Equity Lifestyle Properties, Inc. · NYSE:ELS
Equity Lifestyle Properties — Investor Presentation (November 2012)
69 slides from Equity Lifestyle Properties's investor presentation, Nov 13, 2012
Slide 1: Investor Presentation November 2012
LifeStyle Properties1 Investor Presentation November 2012 Fun N Sun – San Benito, TX Palm Springs – Palm Desert, CA Pine Lakes – North Ft. Myers, FL Equity LifeStyle Properties, Inc. Two North Riverside Plaza Chicago, IL 60606 Paradise RV Resort – Sun City, AZ
Slide 2: Forward-Looking Statements
LifeStyle Properties 2 Forward-Looking Statements n This presentation includes certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. When used, words such as “anticipate,” “expect,” “believe,” “project,” “intend,” “may be” and “will be” and
Slide 3: Real Estate
LifeStyle Properties Real Estate 3
Slide 4: ELS Property Locations
LifeStyle Properties ELS Property Locations 4
Slide 5: ELS Overview
LifeStyle Properties n One of the nation’s largest real estate networks with 382 properties containing over 141,000 sites in 32 states and British Columbia ELS Overview 5 Note: 1) See page 22 for details. n ELS has a unique business model ELS owns the land Leases individual developed sites to custom
Slide 6: ELS Investment Highlights
LifeStyle Properties ELS Investment Highlights n Well Located Real Estate ?>80 properties with lake, river or ocean frontage ?>100 properties within 10 miles of coastal United States ?Property locations are strongly correlated with population migration n Financial Performance and Fundamentals ?Stron
Slide 7: Property Location Shift
LifeStyle Properties 7 Property Location Shift (1)(2)(3)(4)+ properties since IPO -properties since IPO Top 5 New Acquisition States: +226 properties; +15.4% population growth All Disposition States: -13 properties; +6.4% population growth Notes: 1) Source: US Census Bureau, 2010. 2) Population chan
Slide 8: Real Estate
LifeStyle Properties Real Estate n Primary investment is in land; the appreciating component of real estate in the long run n Lower maintenance costs/customer turnover costs than other forms of real estate n High quality real estate ?Asset scarcity ?High barriers to entry ?Retirement and vacation de
Slide 9: Manufactured Home Community Colony Cove - Ellenton, FL
LifeStyle Properties Manufactured Home Community Colony Cove -Ellenton, FL
Slide 10: Manufactured Home Community Contempo Marin - San Rafael, CA
LifeStyle Properties Manufactured Home Community Con tempo Marin - San Rafael, CA
Slide 11: Manufactured Home Community De Anza Santa Cruz
LifeStyle Properties Manufactured Home Community De Anza Santa Cruz - Santa Cruz, CA 11
Slide 12: Manufactured Home Community Mariner's Cove - Lewes, DE
LifeStyle Properties Manufactured Home Community Mariner’s Cove - Lewes, DE
Slide 13: RV Resort Viewpoint - Mesa, AZ
LifeStyle Properties RV Resort Viewpoint - Mesa, AZ 13
Slide 14: RV Resort
LifeStyle Properties RV Resort Sunshine Key RV Resort & Marina - The Florida Keys14
Slide 15: Financial Performance
LifeStyle Properties Financial Performance 15
Slide 16: Track Record
LifeStyle Properties Track Record 16 Item IPO Year -1993 2012 Properties 41 382 Sites 12,312 141,077 States 16 32 FFO Per Share(1) $0.94 $4.59 Common Stock Price (2) $12.88 $67.33 Enterprise Value (3) $296 million $5.6 billion Dividend Paid Cumulative (4)—$30.50 Cumulative Total Return (5)—1,220% S&
Slide 17: Total Return Performance
