Sun Communities, Inc. Reports 2023 First Quarter Results

Real Property Revenue Increased 13.8%, Year-over-Year

Net Loss per Diluted Share of $0.24

Core FFO per Share of $1.23 Exceeded Midpoint of Guidance by 4.7%

Total Same Property NOI Grew 6.7%, Exceeding Internal Expectations

Strong Demand and Effective Expense Management Drove Outperformance

Same Property Adjusted Occupancy for MH and RV Increased 190 Basis Points, Year-over-Year

Solid Transient-to-Annual RV Conversions of 524 Sites

Reiterating Full-Year Core FFO per Share Guidance for 2023 of $7.22 - $7.42

Expecting Total Same Property NOI Growth of 5.0% - 6.0%

Southfield, MI, April 26, 2023 (GLOBE NEWSWIRE) -- Sun Communities, Inc. (NYSE: SUI) (the "Company" or "SUI"), a real estate investment trust ("REIT") that owns and operates, or has an interest in, manufactured housing ("MH") and recreational vehicle ("RV") communities and marinas (collectively, the "properties"), today reported its first quarter results for 2023.

Financial Results for the Quarter Ended March 31, 2023

• For the quarter ended March 31, 2023, net loss attributable to common shareholders was $30.1 million, or $0.24 per diluted share, compared to net income attributable to common shareholders of $0.7 million, or $0.01 per diluted share, for the same period in 2022.
  
  

Non-GAAP Financial Measures

• Core Funds from Operations ("Core FFO") for the quarter ended March 31, 2023, was $1.23 per common share and dilutive convertible securities ("Share"), as compared to $1.34 for the same period in 2022.
  
  
• Same Property Net Operating Income ("NOI") increased by 6.7% for the quarter ended March 31, 2023, as compared to the corresponding period in 2022.
  
  

"We are pleased with the start to the year, delivering first quarter results which exceeded our expectations. The sustained demand for manufactured housing, RV vacationing and marinas is evident in the 6.7% same property NOI growth in the quarter," said Gary A. Shiffman, Chairman, President and CEO. "During the quarter, we added over 800 revenue producing sites across our manufactured home and RV communities and delivered over 330 development and expansion sites. We also further enhanced our balance sheet by raising nearly $600 million of long-term, fixed rate debt, the proceeds from which we used to pay down variable rate borrowings. We remain focused on building a stream of long-term, durable revenue and are optimistic in our outlook for 2023."

OPERATING HIGHLIGHTS

North America Portfolio Occupancy

• Total MH and annual RV occupancy was 96.9% at March 31, 2023, as compared to 97.5% at March 31, 2022.
  
  
• During the quarter ended March 31, 2023, the number of MH and annual RV revenue producing sites increased by 802 sites, as compared to an increase of 670 sites during the corresponding period in 2022, a 19.7% increase.
  
  
• Transient-to-annual RV site conversions totaled 524 sites during the first quarter of 2023 and account for 65.3% of the revenue producing site gains.
  
  

Same Property Results

For the properties owned and operated by the Company since at least January 1, 2022, the following table reflects the percentage changes, by segment and in total, for the quarter ended March 31, 2023:

	Quarter Ended March 31, 2023
	MH			RV			Marina			Total
Revenue	6.4	%		6.2	%		10.9	%		7.2	%
Expense	10.4	%		8.1	%		4.3	%		8.2	%
NOI	5.0	%		4.4	%		15.1	%		6.7	%
Number of Properties	289			161			119			569

Same Property adjusted blended occupancy for MH and RV increased to 98.6% at March 31, 2023, from 96.7% at March 31, 2022, an increase of 190 basis points.

INVESTMENT ACTIVITY

Acquisitions

During the quarter ended March 31, 2023 the Company acquired one MH community and one marina in the United States ("U.S.") for an aggregate purchase price of $107.0 million. Refer to page 13 for additional details.

Development and Expansion Activities

During the quarter ended March 31, 2023, the Company:

• Delivered over 200 sites at three ground-up development properties.
  
  
• Expanded our existing communities by over 130 sites.
  
  
• Invested $34.9 million to acquire three land parcels located in the U.S. and UK for the potential development of nearly 1,250 sites.
  
  

BALANCE SHEET, CAPITAL MARKETS ACTIVITY AND OTHER ITEMS

Debt

As of March 31, 2023, the Company had $7.5 billion in debt outstanding with a weighted average interest rate of 3.9% and a weighted average maturity of 7.4 years. At March 31, 2023, the Company's net debt to trailing twelve-month Recurring EBITDA ratio was 6.1 times.

During the quarter ended March 31, 2023, the Company completed the following financing activities:

• Entered into a mortgage term loan of $85.0 million. The loan matures on February 13, 2026 and has a fixed interest rate of 5.0%.
  
  
• Issued $400.0 million of senior unsecured notes with an interest rate of 5.7% and a 10-year term due January 15, 2033.
  
  
• Entered into two additional mortgage term loans totaling $99.1 million. The loans mature on April 1, 2030 and April 1, 2033 and have a weighted average interest rate of 5.72%.
  
  

In all three instances, the Company used the proceeds to repay borrowings outstanding under its senior credit facility.

