Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2016 | Jul. 25, 2016 | |
Document Documentand Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | ELS | |
Entity Registrant Name | EQUITY LIFESTYLE PROPERTIES INC | |
Entity Central Index Key | 895,417 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 85,296,903 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Investment in real estate: | ||
Land | $ 1,142,651 | $ 1,101,676 |
Land improvements | 2,867,006 | 2,787,882 |
Buildings and other depreciable property | 608,204 | 588,041 |
Investment in real estate | 4,617,861 | 4,477,599 |
Accumulated depreciation | (1,339,298) | (1,282,423) |
Net investment in real estate | 3,278,563 | 3,195,176 |
Cash | 74,871 | 80,258 |
Notes receivable, net | 33,837 | 35,463 |
Investment in unconsolidated joint ventures | 23,223 | 17,741 |
Deferred commission expense | 31,084 | 30,865 |
Escrow deposits, goodwill, and other assets, net | 43,997 | 40,897 |
Total Assets | 3,485,575 | 3,400,400 |
Liabilities: | ||
Mortgage notes payable | 1,915,834 | 1,926,880 |
Term loan | 199,276 | 199,172 |
Unsecured lines of credit | 0 | 0 |
Accrued expenses and accounts payable | 79,418 | 76,044 |
Deferred revenue – upfront payments from right-to-use contracts | 79,505 | 78,405 |
Deferred revenue – right-to-use annual payments | 13,017 | 9,878 |
Accrued interest payable | 8,488 | 8,715 |
Rents and other customer payments received in advance and security deposits | 84,821 | 74,300 |
Distributions payable | 39,300 | 34,315 |
Total Liabilities | 2,419,659 | 2,407,709 |
Stockholders’ Equity: | ||
Preferred stock value | 0 | 0 |
Common stock, $0.01 par value | 852 | 843 |
Paid-in capital | 1,094,152 | 1,039,140 |
Distributions in excess of accumulated earnings | (236,623) | (250,506) |
Accumulated other comprehensive loss | (1,197) | (553) |
Total Stockholders’ Equity | 993,328 | 925,068 |
Non-controlling interests – Common OP Units | 72,588 | 67,623 |
Total Equity | 1,065,916 | 992,691 |
Total Liabilities and Equity | 3,485,575 | 3,400,400 |
6.75% Series C Cumulative Redeemable Perpetual Preferred Stock | ||
Stockholders’ Equity: | ||
Preferred stock value | $ 136,144 | $ 136,144 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2016 | Dec. 31, 2015 |
Preferred Stock, Par or Stated Value Per Share (usd per share) | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized | 9,945,539 | 9,945,539 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Common Stock, Par or Stated Value Per Share (usd per share) | $ 0.01 | |
Common Stock, Shares Authorized | 200,000,000 | 200,000,000 |
Common Stock, Shares, Issued | 85,295,182 | 84,296,350 |
Common Stock, Shares, Outstanding | 85,295,182 | 84,296,350 |
6.75% Series C Cumulative Redeemable Perpetual Preferred Stock | ||
Preferred Stock, Par or Stated Value Per Share (usd per share) | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized | 54,461 | 54,461 |
Preferred Stock, Shares Issued | 54,458 | 54,458 |
Preferred Stock, Shares Outstanding | 54,458 | 54,458 |
Consolidated Statements of Inco
Consolidated Statements of Income and Comprehensive Income - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Revenues: | ||||
Community base rental income | $ 115,385 | $ 110,073 | $ 229,461 | $ 219,343 |
Rental home income | 3,543 | 3,559 | 7,088 | 7,113 |
Resort base rental income | 44,732 | 41,427 | 100,166 | 93,072 |
Right-to-use annual payments | 11,187 | 10,945 | 22,241 | 21,926 |
Right-to-use contracts current period, gross | 3,086 | 3,578 | 5,618 | 6,375 |
Right-to-use contract upfront payments, deferred, net | (798) | (1,455) | (1,100) | (2,228) |
Utility and other income | 19,523 | 18,901 | 40,316 | 37,983 |
Gross revenues from home sales | 9,130 | 9,526 | 17,344 | 16,463 |
Brokered resale revenues and ancillary services revenues, net | 398 | 1,012 | 1,816 | 2,994 |
Interest income | 1,625 | 1,736 | 3,285 | 3,556 |
Income from other investments, net | 2,270 | 2,178 | 3,993 | 3,297 |
Total revenues | 210,081 | 201,480 | 430,228 | 409,894 |
Expenses: | ||||
Property operating and maintenance | 66,647 | 64,178 | 129,601 | 125,295 |
Rental home operating and maintenance | 1,581 | 1,689 | 3,106 | 3,358 |
Real estate taxes | 12,869 | 12,652 | 26,067 | 25,246 |
Sales and marketing, gross | 2,931 | 3,512 | 5,424 | 6,034 |
Right-to-use contract commissions, deferred, net | (116) | (764) | (12) | (1,007) |
Property management | 12,044 | 11,099 | 23,807 | 22,389 |
Depreciation on real estate assets and rental homes | 29,029 | 28,335 | 57,684 | 56,451 |
Amortization of in-place leases | 428 | 669 | 763 | 1,334 |
Cost of home sales | 9,481 | 9,093 | 17,762 | 15,817 |
Home selling expenses | 805 | 720 | 1,639 | 1,525 |
General and administrative | 8,255 | 7,541 | 15,663 | 14,947 |
Property rights initiatives and other | 527 | 694 | 1,181 | 1,247 |
Early debt retirement | 0 | (69) | 0 | 16,922 |
Interest and related amortization | 25,561 | 26,145 | 51,195 | 53,421 |
Total expenses | 170,042 | 165,494 | 333,880 | 342,979 |
Income before equity in income of unconsolidated joint ventures | 40,039 | 35,986 | 96,348 | 66,915 |
Equity in income of unconsolidated joint ventures | 765 | 840 | 1,646 | 1,724 |
Consolidated net income | 40,804 | 36,826 | 97,994 | 68,639 |
Income allocated to non-controlling interests – Common OP Units | (2,998) | (2,724) | (7,308) | (5,054) |
Net income available for Common Stockholders | 35,490 | 31,786 | 86,073 | 58,972 |
Other comprehensive (loss) income (“OCI”): | ||||
Adjustment for fair market value of swap | (36) | 204 | (644) | (653) |
Consolidated comprehensive income | 40,768 | 37,030 | 97,350 | 67,986 |
Comprehensive income attributable to Common Stockholders | $ 35,457 | $ 31,974 | $ 85,480 | $ 58,370 |
Earnings per Common Share – Basic: | ||||
Net income available for Common Shares (usd per share) | $ 0.42 | $ 0.38 | $ 1.02 | $ 0.70 |
Earnings per Common Share - Fully Diluted: | ||||
Net income available for Common Shares (usd per share) | 0.42 | 0.38 | 1.01 | 0.70 |
Distributions declared per Common Share outstanding (usd per share) | $ 0.425 | $ 0.375 | $ 0.85 | $ 0.75 |
Weighted average Common Shares outstanding – basic (shares) | 84,516 | 84,031 | 84,419 | 83,996 |
Weighted average Common Shares outstanding – fully diluted (shares) | 92,264 | 91,851 | 92,163 | 91,829 |
6.75% Series C Cumulative Redeemable Perpetual Preferred Stock | ||||
Expenses: | ||||
Series C Redeemable Perpetual Preferred Stock Dividends | $ (2,316) | $ (2,316) | $ (4,613) | $ (4,613) |
Non- controlling interests – Common OP Units | ||||
Other comprehensive (loss) income (“OCI”): | ||||
Comprehensive income allocated to non-controlling interests – Common OP Units | $ (2,995) | $ (2,740) | $ (7,257) | $ (5,003) |
Consolidated Statements of Chan
Consolidated Statements of Changes In Equity - 6 months ended Jun. 30, 2016 - USD ($) $ in Thousands | Total | Common Stock | Paid-in Capital | 6.75% Series C Cumulative Redeemable Perpetual Preferred Stock | Distributions in Excess of Accumulated Earnings | Non- controlling interests – Common OP Units | Accumulated Other Comprehensive Loss |
Balance at Dec. 31, 2015 | $ 992,691 | $ 843 | $ 1,039,140 | $ 136,144 | $ (250,506) | $ 67,623 | $ (553) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Conversion of Common OP Units to Common Stock | 38 | (38) | |||||
Issuance of Common Stock through exercise of options | 5,232 | 2 | 5,230 | ||||
Issuance of Common Stock through employee stock purchase plan | 275 | 275 | |||||
Issuance of Common Stock | 50,000 | 7 | 49,993 | ||||
Compensation expenses related to restricted stock | 4,393 | 4,393 | |||||
Repurchase of Common Stock or Common OP units | (274) | (274) | |||||
Adjustment for Common OP Unitholders in the Operating Partnership | 0 | (3,820) | 3,820 | ||||
Adjustment for fair market value of swap | (644) | (644) | |||||
Net income | 97,995 | 4,614 | 86,073 | 7,308 | |||
Distributions | (82,929) | (4,614) | (72,190) | (6,125) | |||
Other | (823) | (823) | |||||
Balance at Jun. 30, 2016 | $ 1,065,916 | $ 852 | $ 1,094,152 | $ 136,144 | $ (236,623) | $ 72,588 | $ (1,197) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Cash Flows From Operating Activities: | ||
Consolidated net income | $ 97,994 | $ 68,639 |
Adjustments to reconcile consolidated net income to net cash provided by operating activities: | ||
Early debt retirement | 0 | 16,922 |
Depreciation | 58,242 | 56,989 |
Amortization of in-place leases | 763 | 1,334 |
Amortization of loan costs | 1,876 | 2,103 |
Debt premium amortization | (1,730) | (2,094) |
Equity in income of unconsolidated joint ventures | (1,646) | (1,724) |
Distributions of income from unconsolidated joint ventures | 1,041 | 1,161 |
Amortization of stock-related compensation | 4,393 | 3,960 |
Revenue recognized from right-to-use contract upfront payments | (4,518) | (4,147) |
Commission expense recognized related to right-to-use contracts | 2,019 | 1,696 |
Long term incentive plan compensation | (3,852) | 657 |
Recovery of uncollectible rents receivable | (679) | (344) |
Changes in assets and liabilities: | ||
Notes receivable activity, net | 361 | (101) |
Deferred commission expense | (2,238) | (3,067) |
Escrow deposits, goodwill and other assets | 13,137 | 27,540 |
Accrued expenses and accounts payable | 2,453 | 18,475 |
Deferred revenue – upfront payments from right-to-use contracts | 5,618 | 6,375 |
Deferred revenue – right-to-use annual payments | 3,139 | 3,492 |
