Extra Space Storage lifts 2026 FFO forecast on higher pricing, cost controls

Extra Space Storage

28/07/2026 23:19

July 28 (Reuters) - Extra Space Storage EXR.N raised its forecast for full-year funds from operations on Tuesday, driven by higher rates for its self-storage units and a cutback in expenses.
Storage companies have been benefiting from a decline in new supply and moderation in available units, enabling them to regain pricing power.

Here are some details: 
Net rental income during the second quarter rose 2.5% from last year, while same-store operating expenses fell 0.5% from a year ago. 
The REIT now expects annual core FFO to be between $8.25 and $8.40 per share, compared to an earlier range of $8.05 to $8.35 a share. 
The midpoint of the new forecast is above analysts' estimate of $8.28 per share, according to data compiled by LSEG.
It also lowered its 2026 same-store expense growth forecast to a range of 1% to 2%, compared to an earlier forecast of 2% to 3.5%.
The REIT's core FFO for quarter ending June 30 was $2.15 apiece, above analysts' average estimate of $2.07 per share.

 (Reporting by Megha Kumari and Aishwarya Jain in Bengaluru; Editing by Shailesh Kuber)
 ((Megha.Kumari@thomsonreuters.com))