Sovran Self Storage Reports Second Quarter Results, Adjusted FFO per Share Increases 14.9%, Guidance Raised

BUFFALO, N.Y.--(BUSINESS WIRE)--Sovran Self Storage, Inc. (NYSE:SSS), a self storage real estate investment trust (REIT), reported operating results for the quarter ended June 30, 2014.

Net income available to common shareholders for the second quarter of 2014 was $20.6 million or $0.62 per fully diluted common share. For the same period in 2013, net income available to common shareholders was $17.9 million, or $0.57 per fully diluted common share.

Funds from operations (FFO) for the quarter were $1.00 per fully diluted common share compared to $0.94 for the same period last year. In the second quarter of 2014, the Company incurred net acquisition costs of $2.0 million in connection with its property purchases and had a straight line rent adjustment of $0.5 million relating to the lease expense of the former Westy properties. In the second quarter of 2013, the Company incurred no such costs or adjustments. Absent these charges, adjusted FFO per share was $1.08 and $0.94 for the second quarter of 2014 and 2013, respectively.

Improved occupancies and rising rental rates more than offset the anticipated increases in property taxes, repair and maintenance and utilities, resulting in the strong FFO growth.

“This spring’s leasing season has proven to be a good one, and we’ve been able to achieve strong rate growth across all of our markets” said David Rogers, the Company’s CEO. “We hit our best ever earnings level this quarter, and we are on pace to beat our all-time high for occupancy and rental rates later this summer.”

OPERATIONS:

Total revenues increased 19.9% over last year’s second quarter, while operating costs increased 16.9%, resulting in an NOI ⁽³⁾ increase of 21.2%. Overall occupancy averaged 90.7% for the period and rental rates increased 8.3% to an average of $11.79 per sq. ft.

Revenues for the 386 stores wholly owned by the Company since January 1, 2013 increased 8.6% from those of the second quarter of 2013, the result of a 270 basis point increase in average occupancy, a 4.4% increase in rental rates and strong growth in insurance commissions.

Same store operating expenses increased 5.7% for the second quarter of 2014 compared to the prior year period, primarily the result of increased property tax charges of 12.1%. Repair and maintenance costs were also higher than expected due to the extended harsh winter.

Consequently, same store net operating income increased 10.0% this period over the second quarter of 2013.

General and administrative expenses increased by approximately $1.4 million over the same period in 2013, primarily due to increases in internet advertising and personnel costs associated with operating more stores during the quarter than at this time last year.

During the second quarter of 2014, the Company experienced significant same store revenue and NOI growth in every state in which it operates. The stores with the strongest revenue impact include those in Texas, Florida, New York, Illinois, and Georgia.

PROPERTIES:

As previously announced, the Company acquired 19 self storage facilities for a total cost of approximately $130 million in the second quarter. Sixteen stores were purchased on behalf of the Company for a cost of $96 million and the balance was acquired for Sovran HHF Storage Holdings LLC, a joint venture in which the Company owns a 20% interest.

The properties total approximately 1.3 million square feet and are all located in markets where the Company already has a presence: seven in New Jersey; seven in St. Louis; and one each in Metro New York, Philadelphia, Atlanta, Chicago and San Antonio.

Subsequent to quarter end, the Company also acquired a 78,000 sq. ft. facility in New Jersey for $11.8 million.

CAPITAL TRANSACTIONS:

Illustrated below are key financial ratios at June 30, 2014:

• Debt to Enterprise Value (at $77.25/share) 22.7%
• Debt to Book Cost of Storage Facilities 36.8%
• Debt to EBITDA Ratio 4.5x
• Debt Service Coverage 4.9x

At June 30, 2014, the Company had approximately $7 million of cash on hand, and $166 million available on its line of credit (without considering the additional $75 million available under the expansion feature).

As previously announced, on April 8, 2014 the Company issued $175 million of ten-year unsecured notes at a fixed rate of 4.533%. $115 million of the proceeds were used to pay down the Company’s line of credit balance with the remainder used to fund acquisitions and property expansions.

The Company issued 250,000 shares of its common stock via its previously announced ATM program during the quarter at an average price of $77.08 per share, resulting in net proceeds of $18.9 million after issuance costs. The Company used the proceeds to fund the purchase of the aforementioned properties. Also in April, the Company issued 43,092 shares at an average price of $73.45 through its Dividend Reinvestment Plan.

