 to $600 million in 2025, and a strong operating profile, we have advantageous access to capital and significant capacity to fund further growth. Total Return Performance and Outlook The strength of our people, platform, balance sheet, and forward-looking strategies have driven outperformance relative to our peers. 2.1% (7.5%) 73.5% (4.5%) (15.2%) 65.3% (2.8%) (25.7%) 69.6% (3.5%) (35.8%) 42.1% -60% -40% -20% 0% 20% 40% 60% 80% 2024 3-Year Trailing 5-Year Trailing Total Shareholder Returns Cumulative Public Storage CubeSmart Extra Space National Storage Affiliates 12 We are very well positioned with improving operating fundamentals, unique initiatives focused on further enhancing our competitive advantages, a balance sheet poised for growth as the transaction market re-opens, and the delivery of new competitive supply declining from its 2019 peak. Public Storage is poised for growth into the future, and we thank you for your support. Joseph D. Russell, Jr. President and Chief Executive Officer February 28, 2025 13 CUMULATIVE TOTAL RETURN Public Storage, S&P 500 Index and NAREIT Equity Index December 31, 2007 - December 31, 2024 $0 $200 $400 $900 $600 $500 $800 $300 $100 NAREIT Equity Index PSA S&P 500 Index 12/31/07 12/31/08 12/31/09 12/31/10 12/31/11 12/31/12 12/31/13 12/31/14 12/31/15 12/31/16 12/31/17 12/31/18 12/31/19 12/31/20 12/31/21 12/31/22 12/31/24 12/31/23 $700 12/31/07 12/31/08 12/31/09 12/31/10 12/31/11 12/31/12 12/31/13 12/31/14 12/31/15 12/31/16 12/31/17 12/31/18 12/31/19 12/31/20 12/31/21 12/31/22 12/31/23 12/31/24 PSA $100.00 $112.37 $118.95 $152.89 $209.09 $232.71 $249.95 $317.02 $438.55 $408.30 $396.50 $398.99 $434.79 $489.40 $815.45 $650.63 $739.16 $754.40 S&P 500 Index $100.00 $ 63.00 $ 79.68 $ 91.68 $ 93.61 $108.59 $143.77 $163.45 $165.71 $185.53 $226.03 $216.12 $284.17 $336.45 $433.03 $354.61 $447.82 $559.87 Nareit Equity Index $100.00 $ 62.27 $ 79.70 $101.98 $110.42 $132.18 $135.95 $174.06 $178.98 $194.42 $211.28 $202.74 $260.85 $247.49 $349.70 $262.45 $292.26 $306.64 The graph set forth above compares the yearly change in the Company’s cumulative total shareholder return on its Common Shares for the 17-year period ended December 31, 2024 to the cumulative total return of the Standard & Poor’s 500 Stock Index (“S&P 500 Index”) and the FTSE NAREIT All Equity REITs Index (“NAREIT Equity Index”) for the same period (total shareholder return equals price appreciation plus dividends). The stock price performance graph assumes that the value of the investment in the Company’s Common Shares and each index was $100 on December 31, 2007 and that all dividends were reinvested. The share price performance shown in the graph is not necessarily indicative of future price performance. Supplemental Non-GAAP Disclosures (unaudited) Core funds from operations per share (“Core FFO”) represents diluted net income per share (“EPS”) before the impact of i) depreciation expense and disposition gains or losses and ii) foreign currency gains and losses, the application of preferred share redemption charges, and certain other items. Free cash flow per share (“Free Cash Flow”) represents Core FFO, less per share capital expenditures and non-cash stock based compensation and other expense. Core FFO and Free Cash Flow are not substitutes for EPS and may not be comparable with other REITs due to calculation differences; however, we believe they are helpful measures for investors and REIT analysts to understand our performance. Net Operating Income (“NOI”) represents revenues less pre-depreciation cost of operations earned directly at our properties, and we believe is a useful performance measure that we and the investment community use to evaluate performance and real estate values. Each of these non-GAAP measures exclude the impact of depreciation, which is based upon historical cost and assumes the value of buildings diminish ratably over time, while we believe that real estate values fluctuate due to market conditions. We also present supplemental measures of our revenues and NOI including Shurgard on a combined basis, to provide a measure of the performance of the businesses we have a significant interest in. However, the inclusion of these entities in these supplemental measures does not substitute for “equity in earnings of unconsolidated real estate entities” on our income statement. Reconciliation of Core FFO and Free Cash Flow per Share For the year ended December 31, 2024 2023 2022 EPS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 10.64 $ 11.06 $ 23.50 Eliminate noncore items (including our equity share): Depreciation expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.56 5.64 5.27 Real estate gain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (0.01) (0.10) (0.31) Gain on sale of equity investment in PS Business Parks, Inc. . . . . . . . . . . — — (12.00) Foreign currency, preferred share redemption charges, and other noncore items . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (0.52) 0.29 (0.54) Core FFO per share . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 16.67 $ 16.89 $ 15.92 Deduct capital expenditures and adjust non-cash comp/other . . . . . . . . . . . . (1.93) (2.09) (2.07) Free Cash Flow per share . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 14.74 $ 14.80 $ 13.85 Reconciliation of Revenues (Amounts in millions) For the year ended December 31, 2024 2023 2022 Consolidated revenues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,696 $ 4,518 $ 4,182 Shurgard Europe’s revenues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 434 382 355 Combined revenues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5,130 $ 4,900 $ 4,537 Reconciliation of NOI (Amounts in millions) For the year ended December 31, 2024 2023 2022 Net income on our income statement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,084 $ 2,160 $ 4,366 Eliminate: Depreciation, real estate acquisition and development expense, G&A, interest expense, interest and other income, equity in earnings, currency exchange gains (losses), gains on real estate sales and PSB, and income tax expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,353 1,210 (1,237) Add - Shurgard Europe NOI . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 278 247 228 Combined net operating income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,715 3,617 3,357 Less - NOI of Shurgard Europe allocable to others . . . . . . . . . . . . . . . . . (180) (161) (148) Public Storage’s share of NOI . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,535 $ 3,456 $ 3,209 [THIS PAGE INTENTIONALLY LEFT BLANK] UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K ☒Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the fiscal year ended December 31, 2024. or ☐Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to . Commission File Number: 001-33519 PUBLIC STORAG R E (Exact name of R o egistrant as specifie f d in its charter) Maryland 93-2834996 (State or other jurisd i iction of i o ncorpor r ation or organiza i tion) (I. ( R.S. Empl m oyer Iden d tific i ation Num N ber)r 701 Western Avenue, Glendale, Califor f nia 91201-2349 (Address of p o rincipal executive off o ic f es) ( s Zi ( p C i ode C )e (818) 244-8080 (Re ( gi e st i ra t nt's telephone e number, including area code)e Securities registered pursuant to Section 12(b) of the Act: Common Shares, $0.10 par value PSA New York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 5.150% Cum Pref Share, Series F, $0.01 par value PSAPrF New York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 5.050% Cum Pref Share, Series G, $0.01 par value PSAPrG New York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 5.600% Cum Pref Share, Series H, $0.01 par value PSAPrH New York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 4.875% Cum Pref Share, Series I, $0.01 par value PSAPrI New York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 4.700% Cum Pref Share, Series J, $0.01 par value PSAPrJ New York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 4.750% Cum Pref Share, Series K, $0.01 par value PSAPrK New York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 4.625% Cum Pref Share, Series L, $0.01 par value PSAPrL New York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 4.125% Cum Pref Share, Series M, $0.01 par value PSAPrM New York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 3.875% Cum Pref Share, Series N, $0.01 par value PSAPrN N r ew York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 3.900% Cum Pref Share, Series O, $0.01 par value PSAPrO New York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 4.000% Cum Pref Share, Series P, $0.01 par value PSAPrP New York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 3.950% Cum Pref Share, Series Q, $0.01 par value PSAPrQ New York Stock Exchange Depositary Shares Each Representing 1/1,000 of a 4.000% Cum Pref Share, Series R, $0.01 par value PSAPrR New York Stock Exchange Title of Class Trading Symbol Name of exchange on which registered Depositary Shares Each Representing 1/1,000 of a 4.100% Cum Pref Share, Series S, $0.01 par value PSAPrS New York Stock Exchange Guarantee of 0.875% Senior Notes due d 2032 issued by Publ u ic Storage Operating Company PSA/32 New York Stock Exchange Guarantee of 0.500% Senior Notes due d 2030 issued by Publ u ic Storage Operating Company PSA/30 New York Stock Exchange Title of Class Trading Symbol Name of exchange on which registered Securities registered pursuant to Section 12(g) of the Act: None Indicate by check mark if the registrant is a well-known seasoned issuer, as defin f ed in Rule 405 of the Securities Act. Yes ☒ No ☐ Indicate by check mark if the registrant is not required to fil f e reports pursuant to Section 13 or Section 15(d) of the Exchange Act. Yes ☐ No ☒ Indicate by check mark whether the registrant (1) has filed all reports required to be file f d by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for f such shorter period that the registrant was required to file such reports), and (2) has been subj u ect to such filing requirements for f the past 90 days. Yes ☒ No ☐ Indicate by check mark whether the registrant has submitted electronically every I r nteractive Data File required to be subm u itted pursuant to Rul R e 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for f such shorter period that the registrant was required to submit such files). Yes ☒ No ☐ Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act. Large accelerated filer Accelerated filer Non-accelerated filer Smaller reporting company Emerging growth company ☒ ☐ ☐ ☐ ☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised fin f ancial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐ Indicate by check mark whether the registrant has file f d a report on and attestation to its management’s assessment of the effe f ctiveness of its internal control over fin f ancial reporting under Section 404(b) of the Sarba r nes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting fir f m that prepared or issued its audit report. ☒ If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing refle f ct the correction of an error to previously issued financial statements. ☐ Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant’s executive officers dur d ing the relevant recovery period pursuant to § 240.10D-1(b). ☐ Indicate by check mark whether the registrant is a shell company (as defined in Rul R e 12b-2 of the Exchange Act). Yes ☐ No ☒ The aggregate market value of the voting and non-voting common shares held by non-affi f liates of the Registrant as of June 30, 2024: Common Shares, $0.10 par value per share – $43,242,396,000 (computed on the basis of $287.65 per share, which was the reported closing sale price of the Company's Common Shares on the New York Stock Exchange (the “NYSE”) on June 28, 2024). As of Februa r ry 18, 2025, there were 175,415,530 outstanding Common Shares, $0.10 par value per share. DOCUMENTS INCORPORAT R ED BY REFERENCE Portions of the defin f itive proxy statement to be fil f ed in connection with the Annual Meeting of Shareholders to be held in 2025 are incorpor r ated by reference into Part III of this Annual Report on Form 10-K to the extent described therein. (This Page Intentionally Left Blank) Public Storage Form 10-K For the Fiscal Year Ended December 31, 2024 TABLE OF CONTENTS Page Part I Item 1. Business 1 Item 1A. Risk Factors 8 Item 1B. Unresolved Staff Comments 18 Item 1C. Cybersecurity 19 Item 2. Properties 21 Item 3. Legal Proceedings 22 Item 4. Mine Safety Disclosures 22 Part II Item 5. Market for Registrant’s Common Equity, Related Shareholder Matters and Issuer Purchases of Equity Securities 23 Item 6. [Reserved] 23 Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations 23 Item 7A. Quantitative and Qualitative Disclosures about Market Risk 52 Item 8. Financial Statements and Suppl u ementary Data 52 Item 9. Changes in and Disagreements With Accountants on Accounting and Financial Disclosure 52 Item 9A. Controls and Procedures 52 Item 9B. Other Information 55 Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 55 Part III Item 10. Trus r tees, Executive Offi f cers and Corpor r ate Governance 56 Item 11. Executive Compensation 56 Item 12. Security Ownership of Certain Benefic f ial Owners and Management and Related Shareholder Matters 57 Item 13. Certain Relationships and Related Transactions and Trustee Independence 57 Item 14. Principal Accountant Fees and Services 57 Part IV Item 15. Exhibits and Financial Statement Schedul d es 58 (This Page Intentionally Left Blank) PART I ITEM 1. Business Cautionary Statement Regarding Forward-Looking Statements y g g g This Annual Report on Form 10-K contains forward-looking statements within the meaning of the Private Securities Litigation Refor f m Act of 1995. Forward-looking statements include statements relating to our 2025 outlook and all underlying assumptions; our expected acquisition, disposition, development, and redevelopment activity; supply and demand for our self-s f torage facilities; information relating to operating trends in our markets; expectations regarding operating expenses, including property tax changes; expectations regarding the impacts fro f m infla f tion and changes in macroeconomic conditions; our strategic priorities; expectations with respect to financing activities, rental rates, cap r a ates, and yields; leasing expectations; our credit ratings; and all other statements other than statements of historical fact. Such statements are based on management’s beliefs and assumptions made based on infor f mation currently availabl a e to management and may be identified by the use of the words “expects,” “believes,” “anticipates,” “should,” “estimates,” and similar expressions. These for f ward-looking statements involve known and unknown risks and uncertainties, which may cause our actua t l results and performance to be materially different from those expressed or implied in the forward-looking statements. Risks and uncertainties that may impact future results and performance include, but are not limited to, those described in Part 1, Item 1A, “Risk Factors” of this report and in our other filin f gs with the Securities and Exchange Commission (the “SEC”). These include changes in demand for f our facilities; changes in macroeconomic conditions; changes in national self-storage facility development activity; impacts of natur t al disasters; adverse changes in laws and regulations including governing property tax, evictions, rental rates, minimum wage levels, and insurance; adverse economic effe f cts fro f m public health emergencies, international military conflic f ts, or similar events impacting public health and/or economic activity; increases in the costs of our primary c r ustomer acquisition channels; adverse impacts to us and our customers fro f m high interest rates, infla f tion, unfav f orable foreign currency rate flu f ctua t tions, or changes in fed f eral or state tax laws related to the taxation of REITs; security breaches, including ransomware; or a failure of our networks, systems, or technology. These for f ward-looking statements speak only as of the date of this report or as of the dates indicated in the statements. All of our forward-looking statements, including those in this report, are qualifie f d in their entirety by this cautionary statement. We expressly disclaim any obligation to upda u te publicly or otherwise revise any forward-looking statements, whether as a result of new information, new estimates, or other fact f ors, events, or circumstances afte f r the date of these for f ward-looking statements, except when expressly required by law. Given these risks and uncertainties, you should not rely on any for f ward-looking statements in this report, or which management may make orally or in writing from f time to time, neither as predictions of future events nor guarantees of fut f ur t e performance. General Discussion of our Business Publ u ic Storage is a Maryland real estate investment trus r t (“REIT”) engaged in the ownership, development, and operation of self-storage facilities and other related operations including tenant reinsurance, third-party self-storage management and bridge lending to third-party self-storage owners. We are the industry l r eading owner of self-s f torage properties, with the most recognized brand in the self-s f torage industry, r including our ubiquitous orange color. On August 14, 2023, we completed a reorganization that resulted in us holding the interests in our facilities through an operating partnership, Publ u ic Storage OP, L.P. and its subs u idiaries including Publ u ic Storage Operating Company, formerly known as Public Storage, which was organized in 1980. This structur t e is commonly refer f red to as an umbrella partnership REIT, or UPREIT. After the reorganization, the primary assets of the parent entity, Public Storage, are general partner and limited partner interests in Public Storage OP, L.P. Unless stated otherwise or the context otherwise requires, references to “Public Storage” mean the parent entity, Publ u ic Storage, references to “PSA OP” mean Publ u ic Storage OP, L.P., and references to “PSOC” mean Publ u ic Storage Operating Company. References to “the Company,” “we,” “us,” and “our” mean collectively Public Storage, PSA OP, PSOC and those entities/subsidiaries owned or controlled by Publ u ic Storage, PSA OP, and PSOC. 1 Self-s f torage Operations g p : We acquire, develop, own, and operate self-s f torage facilities, which offe f r storage spaces for lease on a month-to- month basis, for f personal and business use. We are the largest owner of self-storage facilities in the United States (“U.S.”), with physical presence in most majo a r markets and 40 states. We believe our scale, brand name, and technology platform affo f rd us competitive advantages. At December 31, 2024, we held interests in and consolidated 3,073 self-s f torage facilities (an aggregate of 221 million net rentable square feet of space) operating under the Publ u ic Storage® name. Other Operations: p We manage insurance programs whereby customers at our facilities, including those we manage for f third parties, have the option of purchasing insurance from a non-affi f liated insurance company to cover certain losses to their stored goods. A wholly-owned, consolidated subs u idiary of Publ u ic Storage ful f ly reinsures these policies and thereby assumes all risk of losses under the policies. This subs u idiary receives from the non-affi f liated insurance company reinsurance premiums subs u tantially equal to the premiums collected from our tenants. These policies cover claims for losses related to specified events up to a maximum limit of $5,000 per storage unit. We reinsure all risks in this program but purchase insurance from an independent third-party insurer to cover this exposure for f a limit of $15.0 million for losses in excess of $10.0 million per occurrence. At December 31, 2024, there were appr a oximately 1.4 million certificates of insurance held by participating self-s f torage customers, representing aggregate coverage of approximately $6.8 billion. At December 31, 2024, we managed 307 facilities for third parties (with approximately 23.3 million net rentabl a e square feet), and were under contract to manage 95 additional fac f ilities including 93 facilities that are currently under construc r tion. In addition, we sell merchandise, primarily locks and cardboard boxes, at our self-s f torage facilities. We implemented a bridge lending program in 2024, under which we provide financing to third-party self-s f torage owners for operating properties that we manage. We generally originate bridge loans that are collateralized by operating self-s f torage properties, have a term of three or four years with two one-year extensions, and have variable interest rates. At December 31, 2024, we had a bridge loan receivable balance of $10.0 million and an unfunde f d loan commitment of $12.5 million, the closing of which is subject to the satisfaction of certain conditions. We hold a 35% interest in Shurgard Self Storage Limited (“Shurgard”). Shurgard is a public company traded on Euronext Brus r sels under the “SHUR” symbol. At December 31, 2024, Shurgard owned and operated 318 self-s f torage facilities (17 million net rentable square feet) located in seven countries in Western Europe under the Shurgard® name. For all periods presented herein, we have elected to be treated as a REIT, as defined in the Internal Revenue Code of 1986, as amended (the “Code”). For each taxabl a e year in which we qualify f f or f taxation as a REIT, we will not be subj u ect to U.S. federal corpor r ate income tax on our “REIT taxable income” (generally, taxable income subj u ect to specified adju d stments, including a deduc d tion for f dividends paid and excluding our net capital gain) that is distributed to our shareholders. We believe we met these requirements in all periods presented herein and we expect to continue to qualify as a REIT. We file annually with the SEC annual reports on Form 10-K, which include consolidated financial statements certifie f d by our independent registered public accountants. We also file f quarterly with the SEC quarterly reports on Form 10-Q, which include unaudited consolidated financial statements. We expect to continue such reporting. On our website, www.publicstorage.com, we make availabl a e, free of charge, our annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, definitive proxy statements, and other reports required to be filed with or furnished to the SEC, as well as all supplements and amendments to those filin f gs, as soon as reasonabl a y practicable afte f r the filings, supplements, and amendments are electronically filed with or furnished to the SEC. The information contained on our website is not a part of, or incorporated by reference into, this Annual Report on Form 10-K. 2 Competition p Ownership and operation of self-storage facilities is highly fra f gmented. As the largest owner of self-storage facilities, we believe that we own approximately 9% of the self-storage square footage in the U.S. and that collectively the four largest self-storage owners in the U.S. own approximately 20%, with the remaining 80% owned by regional and local operators. We believe our Publ u ic Storage® brand awareness, as well as the innovative improvements we have made to the customer experience described below, provide us with a competitive advantage in acquiring and retaining customers relative to other self-s f torage operators. The high level of ownership fra f gmentation in the industry i r s partially attributable to the relative simplicity of managing a local self-s f torage facility, such that small-scale owners can operate self-s f torage facilities at a basic level of profita f bi a lity without significant managerial or operational infra f structur t e. Our faci f lities compete with nearby r self-s f torage facilities owned by other operators, who use marketing channels, including Internet advertising, signage, and banners, and offe f r services similar to ours. As a result, competition is significant and affe f cts the occupa u ncy levels, rental rates, rental income, and operating expenses of our facilities. However, we believe that the economies of scale inherent in this business allow us to operate self-s f torage facilities at a materially higher level of cash flo f w per square foot than other operators without our scale. Technology gy We believe technology enables revenue optimization and cost effi f ciencies. Over the past few years, we have invested in additional technologies that we believe have enabled us to operate and compete more effe f ctively by providing customers with an enhanced digital experience. Convenient shopping i expe x rience: Customers can conveniently shop for f availabl a e storage space, reviewing attributes such as facility location, size, amenities (such as climate-control), and pricing through the fol f lowing marketing channels: • Our Website: The online marketing channel is a key source of customers. Approximately 83% of our move-ins in 2024 were sourced through our website, and we believe that many of our other customers who reserved directly through our customer care center or arrived at a facility and moved in without a reservation reviewed our pricing and availabi a lity online through our website. We seek to update the structur t e, layout, and content of our website regularly to enhance our placement in “unpaid” search in Google and related websites, to improve the efficiency of our bids in “paid” search campaigns, and to maximize users’ likelihood of reserving space on our website. • Our Custom t er Care Center t : Our customer care center is staffed by skilled sales specialists and customer service representatives. Customers can reach our customer care center and complete their rental over the phone by calling our advertised toll-free telephone numbers provided on search engines, from our website, the Publ u ic Storage App, or from our in-store kiosks. We believe giving customers the option to interact with a live agent, despite the higher marginal cost relative to a reservation made on our website, enhances our ability to close sales with potential customers and results in greater satisfaction. We also have live Internet chat augmented with ChatBot capa a bi a lity as another channel for f our customers to engage our agents, cost effectively improving customer responsiveness. • Our Pro P pe o rtie t s: Customers can also shop for availabl a e space at any one of our facilities. Property managers access the same infor f mation that is availabl a e on our website and to our customer care center agents and can inform the customer of availabl a e space at that site or at our other nearby r storage fac f ilities. Property managers are trained to maximize the conversion of such “walk in” shoppers into customers. We are expanding the use of in-store kiosks to give customers the options of a ful f l self-service experience or a two-way video assisted service via our existing customer care center. eRental® move-in p i rocess: To further enhance the move-in experience, we offer our eRental® process whereby prospective tenants (including those who initially reserved a space) can execute their rental agreement fro f m their smartphone or computer and then go directly to their space on the move-in date. Approximately 70% of customers utilized our eRental® and Rent by Phone process dur d ing 2024. 3 Public l Stor t age App: p We maintain an industry l r eading customer smartphone t application. The Public Storage App provides our customers with digital access to our properties, as well as payment and other account management functions. Centra t lized info n rmatio t n netwo t rk: Our centralized reporting and information network enables us to identify f changing market conditions and operating trends and analyze customer data. Our network allows us to quickly change each of our individual property’s pricing and promotions, and drive marketing spending, such as the relative level of bidding for various paid search terms on paid search engines. Growth and Investment Strategies g Our ongoing growth strategies consist of: (i) improving the operating performance of our existing self-storage facilities, (ii) acquiring and developing facilities, and (iii) growing ancillary business activities including tenant reinsurance, third-party management services and a bridge lending program. While our long-term strategy includes each of these elements, in the short term the level of growth in our asset base in any period is dependent upon the cost and availabi a lity of capi a tal, as well as the relative attractiveness of availabl a e investment alternatives. Impr m ove the t operating i perfor f ma r nce of e o xi e st i in t g fac f ilit l ie t s: We regularly update and enhance our strategies to increase the net cash flo f w of our existing self-storage faci f lities through maximizing revenues and controlling operating costs. We maximize revenues through striking the appr a opriate balance between occupa u ncy and rates for f new and existing tenants by regularly adju d sting (i) our promotional and other discounts, (ii) the rental rates we charge to new and existing customers, and (iii) our marketing spending and intensity. We adjust these pricing and marketing decisions by observing their impact on web and customer care center traffic, reservations, move-ins, move-outs, tenant length of stay, and other indicators of response. The size and scope of our operations have enabled us to achieve high operating margins and a low level of administrative costs relative to revenues through the centralization of many func f tions, such as faci f lity maintenance, employee compensation and benefits programs, revenue management, and the development and documentation of standardized operating procedur d es. Acquire exi e st i in t g prope o rtie t s: We seek to capi a talize on the fra f gmentation of the self-s f torage industry t r hrough acquiring attractively priced, well-located existing self-storage faci f lities. We believe our presence in and knowledge of subs u tantially all of the majo a r markets in the U.S. enhance our ability to identify a f ttractive acquisition opportunities. Data on the rental rates and occupa u ncy levels of our existing facilities provide us an advantage in evaluating the potential of acquisition opportunities. Our aggressiveness in bidding for marketed faci f lities depends upon many factors including the potential for f future growth, the quality of construc r tion and location, the cash flo f w we expect from the facility when operated on our platform, how well the faci f lity fit f s into our current geographic foot f pr t int, and our return on capital expectations. Develop l new self-s l torage a facilit i ie t s and expan x d exi e st i in t g fac f iliti i es: The development of new self-s f torage locations and the expansion of existing faci f lities have been an important source of our growth. Our operating experience in majo a r markets and experience in stabilizing new properties provide us advantages in developing new faci f lities. We plan to increase our development activity when we identify a f ttractive risk adjusted retur t n profiles with yields above those of acquisitions. However, our level of development is dependent upon many factors, including the cost and availabi a lity of land, the cost and availabi a lity of construc r tion materials and labor, zoning and permitting limitations, our cost of capi a tal, the cost of acquiring facilities relative to developing new fac f ilities, and local demand and economic conditions. Grow ancilla i ry busine i ss activities: We pursue growth initiatives aimed at increasing our insurance offer f ing coverage for tenants who choose to protect their stored items against loss and desire to maximize their experience. As we grow our self-s f torage portfol f io through acquisition, development and third-party management, we have the opportunity to increase the growth profil f e of our tenant reinsurance business. Our third party management business enabl a es us to generate revenues through management fees, expand our presence, increase our economies of scale, promote our brand, and enhance our ability to acquire additional fac f ilities over the medium and long-term as a result of strategic relationships forged with third-party owners. In 2024 we implemented a bridge lending program, under which we provide financing to third-party self-s f torage owners for operating properties that we manage. This program not only enabl a es us to earn interest and other fee f income but also increases our business in tenant reinsurance and third-party self-s f torage management and creates opportunities for potential fut f ur t e acquisitions. 4 Compliance with Government Regulations p g We are subject to various laws, ordinances, and regulations, including various federal, state, and local regulations that apply generally to the ownership of real property and the operation of self-storage facilities. These include various laws and regulations concerning environmental matters, labor matters, and employee safet f y and health matters. Further, our insurance activities are subj u ect to state insurance laws and regulations as determined by the insurance commission for each state in accordance with certain federal regulations. We are committed to a long-term environmental stewardship program that reduces emissions of hazardous materials into the environment and the remediation of identifie f d existing environmental concerns, including environmentally friendly capital initiatives and building and operating properties with high structur t al resilience and low obsolescence. We accrue environmental assessments and estimated remediation costs when it is probabl a e that such effort f s will be required and the related costs can be reasonabl a y estimated. Our current practice is to conduct environmental investigations in connection with property acquisitions. Although there can be no assurance, we are not aware of any environmental contamination of any of our facilities that individually or in the aggregate would be material to our overall business, financial condition, or results of operations. Refer to Item 1A, “Risk Factors” below for a discussion of certain risks related to government regulations, including risks related to environmental regulations, emergency regulations adopted in response to wildfires, flooding, or public health crises that restrict access to our facilities or the rents we can charge our customers, wage regulations, income tax regulations including relating to REIT qualific f ation, and property tax regulations. Aside fro f m the regulations discussed therein, we are not aware of any government regulations that have resulted or that we expect will result in compliance costs that had or will have a material effect on our capital expenditures, earnings, or competitive position. Human Capital Resources p Our employees are the cornerstone of our business and fundamental to our ability to execute our corporate strategies and create long-term value for f our stakeholders. Our human capital management strategy foc f uses on attracting, developing, and retaining the highest quality talent. We achieve these objectives by committing to our employees to provide a diverse and welcoming working environment, regular and transparent communication, competitive compensation, comprehensive benefits f , and opportunities for career growth and development. We believe that this approach, together with the core principles of our corporate culture, doing the right thing and upholding integrity in all that we do, promotes employee engagement and a commitment to Public Storage. We have approximately 5,900 employees, including 5,120 customer facing roles (such as property level and customer care center personnel), 340 field management employees, and 440 employees in our corporate operations. The fol f lowing is an overview of our key programs and initiatives foc f used on attracting, developing, and retaining the highest quality talent. For detailed infor f mation regarding such programs and initiatives, including our sustainabi a lity effo f rts, strategies, commitments, and progress, please refer to our 2024 Sustainabi a lity Report, which is available on our website at publicstorage.com. The infor f mation contained on our website is not a part of, or incorporated by reference into, this Annual Report on Form 10-K. Inclusive Cul C tu l re We are committed to creating a workpl k ace that values people with a wide range of backgrounds, where every r employee feel f s valued and able to be their authentic self as part of our best-in-class team. Public Storage hires based on skills, personality, and experience, without regard to age, gender, race, ethnicity, religion, sexual orientation, or other protected characteristic. We maintain policies regarding equal opportunity, pay-for-performance, discrimination, harassment, and labor (including opposition to child and compulsory labor a ). Our commitments to excellence and hiring “the best” have fos f tered an inclusive team that reflects the diversity of the customers we serve. We publicly disclose our annual Consolidated EEO-1 report, which refle f cts the race, ethnicity, and gender composition of our workforce, on the Investor Relations section of our website. 5 Communication and Engage a ment Given the geographically dispersed nature of our business, maintaining regular and clear communication is essential to ensuring that our employees feel informed, included, valued, and engaged. We use various communication channels, including emails, newsletters, videos, virtua t l and in-person meetings, and town halls, to provide updates on company strategy, performance, employee recognition, and other information. We also provide opportunities for f employees to ask questions of our leadership. To gauge the effectiveness of our engagement strategies, we conduct various surveys to assess employee commitment, motivation, and engagement, and to gather feedba d ck. We use this feedba d ck to refine and enhance our policies and programs for f our employees. This includes the creation of additional career advancement opportunities and development programs. We believe that the success of our engagement strategies can also be seen through third party surveys and recognition. Among other recognitions, we are proud again to be named a Great Place to Work® in 2024. We have also been recognized by Comparably, Inc. as a “Choice Employer” with an “A+” Culture Score based on employee responses across 18 culture metrics, among other recognitions. Compensation, Health l , Wel W ln l ess, and Saf S et f yt Publ u ic Storage maintains compensation and benefits programs designed to incentivize, reward, and suppor u t our employees. We believe that employee compensation should align with our short- and long-term performance goals and provide competitive compensation and incentives needed to attract, motivate, and retain employees who are cruc r ial to our success. We tailor our compensation programs to each employee group to ensure market competitiveness and enhance overall employee engagement. We offe f r affordable health plans and programs to virtually all our employees. Our full-time employees are eligible to participate in our comprehensive range of benefits, which include medical, dental, vision, flexible and health savings accounts, discount programs, income protection plans, and our 401(k) plan. Additionally, we maintain various employee suppor u t programs, including access to counseling, life p f lanning tools, and discount programs for f fitness, legal services, and home, auto, and pet insurance. Finally, we offer educational resources and tools, including a dedicated health and wellness website, to encourage employees to maintain a healthy and balanced lifes f tyle. We periodically consider employee fee f dback received through our engagement processes in the composition and design of our compensation and benefits programs. We are committed to providing safe self-s f torage facilities for our customers and employees. We conduct monthly safety training at all our properties and an annual safet f y training at our headquarters. We publicly disclose our employee health and safet f y data in our annual Sustainability Report. Traini i ng i and Developm o ent At Publ u ic Storage, we offe f r comprehensive training and development programs at every level of the organization. These programs are intended to provide our employees with the skills, tools, and knowledge they need to be successful f in their roles and to contribute to the organization’s success. They are also intended to fos f ter individual growth and strong employee engagement. Most of our new hires join Publ u ic Storage as property managers without prior experience in the self-storage industry. r We provide a hands-on new employee training program that includes coaching and development. For those new hires in leadership roles, we provide property-level training that exposes them to daily property operations and is intended to help them understand the fun f damentals of our business and operations. We also offer numerous career development opportunities for f existing employees, including management training programs. This includes a path for our property level employees to move into management and leadership roles and advance their careers within the Company. Many of our training and career development programs use our online learning platform of training courses and reference materials. In addition to for f mal training programs, we also offe f r one-on-one coaching, job shadowing, and mentoring opportunities. 6 Perfor f ma r nce Man M agement and Succession Plan l ning i Our performance management processes are designed to encourage collabor a ation between employees and their managers. Together, employees and managers work to plan, monitor, and review the employee’s objectives and career aspirations, establishing and holding employees accountable to both short- and long-term goals that align with the Company’s strategy. This is a continuous process intended to provide regular opportunities for f employees and their managers to share and receive feedba d ck. Succession planning is a priority for f management and our Board and is viewed as critical to ensuring business continuity and supporting the Company’s long-term growth and success. Periodically throughout each year, the executive team meets to review and assess the Company’s succession bench strength, evaluate talent, and make recommendations for developing and preparing future leaders within the organization. This collabor a ative appr a oach to talent management works to ensure that employees are given opportunities to grow beyond their current roles and responsibilities. Climate Change and Environmental Stewardship g p We are committed to managing climate-related risks and opportunities. Our goal is to operate in a responsible and sustainabl a e manner that aligns with our long-term corporate strategy and promotes our best interests along with those of our stakeholders, including our customers, investors, employees, and the communities in which we do business. Our management Environmental, Social, and Governance Steering Committee (our “Sustainability Committee”) guides our commitment to sustainability and has primary responsibility for climate-related activities. The Sustainability Committee reports to our Board and its committees, which oversee all of our sustainabi a lity initiatives. We consider potential environmental impacts—bot — h positive and negative—in our decision making across the business. We measure and monitor our environmental impact and leverage sustainability measures to reduce this impact while achieving cost effi f ciencies in our operations by implementing a range of energy, water, and waste management initiatives. Many of these initiatives are integrated into our ongoing Property of Tomorrow capital investment program. Regarding climate, we assess risks and opportunities in conjunction with ongoing operating and risk management processes across the company. We give primary consideration to physical, regulatory, r legal, market, and reputational risks. Examples of these risks include heat/w t ater stress, natural disasters, pandemics, temperatur t e change, and regulatory r compliance. We are addressing potential heat stress risks (e.g., higher energy costs, more fre f quent power outages, and impacts on our customers and workforce) through initiatives such as converting to LED lighting, effi f cient HVAC, and solar power generation installation. We are addressing potential water stress risks (e.g., increased costs and decreased availabi a lity) through initiatives such as efficient plumbing systems, low-water use irrigation systems, drought tolerant and native landscapi a ng, water run- r off c f ontrols, and storm water retention. We address the remaining risks primarily through natural disaster resilient development, redevelopment, and capital expenditures. We have establ a ished a combined scope 1 and 2 greenhouse gas reduction goal. Our target is to achieve a 45% reduction in utility-based emissions, calculated on an intensity basis, no later than 2032, based on a 2022 baseline. We will continue to utilize our unique competitive advantages in furthering our environmental stewardship effort f s and addressing the effects of climate change. Please refer f to our Sustainabi a lity Report for f further infor f mation. Seasonality We experience minor seasonal flu f ctua t tions in the demand for f self-s f torage space, with demand and rental rates generally higher in the summer months than in the winter months. We believe that these flu f ctua t tions result in part from increased moving activity during the summer months. 