2023 GUIDANCE

Updating Full-Year and Establishing Second Quarter 2023 Guidance

The Company is updating full-year 2023 and establishing second quarter 2023 guidance for diluted EPS and Core FFO per Share as follows:

Reconciliation of Diluted EPS to Core FFO per Share		Full-Year Ending December 31, 2023																Second Quarter Ending June 30, 2023
		Prior FY Guidance								Revised FY Range
Diluted EPS		$	2.50			$	2.70			$	2.12			$	2.32			$	0.72			$	0.80
Depreciation and amortization			5.02				5.02				5.06				5.06				1.27				1.27
Gain / (loss) on sale of assets			(0.32	)			(0.32	)			(0.30	)			(0.30	)			(0.10	)			(0.10	)
FFO per Share		$	7.20			$	7.40			$	6.88			$	7.08			$	1.89			$	1.97
Business combination expense and other acquisition related costs			0.03				0.03				0.07				0.07				0.01				0.01
Other adjustments(a)			(0.01	)			(0.01	)			0.27				0.27				—				—
Core FFO(b) per Share		$	7.22			$	7.42			$	7.22			$	7.42			$	1.90			$	1.98

^(a) Other adjustments include all other categories presented in the table that reconciles Net income attributable to SUI common shareholders to Core FFO on page 6.
^(b) The Company's updated guidance translates forecasted results from operations in the UK using the relevant exchange rate in effect provided in the 2023 Guidance Assumptions table presented below. The impact of fluctuations in Canadian and Australian foreign currency rates on revised and initial guidance are not material.

The Company's updated full-year guidance reflects changes in the following underlying assumptions, and updated total Same Property NOI growth of 5.0% - 6.0% for the full year includes 3.5% - 4.8% total Same Property NOI growth during the second quarter ending June 30, 2023.

		FY 2022			Expected % Change in 2023
2023 Guidance Assumptions		Actual Results			Prior FY Guidance		April 26, 2023 Update
Consolidated Portfolio:
Total NOI from real property(a)					4.5% - 5.7%		6.1% - 7.0%
Same Property Portfolio(b)
MH NOI (289 properties)		$	569.7		4.2% - 5.0%		4.6% - 5.4%
RV NOI (161 properties)		$	281.7		5.1% - 6.4%		4.4% - 5.6%
Marina NOI (119 properties)		$	210.8		6.3% - 7.7%		6.8% - 8.0%
Total Same Property Pool (569 Properties):
Revenue from real property		$	1,601.0		6.6% - 7.0%		6.2% - 6.6%
Property operating expenses(c)(d)			538.8		9.1% - 10.0%		7.9% - 8.8%
Same Property NOI		$	1,062.2		4.9% - 5.9%		5.0% - 6.0%
Updated Ranges for Other Guidance Points ($ millions):
UK Operations NOI from real property and home sales(a)					$155.5 - $165.1		$141.3 - $147.9
Service, retail, dining and entertainment NOI					$49.5 - $52.1		$53.3 - $55.3
General and administrative expenses					$256.5 - $261.6		$252.2 - $256.0
North America home sales contribution to Core FFO(e)							$18.9 - $19.7
Exchange rates in effect at:					December 31, 2022		March 31, 2023
U.S. Dollar ("USD") / Pound Sterling ("GBP")					1.21		1.24
USD / Canadian Dollar ("CAD")					0.74		0.74
USD / Australian Dollar ("AUS")					0.68		0.67

^(a) UK NOI from real property is included in Total Portfolio NOI from real property.
^(b) The amounts in the table reflect constant currency, as currency figures included within the 2022 actual amounts have been translated at the assumed exchange rate used for 2023 guidance.
^(c) Total Same Property results net $101.1 million of utility revenue for 2022 actual results and $107.7 million for 2023 guidance against the related utility expense in property operating expenses.
^(d) 2022 actual results exclude $1.3 million of expense incurred at recently acquired properties to bring them up to the Company's standards. The improvements included items such as tree trimming and painting costs that do not meet the Company's capitalization policy.
^(e) FFO from home sales in North America is net of home selling expenses and includes the gross profit from new and certain pre-owned home sales. Gross profit from pre-owned home sales of depreciated homes is excluded.

Seasonality (Updated as of April 26, 2023)		1Q23			2Q23			3Q23			4Q23
Same Property NOI
MH		25	%		25	%		25	%		25	%
RV		16	%		25	%		42	%		17	%
Marina		20	%		26	%		29	%		25	%
Total Same Property		21	%		26	%		30	%		23	%
NOI from UK Operations		12	%		29	%		40	%		19	%
Consolidated EBITDA		19	%		27	%		33	%		21	%
Core FFO per Share		17	%		26	%		36	%		21	%

The estimates and assumptions presented above represent a range of possible outcomes and may differ materially from actual results. These estimates include contributions from all acquisitions, dispositions and capital markets activity completed through April 26, 2023, and the effect of a property disposition under contract expected to close during the second quarter 2023. These estimates exclude all other prospective acquisitions, dispositions and capital markets activity. The estimates and assumptions are forward-looking based on the Company's current assessment of economic and market conditions and are subject to the other risks outlined below under the caption Cautionary Statement Regarding Forward-Looking Statements.

EARNINGS CONFERENCE CALL

A conference call to discuss first quarter results will be held on Thursday, April 27, 2023 at 11:00 A.M. (ET). To participate, call toll-free at (877) 407-9039. Callers outside the U.S. or Canada can access the call at (201) 689-8470. A replay will be available following the call through May 11, 2023 and can be accessed toll-free by calling (844) 512-2921 or (412) 317-6671. The Conference ID number for the call and the replay is 13736832. The conference call will be available live on the Company's website located at www.suncommunities.com. The replay will also be available on the website.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