COMMON STOCK DIVIDEND:

Subsequent to quarter end, the Company announced a quarterly dividend of $0.68 per share or $2.72 annualized.

YEAR 2014 EARNINGS GUIDANCE:

Management is encouraged by its occupancy gains, rent growth, and resiliency in most markets. The following assumptions covering operations have been utilized in formulating guidance for the third quarter and full year 2014:

	Same Store Projected Increases Over 2013
	3Q 2014	Full Year 2014
Revenue	6.5 – 7.5%	7.0 – 8.0%
Operating Costs (excluding property taxes)	2.5 – 3.5%	3.5 – 4.5%
Property Taxes	5.0 – 6.0%	8.5 – 9.5%
Total Operating Expenses	3.5 – 4.5%	5.0 – 6.0%
Net Operating Income	8.5 – 9.5%	8.0 – 9.0%

The Company intends to spend up to $25 million on its expansion and enhancement program. It has also budgeted $16 million to provide for recurring capitalized expenditures including roofing, paving, and office renovations.

In addition to the $203 million of properties acquired on the Company’s behalf thus far this year, it has assumed $50 million of additional acquisitions in 2014. Per share FFO guidance is projected after adding back third party acquisition costs. Purchases of additional properties are expected to be funded via proceeds from the Company’s ATM program, and draws on its line of credit which carries an interest rate of LIBOR plus 1.5%.

Annual general and administrative expenses are expected to be approximately $40 million due to the need for additional personnel required for recent acquisitions, income taxes on its taxable REIT subsidiaries, and the Company’s plans to continue expanding its internet marketing presence, Corporate Alliance and third party management programs.

At June 30, 2014, the Company had 33.2 million shares of common stock outstanding and 0.2 million Operating Partnership Units outstanding.

As a result of the above assumptions, management expects funds from operations for the full year 2014 to be approximately $4.32 to $4.36 per share, and between $1.14 and $1.16 per share for the third quarter of 2014.

FORWARD LOOKING STATEMENTS:

When used within this news release, the words “intends,” “believes,” “expects,” “anticipates,” and similar expressions are intended to identify “forward looking statements” within the meaning of that term in Section 27A of the Securities Act of 1933, and in Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the Company to be materially different from those expressed or implied by such forward looking statements. Such factors include, but are not limited to, the effect of competition from new self storage facilities, which could cause rents and occupancy rates to decline; the Company’s ability to evaluate, finance and integrate acquired businesses into the Company’s existing business and operations; the Company’s existing indebtedness may mature in an unfavorable credit environment, preventing refinancing or forcing refinancing of the indebtedness on terms that are not as favorable as the existing terms; interest rates may fluctuate, impacting costs associated with the Company’s outstanding floating rate debt; the Company’s ability to comply with debt covenants; the future ratings on the Company’s debt instruments; the regional concentration of the Company’s business may subject it to economic downturns in the states of Florida and Texas; the Company’s ability to effectively compete in the industries in which it does business; the Company’s reliance on its call center; the Company’s cash flow may be insufficient to meet required payments of principal, interest and dividends; and tax law changes which may change the taxability of future income.

CONFERENCE CALL:

Sovran Self Storage will hold its Second Quarter Earnings Release Conference Call at 9:00 a.m. Eastern Time on Thursday, July 31, 2014. To access the conference call, dial 877.407.8033 (domestic), or 201.689.8033 (international). Management will accept questions from registered financial analysts after prepared remarks; all others are encouraged to listen to the call via webcast by accessing “events and conference calls” under the investor relations tab at www.unclebobs.com/company/.

The webcast will be archived for a period of 90 days; a telephone replay will also be available for 72 hours by calling 877.660.6853 and entering conference ID 13586701.

ABOUT SOVRAN SELF STORAGE, INC:

Sovran Self Storage, Inc. is a self-administered and self-managed equity REIT that is in the business of acquiring and managing self storage facilities. The Company operates 502 self storage facilities in 25 states under the name “Uncle Bob’s Self Storage”^®. For more information, visit www.unclebobs.com, like us on Facebook, or follow us on Twitter.

