Millbrook, NY – December 1, 2025 – Global Self Storage, Inc. (NASDAQ: GSS) has announced a cash dividend of $0.0725 per common share for the fourth quarter of 2025. This declaration, with a record date of December 15, 2025, and a payment date of December 30, 2025, signals the company's continued commitment to providing consistent shareholder returns. Coming at a time when the self-storage industry is recalibrating after a period of significant growth and subsequent stabilization, this move by Global Self Storage underscores its financial resilience and strategic focus on value creation for its investors.

The consistent dividend payout is a reassuring sign for income-focused investors, particularly within the Real Estate Investment Trust (REIT) sector. While the broader market watches for signs of economic shifts and interest rate movements, Global Self Storage's steady hand in capital distribution reflects a stable operational performance and management's confidence in its future cash flows, setting a clear tone for its financial trajectory as the year draws to a close.

Detailed Coverage: A Dividend of Stability in a Shifting Market

Global Self Storage's declaration of a $0.0725 per common share dividend for the fourth quarter of 2025 is not an isolated event but rather a continuation of a well-established pattern. The company has maintained this quarterly payout throughout 2024 and 2025, with similar declarations for the third and second quarters of the current year. This consistency translates to an annualized dividend rate of $0.29 per share, demonstrating a predictable approach to shareholder returns that has been a hallmark of the company for at least the past decade.

The decision comes as the self-storage sector navigates a period of stabilization. After a post-pandemic boom that saw significant new construction, the industry is now seeing a deceleration in supply growth. In April 2025, only 2.8% of national inventory was under construction, a reduction from previous months, with further tapering projected for 2026 and 2027. This slowdown is crucial for rebalancing market dynamics, particularly in areas that experienced oversupply. Simultaneously, demand remains robust, fueled by increased mobility, the persistence of remote work, and the e-commerce boom, which collectively drive the need for flexible storage solutions.

Key players in this declaration include Global Self Storage's board of directors and management team, who regularly review the company's strategic business plan. This review encompasses critical metrics such as capital formation, debt versus equity ratios, dividend policy, and Funds From Operations (FFO) and Adjusted Funds From Operations (AFFO) performance. The company's stated objective is to increase stockholder value over time through strategic acquisitions, expansion projects at existing properties, and optimizing occupancy and competitive rate management programs. The current declaration aligns with these objectives, indicating that the company's operational performance and capital resources are well-positioned to support its ongoing strategic plan. Initial market reactions, while not explicitly detailed for this specific declaration, generally view consistent REIT dividends as a positive signal of corporate health and stable earnings, contributing to investor confidence rather than causing significant immediate stock price volatility.

Market Ripple Effects: Winners and Losers in the Storage Wars

Global Self Storage's (NASDAQ: GSS) consistent dividend policy and strategic focus on secondary and tertiary markets, while a smaller player, contribute to the competitive landscape of the self-storage REIT sector. This steady payout can attract income-focused investors, potentially drawing capital that might otherwise flow to larger, more established competitors.

Potential Winners:

• Large, Diversified REITs with Strong Balance Sheets: Industry giants like Public Storage (NYSE: PSA) and Extra Space Storage (NYSE: EXR) are well-positioned. Their extensive portfolios, strong financial standing, and proven acquisition strategies allow them to capitalize on consolidation opportunities, especially by acquiring assets from highly leveraged private players in tighter financing conditions. Extra Space Storage's acquisition of Life Storage in 2023 exemplifies this trend.
• REITs Focused on High-Demand Urban/Strategic Locations: CubeSmart (NYSE: CUBE), with its emphasis on premium services in urban areas, is likely to continue performing well due to higher barriers to entry for new construction in these markets.
• Operators Capitalizing on Niche or Secondary Markets: Global Self Storage, by effectively executing its strategy in secondary and tertiary markets, can be a "winner" in its niche. Similarly, National Storage Affiliates Trust (NYSE: NSA), with its "PRO" model leveraging local expertise, is well-suited for growth in these less saturated areas. These companies benefit from lower competition and tailored market approaches.
• Companies with Disciplined Capital Allocation: As new supply tapers off, REITs that have prudently managed their development pipelines and existing assets will benefit from stabilizing market conditions and improving rental rates.