This press release contains various "forward-looking statements" within the meaning of the Securities Act of 1933, as amended (the "Securities Act"), and the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and the Company intends that such forward-looking statements will be subject to the safe harbors created thereby. For this purpose, any statements contained in this document that relate to expectations, beliefs, projections, future plans and strategies, trends or prospective events or developments and similar expressions concerning matters that are not historical facts are deemed to be forward-looking statements. Words such as "forecasts," "intends," "intend," "intended," "goal," "estimate," "estimates," "expects," "expect," "expected," "project," "projected," "projections," "plans," "predicts," "potential," "seeks," "anticipates," "anticipated," "should," "could," "may," "will," "designed to," "foreseeable future," "believe," "believes," "scheduled," "guidance," "target" and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these words. These forward-looking statements reflect the Company's current views with respect to future events and financial performance, but involve known and unknown risks and uncertainties, both general and specific to the matters discussed in this document, some of which are beyond the Company's control. These risks and uncertainties may cause the Company's actual results to be materially different from any future results expressed or implied by such forward-looking statements. In addition to the risks described under "Risk Factors" contained in the Company's Annual Report on Form 10-K for the year ended December 31, 2022, and in the Company's other filings with the Securities and Exchange Commission, from time to time, such risks, uncertainties and other factors include, but are not limited to:

• Outbreaks of disease and related restrictions on business operations;
• Changes in general economic conditions, including inflation, deflation and energy costs, the real estate industry and the markets within which the Company operates;
• Difficulties in the Company's ability to evaluate, finance, complete and integrate acquisitions, developments and expansions successfully;
• The Company's liquidity and refinancing demands;
• The Company's ability to obtain or refinance maturing debt;
• The Company's ability to maintain compliance with covenants contained in its debt facilities and its unsecured notes;
• Availability of capital;
• Changes in foreign currency exchange rates, including between the U.S. dollar and each of the Canadian dollar, Australian dollar and Pound sterling;
• The Company's ability to maintain rental rates and occupancy levels;
• The Company's ability to maintain effective internal control over financial reporting and disclosure controls and procedures;
• Increases in interest rates and operating costs, including insurance premiums and real estate taxes;
• Risks related to natural disasters such as hurricanes, earthquakes, floods, droughts and wildfires;
• General volatility of the capital markets and the market price of shares of the Company's capital stock;
• The Company's ability to maintain its status as a REIT;
• Changes in real estate and zoning laws and regulations;
• Legislative or regulatory changes, including changes to laws governing the taxation of REITs;
• Litigation, judgments or settlements;
• Competitive market forces;
• The ability of purchasers of manufactured homes and boats to obtain financing; and
• The level of repossessions by manufactured home and boat lenders.

Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date the statement was made. The Company undertakes no obligation to publicly update or revise any forward-looking statements included or incorporated by reference into this document, whether as a result of new information, future events, changes in the Company's expectations or otherwise, except as required by law.

Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results, levels of activity, performance or achievements. All written and oral forward-looking statements attributable to the Company or persons acting on the Company's behalf are qualified in their entirety by these cautionary statements.

Company Overview and Investor Information

The Company

Established in 1975, Sun Communities, Inc. became a publicly owned corporation in December 1993. The Company is a fully integrated REIT listed on the New York Stock Exchange under the symbol: SUI. As of March 31, 2023, the Company owned, operated, or had an interest in a portfolio of 671 developed MH, RV and Marina properties comprising approximately 179,700 developed sites and approximately 47,990 wet slips and dry storage spaces in the U.S., the UK and Canada.

For more information about the Company, please visit www.suncommunities.com.

Company Contacts
Management:	Investor Relations:
Gary A. Shiffman, Chairman, President and CEO	Sara Ismail, Vice President
Fernando Castro-Caratini, EVP and CFO	(248) 208-2500
Bruce D. Thelen, EVP and COO	investorrelations@suncommunities.com

Corporate Debt Ratings
Moody's	S&P:
Baa3 | Stable	BBB | Stable

Equity Research Coverage
Bank of America Merrill Lynch		Joshua Dennerlein		joshua.dennerlein@bofa.com
Barclays		Anthony Powell		anthony.powell@barclays.com
BMO Capital Markets		John Kim		jp.kim@bmo.com
Citi Research		Nicholas Joseph		nicholas.joseph@citi.com
Evercore ISI		Samir Khanal		samir.khanal@evercoreisi.com
		Steve Sakwa		steve.sakwa@evercoreisi.com
Green Street Advisors		John Pawlowski		jpawlowski@greenstreetadvisors.com
JMP Securities		Aaron Hecht		ahecht@jmpsecurities.com
RBC Capital Markets		Brad Heffern		brad.heffern@rbccm.com
Robert W. Baird & Co.		Wesley Golladay		wgolladay@rwbaird.com
Truist Securities		Anthony Hau		anthony.hau@truist.com
UBS		Michael Goldsmith		michael.goldsmith@ubs.com
Wells Fargo		James Feldman		james.feldman@wellsfargo.com
Wolfe Research		Andrew Rosivach		arosivach@wolferesearch.com
		Keegan Carl		kcarl@wolferesearch.com

Financial and Operating Highlights
(amounts in millions, except for *)

	Quarters Ended
	3/31/2023				12/31/2022			9/30/2022			6/30/2022			3/31/2022
Financial Information
Basic earnings / (loss) per share*	$	(0.24	)		$	0.04		$	1.32		$	0.61		$	0.01
Diluted earnings / (loss) per share*	$	(0.24	)		$	0.04		$	1.32		$	0.61		$	0.01
Cash distributions declared per common share*	$	0.93			$	0.88		$	0.88		$	0.88		$	0.88
FFO per Share(a)*	$	1.14			$	1.02		$	2.54		$	1.95		$	1.28
Core FFO per Share(a)*	$	1.23			$	1.33		$	2.65		$	2.02		$	1.34
Recurring EBITDA	$	237.4			$	236.3		$	408.1		$	328.4		$	221.0
Recurring EBITDA (TTM) / Interest*	4.6 x				5.2 x			5.7 x			5.9 x			6.2 x
Balance Sheet
Total assets	$	17,363.8			$	17,084.2		$	16,484.6		$	16,397.8		$	13,914.2
Total debt	$	7,462.0			$	7,197.2		$	6,711.0		$	6,930.9		$	6,076.5
Total liabilities	$	9,294.8			$	8,992.8		$	8,354.6		$	8,566.3		$	6,980.7
Operating Information*
Properties
MH		354				353			350			349			293
RV		182				182			181			182			182
Marina		135				134			131			130			128
Total		671				669			662			661			603