SOVRAN SELF STORAGE, INC.
BALANCE SHEET DATA
(unaudited)
	June 30,			December 31,
(dollars in thousands)		2014			2013
Assets
Investment in storage facilities:
Land	$	370,243		$	312,053
Building, equipment and construction in progress		1,693,331			1,552,584
		2,063,574			1,864,637
Less: accumulated depreciation		(389,310	)		(366,472	)
Investment in storage facilities, net		1,674,264			1,498,165
Cash and cash equivalents		6,959			9,524
Accounts receivable		5,332			5,119
Receivable from joint venture		543			883
Investment in joint venture		36,750			30,391
Prepaid expenses		8,264			5,978
Intangible asset - in-place customer leases (net of accumulated
amortization of $15,030 in 2014 and $13,551 in 2013)		3,149			1,092
Fair value of interest rate swap agreements		-			794
Other assets		5,030			9,929
Total Assets	$	1,740,291		$	1,561,875
Liabilities
Line of credit	$	8,000		$	49,000
Term notes		750,000			575,000
Accounts payable and accrued liabilities		35,040			37,741
Deferred revenue		7,736			6,708
Fair value of interest rate swap agreements		12,376			7,523
Mortgages payable		2,191			2,254
Total Liabilities		815,343			678,226
Noncontrolling redeemable Operating Partnership Units at redemption value		15,348			12,940
Equity
Common stock		344			337
Additional paid-in capital		1,120,650			1,066,399
Accumulated deficit		(172,162	)		(162,450	)
Accumulated other comprehensive loss		(12,057	)		(6,402	)
Treasury stock at cost		(27,175	)		(27,175	)
Total Shareholders' Equity		909,600			870,709
Total Liabilities and Equity	$	1,740,291		$	1,561,875

CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
	April 1, 2014			April 1, 2013
	to			to
(dollars in thousands, except share data)	June 30, 2014			June 30, 2013
Revenues
Rental income	$	74,394		$	62,127
Other operating income		4,758			3,919
Management fee income		1,156			1,063
Acquisition fee income		136			-
Total operating revenues		80,444			67,109
Expenses
Property operations and maintenance		16,453			14,594
Real estate taxes		8,055			6,363
General and administrative		10,404			8,988
Acquisition related costs		1,938			-
Operating leases of storage facilities		1,997			-
Depreciation and amortization		11,668			10,404
Amortization of in-place customer leases		813			954
Total operating expenses		51,328			41,303
Income from operations		29,116			25,806
Other income (expense)
Interest expense (A)		(8,872	)		(8,446	)
Interest income		24			1
Equity in income of joint ventures		433			455
Income from continuing operations		20,701			17,816
Income from discontinued operations		-			236
Net income		20,701			18,052
Net income attributable to noncontrolling interests		(125	)		(115	)
Net income attributable to common shareholders	$	20,576		$	17,937
Earnings per common share attributable to common shareholders - basic
Continuing operations	$	0.63		$	0.56
Discontinued operations	$	-		$	0.01
Earnings per share - basic	$	0.63		$	0.57
Earnings per common share attributable to common shareholders - diluted
Continuing operations	$	0.62		$	0.56
Discontinued operations	$	-		$	0.01
Earnings per share - diluted	$	0.62		$	0.57
Common shares used in basic
earnings per share calculation		32,799,837			31,275,850
Common shares used in diluted
earnings per share calculation		32,979,708			31,425,016
Dividends declared per common share	$	0.68		$	0.48
(A) Interest expense for the three months ending June 30 consists of the following
Interest expense	$	8,660		$	8,232
Amortization of deferred financing fees		212			214
Total interest expense	$	8,872		$	8,446