Potential Losers:

• Highly Leveraged Private Operators: Private self-storage companies with significant debt may struggle in the current financing environment, potentially being forced to sell assets to larger, better-capitalized REITs.
• Operators in Oversupplied Micro-Markets: Despite a national slowdown in new construction, specific local markets may still face oversupply, leading to downward pressure on rental rates and occupancy for companies heavily exposed to these areas without strong competitive advantages.
• Companies Resistant to Digital Transformation: The industry is increasingly driven by technology. Operators unable to adopt online booking, smart access, and data-driven management systems may find it difficult to compete with more sophisticated players offering enhanced customer experiences.
• REITs Without Clear Growth or Differentiation Strategies: In a maturing market, companies lacking a defined path for growth (through acquisition, development, or specialization) or clear service differentiation may struggle to attract investment and maintain performance.

Overall, the market favors well-capitalized, strategically managed REITs that can leverage scale, acquire distressed assets, or dominate specific market niches through operational excellence and adaptable business models.

Wider Significance: Anchoring a Resilient Sector

The consistent dividend declaration by Global Self Storage in late 2025 holds broader significance for the self-storage sector and the wider REIT market. It reinforces the industry's reputation as a resilient, income-generating asset class, even amidst evolving economic conditions.

This move by GSS aligns with broader REIT market expectations for modest dividend growth in 2025, with overall REIT earnings growth projected at 4-6%. While some sectors like office REITs face headwinds, self-storage, along with industrial and data centers, is expected to show more stable, positive growth. The self-storage sector has historically demonstrated remarkable resilience, outperforming other major real estate asset classes during economic downturns, including the 2008 financial crisis and the 2020 pandemic. This "recession-resilient" nature, driven by consistent demand from life events, underpins the ability of well-managed self-storage REITs to maintain consistent dividend payments.

Ripple effects include increased investor confidence, potentially attracting more capital to the sector, and competitive pressure on other self-storage REITs to demonstrate similar stability. In a market seeing "storage wars" with pressure on new lease rates, a stable dividend from GSS signals strength, potentially influencing investor perception of its larger competitors. Furthermore, the industry is undergoing consolidation, and a stable GSS could either become an attractive acquisition target or be positioned to acquire smaller, highly-leveraged private operators.

Regulatory and policy implications also play a crucial role. REITs are legally required to distribute at least 90% of their taxable income, which inherently leads to high dividend yields. Importantly, the "One Big Beautiful Bill Act" (OBBBA), signed into law on July 4, 2025, made the Section 199A deduction permanent, allowing REIT shareholders to deduct up to 20% of their qualified business income. This permanently lowers the effective federal income tax rate on ordinary REIT dividends, making REIT investments significantly more attractive to individual investors and providing long-term certainty. Additionally, the OBBBA increased the permissible ownership of taxable REIT subsidiary (TRS) securities that a REIT can hold from 20% to 25% for 2026 and future tax years, offering REITs greater flexibility in their operations and service offerings, which is particularly relevant for value-added services in self-storage.

Historically, self-storage REITs have consistently delivered high total returns and maintained dividends even when other REIT sectors experienced cuts. This track record, combined with favorable regulatory certainty, solidifies the self-storage sector's appeal as a reliable income stream and a stable component of a diversified investment portfolio.

What Comes Next: Navigating Growth and Adaptation

The consistent Fourth Quarter 2025 dividend declaration by Global Self Storage (NASDAQ: GSS) positions the company and the broader self-storage industry for a period of measured growth and strategic adaptation. The short-term outlook suggests continued stabilization, with the long-term view pointing towards further industry maturation and technological integration.

Short-Term and Long-Term Possibilities:

In the short term, GSS's consistent dividend is expected to reinforce investor confidence and potentially stabilize its stock price. The company's reported record-high revenue of $3.2 million in Q3 2025, driven by increased occupancy and operational excellence, provides a strong foundation. For the broader industry, the ongoing slowdown in new construction is anticipated to further balance supply and demand, leading to more stable rental rates into early 2026.

Long-term, the self-storage market is projected for significant growth, from approximately $63.7 billion in 2025 to over $105 billion by 2034. This growth will be fueled by persistent demographic shifts, urbanization, and the evolving needs of e-commerce and small businesses. GSS, with its focus on secondary and tertiary markets, is well-positioned to capitalize on these trends, provided it continues its strategic execution.

Potential Strategic Pivots or Adaptations Required:

• Aggressive Acquisitions and Expansions: GSS has explicitly stated its intent to grow through acquisitions and expansions. This will be crucial in a consolidating industry where larger players are actively acquiring smaller operators.
• Enhanced Technological Integration: The industry is rapidly adopting smart units, automated access, AI-driven management, and seamless online platforms. GSS must continue investing in these technologies to meet customer expectations and drive operational efficiencies.
• Customer Experience Focus: Delivering exceptional customer experiences through flexible options, user-friendly digital tools, and value-added services will be key to customer acquisition and retention in a competitive market.
• Data-Driven Pricing: Sophisticated data analytics and dynamic pricing models will be essential to optimize rental rates and occupancy in real-time.