Rents received in advance and security deposits | 10,434 | 12,080 |
Net cash provided by operating activities | 186,807 | 209,946 |
Cash Flows From Investing Activities: | ||
Real estate acquisition | (76,203) | (23,687) |
Investment in unconsolidated joint ventures | (5,000) | (4,000) |
Repayments of notes receivable | 5,176 | 5,366 |
Issuance of notes receivable | (4,356) | (4,035) |
Capital improvements | (55,707) | (42,259) |
Net cash used in investing activities | (136,090) | (68,615) |
Cash Flows From Financing Activities: | ||
Proceeds from stock options and employee stock purchase plan | 5,233 | 4,252 |
Gross proceeds from sale of Common Stock | 50,000 | |
Distributions: | ||
Common Stockholders | (67,565) | (58,862) |
Common OP Unitholders | (5,766) | (5,057) |
Preferred Stockholders | (4,613) | (4,613) |
Principal payments and mortgage debt payoff | (32,564) | (437,279) |
New mortgage notes payable financing proceeds | 0 | 395,323 |
Debt issuance and defeasance costs | (5) | (23,541) |
Other | (824) | (323) |
Net cash used in financing activities | (56,104) | (130,100) |
Net (decrease) increase in cash and cash equivalents | (5,387) | 11,231 |
Cash, beginning of period | 80,258 | 73,714 |
Cash, end of period | 74,871 | 84,945 |
Supplemental Information: | ||
Cash paid during the period for interest | 53,121 | 54,330 |
Capital improvements – used homes acquired by repossessions | 445 | 443 |
Net repayments of notes receivable – used homes acquired by repossessions | (445) | (443) |
Building and other depreciable property – reclassification of rental homes | 15,986 | 14,046 |
Escrow deposits and other assets – reclassification of rental homes | (15,986) | (14,046) |
Real estate acquisitions: | ||
Investment in real estate | (100,148) | (23,900) |
Escrow deposits and other assets | (20) | (53) |
Debt assumed and financed on acquisition | 22,010 | 0 |
Accrued expenses and accounts payable | 1,955 | 62 |
Rents and other customer payments received in advance and security deposits | 0 | 204 |
Real estate acquisition | $ (76,203) | $ (23,687) |
Definition of Terms
Definition of Terms | 6 Months Ended |
Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Definition of Terms | Definition of Terms Equity LifeStyle Properties, Inc., a Maryland corporation, together with MHC Operating Limited Partnership (the “Operating Partnership”) and other consolidated subsidiaries (“Subsidiaries”) are referred to herein as “we,” “us,” and “our.” Capitalized terms used but not defined herein are as defined in our Annual Report on Form 10-K (“2015 Form 10-K”) for the year ended December 31, 2015 . |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies (a) Basis of Presentation and Principles of Consolidation We follow accounting standards set by the Financial Accounting Standards Board, commonly referred to as the “FASB.” The FASB sets generally accepted accounting principles (“GAAP”), which we follow to ensure that we consistently report our financial condition, results of operations and cash flows. References to GAAP issued by the FASB in these footnotes are to the FASB Accounting Standards Codification (the “Codification”). These unaudited Consolidated Financial Statements have been prepared pursuant to Securities and Exchange Commission (“SEC”) rules and regulations. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the financial statements and notes thereto included in the 2015 Form 10-K. The following notes to the Consolidated Financial Statements highlight significant changes to the notes included in the 2015 Form 10-K and present interim disclosures as required by the SEC. The accompanying Consolidated Financial Statements reflect, in the opinion of management, all adjustments and estimates necessary for a fair presentation of the interim financial statements, which are of a normal, recurring nature. Revenues are subject to seasonal fluctuations and accordingly, quarterly interim results may not be indicative of full year results. The accompanying Consolidated Financial Statements include the consolidation of our accounts. We do not have controlling interests in any of our joint ventures (“JV”), which are therefore treated under the equity method of accounting and not consolidated in our financial statements. The holders of limited partnership interests in the Operating Partnership (“Common OP Unitholders”) receive an allocation of net income that is based on their respective ownership percentage of the Operating Partnership which is shown in our Consolidated Financial Statements as Non-controlling interests-Common OP Units. All significant intercompany balances and transactions have been eliminated in consolidation. Effective January 1, 2016, we adopted (“ASU 2015-02”) Consolidation (Topic 810): Amendments to the Consolidation Analysis . ASU 2015-02 required us to evaluate whether we should consolidate certain legal entities. Principally, the new consolidation standard modified the evaluation of whether limited partnerships and similar legal entities are variable interest entities ("VIE") or voting interest entities. Based on our review and subsequent analysis of the structure of our legal entities, we concluded that the Operating Partnership is a VIE because the limited partners of the Operating Partnership do not have substantive kick-out or participating rights. We are the general partner and controlling owner of approximately 92.2% of the Operating Partnership and we will continue to consolidate the Operating Partnership under this new guidance. With respect to our investment in unconsolidated joint ventures, the new consolidation standard did not have an impact on our previous consolidation conclusions. Effective January 1, 2016, we adopted (“ASU 2015-03”) Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs and ( “ASU 2015-15”) Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements . ASU 2015-03 requires that debt issuance costs be deducted from the carrying value of the financial liability and not recorded as separate assets, previously classified as deferred financing costs. The recognition and measurement guidance for debt issuance costs are not affected by ASU 2015-03. ASU 2015-15 states that presentation of costs associated with securing a revolving line of credit as an asset is permitted, regardless of whether a balance is outstanding. ASU 2015-03 and 2015-15 require retrospective adoption and as a result we reclassified deferred financing costs on our Consolidated Balance Sheets as of December 31, 2015, as presented herein (See Note 7 to the Consolidated Financial Statements for further details). (b) Identified Intangibles and Goodwill As of June 30, 2016 and December 31, 2015 , the gross carrying amount of identified intangible assets and goodwill, a component of escrow deposits, goodwill and other assets, net on our consolidated balance sheets, was approximately $12.1 million . As of June 30, 2016 and December 31, 2015 , this amount was comprised of approximately $4.3 million of identified intangible assets and approximately $7.8 million of goodwill. Accumulated amortization of identified intangible assets was approximately $2.7 million and $2.6 million as of June 30, 2016 and December 31, 2015 , respectively. For the quarters and six months ended June 30, 2016 and 2015 , amortization expense for the identified intangible assets was approximately $0.1 million . (c) Restricted Cash Our cash balance as of June 30, 2016 and December 31, 2015 included approximately $5.3 million and $5.0 million respectively, of restricted cash for the payment of capital improvements, insurance or real estate taxes. (d) Fair Value of Financial Instruments Our financial instruments include notes receivable, accounts receivable, accounts payable, other accrued expenses, interest rate swaps and mortgage notes payable. We disclose the estimated fair value of our financial instruments according to a fair value hierarchy (Level 1, 2 and 3). Our mortgage notes payable and term loan, excluding deferred financing costs of approximately $18.9 million and $19.7 million , respectively, had a carrying value of approximately $2.1 billion as of June 30, 2016 and December 31, 2015 , and a fair value of approximately $2.2 billion as of June 30, 2016 and December 31, 2015 , respectively. The fair value is measured using quoted prices and observable inputs from similar liabilities (Level 2). At June 30, 2016 and December 31, 2015 , our cash flow hedge of interest rate risk included in accrued expenses and accounts payable was measured using quoted prices and observable inputs from similar assets and liabilities (Level 2). We consider our own credit risk as well as the credit risk of our counterparties when evaluating the fair value of our derivative. The fair values of our notes receivable approximate their carrying or contract values. We also utilize Level 2 and Level 3 inputs as part of our determination of the purchase price allocation for our acquisitions, as discussed in Note 4 to the Consolidated Financial Statements. (e) Deferred Financing Costs, net Deferred financing costs includes fees and costs incurred to obtain long-term financing and are amortized over the terms of the respective loans on a basis that approximates level yield. Unamortized deferred financing fees are written-off when debt is retired before the maturity date. Upon amendment of the line of credit or refinancing of mortgage debt, unamortized deferred financing fees are accounted for in accordance with