	January 1, 2014			January 1, 2013
	to			to
(dollars in thousands, except share data)	June 30, 2014			June 30, 2013
Revenues
Rental income	$	144,347		$	121,688
Other operating income		9,165			7,263
Management fee income		2,254			2,036
Acquisition fee income		136			-
Total operating revenues		155,902			130,987
Expenses
Property operations and maintenance		33,518			29,719
Real estate taxes		16,121			12,782
General and administrative		20,360			17,781
Acquisition related costs		4,716			486
Operating leases of storage facilities		3,994			-
Depreciation and amortization		22,944			20,674
Amortization of in-place customer leases		1,479			1,885
Total operating expenses		103,132			83,327
Income from operations		52,770			47,660
Other income (expense)
Interest expense (A)		(16,216	)		(16,904	)
Interest income		31			1
Gain on sale of real estate		-			421
Equity in income of joint ventures		892			842
Income from continuing operations		37,477			32,020
Income from discontinued operations		-			404
Net income		37,477			32,424
Net income attributable to noncontrolling interests		(228	)		(207	)
Net income attributable to common shareholders	$	37,249		$	32,217
Earnings per common share attributable to common shareholders - basic
Continuing operations	$	1.14		$	1.03
Discontinued operations	$	-		$	0.01
Earnings per share - basic	$	1.14		$	1.04
Earnings per common share attributable to common shareholders - diluted
Continuing operations	$	1.14		$	1.03
Discontinued operations	$	-		$	0.01
Earnings per share - diluted	$	1.14		$	1.04
Common shares used in basic
earnings per share calculation		32,591,917			30,882,352
Common shares used in diluted
earnings per share calculation		32,759,069			31,039,756
Dividends declared per common share	$	1.36		$	0.96
(A) Interest expense for the six months ending June 30 consists of the following
Interest expense	$	15,809		$	16,481
Amortization of deferred financing fees		407			423
Total interest expense	$	16,216		$	16,904

COMPUTATION OF FUNDS FROM OPERATIONS (FFO) (1) - (unaudited)
	April 1, 2014			April 1, 2013
	to			to
(dollars in thousands, except share data)	June 30, 2014			June 30, 2013
Net income attributable to common shareholders	$	20,576		$	17,937
Net income attributable to noncontrolling interests		125			115
Depreciation of real estate and amortization of intangible
assets exclusive of deferred financing fees		12,255			11,138
Depreciation of real estate included in discontinued operations		-			89
Depreciation and amortization from unconsolidated joint ventures		360			372
Gain on sale of real estate		-			-
Funds from operations allocable to noncontrolling
interest in Operating Partnership		(202	)		(189	)
Funds from operations available to common shareholders		33,114			29,462
FFO per share - diluted	$	1.00		$	0.94
Non-recurring Adjustments to FFO
Acquisition costs expensed		1,938			-
Company's share of acquisition costs expensed by Sovran HHF Storage Holdings		185			-
Acquisition fee income from Sovran HHF Storage Holdings		(136	)		-
Operating leases straight line rent adjustment		497			-
Funds from operations resulting from non-recurring items allocable to noncontrolling
interest in Operating Partnership		(15	)		-
Adjusted funds from operations available to common shareholders		35,583			29,462
Adjusted FFO per share - diluted	$	1.08		$	0.94
Common shares - diluted		32,979,708			31,425,016
	January 1, 2014			January 1, 2013
	to			to
(dollars in thousands, except share data)	June 30, 2014			June 30, 2013
Net income attributable to common shareholders	$	37,249		$	32,217
Net income attributable to noncontrolling interests		228			207
Depreciation of real estate and amortization of intangible
assets exclusive of deferred financing fees		23,970			22,141
Depreciation of real estate included in discontinued operations		-			177
Depreciation and amortization from unconsolidated joint ventures		736			746
Gain on sale of real estate		-			(421	)
Funds from operations allocable to noncontrolling
interest in Operating Partnership		(378	)		(351	)
Funds from operations available to common shareholders		61,805			54,716
FFO per share - diluted	$	1.89		$	1.76
Non-recurring Adjustments to FFO
Acquisition costs expensed		4,716			486
Company's share of acquisition costs expensed by Sovran HHF Storage Holdings		185			-
Acquisition fee income from Sovran HHF Storage Holdings		(136	)		-
Operating leases straight line rent adjustment		994			-
Funds from operations resulting from non-recurring items allocable to noncontrolling
interest in Operating Partnership		(35	)		(3	)
Adjusted funds from operations available to common shareholders		67,529			55,199
Adjusted FFO per share - diluted	$	2.06		$	1.78
Common shares - diluted		32,759,069			31,039,756

(1) We believe that Funds from Operations (“FFO”) provides relevant and meaningful information about our operating performance that is necessary, along with net earnings and cash flows, for an understanding of our operating results. FFO adds back historical cost depreciation, which assumes the value of real estate assets diminishes predictably in the future. In fact, real estate asset values increase or decrease with market conditions. Consequently, we believe FFO is a useful supplemental measure in evaluating our operating performance by disregarding (or adding back) historical cost depreciation.

