Public Storage 2010 Annual Report Download - page 59

45
Selected Operating Data for the 91 facilities wholly
owned by Shurgard Europe and operated on a
stabilized basis since January 1, 2008 ³(XURSH6DPH
6WRUH)DFLOLWLHV´
Year Ended December 31,
Year Ended December 31,
2010 2009
Percentage
Change
2009 2008
Percentage
Change
(Dollar amounts in thousands, except weighted average data,
utilizing constant exchange rates) (a) (b)
Revenues:
Rental income ...................................... ....................... $ 111,222 $ 109,469
1.6%
$ 109,469 $ 114,129 (4.1)%
Late charges and administrative fees collected ............ 1,913 1,757
8.9%
1,757 1,189 47.8%
Total revenues ................................................................. 113,135 111,226
1.7%
111,226 115,318 (3.5)%
Cost of operations (excluding depreciation and
amortization expense):
Property taxes ..................................... ....................... 5,520 5,427
1.7%
5,427 5,421 0.1%
Direct property payroll ........................ ....................... 13,287 13,028
2.0%
13,028 13,076 (0.4)%
Advertising and promotion .................. ....................... 3,762 4,472
(15.9)%
4,472 3,364 32.9%
Utilities ................................................ ....................... 2,351 2,294
2.5%
2,294 2,225 3.1%
Repairs and maintenance ..................... ....................... 2,966 2,950
0.5%
2,950 3,127 (5.7)%
Property insurance ............................... ....................... 615 675
(8.9)%
675 717 (5.9)%
Other costs of management ................. ....................... 16,877 16,398
2.9%
16,398 16,037 2.3%
Total cost of operations .................................................... 45,378 45,244
0.3%
45,244 43,967 2.9%
Net operating income (c) ................................................. $ 67,757 $ 65,982
2.7%
$ 65,982 $ 71,351 (7.5)%
Gross margin ....................................................................... 59.9% 59.3%
1.0%
59.3% 61.9% (4.2)%
Weighted average for the period:
Square foot occupancy (d) ................... ....................... 85.3% 86.1%
(0.9)%
86.1% 86.9% (0.9)%
Realized annual rent per occupied square foot (e)(f) ... $26.08 $25.43
2.6%
$25.43 $26.27 (3.2)%
REVPAF (f)(g) .................................... ....................... $22.25 $21.90
1.6%
$21.90 $22.83 (4.1)%
Weighted average at December 31:
Square foot occupancy ......................... ....................... 84.8% 85.6%
(0.9)%
85.6% 84.7% 1.1%
In place annual rent per occupied square foot (h) ........ $29.70 $28.58
3.9%
$28.58 $28.73 (0.5)%
Total net rentable square feet (in thousands) ....................... 4,999 4,999
-
4,999 4,999 -
Average Euro to the U.S. Dollar: (a)
Constant exchange rates used herein ... ....................... 1.326 1.326
-
1.326 1.326 -
Actual historical exchange rates .......... ....................... 1.326 1.393
(4.8)%
1.393 1.470 (5.2)%
(a) In order to isolate changes in the underlying operations from the impact of exchange rates, the amounts in this table are
presented on a constant exchange rate basis. The amounts for the years ended December 31, 2009 and 2008 have been
restated using the actual exchange rate for 2010.
(b) Only the amounts for periods before March 31, 2008 are included in our consolidated financial statements. We include
our pro-rata share of these operating results for periods after March 31, 2008 in Equity in Earnings of Real Estate
Entities. The amounts incorporated in our financial statements, either consolidated or equity method amounts, are
based upon the actual weighted average exchange rates for each period.
(c) We present QHWRSHUDWLQJLQFRPH³12,´RIthe Shurgard Europe Same-Store Facilities, which is a non-GAAP financial
measure that excludes the impact of depreciation and amortization expense. Although depreciation and amortization is
a component of GAAP net income, we believe that NOI is a meaningful measure of operating performance, because we
utilize NOI in making decisions with respect to capital allocations, segment performance, and comparing period-to-
period and market-to-market property operating results. In addition, the investment community utilizes NOI in
determining real estate values, and does not consider depreciation expense as it is based upon historical cost. NOI is
not a substitute for net operating income after depreciation and amortization in evaluating our operating results.
(d) Square foot occupancies represent weighted average occupancy levels over the entire period.
(e) Realized annual rent per occupied square foot is computed by annualizing the result of dividing rental income before
late charges and administrative fees by the weighted average occupied square feet for the period. Realized annual rent
per occupied square foot takes into consideration promotional discounts and other items that reduce rental income from
the contractual amounts due.