LifeStyle Properties 17 Total Return Performance (1) ELS total return has outperformed both the S&P 500 and other REIT’s for both the last 5 and 10 years ELS announced 2013 dividend is 14% higher than 2012 Notes: Source: SNL Financial.1) Total return calculation assumes dividend reinvestment.2) SNL
Slide 18: Consistent Same Store NOI Growth and Outperformance
LifeStyle Properties18 Consistent Same Store NOI Growth and Out performance Note: 1) Source for Same Store NOI data: Citi Investment Research, August 2012. Earliest quarter collected by Citi is third quarter of 1998. “REIT Industry” includes an index of REITs across a variety of asset classes, inclu
Slide 19: ELS vs. Multifamily Same Store NOI Indexed Growth
LifeStyle Properties 19 ELS vs. Multifamily Same Store NOI Indexed Growth (1) Notes: 1) Source: Citi Investment Research, August 2012. Same Store Indexed Growth assumes initial investment of $100 multiplied by the annual same store NOI growth rate. 2) Source: Citi Investment Research, August 2012. A
Slide 20: ELS vs. Multifamily FFO/Share and Total Return
LifeStyle Properties 20 ELS vs. Multifamily (cont’d) FFO/Share and Total Return Notes: Source: SNL Financial, May 2012. 1) Growth in FFO/Share and Total Return assumes initial investment of $100 multiplied by the annual FFO/Share and Total Return growth rates, respectively. Total Return assumes divi
Slide 21: Long Term Predictable Cash Flows
LifeStyle Properties$508.3$517.3$589.2$708.2$724.4$0$100$200$300$400$500$600$700$8002009201020112012 (1)2013 (1)$120.4$126.0$147.5$208.6$227.3$0$50$100$150$200$2502009201020112012 (1)2013 (1) 21 Long Term Predictable Cash Flows Revenue (In $US millions) Funds from Operations (In $US millions) (2) FF
Slide 22: Steady, Predictable Revenue Streams
LifeStyle Properties 22 Steady, Predictable Revenue Streams Property Revenue Buckets (1) Annual MH Annual RV Utility & Other Annual Right to Use Transient Seasonal 12.7% 9.1% 8.7% 62.8% All Annual Revenue = 93.3%$705M Property Operating Revenues Note: 1) Property revenue buckets reflect Company’s es
Slide 23: Manufactured Homes Casa del Sol East - Glendale, AZ
LifeStyle Properties Manufactured Homes Casa del Sol East –Glendale, AZ23
Slide 24: Resort Cottages (Park Model) O'Connell's - Amboy, IL
LifeStyle Properties Resort Cottages (Park Model) O’Connell’s - Amboy, IL24
Slide 25: RV Units Green Mountain - Lenoir, NC
LifeStyle Properties RV Units Green Mountain - Lenoir, NC (Thousand Trails) 25
Slide 26: Balance Sheet Flexibility
LifeStyle Properties 26 Balance Sheet Flexibility Total Debt / Total Capitalization (1) Fixed Interest Coverage (2) $344 million of common equity raised in 2011 200 properties are unencumbered2.1x2.2x2.5x2.6x2.7x0.0x0.5x1.0x1.5x2.0x2.5x3.0x20072008200920102011 Notes: 1) Source: SNL Financial. 2) Fix
Slide 27: Capital Structure
LifeStyle Properties Mortgage Debt $2,084, 37.4% Term Loan $200, 3.6%OPU’s (1) $265, 4.8% Preferred (2) $200, 3.6% Common (1) $2,822, 50.6% 27 Capital Structure As of September 30, 2012 (In $US millions) Total enterprise value (1) is $5.6 billion Debt to enterprise value is 41%$380 million undrawn l
Slide 28: Acquisition Overview
LifeStyle Properties 28 Acquisition Overview Note: 1) See Supplemental Package. n 2011 Acquisition ?$1.4 billion acquisition of 75 properties 2012 estimated income from property operations of $102.5 million (1) Other Midwest/ID 11% Michigan 9% West 8% Northeast 20% Florida 52%
Slide 29: Resort Homes
LifeStyle Properties29 Resort Homes (1) n 205 manufactured home communities –$476 million, or 69%, of estimated 2012 property operating revenues n 74,100 sites n Total occupancy is 89.4% and up 280 sites since 12/31/11 (2) n Core ?Core occupancy has grown for 12 consecutive quarters through 9/30/12
