SmartStop Self Storage REIT, Inc. raised its full-year 2026 Funds from Operations as Adjusted (FFOa) per share guidance to a range of $1.98 to $2.04, surpassing the consensus analyst estimate of $1.99. The upward revision follows a strong second quarter in which the company reported a 17.6% year-over-year increase in FFOa per share to $0.49, driven by same-store operating margin expansion of 150 basis points to 67.3% and effective expense control.

Q2 2026 Financial Performance

For the three months ended June 30, 2026, SmartStop delivered broad-based improvement across key financial metrics. Net income attributable to common stockholders rose by approximately $19.6 million to ~$11.2 million, while total self-storage-related revenues increased by ~$4.9 million to ~$65.8 million. Same-store revenues grew by 1.3%, supported by a 1.9% increase in annualized rent per occupied square foot to ~$20.33. Although same-store average physical occupancy declined slightly by ~0.6% to 92.5%, property operating expenses decreased by 3.4%, contributing to a 3.7% rise in same-store NOI.

H. Michael Schwartz, Chairman and Chief Executive Officer, attributed the performance to the company’s revenue management platform and operational efficiency. During the quarter, SmartStop deployed over $46 million into accretive on-balance-sheet acquisitions and bridge capital investments, while organically reducing cash flow leverage from the prior quarter.

Updated Full Year 2026 Guidance

On August 5, 2026, SmartStop updated its full-year outlook, raising the lower end of its FFOa per share guidance from $1.94 to $1.98, while maintaining the upper end at $2.04. This range now exceeds the $1.99 analyst estimate. The updated guidance assumes an average USD/CAD exchange rate of approximately 0.72x and an average one-month SOFR of 3.8%. The same-store pool for 2026 comprises 155 properties, reduced from 157 following the removal of assets impacted by eminent domain proceedings in North Carolina.

Strategic Developments and Capital Deployment

In June 2026, SmartStop acquired three self-storage facilities in Spartanburg, South Carolina, for approximately $29.7 million from indirect subsidiaries of Strategic Storage Growth Trust III, Inc. (SSGT III). Year-to-date acquisitions totaled 231,700 net rentable square feet for a total purchase price of $30,359 thousand. Additionally, the company closed a $16.3 million preferred investment in June and a $3.1 million joint venture preferred investment with AXCS in August, achieving a weighted average yield of approximately 10.9%.

SmartStop also announced the signing of an Agreement and Plan of Merger between SSGT III and Strategic Storage Trust VI, Inc. (SST VI), expected to close in the fourth quarter of 2026. SmartStop will receive a $2.0 million negotiated payment under a termination agreement and will continue to serve as advisor and property manager to SST VI.

SmartStop Self Storage REIT, Inc. expanded its third-party management platform into Canada by contracting an 80,910-square-foot facility in Aurora, Ontario. The property, comprising 829 units, represents the company's first third-party management agreement in Canada and strengthens its presence in the Greater Toronto Area. This expansion increases the company's footprint in one of North America's fastest-growing metropolitan markets, where SmartStop and its affiliates already own or manage a substantial portfolio of operating properties.

The Aurora facility adds to SmartStop's existing Canadian portfolio, which includes 52 operating self-storage properties across four provinces. As of July 20, 2026, the company's owned or managed portfolio totals 460 operating properties in 36 states, Washington, D.C., and Canada. The aggregate portfolio comprises over 275,000 units and more than 35 million rentable square feet.

Canadian Portfolio Overview

H. Michael Schwartz, Chairman and Chief Executive Officer of SmartStop, emphasized the significance of the agreement. "This agreement represents something we never take for granted: owners trusting us to maximize their investment," said Schwartz. He highlighted that the company provides sophisticated revenue management, marketing, and operational expertise to drive performance for independent owners.

SmartStop's third-party management platform offers three flexible management models specifically designed for self-storage entrepreneurs. The platform provides access to the company's proprietary technology, revenue management expertise, integrated marketing, and a fully staffed operations team of more than 1,000 self-storage professionals. The company operates as a self-managed REIT focused on growing the SmartStop Self Storage brand across North America.