7 ITEM 1A. Risk Factors In addition to the other infor f mation in our Annual Report on Form 10-K, you should consider the risks described below that we believe may be material to investors in evaluating the Company. This section contains forward-looking statements, and in considering these statements, you should refer f to the qualific f ations and limitations on our forward- looking statements that are described in “Item 1. Business.” Risks Related to Our Properties and Our Business Natural disasters, terrorist attacks, civil unrest, or other events that could damage or otherwise disrupt our ability to operate our fac f ilities could adversely impact our business and financial results. Natural disasters, such as earthquakes, fires, hurricanes, and floods, terrorist attacks, civil unrest, and other events that damage our fac f ilities or our customers’ property, or that make our facilities temporarily unavailabl a e, have in the past and may in the fut f ur t e adversely impact our business and financial results. Damage and business interrupt u ion losses could exceed the aggregate limits of our insurance coverage. In addition, because we self-i f nsure a portion of our risks, losses below a certain level may not be covered by insurance. See Note 14 to our December 31, 2024 consolidated financial statements for a description of the risks of losses that are not covered by third-party insurance contracts. Our exposure to these types of events is increased by potential tenant claims associated with our tenant reinsurance business. In addition, customer perceptions about the risk of property loss fro f m these events could negatively impact self-s f torage demand. We are subject to risks fro f m the consequences of climate change, including severe weather events and the adverse impact of other steps that may be taken to prevent or mitigate climate change. Our self-storage facilities are located in areas that may be subj u ect to the direct impacts of climate change, such as increased destructive weather events like flo f ods, fir f es, drought, and prolonged periods of extreme temperature or other extreme weather, which could result in significant damage to our facilities, increased capital expenditures, increased expenses, reduc d ed revenues, or reduced demand for our facilities. Indirect impacts of climate change could also adversely impact our business, including through increased costs, such as insurance costs or regulatory c r ompliance costs. In addition, government and private effo f rts to transition to a low-carbon economy present certain risks for f us and our customers, including increased energy costs and macroeconomic risks related to high energy costs and energy shortages, among other things. Governmental, political, and societal pressures, including expectations of institutional and activist investors and other interest groups, could require us to implement or accelerate emissions initiatives and, with it, the costs of their implementation. These same potential governmental, political, and social pressures could in the future result in, among other things, (i) costly changes to newly developed faci f lities or retrofits f of our existing faci f lities to reduc d e carbon r emissions through multiple avenues, including changes to insulation, space config f uration, lighting, heating, and air conditioning and (ii) increased energy costs as a result of transitioning to less carbon- r intensive, but more expensive, sources of energy to operate our facilities. For example, beginning in 2026, we expect to be required to disclose our Scope 1, 2, and 3 emissions data and certain climate-related risk matters under Califor f nia SB 253 and SB 261, which we expect to result in increased compliance costs. In addition, our reputation and investor relationships could be damaged as a result of our involvement with activities perceived to be causing or exacerba r ting climate change, as well as any decisions we make to continue to conduct or change our activities in response to considerations relating to climate change. Operating costs, including property taxes, could increase. We could be subject to increases in property or other taxes, repair and maintenance costs, payroll, utility costs, insurance premiums, workers compensation, and other operating expenses due to various factors such as infla f tion, labor a shortages, commodity and energy price increases, weather, increases to minimum wage rates, supply chain disrupt r ions, and changes to governmental safety and real estate use limitations and other governmental actions. Our property tax expense, which totaled approximately $452.0 million dur d ing the year ended December 31, 2024, generally depends upon the assessed value of our real estate facilities as determined by assessors and government agencies and, accordingly, could be subj u ect to subs u tantial increases if such agencies change their valuation appr a oaches or opinions or if new laws are enacted, especially if new appr a oaches are adopted or laws are enacted that result in increased property tax assessments in states or geographies where we have a high concentration of faci f lities. See also “We have exposure to increased property tax in Califor f nia” below. 8 The acquisition of existing properties or self-storage operating companies is subject to risks that may adversely affe f ct our growth and financial results. We have acquired self-storage facilities and self-s f torage operating companies in the past, and we expect to continue to do so in the fut f ur t e. We face significant competition for f suitabl a e acquisition properties and companies fro f m other real estate investors, including operating companies and private equity funds. As a result, we may be unabl a e to acquire the companies or additional properties we desire or the purchase price for desirable companies or properties may be significantly increased. Failures or unexpected circumstances in integrating faci f lities or companies that we acquire, or circumstances we did not detect or anticipate dur d ing due d diligence, such as environmental matters, needed repairs or deferred maintenance, customer collection issues, assumed liabi a lities, turnover of critical personnel involved in acquired operating companies, or the effe f cts of increased property tax fol f lowing reassessment of a newly-acquired property, as well as the general risks of real estate investment and mergers and acquisitions, could jeopardize realization of the anticipated earnings from an acquisition. Our development program subjects us to risks. At December 31, 2024, we had a pipeline of development proje o cts totaling $741.6 million (subject to contingencies), and we expect to continue to seek additional development proje o cts. There are significant risks involved in developing self-s f torage facilities, such as delays, cost increases, or inabi a lity to complete development proje o cts due d to changes in or fai f lure to meet government or regulatory r r equirements, failure of revenue to meet our underwriting estimates, delays caused by weather issues, unfor f eseen site conditions, or personnel problems. Self-s f torage space is generally not pre- leased, and rent-up o u f newly developed space can be delayed or ongoing cash flo f w yields can be reduced due to competition, reductions in storage demand, or other fac f tors. There is signific f ant competition among self-storage operators and from other storage alternatives. Our self-storage facilities generate most of our revenue and earnings. Significant competition fro f m self-storage operators, property developers, and other storage alternatives may adversely impact our ability to attract and retain customers and may negatively impact our ability to generate revenue. Competition in the local market areas in which many of our properties are located is significant and affe f cts our occupa u ncy levels, rental rates, and operating expenses, particularly advertising costs. There is also an increasing influ f x of capital fro f m outside financing sources driving more money, development, and supply into the industry. r Development of self-storage facilities may increase, which may intensify c f ompetition as newly developed faci f lities are opened. Development of self-storage facilities by other operators could increase, due to increases in availabi a lity of funds for investment or other reasons, and further intensify competition. Demand for self-storage facilities may be affected by customer perceptions and factors outside of our control. Significantly lower logistics costs could introduce new competitors, such as valet-style storage services, which may reduc d e the demand for traditional self-storage. Customer preferences and/or needs for f self-s f torage could change, decline, or shift t f o other product types, thereby impacting our business model and ability to grow and/or generate revenues. Shifts f in population and demographics could cause the geographical distribution of our portfol f io to be subopt u imal and affe f ct our ability to maintain occupa u ncy and attract new customers. Security incidents could result in the perception that our properties are not safe. If our customers do not feel our properties are safe, they may select competitors for their self-f storage needs, or if there is an industry p r erception of inadequate security generally, customer use of self-s f torage could be negatively impacted. Our newly developed and expanded fac f ilities, and fac f ilities that we manage for third party owners, may negatively impact the revenues of our legacy fac f ilities. We continue to develop new self-s f torage facilities and expand our existing self-storage facilities. In addition, we are seeking to increase the number of self-storage facilities that we manage for third party owners in exchange for f a fee f , many of which are in the process of stabilization and are near our existing stabi a lized self-s f torage facilities. In order to hasten the fill f -up o u f these new fac f ilities, we aggressively price such space during the fill-up period. While we believe that this aggressive pricing allows us to increase our market share relative to our competitors and increase the cash flo f ws of these properties, such pricing and the added capacity may also negatively impact our existing stabi a lized self-s f torage facilities that are near these unstabi a lized facilities. 9 We may incur signific f ant liabilities fro f m environmental contamination or moisture infilt f ration. Existing or fut f ur t e laws impose or may impose liabi a lity on us to clean up environmental contamination on or around properties that we currently or previously owned or operated, even if we were not responsible for or aware of the environmental contamination or even if such environmental contamination occurred prior to our involvement with the property. We have conducted preliminary e r nvironmental assessments on most of our properties, which have not identifie f d any material liabi a lities. These assessments, commonly refer f red to as “Phase 1 Environmental Assessments,” include an investigation (excluding soil or groundwater sampling or analysis) and a review of publicly availabl a e infor f mation regarding the site and other nearby r properties. We are also subject to potential liabi a lity relating to moisture infiltration, which can result in mold or other damage to our or our customers’ property, as well as potential health concerns. When we receive a complaint or otherwise become aware that an air quality concern exists, we implement corrective measures and seek to work proactively with our customers to resolve issues, subject to our contractua t l limitations on liabi a lity for such claims. We are not aware of any environmental contamination or moistur t e infiltr f ation related liabi a lities at any of our properties that could be material to our overall business, financial condition, or results of operation. However, we may not have detected all material liabi a lities, we could acquire properties with material undetected liabi a lities, or new conditions could arise or develop at our properties, any of which could result in a cash settlement or adversely affect our ability to sell, lease, operate, or encumber affected facilities. Elevated interest rate levels could adversely impact us and our tenants. Interest rates remain elevated compared to recent years and may increase. As a result, if we issued new debt or prefer f red shares or refin f anced our indebtedness, our debt service costs or prefer f red share dividend yields would likely be, based on current interest rates, significantly higher than current financing costs. Elevated interest rates also adversely impact the relative attractiveness of the dividend yield on our common shares. Increases in our cost of capital impact our assessment of the yields we consider appropriate to suppor u t pursuing property acquisition and development opportunities and thus can impact our external growth prospects. The degree and pace of these changes have had and may continue to have adverse macroeconomic effe f cts that have and may continue to have adverse impacts on our tenants, including as a result of economic recession, increased unemployment, and increased financing costs. For more information on interest rate risk, see Part II, “Item 7A. Quantitative and Qualitative Disclosures About Market Risk”. Economic conditions can adversely affect our business, financial condition, and growth. Economic downtur t ns or adverse economic or industry c r onditions, including those related to high levels of inflation, could adversely impact our financial results, growth, and access to capital. Our revenues and operating cash flo f w can be negatively impacted by reduc d tions in employment and population levels, household and disposable income, and other general economic factors that lead to a reduc d tion in demand for f self-s f torage space in each of the markets in which we operate. We have exposure to European operations through our ownership in Shurgard. We own appr a oximately 35% of the common shares of Shurgard, and this investment has a $382.5 million book value and a $1.3 billion market value (based upon the closing trading price of Shurgard’s common stock) at December 31, 2024. We recognized $19.8 million in equity in earnings and received $22.8 million in dividends in 2024 with respect to Shurgard. Shurgard, as an owner, operator, and developer of self-storage facilities, is subj u ect to many of the same risks we are with respect to self-s f torage. However, through our investment in Shurgard, we are exposed to additional risks unique to the various European markets in which Shurgard operates, which may adversely impact our business and financial results, and many of which are refer f red to in Shurgard’s public filings. These risks include the fol f lowing: • Cur C rency r c isks: Currency flu f ctua t tions can impact the fair value of our investment in Shurgard, our equity earnings, our ongoing dividends, and any other related repatriations of cash. 10 • Legislative, tax, a and regul e atory r r isks: Shurgard is subj u ect to a variety of local, national, and pan-European laws and regulations related to permitting and land use, the environment, labor a , and other areas, as well as income, property, sales, and value added and employment tax. These laws and regulations can be difficult to apply or interpr r et, can vary in each country or locality, and are subject to unexpected changes in their form and appl a ication due d to regional, national, or local political uncertainty and other factors. Such changes, or Shurgard’s failure to comply with these laws, could subject it to penalties or other sanctions, adverse changes in business processes, and, potentially, adverse income tax, property tax, or other tax burdens. • Imp I ediments to capi a tal repatri t ation could n l egatively i l mpact the t realization of o o ur investment in Shur S gar r d: Laws in Europe and the U.S. may create, impede, or increase our cost to repatriate distributions received from Shurgard or proceeds from the sale of Shurgard shares. • Risks of collective bargai r ning: Collective bargaining, which is prevalent in certain areas in Europe, could negatively impact Shurgard’s labor a costs or operations. Many of Shurgard’s employees participate in various national unions. • Potential operating and individual country t risk i s: k Economic slowdowns or extraordinary p r olitical or social change in the countries in which it operates have posed, and could continue to pose, challenges or result in future reductions of Shurgard’s operating cash flo f ws. • Liquidity of our ownership stake: k We have no plans to liquidate our interest in Shurgard. However, while Shurgard is a publicly held entity, if we chose to, our ability to liquidate our shares in Shurgard in an effi f cient manner could be limited by the level of Shurgard’s public “flo f at” relative to any ownership stake we sought to sell. Our existing relationship with our legacy joint venture partner may place further contractua t l limitations on our ability to sell all of the shares we own if we desired to do so. • Imp I ediments of Shurgar r d’s public ownership stru t cture: Shurgard’s strategic decisions, involving activities such as borrowing money, capi a tal contributions, raising capital fro f m third parties, and selling or acquiring significant assets, are determined by its board of directors. As a result, Shurgard may be precluded from f taking advantage of opportunities that we would fin f d attractive but that we may not be able to pursue separately, or it could take actions that we do not agree with. Public health and other crises have adversely impacted, and may in the fut f ure adversely impact, our business. Our business is subject to risks fro f m public health and other crises like the COVID-19 pandemic, including, among others: • risk of illness or death of our employees or customers; • negative impacts on economic conditions in our markets, which may reduce the demand for self-storage; • risk that there could be an out-migration of population fro f m major markets where we operate; • government restrictions that (i) limit or prevent use of our facilities, (ii) limit our ability to increase rent or otherwise limit the rent we can charge, (iii) limit our ability to collect rent or evict delinquent tenants, or (iv) limit our ability to complete development and redevelopment proje o cts; • risk that we could experience a change in the move-out patterns of our long-term customers due d to economic uncertainty and increases in unemployment, which could lead to lower occupa u ncies and rent “roll down” as long-term customers are replaced with new customers at lower rates; and • risk of negative impacts on the cost and availabi a lity of debt and equity capital, which could have a material impact upon u our capi a tal and growth plans. 11 We have been and may in the fut f ure be adversely impacted by emergency regulations adopted in response to signific f ant events, such as natural disasters or public health crises, that could adversely impact our operations. In response to significant events, local, state, and fed f eral governments have and may in the future adopt regulations that could impact our operations. For example, in response to wildfires in 2018, 2019, and early 2025 and floods in 2023, the State of Califor f nia and some localities in Califor f nia adopted temporary r r egulations that imposed certain limits on the rents we could charge at certain of our facilities and the extent to which we could increase rents to existing tenants. Similarly, in response to the COVID-19 pandemic, certain localities adopted restrictions on the use of certain of our facilities, limited our ability to increase rents, limited our ability to collect rent or evict delinquent tenants, and limited our ability to complete development and redevelopment proje o cts. Similar restrictions could be imposed in the fut f ur t e in response to significant events and these restrictions could adversely impact our operations. Our marketing and pricing strategies may fai f l to be effective or may be constrained by fac f tors outside of our control. Marketing initiatives, including our increasing dependence on Google to source customers, may fai f l to be effe f ctive and could negatively impact financial performance. Approximately 67% of our new storage customers in 2024 were sourced directly or indirectly through “unpaid” search and “paid” search campaigns on Google. We believe that the vast majo a rity of customers searching for self-storage use Google at some stage in their shopping experience. Google is providing tools to allow smaller and less sophisticated operators to bid for f search terms, increasing competition for f self-f storage search terms. The predominance of Google in the shopping experience, as well as Google’s enabl a ing of additional competitors to bid for f placements in self-s f torage search terms, may reduc d e the number of new customers that we can procure, and/or increase our costs to obtain new customers. In addition, the inabi a lity to utilize our pricing methodology due to regulatory o r r market constraints could also significantly impact our financial results. We are exposed to ongoing litigation and other legal and regulatory actions, which may divert management’s time and attention, require us to pay damages and expenses or restrict the operation of our business. We have approximately 5,900 employees and 2.0 million customers, and we conduct business at faci f lities in 40 states. As a result, we are subject to the risk of legal claims and proceedings (including class actions) and regulatory r enforcement actions across many jurisdictions in the ordinary c r ourse of our business and otherwise, and we could incur significant liabi a lities and substantial legal fees from these actions. Resolution of these claims and actions may divert time and attention of our management and could involve payment of damages or expenses by us, all of which may be significant, and could damage our reputation and our brand. In addition, any such resolution could involve our agreement to terms that restrict the operation of our business. The results of legal proceedings cannot be predicted with certainty. We cannot guarantee that losses incurred in connection with any current or future legal or regulatory p r roceedings or actions will not exceed any provisions we may have set aside in respect of such proceedings or actions or any availabl a e insurance coverage. Any such legal claims, proceedings, and regulatory e r nfor f cement actions could negatively impact our operating results, cash flo f w availabl a e for f distribution or reinvestment, and/or the price of our common shares. In addition, through exercising their authority to regulate our activities, governmental agencies can otherwise negatively impact our business by increasing costs or decreasing revenues, including through restrictions on rent increases or fees. 12 Our use of or failure to adopt advancements in information technology may hinder or prevent us fro f m achieving strategic objectives or otherwise harm our business. Our use of or inability to adopt and deliver new technological capabilities and enhancements in line with strategic objectives, including artificial intelligence and machine learning, may put us at a competitive disadvantage; cause us to miss opportunities to innovate, achieve effi f ciencies, or improve the customer experience; or adversely impact our business, reputation, results of operations, and financial condition. Legislative activity in the privacy area may also result in new laws that are app a licabl a e to us and that may hinder our business, including by restricting our use of customer data or otherwise regulating the use of algorithms and automated processing in ways that could materially affe f ct our business or lead to significant increases in the cost of compliance. In addition, the use of emerging technologies, including artific f ial intelligence, entails risks including risks relating to the possibility of intellectua t l property infri f ngement or misappropriation; data privacy; new or enhanced governmental or regulatory s r crut r iny, requirements, litigation, or other liabi a lity; ethical concerns; negative consumer perceptions as to automation and artific f ial intelligence; or other complications or liabilities that could adversely affect our business, reputation, results of operations, or fin f ancial results. The fai f lure or disruption of our computer and communications systems, on which we are heavily dependent, could signific f antly harm our business. We are heavily dependent upon automated infor f mation technology and Internet commerce, with more than half of our new customers coming fro f m the telephone or over the Internet. We centrally manage significant components of our operations with our computer systems, including our financial infor f mation, and we also rely extensively on third-party vendors to retain data, process transactions, and provide other systems services. These systems are subj u ect to damage or interrupt u ion fro f m power outages, system, network, internet and telecommunications failures, hackers, including through a ransomware attack, computer worms, viruses, and other destructive or disrupt u ive cybersecurity incidents, and catastrophic events. Such incidents could also result in significant costs to repair or replace such networks or information systems, as well as actua t l monetary losses in case of a cybersecurity incident that resulted in fra f udulent payments or other cash transactions. Our operations could be severely impacted by a natural disaster, terrorist attack, attack by hackers, acts of vandalism, data theft, f misplaced or lost data, programming or human error, or other circumstance that results in a significant outage of our systems or those of our third party providers, despite our use of back up and redunda d ncy measures. While we may be entitled to damages if our third-party providers fail to satisfy their security-related obligations to us, any award may be insufficient to cover our damages, or we may be unabl a e to recover such award. If our confidential infor f mation is compromised or corrupted, including as a result of a cybersecurity incident, our reputation and business relationships could be damaged and our fin f ancial condition and operating results could be adversely affected. In the ordinary c r ourse of our business we acquire and store sensitive data, including personally identifia f bl a e information of our prospective and current customers and our employees. The secure processing and maintenance of this information is critical to our operations and business strategy. Although we believe we and our third-party service providers have taken commercially reasonabl a e steps to protect the security of our confid f ential infor f mation, information security risks have generally increased in recent years due to the rise in new technologies and the increased sophistication and activities of perpe r trators of cyberattacks. Further, new technologies such as artific f ial intelligence may be more capable at evading these safeguard measures. Despite our security measures, we face f cybersecurity threats, including system, network, or Internet failures; cyberattacks, ransomware, and other malware; social engineering; and phishing schemes. In these cases, our information technology and infra f structur t e could be vulnerabl a e and our or our customers’ or employees’ confid f ential infor f mation could be compromised or misappropriated. Any such cybersecurity incident, including those impacting personal infor f mation, could result in serious and harmful f consequences for us or our customers. A cybersecurity incident could also interfere with our ability to comply with financial reporting requirements. Additionally, fut f ur t e or past business transactions (such as acquisitions or integrations) could expose us to additional cybersecurity risks and threats, as our systems could be negatively affected by vulnerabi a lities present in acquired or integrated entities’ systems and technologies. Furthermore, we may discover security issues that were not found during due d diligence of such acquired or integrated entities, and it may be difficult to integrate companies into our information technology environment and security program. 13 Our confid f ential infor f mation may also be compromised due to programming or human error, negligence, or fraud. Although we and our third-party service providers make effo f rts to maintain the security and integrity of our information, including the implementation of security measures, required employee awareness training, and the existence of a disaster recovery plan, there is no guarantee that they will be adequate to safeguard against all cybersecurity incidents or misuses of data. In addition, as the regulatory e r nvironment related to information security, data collection and use, and privacy becomes increasingly rigorous, with new and changing requirements appl a icable to our business fro f m multiple regulatory r agencies at the local, state, fed f eral, or international level, compliance with those requirements could also result in additional costs, or we could fai f l to comply with those requirements due d to various reasons. Any such access, disclosure, or other loss of information could result in legal claims or proceedings, liabi a lity under laws that protect the privacy of personal infor f mation, regulatory p r enalties, disrupt r ion to our operations and the services we provide to customers, or damage to our reputation, any of which could adversely affect our results of operations, reputation, and competitive position. In addition, our customers could lose confid f ence in our ability to protect their personal infor f mation, which could cause them to discontinue leasing our self-s f torage facilities. Such events could lead to lost future revenues and adversely affect our results of operations, or result in remedial and other costs, fin f es, or lawsuits, which could exceed any availabl a e insurance that we have procured. We have identifie f d and expect to continue to identify c f yberattacks and cybersecurity incidents on our systems and those of third parties we rely upon, u but none of the cyberattacks and incidents we have identifie f d to date has had a material impact on our business or operations. While we have purchased cybersecurity insurance, there are no assurances that the coverage would be adequate in relation to any incurred losses. Moreover, as cyberattacks increase in fre f quency and magnitude, we may be unabl a e to obtain cybersecurity insurance in amounts and on terms we view as adequate for our operations. Further infor f mation relating to cybersecurity risk management is discussed in Item 1C. “Cybersecurity” in this report. Ineffe f ctive succession planning for our CEO and executive management, as well as for f our other key employees, may impact the execution of our strategic plan. We may not effe f ctively or appr a opriately identify ready-now succession candidates for f our CEO and executive management team, which may negatively impact our ability to meet key strategic goals. Failure to implement succession plans for f other key employees may leave us vulnerabl a e to retirements and tur t nover. We may fai f l to protect our intellectual property adequately. We maintain a portfol f io of trademarks and trade dress that we believe are funda f mental to the success of the Publ u ic Storage® brand. While we actively seek to enforce and expand our rights, failure to adequately protect our rights could lead to loss of such trademark and trade dress protection. We also own and seek to protect other intellectua t l property, such as propriety systems, processes, data, and other trade secrets that we have collected and developed in the course of operating our business and that we believe provides us with various competitive advantages. Our protections could be inadequate or we could lose rights to our other intellectua t l property and trade secrets. Competitor use of our trademarks and trade names could lead to likelihood of confus f ion, tarnishment of our brand, and loss of legal protection for f our marks. We may be subject to labor disruptions related to unionization efforts. Our employees have been and may in the fut f ur t e be subject to unionization efforts. These activities could lead to labor a disrupt r ions which could adversely impact our ability to operate our business and could negatively impact our reputation. In addition, these activities could result in collective bargaining agreements, which could result in increased operating and legal costs. Our use of artificial intelligence could expose us to various risks. We have begun to utilize artific f ial intelligence technologies in various aspects of our business. Artific f ial intelligence technologies are susceptible to errors and other malfunc f tions which could lead to operational challenges and reputational risks. In addition, we may be subje b ct to increasing regulations related to our use of these technologies, including regulations related to privacy, data security, and intellectua t l property rights, which could expose us to legal risks. 14 Risks Related to Our Ownership, Organization and Structure Takeover attempts or changes in control could be thwarted, even if beneficial to shareholders. In certain circumstances, shareholders might desire a change in control or acquisition of us in order to realize a premium over the then-prevailing market price of our shares or for other reasons. However, the following could prevent, deter, or delay such a transaction: • Provisions of Maryland law may impose limitations that may make it more diffi f cult for a third party to negotiate or effe f ct a business combination transaction or control share acquisition with Publ u ic Storage. Currently, our Board has opted not to subj u ect the Company to these provisions of Maryland law, but it could choose to do so in the future without shareholder appr a oval. • To protect against the loss of our REIT status t due to concentration of ownership levels, our declaration of trus r t generally limits the abi a lity of a person, other than the Hughes fam f ily or “designated investment entities” (each as defined in our declaration of trust), to own, actua t lly or construc r tively, more than 3% of our outstanding common shares or 9.9% of the outstanding shares of any class or series of prefer f red or equity shares. Our Board may grant, and has previously granted, a specific exemption. These limits could discourage, delay, or prevent a transaction involving a change in control of the Company not approved by our Board. • Similarly, current provisions of our declaration of trust and powers of our Board could have the same effe f ct, including (1) limitations on removal of trustees, (2) restrictions on the acquisition of our shares of beneficial interest, (3) the power to issue additional common shares, prefer f red shares, or equity shares on terms approved by our Board without obtaining shareholder appr a oval, (4) the advance notice provisions of our bylaws, and (5) our Board’s abi a lity under Maryl r and law, without obtaining shareholder appr a oval, to implement takeover defen f ses that we may not yet have and to take, or refra f in from taking, other actions that could have the effe f ct of delaying, deterring, or preventing a transaction or a change in control. Holders of our preferred shares have dividend, liquidation, and other rights that are senior to the rights of the holders of our common shares. Holders of our prefer f red shares are entitled to cumulative dividends before any dividends may be declared or set aside on our common shares. Upon liquidation, holders of our prefer f red shares will receive a liquidation preference of $25,000 per share (or $25.00 per depositary s r hare) plus any accrue r d and unpaid distributions before any payment is made to the common shareholders. These prefer f ences may limit the amount received by our common shareholders either from ongoing distributions or upon liquidation. In addition, our prefer f red shareholders have the right to elect two additional directors to our Board whenever dividends are in arrears in an aggregate amount equivalent to six or more quarterly dividends, whether or not consecutive. Public Storage is a holding company with no direct operations, and it relies on funds f received fro f m PSA OP and PSOC to pay its obligations and make distributions to shareholders Publ u ic Storage is a holding company with no direct operations. All of Publ u ic Storage’s property ownership, development, and related business operations are conducted through PSOC (which is wholly-owned by PSA OP) and Publ u ic Storage has no material assets or liabi a lities other than its investment in PSA OP. As a result, Publ u ic Storage relies on distributions from PSA OP, which in turn relies on distributions from PSOC, to make common and prefer f red share dividend payments. Although Publ u ic Storage currently wholly-owns (directly or indirectly) PSA OP and PSOC, and therefor f e exercises exclusive control over PSA OP and PSOC, including the authority to cause PSA OP and PSOC to make distributions, in connection with our future acquisition activities or otherwise, PSA OP may issue additional units of limited partnership to third parties, and these limited partners may negotiate for certain rights. In addition, because Public Storage is a holding company, shareholder claims are structur t ally subor u dinated to all existing and future liabi a lities of PSA OP and PSOC and their subsidiaries. Therefore, in the event of a bankrupt r cy, insolvency, liquidation or reorganization of PSA OP or PSOC, or their subsidiaries, assets of PSA OP or PSOC or the applicable subs u idiary will be availabl a e to satisfy any claims of our shareholders only after such liabilities and obligations have been satisfied in full. 15 Holders of our preferred shares are subject to certain risks. Holders of our prefer f red shares have preference rights over our common shareholders with respect to liquidation and distributions, which give them some assurance of continued payment of their stated dividend rate, and receipt of their principal upon u liquidation of the Company or redemption of their securities. However, holders of our prefer f red shares should consider the fol f lowing risks: • The Company has in the past, and could in the future, issue or assume additional debt. Prefer f red shareholders would be subordinated to the interest and principal payments of such debt, which would increase the risk that there would not be sufficient funds f to pay distributions or liquidation amounts to the prefer f red shareholders. • The Company has in the past, and could in the future, issue additional preferred shares that, while pari passu to the existing preferred shares, increases the risk that there would not be sufficient funds f to pay distributions to the preferred shareholders. • While the Company has no plans to do so, if the Company were to lose its REIT status t or no longer elect REIT status t , it would no longer be required to distribute its taxabl a e income to maintain REIT status. If, in such a circumstance, the Company ceased paying dividends, unpaid distributions to the preferred shareholders would continue to accumulate. The preferred shareholders would have the ability to elect two additional members to serve on our Board until the arrearage was cured. The prefer f red shareholders would not receive any compensation (such as interest) for f the delay in the receipt of distributions, and it is possible that the arrearage could accumulate indefinitely. • Holders of our Prefer f red Shares have limited rights in the event the Company ceases to pay dividends to shareholders and have no rights with respect to a Company decision to discontinue listing the Prefer f red Shares on a national securities exchange or file reports with the SEC, including following a change of control transaction. Risks Related to Government Regulations and Taxation We would incur adverse tax consequences if we failed to qualify a f s a REIT, and we would have to pay substantial U.S. federal corporate income taxes. REITs are subj u ect to a range of complex organizational and operational requirements. A qualifyi f ng REIT does not generally incur U.S. fed f eral corporate income tax on its “REIT taxable income” (generally, taxable income subj u ect to specified adju d stments, including a deduc d tion for f dividends paid and excluding net capital gain) that it distributes to its shareholders. Our REIT status t is also dependent upon the REIT qualific f ation of PS Business Parks, Inc. (“PSB”) through the end of its taxable year ended December 31, 2022, as a result of our subs u tantial ownership interest in it prior to the closing of the PSB merger with an unaffiliated third party. We believe we have qualifie f d as a REIT and we intend to continue to maintain our REIT status t . However, there can be no assurance that we qualify o f r will continue to qualify a f s a REIT, because of the highly technical nature of the REIT rul r es, the ongoing importance of fact f ua t l determinations, the possibility of unidentifie f d issues in prior periods, or changes in our circumstances, as well as share ownership limits in our declaration of trust that may fai f l to ensure that our shareholder base is suffi f ciently diverse for us to qualify a f s a REIT. For any year we fail to qualify a f s a REIT, unless certain relief provisions apply (the granting of such relief could nonetheless result in significant excise or penalty taxes), we would not be allowed a deduction for dividends paid, we would be subject to U.S. federal corpor r ate income tax on our taxabl a e income, and generally we would not be allowed to elect REIT status t until the fif f th f year afte f r such a disqualific f ation. In addition, for tax years beginning afte f r December 31, 2022, we could also be subject to certain taxes enacted by the Infla f tion Reduction Act of 2022 that are appl a icable to non-REIT corporations, including the corpo r rate alternative minimum tax and nondeductible one percent excise tax on certain stock repurchases. Any taxes, interest, and penalties incurred would reduc d e our cash availabl a e for f distributions to shareholders and could negatively affect our stock price. However, for f years in which we failed to qualify a f s a REIT, we would not be subj u ect to REIT rules that require us to distribute substantially all of our taxabl a e income to our shareholders. 