Sites ,Wet Slips and Dry Storage Spaces*
Manufactured homes	117,970			118,020			116,910			116,420			98,900
Annual RV	30,860			30,330			32,030			31,770			31,120
Transient RV	30,870			31,180			31,150			31,990			29,270
Total sites	179,700			179,530			180,090			180,180			159,290
Marina wet slips and dry storage spaces(b)	47,990			47,820			46,190			45,910			45,730
Occupancy*
MH occupancy (including UK)	95.1	%		95.0	%		95.5	%		95.6	%		96.7	%
Annual RV occupancy	100.0	%		100.0	%		100.0	%		100.0	%		100.0	%
Blended MH and annual RV occupancy	96.1	%		96.0	%		96.5	%		96.6	%		97.5	%
MH and RV Revenue Producing Site Net Gains(c) (excluding UK Operations)*
MH net leased sites	278			346			122			132			65
RV net leased sites	524			267			567			818			605
Total net leased sites	802			613			689			950			670

^(a)  Excludes the effects of certain anti-dilutive convertible securities.

^(b)  Total wet slips and dry storage spaces are adjusted each quarter based on site configuration and usability.

^(c)  Revenue producing site net gains do not include occupied sites acquired during the year.

Portfolio Overview as of March 31, 2023

		MH & RV Properties
		Properties		MH & Annual RV					RV Transient Sites		Total MH and RV Sites		Sites for Development
Location				Sites		Occupancy %
Florida		129		39,920		97.4	%		4,480		44,400		3,400
Michigan		85		32,700		96.4	%		700		33,400		1,250
California		37		6,880		98.7	%		1,920		8,800		940
Texas		31		8,820		95.0	%		2,530		11,350		2,010
Ontario, Canada		16		4,580		100.0	%		570		5,150		1,470
Connecticut		16		1,910		93.7	%		100		2,010		—
Maine		16		2,540		95.4	%		1,130		3,670		200
Arizona		13		4,520		93.5	%		980		5,500		—
Indiana		12		3,160		97.0	%		1,020		4,180		180
New Jersey		11		2,910		100.0	%		1,140		4,050		260
Colorado		11		2,800		88.6	%		990		3,790		1,490
Virginia		10		1,430		99.9	%		2,020		3,450		750
New York		10		1,490		98.4	%		1,450		2,940		780
New Hampshire		10		1,740		99.9	%		660		2,400		100
Other		74		15,580		98.2	%		7,920		23,500		1,220
North America Total		481		130,980		96.9	%		27,610		158,590		14,050
United Kingdom		55		17,850		90.1	%		3,260		21,110		1,820
Total		536		148,830		96.1	%		30,870		179,700		15,870

		Marina
		Properties				Wet Slips and Dry Storage Spaces
Location
Florida		21				5,200
Rhode Island		12				3,420
California		11				5,700
Connecticut		11				3,330
New York		9				3,020
Maryland		9				2,630
Massachusetts		9				2,520
Other		53				22,170
Total		135				47,990

		Properties				Sites, Wet Slips and Dry Storage Spaces
Total Portfolio		671				227,690

Consolidated Balance Sheets
(amounts in millions)

	March 31, 2023				December 31, 2022
Assets
Land	$	3,974.1			$	4,322.3
Land improvements and buildings		11,202.1				10,903.4
Rental homes and improvements		672.8				645.2
Furniture, fixtures and equipment		869.7				839.0
Investment property		16,718.7				16,709.9
Accumulated depreciation		(2,867.9	)			(2,738.9	)
Investment property, net		13,850.8				13,971.0
Cash, cash equivalents and restricted cash		74.8				90.4
Marketable securities		105.5				127.3
Inventory of manufactured homes		232.5				202.7
Notes and other receivables, net		716.7				617.3
Goodwill		1,092.6				1,018.4
Other intangible assets, net		392.7				402.0
Other assets, net		898.2				655.1
Total Assets	$	17,363.8			$	17,084.2
Liabilities
Secured debt	$	3,386.4			$	3,217.8
Unsecured debt		4,075.6				3,979.4
Distributions payable		118.0				111.3
Advanced reservation deposits and rent		433.8				352.1
Accrued expenses and accounts payable		340.9				396.3
Other liabilities		940.1				935.9
Total Liabilities		9,294.8				8,992.8
Commitments and contingencies
Temporary equity		298.9				202.9
Shareholders' Equity
Common stock		1.2				1.2
Additional paid-in capital		9,556.4				9,549.7
Accumulated other comprehensive income / (loss)		7.7				(9.9	)
Distributions in excess of accumulated earnings		(1,875.0	)			(1,731.2	)
Total SUI shareholders' equity		7,690.3				7,809.8
Noncontrolling interests
Common and preferred OP units		79.8				78.7
Total noncontrolling interests		79.8				78.7
Total Shareholders' Equity		7,770.1				7,888.5
Total Liabilities, Temporary Equity and Shareholders' Equity	$	17,363.8			$	17,084.2

Consolidated Statements of Operations
(amounts in millions, except for per share amounts)

