Equity Lifestyle Properties, Inc. · NYSE:ELS
Equity Lifestyle Properties — Investor Presentation (March 2009)
24 slides from Equity Lifestyle Properties's investor presentation, Mar 2, 2009
Slide 1: Equity LifeStyle Properties Executive Summary
Equity LifeStyle Properties Community Quality Stability Executive Summary (r) March 2, 2009
Slide 2: Forward-Looking Statements
Forward-Looking Statements 2 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 similar words or phrase
Slide 3: ELS mission statement
ELS The premier provider of affordable, quality lifestyle housing options in the markets we operate in and to the customers we serve. 3
Slide 4: ELS: Overview
ELS: Overview One of the nation's largest real estate networks with over 300 properties containing over 111,000 sites in 28 states and British Columbia ELS leases developed sites to owners of resort homes, resort cottages and RV's: 45,000 manufactured or resort home sites 43,000 public RV sites for
Slide 5: Unlocking Value: Key Value Drivers
Unlocking Value Real estate Demographics Product flexibility 5 5 Key Value Drivers
Slide 6: ELS Locations
ELS Locations >75 Properties with lake, river and ocean frontage >80 Properties within 10 miles of coastal U.S. Concentrations: Florida, California, Arizona, Texas Northwest coast, Eastern seaboard, Chicago metro 6
Slide 7: A National Community
A National Community
Slide 8: Investment Focus
Investment Focus Primary investment is land/long-term appreciating component of real estate Lower maintenance costs/customer turnover costs High quality real estate Major metros/high growth areas High barriers to entry Retirement and vacation destinations 8
Slide 9: Favorable Fundamentals
Favorable Fundamentals Supply - asset scarcity: supply decreasing in target markets/NIMBY Demand - favorable demographics and migration trends Florida, Arizona, California, Texas Baby Boomers 9
Slide 10: Customer Relationship
Customer Relationship Long term relationship creates stable and predictable cash flows Lifestyle focus: amenities, communities Decision drivers: location, appearance, value Attractive housing: high quality, low capital commitment, easy maintenance 10
Slide 11: Target Customer
Target Customer 78 million Baby Boomers* 8.2 million current RV owners** (1 million available sites***) Seasonal/second homeowners - 7.5 million vacation homes**** Active adults - lifestyle homes 11 * U.S Census Bureau as of July 2005 ** 2005 University of Michigan study commissioned by the Recreati
Slide 12: Boomer Curve
Boomer Curve Source: Information acquired through www.qeaa.org, 2004 12
Slide 13: Exploding Demographics
Exploding Demographics Currently over 15M Boomers are 55+ and growing 4M per year* Average life expectancy 80-83** Outdoor recreation activity participation*** • Camping > 47M • Bike riding > 37M • Boating > 31M • Fishing > 35M • Hiking > 28M 13 * Boomer Curve - page 12 ** National Center for Health
Slide 14: Own, rent, flexible use or membership
Own, rent, flexible use or membership RV Sites Resort Homes Resort Cottages RV Sites Products Resort Homes Resort Cottages RV Sites 14 Resort Homes Resort Cottages RV Sites
Slide 15: Customer Retention
Customer Retention 15 Long Term Multi-Phase Relationship Camping to RV RV to Cottage Cottage to Home Flexible use to multi-use / locations High repeat and referral Long-term customer relationship
Slide 16: Current Economic Issues Impacting Customer Base
Current Economic Issues Impacting Customer Base Home equity value - at risk/illiquid Retirement plans/investments decrease in value Rising health care costs Desire for flexible work opportunities Impact of Today's Economy 16
Slide 17: Provides Solutions
Provides Solutions Locations - Retirement/vacation destinations Lifestyle - Active, engaging lifestyle available at low cost Products - A variety of affordable products: - Smaller home: energy efficiency/lower maintenance - Price points starting from $20,000 (used) and $40,000 (new); less capital ti
Slide 18: Financials
Financials
Slide 19: Total Market Capitalization
Total Market Capitalization IPO 2008* Market Capitalization $193 million $961 million Preferred Units - $200 million Mortgage Notes $103 million $1.6 billion Unsecured Notes - $93 million Total Market Capitalization $296 million $2.9 billion *Utilizes actual $38.36 closing stock price at December 31
Slide 20: REIT Industry Same Store NOI Growth
20 REIT Industry Same Store NOI Growth Source: Citi Investment Research
Slide 21: Track Record
Track Record 1993 2008 FFO Per Share? $1.11 $3.20 Stock Price Performance? $12.88 $38.36 Dividend Paid Cumulative? $24.92 Total Return 586%? ? See page 24 for definition of FFO ? The 1993 stock price is split-adjusted; the 2008 price is the closing price as of December 31, 2008 ? Through December 31
Slide 22: 2009 Budget - Income From Property Operations
2009 Budget - Income From Property Operations (Amounts in millions) Property Operations (excluding Property management): 2008 2009 Growth Factor? Community Base Rental Income $245.8 Resort Base Rental Income 104.3 Utility and Other Income 38.9 __________ Property Operating Revenues $389.0 3.0 - 4.0%
Slide 23: 2009 Guidance - Selected Financial Data
2009 Guidance - Selected Financial Data (Amounts in millions, except for per share data) Income from Property Operations? Privileged Access Operations? Income from Home Sales and Other Property Management and corporate general and administrative expenses Other Income and Expenses Financing Costs and
Slide 24: Funds from Operations (FFO) definition
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 an appropriate measure of performance for an equity REIT. While FFO is a relevant and widely
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