Slide 1: Sun Communities, Inc. Investor Presentation February 2025
February 2025 Sun Communities, Inc. (NYSE: SUI) Investor Presentation RIVERSIDE CLUB – RUSKIN, FL
Slide 2: Cautionary Statement Regarding Forward-Looking Statements
Cautionary Statement Regarding Forward-Looking Statements This presentation has been prepared for informational purposes only from information supplied by Sun Communities, Inc., referred to herein as “we,” “our,” “Sun,” and “the Company,” and from third-party sources indicated herein. Such third-par
Slide 3: Safe Harbor Marinas Sale
Safe Harbor Marinas Sale SAFE HARBOR PUERTO DEL REY – FAJARDO, PR 3
Slide 4: Compelling Strategic Rationale for Sale of Safe Harbor Marinas
Compelling Strategic Rationale for Sale of Safe Harbor Marinas Post-transaction, Sun’s North American MH and RV portfolio is expected to Re-focuses Business account for approximately 90% of NOI of Sun Strategy This will streamline Sun’s strategic focus as a pure-play MH and RV owner and operator
Slide 5: Sale of Safe Harbor Marinas to Blackstone Infrastructure
Sale of Safe Harbor Marinas to Blackstone Infrastructure Transaction All-cash transaction for 100% of Sun’s interests in Safe Harbor Marinas SAFE HARBOR VENTURA ISLE – VENTURA, CA Transaction Value $5.65 billion, subject to certain adjustments Implied Valuation Approximate 21x multiple on Safe Harbo
Slide 6: Sun Communities – Company Highlights
Sun Communities – Company Highlights NORWAY COMMONS – NORWAY, ME Leading Owner and Operator of Manufactured Housing (“MH”) and Recreational Vehicle (“RV”) Communities Stable, Resilient Real Property Operations Drive Growth Compelling Supply-Demand Fundamentals & Best-in-Class Assets Drive Strong Per
Slide 7: Leading Owner and Operator of MH and RV
Leading Owner and Operator of MH and RV With ~176,400 operational sites, Sun is the largest publicly traded owner and operator of MH and RV MH RV UK Largest publicly traded owner / 166 best-in-class RV 2nd largest owner and operator operator of MH communities in communities with 57K sites in
Slide 8: Resilient Real Property Operations Drive Growth
Resilient Real Property Operations Drive Growth Real Property NOI is the primary driver of results, with MH accounting for more than two-thirds of it excluding marinas Growth Driver Detail – MH, RV & UK Real Property NOI Rental Income Generates 90% of NOI (1) (in mms) Forecasted consolidated NOI for
Slide 9: Robust Fundamentals Continue to Drive Performance
Robust Fundamentals Continue to Drive Performance Steady, Organic Growth MH Average Rental Rate Increases RV Average Rental Rate Increases 10-Year Actual Average Rental Rate Growth: 4.2% 10-Year Actual Average Rental Rate Growth: 5.4% CPI-U CPI-U 8.7% 7.6% 6.4% 6.1% 6.0% 5.5% 4.6% 5.2% 5.4% 5.4% 5.1
Slide 10: 4Q & FY24 Performance and Business Update
4Q & FY24 Performance and Business Update 4Q and FY24 Performance, 2025 Guidance Strategic Business Optimization & Financial Strength • Reported Core FFO per Share of $1.41 and $6.81 for the • Non- Strategic Asset Dispositions: Sold ~$570 million quarter and year ended December 31, 2024, respectivel
Slide 11: Compelling Supply-Demand Fundamentals: Manufactured Housing
Compelling Supply-Demand Fundamentals Manufactured Housing (MH) – North America Supply Virtually no new supply has been added for years 6% US Inventory Growth by Property Type 5% 4% 3% 2% 1% 0% 2015 2016 2017 2018 2019 2020 2021 2022 2023 LOST DUTCHMAN – APACHE JUNCTION, AZ Manufactured Housing Mu
