Equity LifeStyle Properties Reports 16% Increase in Net Income Per Share for Fiscal Year 2024

Equity LifeStyle Properties, Inc. (ELS) reported a solid financial performance for the fiscal year ending December 31, 2024, with net income per share increasing by 16% to $1.96, compared to $1.69 in the previous year. Funds from Operations (FFO) per share also rose by 9.5% to $3.03, while Normalized FFO per share increased by 5.9% to $2.91. The company’s total revenues reached approximately $1.53 billion, up from $1.49 billion in 2023, driven by growth in rental income and membership subscriptions.

The company experienced notable operational changes, including a 6.5% increase in income from property operations, excluding property management, and a 6.1% rise in core manufactured home base rental income. The number of manufactured homeowners in the core portfolio grew by 379 to 67,002, reflecting the company's successful strategy in attracting and retaining residents. Additionally, ELS added 736 expansion sites during the year, contributing to its overall portfolio growth.

Strategically, ELS has been active in the acquisition space, having acquired rental cabins for $1.3 million in 2024 and previously completing the acquisition of Red Oak Shores Campground for $9.5 million in 2023. The company also modified its $500 million unsecured line of credit, extending the maturity date to July 2028, which enhances its financial flexibility. Furthermore, ELS launched a new at-the-market equity offering program with an aggregate offering price of up to $700 million, following the successful sale of approximately 4.5 million shares at $70.00 each in 2024.

Operationally, ELS managed a portfolio of 452 properties across 35 states and British Columbia, totaling 173,201 sites. The company reported a stable average occupancy rate of approximately 95% in its manufactured housing communities. The demand for manufactured housing and recreational vehicle communities remains strong, particularly among the aging baby boomer demographic, which is expected to drive future growth. ELS anticipates continued demand from younger generations, including Millennials and Generation Z, as they seek affordable housing options.

Looking ahead, ELS remains optimistic about its growth trajectory, citing favorable market conditions and a strong demand for its properties. The company plans to continue focusing on strategic acquisitions and property expansions while maintaining its commitment to delivering value to its stockholders. The ongoing challenges posed by inflation and interest rate fluctuations are acknowledged, but ELS is well-positioned to navigate these risks through its diversified portfolio and proactive management strategies.