	Quarter Ended
	March 31, 2023				March 31, 2022				% Change
Revenues
Real property (excluding transient)	$	398.0			$	342.8			16.1	%
Real property - transient		43.4				45.0			(3.6)        %
Home sales		86.3				64.7			33.4	%
Service, retail, dining and entertainment		102.6				81.2			26.4	%
Interest		11.4				6.8			67.6	%
Brokerage commissions and other, net		9.5				8.0			18.8	%
Total Revenues		651.2				548.5			18.7	%
Expenses
Property operating and maintenance		156.6				124.1			26.2	%
Real estate tax		30.1				26.1			15.3	%
Home costs and selling		63.2				45.9			37.7	%
Service, retail, dining and entertainment		100.0				75.7			32.1	%
General and administrative		63.9				55.7			14.7	%
Catastrophic event-related charges, net		1.0				—			N/A
Business combinations		2.8				0.5			N/M
Depreciation and amortization		158.0				148.5			6.4	%
Loss on extinguishment of debt		—				0.3			(100.0)        %
Interest		76.6				45.2			69.5	%
Interest on mandatorily redeemable preferred OP units / equity		1.0				1.0			—	%
Total Expenses		653.2				523.0			24.9	%
Income / (Loss) Before Other Items		(2.0	)			25.5			N/M
Loss on remeasurement of marketable securities		(19.9	)			(34.5	)		(42.3)        %
Loss on foreign currency exchanges		(2.7	)			(2.2	)		22.7	%
Gain / (loss) on dispositions of properties		(1.6	)			13.4			N/M
Other expense, net(a)		(1.0	)			(0.6	)		69.5	%
Gain / (loss) on remeasurement of notes receivable		(1.7	)			0.2			N/M
Income / (loss) from nonconsolidated affiliates		(0.2	)			0.9			N/M
Gain / (loss) on remeasurement of investment in nonconsolidated affiliates		(4.5	)			0.1			N/M
Current tax expense		(3.9	)			(1.3	)		200.0	%
Deferred tax benefit		4.6				—			N/A
Net Income / (Loss)		(32.9	)			1.5			N/M
Less: Preferred return to preferred OP units / equity interests		2.4				3.0			(20.0)        %
Less: Loss attributable to noncontrolling interests		(5.2	)			(2.2	)		136.4	%
Net Income / (Loss) Attributable to SUI Common Shareholders	$	(30.1	)		$	0.7			N/M
Weighted average common shares outstanding - basic(a)		123.3				115.3			6.9	%
Weighted average common shares outstanding - diluted(a)		126.2				115.9			8.9	%
Basic earnings / (loss) per share	$	(0.24	)		$	0.01			N/M
Diluted earnings / (loss) per share(b)	$	(0.24	)		$	0.01			N/M

^(a) Refer to Definitions and Notes for additional information.

^(b) The effect of certain anti-dilutive convertible securities is excluded from these items.

N/M = Percentage change is not meaningful.

N/A = Percentage change is not applicable.

Reconciliation of Net Income / (Loss) Attributable to SUI Common Shareholders to Core FFO
(amounts in millions, except for per share data)

	Quarter Ended
	March 31, 2023				March 31, 2022
Net Income / (Loss) Attributable to SUI Common Shareholders	$	(30.1	)		$	0.7
Adjustments
Depreciation and amortization		157.3				148.3
Loss on remeasurement of marketable securities		19.9				34.5
(Gain) / loss on remeasurement of investment in nonconsolidated affiliates		4.5				(0.1	)
(Gain) / loss on remeasurement of notes receivable		1.7				(0.2	)
(Gain) / loss on dispositions of properties, including tax effect		3.5				(13.4	)
Add: Returns on preferred OP units		2.1				2.8
Add: Loss attributable to noncontrolling interests		(5.1	)			(2.2	)
Gain on dispositions of assets, net		(7.9	)			(15.1	)
FFO(a)	$	145.9			$	155.3
Adjustments
Business combination expense and other acquisition related costs(a)		6.5				3.1
Loss on extinguishment of debt		—				0.3
Catastrophic event-related charges, net		1.0				—
Loss of earnings - catastrophic event-related charges, net		5.5				—
Loss on foreign currency exchanges		2.7				2.2
Other adjustments, net(a)		(3.6	)			1.9
Core FFO(a)(b)	$	158.0			$	162.8
Weighted Average Common Shares Outstanding - Diluted		128.2				121.2
FFO per Share(b)	$	1.14			$	1.28
Core FFO per Share(b)	$	1.23			$	1.34

^(a) Refer to Definitions and Notes for additional information.

^(b) The effect of certain anti-dilutive convertible securities is excluded from these items.

Reconciliation of Net Income / (Loss) Attributable to SUI Common Shareholders to NOI
(amounts in millions)

	Three Months Ended
	March 31, 2023				March 31, 2022
Net Income / (Loss) Attributable to SUI Common Shareholders	$	(30.1	)		$	0.7
Interest income		(11.4	)			(6.8	)
Brokerage commissions and other revenues, net		(9.5	)			(8.0	)
General and administrative		63.9				55.7
Catastrophic event-related charges, net		1.0				—
Business combination expense		2.8				0.5
Depreciation and amortization		158.0				148.5
Loss on extinguishment of debt		—				0.3
Interest expense		76.6				45.2
Interest on mandatorily redeemable preferred OP units / equity		1.0				1.0
Loss on remeasurement of marketable securities		19.9				34.5
Loss on foreign currency exchanges		2.7				2.2
(Gain) / loss on disposition of property		1.6				(13.4	)
Other expense, net(a)		1.0				0.6
(Gain) / loss on remeasurement of notes receivable		1.7				(0.2	)
(Income) / loss from nonconsolidated affiliates		0.2				(0.9	)
(Gain) / loss on remeasurement of investment in nonconsolidated affiliates		4.5				(0.1	)
Current tax expense		3.9				1.3
Deferred tax benefit		(4.6	)			—
Preferred return to preferred OP units / equity interests		2.4				3.0
Add: Loss attributable to noncontrolling interests		(5.2	)			(2.2	)
NOI	$	280.4			$	261.9

	Three Months Ended
	March 31, 2023			March 31, 2022
Real Property NOI(a)	$	254.7		$	237.6
Home Sales NOI(a)		23.1			18.8
Service, retail, dining and entertainment NOI(a)		2.6			5.5
NOI	$	280.4		$	261.9

^(a) Refer to Definitions and Notes for additional information.

