Public Storage 2013 Annual Report Download - page 60

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50
We are obligated to pay distributions to noncontrolling interests in our consolidated subsidiaries
based upon the cash provided by operating activities of the respective subsidiary. Such distributions are
estimated at approximately $6.4 million in 2014, with respect to such noncontrolling interests outstanding
at December 31, 2013.
Real Estate Investment Activities: As of February 25, 2014, we were under contract to acquire a
self-storage facility for approximately $10.8 million in cash. During 2014, we will continue to seek to
acquire self-storage facilities from third parties; however, it is difficult to estimate the amount of third party
acquisitions we will undertake.
As of December 31, 2013, we had development and expansion projects which will add
approximately 1.8 million net rentable square feet of storage space at a total cost of approximately
$196 million. A total of $52 million in costs were incurred through December 31, 2013, with the remaining
costs expected to be incurred primarily in 2014. Some of these projects are subject to significant
contingencies such as entitlement approval. We expect to continue to seek additional development
projects; however, the level of future development may be limited due to various constraints such as
difficulty in finding available sites for building that meet our risk-adjusted yield expectations, as well as the
challenges in obtaining building permits for self-storage activities in certain municipalities.
Shurgard Europe: Shurgard Europe has a term loan from a bank (the “Bank Loan”) with a
balance of approximately €107.5 million ($148.0 million) at December 31, 2013 maturing in November
2014 and the Shareholder Loan totaling €311.0 million ($428.1 million) at December 31, 2013. On
January 28, 2014, our joint venture partner in Shurgard Europe acquired 51% of the Shareholder Loan at
face value for €158.6 million ($216.2 million) in cash, and the maturity date of the Shareholder Loan was
extended to April 2019. Shurgard Europe is exploring various financing alternatives.
Redemption of Preferred Securities: We have no series of preferred shares that are redeemable
before April 2015 and none of our preferred securities are redeemable at the option of the holders.
Repurchases of Company’s Common Shares: Our Board of Trustees has authorized management
to repurchase up to 35,000,000 of our common shares on the open market or in privately negotiated
transactions. During 2013, we did not repurchase any of our common shares. From the inception of the
repurchase program through February 25, 2014, we have repurchased a total of 23,721,916 common shares
at an aggregate cost of approximately $679.1 million. We have no current plans to repurchase shares;
however, future levels of common share repurchases will be dependent upon our available capital,
investment alternatives and the trading price of our common shares.