PUBLIC STORAGE, DEF 14A filed on 3/25/2024
Proxy Statement (definitive)
v3.24.1
Document and Entity Information
 12 Months Ended
Dec. 31, 2023
Cover [Abstract]  
Entity Registrant Name PUBLIC STORAGE
Document Type DEF 14A
Amendment Flag false
Entity Central Index Key 0001393311
v3.24.1
Pay vs Performance Disclosure
 12 Months Ended
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Dec. 31, 2020
USD ($)
Dec. 31, 2019
USD ($)
Pay vs Performance Disclosure          
Pay vs Performance Disclosure, Table

PAY VERSUS PERFORMANCE TABLES

The following table sets forth information concerning the compensation paid to our CEO and to our other NEOs compared to Company performance for the years ended December 31, 2023, 2022, 2021, 2020, and 2019.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Summary Compensation Table Total Pay

 

 

 

Average Summary Compensation Table Total Pay for

 

Average CAP

 

Value of Initial Fixed $100 Investment Based on:

 

 

GAAP Net

 

Core FFO

 

Year

for CEO(1)(2)

 

CAP to CEO(3)

 

Other NEOs(1)(2)

 

to Other NEOs(3)

 

TSR

 

Peer TSR(4)

 

 

Income(5)

 

per share(6)

 

2023

$

8,776,291

 

$

11,147,987

 

$

3,753,576

 

$

4,390,198

 

$

178

 

$

143

 

 

$

2,160,120

 

$

16.89

 

2022

 

9,201,442

 

 

(1,902,305

)

 

4,844,366

 

 

(2,183,334

)

 

163

 

 

126

 

 

 

4,366,274

 

 

15.92

 

2021

 

10,358,153

 

 

41,035,570

 

 

5,944,502

 

 

25,331,675

 

 

205

 

 

166

 

 

 

1,959,639

 

 

12.93

 

2020

 

4,800,928

 

 

4,537,499

 

 

3,174,594

 

 

2,999,877

 

 

123

 

 

116

 

 

 

1,361,227

 

 

10.61

 

2019

 

4,289,200

 

 

3,360,014

 

 

2,854,897

 

 

1,378,312

 

 

109

 

 

126

 

 

 

1,525,651

 

 

10.75

 
(1)
The CEO for each year shown in the table was Joseph D. Russell, Jr. and the other NEOs were H. Thomas Boyle, Natalia N. Johnson, and Nathaniel A. Vitan. Lily Y. Hughes, who resigned in May 2019, is included as an “other NEO” in 2019 and David Lee, who resigned in August 2023, is included as an “other NEO” for 2023.
(2)
The 2021 values reflected in this column reflect both the grant date fair value of the 2021 performance-based RSU awards and the value attributable to COVID-19 related modifications made by the CHC Committee in 2021 to the 2020 performance-based RSU awards. See the footnotes to Summary Compensation Table (SCT) on page 62 for further detail regarding the amounts in this column.
(3)
Compensation actually paid (“CAP”) is defined by the SEC and is computed in accordance with SEC rules by subtracting the amounts in the “Stock Awards” and “Option Awards” columns of the SCT for each year from the “Total” column of the SCT and then: (i) adding the fair value as of the end of the reported year of all awards granted during the reporting year that are outstanding and unvested as of the end of the reporting year; (ii) adding the amount equal to the change as of the end of the reporting year (from the end of the prior year) in fair value (whether positive or negative) of any awards granted in any prior year that are outstanding and unvested as of the end of the reporting year; (iii) adding, for awards that are granted and vest in the reporting year, the fair value as of the vesting date; (iv) adding the amount equal to the change as of the vesting date (from the end of the prior fiscal year) in fair value (whether positive or negative) of any awards granted in any prior year for which all applicable vesting conditions were satisfied at the end of or during the reporting year; (v) subtracting, for any awards granted in any prior year that are forfeited during the reporting year, the amount equal to the fair value at the end of the prior year; and (vi) adding the value of any dividends (or dividend equivalents) paid in the reporting year on unvested equity awards. The following tables reflect the adjustments made to SCT total compensation for 2023 to compute CAP for our CEO and average CAP for our other NEOs:

 

SCT Total Pay

 

Minus 
SCT Equity Awards

 

Plus
Value of New Unvested Awards

 

Plus
Change in Value of Prior Years Unvested Awards

 

Plus
Value of New Vested Awards

 

Plus
Change in Value of Prior Years Vested Awards

 

Minus
Value of Forfeited Prior Years Awards

 