Codification Sub-Topic Modifications and Extinguishments (“FASB ASC 470-50-40”). Accumulated amortization for such costs was $35.6 million and $33.7 million at June 30, 2016 and December 31, 2015 , respectively. (f) Recent Accounting Pronouncements In June 2016, the FASB issued (“ASU 2016-13”) Financial Instruments - Credit Losses (Topic 326) . ASU 2016-13 requires entities to measure all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Entities will now use forward-looking information to better form their credit loss estimates. ASU 2016-13 also requires enhanced disclosures to help financial statement users better understand significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an entity’s portfolio. ASU 2016-13 will be effective for annual reporting periods beginning after December 15, 2019. Early adoption is permitted. We are currently in the process of evaluating the potential impact, if any, that adoption of this standard may have on our consolidated financial statements and related disclosures. In February 2016, the FASB issued ("ASU 2016-02") Leases . ASU 2016-02 amends the existing accounting standards for lease accounting, including requiring lessees to recognize most leases on their balance sheets and making targeted changes to lessor accounting. ASU 2016-02 requires a modified retrospective transition approach for all leases existing at, or entered into after, the date of initial application, with an option to use certain transition relief. ASU 2016-02 will be effective for annual reporting periods beginning after December 15, 2018. Early adoption is permitted. We are currently evaluating the potential impact this standard may have on our consolidated financial statements and related disclosures. In May 2014, the FASB issued ("ASU 2014-09") Revenue from Contracts with Customers which along with related subsequent amendments will replace most existing revenue recognition guidance in U.S. GAAP. The core principle of ASU 2014-09 is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. ASU 2014-09 requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. ASU 2014-09 does not apply to lease contracts accounted for under ASC 840, Leases. Entities can transition to the standard either retrospectively or as a cumulative-effect adjustment as of the date of adoption. On July 9, 2015, the FASB deferred the effective date by one year for annual reporting periods beginning after December 15, 2017. The FASB will permit early adoption of the standard, but not before the original effective date of December 15, 2016. We are currently in the process of evaluating the impact that adoption of the standard will have on our consolidated financial statements and related disclosures. |
Earnings Per Common Share
Earnings Per Common Share | 6 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | Earnings Per Common Share The following table sets forth the computation of the basic and diluted earnings per Common Share for the quarters and six months ended June 30, 2016 and 2015 (amounts in thousands, except per share data): Quarters Ended Six Months Ended June 30, June 30, 2016 2015 2016 2015 Numerators: Net Income Available for Common Stockholders: Net income available for Common Stockholders – basic $ 35,490 $ 31,786 $ 86,073 $ 58,972 Amounts allocated to dilutive securities 2,998 2,724 7,308 5,054 Net income available for Common Stockholders – fully diluted $ 38,488 $ 34,510 $ 93,381 $ 64,026 Denominator: Weighted average Common Shares outstanding – basic 84,516 84,031 84,419 83,996 Effect of dilutive securities: Redemption of Common OP Units for Common Shares 7,205 7,221 7,206 7,223 Stock options and restricted shares 543 599 538 610 Weighted average Common Shares outstanding – fully diluted 92,264 91,851 92,163 91,829 Earnings per Common Share – Basic: Net income available for Common Stockholders $ 0.42 $ 0.38 $ 1.02 $ 0.70 Earnings per Common Share – Fully Diluted: Net income available for Common Stockholders $ 0.42 $ 0.38 $ 1.01 $ 0.70 |
Common Stock and Other Equity R
Common Stock and Other Equity Related Transactions | 6 Months Ended |
Jun. 30, 2016 | |
Equity [Abstract] | |
Common Stock and Other Equity Related Transactions | Common Stock and Other Equity Related Transactions The following regular quarterly distributions have been declared on our depositary shares (each representing 1/100 of a share of our Series C Preferred Stock) and paid to our preferred shareholders for the six months ended June 30, 2016 : Distribution Amount Per Share For the Quarter Ending Stockholder Record Date Payment Date $0.421875 March 31, 2016 March 21, 2016 March 31, 2016 $0.421875 June 30, 2016 June 17, 2016 June 30, 2016 The following regular quarterly distributions have been declared and paid to common stockholders and common OP Unit non-controlling interest holders for the six months ended June 30, 2016 : Distribution Amount Per Share For the Quarter Ending Stockholder Record Date Payment Date $0.425 March 31, 2016 March 25, 2016 April 8, 2016 $0.425 June 30, 2016 June 24, 2016 July 8, 2016 On May 4, 2015, we extended our at-the-market (“ATM”) offering program by entering into new separate equity distribution agreements with certain sales agents, pursuant to which we may sell, from time-to-time, shares of our Common Stock, par value $ 0.01 per share, having an aggregate offering price of up to $ 125.0 million . The following table presents the shares that were issued under the ATM equity offering program during the six months ended June 30, 2016 (amounts in thousands, except stock data): Six Months Ended June 30, 2016 Shares of Common Stock sold 683,548 Weighted average price $ 73.15 Total gross proceeds $ 50,000 Commissions paid to sales agents $ 657 We did not sell any shares under the ATM offering program for the comparable six month period in 2015. As June 30, 2016 , approximately $ 75.0 million of Common Stock remained available for issuance under this ATM equity offering program. |
Investment in Real Estate
Investment in Real Estate | 6 Months Ended |
Jun. 30, 2016 | |
Real Estate [Abstract] | |
Investment in Real Estate | Investment in Real Estate Acquisitions All acquisitions have been accounted for utilizing the acquisition method of accounting in accordance with FASB ASC 805 and, accordingly, the results of operations of acquired assets are included in the Consolidated Statements of Income and Comprehensive Income from the dates of acquisition. Certain purchase price adjustments may be made within one year following the acquisition and applied prospectively in accordance with ASU 2015-16 Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments . On June 15, 2016, we completed the acquisition of Forest Lake Estates, a 1,168 -Site property located in Zephryhills, Florida. This property consists of 894 manufactured home community Sites and 274 RV resort Sites. The purchase price of $75.2 million was funded with proceeds from the ATM offering program and the assumption of mortgage debt of approximately $22.6 million . On May 26, 2016, we closed on the acquisition of Portland Fairview, a 407 -Site RV resort located in Fairview, Oregon. The purchase price of approximately $17.6 million was funded with available cash. On January 27, 2016, we completed the acquisition of Rose Bay, a 303 -Site RV resort, located in Port Orange, Florida. The total purchase price of approximately $7.4 million was funded with available cash. During the year ended December 31, 2015 , we acquired two RV resorts, Whispering Pines and Miami Everglades, collectively containing 581 Sites, and one manufactured home community, Bogue Pines, containing 150 Sites. The combined purchase price of approximately $23.9 million was funded with available cash. The following table summarizes the estimated fair value of the assets acquired and liabilities assumed in the acquisitions for the six months ended June 30, 2016 and the year ended December 31, 2015 , which we determined using Level-2, for mortgage notes payable and other liabilities, and Level-3 inputs (amounts in thousands): Six Months Ended Year Ended June 30, December 31, Assets acquired Land $ 40,975 $ 8,985 Buildings and other depreciable property 58,676 13,948 Manufactured homes 22 345 In-place leases 475 622 Net investment in real estate 100,148 23,900 Other assets 20 53 Total Assets acquired $ 100,168 $ 23,953 Liabilities assumed Mortgage notes payable $ 22,010 $ — Other liabilities 1,955 266 Total Liabilities assumed $ 23,965 $ 266 Net assets acquired $ 76,203 $ 23,687 Dispositions and real estate held for disposition As of June 30, 2016 , we did not have any Properties designated as held for disposition pursuant to FASB ASC 360-10-35. |
Investment in Unconsolidated Jo
Investment in Unconsolidated Joint Ventures | 6 Months Ended |
