Item 3. Quantitative and Qualitative Disclosures about Market Risk

To limit our exposure to market risk, we are capitalized primarily with preferred and common equity. Our preferred shares are redeemable at our option generally five years after issuance, but the holder has no redemption option. Our debt, which totals approximately $10.4 billion at June 30, 2025, is the only market-risk sensitive portion of our capital structure.

The fair value of our debt at June 30, 2025 is approximately $10.0 billion. The table below summarizes the annual maturities of our debt, which had a weighted average effective rate of 3.0% at June 30, 2025. See Note 8 to our June 30, 2025 consolidated financial statements for further information regarding our debt (amounts in thousands).

We have foreign currency exposure at June 30, 2025 related to (i) our investment in Shurgard, with a book value of $387.9 million, and a fair value of $1.4 billion based upon the closing price of Shurgard’s stock on June 30, 2025, and (ii) €1.6 billion ($1.9 billion) of Euro-denominated unsecured notes payable, providing a natural hedge against the fair value of our investment in Shurgard.