Equity Lifestyle Properties, Inc. · NYSE:ELS
Equity Lifestyle Properties — Investor Presentation (June 2012)
72 slides from Equity Lifestyle Properties's investor presentation, Jun 26, 2012
Slide 1: Exhibit 99.1
EXHIBIT 99.1
Slide 2: Forward-Looking Statements
Equity LifeStyle Properties Forward-Looking Statements 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” a
Slide 3: ELS Property Locations
Equity LifeStyle Properties ELS Property Locations
Slide 4: Manufactured Home Community
Equity LifeStyle Properties Manufactured Home Community Pine Lakes Country Club - North Ft. Myers, FL
Slide 5: Manufactured Homes
Equity LifeStyle Properties Manufactured Homes Casa del Sol East – Glendale, AZ
Slide 6: Manufactured Homes
Equity LifeStyle Properties Manufactured Homes Bay Indies - Venice, FL
Slide 7: Manufactured Homes
Equity LifeStyle Properties Manufactured Homes Bay Indies - Venice, FL
Slide 8: Manufactured Homes
Equity LifeStyle Properties Manufactured Homes Buccaneer Estates - North Ft. Myers, FL
Slide 9: RV Resort
Equity LifeStyle Properties RV Resort Goose Creek - Newport, NC
Slide 10: RV Resort
Equity LifeStyle Properties RV Resort Goose Creek - Newport, NC
Slide 11: RV Units
Equity LifeStyle Properties RV Units Winter Quarters Pasco RV Resort - Tampa Area, FL
Slide 12: Resort Cottages (Park Models)
Equity LifeStyle Properties Resort Cottages (Park Models) O’Connell’s - Amboy, IL
Slide 13: RV Resort
Equity LifeStyle Properties RV Resort Lake Conroe - Willis, TX (Thousand Trails)
Slide 14: RV Units
Equity LifeStyle Properties RV Units Wilderness Lakes - Oregon House, CA (Thousand Trails)
Slide 15: ELS Overview
Equity LifeStyle Properties 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 Note: 1) See page 47 for details. ELS has a unique business model ELS owns the land Leases individual developed sites to custo
Slide 16: ELS Investment Highlights
Equity LifeStyle Properties ELS Investment Highlights 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
Slide 17: ELS Property Locations
Equity LifeStyle Properties ELS Property Locations
Slide 18: Property Location Shift
Equity LifeStyle Properties Property Location Shift (1)(2)(3)(4) + properties since IPO - properties since IPO All Disposition States: -13 properties; +6.4% population growth properties currently on the west coast (5) 66 properties currently on the east coast (5) 134 properties currently in FL & TX
Slide 19: Real Estate
Equity LifeStyle Properties Real Estate Primary investment is in land; the appreciating component of real estate in the long run Lower maintenance costs/customer turnover costs than other forms of real estate High quality real estate Asset scarcity High barriers to entry Retirement and vacation dest
Slide 20: Manufactured Home Community
Equity LifeStyle Properties Manufactured Home Community De Anza Santa Cruz - Santa Cruz, CA
Slide 21: Manufactured Home Community
Equity LifeStyle Properties Manufactured Home Community California Hawaiian - San Jose, CA
Slide 22: Manufactured Home Community
Equity LifeStyle Properties Manufactured Home Community Contempo Marin - San Rafael, CA
Slide 23: RV Resort
Equity LifeStyle Properties RV Resort Rancho Oso - Santa Barbara, CA (Thousand Trails)
Slide 24: RV Resort
Equity LifeStyle Properties RV Resort Mt. Hood - Welches, OR
Slide 25: RV Resort
Equity LifeStyle Properties RV Resort Bend - Bend, OR (Thousand Trails)
Slide 26: RV Resort
Equity LifeStyle Properties RV Resort Monte Vista - Mesa, AZ
Slide 27: RV Resort
Equity LifeStyle Properties RV Resort Viewpoint - Mesa, AZ
Slide 28: RV Resort
Equity LifeStyle Properties RV Resort Medina Lake - Lakehills, TX
Slide 29: Manufactured Home Community
Equity LifeStyle Properties Manufactured Home Community Coquina Crossing - Elkton, FL
Slide 30: Manufactured Home Community