Jun. 30, 2016 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investment in Unconsolidated Joint Ventures | Investment in Unconsolidated Joint Ventures We recorded approximately $1.6 million and $1.7 million (each net of approximately $0.6 million and $0.5 million of depreciation expense, for the six months ended June 30, 2016 and 2015 , respectively) of equity in income from unconsolidated joint ventures for each of the six months ended June 30, 2016 and 2015 , respectively. We received approximately $1.0 million and $1.2 million in distributions from these joint ventures for the six months ended June 30, 2016 and 2015 , respectively. On January 4, 2016, we contributed approximately $5.0 million to the ECHO Financing, LLC joint venture (the "ECHO JV") which brought our total investment to approximately $15.4 million . The following table summarizes our investment in unconsolidated joint ventures as of June 30, 2016 and December 31, 2015 (investment amounts in thousands with the number of Properties shown parenthetically): Investment as of JV Income (loss) for the Six Months Ended Investment Location Number of Sites Economic (a) June 30, December 31, June 30, June 30, Meadows Various (2,2) 1,077 50 % $ 139 $ 162 $ 577 $ 742 Lakeshore Florida (2,2) 342 65 % 50 46 160 177 Voyager Arizona (1,1) 1,706 50 % (b) 7,676 7,166 917 740 ECHO JV Various — 50 % 15,358 10,367 (8 ) 65 3,125 $ 23,223 $ 17,741 $ 1,646 $ 1,724 _____________________ (a) The percentages shown approximate our economic interest as of June 30, 2016 . Our legal ownership interest may differ. (b) Voyager joint venture primarily consists of a 50% interest in Voyager RV Resort and 33% interest in the utility plant servicing the Property. |
Notes Receivable
Notes Receivable | 6 Months Ended |
Jun. 30, 2016 | |
Receivables [Abstract] | |
Notes Receivable | Notes Receivable In certain cases, we purchase loans made by others to finance the sales of homes to our customers (“Chattel Loans”). Our Chattel Loans receivable require monthly principal and interest payments and are collateralized by homes at certain of the Properties. As of June 30, 2016 and December 31, 2015 , we had approximately $16.6 million and $17.6 million , respectively, of these Chattel Loans included in notes receivable. As of June 30, 2016 , the Chattel Loans receivable had a stated per annum average rate of approximately 7.8% , with a yield of 19.7% , and had an average term remaining of approximately 11 years. These Chattel Loans are recorded net of allowances of approximately $0.3 million as of June 30, 2016 and December 31, 2015 , respectively. We also provide financing for non-refundable upgrades to existing right-to-use contracts (“Contracts Receivable”). As of June 30, 2016 and December 31, 2015 , we had approximately $17.2 million and $17.8 million , respectively, of Contracts Receivable, net of allowances of approximately $0.6 million . The Contracts Receivable have an average stated interest rate of 16.1% per annum, have a weighted average term remaining of approximately four years and require monthly payments of principal and interest. |
Borrowing Arrangements
Borrowing Arrangements | 6 Months Ended |
Jun. 30, 2016 | |
Debt Disclosure [Abstract] | |
Borrowing Arrangements | Borrowing Arrangements With the adoption of ASU 2015-03 and ASU 2015-15, we reclassified deferred financing costs to mortgage notes payable in the amount of $18.9 million as of December 31, 2015 . In addition, we reclassified deferred financing costs to term loan in the amount of $0.8 million as of December 31, 2015 . Also, we reclassified deferred financing costs related to our unsecured line of credit to Escrow deposits, goodwill, and other assets, net in the amount of $3.7 million as of December 31, 2015 . Mortgage Notes Payable As of June 30, 2016 and December 31, 2015 , we had outstanding mortgage indebtedness of approximately $1.9 billion , excluding deferred financing costs. The weighted average interest rate, including the impact of premium/discount amortization and loan cost amortization on this mortgage indebtedness, for the six months ended June 30, 2016 was approximately 4.9% per annum. The debt bears interest at stated rates ranging from 3.5% to 8.9% per annum and matures on various dates ranging from 2016 to 2040 . The debt encumbered a total of 126 and 127 of our Properties as of June 30, 2016 and December 31, 2015 , respectively, and the carrying value of such Properties was approximately $2.3 billion and $2.2 billion , respectively, as of such dates. In connection with the Forest Lake Estates acquisition, we assumed approximately $22.6 million of mortgage debt secured by the manufactured home community, with a stated interest rate of 4.51% per annum, which is set to mature in 2038. During the six months ended June 30, 2016 , we paid off two maturing mortgage loans of approximately $13.1 million , with a weighted average interest rate of 5.53% per annum, secured by two manufactured home Properties. On July 1, 2016, we paid off two maturing mortgage loans of approximately $ 23.9 million in the aggregate, with weighted average interest rate of 5.99% , secured by one RV resort and one manufactured home Property. During the year ended December 31, 2015 , we closed on loans with total gross proceeds of $395.3 million . The loans have a weighted average maturity of 21 years, carry a weighted average interest rate of 3.93% per annum and were secured by 26 manufactured home Properties and RV resorts. Proceeds from the financings were used to retire by defeasance and prepayment approximately $370.2 million of loans maturing at various times throughout 2015 and 2016 , with a weighted average interest rate of 5.58% per annum, which were secured by 32 manufactured home Properties and RV resorts. We incurred approximately $17.0 million in early debt retirement expense related to these loans. Term Loan As of June 30, 2016 and December 31, 2015 , our $200.0 million unsecured Term Loan (the “Term Loan”) matures on January 10, 2020 and has an interest rate of LIBOR plus 1.35% to 1.95% per annum and, subject to certain conditions, may be prepaid at any time without premium or penalty. The spread over LIBOR is variable quarterly based on leverage measured quarterly throughout the loan term. The Term Loan contains customary representations, warranties, and negative and affirmative covenants, and provides for acceleration of principal and payment of all other amounts payable thereunder upon the occurrence of certain events of default. In connection with the Term Loan, we also entered into a three year LIBOR Swap Agreement (the “2014 Swap”) allowing us to trade the variable interest rate for a fixed interest rate on the Term Loan (See Note 8 to the Consolidated Financial Statements for further information on the accounting for the 2014 Swap). Unsecured Line of Credit As of June 30, 2016 and December 31, 2015 , our unsecured Line of Credit (“LOC”) had a borrowing capacity of $400.0 million , with the option to increase the borrowing capacity by $100.0 million , subject to certain conditions, with no amounts outstanding as of those dates. The LOC bears interest at a rate of LIBOR plus 1.20% to 1.65% , requires an annual facility fee of 0.20% to 0.35% and matures on July 17, 2018 , with an option to extend for one additional year, subject to certain conditions. The spread over LIBOR is variable quarterly based on leverage throughout the loan term. As of June 30, 2016 , we are in compliance in all material respects with the covenants in our borrowing arrangements. |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 6 Months Ended |
Jun. 30, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities Cash Flow Hedges of Interest Rate Risk In connection with our Term Loan, we entered into the 2014 Swap (see Note 7 to the Consolidated Financial Statements for information about the Term Loan related to the 2014 Swap) allowing us to trade the variable interest rate for a fixed interest rate on the Term Loan. The 2014 Swap fixes the underlying LIBOR rate on the Term Loan at 1.04% per annum for the first three years and matures on August 1, 2017 . Based on the leverage as of June 30, 2016 , our spread over LIBOR is 1.35% resulting in an estimated all-in interest rate of 2.39% per annum. We have designated the 2014 Swap as a cash flow hedge. No gain or loss was recognized in the Consolidated Statements of Income and Comprehensive Income related to hedge ineffectiveness or to amounts excluded from effectiveness testing on our cash flow hedge during the quarters and six months ended June 30, 2016 and 2015 . Amounts reported in accumulated other comprehensive loss on the Consolidated Balance Sheets related to derivatives are reclassified to interest expense as interest payments are made on our variable-rate debt. During the next twelve months, we estimate that an additional $1.1 million will be reclassified as an increase to interest expense. This estimate may be subject to change as the underlying LIBOR rate changes. Derivative Instruments and Hedging Activities The table below presents the fair value of our derivative financial instrument as well as our classification on our Consolidated Balance Sheets as of June 30, 2016 and December 31, 2015 (amounts in thousands): Derivatives in Cash Flow Hedging Relationship Balance Sheet Location June 30, December 31, Interest Rate Swap Accrued expenses and accounts payable $ 1,197 $ 553 Tabular Disclosure of the Effect of Derivative Instruments on the Income Statement The tables below present the effect of our derivative financial instrument on the Consolidated Statements of Income and Comprehensive Income for the quarters ended June 30, 2016 and 2015 (amounts in thousands): Derivatives in Cash Flow Hedging Relationship Amount of loss recognized Location of loss Amount of loss June 30, June 30, June 30, June 30, Interest Rate Swap $ 338 $ 230 Interest Expense $ 302 $ 434 The tables below present the effect of our derivative financial instrument on the Consolidated Statements of Income and Comprehensive Income for the six months ended June 30, 2016 and 2015 (amounts in thousands): Derivatives in Cash Flow Hedging Relationship Amount of loss recognized Location of loss Amount of loss June 30, June 30, June 30, June 30, Interest Rate Swap $ 1,258 $ 1,522 Interest Expense $ 614 $ 869 We determined that no adjustment was necessary for non-performance risk on our derivative obligation. As of June 30, 2016 , we have not posted any collateral related to this agreement. |