Slide 30: RV Resorts
LifeStyle Properties 30 RV Resorts (1) n 172 RV resorts –$213 million, or 31%, of estimated 2012 property operating revenues n Total Sites = 63,900 ?Annual / Seasonal Sites = 30,000 ?Transient Sites = 9,600 ?Thousand Trails Sites = 24,300 (2) •97,500 members as of 10/31/12 –Average annual customer p
Slide 31: Customers
LifeStyle Properties Customers 31
Slide 32: Customer Demographics
LifeStyle Properties Customer Demographics 32 Note: Sources: University of Michigan’s Survey Research Center 2005, Acxiom 2009, Statistical Surveys 2011, US Census 2008. The population of people 50 –74 is expected to grow 24% from 2010 to 2025ELS only needs a small percentage of this customer pool t
Slide 33: Customer Demographics
LifeStyle Properties Customer Demographics33 Note: 1) See page 22 Customer Demographics Transient RV Customer -355-55 years old Right to Use RV -Zone Park Pass – low cost product introduced in 2010 -Traditionally 55-69 years old Seasonal RV Customer -Traditionally 55-69 years old MH and Annual RV Cu
Slide 34: RV Customer Acquisition Channels
LifeStyle Properties 34 RV Customer Acquisition Channels n RV Dealers n RV Manufacturers n RV Service Providers ?Insurance ?Reservations n RV Retail Suppliers Foothills West –Casa Grande, AZ Soledad Canyon - Acton, CA
Slide 35: ELS LifeStyle and Activities
LifeStyle Properties ELS LifeStyle and Activities n Recreation ?Golf, softball, fishing, tennis, swimming, lawn bowling, bocce ball n Arts ?Concerts, shows, art fairs, crafts n Education ?Seminars, One Day University n Volunteerism ?Consider Others, fund raising
Slide 36: Customer Engagement
LifeStyle Properties Customer Engagement n Engage the customer early in life, will become part of a lifestyle for the customer n Our member base is loyal with over 50% having been with us 20+ years n My RV Market -order branded items online (1,000 sku’s) n Social Networking application
Slide 37: Customer Engagement
LifeStyle Properties Customer Engagement n Facebook -20,600 fans, friends of fans 4.7 million 3716 likes53 comments Detailed response thread Note:1) Facebook logo is a registered trademark of Facebook, Inc. Search for people, places and things Thousand Trails 19,609 likes ‘ 944 talking about this Li
Slide 38: Customer Engagement Photo Contests Conducted on our Facebook Page
LifeStyle Properties Customer Engagement Photo Contests Conducted on our Facebook Page 38 Pacific City - Cloverdale, OR Lake Minden -Nicolaus, TX
Slide 39: Customer Engagement Photo Contests Conducted on our Facebook Page
LifeStyle Properties 39 Snow flower -Emigrant Gap, CA Yosemite Lakes -Groveland, CA Customer Engagement Photo Contests Conducted on our Facebook Page
Slide 40: People
LifeStyle Properties People 40
Slide 41: Experienced, Proven Management and Board of Directors
LifeStyle Properties Experienced, Proven Management and Board of Directors 41 Executive Officers Board of Directors Thomas Heneghan-Chief Executive Officer (until 2/1/2013), member of Board of Directors since 2004 and Co-Vice Chairman effective 2/1/2013 (with ELS since 1995). Previous roles at ELS:
Slide 42: Organizational Overview
LifeStyle Properties Organizational Overview 42 Regional Corporate n Administrative ?Accounting •SVP and CAO –25+ years of experience in public accounting, joined ELS in 2012 •4 VP’s / Directors -Average 7+ years at ELS/Thousand Trails •Compliance Officer –17+ years at ELS ?Financial Planning •Direc
