Self Storage is a very attractive real estate asset.

Can be purchased at reasonable cash flow valuations

Not capital intensive
•  Long lived buildings with low maintenance cost
   •   Lease turnover requires little landlord capital spending, unlike other real estate assets:
       •   Tenant improvement allowances and leasing commissions (office, retail, industrial)
       •   Refurbishment costs (apartment)

Consumer and Business Tenants
   •   Short term leases
       •   Raise rents at tenant turnover
       •   Raise rents to existing tenants at CPI or greater
   •   Consumers have emotional connections to storage
   •   Businesses achieve profitability gains with Storage

Effective Management Correlates to Profitability
   •   Direct marketing to consumers and businesses
   •   Customer service produces results
   •   Efficient technology improves customer relationships

Competitive cash returns, not a long-term land play