Deferred Revenue-Right-to-use c
Deferred Revenue-Right-to-use contracts and Deferred commission expense | 6 Months Ended |
Jun. 30, 2016 | |
Deferred Revenue Disclosure [Abstract] | |
Deferred Revenue-entry of right-to-use contracts and Deferred Commission Expense | Deferred Revenue-entry of right-to-use contracts and Deferred Commission Expense As of June 30, 2016 and 2015 , the components of the change in deferred revenue-entry of right-to-use contracts and deferred commission expense are as follows (amounts in thousands): Six Months Ended June 30, 2016 2015 Deferred revenue–upfront payments from right-to-use contracts, as of January 1, $ 78,405 $ 74,174 Right-to-use contracts current period, gross 5,618 6,375 Revenue recognized from right-to-use contract upfront payments (4,518 ) (4,147 ) Right-to-use contract upfront payments, deferred, net 1,100 2,228 Deferred revenue–upfront payments from right-to-use contracts, as of June 30, $ 79,505 $ 76,402 Deferred commission expense, as of January 1, $ 30,865 $ 28,589 Deferred commission expense 2,238 3,067 Commission expense recognized (2,019 ) (1,696 ) Net increase in deferred commission expense 219 1,371 Deferred commission expense, as of June 30, $ 31,084 $ 29,960 |
Equity Incentive Awards
Equity Incentive Awards | 6 Months Ended |
Jun. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Equity Incentive Awards | Equity Incentive Awards Stock-based compensation expense, reported in general and administrative on the Consolidated Statements of Income and Comprehensive Income, for the quarters ended June 30, 2016 and 2015 was approximately $2.5 million and $2.2 million , respectively, and for the six months ended June 30, 2016 and 2015 was approximately $4.4 million and $4.0 million , respectively. Our 2014 Equity Incentive Plan (the “2014 Plan”) was adopted by our Board of Directors on March 11, 2014 and approved by our stockholders on May 13, 2014. Pursuant to the 2014 Plan, our officers, directors, employees and consultants may be awarded (i) shares of common stock (“Restricted Stock Grants”), (ii) options to acquire shares of common stock (“Options”), including non-qualified stock options and incentive stock options within the meaning of Section 422 of the Internal Revenue Code, and (iii) other forms of equity awards, subject to conditions and restrictions determined by the Compensation, Nominating, and Corporate Governance Committee of our Board of Directors (the “Compensation Committee”). The Compensation Committee will determine the vesting schedule, if any, of each Restricted Stock Grant or Option and the term of each Option, which term shall not exceed ten years from the date of grant. Shares that do not vest are forfeited. Dividends paid on restricted stock are not returnable, even if the underlying stock does not entirely vest. A maximum of 3,750,000 shares of common stock were originally available for grant under the 2014 Plan. As of June 30, 2016 , 3,264,282 shares remained available for grant. For the six months ended June 30, 2016 , O ptions for 220,000 shares of common stock were exercised for gross proceeds of approximately $5.2 million . Grants under the 2014 Plan are approved by the Compensation Committee, which determines the individuals eligible to receive awards, the types of awards, and the terms, conditions and restrictions applicable to any award, except grants to directors which are approved by the Board of Directors. Grants Issued On May 10, 2016 , we awarded Restricted Stock Grants for 14,705 shares of common stock at a fair market value of approximately $1.1 million and awarded Options to purchase 7,550 shares of common stock with an exercise price of $74.53 per share to certain members of our Board of Directors.The shares of common stock covered by these awards are subject to multiple tranches that vest as soon as November 10, 2016 and as late as May 10, 2019 . On February 1, 2016 , we awarded Restricted Stock Grants for 73,000 shares of common stock at a fair market value of approximately $4.9 million to certain members of our senior management for their service in 2016. These Restricted Stock Grants will vest on December 31, 2016 . On February 1, 2016 , we awarded Restricted Stock Grants for 45,784 shares of common stock at a fair market value of approximately $3.1 million to certain members of our Board of Directors for their services as Chairman of the Board, Chairman of the Compensation Committee and Lead Director, Chairman of the Executive Committee and Chairman of the Audit Committee in 2016. One-third of the shares of restricted common stock covered by these awards will vest on each of December 31, 2016 , December 31, 2017 , and December 31, 2018 . The fair market value of our restricted stock grants was determined by using the closing share price of our common stock on the date the shares were issued and is recorded as compensation expense and paid in capital over the vesting period. |
Long-Term Cash Incentive Plan
Long-Term Cash Incentive Plan | 6 Months Ended |
Jun. 30, 2016 | |
Cash incentive Program Disclosure [Abstract] | |
Long-Term Cash Incentive Plan | Long-Term Cash Incentive Plan On February 12, 2016, our Compensation Committee approved a Long-Term Cash Incentive Plan Award (the "2016 LTIP") to provide a long-term cash bonus opportunity to certain members of our management. The 2016 LTIP was approved by the Compensation Committee pursuant to the authority set forth in the Long Term Cash Incentive Plan approved by our Board of Directors on May 15, 2007. The total cumulative payment for all participants (the "Eligible Payment") is based upon certain performance conditions being met over a three year period ending December 31, 2018. The Compensation Committee has responsibility for administering the 2016 LTIP and may use its reasonable discretion to adjust the performance criteria or Eligible Payments to take into account the impact of any major or unforeseen transaction or event. Our named executive officers are not participants in the 2016 LTIP. The Eligible Payment will be paid, at the discretion of our Compensation Committee, in cash upon completion of our annual audit for the 2018 fiscal year and upon satisfaction of the vesting conditions as outlined in the 2016 LTIP and, including employer costs, is currently estimated to be approximately $5.6 million . As of June 30, 2016 , we had accrued compensation expense of approximately $1.0 million for the 2016 LTIP. The amount accrued for the 2016 LTIP reflects our evaluation of the 2016 LTIP based on forecasts and other available information and is subject to performance in line with forecasts and final evaluation and determination by the Compensation Committee. There can be no assurances that our estimates of the probable outcome will be representative of the actual outcome. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies California Rent Control Litigation As part of our effort to realize the value of our Properties subject to rent control, we previously initiated lawsuits against certain localities in California with the goal of achieving a level of regulatory fairness in California's rent control jurisdictions, and in particular those jurisdictions that prohibit increasing rents to market upon turnover. Such regulations allow tenants to sell their homes for a price that includes a premium above the intrinsic value of the homes. The premium represents the value of the future discounted rent-controlled rents, which is fully capitalized into the prices of the homes sold. In our view, such regulations result in a transfer to the tenants of the value of our land, which would otherwise be reflected in market rents. We have discovered through the litigation process that certain municipalities considered condemning our Properties at values well below the value of the underlying land. In our view, a failure to articulate market rents for Sites governed by restrictive rent control would put us at risk for condemnation or eminent domain proceedings based on artificially reduced rents. Such a physical taking, should it occur, could represent substantial lost value to stockholders. We are cognizant of the need for affordable housing in the jurisdictions, but assert that restrictive rent regulation does not promote this purpose because tenants pay to their sellers as part of the purchase price of the home all the future rent savings that are expected to result from the rent control regulations, eliminating any supposed improvement in the affordability of housing. In a more well-balanced regulatory environment, we would receive market rents that would eliminate the price premium for homes, which would trade at or near their intrinsic value. Such efforts have included the following matters: We sued the City of San Rafael on October 13, 2000 in the U.S. District Court for the Northern District of California, challenging its rent control ordinance on constitutional grounds. While the trial court found the rent control ordinance unconstitutional, the United States Court of Appeals for the Ninth Circuit reversed the trial court