Investor Presentaiton
COMPELLING SUPPLY-DEMAND FUNDAMENTALS
SUN
SUN COMMUNITIES, INC.
Manufactured Housing (MH)
North America
UK
Supply
Supply
Virtually no new supply has been added for years
US Inventory Growth by Property Type
6%
4%
98
ov go
2%
0%
2015
2016
2017
2018
2019
2020
2021
• Manufactured Housing
Multifamily
Irreplaceable coastal 'destination' locations that are short drives from London
and other urban locations
.
Numerous barriers to entry including strict regulations and scarcity of land
UK holiday community market is highly fragmented
AMBLE LINKS - NORTHUMBERLAND, UK
Demand
Sun MH Communities provide 25% more space than multi-family and single-
family rentals at ~50% less cost per square foot (see slide 21)
55K+ applications in 2022 to live in a Sun community
Average resident tenure of ~15 years (1) generates steady, growing rental
revenue, then home generally sells in place
。 Annual home move-outs in Sun's MH communities average 0.4% (1)
。 Low turnover driven by a $6k - $10k average cost for a resident to
move a home
North American MH portfolio 96.3% occupied at September 30, 2023, 95.9%
average occupancy for the five years ended December 31, 2022
Demand
Brexit and other macroeconomic structural factors create demand for
domestic vacationing throughout UK
Majority of Sun's holiday parks are owner-occupied on 20+ year licenses
subject to annual rent increases
Average resident tenure now ~8 years (up from ~7 years in 2021)
。 Strong resident retention YTD in 2023 led to increased real property
NOI guidance for UK operations
Source: Company information, Wall Street Research and Zillow. Refer to Sun Communities, Inc. Form 10-Q and Supplemental for the quarter ended September 30, 2023, as well as Press Releases and SEC Filings after September 30, 2023, for
additional information. Refer to information regarding non-GAAP financial measures in the attached Appendix.
Note: With respect to guidance, estimates and forecasted information, see "Cautionary Statement Regarding Guidance" on page 2 of this presentation.
1)
MH sites in North America only (January 2021 - September 2023).
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