Reconciliation of Net Income / (Loss) Attributable to SUI Common Shareholders to Recurring EBITDA
(amounts in millions)

	Three Months Ended
	March 31, 2023				March 31, 2022
Net Income / (Loss) Attributable to SUI Common Shareholders	$	(30.1	)		$	0.7
Adjustments
Depreciation and amortization		158.0				148.5
Loss on extinguishment of debt		—				0.3
Interest expense		76.6				45.2
Interest on mandatorily redeemable preferred OP units / equity		1.0				1.0
Current tax expense		3.9				1.3
Deferred tax benefit		(4.6	)			—
(Income) / loss from nonconsolidated affiliates		0.2				(0.9	)
Less: (Gain) / loss on dispositions of properties		1.6				(13.4	)
Less: Gain on dispositions of assets, net		(7.9	)			(15.1	)
EBITDAre	$	198.7			$	167.6
Adjustments
Catastrophic event-related charges, net		1.0				—
Business combination expense		2.8				0.5
Loss on remeasurement of marketable securities		19.9				34.5
Loss on foreign currency exchanges		2.7				2.2
Other expense, net(a)		1.0				0.6
(Gain) / loss on remeasurement of notes receivable		1.7				(0.2	)
(Gain) / loss on remeasurement of investment in nonconsolidated affiliates		4.5				(0.1	)
Preferred return to preferred OP units / equity interests		2.4				3.0
Add: Loss attributable to noncontrolling interests		(5.2	)			(2.2	)
Add: Gain on dispositions of assets, net		7.9				15.1
Recurring EBITDA	$	237.4			$	221.0

^(a) Refer to Definitions and Notes for additional information.

Real Property Operations - Total Portfolio
(amounts in millions, except statistical information)

	Quarter Ended March 31, 2023																						Quarter Ended March 31, 2022
	MH																						MH
	North America				UK				Total MH				RV				Marinas			Total			North America				UK		Total MH				RV				Marinas			Total
Financial Information
Revenues
Real property (excluding transient)	$	223.5			$	27.5			$	251.0			$	61.8			$	85.2		$	398.0		$	208.3			N/A		$	208.3			$	60.7			$	73.8		$	342.8
Real property - transient		0.5				1.4				1.9				37.8				3.7			43.4			0.5			N/A			0.5				42.0				2.5			45.0
Total operating revenues		224.0				28.9				252.9				99.6				88.9			441.4			208.8			N/A			208.8				102.7				76.3			387.8
Expenses
Property operating expenses		73.4				22.6				96.0				53.8				36.9			186.7			65.3			N/A			65.3				52.6				32.3			150.2
Real Property NOI	$	150.6			$	6.3			$	156.9			$	45.8			$	52.0		$	254.7		$	143.5			N/A		$	143.5			$	50.1			$	44.0		$	237.6
Other information
Number of properties		299				55				354				182				135			671			295			N/A			295				180				128			603
Sites, wet slips and dry storage spaces
Sites, wet slips and dry storage spaces(a)		100,120				17,850				117,970				30,860				47,990			196,820			98,900			N/A			98,900				31,120				45,730			175,750
Transient RV sites(b)	N/A				N/A					—				30,870		(b)	N/A				30,870		N/A				N/A		N/A					29,270			N/A				29,270
Total		100,120				17,850				117,970				61,730				47,990			227,690			98,900			N/A			98,900				60,390				45,730			205,020
MH and Annual RV Occupancy		96.0	%			90.1	%			95.1	%			100.0	%		N/A			N/A				96.7	%		N/A			96.7	%			100.0	%		N/A			N/A

^(a) MH annual sites included 9,520 and 9,470 rental homes in the Company's Rental Program during the quarter ended March 31, 2023 and 2022, respectively.

^(b) RV transient for the quarter ended March 31, 2023 includes 3,260 of UK sites.

Real Property Operations - Same Property Portfolio^(a)
(amounts in millions, except for statistical information)

	Quarter Ended March 31, 2023																Quarter Ended March 31, 2022												% Change in Total(d)
	MH(b)				RV(b)				Marina				Total				MH(b)			RV(b)			Marina			Total
Financial Information
Same Property Revenues
Real property (excluding transient)	$	203.9			$	57.4			$	69.3			$	330.6			$	191.5		$	49.6		$	63.3		$	304.4		8.6	%
Real property - transient		0.3				36.1				3.4				39.8				0.4			38.4			2.3			41.1		(3.2)        %
Total Same Property operating revenues		204.2				93.5				72.7				370.4				191.9			88.0	88.0		65.6			345.5		7.2	%
Same Property Expenses
Same Property operating expenses(c)(e)		53.9				47.0				26.9				127.8				48.8			43.5			25.8			118.1		8.2	%
Real Property NOI(e)	$	150.3			$	46.5			$	45.8			$	242.6			$	143.1		$	44.5		$	39.8		$	227.4		6.7	%
% Change		5.0	%			4.4	%			15.1	%			6.7	%
Other Information
Number of properties		289				161				119				569				289			161			119			569
Sites, wet slips and dry storage spaces		98,630				54,540				41,000				194,170				97,750			54,240			40,830			192,820

^(a) Refer to the Definitions and Notes for additional information.