Equity LifeStyle Properties Manufactured Home Community Colony Cove - Ellenton, FL
Slide 31: Manufactured Home Community
Equity LifeStyle Properties Manufactured Home Community Colony Cove - Ellenton, FL
Slide 32: Manufactured Home Community
Equity LifeStyle Properties Manufactured Home Community The Heritage - North Ft. Myers, FL
Slide 33: Manufactured Home Community
Equity LifeStyle Properties Manufactured Home Community Coral Cay - Margate, FL
Slide 34: RV Resort
Equity LifeStyle Properties RV Resort Sunshine Key RV Resort & Marina - The Florida Keys
Slide 35: RV Resort
Equity LifeStyle Properties RV Resort Green Mountain - Lenoir, NC (Thousand Trails)
Slide 36: RV Resort
Equity LifeStyle Properties RV Resort Chesapeake Bay - Gloucester, VA (Thousand Trails)
Slide 37: Manufactured Home Community
Equity LifeStyle Properties Manufactured Home Community Mariner’s Cove - Lewes, DE
Slide 38: RV Resort
Equity LifeStyle Properties RV Resort Lake George - Lake George, NY
Slide 39: ELS Investment Highlights
Equity LifeStyle Properties ELS Investment Highlights 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 Financial Performance and Fundamentals Strong
Slide 40: Track Record: IPO Year 1993 vs 2012
Equity LifeStyle Properties Item IPO Year - 1993 2012 Track Record Properties Sites 12,312 141,081 States FFO Per Share (1) $1.11 $4.51 Stock Price (2) $12.88 $65.86 Enterprise Value (3) $296 million $5.63 billion Dividend Paid Cumulative (4) - $29.63 Cumulative Total Return (5) - 1,175% S&P 500 Tot
Slide 41: Total Return Performance
Equity LifeStyle Properties 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 2012 dividend is 17% higher than Notes: Source: SNL Financial. 1) Total return calculation assumes dividend reinvestment . 2) SN
Slide 42: Consistent Same Store NOI Growth and Outperformance
Equity LifeStyle Properties Consistent Same Store NOI Growth and Outperformance Note: 1) Source for Same Store NOI data: Citi Investment Research, May 2012. Earliest quarter collected by Citi is third quarter of 1998. “REIT Industry” includes an index of REITs across a variety of asset classes, incl
Slide 43: ELS vs. Multifamily
Equity LifeStyle Properties ELS vs. Multifamily Same Store NOI Indexed Growth (1) Notes: 1) Source: Citi Investment Research, May 2012. Same Store Indexed Growth assumes initial investment of $100 multiplied by the annual same store NOI growth rate. 2) Source: Citi Investment Research, May 2012. Ave
Slide 44: ELS vs. Multifamily (cont'd): FFO/Share and Total Return
$50 $100 $150 $200 $250 $300 $350 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 FFO/Share and Total Return: 2002 -2011 (1) Equity LifeStyle Properties 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 i
Slide 45: Fundamentals
Equity LifeStyle Properties Fundamentals
Slide 46: Long Term Predictable Cash Flows
Equity LifeStyle Properties $92.8 $98.8 $120.4 $126.0 $147.5 $204.8 Long Term Predictable Cash Flows Revenue (In $US millions) Funds from Operations (In $US millions) (3) FFO expected to grow 39% in 2012 Over 96% of estimated 2012 revenues is comprised of property operating revenues 2011 and 2012 gr
Slide 47: Steady, Predictable Revenue Streams
Equity LifeStyle Properties 62.2% 12.6% 9.3% 9.0% Steady, Predictable Revenue Streams Property Revenue Buckets (1) All Annual Revenue = 93.1% $687M Property Operating Revenues Note: 1) Property revenue buckets reflect Company’s estimated 2012 property operating revenues. Annual MH Annual RV Utility
Slide 48: Balance Sheet Flexibility
Equity LifeStyle Properties Balance Sheet Flexibility Total Debt / Total Capitalization (1) Fixed Interest Coverage (2) $344 million of common equity raised in 200 properties are unencumbered Notes: 1) Source: SNL Financial. 2) Fixed interest coverage equals interest expense divided by EBITDA .