16 Dividends payable by REITs do not qualify f f or f the preferential tax rates available for f some dividends. Dividends payabl a e by REITs may be taxed at higher rates than dividends of non-REIT corporations. The maximum U.S. fed f eral income tax rate for f qualified dividends paid by domestic non-REIT corporations to U.S. stockholders that are individuals, trusts, or estates is generally 20%. Dividends paid by REITs to such stockholders are generally not eligible for that rate, but under current tax law, such stockholders may deduc d t up t u o 20% of ordinary dividends (i.e., dividends not designated as capital gain dividends or qualifie f d dividend income) received fro f m a REIT for taxabl a e years beginning before January 1, 2026. Although this deduction reduc d es the effective tax rate applicable to certain dividends paid by REITs, such tax rate may still be higher than the tax rate appl a icable to regular corporate qualified dividends. This may cause investors to view REIT investments as less attractive than investments in non-REIT corporations, which in turn may adversely affect the value of the stock of REITs, including our stock. We may pay some taxes, reducing cash available for f shareholders. Even if we qualify as a REIT for f U.S. federal corpo r rate income tax purpos r es, we may be subj u ect to some federal, foreign, state, and local taxes on our income and property. Certain consolidated corporate subsidiaries of the Company have elected to be treated as taxable REIT subs u idiaries (“TRSs”) for U.S. fed f eral corporate income tax purpos r es and are taxabl a e as regular corporations and subject to certain limitations on intercompany transactions. If tax authorities determine that amounts paid by our TRSs to us are not reasonabl a e compared to similar arrangements among unrelated parties, we could be subject to a 100% penalty tax on the excess payments, and ongoing intercompany arrangements could have to change, resulting in higher ongoing tax payments. To the extent the Company is required to pay federal, foreign, state, or local taxes, or federal penalty taxes due d to existing laws or changes thereto, we will have less cash availabl a e for f distribution to shareholders. In addition, certain local and state governments have imposed taxes on self-storage rent. While in most cases those taxes are paid by our customers, they increase the cost of self-s f torage rental to our customers and can negatively impact our revenues. Other local and state governments may impose self-storage rent taxes in the future. If PSA OP were to fai f l to maintain its status as a partnership for f U.S. federal income tax purposes, our fin f ancial results would be adversely impacted. We believe PSA OP qualifies as a partnership for U.S. fed f eral income tax purpos r es. As a partnership, PSA OP is generally not subj u ect to U.S. federal income tax on its income. Instead, each of the partners is allocated its share of PSA OP’s income. There is no assurance, however, that the IRS will not challenge the status of PSA OP as a partnership for U.S. federal income tax purpos r es. If the IRS were to successful f ly challenge the status of PSA OP as a partnership, it would be taxabl a e as a corporation. In such event, this would reduc d e the amount of distributions that PSA OP could make. The treatment of PSA OP as a corpor r ation would also cause us to fail to qualify a f s a REIT. This would substantially reduce our cash availabl a e to pay distributions and the return on a shareholder's investment. Changes in tax laws could negatively impact us. The United States Treasury D r epartment and Congress fre f quently review federal income tax legislation, regulations and other guidance. We cannot predict whether, when, or to what extent new fed f eral tax laws, regulations, interpretations or rulings will be adopted, but these changes might include, in particular, increases in the U.S. fed f eral income tax rates that apply to us or our shareholders in certain circumstances, possibly with retroactive effect. We have exposure to increased property tax in California. Approximately $830.4 million of our 2024 net operating income is fro f m our properties in California, and we incurred appr a oximately $47.8 million in related property tax expense. Due to the impact of Proposition 13, which generally limits increases in assessed values to 2% per year, the assessed value and resulting property tax we pay is less than it would be if the properties were assessed at current estimated market values. From time to time, proposals have been made to reduce the beneficial impact of Proposition 13, most recently in the November 2020 ballot. While this ballot initiative failed, there can be no assurance that fut f ur t e initiatives or other legislative actions will not eliminate or reduc d e the benefit of Proposition 13 with respect to our properties. If the benefic f ial effect of Proposition 13 were ended for f our properties, our property tax expense could increase substantially, adversely affecting our cash flo f w fro f m operations and net income. 17 We are subject to extensive laws and regulations and to frequent changes in such laws and regulations. We are subject to extensive laws and regulations, and to frequent changes in such laws and regulations, at the city, county, state, and fed f eral level. These laws and regulations include (i) laws and regulations related to access to our self-f storage faci f lities, including the Americans with Disabi a lities Act of 1990, (ii) laws and regulations related to taxes, including property taxes, income taxes, and REIT status t compliance, (iii) labor a and employment laws and regulations, (iv) consumer protection laws and regulations, including those related to lien sales, (v) state and local business licensing laws and regulations, (vi) zoning laws and regulations, (vii) privacy laws and regulations, including the Califor f nia Privacy Rights Act and the Califor f nia Consumer Privacy Act, and (viii) securities laws. Compliance with these laws and regulations, including changes thereto, have imposed significant costs and could in the future impose greater costs or require adverse changes to our business and operations. Failure to comply with applicable laws and regulations may subject us to increased litigation and regulatory a r ctions and negatively affect our business and operations or reputation. Our tenant reinsurance business is subject to governmental regulation, which could reduce our profit f ability or limit our growth. We hold limited lines self-s f ervice storage insurance agent licenses fro f m a number of individual state departments of insurance and are subject to state governmental regulation and supe u rvision. Our continued abi a lity to maintain these limited lines self-s f ervice storage insurance agent licenses in the jurisdictions in which we are licensed depends on our compliance with related rules and regulations. The regulatory a r uthorities in each jurisdiction generally have broad discretion to grant, renew, and revoke licenses and approvals, to promulgate, interpret, and implement regulations, and to evaluate compliance with regulations through periodic examinations, audits, and investigations of the affairs of insurance agents. As a result of regulatory o r r private action in any jurisdiction, we may be temporarily or permanently suspended from continuing some or all of our reinsurance activities, or otherwise fin f ed, penalized, or subject to an adverse judgment, which could reduc d e our net income. In the event that we recognize a signific f ant gain fro f m cash settlement of a forward sale agreement, the U.S. fed f eral income tax treatment of the cash that we receive in such instance is unclear and could impact our ability to meet the REIT qualific f ation requirements. We may enter into forward sale agreements from time to time and, subj u ect to certain conditions, we have the right to elect physical, cash or net share settlement under these agreements at any time and fro f m time to time, in part or in ful f l. In the event that we elect to settle a for f ward sale agreement for f cash and the settlement price is below the for f ward sale price, we would be entitled to receive a cash payment from the applicable forward purchaser(s). Under Section 1032 of the Code, generally, no gains and losses are recognized by a corpo r ration in dealing in its own shares, including pursuant to a “securities fut f ut res contract,” as defined in the Code by reference to the Securities Exchange Act of 1934, as amended. Although we believe that any amount received by us in exchange for our common shares would qualify f f or f the exemption under Section 1032 of the Code, because it is not entirely clear whether a forward sale agreement qualifie f s as a “securities futures contract,” the U.S. fed f eral income tax treatment of any cash settlement payment we receive is uncertain. In the event that we recognize a significant gain fro f m the cash settlement of a forward sale agreement, we might not be able to satisfy the gross income requirements appl a icable to REITs under the Code. If we were to fai f l to satisfy one or both of the gross income tests for any taxabl a e year, we may nevertheless qualify a f s a REIT for such year if we were entitled to relief under certain provisions of the Code. If these relief provisions were inapplicable, we would not qualify t f o be taxed as a REIT. International trade disputes, including U.S. trade tariffs f and retaliatory tariffs, could adversely impact our business. International trade disputes, including threatened or implemented tariffs f imposed by the U.S. and threatened or implemented tariffs imposed by foreign countries in retaliation, could result in infla f tionary pressures that directly impact our costs, such as costs for steel, lumber and other materials applicable to our development and redevelopment proje o cts. Trade disputes could also adversely impact global supply chains which could fur f ther increase costs for us or delay delivery of key inventories and suppl u ies. Tariffs and trade restrictions can be announced with little or no advance notice, and we may not be able to effe f ctively mitigate all adverse impacts fro f m such measures. If we are not able to navigate these changes, it could have a material adverse effect on our business. ITEM 1B. Unresolved Staff Comments None. 18 ITEM 1C. Cybersecurity y y Publ u ic Storage devotes significant resources to protecting and continuing to improve the security of its computer systems, software, networks, and other technology assets. Our security effo f rts are designed to preserve the confid f entiality, integrity, and continued availability of information owned by, or in the care of, the Company and protect against, among other things, cybersecurity attacks by unauthorized parties attempting to obtain access to confid f ential infor f mation, destroy data, disrupt u or degrade service, sabot a age systems, or cause other damage. Management and Board Oversight Our risk management processes include a comprehensive enterprise risk management framework focused on (i) evaluating the risks fac f ing the Company and aligning the Company’s efforts to mitigate those risks with its strategy and risk appetite; (ii) communicating and improving the Company’s understanding of its key risks and responsive actions; and (iii) providing the Board with a defin f ed, rated risk inventory a r nd framework against which the Board can direct its responsibilities to oversee the Company’s risk assessment and risk management effo f rts. Our cybersecurity program is a key component of our overall enterprise risk management framework. A dedicated team of technology profes f sionals monitors and manages cybersecurity risks. They are led by our Chief Technology Offi f cer (CTO), who has significant experience in senior leadership positions with responsibility for cybersecurity and IT risk management, and our Chief Infor f mation Security Offi f cer (CISO), who is a Certified Information Systems Security Profes f sional (CISSP). Their teams are responsible for leading enterprise-wide cyber resilience strategy, policy, standards, architectur t e, and processes. Our CTO and CISO regularly engage with our Chief Administrative Offic f er. They also report monthly on cybersecurity matters to our entire executive management team. In the event of an incident that jeopardizes the confid f entiality, integrity, or availabi a lity of the inform f ation technology systems we use, we utilize a regularly updated infor f mation security incident response plan (IRP). The IRP is overseen by our executive Incident Response Committee (IRC), which consists of our Chief Financial and Investment Offi f cer, Chief Administrative Officer, Chief Legal Offic f er, and CTO. The IRP guides our internal response to cybersecurity incidents. Pursuant to our IRP and its escalation protocols, designated personnel are responsible for assessing the severity of the incident and associated threat, containing the threat, remediating the threat, including recovery of data and access to systems, analyzing the reporting obligations associated with the incident, and performing post-incident analysis and program improvements. While the particular personnel assigned to an incident response team will depend on the particular facts and circumstances, the response team is generally led by the IRC with suppor u t fro f m internal personnel and external counsel or other experts. Our Board considers cybersecurity risk one of the most significant risks to our business. The Board has delegated to the Audit Committee oversight of cybersecurity, data privacy, and other infor f mation technology risks affec f ting the Company. Our CTO and CISO typically provide quarterly reports to the Audit Committee, which also provides quarterly reports on its activities to the Board. Annually, the Board receives a comprehensive upda u te regarding the Company’s cybersecurity effo f rts, which may include a cybersecurity tabletop exercise, presentation by third party cybersecurity experts, or similar events. Several members of our Board and Audit Committee have cybersecurity, data privacy, or related experience from their principal occupation or other profes f sional experience. Processes for f Assessing, Identifyi f ng and Managing Material Risks fro f m Cybersecurity Threats Our cybersecurity program focuses on (i) preventing and preparing for cybersecurity incidents, (ii) detecting and analyzing cybersecurity incidents, and (iii) containing, eradicating, recovering from, and reporting cybersecurity events. Prevention and Preparation We identify a f nd address infor f mation security risks by employing a defen f se-in-depth methodology, consisting of both proactive and reactive elements, which provides multiple, redunda d nt defensive measures and prescribes actions to take in case a security control fai f ls or a vulnerabi a lity is exploited. We leverage internal resources, along with strategic external partnerships, to mitigate cybersecurity threats to the Company. We have partnerships for security operations center (SOC) services, penetration testing, incident response, and various third-party assessments. We deploy both commercially availabl a e solutions and proprietary systems to actively manage threats to our information technology environment. 19 We assess our cybersecurity program against various frameworks. Our information security program is certifie f d for compliance with the Payment Card Industry D r ata Security Standard for the safe handling and protection of credit card data. Annually, we are assessed, either internally or by an independent third party, against the National Institut t e of Standards and Technology (NIST) 800-53 Moderate Baseline. We also utilize reports prepared by our external partners to assess our cyber proficiency on a standalone basis and comparatively against peers and other companies, and we regularly engage external resources regarding emerging threats. We have policies and procedur d es to oversee and identify t f he cybersecurity risks associated with our use of third-party service providers, including contractua t l mechanisms, as well as the regular review of SOC reports, relevant cyber attestations, and other independent cyber ratings. We employ an information security and training program for our employees, including annual mandatory computer-based training, regular internal communications, and ongoing end-user testing to measure the effe f ctiveness of our information security program. As part of this commitment, we require our employees to complete a Cybersecurity Awareness eCourse and acknowledge our Information Security policy each year. In addition, we have an establ a ished schedule and process for f regular phishing awareness campaigns that are designed to imitate real-world contemporary r threats and provide immediate feed f ba d ck (and, if necessary, additional training or remedial action) to employees. As discussed above a , we maintain an IRP that guides our response to a cybersecurity incident. Annually, we test the IRP’s response procedures, including thorough disaster response and business continuity plan exercises. These exercises are intended to challenge and validate our information security response and resources through simulated cybersecurity incidents, including engagement of outside cybersecurity legal counsel, other third-party partners, key internal personnel, executive management, and our Board. Detection and Analys l is Cybersecurity incidents may be detected through a variety of means, which may include, but are not limited to, automated event-detection notific f ations, employee notific f ations, notific f ation fro f m external parties (e.g., our third-party information technology provider), and proactive threat hunting in conjunction with our external partners. Once a potential cybersecurity incident is identified, including a third-party cybersecurity event, the incident response team designated pursuant to the IRP fol f lows the procedur d es set for f th in the plan to investigate the potential incident, including determining the natur t e of the event. Containment, Eradication, Recovery, r and Repor e ting Our IRP sets forth the procedur d es we follow in responding to a cybersecurity incidents. Once a cybersecurity incident is contained, our focus shifts to remediation and recovery. These activities depend on the nature of the cybersecurity incident and may include rebuilding systems and/or hosts, replacing compromised files with clean versions and validation of fil f es or data that may have been affe f cted. We also maintain cybersecurity insurance providing coverage for certain costs related to security failures and specified cybersecurity-related incidents that interrupt u our network or networks of our vendors, in all cases up to specified limits and subject to certain exclusions. Our IRP provides clear communication protocols, including with respect to members of executive management, internal and external counsel, the Audit Committee and our Board. These protocols include a fra f mework for assessing our SEC and other regulatory r r eporting obligations related to a cybersecurity incident. Following the conclusion of an incident, the incident response team will generally assess the effectiveness of the cybersecurity program and IRP and make adjustments as appr a opriate. Cybersecurity Risks As of December 31, 2024, we have not had any known instances of material cybersecurity incidents, including known third-party provider incidents. However, there can be no assurance that our security effo f rts and measures, and those of our third-party providers, will be effe f ctive or that attempted security incidents or disrupt u ions would not be successful f or damaging. See “Item 1A–Risk Factors–If our confid f ential infor f mation is compromised or corrupt u ed, including as a result of a cybersecurity incident, our reputation and business relationships could be damaged, which could adversely affect f our financial condition and operating results.” 20 ITEM 2. Properties p At December 31, 2024, we had controlling ownership interests in 3,073 self-s f torage facilities located in 40 states within the U.S.: At December 31, 2024 Number of Storage Facilities Net Rentabl a e Square Feet (in thousands) Texas 464 39,412 Califor f nia 446 32,025 Florida 365 25,475 Illinois 137 8,930 Georgia 128 8,621 North Carolina 111 8,195 Maryland 106 7,990 Virginia 121 7,969 Washington 107 7,629 Colorado 88 6,518 Minnesota 68 5,425 New York 73 5,232 South Carolina 83 5,176 New Jersey 67 4,651 Ohio 66 4,511 Michigan 61 4,387 Arizona 60 4,383 Indiana 54 3,585 Oklahoma 48 3,499 Tennessee 55 3,443 Missouri 44 2,919 Pennsylvania 37 2,685 Oregon 45 2,618 Nevada 34 2,419 Massachusetts 29 2,052 Kansas 24 1,538 Other states (14 states) 152 9,993 Total (a) 3,073 221,280 (a) See Schedule III: Real Estate and Accumulated Depreciation in our consolidated financial statements included in this Annual Report on Form 10-K, for a summary o r f land, building, accumulated depreciation, square footage, and number of properties by market. At December 31, 2024, two of our facilities with a net book value of $11.2 million were encumbered by an aggregate of $1.7 million in mortgage notes payabl a e. 21 The config f uration of self-storage facilities has evolved over time. The oldest faci f lities are comprised generally of multiple single-story b r uildings, and have on average appr a oximately 500 primarily “drive up” spaces per fac f ility, and a small rental office. The most prevalent recently construc r ted fac f ilities have higher density footpr t ints with large, multi-story r buildings with climate control and typically 1,000 or more self-s f torage spaces, a more imposing and visible retail presence, and a prominent and large rental office designed to appe a al to customers as an attractive and retail-focused “store.” Our self-f storage portfol f io includes fac f ilities with characteristics of the oldest facilities, characteristics of the most recently construc r ted faci f lities, and those with characteristics of both older and recently construc r ted faci f lities. Most spaces have between 25 and 400 square feet and an interior height of approximately eight to 12 feet. ITEM 3. Legal Proceedings g g For a description of the Company’s legal proceedings, see “Note 14. Commitments and Contingencies” to our consolidated financial statements included in this Annual Report on Form 10-K. ITEM 4. Mine Safety Disclosures y Not appl a icable. 22 PART II ITEM 5. Market for Registrant’s Common Equity, Related Shareholder Matters and Issuer Purchases of g q y, Equity Securities q y Our common shares of benefic f ial interest (NYSE: PSA) have been listed on the NYSE since October 19, 1984. As of Februa r ry 18, 2025, there were appr a oximately 9,093 holders of record of our common shares. In May 2008, our Board authorized a share repurchase program of up to 35,000,000 of our common shares on the open market or in privately negotiated transactions. Our common share repurchase program does not have an expiration date and there are 10,551,219 common shares that may yet be repurchased under our repurchase program as of December 31, 2024. Under the repurchase program, management may repurchase our common shares on the open market or in privately negotiated transactions. During the three months ended December 31, 2024, we did not repurchase any of our common shares. From the inception of the repurchase program through Februa r ry 24, 2025, we have repurchased a total of 24,448,781 common shares at an aggregate cost of appr a oximately $879.1 million. The timing, manner, price and amount of any fut f ur t e common share repurchases will be dependent upon a number of fact f ors, including our availabl a e capital, investment alternatives, economic conditions, appl a icable legal requirements, and the trading price of our common shares. Refer to Item 12. “Security Ownership of Certain Beneficial Owners and Management and Related Shareholder Matters” for f information about a our equity compensation plans. ITEM 6. [Reserved] ITEM 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations g y p Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) should be read in conjunction with our consolidated financial statements and notes thereto. Critical Accounting Estimates The preparation of consolidated financial statements and related disclosures in confor f mity with U.S. generally accepted accounting principles (“GAAP”) requires us to make judgments, assumptions, and estimates that affect the amounts reported. On an ongoing basis, we evaluate our estimates and assumptions. These estimates and assumptions are based on current facts, historical experience, and various other fact f ors that we believe are reasonabl a e under the circumstances to determine reported amounts of assets, liabi a lities, revenues, and expenses that are not readily appa a rent from other sources. We believe the fol f lowing are our critical accounting estimates, because they are reasonabl a y likely to have a material impact on the portrayal of our financial condition and results, and they require us to make judgments and estimates about matters that involve a significant level of uncertainty. Impai m rm i ent of L o ong-Li - ved Assets: The analysis of impairment of our long-lived assets, including our real estate facilities, involves identific f ation of indicators of impairment, including unfav f orable operational results and significant cost overruns on construc r tion, projections of future operating cash flows, and estimates of fai f r values, all of which require significant judgment and subj u ectivity. In particular, these estimates are sensitive to significant assumptions, such as the projections of future rental rates, stabilized occupa u ncy level, fut f ur t e profit margin, discount rates, and capitalization rates, all of which could be affected by our expectations about future market or economic conditions. Others could come to materially different conclusions. 23 Allo l cating i Purchase Price for f Acquired Real Estate Facili i ti i es: We estimate the fair values of the assets and liabi a lities of acquired real estate faci f lities, which consist principally of land, buildings and acquired customers in place, for purpos r es of allocating the aggregate purchase price of acquired real estate facilities. We estimate the fai f r value of land based upon u price per square foot derived fro f m observabl a e transactions involving comparable land in similar locations as adju d sted for location quality, parcel size, and date of sale associated with the acquired faci f lities. The fai f r value estimate of land is sensitive to the adju d stments made to the land market transactions used in the estimate, particularly when there is a lack of recent comparabl a e land market data. We estimate the fair value of buildings primarily using the income approach by estimating the fair value of hypothetical vacant acquired fac f ilities and adju d sting for f the estimated fai f r value of land. The fair value estimate of buildings is sensitive to assumptions, such as lease-up period, future stabilized operating cash flo f ws, capitalization rate and discount rate. We estimate the fai f r value of acquired customers in place using the income approach by estimating the foregone rent over the presumed period of time to abs a orb t r he occupi u ed spaces as if they were vacant at the time of acquisition. The fai f r value estimate of the acquired customers in place is sensitive to the assumptions used in the income appr a oach, such as market rent, lease-up period and discount rate. Others could come to materially differ f ent conclusions as to the estimated fai f r values of land, buildings and acquired customers in place, which would result in different depreciation and amortization expense, gains and losses on sale of real estate assets, as well as the level of land and buildings on our consolidated balance sheet. Overview Our self-storage operations generate most of our net income, and our earnings growth is impacted by the levels of organic growth within our Same Store Facilities (as defined below) as well as within our Acquired Facilities and Newly Developed and Expanded Facilities (both as defin f ed below). During 2024, revenues generated by our Same Store Facilities decreased by 0.7% ($26.7 million), as compared to 2023, while Same Store cost of operations increased by 2.4% ($20.6 million). Softn f ess in demand for f our storage space has led to lower move-in rental rates for new tenants and lower average occupa u ncy in 2024 as compared to 2023. We have grown and plan to continue to grow through the acquisition and development of new facilities and expansion of our existing self-s f torage facilities. Since the beginning of 2022, we acquired a total of 260 facilities with 18.5 million net rentable square feet for $3.7 billion. Additionally, within our non-same store portfol f io, our Newly Developed and Expanded Facilities (as defin f ed below) include a total of 132 self-s f torage facilities with 15.8 million net rentabl a e square feet. For development and expansions completed by December 31, 2024, we incurred a total cost of $1.6 billion. During 2024, combined net operating income generated by our Acquired Facilities and Newly Developed and Expanded Facilities increased 48.1% ($101.0 million), as compared to 2023. We have experienced recent inflationary impacts on our cost of operations including labor a , utilities, and repairs and maintenance, and costs of development and expansion activities, and we expect to experience such impacts in the future. We have implemented various initiatives to manage the adverse impacts, such as enhancements in operational processes and investments in technology to reduce payroll hours, achievement of economies of scale from f recent acquisitions with supe u rvisory p r ayroll and centralized management costs allocated over a broader number of self-storage facilities, and investments in solar power and LED lights to lower utility usage. In order to enhance the competitive position of certain of our facilities relative to local competitors (including newly developed fac f ilities), we embarked on our multi-year Property of Tomorrow program to (i) rebrand our properties with more pronounced, attractive, and clearly identifiable color schemes and signage and (ii) upgrade the config f uration and layout of the offic f es and other customer zones to improve the customer experience. We completed the program in 2024. We spent appr a oximately $127 million on the program in 2024. We have also embarked on a solar program under which we plan to install solar panels on over 1,400 of our self-s f torage facilities. We have completed the installations on 772 facilities through December 31, 2024. We spent approximately $54 million on the program in 2024 and expect to spend approximately $50 million in 2025 on this effo f rt. During 2024, PSOC completed a public offe f ring of $1.0 billion aggregate principal amount of unsecured senior notes in various tranches and matur t ities and issued €150 million of senior notes to institutional investors. PSOC also repaid at maturity $700 million aggregate principal amount of floating rate senior notes and €100 million aggregate principal amount of senior notes. 24 During 2024, we repurchased 726,865 of our common shares under our previously announced share repurchase program on the open market for f a total cost of $200.0 million, driven by our expected improvement in operating fundamentals and growth. During 2024, we sold 184,390 of our common shares on the open market through our “at the market” offering program for aggregate net proceeds of appr a oximately $60.3 million in cash. In early 2025, multiple wildfires erupt u ed in southern California and caused significant destruc r tion of business and residential struc r tures. We did not incur any direct property damage in the affe f cted areas. In response to the devastation, a “State of Emergency” has been declared for Los Angeles County and Ventur t a County, under which a temporary r governmental pricing limitation is in place for our self-s f torage facilities located in these counties. These self-storage facilities generated approximately 10% of revenues earned by our Same Store Facilities in 2024. We anticipate a potentially significant negative impact on the revenue growth from these self-s f torage facilities, the extent of which depends largely on the duration of the State of Emergency order and other fut f ur t e actions by government authorities, among other factors. 25 Results of Operations Operating Results for f p g 2024 and 2023 In 2024, net income allocable to our common shareholders was $1.873 billion or $10.64 per diluted common share, compared to $1.949 billion or $11.06 per diluted common share in 2023, representing a decrease of $76.1 million or $0.42 per diluted common share. The decrease is due primarily to (i) a $159.7 million increase in depreciation and amortization expense, (ii) an $86.3 million increase in interest expense, (iii) a $26.0 million increase in general and administrative expense, (iv) an $18.4 million decrease in interest and other income, partially offs f et by (v) a $153.4 million increase in for f eign currency exchange gains primarily associated with our Euro denominated notes payabl a e and (vi) a $61.6 million increase in self-storage net operating income. The $61.6 million increase in self-storage net operating income in 2024 as compared to 2023 is a result of a $108.9 million increase attributable to our Non-Same Store Facilities (as defin f ed below), partially offs f et by a $47.3 million decrease attributable to our Same Store Facilities. Revenues for f the Same Store Facilities decreased 0.7% or $26.7 million in 2024 as compared to 2023, due primarily to a decline in occupa u ncy and lower realized annual rent per occupi u ed square foot. Cost of operations for the Same Store Facilities increased by 2.4% or $20.6 million in 2024 as compared to 2023, due primarily to increased property tax expense, marketing expense, and repairs and maintenance expense, partially offse f t by decreased centralized management costs and on-site property manager payroll expense. The increase in net operating income of $108.9 million for f the Non-Same Store Facilities is due d primarily to the impact of faci f lities acquired in 2023. Operating Results for f p g 2023 and 2022 In 2023, net income allocable to our common shareholders was $1.949 billion or $11.06 per diluted common share, compared to $4.142 billion or $23.50 per diluted common share in 2022, representing a decrease of $2.2 billion or $12.44 per diluted common share. The decrease is due d primarily to (i) a $2.1 billion gain on sale of our equity investment in PS Business Parks, Inc. (“PSB”) in July 2022, (ii) a $149.5 million increase in for f eign currency exchange losses primarily associated with our Euro denominated notes payabl a e, (iii) a $79.1 million decrease in equity in earnings of unconsolidated real estate entities due d to our sale of PSB in July 2022, and (iv) a $64.8 million increase in interest expense, partially offs f et by (v) a $231.8 million increase in self-storage net operating income and (vi) a $45.0 million increase in interest and other income. The $231.8 million increase in self-storage net operating income in 2023 as compared to 2022 is a result of a $131.8 million increase in our Same Store Facilities and a $100.0 million increase in our Non-Same Store Facilities. Revenues for f the Same Store Facilities increased 4.8% or $170.2 million in 2023 as compared to 2022, due primarily to higher realized annual rent per availabl a e square foot, partially offs f et by a decline in occupa u ncy. Cost of operations for the Same Store Facilities increased by 4.6% or $38.4 million in 2023 as compared to 2022, due primarily to increased property tax expense, marketing expense and other direct property costs. The increase in net operating income of $100.0 million for f the Non-Same Store Facilities is due d primarily to the impact of fac f ilities acquired in 2022 and 2023. Funds from Operations and Core Funds from Operations p p Funds from Operations (“FFO”) and FFO per diluted common share (“FFO per share”) are non-GAAP measures defined by Nareit. We believe that FFO and FFO per share are useful to REIT investors and analysts in measuring our performance because Nareit’s defin f ition of FFO excludes items included in net income that do not relate to or are not indicative of our operating and fin f ancial performance. FFO represents net income befor f e real estate-related depreciation and amortization, which is excluded because it is based upon u historical costs and assumes that building values diminish ratabl a y over time, while we believe that real estate values fluctuate due d to market conditions. FFO also excludes gains or losses on sale of real estate assets and real estate impairment charges, which are also based upon historical costs and are impacted by historical depreciation. FFO and FFO per share are not a substitute for net income or earnings per share. FFO is not a substitute for net cash flow in evaluating our liquidity or ability to pay dividends, because it excludes investing and financing activities presented on our consolidated statements of cash flo f ws. In addition, other REITs may compute these measures differently, so comparisons among REITs may not be helpful. For the year ended December 31, 2024, FFO was $17.19 per diluted common share as compared to $16.60 and $16.46 per diluted common share for the years ended December 31, 2023 and 2022, respectively, representing an increase in 2024 of 3.6%, or $0.59 per diluted common share, as compared to 2023. 26 We also present “Core FFO” and “Core FFO per share” non-GAAP measures that represent FFO and FFO per share excluding the impact of (i) foreign currency exchange gains and losses, (ii) charges related to the redemption of prefer f red securities, and (iii) certain other non-cash and/or nonrecurring income or expense items primarily representing, with respect to the periods presented below, the impact of loss contingencies and resolutions, casualties, due diligence costs incurred in pursuit of strategic transactions, unrealized gain on private equity investments, reorganization costs, acquisition integration costs, amortization of acquired non real estate-related intangibles, a cash and stock hiring bonus for a new senior executive, and our equity share of tax effe f ct of a change in tax status, unrealized gain on derivatives, merger transaction costs and senior executive severance from our equity investees. We review Core FFO and Core FFO per share to evaluate our ongoing operating performance and we believe they are used by investors and REIT analysts in a similar manner. However, Core FFO and Core FFO per share are not subs u titutes for f net income and net income per share. Because other REITs may not compute Core FFO or Core FFO per share in the same manner as we do, may not use the same terminology or may not present such measures, Core FFO and Core FFO per share may not be comparable among REITs. 27 The fol f lowing tabl a e reconciles net income to FFO and Core FFO and reconciles diluted earnings per share to FFO per share and Core FFO per share: Year Ended December 31, Year Ended December 31, 2024 2023 Percentage Change 2023 2022 Percentage Change (Amounts in thousands, except per share data) Reconciliation of Net Income to FFO and Core FFO: Net income allocabl a e to common shareholders $ 1,872,685 $ 1,948,741 (3.9)% $ 1,948,741 $ 4,142,288 (53.0)% Eliminate items excluded fro f m FFO: Real estate-related depreciation and amortization 1,117,752 962,703 962,703 881,569 Real estate-related depreciation fro f m unconsolidated real estate investment 44,181 36,769 36,769 54,822 Real estate-related depreciation allocated to noncontrolling interests and restricted share unitholders and unvested LTIP unitholders (7,167) (6,635) (6,635) (6,622) Gains on sale of real estate investments, including our equity share fro f m investment (1,537) (17,290) (17,290) (54,403) Gain on sale of equity investment in PS Business Parks, Inc. — — — (2,116,839) FFO allocable to common shares $ 3,025,914 $ 2,924,288 3.5 % $ 2,924,288 $ 2,900,815 0.8 % Eliminate the impact of items excluded fro f m Core FFO, including our equity share fro f m investment: Foreign currency exchange (gain) loss (102,244) 51,197 51,197 (98,314) Unrealized gain on private equity investments (4,355) (2,817) (2,817) (4,685) Hiring bonus for a new senior executive 3,507 — — — Other items 12,246 3,264 3,264 9,164 Core FFO allocable to common shares $ 2,935,068 $ 2,975,932 (1.4)% $ 2,975,932 $ 2,806,980 6.0 % Reconciliation of Diluted Earnings per Share to g p FFO per Share and Core FFO per Share: p p Diluted earnings per share $ 10.64 $ 11.06 (3.8)% $ 11.06 $ 23.50 (52.9)% Eliminate amounts per share excluded fro f m FFO: Real estate-related depreciation and amortization 6.56 5.64 5.64 5.27 Gains on sale of real estate investments, including our equity share fro f m investment (0.01) (0.10) (0.10) (0.31) Gain on sale of equity investment in PS Business Parks, Inc. — — — (12.00) FFO per share $ 17.19 $ 16.60 3.6 % $ 16.60 $ 16.46 0.9 % Eliminate the per share impact of items excluded from Core FFO, including our equity share fro f m investment: Foreign currency exchange (gain) loss (0.58) 0.29 0.29 (0.57) Unrealized gain on private equity investments (0.02) (0.02) (0.02) (0.03) Hiring bonus for a new senior executive 0.02 — — — Other items 0.06 0.02 0.02 0.06 Core FFO per share $ 16.67 $ 16.89 (1.3)% $ 16.89 $ 15.92 6.1 % Diluted weighted average common shares 176,038 176,143 176,143 176,280 28 Analysis of Net Income — Self-S f torage Operations Our self-storage operations are analyzed in four groups: (i) the 2,507 facilities that we have owned and operated on a stabi a lized basis since January 1, 2022 (the “Same Store Facilities”), (ii) 260 facilities we acquired since January 1, 2022 (the “Acquired Facilities”), (iii) 132 facilities that have been newly developed or expanded, or that had commenced expansion by December 31, 2024 (the “Newly Developed and Expanded Facilities”), and (iv) 174 other fac f ilities, which are otherwise not stabilized with respect to occupa u ncies or rental rates since January 1, 2022 (the “Other Non-Same Store Facilities”). The Acquired Facilities, Newly Developed and Expanded Facilities, and Other Non-Same Store Facilities are collectively refer f red to as the Non-Same Store Facilities. See Note 13 to our December 31, 2024 consolidated financial statements “Segment Information,” for a reconciliation of the amounts in the tabl a es below to our total net income. 