Slide 43: Funds from Operations
Funds from Operations (“FFO”) is a non-GAAP financial measure. The Company believes that FFO, as defined by the Board of Governors of the National Association of Real Estate Investment Trusts (“NAREIT”), is generally an appropriate measure of performance for an equity REIT. While FFO is a relevant a
Slide 44: Appendix
LifeStyle Properties Appendix
Slide 45: Manufactured Home Communities
LifeStyle Properties Manufactured Home Communities 45
Slide 46: Manufactured Home Community California Hawaiian - San Jose, CA
LifeStyle Properties Manufactured Home Community California Hawaiian -San Jose, CA46
Slide 47: Manufactured Home Community Pine Lakes Country Club
LifeStyle Properties Manufactured Home Community Pine Lakes Country Club -North Ft. Myers, FL47
Slide 48: Manufactured Home Community Coquina Crossing
LifeStyle Properties Manufactured Home Community Coquina Crossing - Elkton, FL
Slide 49: Manufactured Home Community Colony Cove - Ellenton, FL
LifeStyle Properties Manufactured Home Community Colony Cove - Ellenton, FL49
Slide 50: Manufactured Home Community The Heritage
LifeStyle Properties Manufactured Home Community The Heritage - North Ft. Myers, FL50
Slide 51: Manufactured Home Community Coral Cay - Margate, FL
LifeStyle Properties Manufactured Home Community Coral Cay - Margate, FL
Slide 52: RV Resorts
LifeStyle Properties RV Resorts
Slide 53: RV Resort Monte Vista - Mesa, AZ
LifeStyle Properties RV Resort Monte Vista - Mesa, AZ53
Slide 54: RV Resort Rancho Oso - Santa Barbara, CA
LifeStyle Properties RV Resort Rancho Oso - Santa Barbara, CA (Thousand Trails) 54
Slide 55: RV Resort Lake George - Lake George, NY
LifeStyle Properties RV Resort Lake George - Lake George, NY
Slide 56: RV Resort Goose Creek - Newport, NC
LifeStyle Properties RV Resort Goose Creek - Newport, NC56
Slide 57: RV Resort Bend - Bend, OR
LifeStyle Properties RV Resort Bend - Bend, OR (Thousand Trails) 57
Slide 58: RV Resort Mt. Hood - Welches, OR
LifeStyle Properties RV Resort Mt. Hood - Welches, OR 58
Slide 59: RV Resort Medina Lake - Lakehills, TX
LifeStyle Properties RV Resort 59 Medina Lake - Lakehills, TX (Thousand Trails)
Slide 60: RV Resort Chesapeake Bay - Gloucester, VA
LifeStyle PropertiesRV Resort Chesapeake Bay - Gloucester, VA (Thousand Trails) 60
Slide 61: Manufactured Homes
LifeStyle Properties Manufactured Homes 61
Slide 62: Manufactured Homes Bay Indies - Venice, FL
LifeStyle Properties Manufactured Homes Bay Indies - Venice, FL 62
Slide 63: Manufactured Homes Bay Indies - Venice, FL
LifeStyle Properties Manufactured Homes Bay Indies - Venice, FL
Slide 64: Manufactured Homes Buccaneer Estates - North Ft. Myers, FL
LifeStyle Properties Manufactured Homes Buccaneer Estates - North Ft. Myers, FL64
Slide 65: RV's / Park Models
LifeStyle Properties RV’s / Park Models 65
Slide 66: Resort Cottages (Park Models) Goose Creek - Newport, NC
LifeStyle Properties Resort Cottages (Park Models) Goose Creek - Newport, NC66
Slide 67: Resort Cottages (Park Models) Lake Conroe - Willis, TX
LifeStyle Properties Resort Cottages (Park Models) Lake Conroe - Willis, TX (Thousand Trails) 67
Slide 68: RV Units Wilderness Lakes - Oregon House, CA
LifeStyle PropertiesRV Units Wilderness Lakes -Oregon House, CA (Thousand Trails) 68
Slide 69: RV Units Winter Quarters Pasco RV Resort - Tampa Area, FL
LifeStyle Properties RV UnitsWinter Quarters Pasco RV Resort -Tampa Area, FL 69
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