^(b) Same Property results for the Company's MH and RV properties reflect constant currency for comparative purposes. Canadian currency figures in the prior comparative period have been translated at the average exchange rate during the quarter ended March 31, 2023 of $0.7396 USD per Canadian dollar.

^(c) The Company nets utility revenues (which include utility reimbursement revenues from residents) against related expenses. Refer to Definitions and Notes for more detail.

^(d) Percentages are calculated based on unrounded numbers.

^(e) Total Same Property operating expenses consist of the following components for the periods shown (in millions) and exclude amounts invested into recently acquired properties to bring them up to the Company's standards:

	Quarter Ended						% Change
	March 31, 2023			March 31, 2022
Payroll and benefits	$	42.4		$	39.7		6.8	%
Real estate taxes		27.7			25.2		9.9	%
Supplies and repairs		14.2			14.6		(2.7)        %
Utilities		14.4			14.9		(3.4)        %
Legal, state / local taxes, and insurance		14.2			9.6		47.9	%
Other		14.9			14.1		5.7	%
Total Same Property Operating Expenses	$	127.8		$	118.1		8.2	%

Real Property Operations - Same Property Portfolio^(a) (Continued)

		As of
		March 31, 2023								March 31, 2022
		MH				RV				MH				RV
Number of properties			289				161				289				161
Sites
MH and Annual RV sites			98,630				30,600				97,750				28,460
Transient RV sites		N/A					23,940			N/A					25,780
Total			98,630				54,540				97,750				54,240
MH and Annual RV Occupancy
Occupancy(b)			96.8	%			100.0	%			96.8	%			100.0	%
Monthly base rent per site		$	648			$	568			$	614			$	524
% Change(c)			5.4	%			8.4	%		N/A				N/A
Rental Program Statistics included in MH:
Number of occupied sites, end of period(d)			9,480			N/A					9,470			N/A
Monthly rent per site – MH Rental Program		$	1,245			N/A				$	1,136			N/A
% Change(d)			9.6	%		N/A				N/A				N/A

^(a) Refer to Definitions and Notes for additional information.

^(b) Same Property adjusted blended occupancy for MH and RV combined increased to 98.6% at March 31, 2023, from 96.7% at March 31, 2022. The 190 basis point increase was driven by MH expansion fills and the conversion of transient RV sites to annual sites.

^(c) Calculated using actual results without rounding.

^(d) Occupied rental program sites in Same Property are included in total sites.

Home Sales Summary
(amounts in millions, except for *)

	Quarter Ended
	March 31, 2023				March 31, 2022				% Change
North America
Home sales	$	47.2			$	64.7			(27.0)        %
Home cost and selling expenses		36.6				45.9			(20.3)        %
NOI	$	10.6			$	18.8			(43.6)        %
NOI margin %		22.5	%			29.1	%
UK
Home sales	$	39.1			N/A				N/A
Home cost and selling expenses		26.6			N/A				N/A
NOI	$	12.5			N/A				N/A
NOI margin %		32.0	%		N/A
Total
Revenue from home sales	$	86.3			$	64.7			33.4	%
Home cost and selling expenses		63.2				45.9			37.7	%
Home sales NOI	$	23.1			$	18.8			22.9	%
NOI		26.8	%			29.1	%
Total Units Sold:*
North America		589				837			(29.6)        %
UK		583			N/A				N/A
Total home sales		1,172				837			40.0	%
Average Selling Price:*
North America	$	80,136			$	77,300			3.7	%
UK	$	67,067			N/A				N/A

N/A = Not applicable, as Park Holidays was acquired during the three months ended June 30, 2022.

Operating Statistics for MH and Annual RVs (excluding UK Operations)*

		Resident Move-outs
		% of Total Sites			Number of Move-outs		Net Leased Sites		New Home Sales		Pre-owned Home Sales		Brokered Re-sales
2023 - YTD as of March 31		3.3	%	(a)	2,366		802		107		482		537
2022		3.0	%		5,170		2,922		703		2,509		2,864
2021		2.7	%		5,276		2,483		732		3,356		3,528

^(a) Percentage calculated on a trailing 12-month basis.

Acquisitions
(amounts in millions, except for *)

Property Name		Property Type		Number of Properties*		Sites, Wet Slips and Dry Storage Spaces*		Expansion or Development Sites*		State, Province or Country		Total Purchase / Sale Price			Month Acquired
ACQUISITIONS
Fox Run(a)		MH		1		68		72		MI		$	7.0		January
Savannah Yacht Center(b)		Marina		1		24		—		GA			100.0		March
First Quarter 2023				2		92		72				$	107.0
Acquisitions in 2023				2		92		72				$	107.0

^(a) In conjunction with the acquisition of this ground-up development project, the Company issued 31,289 Common OP units valued at $4.5 million. The Company also delivered 68 of the 140 sites during the quarter.

^(b) In conjunction with this acquisition, the Company issued one million Series K preferred OP units valued at $100.0 million.

Capital Expenditures and Investments
(amounts in millions, except for *)

	Quarter Ended						Year Ended
	March 31, 2023						December 31, 2022						December 31, 2021
	MH / RV			Marina			MH / RV			Marina			MH / RV			Marina
Recurring Capital Expenditures(a)	$	13.0		$	7.8		$	51.0		$	22.8		$	45.3		$	19.3
Non-Recurring Capital Expenditures(a)
Lot Modifications	$	11.3		N/A			$	39.1		N/A			$	28.8		N/A
Growth Projects		3.8			25.9			28.4			71.1			25.6			51.4
Rebranding		2.0		N/A				15.0		N/A				6.1		N/A
Acquisitions		84.1			134.4			2,788.1			522.5			944.3			852.9
Expansion and Development		85.3			3.8			247.9			13.9			191.8			9.9
Total Non-Recurring Capital Expenditures		186.5			164.1			3,118.5			607.5			1,196.6			914.2
Total	$	199.5		$	171.9		$	3,169.5		$	630.3		$	1,241.9		$	933.5
Other Information
Recurring Capex per Site, Slip and Dry Storage Spaces(b)*	$	97		$	190		$	397		$	582		$	371			491

^(a) Refer to Definitions and Notes for additional information.