29 Self-S f torage Operations Summary Year Ended December 31, Year Ended December 31, 2024 2023 Percentage Change 2023 2022 Percentage Change (Dollar amounts and square footage in thousands) Revenues: Same Store Facilities $ 3,676,632 $ 3,703,331 (0.7)% $ 3,703,331 $ 3,533,149 4.8 % Acquired Facilities 241,314 105,592 128.5 % 105,592 14,945 606.5 % Newly Developed and Expanded Facilities 225,845 208,235 8.5 % 208,235 182,686 14.0 % Other Non-Same Store Facilities 252,202 242,455 4.0 % 242,455 215,248 12.6 % 4,395,993 4,259,613 3.2 % 4,259,613 3,946,028 7.9 % Cost of operations: Same Store Facilities 895,283 874,715 2.4 % 874,715 836,297 4.6 % Acquired Facilities 81,583 39,833 104.8 % 39,833 7,885 405.2 % Newly Developed and Expanded Facilities 74,414 63,823 16.6 % 63,823 54,411 17.3 % Other Non-Same Store Facilities 85,440 83,579 2.2 % 83,579 81,616 2.4 % 1,136,720 1,061,950 7.0 % 1,061,950 980,209 8.3 % Net operating income (a): Same Store Facilities 2,781,349 2,828,616 (1.7)% 2,828,616 2,696,852 4.9 % Acquired Facilities 159,731 65,759 142.9 % 65,759 7,060 831.4 % Newly Developed and Expanded Facilities 151,431 144,412 4.9 % 144,412 128,275 12.6 % Other Non-Same Store Facilities 166,762 158,876 5.0 % 158,876 133,632 18.9 % Total net operating income 3,259,273 3,197,663 1.9 % 3,197,663 2,965,819 7.8 % Depreciation and amortization expense: Same Store Facilities 682,783 658,334 3.7 % 658,334 654,238 0.6 % Acquired Facilities 237,892 112,247 111.9 % 112,247 18,494 506.9 % Newly Developed and Expanded Facilities 69,430 56,163 23.6 % 56,163 49,102 14.4 % Other Non-Same Store Facilities 139,661 143,312 (2.5)% 143,312 166,312 (13.8)% Total depreciation and amortization expense 1,129,766 970,056 16.5 % 970,056 888,146 9.2 % Net income (loss): Same Store Facilities 2,098,566 2,170,282 (3.3)% 2,170,282 2,042,614 6.3 % Acquired Facilities (78,161) (46,488) 68.1 % (46,488) (11,434) 306.6 % Newly Developed and Expanded Facilities 82,001 88,249 (7.1)% 88,249 79,173 11.5 % Other Non-Same Store Facilities 27,101 15,564 74.1 % 15,564 (32,680) (147.6)% Total net income $ 2,129,507 $ 2,227,607 (4.4)% $ 2,227,607 $ 2,077,673 7.2 % Number of facilities at period end: Same Store Facilities 2,507 2,507 — % 2,507 2,507 — % Acquired Facilities 260 238 9.2 % 238 74 221.6 % Newly Developed and Expanded Facilities 132 125 5.6 % 125 114 9.6 % Other Non-Same Store Facilities 174 174 — % 174 174 — % 3,073 3,044 1.0 % 3,044 2,869 6.1 % Net rentable square footage at period end: Same Store Facilities 169,959 169,959 — % 169,959 169,959 — % Acquired Facilities 18,473 16,807 9.9 % 16,807 4,726 255.6 % Newly Developed and Expanded Facilities 15,805 14,134 11.8 % 14,134 12,398 14.0 % Other Non-Same Store Facilities 17,043 17,171 (0.7)% 17,171 17,134 0.2 % 221,280 218,071 1.5 % 218,071 204,217 6.8 % 30 (a) Net operating income or “NOI” is a non-GAAP financial measure that excludes the impact of depreciation and amortization expense, which is based upon historical real estate costs and assumes that building values diminish ratably over time, while we believe that real estate values fluctuate due d to market conditions. We utilize NOI in determining current property values, evaluating property performance, and evaluating property operating trends. We believe that investors and analysts utilize NOI in a similar manner. NOI is not a substitute for net income, operating cash flo f w, or other related financial measures, in evaluating our operating results. See Note 13 to our December 31, 2024 consolidated financial statements for f a reconciliation of NOI to our total net income for all periods presented. Same Stor t e Fac F ilit l ie t s The Same Store Facilities consist of faci f lities we have owned and operated on a stabilized level of occupancy, revenues, and cost of operations since January 1, 2022. The composition of our Same Store Facilities allows us more effe f ctively to evaluate the ongoing performance of our self-s f torage portfol f io in 2022, 2023, and 2024 and exclude the impact of fill-up of unstabi a lized facilities, which can significantly affect operating trends. We believe investors and analysts use Same Store Facilities infor f mation in a similar manner. However, because other REITs may not compute Same Store Facilities in the same manner as we do, may not use the same terminology or may not present such a measure, Same Store Facilities may not be comparable among REITs. The fol f lowing tabl a e summarizes the historical operating results (for all periods presented) of these 2,507 facilities (170.0 million net rentable square feet) that represent approximately 77% of the aggregate net rentable square feet of our U.S. consolidated self-s f torage portfol f io at December 31, 2024. It includes various measures and detail that we do not include in the analysis of the developed, acquired, and other non-same store faci f lities, due to the relative magnitude and importance of the Same Store Facilities relative to our other self-storage facilities. 31 Selected Operating Data for the Same Store Facilities (2,507 facilities) Year Ended December 31, Year Ended December 31, 2024 2023 Change (e) 2023 2022 Change (e) (Dollar amounts in thousands, except for f per square foot data) Revenues (a): Rental income $3,550,125 $3,577,609 (0.8)% $ 3,577,609 $ 3,419,212 4.6% Late charges and administrative fee f s 126,507 125,722 0.6% 125,722 113,937 10.3% Total revenues 3,676,632 3,703,331 (0.7)% 3,703,331 3,533,149 4.8% Direct cost of operations (a): Property taxes 347,511 331,982 4.7% 331,982 320,795 3.5% On-site property manager payroll 132,493 137,162 (3.4)% 137,162 133,248 2.9% Repairs and maintenance 75,354 69,151 9.0% 69,151 65,071 6.3% Utilities 47,643 49,580 (3.9)% 49,580 50,606 (2.0)% Marketing 84,936 75,080 13.1% 75,080 52,540 42.9% Other direct property costs 101,104 98,054 3.1% 98,054 90,081 8.9% Total direct cost of operations 789,041 761,009 3.7% 761,009 712,341 6.8% Direct net operating income (b) 2,887,591 2,942,322 (1.9)% 2,942,322 2,820,808 4.3% Indirect cost of operations (a): Supe u rvisory p r ayroll (40,568) (41,444) (2.1)% (41,444) (44,091) (6.0)% Centralized management costs (55,834) (60,659) (8.0)% (60,659) (64,046) (5.3)% Share-based compensation (9,840) (11,603) (15.2)% (11,603) (15,819) (26.7)% Net operating income 2,781,349 2,828,616 (1.7)% 2,828,616 2,696,852 4.9% Depreciation and amortization expense (682,783) (658,334) 3.7% (658,334) (654,238) 0.6% Net income $2,098,566 $2,170,282 (3.3)% $ 2,170,282 $ 2,042,614 6.3% Gross margin (before indirect costs, depreciation and amortization expense) 78.5% 79.5% (1.0)% 79.5% 79.8% (0.3)% Gross margin (before depreciation and amortization expense) 75.6% 76.4% (0.8)% 76.4% 76.3% 0.1% Weighted average for f the period: Square foot occupa u ncy 92.4% 93.0% (0.6)% 93.0% 94.6% (1.6)% Realized annual rental income per (c): Occupi u ed square foot $ 22.61 $ 22.64 (0.1)% $ 22.64 $ 21.28 6.4% Availabl a e square foot $ 20.89 $ 21.05 (0.8)% $ 21.05 $ 20.12 4.6% At December 31: Square foot occupa u ncy 90.5% 91.3% (0.8)% 91.3% 92.0% (0.7)% Annual contract rent per occupied square foot (d) $ 22.89 $ 22.80 0.4% $ 22.80 $ 22.61 0.8% 32 (a) Revenues and cost of operations do not include tenant reinsurance and merchandise sale revenues and expenses generated at the facilities. See “Ancillary Operations” below for more infor f mation. (b) Direct net operating income (“Direct NOI”), a subt u otal within NOI, is a non-GAAP financial measure that excludes the impact of supe u rvisory p r ayroll, centralized management costs, and share-based compensation in addition to depreciation and amortization expense. We utilize direct net operating income in evaluating property performance and in evaluating property operating trends as compared to our competitors. (c) Realized annual rent per occupi u ed square foot is computed by dividing rental income, befor f e late charges and administrative fee f s, by the weighted average occupi u ed square feet for the period. Realized annual rent per availabl a e square foot (“REVPAF”) is computed by dividing rental income, befor f e late charges and administrative fees f , by the total availabl a e net rentable square feet for the period. These measures exclude late charges and administrative fee f s in order to provide a better measure of our ongoing level of revenue. Late charges are dependent upon the level of delinquency, and administrative fees f are dependent upon the level of move- ins. In addition, the rates charged for f late charges and administrative fee f s can vary independently from rental rates. These measures take into consideration promotional discounts, which reduc d e rental income. (d) Annual contract rent represents the agreed upon monthly rate that is paid by our tenants in place at the time of measurement. Contract rates are initially set in the lease agreement upon u move-in, and we adjust them fro f m time to time with notice. Contract rent excludes other fees that are charged on a per-item basis, such as late charges and administrative fees f , does not reflect the impact of promotional discounts, and does not reflect the impact of rents that are written off as uncollectible. (e) Represents the absolute nominal change with respect to gross margin and square foot occupa u ncy, and the percentage change with respect to all other items. Analys l is of Same Sto S re Revenue We believe a balanced occupa u ncy and rate strategy maximizes our revenues over time. We regularly adju d st rental rates and promotional discounts offered (generally, “$1.00 rent for the first month”), as well as our marketing effort f s to maximize revenue from new tenants to replace tenants that vacate. We typically increase rental rates to our long-term tenants (generally, those who have been with us for at least six months) every six to twelve months. As a result, the number of long-term tenants we have in our facilities is an important factor in our revenue growth. The level of rate increases to long-term tenants is based upon evaluating the additional revenue from the increase against the negative impact of incremental move-outs, by considering customers’ in-place rent and prevailing market rents, among other fact f ors. Comparison of the Year Ended December 31, 2024 to the Year Ended December 31, 2023 p , , Revenues generated by our Same Store Facilities decreased 0.7% in 2024 as compared to 2023, due primarily to a 0.6% decrease in average occupa u ncy and a 0.1% decrease in realized annual rent per occupi u ed square foot. The decrease in realized annual rent per occupi u ed square foot in 2024 as compared to 2023 was due d to a 11.6% decrease in average rates per square foot charged to new tenants moving in over the past twelve months, partially offse f t by cumulative rate increases to existing long-term tenants over the same period. At December 31, 2024, annual contract rent per occupi u ed square foot was 0.4% higher as compared to December 31, 2023. The weighted average square foot occupa u ncy for f our Same Store Facilities was 92.4% for 2024, representing a decrease of 0.6%, as compared to 2023. Occupa u ncy levels have gradually declined since the second half of 2022 as customer demand softened. In response, we lowered move-in rental rates and increased advertising spending to stimulate move-in activity at our facilities in 2024 as compared to 2023. Move-out activities fro f m our tenants were lower in 2024 as compared to 2023. More than half of our tenants have rented their space for longer than six months at December 31, 2024, which supported our revenue growth from existing long-term tenants. Comparison of the Year Ended December 31, 2023 to the Year Ended December 31, 2022 p , , Revenues generated by our Same Store Facilities increased 4.8% in 2023 as compared to 2022, due primarily to a 6.4% increase in realized annual rent per occupi u ed square foot, partially offs f et by a 1.6% decrease in average occupa u ncy. 33 The increase in realized annual rent per occupi u ed square foot in 2023 as compared to 2022 was due d to cumulative rate increases to existing long-term tenants over the past twelve months, partially offs f et by a 13.9% decrease in average rates per square foot charged to new tenants moving in who replaced tenants moving out with higher rental rates. At December 31, 2023, annual contract rent per occupied square foot was 0.8% higher as compared to December 31, 2022. The weighted average square foot occupa u ncy for f our Same Store Facilities was 93.0% for 2023, representing a decrease of 1.6%, as compared to 2022. Occupa u ncy levels have gradually declined since the second half of 2022. In response we lowered move-in rental rates and increased promotional activity and advertising spending to increase move-in activity at our facilities in 2023 as compared to 2022. Move-out activities from our tenants were higher in 2023 as compared to 2022. Average length of stay of our tenants remained at similar high levels in 2023 as compared to 2022, which supported our revenue growth from existing long-term tenants. Selected Key Move-in and Move-Out Statistical Data y The fol f lowing tabl a e sets for f th average annual contract rent per square foot and total square footage for f tenants moving in and moving out during the years ended December 31, 2024, 2023, and 2022. Contract rents gained fro f m move- ins and contracts rents lost from move-outs included in the tabl a e assume move-in and move-out activities occur at the beginning of each period presented. The table also includes promotional discounts, which vary b r ased upon the move-in contractua t l rates, move-in volume, and percentage of tenants moving in who receive the discount. Year Ended December 31, Year Ended December 31, 2024 2023 Change 2023 2022 Change (Amounts in thousands, except for f per square foot amounts) Tenants moving in during the period: Average annual contract rent per square foot $ 13.76 $ 15.57 (11.6)% $ 15.57 $ 18.08 (13.9)% Square footage 120,176 121,432 (1.0)% 121,432 112,410 8.0% Contract rents gained fro f m move-ins $1,653,622 $1,890,696 (12.5)% $1,890,696 $2,032,373 (7.0)% Promotional discounts given $ 61,736 $ 66,031 (6.5)% $ 66,031 $ 60,839 8.5% Tenants moving out during the period: Average annual contract rent per square foot $ 20.70 $ 21.20 (2.4)% $ 21.20 $ 20.53 3.3% Square footage 121,425 122,489 (0.9)% 122,489 116,404 5.2% Contract rents lost fro f m move-outs $2,513,498 $2,596,767 (3.2)% $2,596,767 $2,389,774 8.7% Industry- r wide demand was weaker in 2024 compared to 2023 partially due to lower home-moving activities offset by increases in customers who sought storage space for other reasons. Demand flu f ctua t tes due d to various local and regional factors, including the overall economy, as well as new supply of self-storage space and alternatives to self-s f torage. We expect industry- r wide demand from new customers in 2025 to be similar to 2024. However, following the recent wildfires in southern California in early 2025, we anticipate a potentially significant negative impact on the revenue growth from the self-s f torage facilities located in Los Angeles County and Ventur t a County, where a temporary r governmental pricing limitation is in place under the “State of Emergency” declarations. These self-s f torage facilities generated app a roximately 10% of revenues earned by our Same Store Facilities in 2024. As a result, we expect Same Store Facilities revenues in 2025 to be similar to those earned in 2024. Late Charges and Administrative Fees g Late charges and administrative fees f increased 0.6% and 10.3% in 2024 and 2023, respectively, in each case as compared to the previous year. The increase in 2024 was due d primarily to higher late charges and lien fees f collected on delinquent accounts. The increase in 2023 was due d to higher late charges collected on delinquent accounts and higher administrative fee f s resulting from higher move-in volumes. Delinquency rates remained at similar levels for f 2024 as compared to 2023. 34 Analys l is of Same Sto S re Cost of Operations Cost of operations (excluding depreciation and amortization) increased 2.4% and 4.6% in 2024 and 2023, respectively, in each case as compared to the previous year. The increase in 2024 was due d primarily to increased property tax expense, marketing expense, and repairs and maintenance expense, partially offs f et by decreased centralized management costs and on-site property manager payroll expense. The increase in 2023 was due d primarily to increased property tax expense, marketing expense, and other direct property costs. Property tax expense increased 4.7% and 3.5% in 2024 and 2023, respectively, in each case as compared to the previous year, as a result of higher assessed values. We expect property tax expense to grow appr a oximately 5% in 2025 due primarily to higher assessed values. On-site property manager payroll expense decreased 3.4% in 2024 as compared to 2023 and increased 2.9% in 2023 as compared to 2022. The decrease in 2024 was primarily due to reduction in labor hours driven by the implementation of dynamic staffi f ng models based on customer activity levels. The increase in 2023 was primarily due to increases in wage rates as a result of competitive labor conditions experienced in most geographical markets. We expect on-site property manager payroll expense to decrease moderately in 2025 as compared to 2024 as we continue to enhance operational processes. Repairs and maintenance expense increased 9.0% and 6.3% in 2024 and 2023, respectively, in each case as compared to the previous year. Repairs and maintenance expense levels are dependent upon many factors such as (i) damage and equipment malfunctions, (ii) short-term local supply and demand factors for f material and labor, and (iii) weather conditions, which can impact costs such as snow removal, roof repairs, and HVAC maintenance and repairs. Our utility expense consists primarily of electricity costs, which are dependent upon energy prices and usage levels. Changes in usage levels are driven primarily by weather and temperatur t e. Utility expense decreased 3.9% and 2.0% in 2024 and 2023, respectively, in each case as compared to the previous year, due d primarily to our investment in energy saving technology such as solar power and LED lights, which generate fav f orable returns on investment in the for f m of lower utility usage. We expect a decline in utility expense in 2025 as compared to 2024 as we continue our investment in solar power. Marketing expense includes Internet advertising we utilize through our online paid search programs, television advertising and the operating costs of our website and telephone reservation center. Internet advertising expense, comprising keyword search fee f s assessed on a “per click” basis, varies based upon u demand for self-storage space, the quantity of people inquiring about self-s f torage through online search, occupa u ncy levels, the number and aggressiveness of bidding competitors, and other fact f ors. These fact f ors are volatile; accordingly, Internet advertising can increase or decrease significantly in the short-term. We increased marketing expense by 13.1% and 42.9% in 2024 and 2023, respectively, in each case as compared to the previous year, primarily by utilizing a higher volume of online paid search programs to attract new tenants. We plan to continue to use internet advertising and other advertising channels to suppor u t move-in volumes in 2025. Other direct property costs include administrative expenses specific to each self-s f torage facility, such as property loss, telephone and data communication lines, business license costs, bank charges related to processing the faci f lities’ cash receipts, tenant mailings, credit card fees f , eviction costs, and the cost of operating each property’s rental office. These costs increased 3.1% in 2024 as compared to 2023 and 8.9% in 2023 as compared to 2022. The increase in 2024 was primarily due to increased property loss and restoration expenses related to fir f e and flooding events. The increase in 2023 was due d primarily to an increase in credit card fee f s as a result of year-over-year increases in revenues, combined with a long-term trend of more customers paying with credit cards rather than cash, checks, or other methods of payment with lower transaction costs. Centralized management costs represent administrative and cash compensation expenses for shared general corporate func f tions to the extent their effo f rts are devoted to self-s f torage operations. Such func f tions include information technology suppor u t, hardware, and software, as well as centralized administration of payroll, benefits, training, repairs and maintenance, customer service, pricing and marketing, operational accounting and finance, legal costs, and costs fro f m fie f ld management executives. Centralized management costs decreased 8.0% in 2024 as compared to 2023 and decreased 5.3% in 2023 as compared to 2022, primarily driven by achievement of economies of scale fro f m recent acquisitions with centralized management costs allocated over a broader number of self-storage facilities including non-same store facilities. 35 Analysis of Market Trends y The fol f lowing tabl a es set for f th selected market trends in our Same Store Facilities: Same Store Facilities Operating Trends by Market As of December 31, 2024 Year Ended December 31, Number of Facilities Square Feet (millions) Realized Rent per Occupi u ed Square Foot Average Occupa u ncy Realized Rent per Availabl a e Square Foot 2024 2023 Change (a) 2024 2023 Change (a) 2024 2023 Change (a) Los Angeles 218 15.9 $ 36.09 $ 35.83 0.7 % 94.6 % 95.4 % (0.8)% $ 34.15 $ 34.16 — % San Francisco 130 8.1 32.69 32.22 1.5 % 94.3 % 94.3 % — % 30.81 30.38 1.4 % New York 91 6.7 32.26 32.07 0.6 % 93.6 % 93.3 % 0.3 % 30.19 29.93 0.9 % Washington DC 109 7.3 26.92 26.62 1.1 % 92.8 % 91.7 % 1.1 % 24.97 24.40 2.3 % Miami 87 6.3 29.93 30.01 (0.3)% 93.1 % 93.6 % (0.5)% 27.88 28.08 (0.7)% Dallas-Ft. Worth 130 9.7 18.26 18.18 0.4 % 89.2 % 91.6 % (2.4)% 16.29 16.65 (2.2)% Seattle-Tacoma 92 6.3 25.61 25.78 (0.7)% 92.9 % 92.5 % 0.4 % 23.78 23.84 (0.3)% Houston 117 9.2 16.96 16.74 1.3 % 91.7 % 91.8 % (0.1)% 15.55 15.37 1.2 % Chicago 131 8.3 20.53 20.21 1.6 % 92.9 % 93.0 % (0.1)% 19.08 18.80 1.5 % Atlanta 107 7.1 17.30 17.93 (3.5)% 88.2 % 90.8 % (2.6)% 15.27 16.29 (6.3)% Orlando-Daytona 69 4.4 18.85 19.65 (4.1)% 91.7 % 93.3 % (1.6)% 17.28 18.34 (5.8)% West Palm Beach 41 3.1 26.11 26.59 (1.8)% 92.3 % 93.4 % (1.1)% 24.09 24.84 (3.0)% Philadelphia 57 3.6 20.95 21.42 (2.2)% 92.9 % 92.9 % — % 19.45 19.91 (2.3)% Baltimore 38 2.8 23.33 23.75 (1.8)% 92.4 % 91.1 % 1.3 % 21.56 21.63 (0.3)% Charlotte 55 4.2 16.00 16.18 (1.1)% 91.3 % 92.9 % (1.6)% 14.60 15.04 (2.9)% All other markets 1,035 67.0 18.40 18.55 (0.8)% 92.5 % 93.0 % (0.5)% 17.01 17.25 (1.4)% Totals 2,507 170.0 $ 22.61 $ 22.64 (0.1)% 92.4 % 93.0 % (0.6)% $ 20.89 $ 21.05 (0.8)% (a) Represents the abs a olute nominal change with respect to square foot occupa u ncy, and the percentage change with respect to all other items. 36 Same Store Facilities Operating Trends by Market (Continued) Year Ended December 31, Revenues ($000's) Direct Expenses ($000's) Indirect Expenses ($000's) Net Operating Income ($000's) 2024 2023 Change 2024 2023 Change 2024 2023 Change 2024 2023 Change Los Angeles $ 555,529 $ 555,989 (0.1)% $ 70,934 $ 73,638 (3.7)% $ 10,437 $ 11,160 (6.5)% $ 474,158 $ 471,191 0.6 % San Francisco 253,191 249,790 1.4 % 39,403 38,835 1.5 % 5,631 5,958 (5.5)% 208,157 204,997 1.5 % New York 208,182 206,118 1.0 % 51,003 49,282 3.5 % 4,409 4,711 (6.4)% 152,770 152,125 0.4 % Washington DC 188,317 184,028 2.3 % 37,760 37,260 1.3 % 5,064 5,065 — % 145,493 141,703 2.7 % Miami 181,575 182,939 (0.7)% 42,621 34,936 22.0 % 3,838 4,087 (6.1)% 135,116 143,916 (6.1)% Dallas-Ft. Worth 165,396 169,311 (2.3)% 40,153 38,154 5.2 % 5,001 5,514 (9.3)% 120,242 125,643 (4.3)% Seattle-Tacoma 154,195 154,556 (0.2)% 30,854 28,193 9.4 % 3,974 3,983 (0.2)% 119,367 122,380 (2.5)% Houston 149,672 148,111 1.1 % 39,829 38,830 2.6 % 4,778 5,062 (5.6)% 105,065 104,219 0.8 % Chicago 163,809 161,420 1.5 % 61,786 61,071 1.2 % 5,306 5,558 (4.5)% 96,717 94,791 2.0 % Atlanta 114,192 121,446 (6.0)% 27,458 24,661 11.3 % 4,485 4,719 (5.0)% 82,249 92,066 (10.7)% Orlando-Daytona 79,089 83,774 (5.6)% 16,988 16,429 3.4 % 2,945 3,172 (7.2)% 59,156 64,173 (7.8)% West Palm Beach 76,476 78,831 (3.0)% 16,892 17,020 (0.8)% 1,967 2,121 (7.3)% 57,617 59,690 (3.5)% Philadelphia 74,063 75,654 (2.1)% 16,587 16,701 (0.7)% 2,391 2,549 (6.2)% 55,085 56,404 (2.3)% Baltimore 63,971 64,141 (0.3)% 13,010 12,282 5.9 % 1,599 1,678 (4.7)% 49,362 50,181 (1.6)% Charlotte 63,612 65,385 (2.7)% 12,826 12,193 5.2 % 2,105 2,198 (4.2)% 48,681 50,994 (4.5)% All other markets 1,185,363 1,201,838 (1.4)% 270,937 261,524 3.6 % 42,312 46,171 (8.4)% 872,114 894,143 (2.5)% Totals $3,676,632 $3,703,331 (0.7)% $ 789,041 $ 761,009 3.7 % $ 106,242 $ 113,706 (6.6)% $2,781,349 $2,828,616 (1.7)% 37 Same Store Facilities Operating Trends by Market (Continued) As of December 31, 2024 Year Ended December 31, Number of Facilities Square Feet (millions) Realized Rent per Occupi u ed Square Foot Average Occupa u ncy Realized Rent per Availabl a e Square Foot 2023 2022 Change (a) 2023 2022 Change (a) 2023 2022 Change (a) Los Angeles 218 15.9 $ 35.83 $ 32.33 10.8 % 95.4 % 96.8 % (1.4)% $ 34.16 $ 31.28 9.2 % San Francisco 130 8.1 32.22 31.06 3.7 % 94.3 % 95.2 % (0.9)% 30.38 29.56 2.8 % New York 91 6.7 32.07 30.53 5.0 % 93.3 % 94.3 % (1.0)% 29.93 28.80 3.9 % Washington DC 109 7.3 26.62 25.55 4.2 % 91.7 % 92.6 % (0.9)% 24.40 23.66 3.1 % Miami 87 6.3 30.01 28.01 7.1 % 93.6 % 95.6 % (2.0)% 28.08 26.77 4.9 % Dallas-Ft. Worth 130 9.7 18.18 16.71 8.8 % 91.6 % 93.9 % (2.3)% 16.65 15.70 6.1 % Seattle-Tacoma 92 6.3 25.78 24.81 3.9 % 92.5 % 94.0 % (1.5)% 23.84 23.32 2.2 % Houston 117 9.2 16.74 15.43 8.5 % 91.8 % 93.2 % (1.4)% 15.37 14.38 6.9 % Chicago 131 8.3 20.21 19.22 5.2 % 93.0 % 93.6 % (0.6)% 18.80 18.00 4.4 % Atlanta 107 7.1 17.93 17.17 4.4 % 90.8 % 93.7 % (2.9)% 16.29 16.10 1.2 % Orlando-Daytona 69 4.4 19.65 17.96 9.4 % 93.3 % 95.9 % (2.6)% 18.34 17.22 6.5 % West Palm Beach 41 3.1 26.59 25.11 5.9 % 93.4 % 95.7 % (2.3)% 24.84 24.03 3.4 % Philadelphia 57 3.6 21.42 20.82 2.9 % 92.9 % 94.3 % (1.4)% 19.91 19.64 1.4 % Baltimore 38 2.8 23.75 22.84 4.0 % 91.1 % 92.4 % (1.3)% 21.63 21.10 2.5 % Charlotte 55 4.2 16.18 15.04 7.6 % 92.9 % 94.9 % (2.0)% 15.04 14.27 5.4 % All other markets 1035 67.0 18.55 17.59 5.5 % 93.0 % 94.6 % (1.6)% 17.25 16.64 3.7 % Totals 2,507 170.0 $ 22.64 $ 21.28 6.4 % 93.0 % 94.6 % (1.6)% $ 21.05 $ 20.12 4.6 % (a) Represents the abs a olute nominal change with respect to square foot occupa u ncy, and the percentage change with respect to all other items. 38 Same Store Facilities Operating Trends by Market (Continued) Year Ended December 31, Revenues ($000's) Direct Expenses ($000's) Indirect Expenses ($000's) Net Operating Income ($000's) 2023 2022 Change 2023 2022 Change 2023 2022 Change 2023 2022 Change Los Angeles $ 555,989 $ 508,366 9.4 % $ 73,638 $ 66,368 11.0 % $ 11,160 $ 12,074 (7.6)% $ 471,191 $ 429,924 9.6 % San Francisco 249,790 242,866 2.9 % 38,835 35,915 8.1 % 5,958 6,696 (11.0)% 204,997 200,255 2.4 % New York 206,118 197,367 4.4 % 49,282 46,360 6.3 % 4,711 5,483 (14.1)% 152,125 145,524 4.5 % Washington DC 184,028 178,001 3.4 % 37,260 35,862 3.9 % 5,065 5,208 (2.7)% 141,703 136,931 3.5 % Miami 182,939 173,819 5.2 % 34,936 30,999 12.7 % 4,087 4,277 (4.4)% 143,916 138,543 3.9 % Dallas-Ft. Worth 169,311 159,238 6.3 % 38,154 37,637 1.4 % 5,514 5,854 (5.8)% 125,643 115,747 8.5 % Seattle-Tacoma 154,556 151,220 2.2 % 28,193 25,664 9.9 % 3,983 4,251 (6.3)% 122,380 121,305 0.9 % Houston 148,111 138,342 7.1 % 38,830 38,878 (0.1)% 5,062 5,514 (8.2)% 104,219 93,950 10.9 % Chicago 161,420 154,143 4.7 % 61,071 57,928 5.4 % 5,558 6,007 (7.5)% 94,791 90,208 5.1 % Atlanta 121,446 119,524 1.6 % 24,661 23,903 3.2 % 4,719 5,071 (6.9)% 92,066 90,550 1.7 % Orlando-Daytona 83,774 78,622 6.6 % 16,429 14,884 10.4 % 3,172 3,487 (9.0)% 64,173 60,251 6.5 % West Palm Beach 78,831 76,208 3.4 % 17,020 15,125 12.5 % 2,121 2,163 (1.9)% 59,690 58,920 1.3 % Philadelphia 75,654 74,493 1.6 % 16,701 16,355 2.1 % 2,549 2,783 (8.4)% 56,404 55,355 1.9 % Baltimore 64,141 62,266 3.0 % 12,282 10,523 16.7 % 1,678 1,834 (8.5)% 50,181 49,909 0.5 % Charlotte 65,385 61,850 5.7 % 12,193 10,595 15.1 % 2,198 2,555 (14.0)% 50,994 48,700 4.7 % All other markets 1,201,838 1,156,824 3.9 % 261,524 245,345 6.6 % 46,171 50,699 (8.9)% 894,143 860,780 3.9 % Totals $3,703,331 $3,533,149 4.8 % $ 761,009 $ 712,341 6.8 % $ 113,706 $ 123,956 (8.3)% $2,828,616 $2,696,852 4.9 % 39 Acquired Facilit i ie t s q The Acquired Facilities represent 260 facilities that we acquired in 2022, 2023, and 2024. As a result of the stabilization process and timing of when these facilities were acquired, year-over-year changes can be significant. The following tabl a e summarizes operating data with respect to the Acquired Facilities: ACQUIRED FACILITIES Year Ended December 31, Year Ended December 31, 2024 2023 Change (a) 2023 2022 Change (a) ($ amounts in thousands, except for f per square foot amounts) Revenues (b): 2022 Acquisitions $ 55,390 $ 50,105 $ 5,285 $ 50,105 $ 14,945 $ 35,160 2023 Acquisitions 184,097 55,487 128,610 55,487 — 55,487 2024 Acquisitions 1,827 — 1,827 — — — Total revenues 241,314 105,592 135,722 105,592 14,945 90,647 Cost of operations (b): 2022 Acquisitions 20,515 19,911 604 19,911 7,885 12,026 2023 Acquisitions 60,049 19,922 40,127 19,922 — 19,922 2024 Acquisitions 1,019 — 1,019 — — — Total cost of operations 81,583 39,833 41,750 39,833 7,885 31,948 Net operating income: 2022 Acquisitions 34,875 30,194 4,681 30,194 7,060 23,134 2023 Acquisitions 124,048 35,565 88,483 35,565 — 35,565 2024 Acquisitions 808 — 808 — — — Net operating income 159,731 65,759 93,972 65,759 7,060 58,699 Depreciation and amortization expense (237,892) (112,247) (125,645) (112,247) (18,494) (93,753) Net loss $ (78,161) $ (46,488) $ (31,673) $ (46,488) $ (11,434) $ (35,054) At December 31: Square foot occupa u ncy: 2022 Acquisitions 85.7% 82.2% 3.5% 82.2% 79.4% 2.8% 2023 Acquisitions 86.8% 83.1% 3.7% 83.1% —% —% 2024 Acquisitions 79.0% —% —% —% —% —% 85.8% 82.9% 2.9% 82.9% 79.4% 3.5% Annual contract rent per occupied square foot: 2022 Acquisitions $ 13.46 $ 13.06 3.1% $ 13.06 $ 11.48 13.8% 2023 Acquisitions 17.32 16.78 3.2% 16.78 — —% 2024 Acquisitions 13.69 — —% — — —% $ 16.02 $ 15.75 1.7% $ 15.75 $ 11.48 37.2% Number of facilities: 2022 Acquisitions 74 74 — 74 74 — 2023 Acquisitions 164 164 — 164 — 164 2024 Acquisitions 22 — 22 — — — 260 238 22 238 74 164 Net rentabl a e square feet (in thousands): 2022 Acquisitions 4,740 4,740 — 4,740 4,726 14 2023 Acquisitions 12,067 12,067 — 12,067 — 12,067 2024 Acquisitions 1,666 — 1,666 — — — 18,473 16,807 1,666 16,807 4,726 12,081 40 ACQUIRED FACILITIES (Continued) As of December 31, 2024 Costs to acquire (in thousands): 2022 Acquisitions $ 730,957 2023 Acquisitions (c) 2,674,840 2024 Acquisitions 267,473 $ 3,673,270 (a) Represents the percentage change with respect to annual contract rent per occupi u ed square foot, and the abs a olute nominal change with respect to all other items. (b) Revenues and cost of operations do not include tenant reinsurance and merchandise sale revenues and expenses generated at the faci f lities. See “Ancillary Operations” below for more infor f mation. (c) The amount includes the costs allocated to land, buildings and intangible assets associated with the 127 self-s f torage facilities fro f m the Simply Acquisition. We have been active in acquiring facilities in recent years. Since the beginning of 2022, we acquired a total of 260 facilities with 18.5 million net rentable square feet for $3.7 billion. During 2024, these fac f ilities contributed net operating income of $159.7 million. During 2023, we acquired BREIT Simply Storage LLC (“Simply”), a self-s f torage company that owned and operated 127 self-s f torage facilities (9.4 million square feet) and managed 25 self-storage facilities (1.8 million square feet) for third parties, for a purchase price of $2.2 billion in cash. Included in the acquisition results in the table above are the Simply portfol f io self-s f torage revenues of $151.8 million, NOI of $103.9 million (including Direct NOI of $109.2 million), and average square footage occupancy of 87.7% for 2024. We remain active in seeking to acquire additional self-storage faci f lities. Future acquisition volume is likely to be impacted by cost of capital and overall macro-economic uncertainties. Subs u equent to December 31, 2024, we acquired or were under contract to acquire nine self-s f torage facilities across six states with 0.7 million net rentable square feet for $140.7 million. 41 Newly D l evelope l d and Expan x ded Fac F ilities y p p The Newly Developed and Expanded Facilities include 46 facilities that were developed on new sites since January 1, 2019, and 86 fac f ilities expanded to increase their net rentabl a e square footage. Of these expansions, 64 were completed befor f e 2023, 17 were completed in 2023 or 2024, and fiv f e are currently in process at December 31, 2024. The following tabl a e summarizes operating data with respect to the Newly Developed and Expanded Facilities: NEWLY DEVELOPED AND EXPANDED FACILITIES Year Ended December 31, Year Ended December 31, 2024 2023 Change (a) 2023 2022 Change (a) ($ amounts in thousands, except for f per square foot amounts) Revenues (b): Developed in 2019 $ 18,058 $ 18,081 $ (23) $ 18,081 $ 16,444 $ 1,637 Developed in 2020 7,371 7,621 (250) 7,621 6,838 783 Developed in 2021 11,864 11,134 730 11,134 8,333 2,801 Developed in 2022 10,054 6,893 3,161 6,893 687 6,206 Developed in 2023 6,168 1,032 5,136 1,032 — 1,032 Developed in 2024 874 — 874 — — — Expansions completed befor f e 2023 139,887 135,290 4,597 135,290 119,805 15,485 Expansions completed in 2023 or 2024 22,666 16,824 5,842 16,824 17,427 (603) Expansions in process 8,903 11,360 (2,457) 11,360 13,152 (1,792) Total revenues 225,845 208,235 17,610 208,235 182,686 25,549 Cost of operations (b): Developed in 2019 6,281 5,608 673 5,608 5,622 (14) Developed in 2020 2,037 1,884 153 1,884 1,702 182 Developed in 2021 3,743 3,849 (106) 3,849 3,539 310 Developed in 2022 4,055 3,563 492 3,563 738 2,825 Developed in 2023 4,976 1,638 3,338 1,638 — 1,638 Developed in 2024 879 — 879 — — — Expansions completed befor f e 2023 41,555 39,905 1,650 39,905 35,571 4,334 Expansions completed in 2023 or 2024 9,252 5,475 3,777 5,475 4,751 724 Expansions in process 1,636 1,901 (265) 1,901 2,488 (587) Total cost of operations 74,414 63,823 10,591 63,823 54,411 9,412 Net operating income (loss): Developed in 2019 11,777 12,473 (696) 12,473 10,822 1,651 Developed in 2020 5,334 5,737 (403) 5,737 5,136 601 Developed in 2021 8,121 7,285 836 7,285 4,794 2,491 Developed in 2022 5,999 3,330 2,669 3,330 (51) 3,381 Developed in 2023 1,192 (606) 1,798 (606) — (606) Developed in 2024 (5) — (5) — — — Expansions completed befor f e 2023 98,332 95,385 2,947 95,385 84,234 11,151 Expansions completed in 2023 or 2024 13,414 11,349 2,065 11,349 12,676 (1,327) Expansions in process 7,267 9,459 (2,192) 9,459 10,664 (1,205) Net operating income 151,431 144,412 7,019 144,412 128,275 16,137 Depreciation and amortization expense (69,430) (56,163) (13,267) (56,163) (49,102) (7,061) Net income $ 82,001 $ 88,249 $ (6,248) $ 88,249 $ 79,173 $ 9,076 42 NEWLY DEVELOPED AND EXPANDED FACILITIES (Continued) As of December 31, As of December 31, 2024 2023 Change (a) 2023 2022 Change (a) ($ amounts in thousands, except for f per square foot amounts) Square foot occupa u ncy: Developed in 2019 86.0% 84.6% 1.4% 84.6% 87.3% (2.7)% Developed in 2020 89.3% 89.4% (0.1)% 89.4% 94.3% (4.9)% Developed in 2021 77.7% 81.5% (3.8)% 81.5% 82.4% (0.9)% Developed in 2022 86.3% 77.7% 8.6% 77.7% 43.6% 34.1% Developed in 2023 75.9% 27.9% 48.0% 27.9% —% —% Developed in 2024 41.0% —% —% —% —% —% Expansions completed befor f e 2023 86.3% 85.2% 1.1% 85.2% 83.7% 1.5% Expansions completed in 2023 or 2024 59.6% 60.4% (0.8)% 60.4% 92.0% (31.6)% Expansions in process 93.6% 93.4% 0.2% 93.4% 92.9% 0.5% 79.9% 78.3% 1.6% 78.3% 83.1% (4.8)% Annual contract rent per occupi u ed square foot: Developed in 2019 $ 18.31 $ 18.83 (2.8)% $ 18.83 $ 18.19 3.5% Developed in 2020 21.77 22.73 (4.2)% 22.73 21.75 4.5% Developed in 2021 19.62 19.78 (0.8)% 19.78 18.04 9.6% Developed in 2022 17.74 16.20 9.5% 16.20 13.84 17.1% Developed in 2023 10.34 9.61 7.6% 9.61 — —% Developed in 2024 10.17 — —% — — —% Expansions completed befor f e 2023 18.41 18.29 0.7% 18.29 17.89 2.2% Expansions completed in 2023 or 2024 20.11 24.25 (17.1)% 24.25 25.80 (6.0)% Expansions in process 23.68 22.79 3.9% 22.79 25.50 (10.6)% $ 18.14 $ 18.73 (3.2)% $ 18.73 $ 18.75 (0.1)% Number of facilities: Developed in 2019 11 11 — 11 11 — Developed in 2020 3 3 — 3 3 — Developed in 2021 6 6 — 6 6 — Developed in 2022 8 8 — 8 8 — Developed in 2023 11 11 — 11 — 11 Developed in 2024 7 — 7 — — — Expansions completed befor f e 2023 64 64 — 64 64 — Expansions completed in 2023 or 2024 17 17 — 17 17 — Expansions in process 5 5 — 5 5 — 132 125 7 125 114 11 Net rentabl a e square feet (in thousands): Developed in 2019 1,057 1,057 — 1,057 1,057 — Developed in 2020 347 347 — 347 347 — Developed in 2021 (d) 760 681 79 681 681 — Developed in 2022 631 631 — 631 631 — Developed in 2023 1,098 1,098 — 1,098 — 1,098 Developed in 2024 668 — 668 — — — Expansions completed befor f e 2023 8,504 8,465 39 8,465 8,361 104 Expansions completed in 2023 or 2024 2,217 1,332 885 1,332 797 535 Expansions in process 523 523 — 523 524 (1) 15,805 14,134 1,671 14,134 12,398 1,736 43 As of December 31, 2024 Costs to develop (in thousands): Developed in 2019 $ 150,387 Developed in 2020 42,063 Developed in 2021 (d) 128,435 Developed in 2022 100,089 Developed in 2023 193,766 Developed in 2024 129,669 Expansions completed befor f e 2023 (c) 543,636 Expansions completed in 2023 or 2024 (c) 352,042 $ 1,640,087 (a) Represents the percentage change with respect to annual contract rent per occupi u ed square foot, and the abs a olute nominal change with respect to all other items. (b) Revenues and cost of operations do not include tenant reinsurance and merchandise sales generated at the fac f ilities. See “Ancillary Operations” below for more infor f mation. (c) These amounts only include the direct cost incurred to expand and renovate these faci f lities, and do not include (i) the original cost to develop or acquire the faci f lity or (ii) the lost revenue on space demolished dur d ing the construc r tion and fill-up period. (d) We have completed an expansion proje o ct on a fac f ility developed in 2021 for $12.8 million, adding 79,000 net rentabl a e square feet of storage space as of December 31, 2024. Our Newly Developed and Expanded Facilities includes a total of 132 self-s f torage facilities of 15.8 million net rentable square feet. For development and expansions completed by December 31, 2024, we incurred a total cost of $1.6 billion. During 2024, Newly Developed and Expanded Facilities contributed net operating income of $151.4 million. It typically takes at least three to four years for f a newly developed or expanded self-storage facility to stabilize with respect to revenues. Physical occupa u ncy can be achieved as early as two to three years fol f lowing completion of the development or expansion through offe f ring lower rental rates during fill- f up. As a result, even afte f r achieving high occupa u ncy, there can still be a period of elevated revenue growth as the tenant base matur t es and higher rental rates are achieved. We believe that our development and redevelopment activities generate fav f orable risk-adjusted retur t ns over the long run. However, in the short run, r our earnings are diluted during the construc r tion and stabilization period due d to the cost of capital to fun f d the development cost, the related construc r tion and development overhead expenses included in general and administrative expense, and the net operating loss fro f m newly developed faci f lities undergoing fill-up. We typically underwrite new developments to stabilize at appr a oximately an 8.0% NOI yield on cost (adju d sted for impacts fro f m tenant reinsurance and maintenance capital expenditures). Our developed faci f lities have thus far leased up a u s expected and are at various stages of their revenue stabilization periods. The actua t l annualized yields that we may achieve on these faci f lities upon u stabilization will depend on many factors, including local and current market conditions in the vicinity of each property and the level of new and existing suppl u y. The fac f ilities under “expansions completed” represent those fac f ilities where the expansions have been completed at December 31, 2024. We incurred a total of $895.7 million in direct cost to expand these faci f lities, demolished a total of 1.1 million net rentable square feet of storage space, and built a total of 6.8 million net rentable square feet of new storage space. At December 31, 2024, we had 26 additional fac f ilities in development, which will have a total of 2.5 million net rentable square feet of storage space and have an aggregate development cost totaling appr a oximately $498.9 million. We expect these faci f lities to open over the next 18 to 24 months. 44 The faci f lities under “expansion in process” represent those faci f lities where construc r tion is in process at December 31, 2024, and together with additional fut f ur t e expansion activities primarily related to our Same Store Facilities at December 31, 2024, we expect to add a total of 1.5 million net rentabl a e square feet of storage space by expanding existing self-s f torage facilities for an aggregate direct development cost of $242.7 million. Othe t r Non N -Sam S e Sto S re Facilit i ie t s The “Other Non-Same Store Facilities” represent faci f lities which, while not newly acquired, developed, or expanded, are not fully stabi a lized since January 1, 2022, including facilities undergoing fill-up a u s well as faci f lities damaged in casualty events such as hurricanes, flo f ods, and fires. The Other Non-Same Store Facilities have an aggregate of 17.0 million net rentable square feet at December 31, 2024. During 2024, 2023, and 2022, the average occupa u ncy for f these fac f ilities totaled 82.5%, 81.4%, and 81.2%, respectively, and the realized rent per occupi u ed square foot totaled $17.17, $16.64, and $14.85, respectively. Depr e eciatio t n and amortiza i tion expe x nse p z p Depreciation and amortization expense for f Self-S f torage Operations increased $159.7 million in 2024 as compared to 2023 and increased $81.9 million in 2023 as compared to 2022, primarily due d to newly acquired fac f ilities of $2.7 billion in 2023 and newly developed and expanded faci f lities. The fol f lowing disc i ussion and analys l is of the compone m nts o t f n o et income, including Ancillary Operations and certain items not allocated to segm e ents, present a compar m ison for the t year ended December 31, 2024 to the year ended December 31, 2023. The results of these compone m nts f t or f the years ended December 31, 2023 compared to December 31, 2022 was included in our Annual Repor e t on For F m 10-K for f the year ended December 31, 2023 on page 23, under Part II, I Item 7, “Manage M ment’s Disc i ussion and Analys l is of Financial Condi C tion and Results of Operations,” which was filed with the SEC S on February 2 r 0, 2024. Ancillary Operations Ancillary revenues and expenses include amounts associated with the reinsurance of policies against losses to goods stored by tenants in our self-s f torage facilities, sale of merchandise at our self-s f torage facilities, and management of property owned by unrelated third parties. The fol f lowing tabl a e sets for f th our ancillary operations: Year Ended December 31, 2024 2023 Change (Amounts in thousands) Revenues: Tenant reinsurance premiums $ 226,595 $ 203,503 $ 23,092 Merchandise 26,970 27,511 (541) Third party property management 46,058 27,063 18,995 Total revenues 299,623 258,077 41,546 Cost of operations: Tenant reinsurance 56,678 42,366 14,312 Merchandise 17,633 17,137 496 Third party property management 46,970 26,493 20,477 Total cost of operations 121,281 85,996 35,285 Net operating income (loss): Tenant reinsurance 169,917 161,137 8,780 Merchandise 9,337 10,374 (1,037) Third party property management (912) 570 (1,482) Total net operating income $ 178,342 $ 172,081 $ 6,261 45 Tenant reinsurance ope o rations: Tenant reinsurance premium revenue increased $23.1 million or 11.3% in 2024 over 2023, as a result of an increase in our tenant base with respect to acquired, newly developed, and expanded fac f ilities and the third party properties we manage, as well as higher insurance participation in our tenant base at our same store facilities. Tenant reinsurance premium revenue generated fro f m tenants at our Same-Store Facilities were $170.0 million and $163.2 million in 2024 and 2023, respectively, representing a 4.2% year over year increase in 2024. Cost of operations primarily includes claims paid as well as claims adju d stment expenses. Claims expenses vary based upon u the number of insured tenants and the volume of events that drive covered customer losses, such as burglary, r as well as catastrophic weather events affecting multiple properties such as hurricanes and flo f ods. Tenant reinsurance cost of operations increased $14.3 million in 2024, as compared to 2023, primarily due to increased claim volumes and expenses related to flo f oding, burglary a r nd hurricane events as well as increased access fees f we paid to the third-party owners of properties we manage driven by the significant growth of our third-party property management program. We expect tenant reinsurance operation to grow as we roll out insurance policies with increased coverage and higher premiums in 2025, and as we continue to increase the tenant base at our newly acquired and developed faci f lities. Third-par - ty property m t anagement: At December 31, 2024, in our third-party property management program, we managed 307 facilities (23.3 million net rentable square feet) for f unrelated third parties, and were under contract to manage 95 additional fac f ilities (8.4 million net rentable square feet) including 93 facilities that are currently under construc r tion. During 2024, we added 133 facilities to the program, acquired three facilities fro f m the program, and had 52 facilities exit the program. While we expect this business to increase in scope and size, we do not expect any significant changes in overall profit f ability of this business in the near term as we seek new properties to manage and are in the earlier stages of fill-up for newly managed properties. Analysis of items not allocated to segments Equity i in earnings of unconsolid l at d ed t real estate entity i We account for our equity investment in Shurgard using the equity method and record our pro-rata share of its net income. We recognized equity in earnings of Shurgard of $19.8 million and $27.9 million for f 2024 and 2023, respectively. Included in our equity earnings from Shurgard were $44.2 million and $36.8 million of our share of depreciation and amortization expense for f 2024 and 2023, respectively. On August 1, 2024, Shurgard acquired Lok’nStore, a self-s f torage company publicly traded on the London Stock Exchange, for f approximately £385 million ($501 million) in cash, including direct acquisition costs. For purpos r es of recording our equity in earnings from Shurgard, the Euro was translated at exchange rates of approximately 1.039 U.S. Dollars per Euro at December 31, 2024 (1.104 at December 31, 2023), and average exchange rates of 1.082 for 2024 and 1.081 for 2023. Real estate acquisitio t n and developm l ent expe e nse: In 2024 and 2023, we incurred a total of $15.5 million and $26.5 million, respectively, of internal and external expenses related to our acquisition and development of real estate facilities. These amounts are net of $17.2 million and $18.0 million in 2024 and 2023, respectively, in development costs that were capitalized to newly developed and redeveloped self-storage faci f lities. The year-over-year decrease of real estate acquisition and development expense was primarily due to the write-off of $11.7 million of accumulated development costs for cancelled development and redevelopment proje o cts dur d ing 2023. 