Company: NSA-PB
Filing Date: 2025-11-04
Form Type: 10-Q
Source: 0001628280-25-048800
Chunk: 105

Company: National Storage Affiliates Trust
Filing Date: 2025-11-04
Form: 10-Q
Item: Item 2
Chunk 105
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 agreements. The following discussion relates to changes in cash due to operating, investing, and financing activities, which are presented in our condensed consolidated statements of cash flows included in Item 1 of this report.

Operating Activities

Cash provided by our operating activities was $265.7 million for the nine months ended September 30, 2025 compared to $282.9 million the nine months ended September 30, 2024. Our operating cash flow decreased primarily due to a decrease in rental revenue primarily driven by a decrease in total portfolio average occupancy from 85.8% for the nine months ended September 30, 2024 to 83.8% for the nine months ended September 30, 2025 and the contribution of 56 self storage properties to the 2024 Joint Venture and the sale of 52 self storage properties to unaffiliated third parties between January 1, 2024 and September 30, 2025.

Investing Activities 

Cash provided by investing activities was $10.8 million for the nine months ended September 30, 2025 compared to $470.9 million of cash provided by investing activities for the nine months ended September 30, 2024. The primary source of cash for the nine months ended September 30, 2025 was the $72.1 million of proceeds from the sale of 12 self storage properties to third parties, partially offset by our acquisition of four self storage properties and two properties that are considered annexes to existing properties, investment in our unconsolidated real estate ventures, and expenditures for corporate furniture and equipment.

Capital expenditures totaled $24.0 million and $13.0 million during the nine months ended September 30, 2025 and 2024, respectively. We generally fund post-acquisition capital additions from cash provided by operating activities.

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We categorize our capital expenditures broadly into three primary categories:

•recurring capital expenditures, which represent the portion of capital expenditures that are deemed to replace the consumed portion of acquired capital assets and extend their useful life;

•value enhancing capital expenditures, which represent the portion of capital expenditures that are made to enhance the revenue and value of an asset from its original purchase condition; and

•acquisitions capital expenditures, which represent the portion of capital expenditures capitalized during the current period that were identified and underwritten prior to a property's acquisition.

A summary of the capital expenditures for these categories, along with a reconciliation of the total for these categories to the capital expenditures reported in the accompanying