and ruled that the ordinance had not unconstitutionally taken our property. On September 3, 2013, we filed a petition for review by the U.S. Supreme Court, which was denied. On January 31, 2012, we sued the City of Santee in the United States District for the Southern District of California challenging its rent control ordinance on constitutional grounds. On September 26, 2013, we entered a settlement agreement with the City pursuant to which we are able to increase Site rents at the Meadowbrook community through January 1, 2034 as follows: (a) a one-time 2.5% rent increase on all Sites in January 2014; plus (b) annual rent increases of 100% of the consumer price index (CPI) beginning in 2014; and (c) a 10% increase in the rent on a site upon turnover of that site. Absent the settlement, the rent control ordinance limited us to annual rent increases of at most 70% of CPI with no increases on turnover of a site. Colony Park On December 1, 2006, a group of tenants at our Colony Park Property in Ceres, California filed a complaint in the California Superior Court for Stanislaus County alleging that we had failed to properly maintain the Property and had improperly reduced the services provided to the tenants, among other allegations. We answered the complaint by denying all material allegations and filed a counterclaim for declaratory relief and damages. The case proceeded in Superior Court because our motion to compel arbitration was denied and the denial was upheld on appeal. Trial of the case began on July 27, 2010. After just over three months of trial in which the plaintiffs asked the jury to award a total of approximately $6.8 million in damages, the jury rendered verdicts awarding a total of less than $44,000 to six out of the 72 plaintiffs, and awarding nothing to the other 66 plaintiffs. The plaintiffs who were awarded nothing filed a motion for a new trial or alternatively for judgment notwithstanding the jury's verdict, which the Court denied on February 14, 2011. All but three of the 66 plaintiffs to whom the jury awarded nothing appealed. Oral argument in the appeal was held on September 19, 2013 and the matter was taken under submission by the California Court of Appeal. By orders entered on December 14, 2011, the Superior Court awarded us approximately $2.0 million in attorneys' fees and other costs jointly and severally against the plaintiffs to whom the jury awarded nothing, and awarded no attorneys' fees or costs to either side with respect to the six plaintiffs to whom the jury awarded less than $44,000 . Plaintiffs filed an appeal from the approximately $2.0 million award of our attorneys' fees and other costs. Oral argument in that appeal was also held on September 19, 2013. On December 3, 2013, the Court of Appeal issued a partially published opinion that rejected all of plaintiffs' claims on appeal except one, relating to whether the park's rules prohibited the renting of spaces to recreational vehicles. The Court of Appeal reversed the judgment on the recreational vehicle issue and remanded for further proceedings regarding that issue. Because the judgment was reversed, the award of attorney's fees and other costs was also reversed. Both sides filed rehearing petitions with the Court of Appeal. On December 31, 2013, the Court of Appeal granted the defendants' rehearing petition and ordered the parties to submit supplemental briefing, which the parties did. On March 10, 2014, the Court of Appeal issued a new partially published opinion in which it again rejected all of the plaintiffs' claims on appeal except the one relating to whether the park's rules prohibited the renting of spaces to recreational vehicles, reversing the judgment on that issue and remanding it for further proceedings, and accordingly vacating the award of attorney's fees and other costs. As of result of a settlement we reached with the plaintiffs remaining in the litigation, pursuant to which among other provisions the parties agreed to mutually release all of their claims in the litigation without any payment by us, on September 28, 2015 the plaintiffs filed with the Superior Court a request for dismissal with prejudice of the entire action, to which we consented. On July 14, 2016, the Superior Court entered a dismissal of the action with prejudice. California Hawaiian On April 30, 2009, a group of tenants at our California Hawaiian Property in San Jose, California filed a complaint in the California Superior Court for Santa Clara County, Case No. 109CV140751, alleging that we have failed to properly maintain the Property and have improperly reduced the services provided to the tenants, among other allegations. We moved to compel arbitration and stay the proceedings, to dismiss the case, and to strike portions of the complaint. By order dated October 8, 2009, the Court granted our motion to compel arbitration and stayed the court proceedings pending the outcome of the arbitration. The plaintiffs filed with the California Court of Appeal a petition for a writ seeking to overturn the trial court's arbitration and stay orders. On May 10, 2011, the Court of Appeal granted the petition and ordered the trial court to vacate its order compelling arbitration and to restore the matter to its litigation calendar for further proceedings. On May 24, 2011, we filed a petition for rehearing requesting the Court of Appeal to reconsider its May 10, 2011 decision. On June 8, 2011, the Court of Appeal denied the petition for rehearing. On June 16, 2011, we filed with the California Supreme Court a petition for review of the Court of Appeal's decision. On August 17, 2011, the California Supreme Court denied the petition for review. The trial commenced on January 27, 2014. On April 14-15, 2014, the jury entered verdicts against our Operating Partnership of approximately $15.3 million in compensatory damages and approximately $95.8 million in punitive damages. On October 6, 2014, we filed a motion for a new trial and a motion for partial judgment notwithstanding the jury's verdict. On December 5, 2014, after briefing and a hearing on those motions, the trial court entered an order granting us a new trial on the issue of damages while upholding the jury's determination of liability. As grounds for the ruling, the court cited excessive damages and insufficiency of the evidence to support the verdict as to the amount of damages awarded by the jury. The Court's ruling overturned the April 2014 verdicts of $15.3 million in compensatory damages and $95.8 million in punitive damages. On January 28, 2015, we and the plaintiffs each served notices of appeal from the trial court's December 5, 2014 order. The Court of Appeal issued an order setting the briefing sequence and ordered commencement of the briefing. On December 15, 2015, the plaintiffs filed their opening appellants’ brief; on March 25, 2016, we filed our combined respondents’ and opening brief; and on July 8, 2016, the plaintiffs filed their combined reply and cross-respondents’ brief. We intend to continue to vigorously defend ourselves in this litigation. At June 30, 2016 , based on the information available to us, a material loss was neither probable nor estimable. We have taken into consideration the events that have occurred after the reporting period and before the financial statements were issued. We anticipate a lengthy time period to achieve resolution of this case. Monte del Lago On February 13, 2015, a group of tenants at our Monte del Lago Property in Castroville, California filed a complaint in the California Superior Court for Monterey County, Case No. M131016, alleging that we have failed to properly maintain the Property and have improperly reduced the services provided to the tenants, among other allegations. We believe the allegations are without merit and intend to vigorously defend ourselves in the lawsuit. On May 13, 2015, we filed a motion to compel arbitration with respect to certain plaintiffs and to stay the litigation pending the conclusion of the arbitration proceedings. Hearings on the motion were held on July 17, 2015 and September 18, 2015. On October 7, 2015, the court denied our motion. On December 3, 2015, we filed a notice of appeal from the denial of our motion. Santiago Estates On September 4, 2015, a group of tenants at our Santiago Estates Property in Sylmar, California filed a complaint in the California Superior Court for Los Angeles County, Case No. BC593831, alleging that we have failed to properly maintain the Property and have improperly reduced the services provided to the tenants, among other allegations. We believe the allegations are without merit and intend to vigorously defend ourselves in the lawsuit. On November 24, 2015, we filed a motion to compel arbitration with respect to certain plaintiffs and to stay the litigation pending the conclusion of the arbitration proceedings. The hearing date for that motion is August 19, 2016. Civil Investigation by Certain California District Attorneys In November 2014, we received a civil investigative subpoena from the office of the District Attorney for Monterey County, California ("MCDA"), seeking information relating to, among other items, statewide compliance with asbestos and hazardous waste regulations dating back to 2005 primarily in connection with demolition and renovation projects performed by third-party contractors at our California Properties. We responded by providing the information required by the subpoena. On