Plus
Dividends on Unvested Awards/ Accrued Dividends

 

Equals 
CAP

 

CEO

$

8,776,291

 

$

5,638,091

 

$

5,947,587

 

$

834,144

 

$

—

 

$

921,756

 

$

—

 

$

306,300

 

$

11,147,987

 

Other NEOs
(Average)

$

3,753,576

 

$

2,745,374

 

$

2,658,422

 

$

483,373

 

$

—

 

$

432,901

 

$

318,646

 

$

125,946

 

$

4,390,198

 
(4)
Reflects the cumulative TSR of the Company and the NAREIT Equity Index for the year ended December 31, 2019, the two years ended December 31, 2020, the three years ended December 31, 2021, the four years ended December 31, 2022, and the five years ended December 31, 2023 assuming a $100 investment at the closing price on December 31, 2018 and the reinvestment of all dividends. Previously, we presented Peer TSR as the S&P 500 Equity REITs, however, given changes in our use of this index in our compensation program, we believe it is more appropriate to use the NAREIT Equity Index for disclosure consistency year-to-year. The value of an initial $100 investment based on the cumulative TSR of the S&P 500 Equity REITs for each of the years ended December 31, 2019 through 2023 was $127, $123, $178, $130, and $149, respectively.
(5)
Amounts in thousands.
(6)
Refer to Appendix A for information regarding Core FFO, including a reconciliation to GAAP diluted earnings.

Relationship of CAP to Performance. The following graphs illustrate the relationship during 2019 to 2023 of the CAP for our CEO and the average CAP for our other NEOs (each as set forth in the table above), to (i) our cumulative TSR and the cumulative TSR of the constituent companies in the NAREIT Equity Index, (ii) our GAAP net income, and (iii) our Core FFO per share (in each case as set forth in the table above).

 

img230396594_34.jpg 

 

img230396594_35.jpg 

 

img230396594_36.jpg 

 

Financial Performance Measures. The most important financial performance measures used by the Company in setting pay-for-performance compensation for the most recently completed year are described in the table below. The manner in which these measures, together with certain non-financial performance measures, determine the amounts of incentive compensation paid to our NEOs is described above in the “Compensation Discussion and Analysis” section of this proxy statement.

Significant Financial Performance Measures

Core FFO Per Share Growth

TSR Performance (versus the TSR of the S&P 500 Equity REITs)

TSR Performance (versus the Company’s Self-Storage REIT Competitors)
       
Company Selected Measure Name Core FFO        
Named Executive Officers, Footnote
(1)
The CEO for each year shown in the table was Joseph D. Russell, Jr. and the other NEOs were H. Thomas Boyle, Natalia N. Johnson, and Nathaniel A. Vitan. Lily Y. Hughes, who resigned in May 2019, is included as an “other NEO” in 2019 and David Lee, who resigned in August 2023, is included as an “other NEO” for 2023.
        
Peer Group Issuers, Footnote
(4)
Reflects the cumulative TSR of the Company and the NAREIT Equity Index for the year ended December 31, 2019, the two years ended December 31, 2020, the three years ended December 31, 2021, the four years ended December 31, 2022, and the five years ended December 31, 2023 assuming a $100 investment at the closing price on December 31, 2018 and the reinvestment of all dividends. Previously, we presented Peer TSR as the S&P 500 Equity REITs, however, given changes in our use of this index in our compensation program, we believe it is more appropriate to use the NAREIT Equity Index for disclosure consistency year-to-year. The value of an initial $100 investment based on the cumulative TSR of the S&P 500 Equity REITs for each of the years ended December 31, 2019 through 2023 was $127, $123, $178, $130, and $149, respectively.
        
PEO Total Compensation Amount $ 8,776,291 $ 9,201,442 $ 10,358,153 $ 4,800,928 $ 4,289,200
PEO Actually Paid Compensation Amount $ 11,147,987 (1,902,305) 41,035,570 4,537,499 3,360,014
Adjustment To PEO Compensation, Footnote

 

SCT Total Pay

 

Minus 
SCT Equity Awards

 

Plus
Value of New Unvested Awards

 

Plus
Change in Value of Prior Years Unvested Awards

 

Plus
Value of New Vested Awards

 

Plus
Change in Value of Prior Years Vested Awards

 

Minus
Value of Forfeited Prior Years Awards

 

Plus
Dividends on Unvested Awards/ Accrued Dividends

 

Equals 
CAP

 

CEO

$

8,776,291

 