Slide 49: Capital Structure
Equity LifeStyle Properties Capital Structure As of March 31, 2012 (In $US millions) Total enterprise value (1) is $5.63 billion Debt to enterprise value is 40% $380 million undrawn line of credit Notes: 1) Stock price as of 3/31/2012. 2) The 8 million shares of 8.034% Series A Cumulative Redeemable
Slide 50: 2011 Acquisition Overview
Equity LifeStyle Properties 2011 Acquisition Overview Note: 1) See Supplemental Package. $1.4 billion acquisition of 75 properties 2012 estimated income from property operations of $101.3 million (1)
Slide 51: Resort Homes
Equity LifeStyle Properties Resort Homes (1) manufactured home communities - $473 million of estimated 2012 property operating revenues 74,100 sites Total occupancy is 89.2% and up 77 sites since 12/31/11 (2) Core Core occupancy has grown for 10 consecutive quarters through 3/31/12 Core occupancy of
Slide 52: RV Resorts
Equity LifeStyle Properties RV Resorts (1) 172 RV resorts - $214 million of estimated 2012 property operating revenues Total Sites = 63,900 Annual / Seasonal Sites = 30,000 Transient Sites = 9,600 Thousand Trails Sites = 24,300 (2) • 95,900 members as of 5/31/12 – Average annual customer payments (d
Slide 53: ELS Investment Highlights
Equity LifeStyle Properties ELS Investment Highlights 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 Financial Performance and Fundamentals Strong
Slide 54: Customers
Equity LifeStyle Properties Customers
Slide 55: Customer Demographics
Equity LifeStyle Properties Customer Demographics U.S. Population Over Age of 50 (in millions) Note: Sources: University of Michigan’s Survey Research Center 2005, Acxiom 2009, Statistical Surveys 2011, US Census 2008. 70 to 74 65 to 69 60 to 64 55 to 59 50 to 54 The population of people 50 – 74 is
Slide 56: Customer Demographics
Equity LifeStyle Properties Customer Demographics Transient RV Customer 35-55 years old Right to Use RV and Seasonal RV Customer Traditionally 55-69 years old Zone Park Pass – low cost product introduced in 2010 • 50-59 years old MH and Annual RV Customer 65-74 years old Target Customer Customer Pyr
Slide 57: RV Customer Acquisition Channels
Equity LifeStyle Properties RV Customer Acquisition Channels RV Dealers RV Manufacturers RV Service Providers Insurance Reservations RV Retail Suppliers
Slide 58: ELS LifeStyle and Activities
Equity LifeStyle Properties ELS LifeStyle and Activities Recreation Golf, softball, fishing, tennis, swimming, lawn bowling, bocce ball Arts Concerts, shows, art fairs, crafts Education Seminars, One Day University Volunteerism Consider Others, fund raising
Slide 59: Lifestyle / Amenities
Equity LifeStyle Properties Lifestyle / Amenities Pine Lakes Country Club - North Ft. Myers, FL
Slide 60: Lifestyle / Amenities
Equity LifeStyle Properties Lifestyle / Amenities Paradise - Sun City, AZ
Slide 61: Lifestyle / Amenities
Equity LifeStyle Properties Lifestyle / Amenities Monte Vista RV Resort - Mesa, AZ
Slide 62: Lifestyle / Amenities
Equity LifeStyle Properties Lifestyle / Amenities Bay Indies - Venice, FL
Slide 63: Lifestyle / Amenities
Equity LifeStyle Properties Lifestyle / Amenities Sturbridge - Sturbridge, MA (Thousand Trails)
Slide 64: Customer Engagement
Equity LifeStyle Properties Customer Engagement Engage the customer early in life, will become part of a lifestyle for the customer Our member base is loyal with over 50% having been with us 20+ years MyRVMarket - order branded items online Social Networking application
Slide 65: Customer Engagement
Equity LifeStyle Properties Customer Engagement Facebook - 18,000 fans, friends of fans 4.1 million 16 likes 53 comments Detailed response thread
Slide 66: Customer Engagement - Facebook Photo Contests
Equity LifeStyle Properties Customer Engagement - Facebook Photo Contests Pacific City - Cloverdale, OR Lake Minden - Nicolaus, TX
Slide 67: Customer Engagement - Facebook Photo Contests
Equity LifeStyle Properties Customer Engagement - Facebook Photo Contests Snowflower - Emigrant Gap, CA Yosemite Lakes - Groveland, CA
Slide 68: ELS Investment Highlights
Equity LifeStyle Properties ELS Investment Highlights 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 Financial Performance and Fundamentals Strong
Slide 69: People
Equity LifeStyle Properties People
Slide 70: Experienced, Proven Management and Board of Directors
Equity LifeStyle Properties Experienced, Proven Management and Board of Directors Executive Officers Board of Directors Thomas Heneghan - Chief Executive Officer and member of the Board of Directors (with ELS since 1995). Previous roles at ELS: President, Chief Operating Officer (“COO”), Chief Finan
Slide 71: Organizational Overview
Equity LifeStyle Properties Organizational Overview Regional Corporate Administrative Accounting • SVP of Finance and Treasurer - 18+ years at ELS • SVP and CAO – 25+ years of experience in public accounting, joined ELS in 2012 • VP’s / Directors - Average 8+ years at ELS/Thousand Trails • Complianc
Slide 72: Non GAAP Financial Measures
Equity LifeStyle Properties 2007 2008 2009 2010 2011 2012 (1) Non GAAP Financial Measures Net Income to FFO Reconciliation (In $US millions) Computation of funds from operations: Net income available for common shares 32.1 18.3 34.0 38.4 22.8 47.2 Income allocated to common OP units 7.7 4.3 6.1 5.9
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