^(b) Average based on actual number of MH and RV sites and Marina wet slips and dry storage spaces associated with the recurring capital expenditures in each period.

Capitalization Overview
(Shares and units in thousands, dollar amounts in millions, except for *)

		As of
		March 31, 2023
Equity and enterprise value:		Common Equivalent Shares		Share Price*			Capitalization
Common shares		124,422		$	140.88		$	17,528.6
Convertible securities
Common OP units		2,447		$	140.88			344.7
Preferred OP units		2,665		$	140.88			375.5
Diluted shares outstanding and market capitalization(a)		129,534						18,248.8
Plus: Debt, per the balance sheet								7,462.0
Total capitalization								25,710.8
Less: Cash and cash equivalents								(57.4	)
Enterprise value(b)							$	25,653.4
Debt:				Weighted Average Maturity (in years)*			Debt Outstanding
Secured debt					9.8		$	3,386.4
Unsecured debt					5.5			4,075.6
Total debt, per consolidated balance sheet					7.4			7,462.0
Plus: Unamortized deferred financing costs and discounts / premiums on debt								43.2
Total debt(b)							$	7,505.2
Corporate debt rating and outlook:
Moody's							Baa3 | Stable
S&P							BBB | Stable

^(a) Refer to "Securities" within Definitions and Notes for additional information related to our securities outstanding.

^(b) Refer to "Enterprise Value" and "Net Debt" within Definitions and Notes for additional information.

Summary of Outstanding Debt

(amounts in millions, except for *)

		Quarter Ended
		March 31, 2023
		Debt Outstanding			Weighted Average Interest Rate(a)*			Maturity Date*
Secured Debt		$	3,386.4		3.81	%		Various
Unsecured Debt:
Senior Credit Facility:
Revolving credit facilities (in USD)(b)			741.6		5.09	%		April 2026
GBP term loan (in USD)(c)			1,080.3		4.31	%		April 2025
Total senior credit facility			1,821.9
Other unsecured term loan			16.2		5.80	%		October 2025
Senior credit facility and other term loan			1,838.1		4.64	%
Senior Unsecured Notes:
2028 senior unsecured notes			446.3		2.30	%		November 2028
2031 senior unsecured notes			741.9		2.70	%		July 2031
2032 senior unsecured notes			592.0		3.60	%		April 2032
2033 senior unsecured notes			395.4		5.51	%		January 2033
Total Senior Unsecured Notes			2,175.6		3.38	%
Mandatorily redeemable preferred equity and OP units(d)			61.9		6.22	%		Various
Total Unsecured Debt			4,075.6		3.99	%
Total debt, per consolidated balance sheets			7,462.0		3.91	%
Plus: Unamortized deferred financing costs and discounts / premiums on debt(a)			43.2
Total debt		$	7,505.2

^(a)  Includes the effect of amortizing deferred financing costs, loan premiums / discounts and derivatives.

^(b)  As of March 31, 2023, the Company's revolving credit facilities consisted of:

• $255.0 million borrowed on its U.S. line of credit at the Secured Overnight Financing Rate ("SOFR") plus 85 basis points.
• $422.4 million USD equivalent borrowed on its GBP line of credit at the Daily Sterling Overnight Index Average ("SONIA") plus 85 basis points.
• $64.2 million USD equivalent borrowed on its Australian line of credit at the Bank Bill Swap Bid Rate ("BBSY") plus 85 basis points.

^(c)  As of March 31, 2023, an aggregate of £500.0 million ($618.4 million) was swapped to a weighted average fixed rate of 3.87%.

^(d)  Mandatorily redeemable preferred equity and OP unit distributions are included within the line item 'Interest on mandatorily redeemable preferred OP units / equity' on the Company's Consolidated Statements of Operations.


Debt Maturities^(e)

Year		Secured Debt			Principal Amortization			Senior Credit Facility			Senior Unsecured Notes			Other Unsecured Debt			Total
2023		$	117.8		$	41.8		$	—		$	—		$	6.3		$	165.9
2024			128.8			56.4			—			—			70.0			255.2
2025			50.5			54.2			1,083.0			—			1.8			1,189.5
2026			658.4			46.2			741.6			—			—			1,446.2
2027			4.0			40.6			—			—			—			44.6
Thereafter			1,577.4			626.4			—			2,200.0			—			4,403.8
Total		$	2,536.9		$	865.6		$	1,824.6		$	2,200.0		$	78.1		$	7,505.2

^(e) Debt maturities include the unamortized deferred financing costs and discount / premiums associated with outstanding debt.

Debt Analysis

				As of
				March 31, 2023
Select Credit Ratios:
Net Debt / Recurring EBITDA (TTM)(a)				6.1 x
Net Debt / Enterprise Value				28.9	%
Net Debt / Gross Assets				36.6	%
Unencumbered Assets / Total Assets				76.8	%
Floating Rate Debt / Total Debt(b)				16.3	%
Coverage Ratios:
Recurring EBITDA (TTM)(a) / Interest				4.6 x
Recurring EBITDA (TTM)(a) / Interest + Pref. Distributions + Pref. Stock Distribution