$

5,638,091

 

$

5,947,587

 

$

834,144

 

$

—

 

$

921,756

 

$

—

 

$

306,300

 

$

11,147,987

 

Other NEOs
(Average)

$

3,753,576

 

$

2,745,374

 

$

2,658,422

 

$

483,373

 

$

—

 

$

432,901

 

$

318,646

 

$

125,946

 

$

4,390,198

 
       
Non-PEO NEO Average Total Compensation Amount $ 3,753,576 4,844,366 5,944,502 3,174,594 2,854,897
Non-PEO NEO Average Compensation Actually Paid Amount $ 4,390,198 (2,183,334) 25,331,675 2,999,877 1,378,312
Adjustment to Non-PEO NEO Compensation Footnote

 

SCT Total Pay

 

Minus 
SCT Equity Awards

 

Plus
Value of New Unvested Awards

 

Plus
Change in Value of Prior Years Unvested Awards

 

Plus
Value of New Vested Awards

 

Plus
Change in Value of Prior Years Vested Awards

 

Minus
Value of Forfeited Prior Years Awards

 

Plus
Dividends on Unvested Awards/ Accrued Dividends

 

Equals 
CAP

 

CEO

$

8,776,291

 

$

5,638,091

 

$

5,947,587

 

$

834,144

 

$

—

 

$

921,756

 

$

—

 

$

306,300

 

$

11,147,987

 

Other NEOs
(Average)

$

3,753,576

 

$

2,745,374

 

$

2,658,422

 

$

483,373

 

$

—

 

$

432,901

 

$

318,646

 

$

125,946

 

$

4,390,198

 
       
Compensation Actually Paid vs. Total Shareholder Return

img230396594_34.jpg 

        
Compensation Actually Paid vs. Net Income

img230396594_35.jpg 

        
Compensation Actually Paid vs. Company Selected Measure

img230396594_36.jpg 

        
Tabular List, Table

Financial Performance Measures. The most important financial performance measures used by the Company in setting pay-for-performance compensation for the most recently completed year are described in the table below. The manner in which these measures, together with certain non-financial performance measures, determine the amounts of incentive compensation paid to our NEOs is described above in the “Compensation Discussion and Analysis” section of this proxy statement.

Significant Financial Performance Measures

Core FFO Per Share Growth

TSR Performance (versus the TSR of the S&P 500 Equity REITs)

TSR Performance (versus the Company’s Self-Storage REIT Competitors)
       
Total Shareholder Return Amount $ 178 163 205 123 109
Peer Group Total Shareholder Return Amount 143 126 166 116 126
Net Income (Loss) $ 2,160,120 $ 4,366,274 $ 1,959,639 $ 1,361,227 $ 1,525,651
Company Selected Measure Amount 16.89 15.92 12.93 10.61 10.75
PEO Name Joseph D. Russell, Jr.        
Measure:: 1          
Pay vs Performance Disclosure          
Name Core FFO Per Share Growth        
Measure:: 2          
Pay vs Performance Disclosure          
Name TSR Performance (versus the TSR of the S&P 500 Equity REITs)        
Measure:: 3          
Pay vs Performance Disclosure          
Name TSR Performance (versus the Company’s Self-Storage REIT Competitors)        
PEO | Minus S C T Equity Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount $ 5,638,091        
PEO | Value Of New Unvested Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 5,947,587        
PEO | Change In Value Of Prior Years Unvested Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 834,144        
PEO | Value Of New Vested Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 0        
PEO | Change In Value Of Prior Years Vested Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 921,756        
PEO | Value Of Forfeited Prior Years Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 0        
PEO | Dividends On Unvested Awards Or Accrued Dividends [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 306,300        
PEO | Realized Pay [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 11,298,478 $ 5,431,540 $ 3,845,336 $ 2,400,973 $ 2,166,281
Non-PEO NEO | Minus S C T Equity Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 2,745,374        
Non-PEO NEO | Value Of New Unvested Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 2,658,422        
Non-PEO NEO | Change In Value Of Prior Years Unvested Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 483,373        
Non-PEO NEO | Value Of New Vested Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 0        
Non-PEO NEO | Change In Value Of Prior Years Vested Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 432,901        
Non-PEO NEO | Value Of Forfeited Prior Years Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 318,646        
Non-PEO NEO | Dividends On Unvested Awards Or Accrued Dividends [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 125,946        
Non-PEO NEO | Realized Pay [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount $ 4,775,273 $ 2,590,905 $ 2,231,378 $ 1,427,702 $ 1,497,059