October 20, 2015, we attended a meeting with representatives of the MCDA and certain other District Attorneys' offices at which the MCDA reviewed the preliminary results of their investigation including, among other things, (i) alleged violations of asbestos and related regulations associated with approximately 200 historical demolition and renovation projects in California; (ii) potential exposure to civil penalties and unpaid fees; and (iii) next steps with respect to a negotiated resolution of the alleged violations. No legal proceedings have been instituted to date, and we are involved in settlement discussions with the District Attorneys' offices. We continue to assess the allegations and the underlying facts, and at this time we are unable to predict the outcome of the investigation or reasonably estimate any possible loss. Alpine Lake RV Resort OSHA Citations On February 19, 2016, we received a Citation and Notice of Penalty from the Occupational Safety and Health Administration (“OSHA”) alleging two willful and seven serious safety violations relating to the design and maintenance of the electrical system at our Alpine Lake RV Resort in Corinth, New York, and assessing fines totaling $187,000 . We have been working with a certified third-party electrician to address the items raised in the citations. On March 9, 2016, we attended an informal conference in Albany, New York with the OSHA Area Director. The matter was not resolved at the meeting, and we filed the required notice of contest on March 10, 2016 after which the matter was transferred to the Occupational Safety & Health Review Commission, which is represented by a solicitor from the Department of Labor. The solicitor filed a complaint on May 20, 2016, and the parties participated in a formal settlement conference on June 22, 2016. The parties did not reach a settlement at the formal settlement conference. Absent the parties reaching a settlement, we anticipate that this matter will proceed to trial. We intend to continue to vigorously defend ourselves, and at this time we are unable to predict the outcome of this matter. Other In addition to legal matters discussed above, we are involved in various other legal and regulatory proceedings ("Other Proceedings") arising in the ordinary course of business. The Other Proceedings include, but are not limited to, notices, consent decrees, information requests, and additional permit requirements and other similar enforcement actions by governmental agencies relating to our utility infrastructure, including water and wastewater treatment plants and other waste treatment facilities and electrical systems. Additionally, in the ordinary course of business, our operations are subject to audit by various taxing authorities. Management believes these Other Proceedings taken together do not represent a material liability. In addition, to the extent any such proceedings or audits relate to newly acquired Properties, we consider any potential indemnification obligations of sellers in our favor. |
Reportable Segments
Reportable Segments | 6 Months Ended |
Jun. 30, 2016 | |
Segment Reporting [Abstract] | |
Reportable Segments | Reportable Segments Operating segments are defined as components of an entity for which separate financial information is available that is evaluated regularly by the chief operating decision maker. The chief operating decision maker evaluates and assesses performance on a monthly basis. Segment operating performance is measured on Net Operating Income (“NOI”). NOI is defined as total operating revenues less total operating expenses. Segments are assessed before interest income, depreciation and amortization of in-place leases. We have identified two reportable segments which are: (i) Property Operations and (ii) Home Sales and Rentals Operations. The Property Operations segment owns and operates land lease Properties and the Home Sales and Rentals Operations segment purchases, sells and leases homes at the Properties. The distribution of the Properties throughout the United States reflects our belief that geographic diversification helps insulate the portfolio from regional economic influences. All revenues are from external customers and there is no customer who contributed 10% or more of our total revenues during the six months ended June 30, 2016 or 2015 . The following tables summarize our segment financial information for the quarters and six months ended June 30, 2016 and 2015 (amounts in thousands): Quarter Ended June 30, 2016 Property Operations Home Sales and Rentals Operations Consolidated Operations revenues $ 193,184 $ 13,002 $ 206,186 Operations expenses (94,375 ) (11,867 ) (106,242 ) Income from segment operations 98,809 1,135 99,944 Interest income 736 867 1,603 Depreciation on real estate assets and rental homes (26,317 ) (2,712 ) (29,029 ) Amortization of in-place leases (428 ) — (428 ) Income (loss) from operations $ 72,800 $ (710 ) 72,090 Reconciliation to Consolidated net income: Corporate interest income 22 Income from other investments, net 2,270 General and administrative (8,255 ) Property rights initiatives and other (527 ) Interest and related amortization (25,561 ) Equity in income of unconsolidated joint ventures 765 Consolidated net income $ 40,804 Total assets $ 3,249,375 $ 236,200 $ 3,485,575 Quarter Ended June 30, 2015 Property Operations Home Sales and Rentals Operations Consolidated Operations revenues $ 184,125 $ 13,441 $ 197,566 Operations expenses (90,677 ) (11,502 ) (102,179 ) Income from segment operations 93,448 1,939 95,387 Interest income 713 1,001 1,714 Depreciation on real estate assets and rental homes (25,586 ) (2,749 ) (28,335 ) Amortization of in-place leases (669 ) — (669 ) Income from operations $ 67,906 $ 191 68,097 Reconciliation to Consolidated net income: Corporate interest income 22 Income from other investments, net 2,178 General and administrative (7,541 ) Property rights initiatives and other (694 ) Early debt retirement 69 Interest and related amortization (26,145 ) Equity in income of unconsolidated joint ventures 840 Consolidated net income $ 36,826 Total assets $ 3,192,050 $ 255,458 $ 3,447,508 Six Months Ended June 30, 2016 Property Operations Home Sales and Rentals Operations Consolidated Operations revenues $ 397,910 $ 25,040 $ 422,950 Operations expenses (184,887 ) (22,507 ) (207,394 ) Income from segment operations 213,023 2,533 215,556 Interest income 1,453 1,785 3,238 Depreciation on real estate assets and rental homes (52,281 ) (5,403 ) (57,684 ) Amortization of in-place leases (763 ) — (763 ) Income (loss) from operations $ 161,432 $ (1,085 ) 160,347 Reconciliation to Consolidated net income: Corporate interest income 47 Income from other investments, net 3,993 General and administrative (15,663 ) Property rights initiatives and other (1,181 ) Interest and related amortization (51,195 ) Equity in income of unconsolidated joint ventures 1,646 Consolidated net income $ 97,994 Total assets $ 3,249,375 $ 236,200 $ 3,485,575 Capital improvements $ 37,551 $ 30,984 $ 55,707 Six Months Ended June 30, 2015 Property Operations Home Sales and Rentals Operations Consolidated Operations revenues $ 378,814 $ 24,227 $ 403,041 Operations expenses (177,957 ) (20,700 ) (198,657 ) Income from segment operations 200,857 3,527 204,384 Interest income 1,422 2,089 3,511 Depreciation on real estate assets and rental homes (50,965 ) (5,486 ) (56,451 ) Amortization of in-place leases (1,334 ) — (1,334 ) Income from operations $ 149,980 $ 130 150,110 Reconciliation to Consolidated net income: Corporate interest income 45 Income from other investments, net 3,297 General and administrative (14,947 ) Property rights initiatives and other (1,247 ) Early debt retirement (16,922 ) Interest and related amortization (53,421 ) Equity in income of unconsolidated joint ventures 1,724 Consolidated net income $ 68,639 Total assets $ 3,192,050 $ 255,458 $ 3,447,508 Capital improvements $ 22,557 $ 19,702 $ 42,259 The following table summarizes our financial information for the Property Operations segment for the quarters and six months ended June 30, 2016 and 2015 (amounts in thousands): Quarters Ended Six Months Ended June 30, June 30, June 30, June 30, Revenues: Community base rental income $ 115,385 $ 110,073 $ 229,461 $ 219,343 Resort base rental income 44,732 41,427 100,166 93,072 Right-to-use annual payments 11,187 10,945 22,241 21,926 Right-to-use contracts current period, gross 3,086 3,578 5,618 6,375 Right-to-use contract upfront payments, deferred, net (798 ) (1,455 ) (1,100 ) (2,228 ) Utility and other income 19,523 18,901 40,316 37,983 Ancillary services revenues, net 69 656 1,208 2,343 Total property operations revenues 193,184 184,125 397,910 378,814 Expenses: Property operating and maintenance 66,647 64,178 129,601 125,295 Real estate taxes 12,869 12,652 26,067 25,246 Sales and marketing, gross 2,931 3,512 5,424 6,034 Right-to-use contract commissions, deferred, net (116 ) (764 ) (12 ) (1,007 ) Property management 12,044 11,099 23,807 22,389 Total property operations expenses 94,375 90,677 184,887 177,957 Income from property operations segment $ 98,809 $ 93,448 $ 213,023 $ 200,857 The following table summarizes our financial information for the Home Sales and Rentals Operations segment for the quarters and six months ended June 30, 2016 and 2015 (amounts in thousands): Quarters Ended Six Months Ended June 30, June 30, June 30, June 30, Revenues: Gross revenue from home sales $ 9,130 $ 9,526 $ 17,344 $ 16,463 Brokered resale revenues, net 329 356 608 651 Rental home income (a) 3,543 3,559 7,088 7,113 Total revenues 13,002 13,441 25,040 24,227 Expenses: Cost of home sales 9,481 9,093 17,762 15,817 Home selling expenses 805 720 1,639 1,525 Rental home operating and maintenance 1,581 1,689 3,106 3,358 Total expenses 11,867 11,502 22,507 20,700 Income from home sales and rentals operations segment $ 1,135 $ 1,939 $ 2,533 $ 3,527 ______________________ (a) Segment information does not include Site rental income included in Community base rental income. |
