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Public Storage, Inc. 1997 Annual Report
3
advancing our real estate program. There were about 105 mil-
lion American households in 1997. Assuming a 10 percent
utilization rate, we estimate that at any given point in time
approximately 10 million American households are renting
self-storage space. That means that 95 million American
households are not renting a self-storage unit. This reflects
the dimensions of the prospective market for the self-storage
industry and for Public Storage in particular.
The Road Ahead
We believe our industry, and specifically our Company, is
positioned for growth. The economic and social influences
that drive demand in the self-storage industry are strong.
These influences, along with our position as the largest oper-
ator in the industry and our substantial market penetration,
resulted in strong occupancies and realized rents in 1997 for
our Company. Revenues and net operating income advanced
on a Same Store basis for the year ended December 31, 1997
compared to the previous year.
We believe we have the right vision and strategies to
respond to the opportunities and challenges in our industry
today. Our operating business and financial position give
us the capability to generate rising cash flow and provides us
with the opportunity to reinvest a substantial portion of that
cash. Our strengths enhance the growth of portable self-
storage, retail stores and truck rentals. Our vision and strate-
gies should continue to differentiate us from our competitors
and provide advantages in the future. We thank our share-
holders, employees and customers for supporting our vision.
Sincerely,
B. Wayne Hughes
Chairman of the Board
and Chief Executive Officer
Harvey Lenkin
President
March 31, 1998
The Marine Corps’
50th Anniversary
Toys for Tots pro-
gram provided an
opportunity to help
brighten the holi-
days for deserving
young people last
year. The Toys for
Tots program used
modified Pak &
Store
TM
self-storage
containers for holi-
day toy collection
outside selected
Target Stores.
Our properties are located in almost every major metropolitan area of the
United States. This property is in Atlanta, Georgia.