46 General and administrativ t e exp e ense: The fol f lowing tabl a e sets for f th our general and administrative expense: Year Ended December 31, 2024 2023 Change (Amounts in thousands) Share-based compensation expense $ 28,708 $ 25,399 $ 3,309 Legal costs 11,690 3,304 8,386 Corporate management costs 30,436 26,284 4,152 Information technology costs 12,110 6,495 5,615 Other costs 23,733 19,150 4,583 Total $ 106,677 $ 80,632 $ 26,045 General and administrative expense increased $26.0 million in 2024, as compared to 2023 due primarily to (i) ) an increase in corpo r rate management costs driven primarily by higher payroll costs and (ii) an increase in license and maintenance support costs related to our recently implemented IT applications. Additionally, in 2024 we incurred a cash and stock hiring bonus for a new senior executive of $3.5 million and recognized loss contingencies related to corporate legal matters of $3.3 million. Interest and other income: The fol f lowing tabl a e sets for f th our interest and other income: Year Ended December 31, 2024 2023 Change (Amounts in thousands) Interest earned on cash balances $ 44,659 $ 64,819 $ (20,160) Commercial operations 8,951 9,531 (580) Unrealized gain on private equity investments 4,355 2,817 1,538 Other 9,247 8,423 824 Total $ 67,212 $ 85,590 $ (18,378) Interest earned on cash balances decreased $20.2 million in 2024 over 2023, due primarily to lower average cash balances partially offs f et by higher interest rates earned in the first half of 2024. Interest expe x nse: For 2024 and 2023, we incurred $297.9 million and $210.4 million, respectively, of interest on our outstanding notes payabl a e. In determining interest expense, these amounts were offset by capitalized interest of $10.5 million and $9.3 million dur d ing 2024 and 2023, respectively, associated with our development activities. The increase of interest expense in 2024 as compared to 2023 is due to the issuance of $2.2 billion of notes payabl a e in July 2023 and the increase of Compounded SOFR on our variable rate unsecured notes. At December 31, 2024, we had $9.4 billion of notes payabl a e outstanding, with a weighted average interest rate of appr a oximately 3.1%. Foreign c g urrency e c xc e hange gain ( i lo ( ss): For 2024, we recorded foreign currency gains of $102.2 million, representing primarily the changes in the U.S. Dollar equivalent of our Euro-denominated unsecured notes due to fluctuations in exchange rates (losses of $51.2 million for f 2023). The Euro was translated at exchange rates of approximately 1.039 U.S. Dollars per Euro at December 31, 2024 and 1.104 at December 31, 2023. Future gains and losses on foreign currency will be dependent upon changes in the relative value of the Euro to the U.S. Dollar and the level of Euro-denominated notes payabl a e outstanding. Gain on sale of real estate: In 2024, we recorded $1.5 million in gains, in connection with the sale of land parcels and the partial sale of real estate faci f lities pursuant to eminent domain proceedings. 47 During 2023, we completed a real estate transaction with a third-party, through which we sold an operating self-f storage faci f lity with a net book value of $7.1 million for gross proceeds of $40.0 million and acquired a nearby r land parcel for $13.5 million. At the close of the transaction, we entered into a leaseback of the self-storage facility until we complete development of the acquired land into a self-s f torage facility, no later than December 31, 2026. Of the $40.0 million in gross proceeds, $24.3 million was allocated to the sale of the property based on its estimated fai f r value, resulting a net gain on sale of real estate of $17.1 million after direct transaction costs, and $15.7 million was classified as a reduc d tion of costs to develop the acquired land included in construc r tion in process. During 2023, we also sold a land parcel for f $0.1 million in cash and recorded a related gain on sale of real estate of $0.1 million. Income tax e a xpe e nse: We operate as a REIT for f U.S. federal income tax purpos r es. As a REIT, we are generally not subj u ect to U.S. federal income taxes on our taxabl a e income distributed to stockholders. In 2024 and 2023, we recorded income tax expense totaling $4.7 million and $10.8 million, respectively, related to our taxabl a e REIT subsidiaries and income taxes incurred in certain state and local jurisdictions in which we operate. The year-over-year changes of income tax expense was primarily driven by changes in state income tax, due to fluctuations of taxabl a e income in certain states where there are diffe f rences between federal and state tax laws. 48 Liquidity and Capital Resources Overview and our Sources of Capital p While operating as a REIT allows us to minimize the payment of U.S. federal corpor r ate income tax expense, we are required to distribute at least 90% of our taxabl a e income to our shareholders. Notwithstanding this requirement, our annual operating retained cash flo f w was approximately $480 million in 2023 and $400 million in 2024. Retained operating cash flo f w represents our expected cash flo f w provided by operating activities (including property operating costs and interest payments described below), less shareholder distributions and capital expenditures. We expect retained cash flo f w of approximately $600 million for f 2025. Capi a tal needs in excess of retained cash flo f w are met with: (i) medium and long-term debt, (ii) prefer f red equity, (iii) limited partnership interests, and (iv) common equity. We select among these sources of capital based upon relative cost, availabi a lity, the desire for f leverage, and considering potential constraints caused by certain featur t es of capital sources, such as debt covenants. We view our line of credit, as well as any short-term bank loans, as bridge financing. Because raising capi a tal is important to our growth, we endeavor to maintain a strong financial profile characterized by strong credit metrics, including low leverage relative to our total capitalization and operating cash flo f ws. We are one of the highest rated REITs, as rated by majo a r rating agencies Moody’s and Standard & Poor’s. Our senior notes payabl a e have an “A” credit rating by Standard & Poor’s and “A2” by Moody’s. Our credit ratings on each of our series of prefer f red shares are “A3” by Moody’s and “BBB+” by Standard & Poor’s. Our credit profile f enables us to effectively access both the public and private capital markets to raise capital. Our revolving line of credit has a borrowing limit of $1.5 billion. The revolving line of credit generally serves as a temporary “ r bridge” fin f ancing until we are abl a e to raise longer term capital. As of December 31, 2024 and February 2 r 4, 2025, there were no borrowings outstanding on the revolving line of credit; however, we do have appr a oximately $19.6 million of outstanding letters of credit, which limits our borrowing capa a city to $1,480.4 million as of February 2 r 4, 2025. Our line of credit matur t es on June 12, 2027. In 2024, our Board authorized an “at the market” offe f ring program pursuant to which management may issue common shares up t u o an aggregate gross sales price of $2.0 billion on the open market or in privately negotiated transactions. Through December 31, 2024 and February 2 r 4, 2025, we have issued a total of 184,390 common shares on the open market for f an aggregate gross sales price of $61.4 million and received net proceeds of appr a oximately $60.3 million afte f r issuance costs. We believe that we have significant fin f ancial flexibility to adapt to changing conditions and opportunities, and we have significant access to sources of capital including debt and preferred equity. Based on our strong credit profil f e and our subs u tantial current liquidity relative to our capital requirements noted below, we would not expect any potential capital market dislocations to have a material impact upon our expected capital and growth plans over the next 12 months. However, if capital market conditions deteriorate significantly for a long period of time, our access to or cost of debt and prefer f red equity capi a tal could be negatively impacted and potentially affe f ct future investment activities. Our current and expected capital resources include: (i) $447.4 million of cash as of December 31, 2024 and (ii) approximately $600 million of expected retained operating cash flo f w over the next twelve months. Additionally, we have $1,480.4 million availabl a e borrowing capa a city on our revolving line of credit, which can be used as temporary “ r bridge” financing until we are abl a e to raise longer term capital. We believe that our cash provided by our operating activities will continue to be sufficient to enabl a e us to meet our ongoing cash requirements for f interest payments on debt, maintenance capital expenditures, and distributions to our shareholders for the foreseeable future. As described below, our current committed cash requirements consist of (i) $140.7 million in property acquisitions currently under contract, (ii) $433.5 million of remaining spending on our current development pipeline, which will be incurred primarily in the next 18 to 24 months, and (iii) approximately $651 million in schedul d ed principal repayments on our unsecured notes in the next twelve months. We plan to refin f ance these unsecured notes as they come due in 2025. Our cash requirements may increase over the next year as we add proje o cts to our development pipeline and acquire additional properties. Additional potential cash requirements could result fro f m various activities including the redemption of outstanding prefer f red securities, repurchases of common stock, or merger and acquisition activities, as and to the extent we determine to engage in such activities. 49 Over the long term, to the extent that our cash requirements exceed our capital resources, we believe we have a variety of possibilities to raise additional capital including issuing common or preferred securities, debt, and limited partnership interests, or entering into joint ventur t e arrangements to acquire or develop faci f lities. Cash Requirements q The fol f lowing summarizes our expected material cash requirements, which comprise (i) contractua t lly obligated expenditures, including payments of principal and interest, (ii) other essential expenditures, including property operating expenses, maintenance capi a tal expenditures and dividends paid in accordance with REIT distribution requirements, and (iii) opportunistic expenditures, including acquisitions and developments and repurchases of our securities. We expect to satisfy f these cash requirements through operating cash flo f w and opportunistic debt and equity financings. Required Debt Repay e ments: t As of December 31, 2024, the principal outstanding on our debt totaled approximately $9.4 billion, consisting of $7.8 billion of U.S. Dollar denominated unsecured notes payabl a e, $1.7 billion of Euro-denominated unsecured notes payable, and $1.7 million of mortgage notes payabl a e. Approximate principal matur t ities and interest payments (including $111.1 million in estimated interest on our $1.1 billion variabl a e rate unsecured notes based on rates in effe f ct at December 31, 2024) are as fol f lows (amounts in thousands): Principal Interest Total 2025 $ 651,516 $ 280,094 $ 931,610 2026 1,150,138 256,595 1,406,733 2027 1,200,146 225,594 1,425,740 2028 1,200,129 185,047 1,385,176 2029 1,000,088 147,034 1,147,122 Thereafter 4,203,350 1,423,255 5,626,605 $ 9,405,367 $ 2,517,619 $ 11,922,986 We have $400 million of our U.S. Dollar denominated unsecured notes that mature on July 25, 2025 and €242 million of our Euro denominated unsecured notes that mature on November 3, 2025. We plan to refinance these unsecured notes as they come due. Capi a ta i l Expe E ndit d ure Require i ments: t Capi a tal expenditures include general maintenance, major repairs, or replacements to elements of our facilities to keep our facilities in good operating condition and maintain their visual appe a al. Capi a tal expenditures do not include costs relating to the development of new facilities or redevelopment of existing facilities to increase their availabl a e rentabl a e square footage. We spent $240 million of capi a tal expenditures to maintain real estate facilities in 2024 and expect to spend approximately $150 million in 2025. In addition to standard capi a tal repairs of building elements reaching the end of their useful f lives, our capi a tal expenditures in recent years have included incremental expenditures to enhance the competitive position of certain of our facilities relative to local competitors pursuant to a multi-year Property of Tomorrow program. Such investments include development of more pronounced, attractive, and clearly identifia f bl a e color schemes and signage and upgr u ades to the config f uration and layout of the offic f es and other customer zones to improve the customer experience. We completed this program in 2024 and spent approximately $127 million in 2024 on this effo f rt. In addition, we have spent $54 million on the installation of solar panels in 2024 and we expect to spend appr a oximately $50 million in 2025. We believe the capital spent to install solar panels and LED lights will significantly reduce electric utility usage resulting in lower property operating costs. Requirement to P t ay P Dist i ri t butions: For all periods presented herein, we have elected to be treated as a REIT, as defined in the Internal Revenue Code. For each taxabl a e year in which we qualify f f or f taxation as a REIT, we will not be subj u ect to U.S. federal corpor r ate income tax on our “REIT taxable income” (generally, taxable income subj u ect to specifie f d adju d stments, including a deduc d tion for f dividends paid and excluding our net capital gain) that is distributed to our shareholders. We believe we have met these requirements in all periods presented herein, and we expect to continue to qualify a f s a REIT. 50 On Februa r ry 21, 2025, our Board declared a regular common quarterly dividend of $3.00 per common share totaling appr a oximately $526 million, which will be paid at the end of March 2025. Our consistent, long-term dividend policy has been to distribute our taxabl a e income. Future quarterly distributions with respect to the common shares will continue to be determined based upon u our REIT distribution requirements after taking into consideration distributions to the preferred shareholders and will be funded with cash flo f ws from operating activities. The annual distribution requirement with respect to our prefer f red shares outstanding at December 31, 2024 is approximately $194.7 million per year. Real Estate Investme t nt Activitie i s: We continue to seek to acquire additional self-storage fac f ilities from f third parties. Subs u equent to December 31, 2024, we acquired or were under contract to acquire nine self-s f torage facilities for f a total purchase price of $140.7 million. We are actively seeking to acquire additional fac f ilities. However, future acquisition volume will depend upon whether additional owners will be motivated to market their faci f lities, which will in turn depend upon factors such as economic conditions and the level of seller confid f ence. As of December 31, 2024, we had development and expansion proje o cts at a total cost of appr a oximately $741.6 million. Costs incurred through December 31, 2024 were $308.1 million, with the remaining cost to complete of $433.5 million expected to be incurred primarily in the next 18 to 24 months. Some of these projects are subj u ect to contingencies such as entitlement approval. We expect to continue to seek to add proje o cts to maintain and increase our robust pipeline. Our abi a lity to do so continues to be challenged by various constraints such as diffi f culty in finding projects that meet our risk-adjusted yield expectations and challenges in obtaining building permits for self-storage facilities in certain municipalities. Property O t pe O rating i Expe x nses: The direct and indirect cost of our operations impose significant cash requirements. Direct operating costs include property taxes, on-site property manager payroll, repairs and maintenance, utilities, and marketing. Indirect operating costs include supe u rvisory p r ayroll and centralized management costs. The cash requirements fro f m these operating costs will vary year to year based on, among other things, changes in the size of our portfol f io and changes in property tax rates and assessed values, wage rates, and marketing costs in our markets. Redemption of P o re P fe e rred Secu S ritie i s: Historically, we have taken advantage of refin f ancing higher coupon prefer f red securities with lower coupon prefer f red securities. In the fut f ur t e, we may also elect to finance the redemption of prefer f red securities with proceeds fro f m the issuance of debt. As of February 2 r 4, 2025, we have six series of preferred securities that are eligible for redemption, at our option and with 30 days’ notice: our 5.150% Series F Preferred Shares ($280.0 million), 5.050% Series G Preferred Shares ($300.0 million), 5.600% Series H Preferred Shares ($285.0 million), 4.875% Series I Preferred Shares ($316.3 million), 4.700% Series J Preferred Shares ($258.8 million), and 4.750% Series K Preferred Shares ($230.0 million). See Note 9 to our December 31, 2024 consolidated financial statements for f the redemption dates of all of our series of prefer f red shares. Redemption of such preferred shares will depend upon many factors, including the rate at which we could issue replacement preferred securities. None of our prefer f red securities are redeemable at the option of the holders. Repu e rchases of C o om C mon Sha S res: Our Board has authorized a share repurchase program pursuant to which management may purchase up t u o 35,000,000 of our common shares on the open market or in privately negotiated transactions. During 2024, we repurchased 726,865 of our common shares under the repurchase program on the open market for a total cost of $200.0 million (none in the three months ended December 31, 2024). From the inception of the repurchase program through Februa r ry 24, 2025, we have repurchased a total of 24,448,781 common shares at an aggregate cost of approximately $879.1 million. All the repurchased shares are construc r tively retired and retur t ned to an authorized and unissued status t . Futur t e levels of common share repurchases will be dependent upon our availabl a e capital, investment alternatives and the trading price of our common shares. 51 ITEM 7A. Quantitative and Qualitative Disclosures about Market Risk Q Q To limit our exposure to market risk, we are capitalized primarily with prefer f red and common equity. Our prefer f red shares are redeemable at our option generally five years after issuance, but the holder has no redemption option. Our debt, which totals appr a oximately $9.4 billion at December 31, 2024, is the only market-risk sensitive portion of our capital struc r ture. The fai f r value of our debt at December 31, 2024 is approximately $8.8 billion. The table below summarizes the annual matur t ities of our debt, which had a weighted average effect f ive rate of 3.1% at December 31, 2024. See Note 7 to our December 31, 2024 consolidated financial statements for f further infor f mation regarding our debt (amounts in thousands). 2025 2026 2027 2028 2029 Thereafter Total Debt $ 651,516 $ 1,150,138 $ 1,200,146 $ 1,200,129 $ 1,000,088 $ 4,203,350 $ 9,405,367 We have foreign currency exposure at December 31, 2024 related to (i) our investment in Shurgard, with a book value of $382.5 million, and a fair value of $1.3 billion based upon the closing price of Shurgard’s stock on December 31, 2024, and (ii) €1.6 billion ($1.7 billion) of Euro-denominated unsecured notes payabl a e, providing a natur t al hedge against the fai f r value of our investment in Shurgard. ITEM 8. Financial Statements and Supplementary Data pp y The fin f ancial statements and supplementary data appearing on pages F-3 to F-35 are incorporated herein by reference. ITEM 9. Changes in and Disagreements With Accountants on Accounting and Financial Disclosure g g g Not appl a icable. ITEM 9A. Controls and Procedures Conclusion Regarding the Effectiveness of Disclosure Controls and Procedures We maintain disclosure controls and procedur d es that are designed to ensure that infor f mation required to be disclosed in reports we file and submit under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), is recorded, processed, summarized, and reported within the time periods specified in accordance with SEC guidelines, and that such information is communicated to our management, including our Chief Executive Officer and Chief Financial Offi f cer, to allow timely decisions regarding required disclosure based on the defin f ition “of disclosure controls and procedur d es” in Rul R es 13a-15(e) and 15d-15(e) of the Exchange Act. In designing and evaluating the disclosure controls and procedur d es, management recognized that any controls and procedures, no matter how well designed and operated, can provide only reasonabl a e assurance of achieving the desired control objectives, and management necessarily was required to apply its judgment in evaluating the cost-benefit f relationship of possible controls and procedur d es in reaching that level of reasonabl a e assurance. We also have investments in certain unconsolidated real estate entities, and, because we do not control these entities, our disclosure controls and procedures with respect to such entities are subs u tantially more limited than those we maintain with respect to our consolidated subs u idiaries. As of December 31, 2024, we carried out an evaluation, under the supe u rvision and with the participation of management, including our Chief Executive Officer and Chief Financial Offi f cer, of the effe f ctiveness of the design and operation of our disclosure controls and procedur d es (as such term is defin f ed in Rules 13a-15(e) and 15d-15(e) of the Exchange Act). Based on that evaluation, our Chief Executive Offi f cer and Chief Financial Officer concluded that our disclosure controls and procedures were effe f ctive as of December 31, 2024, at a reasonabl a e assurance level. 52 Management’s Report on Internal Control Over Financial Reporting Our management is responsible for establishing and maintaining adequate internal control over fin f ancial reporting, as such term is defined in Rul R es 13a-15(f) and 15d-15(f) of the Exchange Act. Under the supe u rvision and with the participation of our management, including our Chief Executive Offi f cer and Chief Financial Officer, we conducted an evaluation of the effe f ctiveness of our internal control over fin f ancial reporting based on the fra f mework in Internal Contro t l- Integr e ated Framework r issued by the Committee on Sponsoring Organizations of the Treadway Commission (2013 Framework). Based on our evaluation under the framework in Internal Contro t l-Integr e ated Framework r , our management concluded that our internal control over fin f ancial reporting was effe f ctive as of December 31, 2024. The effectiveness of internal control over fin f ancial reporting as of December 31, 2024, has been audited by Ernst & Young LLP, an independent registered public accounting fir f m. Ernst & Young LLP’s report on our internal control over financial reporting appears below. Changes in Internal Control Over Financial Reporting There have not been any changes in our internal control over fin f ancial reporting (as such term is defined in Rul R es 13a-15(f) and 15d-15(f) under the Exchange Act) during the fourth quarter of 2024 to which this report relates that have materially affe f cted, or are reasonable likely to materially affe f ct, our internal control over fin f ancial reporting. 53 Report of Independent Registered Public Accounting Firm To the Shareholders and the Board of Trustees of Publ u ic Storage Opinion on Internal Control Over Financial Reporting We have audited Public Storage’s internal control over fin f ancial reporting as of December 31, 2024, based on criteria establ a ished in Internal Control—Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 framework) (the COSO criteria). In our opinion, Publ u ic Storage (the Company) maintained, in all material respects, effe f ctive internal control over fin f ancial reporting as of December 31, 2024, based on the COSO criteria. We also have audited, in accordance with the standards of the Publ u ic Company Accounting Oversight Board (United States) (PCAOB), the consolidated balance sheets of the Company as of December 31, 2024 and 2023, the related consolidated statements of income, comprehensive income, equity and redeemable noncontrolling interests and cash flo f ws for each of the three years in the period ended December 31, 2024 and the related notes and fin f ancial statement schedul d e listed in the Index at Item 15(a) and our report dated Februa r ry 24, 2025 expressed an unqualifie f d opinion thereon. Basis for f Opinion The Company’s management is responsible for maintaining effe f ctive internal control over fin f ancial reporting, and for f its assessment of the effe f ctiveness of internal control over fin f ancial reporting included in the accompanying Management’s Report on Internal Control Over Financial Reporting. Our responsibility is to express an opinion on the Company’s internal control over fin f ancial reporting based on our audit. We are a public accounting fir f m registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. fed f eral securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonabl a e assurance about whether effective internal control over fin f ancial reporting was maintained in all material respects. Our audit included obtaining an understanding of internal control over fin f ancial reporting, assessing the risk that a material weakness exists, testing and evaluating the design and operating effectiveness of internal control based on the assessed risk, and performing such other procedur d es as we considered necessary in the circumstances. We believe that our audit provides a reasonabl a e basis for our opinion. Definition and Limitations of Internal Control Over Financial Reporting A company’s internal control over fin f ancial reporting is a process designed to provide reasonabl a e assurance regarding the reliabi a lity of financial reporting and the preparation of fin f ancial statements for external purpos r es in accordance with generally accepted accounting principles. A company’s internal control over fin f ancial reporting includes those policies and procedur d es that (1) pertain to the maintenance of records that, in reasonabl a e detail, accurately and fai f rly refle f ct the transactions and dispositions of the assets of the company; (2) provide reasonabl a e assurance that transactions are recorded as necessary to permit preparation of fin f ancial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonabl a e assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the fin f ancial statements. Because of its inherent limitations, internal control over fin f ancial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to fut f ur t e periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedur d es may deteriorate. /s/ Ernst & Young LLP Los Angeles, Califor f nia Februa r ry 24, 2025 54 ITEM 9B. Other Information During the three months ended December 31, 2024, no trus r tee or officer of the Company, nor the Company itself, adopted or terminated a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as each term is defined in Item 408(a) of Regulation S-K. ITEM 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections g g g p Not appl a icable. 55 PART III ITEM 10. Trustees, Executive Offi f cers and Corporate Governance , p The fol f lowing is a biographical summary of the current executive officers of the Company: Joseph D. Russell, Jr., age 65, has served as Chief Executive Officer since January 1, 2019, and as President since July 2016. Prior to joining Publ u ic Storage, Mr. Rus R sell was President and Chief Executive Officer of PS Business Parks, Inc. from August 2002 to July 2016. Mr. Rus R sell has also served as a trus r tee of Public Storage since January 1, 2019. H. Thomas Boyle, age 42, has served as Chief Financial Officer since January 1, 2019 and Chief Investment Offi f cer since January 1, 2023. Previously, Mr. Boyle was Vice President and Chief Financial Offi f cer, Operations, fro f m November 2016, when he joined the Company, until January 2019. Prior to joining Publ u ic Storage, Mr. Boyle served in roles of increasing responsibilities with Morgan Stanley since 2005, from analyst to his last role as Executive Director, Equity and Debt Capital Markets. Mr. Boyle has served as a director of Shurgard and a member of Shurgard’s Real Estate Investment Committee since May 2023. Natalia N. Johnson, age 47, has served as Chief Administrative Officer since August 4, 2020. Previously, Ms. Johnson was Senior Vice President, Chief Human Resources Offic f er from April 2018 until August 2020, and prior to that was Senior Vice President of Human Resources, a position she held since joining the Company in July 2016. Prior to joining Public Storage, Ms. Johnson held a variety of senior management positions at Bank of America, including Chief Operating Officer for f Mortgage Technology and Human Resources Executive for f the Mortgage Business, and worked for f Coca-Cola Andina and San Cristόbal Insurance. Ms. Johnson has served as a director of WillScot Mobile Mini Holdings Corp. since August 2023 and is a member of the Audit and Compensation committees. Nathaniel A. Vitan, age 51, has served as Senior Vice President, Chief Legal Officer and Corpor r ate Secretary since April 20, 2019, and was previously Vice President and Chief Counsel–Litigation and Operations since joining the Company in June 2016 until April 2019. Prior to joining Publ u ic Storage, Mr. Vitan was Assistant General Counsel for Altria Client Services LLC from 2008 to 2016, and befor f e then was a Trial and Appellate Practice attorney at Latham & Watkins LLP. Chris C. Sambar, age 51, has served as our Chief Operating Officer since he joined the Company on October 14, 2024. Prior to joining the Company, Mr. Sambar held various roles of increasing responsibility at AT&T Communications since 2002, most recently as President, AT&T Network fro f m August 2022 to October 2024 and as Executive Vice President, AT&T Network fro f m September 2019 to August 2022. Mr. Sambar has served as a director of AST SpaceMobile, Inc. (NASDAQ: ASTS) since June 2024. Other infor f mation required by this item is hereby incorpo r rated by refer f ence to the material appe a aring in the Company’s Notice and Proxy Statement for f its 2025 Annual Meeting of Shareholders, to be file f d pursuant to Regulation 14A under the Exchange Act. ITEM 11. Executive Compensation p The infor f mation required by this item is hereby incorpo r rated by refer f ence to the material appe a aring in the Company’s Notice and Proxy Statement for f its 2025 Annual Meeting of Shareholders, to be file f d pursuant to Regulation 14A under the Exchange Act. 56 ITEM 12. Security Ownership of Certain Benefic f ial Owners and Management and Related Shareholder y p g Matters The fol f lowing tabl a e sets for f th information, as of December 31, 2024 on the Company’s equity compensation plans: Equity Compensation Plan Infor f mation Plan Category r Number of securities to be issued upon exercise or conversion of outstanding options, AO LTIP units, warrants, and rights Weighted- average exercise or conversion price of outstanding options, AO LITP units, warrants, and rights Number of securities remaining availabl a e for fut f ur t e issuance under equity compensation plans (excluding securities reflected in column (A)) (A) (B) (C) Equity compensation plans approved by security holders (a) 3,190,298 (b) $ 231.89 (c) 1,074,064 Equity compensation plans not approved by security holders (d) — — — Total 3,190,298 (b) $ 231.89 (c) 1,074,064 a) The Company’s equity compensation plans are described more ful f ly in Note 11 to the December 31, 2024 financial statements. All plans have been approved by the Company’s shareholders. b) Includes (i) stock options and AO LTIP units to purchase 2,727,342 common shares or to convert to vested LTIP units, including performance-based stock options and AO LTIP units as to which the performance period had not ended or the Compensation Committee had not certifie f d performance as of December 31, 2024, which stock options and AO LTIP units are refle f cted in the table above assuming a maximum payout, (ii) 451,222 restricted share units and LTIP units, including performance-based restricted share units and LTIP units as to which the perfor f mance period had not ended as of December 31, 2024, which restricted share units and LTIP units are refle f cted in the table above assuming a maximum payout, and (iii) 11,734 fully vested defer f red share units. All restricted share and LTIP units, if and when vested, and all deferred share units will be settled in common shares or into common units of PSA OP on a one-for-one basis. c) Represents the weighted average exercise or conversion price of stock options or AO LTIP units to purchase 2,373,588 common shares or to convert to vested LTIP units, excluding the performance-based stock options and AO LTIP units described in foo f tnote (b), above a . The 451,222 restricted share or LTIP units would vest for f no consideration. d) There were no securities outstanding or availabl a e for f future issuance under equity compensation plans not approved by the Company’s shareholders. Other infor f mation required by this item is hereby incorpo r rated by refer f ence to the material appe a aring in the Company’s Notice and Proxy Statement for f its 2025 Annual Meeting of Shareholders, to be file f d pursuant to Regulation 14A under the Exchange Act. ITEM 13. Certain Relationships and Related Transactions and Trustee Independence p p The infor f mation required by this item is hereby incorpo r rated by refer f ence to the material appe a aring in the Company’s Notice and Proxy Statement for f its 2025 Annual Meeting of Shareholders, to be file f d pursuant to Regulation 14A under the Exchange Act. ITEM 14. Principal Accountant Fees and Services p The infor f mation required by this item is hereby incorpo r rated by refer f ence to the material appe a aring in the Company’s Notice and Proxy Statement for f its 2025 Annual Meeting of Shareholders, to be file f d pursuant to Regulation 14A under the Exchange Act of 1934. 57 PART IV ITEM 15. Exhibits and Financial Statement Schedules a. 1. Financial Statements The fin f ancial statements listed in the accompanying Index to Consolidated Financial Statements and Schedules hereof are file f d as part of this report. 2. Financial Statement Schedules The fin f ancial statements schedules listed in the accompanying Index to Consolidated Financial Statements and Schedules are filed as part of this report. 3. Exhibits See Index to Exhibits contained herein. b. Exhibits: See Index to Exhibits contained herein. c. Financial Statement Schedules Not appl a icable. 58 PUBLIC STORAGE R INDEX TO EXHIBITS (1) (Items 15(a)(3) and 15(c)) 2.1 Agreement and Plan of Merger, dated August 2, 2023, by and among Old PSA, New PSA and Merger Sub. Filed as Exhibit 2.1 to the Company’s Current Report on For 8-K dated August 2, 2023 and incorpor r ated herein by reference. 3.1 Amended and Restated Declaration of Trust of Publ u ic Storage, a Maryl r and real estate investment trus r t, dated August 14, 2023. Filed as Exhibit 3.1 to the Company’s Current Report on Form 8-K dated August 14, 2023 and incorpor r ated herein by reference. 3.2 Amended and Restated Bylaws of Publ u ic Storage. Filed as Exhibit 3.1 to the Company’s Current Report on Form 8-K dated November 13, 2023 and incorpor r ated herein by reference. 3.3 Articles of Merger. Filed as Exhibit 3.3 to the Company’s Current Report on Form 8-K dated August 14, 2023 and incorpor r ated herein by reference. 3.4 Articles Supplementary of Publ u ic Storage, dated August 2, 2023. Filed as Exhibit 3.1 to the Company’s Current Report on Form 8-K dated August 2, 2023 and incorpor r ated herein by reference. 4.1 Description of the Company’s Securities Registered Pursuant to Section 12 of the Securities Exchange Act of 1934. Filed as Exhibit 4.1 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2023 and incorpor r ated herein by reference. 4.2 Master Deposit Agreement, dated as of May 31, 2007. Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K dated June 6, 2007 and incorpor r ated herein by reference. 4.3 Amended and Restated Indentur t e, dated as of August 14, 2023, among Publ u ic Storage, Publ u ic Storage Operating Company and Computershare Trust Company, N.A. (as successor to Wells Fargo Bank, National Association), as trustee. Filed as Exhibit A to Exhibit 4.1 to the Company’s Current Report on Form 8-K dated August 14, 2023 and incorpor r ated herein by reference. 4.4 First Supplemental Indentur t e, dated as of September 18, 2017, between Publ u ic Storage and Wells Fargo Bank, National Association, as trus r tee, including the for f m of Global Note representing the 2022 Notes and the for f m of Global Note representing the 2027 Notes. Filed as Exhibit 4.2 to the Company’s Current Report on Form 8- K dated September 18, 2017 and incorpor r ated herein by reference. 4.5 Second Suppl u emental Indentur t e, dated as of April 12, 2019, between Publ u ic Storage and Wells Fargo Bank, National Association, as trus r tee, including the for f m of Global Note representing the 2029 Notes. Filed as Exhibit 4.2 to the Company’s Current Report on Form 8-K dated April 12, 2019 and incorpor r ated herein by reference. 4.6 Third Supplemental Indentur t e, dated as of January 24, 2020, between Publ u ic Storage and Wells Fargo Bank, National Association, as trus r tee, including the for f m of Global Note representing the 2032 Notes. Filed as Exhibit 4.2 to the Company’s Current Report on Form 8-K dated January 24, 2020 and incorpor r ated herein by reference. 4.7 Fourth Suppl u emental Indentur t e, dated as of January 19, 2021, between Publ u ic Storage and Wells Fargo Bank, National Association, as trus r tee, including the for f m of Global Note representing the 2026 Notes. Filed as Exhibit 4.2 to the Company’s Current Report on Form 8-K dated January 14, 2021 and incorpor r ated herein by reference. 4.8 Fifth Supplemental Indentur t e, dated as of April 23, 2021, between Publ u ic Storage and Wells Fargo Bank, National Association, as trus r tee, including the for f m of Global Note representing the Floating Rate Notes. Filed as Exhibit 4.2 to the Company’s Current Report on Form 8-K dated April 23, 2021 and incorpor r ated herein by reference. 4.9 Sixth Supplemental Indentur t e, dated as of April 23, 2021, between Publ u ic Storage and Wells Fargo Bank, National Association, as trus r tee, including the for f m of Global Note representing the 2028 Notes. Filed as Exhibit 4.3 to the Company’s Current Report on Form 8-K dated April 23, 2021 and incorpor r ated herein by reference. 59 4.10 Seventh Supplemental Indentur t e, dated as of April 23, 2021, between Publ u ic Storage and Wells Fargo Bank, National Association, as trus r tee, including the for f m of Global Note representing the 2031 Notes. Filed as Exhibit 4.4 to the Company’s Current Report on Form 8-K dated April 23, 2021 and incorpor r ated herein by reference. 4.11 Eighth Supplemental Indentur t e, dated as of September 9, 2021, between Publ u ic Storage and Wells Fargo Bank, National Association, as trus r tee, including the for f m of Global Note representing the 2030 Notes. Filed as Exhibit 4.2 to the Company’s Current Report on Form 8-K dated September 9, 2021 and incorpo r rated herein by reference. 4.12 Ninth Supplemental Indentur t e, dated as of November 9, 2021, between Publ u ic Storage and Computershare Trus r t Company, N.A. (as successor to Wells Fargo Bank, National Association), as trustee, including the form f of Global Note representing the 2026 Notes. Filed as Exhibit 4.2 to the Company’s Current Report on Form 8- K dated November 9, 2021 and incorpor r ated herein by reference. 4.13 Tenth Supplemental Indentur t e, dated as of November 9, 2021, between Publ u ic Storage and Computershare Trus r t Company, N.A. (as successor to Wells Fargo Bank, National Association), as trustee, including the form f of Global Note representing the 2028 Notes. Filed as Exhibit 4.3 to the Company’s Current Report on Form 8- K dated November 9, 2021 and incorpor r ated herein by reference. 4.14 Eleventh Suppl u emental Indentur t e, dated as of November 9, 2021, between Publ u ic Storage and Computershare Trus r t Company, N.A. (as successor to Wells Fargo Bank, National Association), as trustee, including the form f of Global Note representing the 2031 Notes. Filed as Exhibit 4.4 to the Company’s Current Report on Form 8- K dated November 9, 2021 and incorpor r ated herein by reference. 