Funds from operations is defined by the National Association of Real Estate Investment Trusts, Inc. (“NAREIT”) as net income available to common shareholders computed in accordance with generally accepted accounting principles (“GAAP”), excluding gains or losses on sales of properties, plus impairment of real estate assets, plus depreciation and amortization and after adjustments to record unconsolidated partnerships and joint ventures on the same basis. We believe that to further understand our performance, FFO should be compared with our reported net income and cash flows in accordance with GAAP, as presented in our consolidated financial statements.

Our computation of FFO may not be comparable to FFO reported by other REITs or real estate companies that do not define the term in accordance with the current NAREIT definition or that interpret the current NAREIT definition differently. FFO does not represent cash generated from operating activities determined in accordance with GAAP, and should not be considered as an alternative to net income (determined in accordance with GAAP) as an indication of our performance, as an alternative to net cash flows from operating activities (determined in accordance with GAAP) as a measure of our liquidity, or as an indicator of our ability to make cash distributions.

QUARTERLY SAME STORE DATA (2) * 386 stores owned since 12/31/12 (unaudited)	April 1, 2014		April 1, 2013
	to		to					Percentage
(dollars in thousands)	June 30, 2014		June 30, 2013		Change			Change
Revenues:
Rental income	$	66,745	$	61,641	$	5,104		8.3	%
Tenant insurance commissions		2,354		1,871		483		25.8	%
Other operating income		1,432		1,423		9		0.6	%
Total operating revenues		70,531		64,935		5,596		8.6	%
Expenses:
Payroll and benefits		6,286		6,145		141		2.3	%
Real estate taxes		7,043		6,284		759		12.1	%
Utilities		2,421		2,359		62		2.6	%
Repairs and maintenance		2,315		2,091		224		10.7	%
Office and other operating expense		2,422		2,281		141		6.2	%
Insurance		988		1,113		(125	)	-11.2	%
Advertising & yellow pages		355		383		(28	)	-7.3	%
Total operating expenses		21,830		20,656		1,174		5.7	%
Net operating income (3)	$	48,701	$	44,279	$	4,422		10.0	%
QTD Same store move ins		45,898		47,791		(1,893	)
QTD Same store move outs		39,662		38,800		862
OTHER COMPARABLE QUARTERLY SAME STORE DATA * (unaudited)	April 1, 2014		April 1, 2013
	to		to					Percentage
	June 30, 2014		June 30, 2013		Change			Change
Stores owned since 12/31/11 (358 stores) (2)
Revenues	$	64,178	$	59,777	$	4,401		7.4	%
Expenses		19,666		18,753		913		4.9	%
Net operating income (3)	$	44,512	$	41,024	$	3,488		8.5	%
Stores owned since 12/31/10 (330 stores) (2)
Revenues	$	58,370	$	54,464	$	3,906		7.2	%
Expenses		17,667		16,847		820		4.9	%
Net operating income (3)	$	40,703	$	37,617	$	3,086		8.2	%

(2) Includes the stores owned and/or managed by the Company for the entire periods presented that are consolidated in our financial statements. Does not include unconsolidated joint ventures or other stores managed by the Company.

(3) Net operating income or "NOI" is a non-GAAP (generally accepted accounting principles) financial measure that we define as total continuing revenues less continuing property operating expenses. NOI also can be calculated by adding back to net income: interest expense, impairment and casualty losses, depreciation and amortization expense, acquisition related costs, general and administrative expense, and deducting from net income: income from discontinued operations, interest income, gain on sale of real estate, and equity in income of joint ventures. We believe that NOI is a meaningful measure of operating performance, because we utilize NOI in making decisions with respect to capital allocations, in determining current property values, and comparing period-to-period and market-to-market property operating results. NOI should be considered in addition to, but not as a substitute for, other measures of financial performance reported in accordance with GAAP, such as total revenues, operating income and net income.

* See exhibit A for supplemental quarterly same store data.

