Rep. Kevin Kiley R-Calif. In “The Evening Edit,” criticizes California’s “devastating” proposed wealth tax and its impact on the state’s residents.
Public Storage is moving its headquarters from California to Texas, becoming the latest major company to shift its official base to the Lone Star State as it rolls out a leadership transition and long-term growth strategy.
The S&P 500 self-storage real estate investment trust said it will move its headquarters to the Dallas-Fort Worth metro area, while maintaining a long-standing presence in Glendale, California. The announcement is accompanied by a CEO transition and a broader strategic overhaul called ‘PS4.0’.
Founded in California in 1972, Public Storage has become the world’s largest owner of self-storage facilities, operating more than 3,500 properties across 40 states and owning a significant stake in a European storage operator. The move marks a significant change for a company that has long been associated with the California business community.
Tom Boyle will take over as CEO on April 1, succeeding Joe Russell, who is retiring after ten years. At the same time, the board will appoint Shankh Mitra, CEO of Welltower, as non-executive chairman.
O’LEARY DECLARES CALIFORNIA WEALTH TAX ‘BAD MANAGEMENT’, CALLS ON RESIDENTS TO ‘HIRE’ NEW LEADERS
A public storage facility in Sacramento, California. (David Paul Morris/Bloomberg via Getty Images)
The leadership changes are part of what the company calls its “fourth era,” a transition designed to accelerate earnings growth, expand margins and deliver stronger long-term shareholder returns.
For Texas, the move underscores the state’s continued success in attracting high-profile corporate headquarters relocations. The Dallas region has no income taxes, relatively lower operating costs, and a large talent pool. While Public Storage did not explicitly mention tax or regulatory reasons for the move, it highlighted the region’s deep talent and innovation as strategic advantages.
A public storage facility in Sacramento, California, on Monday, February 6, 2023. (David Paul Morris/Bloomberg via Getty Images)
For California, the shift adds to a broader trend of corporate headquarters relocations, even as many companies maintain significant operations in the state. A corporate headquarters move is often a sign that executive leadership, finance functions and future expansion plans will become increasingly concentrated.
Under the company’s PS4.0 initiative, Public Storage is using digital tools, data science and artificial intelligence to reimagine the way it prices units, sells to customers and manages its portfolio. Executives say consumers increasingly expect fast, seamless digital experiences – even in traditionally brick-and-mortar industries like self-storage.
Signage appears on the building of a public storage facility in San Francisco, California. (David Paul Morris/Bloomberg via Getty Images)
For tenants, this could mean more online bookings, dynamic pricing that moves with demand and more personalized digital engagement. For investors, the company signals a more aggressive push into acquisitions and development in the still fragmented self-storage industry. Over the past five years, Public Storage has deployed more than $12 billion in deals and new projects, and leadership has indicated it plans to accelerate that pace.
CLICK HERE TO GET FOX BUSINESS ON THE GO
The company also said it is revamping executive compensation to better link pay to shareholder returns, reinforcing its focus on stock performance and capital discipline.