Slide 12: Compelling Supply-Demand Fundamentals: RV
Compelling Supply-Demand Fundamentals RV Continued Demand for Affordable Vacationing Despite Annual Active Camping Households Declining RV Sales (in mms) Growth in annual RV shipments and historical RV revenue growth 5.9% CAGR 46.2% 57 58 54 13.2% 48 4.8% 0.8% 6.6% 4.2% 5.4% 4.9% 42 37 39 39 35 32 -
Slide 13: Compelling Supply-Demand Fundamentals: UK
Compelling Supply-Demand Fundamentals UK Business Model Supply & Demand Real Property NOI: Irreplaceable coastal ‘destination’ locations that are short drives from London and other urban locations Strong historical and expected income growth 10-year same property average rental rate increase o
Slide 14: Sun's Track Record of NOI Growth
Sun’s Track Record of NOI Growth Resilient demand, high barriers to entry, and Sun’s investment and operational platform have resulted in consistent, and cycle tested organic cash flow growth For more than 20 years, every individual year or rolling 4-quarter period, Sun has recorded positive sam
Slide 15: Sun's Same Property Operating Expenses
Sun’s Same Property Operating Expenses 2025E Same Property Operating Expenses OAKWOOD VILLAGE – MIAMISBURG, OH North America (MH and RV only) Legal, Local Taxes & Insurance Payroll & 9% Benefits Utilities 15% 30% SUN OUTDOORS OCEAN CITY GATEWAY – WHALEYVILLE, MD Supplies & Repair 16% Real Estate Tax
Slide 16: Investment Grade Balance Sheet
Investment Grade Balance Sheet Upcoming Mortgage Maturities ($ in millions)(1)(2) Credit Statistics Rate Type(1) % of Total 8.6% BBB 0.8% 10.7% 0.1% 5.0% 5.5% variable rate $651 $304 $335 $48 $4 91.4% fixed rate Baa3 2025 2026 2027 2028 2029 Total Debt Outstanding ($ in millions)(1)(2) Encumbrance(1
Slide 17: Robust Sustainability Initiatives
Robust Sustainability Initiatives Our board and executive leadership are committed to sustainable business practices that benefit all stakeholders including the broader communities in which we operate Current initiatives to advance our Sustainability platform include policy enhancement, establis
Slide 18: Appendix
Appendix HEMLOCKS – TILTON, NH 18
Slide 19: Defined Non-GAAP Terms
Defined Non-GAAP Terms Investors and analysts following the real estate industry use non-GAAP supplemental performance measures, including net operating income ("NOI"), earnings before interest, tax, depreciation and amortization ("EBITDA") and funds from operations ("FFO") to assess REITs. The Comp
Slide 20: Net Income to FFO Reconciliation
Net Income to FFO Reconciliation Three Months Ended Year Ended December 31, December 31, (amounts in millions except per share data) 2024 2023 December 31, 2024 December 31, 2023 December 31, 2022 Net Income / (Loss) Attributable to SUI Common Shareholders $ (224.4) $ (80.9) $ 89.0 $ (213.3) $ 242.0
Slide 21: Net Income to NOI Reconciliation
Net Income to NOI Reconciliation Three Months Ended Year Ended December 31, December 31, (amounts in millions) 2024 2023 December 31, 2024 December 31, 2023 December 31, 2022 Net Income / (Loss) Attributable to SUI Common Shareholders $ (224.4) $ (80.9) $ 89.0 $ (213.3) $ 242.0 Interest income (5.3)
Slide 22: Net Income to Recurring EBITDA Reconciliation
Net Income to Recurring EBITDA Reconciliation Three Months Ended Year Ended December 31, December 31, (amounts in millions) 2024 2023 December 31, 2024 December 31, 2023 December 31, 2022 Net Income / (Loss) Attributable to SUI Common Shareholders $ (224.4) $ (80.9) $ 89.0 $ (213.3) $ 242.0 Adjustme