4.15 Twelfth Supplemental Indentur t e, dated as of July 26, 2023, between Publ u ic Storage and Computershare Trust Company, N.A. (as successor to Wells Fargo Bank, National Association), as trustee, including the for f m of Global Note representing the 2033 Notes. Filed as Exhibit 4.2 to the Company’s Current Report on Form 8-K dated July 26, 2023 and incorpo r rated herein by refer f ence. 4.16 Thirteenth Suppl u emental Indentur t e, dated as of July 26, 2023, between Publ u ic Storage and Computershare Trus r t Company, N.A. (as successor to Wells Fargo Bank, National Association), as trustee, including the form f of Global Note representing the 2029 Notes. Filed as Exhibit 4.3 to the Company’s Current Report on Form 8- K dated July 26, 2023 and incorpo r rated herein by refer f ence. 4.17 Fourteenth Suppl u emental Indentur t e, dated as of July 26, 2023, between Publ u ic Storage and Computershare Trus r t Company, N.A. (as successor to Wells Fargo Bank, National Association), as trustee, including the form f of Global Note representing the 2033 Notes. Filed as Exhibit 4.4 to the Company’s Current Report on Form 8- K dated July 26, 2023 and incorpo r rated herein by refer f ence. 4.18 Fifteenth Supplemental Indentur t e, dated as of July 26, 2023, between Publ u ic Storage and Computershare Trust Company, N.A. (as successor to Wells Fargo Bank, National Association), as trustee, including the for f m of Global Note representing the 2053 Notes. Filed as Exhibit 4.5 to the Company’s Current Report on Form 8-K dated July 26, 2023 and incorpo r rated herein by refer f ence. 4.19 Sixteenth Supplemental Indentur t e, dated August 14, 2023, by and among Publ u ic Storage Operating Company, Publ u ic Storage and Computershare Trust Company, N.A. Filed as Exhibit 4.1 to the Company’s Current Report on Form 8-K dated August 14, 2023 and incorpor r ated herein by reference. 4.20 Seventeenth Supplemental Indentur t e, dated as of April 16, 2024, among Publ u ic Storage Operating Company, Publ u ic Storage and Computershare Trust Company, N.A. Filed as Exhibit 4.2 to the Company’s Current Report on Form 8-K dated April 11, 2024 and incorpor r ated herein by reference. 4.21 Eighteenth Suppl u emental Indentur t e, dated as of April 16, 2024, among Publ u ic Storage Operating Company, Publ u ic Storage, and Computershare Trust Company, N.A. Filed as Exhibit 4.3 to the Company’s Current Report on Form 8-K dated April 11, 2024 and incorpor r ated herein by reference. 10.1 Amended and Restated Agreement of Limited Partnership of Public Storage OP, L.P., dated as of Februa r ry 14, 2024. Filed as Exhibit 10.1 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended March 31, 2024 and incorpor r ated herein by reference. 10.2 Note Purchase Agreement, dated as of November 3, 2015, by and among Publ u ic Storage and the signatories thereto. Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K dated November 3, 2015 and incorporated herein by reference. 60 10.3 Note Purchase Agreement, dated as of April 12, 2016, by and among Publ u ic Storage and the signatories thereto. Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K dated April 12, 2016 and incorporated herein by reference. 10.4 Amendment No. 1 to 2015 Note Purchase Agreement, dated as of July 28, 2023, by and among Publ u ic Storage and the signatories thereto. Filed as Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended September 30, 2023 and incorpor r ated herein by reference. 10.5 Amendment No. 1 to 2016 Note Purchase Agreement, dated as of July 28, 2023, by and among Publ u ic Storage and the signatories thereto. Filed as Exhibit 10.3 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended September 30, 2023 and incorpor r ated herein by reference. 10.6 Note Purchase Agreement, dated as of April 11, 2024, by and among Publ u ic Storage Operating Company and the Purchasers party thereto. Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K dated April 11, 2024 and incorpor r ated herein by reference. 10.7 Third Amended and Restated Credit Agreement, dated as of June 12, 2023, by and among the Company, the financial institutions party thereto, Wells Fargo Securities, LLC, BofA S f ecurities, Inc. and JPMorgan Chase Bank, N.A., as Joint Bookrunne r rs, Wells Fargo Securities, LLC, BofA S f ecurities, Inc., JPMorgan Chase Bank, N.A., The Bank of Nova Scotia, BNP Paribas and Sumitomo Mitsui Banking Corporation, as Joint Lead Arrangers, Wells Fargo Bank, National Association, as Agent, Bank of America, N.A. and JPMorgan Chase Bank, N.A., as Co-Syndication Agents, and PNC Bank, National Association, TD Bank, N.A., The Bank of Nova Scotia, BNP Paribas and Sumitomo Mitsui Banking Corporation, as Documentation Agents. Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K dated June 12, 2023 and incorpor r ated herein by reference. 10.8 Parent Guarantee, dated as of August 14, 2023, by Publ u ic Storage. Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K dated August 14, 2023 and incorpor r ated herein by reference. 10.9 Form of Trus r tee and Offi f cer Indemnific f ation Agreement. Filed as Exhibit 10.19 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2016 and incorpor r ated herein by reference. 10.10* Publ u ic Storage 2007 Equity and Performance-Based Incentive Compensation Plan, as Amended (2007 Plan). Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K dated May 1, 2014 and incorpor r ated herein by reference. 10.11* Publ u ic Storage 2016 Equity and Performance-Based Incentive Compensation Plan (2016 Plan). Filed as Exhibit 10.6 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2022 and incorporated herein by reference. 10.12* Restated Publ u ic Storage 2021 Equity and Performance-Based Incentive Compensation Plan (2021 Plan). Filed as Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended March 31, 2024 and incorporated herein by reference. 10.13* Form of 2007 Plan Restricted Stock Unit Agreement. Filed as Exhibit 10.11 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2015 and incorpor r ated herein by reference. 10.14* Form of 2007 Plan Restricted Stock Unit Agreement (deferral of receipt of shares). Filed as Exhibit 10.12 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2015 and incorpor r ated herein by refer f ence. 10.15* Form of 2007 Plan Stock Option Agreement. Filed as Exhibit 10.13 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2015 and incorpor r ated herein by reference. 10.16* Form of 2007 Plan Trus r tee Stock Option Agreement. Filed as Exhibit 10.14 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2015 and incorpor r ated herein by reference. 10.17* Form of 2016 Plan Restricted Stock Unit Agreement (deferral of receipt of shares). Filed as Exhibit 10.16 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2016 and incorpor r ated herein by refer f ence. 10.18* Form of 2016 Plan Trus r tee Non-Qualified Stock Option Agreement. Filed as Exhibit 10.18 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2016 and incorpor r ated herein by reference. 61 10.19* Form of 2016 Plan Restricted Stock Unit Agreement (defer f ral of receipt of shares) (2018). Filed as Exhibit 10.26 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2018 and incorpor r ated herein by reference. 10.20* Form of 2016 Plan Trus r tee Defer f red Stock Unit Agreement (2018). Filed as Exhibit 10.29 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2018 and incorpor r ated herein by reference. 10.21* Form of 2016 Plan Executive Restricted Stock Unit Agreement (2018). Filed as Exhibit 10.30 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2018 and incorpor r ated herein by reference. 10.22* Form of 2016 Employee Stock Unit Agreement (2020). Filed as Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended March 31, 2020 and incorpor r ated herein by reference. 10.23* Form of 2016 Plan Employee Non-Qualifie f d Stock Option Agreement (2020). Filed as Exhibit 10.4 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended March 31, 2020 and incorpor r ated herein by reference. 10.24* Form of 2016 Plan Performance-Based Non-Qualifie f d Stock Option Agreement (2020). Filed as Exhibit 10.5 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended March 31, 2020 and incorpor r ated herein by reference. 10.25* Form of 2021 Plan Employee Stock Unit Agreement (2021). Filed as Exhibit 10.1 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended June 30, 2021 and incorpor r ated herein by reference. 10.26* Form of 2021 Plan Employee Stock Unit Agreement (2022). Filed as Exhibit 10.1 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended March 31, 2022 and incorpor r ated herein by reference. 10.27* Form of 2021 Plan Trus r tee Non-Qualifie f d Stock Option Agreement. Filed as Exhibit 10.1 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended June 30, 2022 and incorpor r ated herein by reference. 10.28* Form of 2021 Plan Performance-Based Non-Qualifie f d Stock Option Agreement (2022). Filed as Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended June 30, 2022 and incorpor r ated herein by refer f ence. 10.29* Form of 2021 Plan Performance-Based Stock Unit Agreement (2022). Filed as Exhibit 10.3 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended June 30, 2022 and incorpor r ated herein by reference. 10.30* Form of Time-Based Publ u ic Storage OP, L.P. LTIP Unit Agreement. Filed as Exhibit 10.3 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended March 31, 2024 and incorpor r ated herein by reference. 10.31* Form of Performance-Based Publ u ic Storage OP, L.P. LTIP Unit Agreement. Filed as Exhibit 10.4 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended March 31, 2024 and incorpor r ated herein by reference. 10.32* Form of Time-Based Publ u ic Storage OP, L.P. AO LTIP Unit Agreement. Filed as Exhibit 10.5 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended March 31, 2024 and incorpor r ated herein by reference. 10.33* Form of Performance-Based Publ u ic Storage OP, L.P. AO LTIP Unit Agreement. Filed as Exhibit 10.6 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended March 31, 2024 and incorpor r ated herein by reference. 10.34* Form of Time-Based Publ u ic Storage OP, L.P. AO LTIP Unit Agreement (Trustees). Filed as Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended June 30, 2024 and incorpor r ated herein by reference. 10.35* Form of 2021 Plan Trus r tee Non-Qualifie f d Stock Option Agreement (2024). Filed as Exhibit 10.3 to the Company’s Quarterly Report on Form 10-Q for f the quarter ended June 30, 2024 and incorpor r ated herein by reference. 19.1 Publ u ic Storage Securities Trading Policy. Filed herewith. 21 Listing of Subsidiaries. Filed herewith. 62 23.1 Consent of Ernst & Young LLP. Filed herewith. 31.1 Rule 13a – 14(a) Certific f ation. Filed herewith. 31.2 Rule 13a – 14(a) Certific f ation. Filed herewith. 32 Section 1350 Certific f ations. Filed herewith. 97.1 Policy Relating to Recovery of Erroneously Awarded Compensation. Filed as Exhibit 97.1 to the Company’s Annual Report on Form 10-K for f the year ended December 31, 2023 and incorpor r ated herein by reference. 101 .INS Inline XBRL Instance Document (the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document) 101 .SCH Inline XBRL Taxonomy Extension Schema. Filed herewith. 101 .CAL Inline XBRL Taxonomy Extension Calculation Linkbase. Filed herewith. 101 .DEF Inline XBRL Taxonomy Extension Definition Linkbase. Filed herewith. 101 .LAB Inline XBRL Taxonomy Extension Labe a l Linkbase. Filed herewith. 101 .PRE Inline XBRL Taxonomy Extension Presentation Link. Filed herewith. 104 Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101) _ (1) SEC File No. 001-33519 unless otherwise indicated. * Denotes management compensatory plan agreement or arrangement. 63 SIGNATURES Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, as amended, the Registrant has dul d y caused this report to be signed on its behalf by the undersigned, thereunto dul d y authorized. PUBLIC STORAGE R Date: February 2 r 4, 2025 By: /s/ Joseph D. Russell, Jr. Joseph D. Russell, Jr., Chief Executive Offi f cer, President and Trustee Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, this report has been signed below by the fol f lowing persons on behalf of the Registrant and in the capacities and on the dates indicated. /s/ Joseph D. Rus R sell, Jr. Chief Executive Offi f cer, President and Trus r tee (principal executive offic f er) Februa r ry 24, 2025 Joseph D. Russell, Jr. /s/ H. Thomas Boyle Chief Financial and Investment Offi f cer (principal financial offic f er) Februa r ry 24, 2025 H. Thomas Boyle /s/ Ronald L. Havner, Jr. Chairman of the Board February 2 r 4, 2025 Ronald L. Havner, Jr. /s/ Tamara Hughes Gustavson Trus r tee February 2 r 4, 2025 Tamara Hughes Gustavson /s/ Maria R. Hawthorne Trus r tee February 2 r 4, 2025 Maria R. Hawthorne /s/ Shankh S. Mitra Trustee Februa r ry 24, 2025 Shankh S. Mitra /s/ Rebecca Owen Trustee Februa r ry 24, 2025 Rebecca Owen /s/ Kri K sty M. Pipes Trus r tee February 2 r 4, 2025 Kristy M. Pipes /s/ Avedick B. Poladian Trus r tee February 2 r 4, 2025 Avedick B. Poladian /s/ John Reyes Trustee Februa r ry 24, 2025 John Reyes /s/ Tariq M. Shaukat Trustee Februa r ry 24, 2025 Tariq M. Shaukat Signature Title Date 64 /s/ Ronald P. Spogli Trustee Februa r ry 24, 2025 Ronald P. Spogli /s/ Paul S. Williams Trus r tee February 2 r 4, 2025 Paul S. Williams Signature Title Date 65 PUBLIC STORAGE R INDEX TO CONSOLIDATED FINANC A IAL STATEMENTS AND SCHEDULES (Item 15 (a)) Page References Report of Independent Registered Publ u ic Accounting Firm Auditor name: Ernst & Young LLP; Firm ID: (42); Auditor location: Los Angeles, Califor f nia F-1 Consolidated Balance Sheets as of December 31, 2024 and 2023 F-3 For the years ended December 31, 2024, 2023, and 2022: Consolidated Statements of Income F-4 Consolidated Statements of Comprehensive Income F-5 Consolidated Statements of Equity and Redeemabl a e Noncontrolling Interests F-6 Consolidated Statements of Cash Flows F-8 Notes to Consolidated Financial Statements F-10 Schedule: III – Real Estate and Accumulated Depreciation F-36 All other schedules have been omitted since the required infor f mation is not present or not present in amounts suffi f cient to require subm u ission of the schedul d e, or because the infor f mation required is included in the consolidated financial statements or notes thereto. 66 Report of Independent Registered Public Accounting Firm To the Shareholders and the Board of Trustees of Public Storage Opinion on the Financial Statements We have audited the accompanying consolidated balance sheets of Public Storage (the Company) as of December 31, 2024 and 2023, the related consolidated statements of income, comprehensive income, equity and redeemable noncontrolling interests and cash flows for f each of the three years in the period ended December 31, 2024 , and the related notes and financial statement schedule listed in the Index at Item 15(a) (collectively refer f red to as the “consolidated financial statements”). In our opinion, the consolidated financial statements present fairly, in all material respects, the fin f ancial position of the Company at December 31, 2024 and 2023, and the results of its operations and its cash flo f ws for each of the three years in the period ended December 31, 2024, in confor f mity with U.S. generally accepted accounting principles. We also have audited, in accordance with the standards of the Publ u ic Company Accounting Oversight Board (United States) (PCAOB), the Company’s internal control over fin f ancial reporting as of December 31, 2024, based on criteria establ a ished in Internal Control–Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 framework), and our report dated Februa r ry 24, 2025 expressed an unqualifie f d opinion thereon. Basis for f Opinion These fin f ancial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company’s fin f ancial statements based on our audits. We are a public accounting fir f m registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. fed f eral securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonabl a e assurance about a whether the financial statements are free of material misstatement, whether due d to error or fra f ud. Our audits included performing procedur d es to assess the risks of material misstatement of the financial statements, whether due d to error or fra f ud, and performing procedur d es that respond to those risks. Such procedur d es included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the fin f ancial statements. We believe that our audits provide a reasonabl a e basis for our opinion. Critical Audit Matter The critical audit matter communicated below is a matter arising fro f m the current period audit of the financial statements that was communicated or required to be communicated to the audit committee and that: (1) relates to accounts or disclosures that are material to the fin f ancial statements and (2) involved our especially challenging, subj u ective or complex judgments. The communication of the critical audit matter does not alter in any way our opinion on the consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates. F-1 Purchase Price Alloc l atio t n Descript i ion of t o he t Matter For the year ended December 31, 2024, the Company completed the acquisition of 22 self-storage facilities for f a total purchase price of $267 million. As further discussed in Notes 2 and 3 of the consolidated financial statements, the transactions were accounted for as asset acquisitions, and the purchase price was allocated based on a relative fai f r value of assets acquired and liabi a lities assumed, which consisted principally of land and buildings. Auditing the accounting for f the Company’s 2024 acquisitions of self-s f torage facilities was subj u ective because the Company must exercise a high level of management judgment in determining the estimated fai f r value of land and buildings. The estimated fai f r value of land is based upon u observabl a e transactions involving comparable land in similar locations, as adjusted for f location quality, parcel size and date of sale associated with the acquired faci f lities. Determining the fair value of acquired land was difficult due to the judgment utilized by management in making adju d stments to the observabl a e transaction data used in the estimate, particularly when there is a lack of recent comparable land market data. The estimated fai f r value of the acquired buildings was based upon the income approach, which included estimating the fai f r value of hypothetical vacant acquired buildings and adjusting for the estimated fai f r value of land. Determining the fair value of the acquired buildings was challenging due to the judgment utilized by management in determining the assumptions utilized in the income appr a oach, including future stabilized operating cash flo f ws and capi a talization rate. How We W Addr d essed the t Matter in Our Audit We obtained an understanding, evaluated the design, and tested the operating effectiveness of controls over management’s accounting for f acquired self-storage facilities, including controls over the review of assumptions underlying the purchase price allocation and accuracy of the underlying data used. For example, we tested controls over the determination of the estimated fai f r values of the land and buildings, including the controls over the review of the valuation models and the underlying assumptions used to develop such estimates. For the 2024 acquisitions of self-s f torage facilities described above, our procedur d es included, but were not limited to, reading the purchase and sale agreements and other closing documents, evaluating whether the Company had appr a opriately determined the transaction was an asset acquisition or business combination and performing a sensitivity analysis to evaluate the impact on the Company’s fin f ancial statements resulting from changes in allocated land and building values. For certain of these asset acquisitions, we also evaluated the methods and significant assumptions used by the Company and tested the completeness and accuracy of the underlying data suppor u ting the significant assumptions and estimates. Additionally, for f certain of these asset acquisitions, we involved our valuation specialists to assist in the assessment of the methodology utilized by the Company and to perform corroborative analyses to assess whether the assumptions used in the valuation and the estimated fai f r values were supported by observabl a e market data. /s/ Ernst & Young LLP We have served as the Company's auditor since 1980. Los Angeles, Califor f nia Februa r ry 24, 2025 F-2 PUBLIC STORAGE CONSOLIDATED BALANCE SHEETS (Amounts in thousands, except share data) December 31, 2024 December 31, 2023 ASSETS Cash and equivalents $ 447,416 $ 370,002 Real estate facilities, at cost: Land 5,711,685 5,628,488 Buildings 22,767,053 21,836,750 28,478,738 27,465,238 Accumulated depreciation (10,426,186) (9,423,974) 18,052,552 18,041,264 Construc r tion in process 308,101 345,453 18,360,653 18,386,717 Investment in unconsolidated real estate entity 382,490 390,180 Goodwill and other intangible assets, net 282,187 387,267 Other assets 282,188 275,050 Total assets $ 19,754,934 $ 19,809,216 LIABILITIES AND EQUITY Q Notes payable $ 9,353,034 $ 9,103,277 Accrue r d and other liabi a lities 588,248 598,993 Total liabi a lities 9,941,282 9,702,270 Commitments and contingencies (Note 14) Equity: Publ u ic Storage shareholders’ equity: Prefer f red Shares, $0.01 par value, 100,000,000 shares authorized, 174,000 shares issued (in series) and outstanding, (174,000 shares at December 31, 2023) at liquidation prefer f ence 4,350,000 4,350,000 Common Shares, $0.10 par value, 650,000,000 shares authorized, 175,408,393 shares issued (175,670,727 shares at December 31, 2023) 17,541 17,567 Paid-in capital 6,116,113 5,980,760 Accumulated defic f it (699,083) (267,910) Accumulated other comprehensive loss (71,965) (67,239) Total Public Storage shareholders’ equity 9,712,606 10,013,178 Noncontrolling interests 101,046 93,768 Total equity 9,813,652 10,106,946 Total liabi a lities and equity $ 19,754,934 $ 19,809,216 See accompanying notes. F-3 PUBLIC STORAGE CONSOLIDATED STATEMENTS OF INCOME (Amounts in thousands, except per share amounts) For the Years Ended December 31, 2024 2023 2022 Revenues: Self-s f torage facilities $ 4,395,993 $ 4,259,613 3,946,028 Ancillary operations 299,623 258,077 236,135 4,695,616 4,517,690 4,182,163 Expenses: Self-s f torage cost of operations 1,136,720 1,061,950 980,209 Ancillary cost of operations 121,281 85,996 72,698 Depreciation and amortization 1,129,766 970,056 888,146 Real estate acquisition and development expense 15,506 26,451 28,744 General and administrative 106,677 80,632 71,672 Interest expense 287,401 201,132 136,319 2,797,351 2,426,217 2,177,788 Other increases (decreases) to net income: Interest and other income 67,212 85,590 40,567 Equity in earnings of unconsolidated real estate entities 19,821 27,897 106,981 Foreign currency exchange gain (loss) 102,244 (51,197) 98,314 Gain on sale of real estate 1,537 17,178 1,503 Gain on sale of equity investment in PS Business Parks, Inc. — — 2,128,860 Income before income tax expense 2,089,079 2,170,941 4,380,600 Income tax expense (4,669) (10,821) (14,326) Net income 2,084,410 2,160,120 4,366,274 Allocation to noncontrolling interests (12,399) (11,793) (17,127) Net income allocabl a e to Public Storage shareholders 2,072,011 2,148,327 4,349,147 Allocation of net income to: Prefer f red shareholders (194,703) (194,703) (194,390) Restricted share units and unvested LTIP units (4,623) (4,883) (12,469) Net income allocabl a e to common shareholders $ 1,872,685 $ 1,948,741 $ 4,142,288 Net income per common share: Basic $ 10.68 $ 11.11 $ 23.64 Diluted $ 10.64 $ 11.06 $ 23.50 Basic weighted average common shares outstanding 175,351 175,472 175,257 Diluted weighted average common shares outstanding 176,038 176,143 176,280 See accompanying notes. F-4 PUBLIC STORAGE CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Amounts in thousands) For the Years Ended December 31, 2024 2023 2022 Net income $ 2,084,410 $ 2,160,120 $ 4,366,274 Foreign currency translation (loss) gain on investment in Shurgard (4,739) 13,078 (26,730) Total comprehensive income 2,079,671 2,173,198 4,339,544 Allocation to noncontrolling interests (12,386) (11,793) (17,127) Comprehensive income allocable to Publ u ic Storage shareholders $ 2,067,285 $ 2,161,405 $ 4,322,417 See accompanying notes. F-5 PUBLIC STORAGE CONSOLIDATED STATEMENTS OF EQUITY AND REDEEMABLE NONCONTROLLING INTERESTS (Amounts in thousands, except share and per share amounts) Balances at December 31, 2021 $ 4,100,000 $ 17,513 $ 5,821,667 $ (550,416) $ (53,587) $ 9,335,177 $ 20,112 $ 9,355,289 $ 68,249 Issuance of 10,000 prefer f red shares (Note 9) 250,000 — (7,168) — — 242,832 — 242,832 — Issuance of common shares in connection with share-based compensation (283,190 shares) (Note 11) — 29 35,376 — — 35,405 — 35,405 — Retirement of common shares (151,977 shares) — (15) 15 — — — — — — Taxes paid upon u net share settlement of restricted share units — — (16,827) — — (16,827) — (16,827) — Share-based compensation expense (Note 11) — — 63,360 — — 63,360 — 63,360 — Contributions by noncontrolling interests — — — — — — 6,708 6,708 15,426 Reclassification fro f m redeemable noncontrolling interests to noncontrolling interests — — — — — — 83,826 83,826 (83,826) Net income — — — 4,366,274 — 4,366,274 — 4,366,274 — Net income allocated to noncontrolling interests — — — (17,127) — (17,127) 16,467 (660) 660 Distributions to: Prefer f red shareholders (Note 9) — — — (194,390) — (194,390) — (194,390) — Noncontrolling interests — — — — — — (33,714) (33,714) (509) Common shareholders and restricted share unitholders ($21.15 per share) — — — (3,714,572) — (3,714,572) — (3,714,572) — Other comprehensive loss — — — — (26,730) (26,730) — (26,730) — Balances at December 31, 2022 $ 4,350,000 $ 17,527 $ 5,896,423 $ (110,231) $ (80,317) $ 10,073,402 $ 93,399 $ 10,166,801 $ — Issuance of common shares in connection with share-based compensation (405,059 shares) (Note 11) — 40 53,346 — — 53,386 — 53,386 — Taxes paid upon u net share settlement of restricted share units — — (13,950) — — (13,950) — (13,950) — Share-based compensation expense (Note 11) — — 44,941 — — 44,941 — 44,941 — Contributions by noncontrolling interests — — — — — — 3,203 3,203 — Net income — — — 2,160,120 — 2,160,120 — 2,160,120 — Cumulative Prefer f red Shares Common Shares Paid-in Capi a tal Accumulated Deficit Accumulated Other Comprehensive Loss Total Publ u ic Storage Shareholders' Equity Noncontrolling Interests Total Equity Redeemable Noncontrolling Interests See accompanying notes. F-6 PUBLIC STORAGE CONSOLIDATED STATEMENTS OF EQUITY AND REDEEMABLE NONCONTROLLING INTERESTS (Amounts in thousands, except share and per share amounts) Cumulative Prefer f red Shares Common Shares Paid-in Capi a tal Accumulated Deficit Accumulated Other Comprehensive Loss Total Publ u ic Storage Shareholders' Equity Noncontrolling Interests Total Equity Redeemable Noncontrolling Interests Net income allocated to noncontrolling interests — — — (11,793) — (11,793) 11,793 — — Distributions to: Prefer f red shareholders (Note 9) — — — (194,703) — (194,703) — (194,703) — Noncontrolling interests — — — — — — (14,627) (14,627) — Common shareholders and restricted share unitholders ($12.00 per share) — — — (2,111,303) — (2,111,303) — (2,111,303) — Other comprehensive income — — — — 13,078 13,078 — 13,078 — Balances at December 31, 2023 $ 4,350,000 $ 17,567 $ 5,980,760 $ (267,910) $ (67,239) $ 10,013,178 $ 93,768 $ 10,106,946 $ — Issuance of common shares (184,390 shares) (Note 9) — 18 60,303 — — 60,321 — 60,321 — Issuance of common shares in connection with share-based compensation (280,141 shares) (Note 11) — 29 47,382 — — 47,411 — 47,411 — Taxes paid upon u net share settlement of restricted share units (Note 11) — — (12,667) — — (12,667) — (12,667) — Share-based compensation cost (Note 11) — — 49,317 — — 49,317 — 49,317 — Repurchase of common shares (726,865 shares) (Note 9) — (73) — (199,927) — (200,000) — (200,000) — Acquisition of noncontrolling interests — — (1,602) — — (1,602) 11 (1,591) — Contributions by noncontrolling interests — — — — — — 2,938 2,938 — Net income — — — 2,084,410 — 2,084,410 — 2,084,410 — Net income allocated to noncontrolling interests — — — (12,399) — (12,399) 12,399 — — Reallocation of equity — — (7,380) — — (7,380) 7,380 — — Distributions to: Prefer f red shareholders (Note 9) — — — (194,703) — (194,703) — (194,703) — Noncontrolling interests — — — — — — (15,437) (15,437) — Common shareholders, restricted share unitholders and unvested LTIP unitholders ($12.00 per share/unit) (Note 9) — — — (2,108,554) — (2,108,554) — (2,108,554) — Other comprehensive loss — — — — (4,726) (4,726) (13) (4,739) — Balances at December 31, 2024 $ 4,350,000 $ 17,541 $ 6,116,113 $ (699,083) $ (71,965) $ 9,712,606 $ 101,046 $ 9,813,652 $ — See accompanying notes. F-7 PUBLIC STORAGE CONSOLIDATED STATEMENTS OF CASH FLOWS (Amounts in thousands) For the Years Ended December 31, 2024 2023 2022 Cash flows fro f m operating activities: Net income $ 2,084,410 $ 2,160,120 $ 4,366,274 Adju d stments to reconcile net income to net cash flo f ws from operating activities: Gain on sale of equity investment in PS Business Parks, Inc. — — (2,128,860) Gain on sale of real estate (1,537) (17,178) (1,503) Depreciation and amortization 1,129,766 970,056 888,146 Equity in earnings of unconsolidated real estate entities (19,821) (27,897) (106,981) Distributions from cumulative equity in earnings of unconsolidated real estate entities 11,039 29,333 134,769 Unrealized foreign currency exchange (gain) loss (101,974) 51,239 (97,563) Share-based compensation expense 44,747 41,566 56,703 Other non-cash adjustments 11,410 20,508 15,207 Changes in operating assets and liabi a lities, excluding the impact of acquisitions: Other assets (44,968) (16,365) (29,638) Accrue r d and other liabi a lities 15,183 35,266 20,587 Net cash flo f ws from operating activities 3,128,255 3,246,648 3,117,141 Cash flows fro f m investing activities: Capi a tal expenditures to maintain real estate facilities (239,655) (236,572) (218,713) Capi a tal expenditures for f property enhancements (126,757) (159,939) (189,699) Capi a tal expenditures for f energy effi f ciencies (LED lighting, solar) (53,612) (64,626) (51,361) Development and expansion of real estate facilities (326,854) (364,445) (313,511) Acquisition of real estate facilities and intangible assets (267,473) (473,176) (757,944) Acquisition of BREIT Simply Storage LLC, net of cash acquired — (2,178,151) — Issuance of notes receivabl a e (9,960) — — Distributions in excess of cumulative equity in earnings from unconsolidated real estate entities 13,285 10,975 13,670 Contributions to unconsolidated real estate entity — (112,554) — Proceeds fro f m sale of real estate investments 8,388 39,986 1,543 Proceeds fro f m sale of equity investment in PS Business Parks, Inc. — — 2,636,011 Net cash flo f ws (used in) from investing activities (1,002,638) (3,538,502) 1,119,996 Cash flows fro f m fin f ancing activities: Issuance costs on amendment of credit faci f lity — (8,377) — Repayments of notes payabl a e (808,505) (8,259) (513,495) Issuance of notes payabl a e, net of issuance costs 1,151,022 2,181,273 — Issuance of prefer f red shares — — 242,832 Issuance of common shares 60,321 — — Issuance of common shares in connection with share-based compensation 47,278 53,131 35,271 Taxes paid upon u net share settlement of restricted share units (12,667) (13,950) (16,827) Repurchase of common shares (200,000) — — Acquisition of noncontrolling interests (1,591) — — Contributions by noncontrolling interests 2,938 3,203 1,669 Distributions paid to prefer f red shareholders, common shareholders, restricted share unitholders and unvested LTIP unitholders (2,301,935) (2,305,322) (3,908,497) Distributions paid to noncontrolling interests (15,437) (14,627) (34,223) Net cash flo f ws used in financing activities (2,078,576) (112,928) (4,193,270) Net increase (decrease) in cash and equivalents, including restricted cash $ 47,041 $ (404,782) $ 43,867 See accompanying notes. F-8 PUBLIC STORAGE CONSOLIDATED STATEMENTS OF CASH FLOWS (Amounts in thousands) For the Years Ended December 31, 2024 2023 2022 Cash and equivalents, including restricted cash at beginning of the period: Cash and equivalents $ 370,002 $ 775,253 $ 734,599 Restricted cash included in other assets 30,373 29,904 26,691 $ 400,375 $ 805,157 $ 761,290 Cash and equivalents, including restricted cash at end of the period: Cash and equivalents $ 447,416 $ 370,002 $ 775,253 Restricted cash included in other assets — 30,373 29,904 $ 447,416 $ 400,375 $ 805,157 Supplemental schedule of non-cash investing and fin f ancing activities: Costs incurred dur d ing the period remaining unpaid at period end for f : Capi a tal expenditures to maintain real estate facilities $ (7,324) $ (10,798) $ (9,903) Capi a tal expenditures for f property enhancements (1,087) (3,046) (4,502) Capi a tal expenditures for f energy effi f ciencies (LED lighting, solar) (1,179) (386) (855) Construc r tion or expansion of real estate facilities (47,159) (68,099) (65,650) Real estate acquired in exchange for noncontrolling interests — — (19,865) Supplemental cash flo f w infor f mation: Cash paid for interest, net of amounts capitalized $ 269,498 $ 146,213 $ 127,711 Cash paid for income taxes, net of refunds 6,877 11,056 11,293 See accompanying notes. F-9 1. Description of the Business p Publ u ic Storage is a Maryland real estate investment trus r t (“REIT”) engaged in the ownership and operation of self-s f torage facilities that offe f r storage spaces for f lease, generally on a month-to-month basis, for f personal and business use, ancillary a r ctivities such as tenant reinsurance, merchandise sales, and third party management, as well as the acquisition and development of additional self-storage space. Effe f ctive August 14, 2023, we are struc r tured as an umbrella partnership REIT, or UPREIT, under which subs u tantially all of our business is conducted through Publ u ic Storage OP, L.P. (“PSA OP”), an operating partnership, and its subs u idiaries, including Publ u ic Storage Operating Company (“PSOC”). The primary assets of the parent entity, Publ u ic Storage, are general partner and limited partner interests in PSA OP, which holds all of the Company’s assets through its ownership of all of the equity interests in PSOC. As of December 31, 2024, Publ u ic Storage owned all of the general partner interests and approximately 99.87% of the limited partnership interests of PSA OP, with the remaining 0.13% of limited partnership interests owned by certain trustees and offi f cers of the Company. Unless stated otherwise or the context otherwise requires, references to “Public Storage” mean the parent entity, Public Storage, and refer f ences to “the Company,” “we,” “us,” and “our” mean collectively Public Storage, PSA OP, PSOC, and those entities/subs u idiaries owned or controlled by Public Storage, PSA OP, and PSOC. At December 31, 2024, we owned interests in 3,073 self-s f torage facilities (with approximately 221.3 million net rentabl a e square feet) located in 40 states in the United States (“U.S.”) operating under the Publ u ic Storage® name, and 1.0 million net rentable square feet of commercial and retail space. In addition, we managed 307 facilities (with approximately 23.3 million net rentable square feet) for f third parties at December 31, 2024. At December 31, 2024, we owned an appr a oximate 35% common equity interest in Shurgard Self Storage Limited (“Shurgard”), a public company traded on the Euronext Brus r sels under the “SHUR” symbol, which owned 318 self-s f torage facilities (with approximately 17 million net rentabl a e square feet) located in seven Western European countries, all operating under the Shurgard® name. 2. Basis of Presentation and Summary o r f Significant Accounting Policies y g g Basis of Presentation We have prepared the accompanying consolidated financial statements in accordance with U.S. generally accepted accounting principles (“GAAP”) as set for f th in the Accounting Standards Codification of the Financial Accounting Standards Board, and in confor f mity with the rul r es and regulations of the Securities and Exchange Commission (“SEC”). Disclosures of the number and square footage of faci f lities, as well as the number and coverage of tenant reinsurance policies (Note 14) are unaudited and outside the scope of our independent registered public accounting firm’s audit of our financial statements in accordance with the standards of the Publ u ic Company Accounting Oversight Board (U.S.). PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-10 Summary of Significant Accounting Policies y g g Consolidation and Equity Method of Accounting q y g We consider entities to be Variable Interest Entities (“VIEs”) when they have insuffi f cient equity to finance their activities without additional subordinated fin f ancial suppor u t provided by other parties, or the equity holders as a group do not have a controlling fin f ancial interest. In addition, we have general partner interests in limited partnerships along with third-party investors to develop, construc r t or operate self-s f torage facilities. As the general partner, we consider the limited partnerships to be VIEs if the limited partners lack both substantive participating rights and subs u tantive kick-out rights. We consolidate VIEs when we have (i) the power to direct the activities most significantly impacting economic performance, and (ii) either the obligation to abs a orb l r osses or the right to receive benefits from the VIE. PSA OP met the definition of a VIE and is consolidated by the Company as the primary beneficiary o r f PSA OP. All of the assets and liabi a lities of the Company are held by PSA OP. The total assets, primarily real estate assets, and the total liabi a lities of our other consolidated VIEs are not material as of December 31, 2024. We consolidate all other entities when we control them through voting shares or contractua t l rights. We refer to the entities we consolidate, for the period in which the refer f ence applies, collectively as the “Subs u idiaries,” and we eliminate intercompany transactions and balances. We account for our investments in entities that we do not consolidate but over which we have significant influence using the equity method of accounting. We refer to these entities, for the periods in which the reference applies, collectively as the “Unconsolidated Real Estate Entities,” and we eliminate intra-entity profits f and losses and amortize any differences between the cost of our investment and the underlying equity in net assets against equity in earnings as if the Unconsolidated Real Estate Entity were a consolidated subs u idiary. Equity in earnings of unconsolidated real estate entities presented on our income statements represents our pro-rata share of the earnings of the Unconsolidated Real Estate Entities. The dividends we receive from the Unconsolidated Real Estate Entities are reflected on our consolidated statements of cash flo f ws as “distributions from cumulative equity in earnings of unconsolidated real estate entities” to the extent of our cumulative equity in earnings, with any excess classified as “distributions in excess of cumulative equity in earnings from unconsolidated real estate entities.” Use of Estimates The preparation of consolidated financial statements and accompanying notes in confor f mity with GAAP requires us to make estimates and assumptions that affe f ct the amounts reported. Actual results could diffe f r from f those estimates and assumptions. Cash Equivalents q Cash equivalents represent highly liquid fin f ancial instruments that matur t e within three months of acquisition such as money market funds f with a rating of at least AAA by Standard & Poor’s, commercial paper that is rated A1 by Standard & Poor’s or deposits with highly rated commercial banks. Fair Value As used herein, the term “fai f r value” is the price that would be received to sell an asset or paid to transfer a liabi a lity in an orderly transaction between market participants. In the absence of active markets for identical assets or liabi a lities, such measurements involve developing assumptions based on market observabl a e data and, in the abs a ence of such data, internal infor f mation that is consistent with what market participants would use in a hypothetical transaction that occurs at the balance sheet date. Assets and liabi a lities recorded at fai f r value are measured and classified in accordance with a three-tier fai f r value hierarchy based on the observabi a lity of the inputs availabl a e in the market used to measure fai f r value: Level 1 Quoted prices in active markets for identical assets or liabilities at the measurement date. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-11 Level 2 Significant observabl a e inputs other than Level 1, that are observabl a e for f the asset or liabi a lity, either directly or indirectly through corroboration with observabl a e market data. Level 3 Unobservabl a e inputs that are suppor u ted by little or no market data for the related assets or liabi a lities. The categorization of a financial instrum r ent within the valuation hierarchy is based upon u the lowest level of input that is significant to the fai f r value measurement. Our fin f ancial instruments consist of cash and cash equivalents, notes receivabl a e, other assets, other liabilities, and notes payabl a e. Cash equivalents, notes receivabl a e, other assets and other liabi a lities are stated at book value, which approximates fai f r value as of the balance sheet date due d to the short time period to maturity. We estimate and disclose the fai f r value of our notes payabl a e using Level 2 inputs by discounting the related future cash flo f ws at a rate based upon quoted interest rates for f securities that have similar characteristics such as credit quality and time to maturity. We use significant judgment to estimate fai f r values of real estate facilities, goodwill, and other intangible assets for the purpos r es of purchase price allocation or impairment analysis. In estimating their values, we consider Level 3 inputs such as market prices of land, market capitalization rates, expected returns, earnings multiples, projected levels of earnings, costs of construc r tion, and func f tional depreciation. Real Estate Facilities We record real estate facilities at cost. We capi a talize all costs incurred to acquire, develop, construc r t, renovate and improve facilities as part of major repair and maintenance programs, including interest and property taxes incurred during the construc r tion period. We expense the costs of demolition of existing faci f lities associated with a renovation as incurred. We allocate the net acquisition cost of acquired real estate faci f lities to the underlying land, buildings, and identifie f d intangible assets based upon u their respective individual estimated fai f r values. We expense costs associated with dispositions of real estate, as well as routine repairs and maintenance costs, as incurred. We depreciate buildings and improvements on a straight-line basis over estimated useful lives ranging generally between 5 to 40 years. When we sell a full or partial interest in a real estate facility without retaining a controlling interest fol f lowing sale, we recognize a gain or loss on sale as if 100% of the property was sold at fair value. If we retain a controlling interest following the sale, we record a noncontrolling interest for f the book value of the partial interest sold, and recognize additional paid-in capi a tal for f the diffe f rence between the consideration received and the partial interest at book value. Goodwill and Other Intangible Assets g Intangible assets consist of goodwill, the Shurgard® trade name, which Shurgard uses pursuant to a fee-based licensing agreement, and fin f ite-lived assets. Goodwill and the Shurgard® trade name have indefinite lives and are not amortized. Our finite-lived assets consist primarily of (i) acquired customers in place amortized relative to the benefit of the customers in place, with such amortization refle f cted as depreciation and amortization expense on our income statement, (ii) property tax abatements acquired and amortized relative to the reduction in property tax paid, with such amortization refle f cted as self-s f torage cost of operations on our income statement and (iii) acquired non real estate- related contracts, with such amortization refle f cted as depreciation and amortization expense on our income statement. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-12 Notes Receivabl a e We account for notes receivable from bridge loans we originate to third-party self-storage owners at amortized cost. The bridge loans, collateralized by operating self-storage properties, typically have a term of three years or four f years with two one-year extensions, and have variable interest rates. We recognize interest income and other fee f income related to the bridge loans using the effec f tive interest method, with deferred fees f and costs amortized over the lives of the related loans as yield adju d stment. We recognize an allowance for f expected credit losses for f outstanding notes receivabl a e and unfunde f d loan commitments. At December 31, 2024, we had a notes receivable balance of $10.0 million included in other assets and an unfunde f d loan commitment of $12.5 million expected to close in 2025 subj u ect to the satisfaction of certain conditions. As of December 31, 2024, none of the notes receivable were in past-due d or nonaccrual status t and the allowance for f expected credit losses was immaterial. Evaluation of Asset Impairment p We evaluate our real estate and fin f ite-lived intangible assets for impairment each quarter. If there are indicators of impairment and we determine that the asset is not recoverabl a e fro f m fut f ur t e undiscounted cash flo f ws to be received through the asset’s remaining life ( f or, if earlier, the expected disposal date), we record an impairment charge to the extent the carrying amount exceeds the asset’s estimated fair value or net proceeds fro f m expected disposal. We evaluate our investment in unconsolidated real estate entity for impairment quarterly. We record an impairment charge to the extent the carrying amount exceeds estimated fai f r value, when we believe any such shortfal f l is other than temporary. r We evaluate goodwill for impairment annually and whenever relevant events, circumstances, and other related fac f tors indicate that it is more likely than not that the fai f r value of the related reporting unit is less than the carrying amount. When we conclude that it is not more likely than not that the fai f r value of the reporting unit is less than the aggregate carrying amount, no impairment charge is recorded and no further analysis is performed. Otherwise, we record an impairment charge to the extent the carrying amount of the goodwill exceeds the amount that would be allocated to goodwill if the reporting unit were acquired for f estimated fair value. We evaluate other indefinite-lived intangible assets, such as the Shurgard® trade name for impairment at least annually and whenever relevant events, circumstances and other related factors indicate that it is more likely than not that the asset is impaired. When we conclude that it is not more likely than not that the asset is impaired, we do not record an impairment charge and no fur f ther analysis is performed. Otherwise, we record an impairment charge to the extent the carrying amount exceeds the asset’s estimated fair value. No impairments were recorded in any of our evaluations for all periods presented herein. Revenue and Expense Recognition p g We recognize revenues fro f m self-storage facilities, which primarily comprise rental income earned pursuant to month-to-month leases, as well as associated late charges and administrative fees f , as earned. Promotional discounts reduce rental income over the promotional period, which is generally one month. We recognize ancillary revenues when earned. We accrue r for property tax expense based upon actual amounts billed and, in some circumstances, estimates when bills or assessments have not been received from the taxing authorities. If these estimates are incorrect, the timing and amount of expense recognition could be incorrect. We expense cost of operations (including advertising expenditures), general and administrative expense, and interest expense as incurred. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-13 Foreign Currency Exchange Translation g y g The local currency (the Euro) is the fun f ctional currency for f our equity interests in Shurgard. The related balance sheet amounts are translated into U.S. Dollars at the exchange rates at the respective fin f ancial statement date, while amounts on our consolidated statements of income are translated at the average exchange rates dur d ing the respective period. Cumulative translation adjustments, are included in equity as a component of accumulated other comprehensive income (loss). When fin f ancial instruments denominated in a currency other than the U.S. Dollar are expected to be settled in cash in the foreseeabl a e fut f ur t e, the impact of changes in the U.S. Dollar equivalent are refle f cted in current earnings. At December 31, 2024, due primarily to our investment in Shurgard (Note 4) and our notes payabl a e denominated in Euros (Note 7), our operating results and fin f ancial position are affe f cted by fluctuations in currency exchange rates between the Euro, against the U.S. Dollar. The Euro was translated at exchange rates of appr a oximately 1.039 U.S. Dollars per Euro at December 31, 2024 (1.104 at December 31, 2023), and average exchange rates of 1.082, 1.081 and 1.054 for the years ended December 31, 2024, 2023, and 2022, respectively. Income Taxes We and a subsidiary of PSOC have elected to be treated as a REIT, as defin f ed in the Internal Revenue Code of 1986, as amended (the “Code”). For each taxable year in which we qualify f f or f taxation as a REIT, we will not be subj u ect to U.S. federal corpor r ate income tax on our “REIT taxable income” (generally, taxable income subj u ect to specified adjustments, including a deduc d tion for f dividends paid and excluding our net capital gain) that is distributed to our shareholders. We believe we have met these REIT requirements for f all periods presented herein. Accordingly, we have recorded no U.S. federal corpor r ate income tax expense related to our REIT taxabl a e income. We have elected taxable REIT subs u idiary (“TRS”) status for f some of our consolidated subs u idiaries. Our tenant reinsurance, merchandise, third party management operations and our equity investment in Shurgard are conducted under these TRSs and are subj u ect to federal corpo r rate income tax. For these entities, deferred tax assets and liabi a lities for temporary d r iffe f rences are recognized based on the fut f ur t e tax consequences attributable to differences that exist between the fin f ancial statement carrying amounts of assets and liabi a lities and their respective tax bases, as well as tax attributes such as operating loss, capital loss and tax credits carryforwards on a taxing jurisdiction basis. Defer f red tax assets and liabi a lities are measured using enacted tax rates expected to apply to taxable income in the year in which those temporary d r iffe f rences are expected to be recovered or settled. The effe f ct on deferred tax assets and liabi a lities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are establ a ished when necessary to reduce defer f red tax assets to the amounts that are expected more likely than not to be realized in the fut f ur t e. We recognize tax benefit f s of uncertain income tax positions only if we believe it is more likely than not that the position would ultimately be sustained assuming the relevant taxing authorities had full knowledge of the relevant facts and circumstances of our positions. As of December 31, 2024, we had no uncertain tax positions. We also incur income taxes in certain state and local jurisdictions, which are included in income tax expense in the Consolidated Statements of Income. Share-Based Compensation p Under various share-based compensation plans and under terms establ a ished or modified by our Board or a committee thereof, w f e grant awards to trus r tees, offic f ers, and key employees, including non-qualifie f d options to purchase the Company’s common shares, restricted share units (“RSUs”), defer f red share units (“DSUs”), and unrestricted common shares issued in lieu of trustee compensation. In Februa r ry 2024, we amended our 2021 Equity and Performance-Based Incentive Plan to fur f ther provide for the grant of awards to certain officers and trus r tees of the Company in the for f m of LTIP units and appr a eciation-only LTIP units (“AO LTIP units”) of PSA OP. LTIP units are struc r tured as “profit f interests” for U.S. fed f eral income tax purpos r es. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-14 We estimate the fai f r value of share-based payment awards on the date of grant. We determine the fair value of RSUs, DSUs, and LTIP units with no market conditions based on the closing market price of the Company’s common shares on the date of grant. We value stock options and AO LTIP units with no market conditions at the grant date using the Black-Scholes option-pricing model. We value awards with market conditions at the grant date using a Monte-Carlo valuation simulation. Our determination of the fai f r value of share-based payment awards on the date of grant using an option-pricing model or Monte-Carlo valuation simulation is affected by our stock price as well as assumptions regarding a number of subjective and complex variabl a es. These variables include, but are not limited to, our expected stock price volatility over the expected term of the awards. For stock options and AO LTIP units, variables also include actual and proje o cted stock option exercise and AO LTIP unit conversion behaviors. For awards with performance conditions, we adjust compensation cost each quarter as needed for any changes in the assessment of the probabi a lity that the specified performance criteria will be achieved. We amortize the grant-date fair value of awards as compensation expense over the service period, which begins on the grant date and ends on the expected vesting date. For awards that are earned solely upon u the passage of time and continued service, the entire cost of the award is amortized on a straight-line basis over the service period. For awards with market and/or performance conditions, the individual cost of each vesting is amortized separately over each individual service period (the “accelerated attribution” method). For awards with performance conditions, the estimated number of stock awards that will ultimately vest requires judgment, and to the extent actua t l results or updated estimates differ fro f m our current estimates, such amounts will be recorded as a cumulative adjustment in the period estimates are revised. In amortizing share-based compensation expense, we do not estimate future forfeitur t es. Instead, we reverse previously amortized share-based compensation expense with respect to grants that are forfe f ited in the period the employee terminates employment. Our share-based compensation plans allow immediate vesting of outstanding unvested awards upon retirement (“Retirement Acceleration”) for f employees who meet certain conditions. We accelerate amortization of compensation expense for f each grant by changing the end of the service period from the original vesting date to the date an employee is expected to be eligible for Retirement Acceleration, if earlier. Recent Accounting Pronouncements Not Yet Adopted g p In December 2023, the FASB issued ASU 2023-09, Income Taxes a (Topi T c 740): Imp I rovements t t o Inc I ome Tax T Disc i losures, to enhance the transparency and decision-useful f ness of income tax disclosures, particularly in the rate reconciliation tabl a e and disclosures about a income taxes paid. The ASU’s amendments are effective for f annual periods beginning afte f r December 15, 2024 on a prospective basis. Early adoption is permitted. We are currently evaluating the impact of this ASU on our Consolidated Financial Statements and related disclosures. In November 2024, the FASB issued ASU 2024-03, Income Statement — Repor e ting Comprehensive Inc I ome — Exp E ense Disa i ggregation Disclosures (Subt S opic 220-40) that requires the disclosure of additional infor f mation related to certain costs and expenses, including amounts of inventory p r urchases, employee compensation, and depreciation and amortization included in each income statement line item. The guidance also requires disclosure of the total amount of selling expenses and the entity’s definition selling expenses. The guidance is effective for f annual periods beginning afte f r December 15, 2026 and interim periods within fiscal years beginning afte f r December 15, 2027. The guidance may be applied prospectively or retrospectively. Early adoption is permitted. We are currently evaluating the impact of this ASU on our Consolidated Financial Statements and related disclosures. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-15 3. Real Estate Facilities Activity in real estate fac f ilities dur d ing 2024, 2023, and 2022 is as follows: For the Years Ended December 31, 2024 2023 2022 (Amounts in thousands) Operating fac f ilities, at cost: Beginning balance $ 27,465,238 $ 24,219,126 $ 22,807,833 Capi a tal expenditures to maintain real estate faci f lities 234,541 232,048 205,169 Capi a tal expenditures for f property enhancements 126,324 163,380 194,931 Capi a tal expenditures for f energy effi f ciencies (LED lighting, solar) 54,433 65,026 52,216 Acquisitions 254,940 2,442,118 733,442 Dispositions and other (106) (19,322) (1,704) Developed or expanded fac f ilities opened for f operation 343,368 362,862 227,239 Ending balance 28,478,738 27,465,238 24,219,126 Accumulated depreciation: Beginning balance (9,423,974) (8,554,155) (7,773,308) Depreciation expense (1,002,212) (881,255) (781,931) Dispositions and other — 11,436 1,084 Ending balance (10,426,186) (9,423,974) (8,554,155) Construc r tion in process: Beginning balance 345,453 372,992 272,471 Costs incurred to develop and expand real estate facilities 307,650 356,788 336,948 Acquisitions — 2,922 — Write-off of cancelled proje o cts and transfer f to other assets (1,634) (24,387) (9,188) Developed or expanded fac f ilities opened for f operation (343,368) (362,862) (227,239) Ending balance 308,101 345,453 372,992 Total real estate facilities at December 31, $ 18,360,653 $ 18,386,717 $ 16,037,963 During 2024, we acquired 22 self-storage facilities (1.7 million net rentable square feet of storage space), for a total cost of $267.5 million in cash. Approximately $12.5 million of the total cost was allocated to intangible assets. We completed development and redevelopment activities costing $343.4 million, adding 1.5 million net rentabl a e square feet of self-s f torage space. Construc r tion in process at December 31, 2024 consisted of proje o cts to develop new self-s f torage facilities and expand existing self-storage facilities. During 2023, we acquired all the membership interests of BREIT Simply Storage LLC, a self-s f torage company that owns and operates 127 self-s f torage facilities (9.4 million net rentabl a e square feet) and manages 25 self- storage fac f ilities for f third parties, for a purchase price of $2.2 billion in cash (the “Simply Acquisition”). Approximately $2.0 billion of the total costs was allocated to real estate facilities and $214.3 million was allocated to intangible assets. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-16 During 2023, in addition to the Simply Acquisition, we acquired 37 self-storage facilities (2.7 million net rentable square feet of storage space), for f a total cost of $473.2 million in cash. Approximately $23.2 million of the total cost was allocated to intangible assets. We completed development and redevelopment activities costing $362.9 million during 2023, adding 1.7 million net rentabl a e square feet of self-s f torage space. Construc r tion in process at December 31, 2023 consisted of proje o cts to develop new self-storage facilities and expand existing self-storage facilities. During 2023, we wrote off $11.7 million of accumulated development costs for cancelled development and redevelopment proje o cts in construction in process as real estate acquisition and development expense. We also transfer f red $12.7 million of land cost related to cancelled development proje o cts to other assets at December 31, 2023. During 2023, we completed a real estate transaction with a third-party, through which we sold an operating self-s f torage facility with a net book value of $7.1 million for f gross proceeds of $40.0 million and acquired a nearby r land parcel for $13.5 million. At the close of the transaction, we entered into a leaseback of the self-storage facility until we complete development of the acquired land into a self-s f torage facility, no later than December 31, 2026. Of the $40.0 million in gross proceeds, $24.3 million was allocated to the sale of the property based on its estimated fai f r value, resulting a net gain on sale of real estate of $17.1 million after direct transaction costs, and $15.7 million was classified as a reduc d tion of costs to develop the acquired land included in construc r tion in process. During 2023, we also sold a land parcel for f $0.1 million in cash and recorded a related gain on sale of real estate of $0.1 million. During 2022, we acquired 74 self-storage facilities (4.7 million net rentable square feet of storage space), for a total cost of $730.5 million, consisting of $710.6 million in cash and $19.9 million in partnership units in one of our subs u idiaries. Approximately $24.1 million of the total cost was allocated to intangible assets. We completed development and redevelopment activities costing $227.2 million dur d ing 2022, adding 1.4 million net rentable square feet of self-s f torage space. Construc r tion in process at December 31, 2022 consisted of proje o cts to develop new self- storage faci f lities and expand existing self-storage facilities. During 2022, we wrote off $7.0 million of accumulated development costs for cancelled development and redevelopment proje o cts in construc r tion in process as real estate acquisition and development expense. We also transferred $2.2 million of land cost related to a cancelled development project to other assets at December 31, 2022. Additionally, on July 8, 2022, we acquired fro f m PS Business Parks, Inc. (“PSB”) the commercial interests in five properties at three sites jointly occupi u ed with certain of our self-s f torage facilities located in Maryland and Virginia, for f $47.3 million. We recognized $27.0 million of real estate assets and $0.7 million of intangibles for the properties acquired, representing the cost of these commercial properties that we did not have interest in through our equity investment in PSB. We recognized the remaining $19.6 million as an increase to our basis in our equity investment in PSB, which represents the elimination of our portion of the gain recorded by PSB. During 2022, we sold portions of real estate facilities in connection with eminent domain proceedings for $1.5 million in cash proceeds and recorded a related gain on sale of real estate of approximately $1.5 million. At December 31, 2024, the adjusted basis of real estate facilities for f U.S. federal tax purpos r es was approximately $18.6 billion (unaudited). PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-17 4. Investment in Unconsolidated Real Estate Entities The fol f lowing tabl a e sets for f th our equity in earnings of the Unconsolidated Real Estate Entities (amounts in thousands): Equity in Earnings of Unconsolidated Real Estate Entities for the Year Ended December 31, 2024 2023 2022 Shurgard $ 19,821 $ 27,897 $ 26,385 PSB — — 80,596 Total $ 19,821 $ 27,897 $ 106,981 Investment in Shurgard g Throughout all periods presented, we had an appr a oximately 35% equity interest in Shurgard. On November 14, 2023, Shurgard issued 8,163,265 new common shares to institutional investors. We participated on a pro-rata basis in the offering and acquired 2,863,674 common shares for f a cost of $112.6 million. On September 26, 2024, Shurgard issued 1,114,194 new common shares to its shareholders who opted to exchange the cash dividend rights declared on August 13, 2024 for additional shares. We received 487,600 new common shares in exchange for all of our dividend rights. At December 31, 2024, we effe f ctively owned 34,619,733 common shares of Shurgard. Based upon the closing price at December 31, 2024 (€35.85 per share of Shurgard common stock, at 1.039 exchange rate of U.S. Dollars to the Euro), the shares we owned had a market value of appr a oximately $1.3 billion. Our equity in earnings of Shurgard comprise our equity share of Shurgard’s net income, less amortization of the Shurgard Basis Diffe f rential (defined below). During 2024, 2023, and 2022, we received $4.3 million, $3.8 million, and $3.5 million of trademark license fees that Shurgard pays to us for the use of the Shurgard® trademark, respectively. We eliminated $1.5 million, $1.3 million, and $1.2 million of intra-entity profits and losses for f 2024, 2023, and 2022, respectively, representing our equity share of the trademark license fees. We classify the remaining license fees we receive from Shurgard as interest and other income on our Consolidated Statements of Income. During 2024, 2023, and 2022, we received cash dividend distributions from Shurgard totaling $22.8 million, $39.0 million, and $37.8 million, respectively. Approximately $13.3 million, $11.0 million, and $13.7 million of total cash distributions from Shurgard dur d ing the year ended 2024, 2023, and 2022, respectively, represented distributions in excess of cumulative equity in earnings from Shurgard, which was classified within cash flo f ws from investing activities in the Consolidated Statements of Cash Flows. At December 31, 2024, our investment in Shurgard’s real estate assets exceeded our pro-rata share of the underlying amounts on Shurgard’s balance sheet by $62.6 million ($63.7 million at December 31, 2023). This differential (the “Shurgard Basis Diffe f rential”) includes our basis adjustments in Shurgard’s real estate assets net of related defer f red income taxes. The Shurgard Basis Diffe f rential increased by $3.4 million dur d ing 2024, due to an increase of our ownership interest in Shurgard fro f m the exchange of our cash dividend rights for f additional common shares of Shurgard. The Shurgard Basis Diffe f rential is being amortized as a reduc d tion to equity in earnings of the Unconsolidated Real Estate Entities. Such amortization totaled appr a oximately $4.5 million, $4.1 million, and $6.9 million dur d ing 2024, 2023, and 2022, respectively. As of December 31, 2024, 2023, and 2022, we translated the book value of our investment in Shurgard from Euro to U.S. Dollars and recorded $4.7 million other comprehensive loss, $13.1 million other comprehensive income, and $26.7 million other comprehensive loss, respectively. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-18 Investment in PSB On July 20, 2022, in connection with the closing of the merger of PS Business Parks, Inc. (“PSB”) with affi f liates of Blackstone Real Estate (“Blackstone”), we completed the sale of our 41% common equity interest in PSB in its entirety. At the close of the merger transaction, we received a total of $2.7 billion of cash proceeds and recognized a gain of $2.1 billion dur d ing the third quarter of 2022. During 2022, we received cash distributions from PSB totaling $109.5 million, which were classified within cash flo f ws from operating activities in the Consolidated Statements of Cash flows. Since the sale of PSB in July 2022, we no longer recognize equity in earnings or receive cash distributions from PSB. 5. Goodwill and Other Intangible Assets g Goodwill and other intangible assets consisted of the following (amounts in thousands): At December 31, 2024 At December 31, 2023 Gross Book Value Accumulated Amortization Net Book Value Gross Book Value Accumulated Amortization Net Book Value Goodwill $ 165,843 $ — $ 165,843 $ 165,843 $ — $ 165,843 Shurgard® Trade Name 18,824 — 18,824 18,824 — 18,824 Finite-lived intangible assets, subject to amortization 1,008,111 (910,591) 97,520 995,578 (792,978) 202,600 Total goodwill and other intangible assets $ 1,192,778 $ (910,591) $ 282,187 $ 1,180,245 $ (792,978) $ 387,267 Finite-lived intangible assets consist primarily of acquired customers in place. Amortization expense related to intangible assets subj u ect to amortization was $117.6 million, $82.7 million and $95.2 million in 2024, 2023, and 2022, respectively. During 2024, 2023, and 2022, intangibles increased $12.5 million, $237.5 million, and $24.8 million, respectively, in connection with the acquisition of real estate facilities and Simply Acquisition (Note 3). The remaining amortization expense will be recognized over a weighted average life o f f appr a oximately 1.2 years. The estimated future amortization expense for f our finite-lived intangible assets at December 31, 2024 is as follows (amounts in thousands): Year Amount 2025 $ 69,121 2026 21,573 2027 2,956 2028 381 2029 212 Thereafter 3,277 Total $ 97,520 PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-19 6. Credit Facility On June 12, 2023, PSOC entered into an amended revolving credit agreement (the “Credit Facility”), which increased our borrowing limit fro f m $500 million to $1.5 billion and extended the maturity date from April 19, 2024 to June 12, 2027. We have the option to fur f ther extend the matur t ity date by up t u o one additional year with additional extension fee f s up t u o 0.125% of the extended commitment amount. Amounts drawn on the Credit Facility bear annual interest at rates ranging from SOFR plus 0.65% to SOFR plus 1.40% depending upon our credit rating (SOFR plus 0.70% at December 31, 2024). We are also required to pay a quarterly facility fee ranging from 0.10% per annum to 0.30% per annum depending upon our credit rating (0.10% per annum at December 31, 2024). At December 31, 2024 and February 2 r 4, 2025, we had no outstanding borrowings under this Credit Facility. We had undrawn standby letters of credit, which reduc d e our borrowing capacity, totaling $19.4 million at December 31, 2024 and $19.6 million at Februa r ry 24, 2025 ($14.6 million at December 31, 2023). The Credit Facility has various customary r r estrictive covenants with which we were in compliance at December 31, 2024. Publ u ic Storage has provided a full and unconditional guarantee of PSOC’s obligations under the Credit Facility. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-20 7. Notes Payable y Our notes payabl a e (all of which were issued by PSOC), are reflected net of issuance costs (including original issue discounts), which are amortized as interest expense on the effe f ctive interest method over the term of each respective note. Our notes payabl a e at December 31, 2024 and December 31, 2023 are set forth in the tabl a es below: Amounts at December 31, 2024 Amounts at December 31, 2023 Coupon Rate Effe f ctive Rate Principal Unamortized Costs Book Value Fair Value Book Value Fair Value ($ amounts in thousands) U.S. Dollar Denominated t Unsecured Debt Notes due d April 23, 2024 SOFR+0.47% 5.818% $ — $ — $ — $ — $ 699,779 $ 700,031 Notes due d July 25, 2025 SOFR+0.60% 5.164% 400,000 (463) 399,537 400,714 398,722 400,295 Notes due d Februa r ry 15, 2026 0.875% 1.030% 500,000 (840) 499,160 479,639 498,419 462,362 Notes due d November 9, 2026 1.500% 1.640% 650,000 (1,617) 648,383 614,981 647,513 597,131 Notes due d April 16, 2027 SOFR+0.70% 5.326% 700,000 (2,456) 697,544 706,119 — — Notes due d September 15, 2027 3.094% 3.218% 500,000 (1,436) 498,564 480,904 498,036 476,394 Notes due d May 1, 2028 1.850% 1.962% 650,000 (2,244) 647,756 592,876 647,078 584,520 Notes due d November 9, 2028 1.950% 2.044% 550,000 (1,856) 548,144 494,867 547,663 490,758 Notes due d January 1 r 5, 2029 5.125% 5.260% 500,000 (2,361) 497,639 506,074 497,053 516,899 Notes due d May 1, 2029 3.385% 3.459% 500,000 (1,327) 498,673 472,031 498,363 477,692 Notes due d May 1, 2031 2.300% 2.419% 650,000 (4,327) 645,673 555,387 644,988 562,240 Notes due d November 9, 2031 2.250% 2.322% 550,000 (2,430) 547,570 459,682 547,218 469,845 Notes due d August 1, 2033 5.100% 5.207% 700,000 (4,972) 695,028 695,171 694,448 725,753 Notes due d August 1, 2053 5.350% 5.474% 900,000 (15,776) 884,224 856,992 592,017 628,413 7,750,000 (42,105) 7,707,895 7,315,437 7,411,297 7,092,333 Euro Denomina i ted Uns U ecured Debt Notes due d April 12, 2024 1.540% 1.540% — — — — 110,372 109,380 Notes due d November 3, 2025 2.175% 2.175% 251,385 — 251,385 249,979 267,116 261,083 Notes due d September 9, 2030 0.500% 0.640% 727,105 (6,370) 720,735 630,159 765,119 638,177 Notes due d January 2 r 4, 2032 0.875% 0.978% 519,361 (3,786) 515,575 443,113 547,540 455,895 Notes due d April 11, 2039 4.080% 4.080% 155,808 (72) 155,736 166,979 — — 1,653,659 (10,228) 1,643,431 1,490,230 1,690,147 1,464,535 Mortgage t Debt, secured by 2 real estate facilities with a net book value of $11.2 million 4.328% 4.328% 1,708 — 1,708 1,591 1,833 1,733 $ 9,405,367 $ (52,333) $ 9,353,034 $ 8,807,258 $ 9,103,277 $8,558,601 Publ u ic Storage has provided a full and unconditional guarantee of PSOC’s obligations under each series of unsecured notes. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-21 U.S. Dollar Denominated Unsecured Notes On April 16, 2024, PSOC completed a public offe f ring of $1.0 billion aggregate principal amount of senior notes, including $700 million aggregate principal amount of floating rate senior notes bearing interest at a rate of Compounded SOFR + 0.70% (reset quarterly) matur t ing on April 16, 2027 and $300 million aggregate principal amount of senior notes bearing interest at a fixed annual rate of 5.350% maturing on August 1, 2053. The 2053 notes issued at a discount of $5.3 million constitute a fur f ther issuance of, a f nd form a single series with, PSOC’s outstanding 5.350% senior notes due 2053 issued on July 26, 2023 in the aggregate principal amount of $600 million. Interest on the flo f ating rate senior notes is payabl a e quarterly, commencing on July 16, 2024. Interest on the 2053 notes is payabl a e semi-annually, commencing on August 1, 2024. In connection with the offering, we received $988.5 million in net proceeds. On April 23, 2024, we repaid PSOC’s outstanding $700 million aggregate principal amount of floating rate senior notes bearing interest at a rate of Compounded SOFR + 0.47% at maturity. On July 26, 2023, PSOC completed a public offe f ring of $400 million, $500 million, $700 million, and $600 million aggregate principal amount of unsecured senior notes bearing interest at an annual rate of Compounded SOFR + 0.60% (reset quarterly), 5.125%, 5.100%, and 5.350%, respectively, and matur t ing on July 25, 2025, January 15, 2029, August 1, 2033, and August 1, 2053, respectively. Interest on the 2025 notes is payabl a e quarterly, commencing on October 25, 2023. Interest on the 2029 notes is payabl a e semi-annually, commencing on January 15, 2024. Interest on the 2033 notes and 2053 notes is payabl a e semi-annually, commencing on February 1 r , 2024. In connection with the offe f ring, we incurred a total of $18.7 million in costs. On August 15, 2022, PSOC redeemed its 2.370% Senior Notes due d September 15, 2022, with an aggregate principal amount of $500.0 million. The U.S. Dollar denominated unsecured notes (the “U.S. Dollar Denominated Unsecured Notes”) have various financial covenants with which we were in compliance at December 31, 2024. Included in these covenants are (a) a maximum Debt to Total Assets of 65% (appr a oximately 17% at December 31, 2024) and (b) a minimum ratio of Adju d sted EBITDA to Interest Expense of 1.5x (appr a oximately 12x for the twelve months ended December 31, 2024) as well as covenants limiting the amount we can encumber our properties with mortgage debt. Euro Denominated Unsecured Notes At December 31, 2024, our Euro denominated unsecured notes (the “Euro Notes”) consisted of four f tranches: (i) €242.0 million issued to institutional investors on November 3, 2015, (ii) €500.0 million issued in a public offe f ring on January 24, 2020, (iii) €700.0 million issued in a public offe f ring on September 9, 2021, and (iv) €150.0 million issued to institut t ional investors on April 11, 2024. Interest is payabl a e semi-annually on the notes issued November 3, 2015 and April 11, 2024, and annually on the notes issued January 2 r 4, 2020 and September 9, 2021. The Euro Notes have financial covenants similar to those of the U.S. Dollar Denominated Unsecured Notes. The €150.0 million notes issued to institutional investors on April 11, 2024 bear interest at a fix f ed rate of 4.080% and matur t e on April 11, 2039. We received $162.5 million in net proceeds upon converting the Euros to U.S. Dollars. On April 11, 2024, we repaid PSOC’s outstanding €100.0 million aggregate principal amount 1.540% senior notes due April 12, 2024 to the same institutional investors for f $108.4 million. We reflect changes in the U.S. Dollar equivalent of the amount payabl a e including the associated interest, as a result of changes in for f eign exchange rates as “Foreign currency exchange gain (loss)” on our income statement (gains of $103.0 million for f 2024, as compared to losses of $51.6 million for f 2023 and gains of $99.2 million for f 2022). Mortgage Notes g g We assumed our non-recourse mortgage debt in connection with property acquisitions, and we recorded such debt at fair value with any premium or discount to the stated note balance amortized using the effe f ctive interest method. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-22 At December 31, 2024, the related contractua t l interest rates of our mortgage notes are fix f ed, ranging between 3.9% and 7.1%, and mature between September 1, 2028 and July 1, 2030. At December 31, 2024, appr a oximate principal matur t ities of our Notes Payable are as fol f lows (amounts in thousands): Unsecured Debt Mortgage Debt Total 2025 $ 651,385 $ 131 $ 651,516 2026 1,150,000 138 1,150,138 2027 1,200,000 146 1,200,146 2028 1,200,000 129 1,200,129 2029 1,000,000 88 1,000,088 Thereafte f r 4,202,274 1,076 4,203,350 $ 9,403,659 $ 1,708 $ 9,405,367 Weighted average effe f ctive rate 3.1% 4.3% 3.1% Interest capi a talized as real estate totaled $10.5 million, $9.3 million, and $6.0 million for 2024, 2023, and 2022, respectively. 8. Noncontrolling Interests g There are noncontrolling interests related to several subs u idiaries of PSOC we consolidate of which we do not own 100% of the equity. At December 31, 2024, certain of these subs u idiaries have issued 499,966 partnership units to third-parties that are redeemable by the holders on a one-for-one basis for f common shares of the Company or cash at our option. The holders of these partnership units are entitled to receive the same per-unit cash distributions equal to the dividends paid on our common shares. Noncontrolling interests also include the partnership interests of PSA OP not owned by the Company, including common units (“OP Units”) and vested LTIP units from equity awards we issue to certain offi f cers and trus r tees of the Company (see Note 11 Share-based Compensation). Vested LTIP units (subject to certain conditions) may be converted into the same number of OP Units of PSA OP, which are redeemable by the holders on a one-for- one basis for f common shares of the Company or cash at our option. The holders of OP Units and vested LTIP units are entitled to receive per-unit cash distributions equal to the per-share dividends received by our common shareholders. At December 31, 2024, approximately 0.13% of the partnership interests of PSA OP, representing 227,340 vested LTIP units, were not owned by the Company. There were no outstanding OP Units not owned by the Company at December 31, 2024. We adju d st the balance of noncontrolling interests of PSA OP to reflect their proportionate share of the net assets of PSA OP as of the end of each period. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-23 9. Shareholders’ Equity q y Prefer f red Shares At December 31, 2024 and 2023, we had the following series of Cumulative Preferred Shares (“Prefer f red Shares”) outstanding: At December 31, 2024 At December 31, 2023 Series Earliest Redemption Date Dividend Rate Shares Outstanding Liquidation Prefer f ence Shares Outstanding Liquidation Prefer f ence (Dollar amounts in thousands) Series F 6/2/2022 5.150% 11,200 $ 280,000 11,200 $ 280,000 Series G 8/9/2022 5.050% 12,000 300,000 12,000 300,000 Series H 3/11/2024 5.600% 11,400 285,000 11,400 285,000 Series I 9/12/2024 4.875% 12,650 316,250 12,650 316,250 Series J 11/15/2024 4.700% 10,350 258,750 10,350 258,750 Series K 12/20/2024 4.750% 9,200 230,000 9,200 230,000 Series L 6/17/2025 4.625% 22,600 565,000 22,600 565,000 Series M 8/14/2025 4.125% 9,200 230,000 9,200 230,000 Series N 10/6/2025 3.875% 11,300 282,500 11,300 282,500 Series O 11/17/2025 3.900% 6,800 170,000 6,800 170,000 Series P 6/16/2026 4.000% 24,150 603,750 24,150 603,750 Series Q 8/17/2026 3.950% 5,750 143,750 5,750 143,750 Series R 11/19/2026 4.000% 17,400 435,000 17,400 435,000 Series S 1/13/2027 4.100% 10,000 250,000 10,000 250,000 Total Preferred Shares 174,000 $ 4,350,000 174,000 $ 4,350,000 The holders of our Prefer f red Shares have general prefer f ence rights with respect to liquidation, quarterly distributions, and any accumulated unpaid distributions. Except as noted below, holders of the Preferred Shares do not have voting rights. In the event of a cumulative arrearage equal to six quarterly dividends, holders of all outstanding series of prefer f red shares (voting as a single class without regard to series) will have the right to elect two additional members to serve on our Board of Trustees (our “Board”) until the arrearage has been cured. At December 31, 2024, there were no dividends in arrears. The affirmative vote of at least 66.67% of the outstanding shares of a series of Prefer f red Shares is required for f any material and adverse amendment to the terms of such series. The affi f rmative vote of at least 66.67% of the outstanding shares of all of our Prefer f red Shares, voting as a single class, is required to issue shares ranking senior to our Prefer f red Shares. Except under certain conditions relating to the Company’s qualific f ation as a REIT, the Prefer f red Shares are not redeemable prior to the dates indicated on the table above. On or after the respective dates, each of the series of Prefer f red Shares is redeemable at our option, in whole or in part, at $25.00 per depositary share, plus accrue r d and unpaid dividends. Holders of the Preferred Shares cannot require us to redeem such shares. Upon issuance of our Prefer f red Shares, we classify the liquidation value as prefer f red equity on our consolidated balance sheet with any issuance costs recorded as a reduction to Paid-in capital. In 2022, we issued 10.0 million depositary s r hares, each representing 0.001 of a share of our 4.100% Series S Prefer f red Shares, at an issuance price of $25.00 per depositary s r hare, for f a total of $250.0 million in gross proceeds, and we incurred $7.2 million in issuance costs. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-24 Common Shares During 2024, 2023, and 2022, activity with respect to our common shares was as fol f lows (dollar amounts in thousands): 2024 2023 2022 Shares Amount Shares Amount Shares Amount Employee stock-based compensation and exercise of stock options (Note 11) 280,141 $ 47,411 405,059 $ 53,386 283,190 $ 35,405 Issuance of commons shares for cash 184,390 60,321 — — — — Repurchase of common shares (726,865) (200,000) — — — — (262,334) $ (92,268) 405,059 $ 53,386 283,190 $ 35,405 In 2024, our Board authorized an “at the market” offering program pursuant to which management may issue common shares up t u o an aggregate gross sales price of $2.0 billion on the open market or in privately negotiated transactions. In 2024, we issued 184,390 of our common shares on the open market for f aggregate net proceeds of approximately $60.3 million in cash. Our Board has authorized a share repurchase program pursuant to which management may repurchase up t u o 35,000,000 of our common shares on the open market or in privately negotiated transactions. During 2024, we repurchased 726,865 of our common shares under the repurchase program on the open market for f a total cost of $200.0 million. The repurchased shares are construc r tively retired and retur t ned to an authorized and unissued status t . There are 10,551,219 common shares that may yet be repurchased under our repurchase program as of December 31, 2024. On Februa r ry 4, 2023, our Board declared a 50% increase in our regular common quarterly dividend from $2.00 to $3.00 per share. The distribution equates to an annualized increase to the Company’s regular common dividend from $8.00 to $12.00 per share. Common share dividends paid, including amounts paid to our restricted share unitholders, defer f red share unitholders, and unvested LTIP unitholders totaled $2.107 billion ($12.00 per share), $2.111 billion ($12.00 per share), and $3.714 billion ($21.15 per share) for f the years ended December 31, 2024, 2023, and 2022, respectively. Included in common share dividends paid during 2022 is $2.3 billion of a special cash dividend (“Special Dividend”) of $13.15 per common share paid on August 4, 2022 in connection with the sale of our equity investment in PSB on July 20, 2022. Prefer f red share dividends totaled $194.7 million, $194.7 million and $194.4 million for f the years ended December 31, 2024, 2023, and 2022, respectively. The unaudited characterization of dividends for U.S. fed f eral corporate income tax purpos r es is made based upon earnings and profits of the Company, as defined by the Code. For the tax year ended December 31, 2024, distributions for the common shares and all the various series of prefer f red shares were classified as follows: 2024 (unaudited) 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Ordinary Dividends 100.00 % 100.00 % 100.00 % 100.00 % Capi a tal Gain Distributions 0.00 % 0.00 % 0.00 % 0.00 % Total 100.00 % 100.00 % 100.00 % 100.00 % The ordinary i r ncome dividends distributed for the tax year ended December 31, 2024 are not qualified dividends under the Internal Revenue Code; however, they are subj u ect to the 20% deduction under IRS Section 199A. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-25 10. Related Party Transactions y At December 31, 2024, Tamara Hughes Gustavson, a current member of our Board, held less than a 0.1% equity interest in, and is a manager of, a f limited liability company that owns 66 self-storage facilities in Canada. Two of Ms. Gustavson’s adult children own the remaining equity interest in the limited liabi a lity company. These faci f lities operate under the Publ u ic Storage® tradename, which we license to the owners of these facilities for f use in Canada on a royalty-free, non-exclusive basis. We have no ownership interest in these fac f ilities, and we do not own or operate any facilities in Canada. If we chose to acquire or develop our own faci f lities in Canada, we would have to share the use of the Public Storage® name in Canada. We have a right of first refus f al, subject to limitations, to acquire the stock or assets of the corpor r ation engaged in the operation of these fac f ilities if their owners agree to sell them. Our subsidiaries reinsure risks relating to loss of goods stored by customers in these facilities, and have received premium payments of approximately $2.2 million, $2.1 million and $2.2 million for f 2024, 2023, and 2022, respectively. 11. Share-Based Compensation p We recorded share-based compensation expense associated with our equity awards in the various expense categories in the Consolidated Statements of Income as set for f th in the fol f lowing tabl a e. In addition, $3.1 million, $2.4 million, and $4.1 million of share-based compensation cost was capitalized as real estate facilities for the year ended December 31, 2024, 2023, and 2022, respectively. For Years Ended December 31, 2024 2023 2022 (Amounts in thousands) Self-s f torage cost of operations $ 12,128 $ 13,636 $ 17,950 Ancillary cost of operations 1,161 1,289 888 Real estate acquisition and development expense 2,750 1,242 11,204 General and administrative 28,708 25,399 26,661 Total $ 44,747 $ 41,566 $ 56,703 Following the amendment of our 2021 Equity and Performance-Based Incentive Plan in February 2 r 024, which fur f ther provided for f the grant of awards in the for f m of LTIP units and AO LTIP units of PSA OP, we issued LTIP units and AO LTIP units in subs u titution for f 156,632 RSUs and 2,238,874 stock options, respectively. The LTIP units and AO LTIP units issued have the same vesting conditions as the original awards and remain classified as equity awards. The fair value of the LTIP units and AO LTIP units issued is materially the same as the original awards immediately befor f e the subs u titution. As a result, we did not adju d st the share-based compensation costs associated with these substituted awards. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-26 Restricted Share Units and LTIP Units We have service-based and performance-based RSUs and LTIP units outstanding, which generally vest over 5 to 8 years fro f m the grant date. Performance-based RSUs and LTIP units outstanding vest upon meeting certain performance conditions or market conditions. Upon vesting, the grantee of RSUs receives new common shares equal to the number of vested RSUs, less common shares withheld to satisfy the grantee’s statutory tax liabi a lities arising from the vesting. Vested LTIP units represent noncontrolling interests of PSA OP and may be converted, subject to the satisfaction of all applicable vesting conditions, on a one-for-one basis into common units of PSA OP, which are exchangeable by the holders for cash, or at the Company’s election, on a one-for-one basis into common shares of the Company. Holders of RSUs and LTIP units are entitled to receive per-unit cash distributions equal to the per-share dividends received by our common shareholders, except that holders of performance-based awards are not entitled to receive the ful f l distributions until expiration of the applicable performance period, at which time holders of any earned performance-based awards are entitled to receive a catch-up d u istribution for f the periods prior to such time. For the years ended December 31, 2024, 2023, and 2022, we incurred share-based compensation cost for f RSUs and LTIP units of $34.4 million, $28.2 million, and $39.9 million, respectively. Among the 128,565 RSUs and LTIP units granted in 2024, 34,550 performance-based LTIP unit awards and 3,770 performance-based RSUs were granted to certain executive officers and key employees. The vesting of performance-based LTIP unit awards is dependent upon meeting certain market conditions over a three-year period from March 5, 2024 through March 4, 2027, with continued service-based vesting through the fir f st quarter of 2029. These LTIP unit awards require relative achievement of the Company’s total shareholder retur t n as compared to the weighted average total shareholder retur t n of specified peer groups u and can result in grantees earning from zero to a maximum of 69,100 LTIP units. The vesting of performance-based RSUs is dependent upon meeting certain operational performance targets in 2024 and continued service through 2028. These performance targets were met at 100% achievement at December 31, 2024. During 2023, 37,211 RSUs were awarded where vesting is dependent upon meeting certain market conditions over a three-year period from March 15, 2023 through March 14, 2026, with continued service-based vesting through the fir f st quarter of 2028. These RSUs require relative achievement of the Company’s total shareholder retur t n as compared to the weighted average total shareholder retur t n of specified peer groups and can result in grantees earning up to 200% of the target RSUs originally granted. During 2024, we issued LTIP units in subs u titution for these outstanding RSUs. During 2022, 21,985 RSUs were awarded where vesting is dependent upon meeting certain market conditions over a three-year period from January 1, 2022 through December 31, 2024, with continued service-based vesting through the fir f st quarter of 2027. During 2024, we issued LTIP units in subs u titution for these RSUs. As of December 31, 2024, these targets were met at 130% achievement. Remaining compensation cost related to RSUs and LTIP units outstanding at December 31, 2024 totals approximately $68.6 million and is expected to be recognized over the next three years on average. The following tabl a es set for f th relevant information with respect to restricted shares (dollar amounts in thousands): PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-27 Service-Based Performance-Based (a) Total Number of Awards Weighted- Average Grant-Date Fair Value Number of Awards Weighted- Average Grant-Date Fair Value Number of Awards Weighted- Average Grant-Date Fair Value Unvested awards outstanding January 1, 2022 524,572 $ 249.90 46,250 $ 275.12 570,822 $ 251.95 Granted 51,575 293.43 21,985 465.11 73,560 344.74 Vested (146,138) (240.71) — — (146,138) (240.71) Forfeited (22,197) (256.50) — — (22,197) (256.50) Unvested awards outstanding December 31, 2022 407,812 $ 258.34 68,235 $ 336.33 476,047 $ 269.52 Granted 77,974 296.19 37,211 295.61 115,185 296.01 Vested (132,909) (245.19) (9,250) (275.12) (142,159) (247.13) Forfeited (30,229) (266.60) (2,183) (300.86) (32,412) (268.91) Unvested awards outstanding December 31, 2023 322,648 $ 272.14 94,013 $ 327.06 416,661 $ 284.53 Granted (b) 83,651 308.24 44,914 228.68 128,565 280.45 Vested (130,321) (259.20) (10,004) (275.12) (140,325) (260.33) Forfeited (18,104) (286.93) (866) (300.86) (18,970) (287.57) Unvested awards outstanding December 31, 2024 257,874 $ 289.35 128,057 $ 296.79 385,931 $ 291.82 2024 2023 2022 Amounts for f the year (in 000's, except number of shares): Fair value of vested shares and vested LTIP units on vesting date $ 41,848 $ 41,999 $ 47,244 Cash paid for taxes upon vesting in lieu of issuing common shares $ 12,667 $ 13,950 $ 16,827 Common shares issued upon vesting 63,840 96,657 99,009 Vested LTIP units issued upon vesting 40,396 — — Average assumptions used in valuing restricted share and LTIP units with market conditions with the Monte-Carlo simulation method: Time from the valuation date to the end of the performance period 3 3 3 Risk-free interest rate 4.2% 3.8% 1.6% Expected volatility, based upon u historical volatility 23.8% 28.2% 26.5% Expected dividend yield 4.3% 4.1% 2.3% (a) Number of performance-based awards are presented based on the target performance pursuant to the terms of each applicable award when granted and adjusted to the actua t l number of awards earned based on the actua t l performance. (b) Amount granted for f performance-based awards includes 6,594 LTIP units for payout adju d stments based on Total Shareholder Retur t n modifier for awards granted in 2022. Stock Options and AO LTIP Units p We have service-based and performance-based stock options and AO LTIP units outstanding. Performance- based stock options and AO LTIP units vest upon meeting certain performance conditions or market conditions. Stock options and AO LTIP units generally vest over 1 to 5 years, expire 10 years after the grant date, and have an exercise or conversion price equal to the closing trading price of our common shares on the grant date. Common shares of the Company are issued for options exercised and vested LTIP units are issued for AO LTIP units converted. Employees cannot require the Company to settle their awards in cash. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-28 For the years ended December 31, 2024, 2023, and 2022, we incurred share-based compensation cost for f outstanding stock options of $12.7 million, $14.9 million and $19.9 million, respectively. During 2024, we granted 106,484 of service-based AO LTIP units, 63,717 of performance-based AO LTIP units, and 3,600 service-based options to certain executive offic f ers and trus r tees. The vesting of the performance-based AO LTIP units is dependent upon meeting certain market conditions over a three-year period from March 5, 2024 through March 4, 2027, with continued service-based vesting through the fir f st quarter of 2029. These performance- based AO LTIP units require relative achievement of the Company’s total shareholder retur t n as compared to the weighted average total shareholder retur t n of specified peer groups u and can result in grantees earning from zero to a maximum of 127,434 AO LTIP units. During 2023, we granted 60,000 stock options in connection with non-management trus r tee compensation. 117,168 stock options were awarded dur d ing 2023 where vesting is dependent upon meeting certain market conditions over the three-year period from March 15, 2023 through March 14, 2026, with continued service-based vesting through the fir f st quarter of 2028. These stock options require relative achievement of the Company’s total shareholder return as compared to the weighted average total shareholder retur t n of specified peer groups and can result in grantees earning up to 200% of the target options originally granted. During 2024, we issued AO LTIP units in subs u titution for these stock options. During 2022, 77,683 stock options were awarded where vesting is dependent upon meeting certain market conditions over the three-year period from January 1, 2022 through December 31, 2024, with continued service-based vesting through the fir f st quarter of 2027. During 2024, we issued AO LTIP units in subs u titution for f these stock options. As of December 31, 2024, these targets were met at 130% achievement. The stock options and AO LTIP units outstanding at December 31, 2024 have an aggregate intrinsic value (the excess, if any, of each option’s market value over the exercise price) of approximately $172.5 million and remaining average contractua t l lives of approximately five years. Total compensation cost related to nonvested AO LTIP units and stock options that have not yet been recognized is $10.2 million and are expected to be recognized as compensation cost over appr a oximately two years on average. Exercisabl a e stock options and convertible AO LTIP units have an aggregate intrinsic value of appr a oximately $143.4 million at December 31, 2024 and remaining average contractua t l lives of approximately four years. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-29 Additional infor f mation with respect to stock options and AO LTIP units during 2024, 2023, and 2022 is as follows: Service-Based Performance-Based (a) Total Number of Awards Weighted Average Exercise or Conversion Price per Award Number of Awards Weighted Average Exercise or Conversion Price per Award Number of Awards Weighted Average Exercise or Conversion Price per Award Awards outstanding January 1, 2022 1,899,951 $ 208.16 1,140,000 $ 229.16 3,039,951 $ 216.04 Granted 65,000 398.97 138,933 299.88 203,933 331.46 Special dividend adju d stment (b) 62,512 N/A 41,836 N/A 104,348 N/A Exercised (173,422) (189.95) (10,327) (221.68) (183,749) (191.74) Awards outstanding December 31, 2022 1,854,041 $ 209.53 1,310,442 $ 229.39 3,164,483 $ 217.75 Granted (c) 60,000 286.81 180,425 265.46 240,425 270.79 Exercised (272,250) (167.15) (34,401) (221.68) (306,651) (173.26) Cancelled (12,049) (293.81) (34,987) (229.34) (47,036) (245.86) Awards outstanding December 31, 2023 1,629,742 $ 218.83 1,421,479 $ 234.16 3,051,221 $ 225.97 Granted (d) 110,084 278.82 87,782 297.12 197,866 286.94 Exercised or converted (e) (381,850) (194.09) (301,498) (221.83) (683,348) (206.33) Cancelled (10,110) (320.69) (5,164) (221.68) (15,274) (287.21) Awards outstanding December 31, 2024 1,347,866 $ 229.98 1,202,599 $ 241.90 2,550,465 $ 235.60 Awards exercisable or convertible at December 31, 2024 1,187,232 $ 221.59 612,112 $ 221.97 1,799,344 $ 221.72 (a) Number of performance-based awards are presented based on the target performance pursuant to the terms of each applicable award when granted and adjusted to the actua t l number of awards earned based on the actua t l performance. (b) On August 4, 2022, we paid a Special Dividend of $13.15 per common share to shareholders of record as of August 1, 2022. Stock options that were outstanding at the time of the Special Dividend were adju d sted pursuant to the anti-dilution provisions of the Company’s appl a icable equity and performance-based incentive compensation plans that provide for equitabl a e adjustments in the event of an extraordinary c r ash dividend. The anti-dilution adjustments proportionately increased the number of outstanding stock options and reduc d ed the exercise prices of outstanding stock options by a conversion rate of 1.03275, resulting in an increase of 104,348 stock options outstanding. The adjustments did not result in incremental share-based compensation expense. (c) Amount granted for f performance-based stock options includes 63,257 options for payout adju d stments based on Total Shareholder Retur t n modifier for options granted in 2021. (d) Amount granted for f performance-based awards includes 24,065 AO LTIP units for payout adju d stments based on Total Shareholder Retur t n for f awards granted in 2022. (e) 214,996 common shares were issued upon the exercise of stock options. 186,944 vested LTIP units were issued upon conversion of 468,352 AO LTIP units in the year ended December 31, 2024. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-30 2024 2023 2022 Aggregate exercise date intrinsic value of options and AO LTIP units exercised or converted during the year (in 000's) $ 85,833 $ 35,662 $ 27,210 Average assumptions used in valuing options and AO LTIP units with the Black-Scholes method: Expected life o f f options in years 6 6 6 Risk-free interest rate 4.2% 3.5% 2.9% Expected volatility, based upon historical volatility 24.4% 24.4% 22.9% Expected dividend yield 4.3% 4.2% 2.0% Average assumptions used in valuing options and AO LTIP units with market conditions with the Monte-Carlo simulation method: Expected life o f f options in years 7 7 7 Risk-free interest rate 4.1% 3.5% 1.8% Expected volatility, based upon historical volatility 24.1% 23.8% 22.6% Expected dividend yield 4.3% 4.1% 2.3% Average estimated value of options and AO LTIP units granted dur d ing the year $ 51.33 $ 56.86 $ 87.57 Trus r tee Defer f ral Program g Non-management trus r tees may elect to receive all or a portion of their cash retainers in cash, unrestricted common shares, or fully-vested DSUs to be settled at a specified future date. Unrestricted common shares and/or DSUs will be granted to the non-management trus r tee on the last day of each calendar quarter based on the cash retainer earned for that quarter and converted into a number of shares or units based on the applicable closing price of our common shares on such date. During 2024, we granted 1,836 DSUs and 434 unrestricted common shares. During 2024, 871 previously granted DSUs were settled in common shares. A total of 11,734 DSUs were outstanding at December 31, 2024 (10,769 at December 31, 2023). PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-31 12. Net Income per Common Share p We allocate net income to (i) noncontrolling interests based upon u their contractua t l rights in the respective subs u idiaries or for participating noncontrolling interests based upon u their participation in both distributed and undistributed earnings of the Company, (ii) prefer f red shareholders, for f distributions paid or payabl a e, (iii) prefer f red shareholders, to the extent redemption cost exceeds the related original net issuance proceeds (a “prefer f red share redemption charge”), and (iv) RSUs and unvested LTIP units, for f non-forfeitabl a e dividends and distributions paid and adju d sted for participation rights in undistributed earnings of the Company. We calculate basic and diluted net income per common share based upon u net income allocable to common shareholders, divided by (i) weighted average common shares for f basic net income per common share, and (ii) weighted average common shares adjusted for f the impact of dilutive stock options and AO LTIP units outstanding for diluted net income per common share. Stock options and AO LTIP units representing 138,739 common shares were excluded fro f m the computation of diluted earnings per share for 2024, as compared to 375,577 common shares for 2023, because their effect would have been antidilutive. The fol f lowing tabl a e reconciles the numerators and denominators of the basic and diluted net income per common shares computation for f the year ended December 31, 2024, 2023, and 2022, respectively (in thousands, except per share amounts): For the Years Ended December 31, 2024 2023 2022 Numerator for f basic and dilutive net income per common share – net income allocable to common shareholders $ 1,872,685 $ 1,948,741 $ 4,142,288 Denominator for basic net income per share - weighted average common shares outstanding 175,351 175,472 175,257 Net effect f of dilutive stock options and AO LTIP units - based on treasury s r tock method 687 671 1,023 Denominator for dilutive net income per share - weighted average common shares outstanding 176,038 176,143 176,280 Net income per common share: Basic $ 10.68 $ 11.11 $ 23.64 Dilutive $ 10.64 $ 11.06 $ 23.50 PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-32 13. Segment Infor f mation g Our operating segments refle f ct the significant components of our operations where discrete fin f ancial information is evaluated separately by our President and Chief Executive Officer, who is our chief operating decision maker (“CODM”). Self-S f torage Operations g p The Self-Storage Operations reportable segment refle f cts the aggregated rental operations from the self-f storage fac f ilities we own through the following operating segments: (i) Same Store Facilities, (ii) Acquired Facilities, (iii) Newly Developed and Expanded Facilities, and (iv) Other Non-Same Store Facilities. Our CODM evaluates performance and allocates resources for the Self-S f torage Operations reportabl a e segment based on its Net Operating Income (“NOI”), which represents the related revenue less cost of operations. Our CODM utilizes NOI during the budget and forecasting process to allocate capital and personnel resources and evaluates financial performance and operating trends of the reportabl a e segment based on the budget-to-actua t l variance and year-over-year change of the NOI on an ongoing basis. The presentation in the tabl a e below sets forth the revenue, significant expense categories, and NOI of this reportabl a e segment, as well as the related depreciation expense. For all periods presented, subs u tantially all of our real estate facilities, goodwill and other intangible assets, other assets, and accrue r d and other liabi a lities are associated with the Self-Storage Operations reportabl a e segment. Ancillary Operations y p The Ancillary Operations reflects the combined operations of our tenant reinsurance, merchandise sales, and third party property management operating segments. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-33 Presentation of Segment Information g The fol f lowing tabl a e reconciles NOI and net income attributable to our reportabl a e segment to our consolidated net income: For the Years Ended December 31, 2024 2023 2022 (amounts in thousands) Self-S f to S rage a Operatio t ns Repor e table S l eg S me g nt Revenue $ 4,395,993 $ 4,259,613 $ 3,946,028 Cost of operations: Property taxes (451,992) (411,323) (385,034) On-site property manager payroll (167,258) (164,405) (152,914) Repairs and maintenance (93,763) (83,429) (74,857) Utilities (63,611) (62,462) (61,510) Marketing (106,414) (90,717) (63,358) Other direct property costs (122,119) (114,879) (101,939) Supe u rvisory p r ayroll (51,616) (50,065) (50,895) Centralized management costs (67,820) (71,034) (71,752) Share-based compensation (12,127) (13,636) (17,950) Total cost of operations (1,136,720) (1,061,950) (980,209) Net operating income 3,259,273 3,197,663 2,965,819 Depreciation and amortization (1,129,766) (970,056) (888,146) Net income 2,129,507 2,227,607 2,077,673 Ancilla i ry Operatio t ns Revenue 299,623 258,077 236,135 Cost of operations (121,281) (85,996) (72,698) Net operating income 178,342 172,081 163,437 Total net income allocated to segments 2,307,849 2,399,688 2,241,110 Othe t r ite i ms not allocated to s t egme g nts: t Real estate acquisition and development expense (15,506) (26,451) (28,744) General and administrative (106,677) (80,632) (71,672) Interest and other income 67,212 85,590 40,567 Interest expense (287,401) (201,132) (136,319) Equity in earnings of unconsolidated real estate entities 19,821 27,897 106,981 Foreign currency exchange gain (loss) 102,244 (51,197) 98,314 Gain on sale of real estate 1,537 17,178 1,503 Gain on sale of equity investment in PS Business Parks, Inc. — — 2,128,860 Income tax expense (4,669) (10,821) (14,326) Net income $ 2,084,410 $ 2,160,120 $ 4,366,274 PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-34 14. Commitments and Contingencies g Contingent Losses g We are a party to various legal proceedings and subject to various claims and complaints; however, we believe that the likelihood of these contingencies resulting in a material loss to the Company, either individually or in the aggregate, is remote. Insurance and Loss Exposure p We carry property, earthquake, general liability, employee medical insurance, and workers compensation coverage through internationally recognized insurance carriers, subj u ect to deductibles. Our deduc d tible for general liabi a lity is $2.0 million per occurrence. Our annual deduc d tible for property loss is $25.0 million per occurrence. This deductible decreases to $5.0 million once we reach $35.0 million in aggregate losses for f occurrences that exceed $5.0 million. Insurance carriers’ aggregate limits on these policies of $75.0 million for f property losses and $102.0 million for general liability losses are higher than estimates of maximum probabl a e losses that could occur fro f m individual catastrophic events determined in recent engineering and actuarial studies; however, in case of multiple catastrophic events, these limits could be exceeded. We reinsure a program that provides insurance to our customers fro f m an independent third-party insurer. This program covers customer claims for losses to goods stored at our facilities as a result of specific named perils (earthquakes are not covered by this program), up to a maximum limit of $5,000 per storage unit. We reinsure all risks in this program, but purchase insurance to cover this exposure for f a limit of $15.0 million for losses in excess of $10.0 million per occurrence. We are subj u ect to licensing requirements and regulations in all states. Customers participate in the program at their option. At December 31, 2024, there were approximately 1.4 million certificates held by self-f storage customers under the program, representing aggregate coverage of approximately $6.8 billion. Commitments We have construc r tion commitments representing fut f ur t e expected payments for construc r tion under contract totaling $194.9 million at December 31, 2024. We expect to pay appr a oximately $166.1 million in 2025 and $28.8 million in 2026 for these construc r tion commitments. We have future contractua t l payments on land, equipment and offi f ce space under various lease commitments totaling $61.8 million at December 31, 2024. We expect to pay appr a oximately $4.1 million in each of 2025 and 2026, $2.7 million in 2027, $2.5 million in each of 2028 and 2029, and $45.9 million thereafter for these commitments. We have an unfunde f d loan commitment totaling $12.5 million at December 31, 2024. We expect to fund the loan in 2025 subj u ect to the satisfaction of certain conditions. 15. Subs u equent Events q Subs u equent to December 31, 2024, we acquired or were under contract to acquire nine self-s f torage facilities across six states with 0.7 million net rentable square feet, for f $140.7 million. In early 2025, multiple wildfires erupt u ed in southern California and caused significant destruc r tion of business and residential struc r tures. We did not incur any direct property damage in the affe f cted areas. In response to the devastation, a “State of Emergency” has been declared for Los Angeles County and Ventur t a County, under which a temporary g r overnmental pricing limitation is in place for our self-s f torage facilities located in these counties. These self-s f torage facilities generated appr a oximately 10% of revenues earned by our Same Store Facilities in 2024. We anticipate a potentially significant negative impact on the revenue growth from these self-s f torage facilities, the extent of which depends largely on the duration of the State of Emergency order and other fut f ur t e actions by government authorities, among other fac f tors. PUBLIC STORAGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024 F-35 Self-s f torage facilities by market: Los Angeles 232 17,467 $ 248 $ 574,307 $ 1,111,245 $ 549,871 $ 579,775 $ 1,655,648 $ 2,235,423 $ 1,062,270 Dallas/Ft. Worth 218 19,443 — 378,140 2,255,401 274,810 380,571 2,527,780 2,908,351 632,547 Houston 166 13,963 — 273,784 912,051 336,695 273,106 1,249,424 1,522,530 476,974 Chicago 143 9,309 — 156,554 519,539 207,680 159,391 724,382 883,773 476,306 San Francisco 141 9,422 — 245,623 557,398 361,192 258,374 905,839 1,164,213 627,244 Washington DC 119 8,470 — 423,176 1,329,933 227,094 438,682 1,541,521 1,980,203 567,893 Atlanta 115 7,697 1,460 143,692 434,433 141,734 144,055 575,804 719,859 355,586 Orlando/Daytona 111 6,529 — 177,574 590,015 108,423 183,055 692,957 876,012 244,461 New York 106 8,034 — 314,288 736,217 392,123 320,926 1,121,702 1,442,628 636,153 Seattle/Tacoma 102 7,333 — 246,108 634,810 225,107 248,368 857,657 1,106,025 488,989 Miami 100 7,545 — 259,200 563,334 205,780 261,093 767,221 1,028,314 465,690 Denver 71 5,313 — 120,585 328,245 129,745 121,305 457,270 578,575 223,070 Minneapolis/St. Paul 68 5,505 — 128,142 332,631 154,639 131,695 483,717 615,412 210,948 Tampa 68 4,734 — 107,321 371,573 101,191 110,635 469,450 580,085 194,524 Philadelphia 67 4,470 — 66,271 297,576 99,517 65,292 398,072 463,364 219,646 Charlotte 62 4,752 — 89,937 250,135 109,993 97,800 352,265 450,065 190,588 Detroit 54 3,963 — 77,077 289,354 83,259 78,484 371,206 449,690 171,808 Phoenix 53 3,920 — 108,051 367,874 67,421 108,042 435,304 543,346 175,570 Baltimore 51 4,160 — 141,077 787,692 81,603 142,301 868,071 1,010,372 203,133 Portland 50 2,929 — 65,013 225,043 56,624 65,671 281,009 346,680 151,739 Oklahoma City 48 3,527 — 69,100 310,648 35,229 69,100 345,877 414,977 65,848 West Palm Beach 46 3,850 — 156,788 221,479 129,817 157,736 350,348 508,084 193,751 San Antonio 41 2,936 — 56,453 237,783 46,153 56,411 283,978 340,389 107,429 Raleigh 40 2,899 — 92,421 233,949 56,297 93,390 289,277 382,667 107,472 Austin 39 3,103 — 72,382 212,110 62,590 74,904 272,178 347,082 131,590 Indianapolis 37 2,450 — 46,160 171,251 32,612 47,160 202,863 250,023 74,840 Norfolk 36 2,197 — 47,939 125,410 38,406 47,378 164,377 211,755 97,324 Sacramento 36 2,120 — 32,023 92,323 45,327 32,507 137,166 169,673 102,237 Columbia 35 2,237 — 39,521 165,797 34,641 40,280 199,679 239,959 62,235 Columbus 32 2,432 — 55,843 143,208 42,154 55,950 185,255 241,205 69,078 Kansas City 31 2,119 — 20,212 114,080 62,257 20,412 176,137 196,549 82,289 Boston 29 2,038 — 85,717 223,625 43,838 86,283 266,897 353,180 148,893 Las Vegas 27 1,857 — 35,047 148,111 27,347 34,295 176,210 210,505 71,762 St. Louis 27 1,749 — 22,546 85,838 48,397 24,295 132,486 156,781 81,773 Nashville/Bowling Green 25 1,651 — 46,669 134,144 38,632 46,667 172,778 219,445 46,574 San Diego 24 2,340 — 89,782 162,043 78,791 92,292 238,324 330,616 132,474 Initial Cost Gross Carrying Amount At December 31, 2024 Description No. of Facilities Net Rentable Square Feet 2024 Encum- brances Land Buildings & Improvements Costs Subs u equent to Acquisition Land Buildings Total Accumulated Depreciation PUBLIC STORAGE R SCHEDULE III - REAL ESTATE AND ACCUMULATED DEPRECIATION (Amounts in thousands, except number of properties) F-36 Memphis 22 1,418 — 27,627 167,899 17,992 28,980 184,538 213,518 37,310 Cincinnati 22 1,338 — 21,126 79,210 32,176 21,044 111,468 132,512 45,948 Mobile 20 1,168 — 26,313 99,387 13,595 26,140 113,155 139,295 25,324 Fort Myers/Na / pl a es 17 1,346 — 36,676 121,930 26,861 36,910 148,557 185,467 37,930 Colorado Springs 17 1,169 — 13,667 64,569 29,288 13,664 93,860 107,524 42,074 Greensville/Spartanburg/Asheville 17 1,051 — 13,415 73,643 17,783 14,331 90,510 104,841 32,180 Louisville 16 982 — 24,868 50,185 13,271 24,867 63,457 88,324 26,745 Richmond 16 789 — 21,121 56,202 11,382 20,926 67,779 88,705 30,745 Charleston 15 1,056 — 19,490 69,158 27,340 20,466 95,522 115,988 40,459 Milwaukee 15 964 — 13,189 32,071 16,008 13,158 48,110 61,268 39,900 Jacksonville 15 922 — 14,454 47,415 18,660 14,503 66,026 80,529 43,028 Greensboro 15 911 — 15,590 43,181 21,084 17,679 62,176 79,855 36,395 Birmingham 15 606 — 6,316 25,567 21,603 6,204 47,282 53,486 33,526 Chattanooga 13 857 — 10,030 45,578 12,357 9,832 58,133 67,965 23,983 Salt Lake City 13 800 — 20,454 41,607 9,197 20,103 51,155 71,258 20,838 Savannah 13 766 — 36,503 52,174 9,443 35,175 62,945 98,120 27,963 Honolulu 12 896 — 69,611 127,041 24,917 70,528 151,041 221,569 92,010 New Orleans 12 863 — 14,096 72,425 15,022 14,264 87,279 101,543 38,687 Omaha 11 938 — 17,965 69,085 6,836 17,965 75,921 93,886 17,172 Hartford/N d ew Haven 11 693 — 6,778 19,959 28,640 8,443 46,934 55,377 38,998 Cleveland/Akron 10 631 — 5,916 30,775 10,568 6,309 40,950 47,259 18,181 Augusta 10 584 — 9,833 35,451 6,567 9,833 42,018 51,851 12,832 Buffalo/Rochester 9 462 — 6,785 17,954 8,612 6,783 26,568 33,351 18,780 Boise 7 671 — 16,756 71,912 2,284 16,756 74,196 90,952 10,162 Reno 7 559 — 5,487 18,704 7,969 5,487 26,673 32,160 16,796 Tucson 7 439 — 9,403 25,491 9,538 9,884 34,548 44,432 26,539 Wichita 7 433 — 2,017 6,691 11,032 2,130 17,610 19,740 13,483 Monterey/Salinas 7 329 — 8,465 24,151 8,076 8,455 32,237 40,692 27,888 Evansville 5 326 — 2,340 14,316 2,720 2,312 17,064 19,376 6,831 Huntsville/Decatur 5 298 — 9,161 13,481 5,098 9,108 18,632 27,740 8,473 Roanoke 5 298 — 6,916 27,161 1,922 6,916 29,083 35,999 6,602 Dayton 5 284 — 1,074 8,975 6,498 1,073 15,474 16,547 9,063 Fort Wayne 4 271 — 3,487 11,003 4,736 3,487 15,739 19,226 7,531 Providence 4 248 — 2,644 26,118 4,707 2,644 30,825 33,469 9,803 Lansing 4 233 — 2,048 22,897 2,235 2,048 25,132 27,180 4,352 Palm Springs 3 242 — 8,309 18,065 3,544 8,309 21,609 29,918 15,348 Flint 3 191 — 2,734 19,228 1,044 2,733 20,273 23,006 3,492 Initial Cost Gross Carrying Amount At December 31, 2024 Description No. of Facilities Net Rentable Square Feet 2024 Encum- brances Land Buildings & Improvements Costs Subs u equent to Acquisition Land Buildings Total Accumulated Depreciation PUBLIC STORAGE R SCHEDULE III - REAL ESTATE AND ACCUMULATED DEPRECIATION (Amounts in thousands, except number of properties) F-37 Rochester 3 155 — 2,142 10,787 4,201 2,075 15,055 17,130 5,475 Shreveport 2 150 — 817 3,030 3,522 741 6,628 7,369 5,578 Springfie f ld/H d olyoke 2 144 — 1,428 3,380 2,752 1,427 6,133 7,560 5,508 Santa Barba r ra 2 98 — 5,733 9,106 1,227 5,733 10,333 16,066 7,708 Topeka 2 94 — 225 1,419 2,896 225 4,315 4,540 3,423 Joplin 1 56 — 264 904 1,454 264 2,358 2,622 1,804 Syracuse 1 55 — 545 1,279 1,544 545 2,823 3,368 2,295 Modesto/Fresno/Stockton 1 33 — 44 206 1,465 193 1,522 1,715 1,271 Commercial and non-operating real estate — 12,307 19,892 154,431 13,352 173,278 186,630 95,045 3,073 221,280 $ 1,708 $ 5,620,692 $ 17,476,960 $ 5,381,086 $ 5,711,685 $ 22,767,053 $ 28,478,738 $ 10,426,186 Initial Cost Gross Carrying Amount At December 31, 2024 Description No. of Facilities Net Rentable Square Feet 2024 Encum- brances Land Buildings & Improvements Costs Subs u equent to Acquisition Land Buildings Total Accumulated Depreciation Note: Buildings and improvements are depreciated on a straight-line basis over estimated useful lives ranging generally between 5 to 40 years. In addition, disclosures of the number and square footage of our facilities are unaudited. PUBLIC STORAGE R SCHEDULE III - REAL ESTATE AND ACCUMULATED DEPRECIATION (Amounts in thousands, except number of properties) F-38 Consent of Independent Registered Public Accounting Firm We consent to the incorporation by refer f ence in the fol f lowing Registration Statements: (1) Registration Statement on Form S-3ASR (No. 333-283556) and related prospectus t , (2) Registration Statement on Form S-8 (No.333-255733) and related prospectus t of Publ u ic Storage for f the registration of common shares of benefic f ial interest pertaining to the Publ u ic Storage 2021 Equity and Performance-Based Incentive Compensation Plan, (3) Registration Statement on Form S-8 (No. 333-210937) and related prospectus t of Publ u ic Storage for the registration of common shares of benefic f ial interest pertaining to the Publ u ic Storage 2016 Equity and Performance-Based Incentive Compensation Plan, (4) Registration Statement on Form S-8 (No. 333-195646) and related prospectus t of Publ u ic Storage for the registration of common shares of benefic f ial interest pertaining to the Publ u ic Storage 2007 Equity and Performance-Based Incentive Compensation Plan, as amended, and (5) Registration Statement on Form S-8 (No.333-144907) and related prospectus t of Publ u ic Storage for f the registration of common shares of benefic f ial interest pertaining to the Publ u ic Storage 2007 Equity and Performance-Based Incentive Compensation Plan; of our reports dated February 2 r 4, 2025, with respect to the consolidated financial statements of Public Storage and the effectiveness of internal control over fin f ancial reporting of Publ u ic Storage included in this Annual Report (Form 10-K) of Publ u ic Storage for f the year ended December 31, 2024. /s/ ERNST & YOUNG LLP Februa r ry 24, 2025 Los Angeles, Califor f nia Exhibit 23.1 RULE 13A – 14(a) CERTIFICATION I, Joseph D. Russell, Jr., certify that: 1. I have reviewed this Annual Report on Form 10-K of Public Storage; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact f or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the financial statements, and other financial infor f mation included in this report, fairly present in all material respects the fin f ancial condition, results of operations and cash flo f ws of the registrant as of, a f nd for, the periods presented in this report; 4. The registrant's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defin f ed in Exchange Act Rul R es 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defin f ed in Exchange Act Rul R es 13a-15(f) and 15d-15(f)) for the registrant and have: a) designed such disclosure controls and procedures, or caused such disclosure controls and procedur d es to be designed under our supe u rvision, to ensure that material information relating to the registrant, including its consolidated subs u idiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; b) designed such internal control over fin f ancial reporting, or caused such internal control over fin f ancial reporting to be designed under our supe u rvision, to provide reasonabl a e assurance regarding the reliabi a lity of financial reporting and the preparation of fin f ancial statements for external purpos r es in accordance with generally accepted accounting principles; c) evaluated the effe f ctiveness of the registrant's disclosure controls and procedur d es and presented in this report our conclusions about the effectiveness of the disclosure controls and procedur d es, as of the end of the period covered by this report based on such evaluation; and d) disclosed in this report any change in the registrant’s internal control over fin f ancial reporting that occurred during the registrant’s most recent fis f cal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affe f cted, or is reasonabl a y likely to materially affe f ct, the registrant’s internal control over fin f ancial reporting; and 5. The registrant's other certifying officers and I have disclosed, based on our most recent evaluation of internal control over fin f ancial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonabl a y likely to adversely affec f t the registrant's ability to record, process, summarize and report fin f ancial information; and b) any fra f ud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over fin f ancial reporting. /s/ Joseph D. Rus R sell, Jr. Name: Joseph D. Rus R sell, Jr. Title: President and Chief Executive Officer Date: February 2 r 4, 2025 Exhibit 31.1 RULE 13A – 14(a) CERTIFICATION I, H. Thomas Boyle, certify t f hat: 1. I have reviewed this Annual Report on Form 10-K of Public Storage; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact f or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the financial statements, and other financial infor f mation included in this report, fairly present in all material respects the fin f ancial condition, results of operations and cash flo f ws of the registrant as of, a f nd for, the periods presented in this report; 4. The registrant's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defin f ed in Exchange Act Rul R es 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defin f ed in Exchange Act Rul R es 13a-15(f) and 15d-15(f)) for the registrant and have: a) designed such disclosure controls and procedures, or caused such disclosure controls and procedur d es to be designed under our supe u rvision, to ensure that material information relating to the registrant, including its consolidated subs u idiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; b) designed such internal control over fin f ancial reporting, or caused such internal control over fin f ancial reporting to be designed under our supe u rvision, to provide reasonabl a e assurance regarding the reliabi a lity of financial reporting and the preparation of fin f ancial statements for external purpos r es in accordance with generally accepted accounting principles; c) evaluated the effe f ctiveness of the registrant's disclosure controls and procedur d es and presented in this report our conclusions about the effectiveness of the disclosure controls and procedur d es, as of the end of the period covered by this report based on such evaluation; and d) disclosed in this report any change in the registrant’s internal control over fin f ancial reporting that occurred during the registrant’s most recent fis f cal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affe f cted, or is reasonabl a y likely to materially affe f ct, the registrant’s internal control over fin f ancial reporting; and 5. The registrant's other certifying officers and I have disclosed, based on our most recent evaluation of internal control over fin f ancial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonabl a y likely to adversely affec f t the registrant's ability to record, process, summarize and report fin f ancial information; and b) any fra f ud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over fin f ancial reporting. /s/ H. Thomas Boyle Name: H. Thomas Boyle Title: Senior Vice President, Chief Financial and Investment Offi f cer Date: February 2 r 4, 2025 Exhibit 31.2 SECTION 1350 CERTIFICATION In connection with the Annual Report on Form 10-K of Public Storage (the “Company”) for f the year ended December 31, 2024, as filed with the Securities and Exchange Commission (the “SEC”) on the date hereof (the “Report”), Joseph D. Russell, Jr., as Chief Executive Officer and President of the Company and H. Thomas Boyle, as Chief Financial Offi f cer of the Company, each hereby certifies, pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarba r nes-Oxley Act of 2002 (“Sarbanes-Oxley”), that: (1) The Report ful f ly complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”); and (2) The information contained in the Report fai f rly presents, in all material respects, the fin f ancial condition and results of operations of the Company. /s/ Joseph D. Rus R sell, Jr. Name: Joseph D. Rus R sell, Jr. Title: President and Chief Executive Officer Date: February 2 r 4, 2025 /s/ H. Thomas Boyle Name: H. Thomas Boyle Title: Senior Vice President, Chief Financial and Investment Offi f cer Date: February 2 r 4, 2025 This certific f ation accompanies the Report pursuant to §906 of Sarbanes-Oxley and shall not, except to the extent required by Sarba r nes-Oxley, be deemed filed by the Company for f purpos r es of §18 of the Exchange Act. A signed original of this written statement required by §906 of Sarbanes-Oxley has been provided to the Company, and will be retained and fur f nished to the SEC or its staff upon request. Exhibit 32 (This Page Intentionally Left Blank) (This Page Intentionally Left Blank) CORPORATE INFORMATION (as of February 28, 2025) Trustees Ronald L. Havner, Jr. (2002) Chairman of the Board, Retired Chief Executive Officer, Public Storage Joseph D. Russell, Jr. (2019) President and Chief Executive Officer, Public Storage Tamara Hughes Gustavson (2008) Real Estate Investor, Philanthropist Maria R. Hawthorne (2024) Retired President and Chief Executive Officer, PS Business Parks, Inc. Shankh S. Mitra (2021) Chief Executive Officer, Welltower Inc. Rebecca Owen (2021) Retired President of CEI Realty, Inc., and Former Chief Legal Officer, Clark Enterprises, Inc. Kristy M. Pipes (2020) Lead Independent Trustee, Public Storage Retired Managing Director and Chief Financial Officer, Deloitte Consulting Avedick B. Poladian (2010) Retired Executive Vice President and Chief Operating Officer, Lowe Enterprises, Inc. John Reyes (2019) Retired Senior Vice President and Chief Financial Officer, Public Storage Tariq M. Shaukat (2019) Chief Executive Officer, Sonar Ronald P. Spogli (2010) Co-Founder, Freeman Spogli & Co. Paul S. Williams (2021) Retired Partner, Major, Lindsey & Africa, and Former President, National Association of Corporate Directors ( ) = Year trustee was elected to the Board Founders B. Wayne Hughes Kenneth Q. Volk, Jr. Executive Team Joseph D. Russell, Jr. President, Chief Executive Officer H. Thomas Boyle Senior Vice President, Chief Financial and Investment Officer Natalia N. Johnson Senior Vice President, Chief Administrative Officer Chris C. Sambar Senior Vice President, Chief Operating Officer Nathaniel A. Vitan Senior Vice President, Chief Legal Officer and Corporate Secretary Michael Braine Chief Technology Officer Andres M. Friedman Senior Vice President, Development Dilhara Kaluarachchi Vice President, Customer Care Nicholas J. Kangas Executive Vice President, Finance and Accounting Steven H. Lentin Executive Vice President, Operations Terrance F. Spidell Senior Vice President, Corporate Controller Paul Spittle Senior Vice President, Acquisitions Nathan A. Tan Senior Vice President, Human Resources Phillip D. Williams, Jr. Senior Vice President, Construction Robbie Williams Senior Vice President, Asset Management Third Party Management Peter G. Panos President PS Insurance Marshann G. Varley President Lending Irena R. Edwards Vice President Shurgard Self Storage Limited Marc Oursin Chief Executive Officer Corporate Headquarters 701 Western Avenue Glendale, CA 91201-2349 Investor Relations Ryan Burke Vice President, Investor Relations and Strategic Partnerships (818) 244-8080 Transfer Agent Computershare Trust Company, N.A. P.O. Box 43078 Providence, RI 02940-3078 (781) 575-3120 Shareholder website: www.computershare.com/investor Shareholder online inquiries: www.computershare.com/us/investor-inquiries Independent Registered Public Accounting Firm Ernst & Young LLP Los Angeles, CA Annual Meeting of Shareholders The Annual Meeting of Shareholders of Public Storage will be held on May 7, 2025 at 8:00 a.m. Central Time at The Rosewood Mansion on Turtle Creek, 2821 Turtle Creek Boulevard, Dallas, TX 75219. Additional Information Sources The Company’s website, PublicStorage.com, contains financial information of interest to shareholders, brokers and others. Public Storage is a member and active supporter of the National Association of Real Estate Investment Trusts. Certifications The most recent certifications by our Chief Executive Officer and Chief Financial Officer pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act of 2002 are filed as exhibits to our Form 10-K. Our Chief Executive Officer’s most recent annual certification to the New York Stock Exchange was submitted on May 8, 2024. Stock Exchange Listing The Company’s Common Shares trade under ticker symbol PSA on the New York Stock Exchange. PUBLIC STORAGE 701 Western Avenue, Glendale, California 91201-2349 (818) 244-8080 • PublicStorage.com