YEAR TO DATE SAME STORE DATA (2) * 386 stores owned since 12/31/12 (unaudited)	January 1, 2014		January 1, 2013
	to		to					Percentage
(dollars in thousands)	June 30, 2014		June 30, 2013		Change			Change
Revenues:
Rental income	$	130,684	$	121,029	$	9,655		8.0	%
Tenant insurance commissions		4,643		3,539		1,104		31.2	%
Other operating income		2,635		2,623		12		0.5	%
Total operating revenues		137,962		127,191		10,771		8.5	%
Expenses:
Payroll and benefits		12,540		12,331		209		1.7	%
Real estate taxes		14,100		12,679		1,421		11.2	%
Utilities		5,283		4,861		422		8.7	%
Repairs and maintenance		5,026		4,535		491		10.8	%
Office and other operating expense		4,842		4,699		143		3.0	%
Insurance		2,061		2,136		(75	)	-3.5	%
Advertising & yellow pages		712		781		(69	)	-8.8	%
Total operating expenses		44,564		42,022		2,542		6.0	%
Net operating income (3)	$	93,398	$	85,169	$	8,229		9.7	%
YTD Same store move ins		84,516		85,906		(1,390	)
YTD Same store move outs		75,239		75,507		(268	)

OTHER DATA	Same Store (2)						All Stores (4)
		2014			2013			2014			2013
Weighted average quarterly occupancy		91.0	%		88.3	%		90.7	%		88.3	%
Occupancy at June 30		91.8	%		89.8	%		91.4	%		89.8	%
Rent per occupied square foot	$	11.36		$	10.88		$	11.79		$	10.89
(4) Does not include unconsolidated joint venture stores managed by the Company

Investment in Storage Facilities: (unaudited)
The following summarizes activity in storage facilities during the months ended June 30, 2014:
Beginning balance	$	1,864,637
Property acquisitions		187,325
Improvements and equipment additions:
Expansions		7,646
Roofing, paving, and equipment:
Stabilized stores		6,085
Recently acquired stores		473
Change in construction in progress (Total CIP $7.4 million)		(2,368	)
Dispositions and Impairments		(224	)
Storage facilities at cost at period end	$	2,063,574
Comparison of Selected G&A Costs (unaudited)	Quarter Ended
	June 30, 2014			June 30, 2013
Management and administrative salaries and benefits		5,604			4,760
Internet advertising & marketing		1,540			1,379
Training		277			256
Call center		409			401
Uncle Bob's Management costs		114			137
Income taxes		332			332
Other administrative expenses (5)		2,128			1,723
	$	10,404		$	8,988

(5) Other administrative expenses include professional fees, office rent, travel expense, investor relations and miscellaneous other expenses.
	June 30, 2014	June 30, 2013
Common shares outstanding	33,240,930	31,416,052
Operating Partnership Units outstanding	198,913	199,163