Market Opportunities and Challenges:

Opportunities abound in underpenetrated international markets (e.g., Europe, UK, India) and through diversification into specialized storage solutions like business storage or "storage-industrial-flex condos." However, challenges include potential market saturation in some developed urban cores, rising operational and acquisition costs due to inflation and higher interest rates (though recent rate cuts offer some relief), and navigating complex regulatory environments in new markets.

Potential Scenarios and Outcomes:

1. Continued Steady Growth (Most Likely): The self-storage industry enters a phase of "measured growth and resilience." GSS continues to grow revenue through strategic acquisitions and expansions, maintaining stable dividend payouts supported by strong operational metrics.
2. Increased Consolidation: The sector sees further consolidation, with GSS either growing its portfolio through strategic acquisitions or becoming an attractive target for larger "mega platforms."
3. Accelerated Technological Transformation: Technology becomes even more central. GSS's ability to continuously invest and integrate advanced solutions will determine its competitive edge.
4. Economic Headwinds: A severe economic downturn or significant oversupply in specific markets could pressure rental rates and occupancy, challenging dividend sustainability for some, particularly those with high payout ratios like GSS (reported 181.25% based on earnings, though 82.07% based on cash flow).

Ultimately, Global Self Storage's future success, and that of the broader industry, hinges on its ability to adapt strategically to evolving market conditions, leverage technology, and maintain financial discipline to support its commitment to shareholder returns.

Comprehensive Wrap-Up: A Stable Anchor in a Dynamic Market

Global Self Storage's (NASDAQ: GSS) declaration of a consistent Fourth Quarter 2025 dividend serves as a powerful testament to its operational stability and a broader positive signal for the self-storage REIT sector. This event, occurring as the industry transitions from a post-pandemic boom to a period of stabilization, highlights the enduring appeal and resilience of self-storage as an asset class.

Key Takeaways from the Event: The dividend declaration of $0.0725 per share, consistent with previous quarters, underscores GSS's commitment to shareholder returns and its confidence in future cash flows. This stability is supported by strong operational performance, including sector-leading occupancy rates and effective revenue management. The broader context reveals a self-storage market where new supply is moderating, demand remains robust due to persistent life events and demographic shifts, and technological adoption is accelerating.

Assessment of the Market Moving Forward: The self-storage market is poised for continued "measured growth and resilience" into late 2025 and early 2026. Rental rates are stabilizing and showing signs of modest increases after a period of declines. The significant slowdown in new construction is a critical positive, allowing the market to rebalance. While challenges like rising customer acquisition costs and localized competition persist, the underlying demand drivers and the industry's historical recession-resistant nature provide a strong foundation for future performance.

Final Thoughts on Significance and Lasting Impact: The consistency of GSS's dividend, coupled with favorable regulatory changes like the permanent Section 199A deduction, reinforces the self-storage sector's appeal as a reliable income-generating investment. This steady approach to capital distribution signals financial health and disciplined management, contributing to investor confidence. For the industry, it underscores the importance of operational excellence, strategic market positioning (especially in secondary markets), and adaptability to technological advancements. This commitment to shareholder value, a hallmark of REITs, ensures the sector remains attractive for long-term investors seeking stable income and exposure to real estate.

What Investors Should Watch For in Coming Months: Investors should closely monitor several factors:

• Rent Growth and Occupancy Trends: Continued stabilization and growth in street rates and sustained high occupancy will be key indicators of market health.
• New Supply Dynamics: Track whether the projected declines in new construction materialize, particularly in previously oversupplied markets.
• Interest Rate Environment: Further rate reductions by central banks could positively impact borrowing costs for REITs and transaction volumes.
• Technological Adoption: Observe how GSS and its competitors integrate smart technologies and enhanced customer experiences to maintain a competitive edge.
• GSS-Specific Initiatives: Watch for updates on GSS's strategic business plan, including potential acquisitions and expansion projects, and its continued ability to cover its consistent dividend.
• Broader Economic Health: While resilient, the sector is not entirely immune to economic headwinds; monitoring consumer financial strain and potential delinquencies will be important.
• Regulatory Developments: Keep an eye on any discussions or proposals related to rent regulations, which could impact the operational flexibility and profitability of self-storage companies.

This content is intended for informational purposes only and is not financial advice