Exhibit A
Sovran Self Storage, Inc.
Same Store Performance Summary
Three Months Ended June 30, 2014
(unaudited)
			Avg Qtrly	Avg Quarterly Occupancy		Revenue			Expenses			NOI
			Rent per	for the Three Months		for the Three Months			for the Three Months			for the Three Months
		Square	Occupied	Ended June 30,		Ended June 30,			Ended June 30,			Ended June 30,
State	Stores	Feet	Square Foot	2014	2013	2014	2013	% Change	2014	2013	% Change	2014	2013	% Change
Alabama	22	1,618	$ 8.39	89.1%	86.9%	$ 3,273	$ 3,069	6.6%	$ 920	$ 886	3.8%	$ 2,353	$ 2,183	7.8%
Arizona	10	669	10.01	83.9%	77.1%	1,516	1,385	9.5%	507	477	6.3%	1,009	908	11.1%
Connecticut	5	329	18.26	85.1%	93.9%	1,319	1,249	5.6%	390	358	8.9%	929	891	4.3%
Florida	60	3,976	11.25	89.1%	86.4%	10,593	9,732	8.8%	3,307	3,144	5.2%	7,286	6,588	10.6%
Georgia	28	1,949	10.27	91.6%	81.9%	4,915	4,236	16.0%	1,478	1,382	6.9%	3,437	2,854	20.4%
Illinois	9	701	12.97	88.1%	81.0%	2,097	1,821	15.2%	809	691	17.1%	1,288	1,130	14.0%
Louisiana	14	823	11.18	92.1%	90.0%	2,222	2,058	8.0%	571	548	4.2%	1,651	1,510	9.3%
Maine	2	114	13.11	95.8%	92.2%	376	345	9.0%	93	89	4.5%	283	256	10.5%
Maryland	3	139	16.26	91.1%	89.5%	533	515	3.5%	160	154	3.9%	373	361	3.3%
Massachusetts	12	656	14.30	92.2%	92.8%	2,284	2,172	5.2%	676	660	2.4%	1,608	1,512	6.3%
Mississippi	12	916	9.42	91.5%	89.5%	2,089	2,011	3.9%	573	583	-1.7%	1,516	1,428	6.2%
Missouri	8	515	11.84	91.1%	91.5%	1,459	1,347	8.3%	452	452	0.0%	1,007	895	12.5%
New Hampshire	4	260	11.69	92.1%	91.5%	734	676	8.6%	209	202	3.5%	525	474	10.8%
New Jersey	2	121	17.56	90.8%	81.8%	546	466	17.2%	198	192	3.1%	348	274	27.0%
New York	28	1,691	14.14	93.2%	89.0%	5,852	5,424	7.9%	1,737	1,665	4.3%	4,115	3,759	9.5%
North Carolina	19	1,155	10.12	93.8%	91.8%	2,900	2,670	8.6%	790	759	4.1%	2,110	1,911	10.4%
Ohio	16	1,089	9.89	91.5%	89.2%	2,600	2,429	7.0%	739	712	3.8%	1,861	1,717	8.4%
Pennsylvania	4	220	9.93	94.8%	89.7%	538	507	6.1%	162	160	1.3%	376	347	8.4%
Rhode Island	4	206	12.41	90.5%	87.9%	635	610	4.1%	215	214	0.5%	420	396	6.1%
South Carolina	8	449	10.61	91.5%	87.7%	1,159	1,048	10.6%	384	379	1.3%	775	669	15.8%
Tennessee	4	291	10.17	92.8%	91.6%	718	686	4.7%	246	230	7.0%	472	456	3.5%
Texas	94	6,720	11.67	92.7%	91.5%	19,023	17,478	8.8%	6,315	5,822	8.5%	12,708	11,656	9.0%
Virginia	18	1,236	11.23	86.7%	85.7%	3,150	3,001	5.0%	899	897	0.2%	2,251	2,104	7.0%
Portfolio Total	386	25,843	$ 11.36	91.0%	88.3%	$ 70,531	$ 64,935	8.6%	$ 21,830	$ 20,656	5.7%	$ 48,701	$ 44,279	10.0%
Properties owned since 12/31/12 (detail shown above)	386	25,843	11.36	91.0%	88.3%	70,531	64,935	8.6%	21,830	20,656	5.7%	48,701	44,279	10.0%
Properties owned since 12/31/11	358	23,644	11.27	91.2%	89.7%	64,178	59,777	7.4%	19,666	18,753	4.9%	44,512	41,024	8.5%
Properties owned since 12/31/10	330	21,822	11.09	91.3%	89.6%	58,370	54,464	7.2%	17,667	16,847	4.9%	40,703	37,617	8.2%
Dollars in thousands except for average quarterly rent per occupied square foot. Square feet in thousands.

Exhibit B
Sovran Self Storage, Inc.
Debt Maturity Schedule
June 30, 2014
(unaudited)
			Current
	Maturity	Basis of	Interest
(dollars in thousands)	Date	Rate	Rate (1)			2014		2015		2016		2017		2018	Thereafter		Total
Line of credit	Jun-2018	Variable	1.65	%	$	-	$	-	$	-	$	-	$	8,000	$	-	$	8,000
Term note	Apr-2016	Fixed	6.38	%		-		-		150,000		-		-		-		150,000
Term note	Jun-2020	Swapped to fixed	4.02	%		-		-		-		-		-		125,000		125,000
Term note	Jun-2020	Swapped to fixed	3.26	%		-		-		-		-		-		100,000		100,000
Term note	Jun-2020	Swapped to fixed	3.02	%		-		-		-		-		-		100,000		100,000
Term note	Aug-2021	Fixed	5.54	%		-		-		-		-		-		100,000		100,000
Term note	Apr-2024	Fixed	4.53	%		-		-		-		-		-		175,000		175,000
Mortgage note	May-2026	Fixed	5.99	%		64		134		142		151		160		1,540		2,191
					$	64	$	134	$	150,142	$	151	$	8,160	$	601,540	$	760,191
(1) Rate as of June 30, 2014 based on existing debt rating. Interest rates shown do not include amortization of financing fees and facility fees which are expected to be $1.2 million in 2014.