Summary of Significant Accoun21
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation We follow accounting standards set by the Financial Accounting Standards Board, commonly referred to as the “FASB.” The FASB sets generally accepted accounting principles (“GAAP”), which we follow to ensure that we consistently report our financial condition, results of operations and cash flows. References to GAAP issued by the FASB in these footnotes are to the FASB Accounting Standards Codification (the “Codification”). These unaudited Consolidated Financial Statements have been prepared pursuant to Securities and Exchange Commission (“SEC”) rules and regulations. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the financial statements and notes thereto included in the 2015 Form 10-K. The following notes to the Consolidated Financial Statements highlight significant changes to the notes included in the 2015 Form 10-K and present interim disclosures as required by the SEC. The accompanying Consolidated Financial Statements reflect, in the opinion of management, all adjustments and estimates necessary for a fair presentation of the interim financial statements, which are of a normal, recurring nature. Revenues are subject to seasonal fluctuations and accordingly, quarterly interim results may not be indicative of full year results. The accompanying Consolidated Financial Statements include the consolidation of our accounts. We do not have controlling interests in any of our joint ventures (“JV”), which are therefore treated under the equity method of accounting and not consolidated in our financial statements. The holders of limited partnership interests in the Operating Partnership (“Common OP Unitholders”) receive an allocation of net income that is based on their respective ownership percentage of the Operating Partnership which is shown in our Consolidated Financial Statements as Non-controlling interests-Common OP Units. All significant intercompany balances and transactions have been eliminated in consolidation. Effective January 1, 2016, we adopted (“ASU 2015-02”) Consolidation (Topic 810): Amendments to the Consolidation Analysis . ASU 2015-02 required us to evaluate whether we should consolidate certain legal entities. Principally, the new consolidation standard modified the evaluation of whether limited partnerships and similar legal entities are variable interest entities ("VIE") or voting interest entities. Based on our review and subsequent analysis of the structure of our legal entities, we concluded that the Operating Partnership is a VIE because the limited partners of the Operating Partnership do not have substantive kick-out or participating rights. We are the general partner and controlling owner of approximately 92.2% of the Operating Partnership and we will continue to consolidate the Operating Partnership under this new guidance. With respect to our investment in unconsolidated joint ventures, the new consolidation standard did not have an impact on our previous consolidation conclusions. Effective January 1, 2016, we adopted (“ASU 2015-03”) Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs and ( “ASU 2015-15”) Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements . ASU 2015-03 requires that debt issuance costs be deducted from the carrying value of the financial liability and not recorded as separate assets, previously classified as deferred financing costs. The recognition and measurement guidance for debt issuance costs are not affected by ASU 2015-03. ASU 2015-15 states that presentation of costs associated with securing a revolving line of credit as an asset is permitted, regardless of whether a balance is outstanding. ASU 2015-03 and 2015-15 require retrospective adoption and as a result we reclassified deferred financing costs on our Consolidated Balance Sheets as of December 31, 2015, as presented herein (See Note 7 to the Consolidated Financial Statements for further details). |
Restricted Cash | Restricted Cash Our cash balance as of June 30, 2016 and December 31, 2015 included approximately $5.3 million and $5.0 million respectively, of restricted cash for the payment of capital improvements, insurance or real estate taxes. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Our financial instruments include notes receivable, accounts receivable, accounts payable, other accrued expenses, interest rate swaps and mortgage notes payable. We disclose the estimated fair value of our financial instruments according to a fair value hierarchy (Level 1, 2 and 3). Our mortgage notes payable and term loan, excluding deferred financing costs of approximately $18.9 million and $19.7 million , respectively, had a carrying value of approximately $2.1 billion as of June 30, 2016 and December 31, 2015 , and a fair value of approximately $2.2 billion as of June 30, 2016 and December 31, 2015 , respectively. The fair value is measured using quoted prices and observable inputs from similar liabilities (Level 2). At June 30, 2016 and December 31, 2015 , our cash flow hedge of interest rate risk included in accrued expenses and accounts payable was measured using quoted prices and observable inputs from similar assets and liabilities (Level 2). We consider our own credit risk as well as the credit risk of our counterparties when evaluating the fair value of our derivative. The fair values of our notes receivable approximate their carrying or contract values. We also utilize Level 2 and Level 3 inputs as part of our determination of the purchase price allocation for our acquisitions, as discussed in Note 4 to the Consolidated Financial Statements. |
Deferred Financing Costs, net | Deferred Financing Costs, net Deferred financing costs includes fees and costs incurred to obtain long-term financing and are amortized over the terms of the respective loans on a basis that approximates level yield. Unamortized deferred financing fees are written-off when debt is retired before the maturity date. Upon amendment of the line of credit or refinancing of mortgage debt, unamortized deferred financing fees are accounted for in accordance with Codification Sub-Topic Modifications and Extinguishments (“FASB ASC 470-50-40”). |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In June 2016, the FASB issued (“ASU 2016-13”) Financial Instruments - Credit Losses (Topic 326) . ASU 2016-13 requires entities to measure all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Entities will now use forward-looking information to better form their credit loss estimates. ASU 2016-13 also requires enhanced disclosures to help financial statement users better understand significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an entity’s portfolio. ASU 2016-13 will be effective for annual reporting periods beginning after December 15, 2019. Early adoption is permitted. We are currently in the process of evaluating the potential impact, if any, that adoption of this standard may have on our consolidated financial statements and related disclosures. In February 2016, the FASB issued ("ASU 2016-02") Leases . ASU 2016-02 amends the existing accounting standards for lease accounting, including requiring lessees to recognize most leases on their balance sheets and making targeted changes to lessor accounting. ASU 2016-02 requires a modified retrospective transition approach for all leases existing at, or entered into after, the date of initial application, with an option to use certain transition relief. ASU 2016-02 will be effective for annual reporting periods beginning after December 15, 2018. Early adoption is permitted. We are currently evaluating the potential impact this standard may have on our consolidated financial statements and related disclosures. In May 2014, the FASB issued ("ASU 2014-09") Revenue from Contracts with Customers which along with related subsequent amendments will replace most existing revenue recognition guidance in U.S. GAAP. The core principle of ASU 2014-09 is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. ASU 2014-09 requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. ASU 2014-09 does not apply to lease contracts accounted for under ASC 840, Leases. Entities can transition to the standard either retrospectively or as a cumulative-effect adjustment as of the date of adoption. On July 9, 2015, the FASB deferred the effective date by one year for annual reporting periods beginning after December 15, 2017. The FASB will permit early adoption of the standard, but not before the original effective date of December 15, 2016. We are currently in the process of evaluating the impact that adoption of the standard will have on our consolidated financial statements and related disclosures. |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of Calculation of Numerator and Denominator in Earnings Per Share | Earnings Per Common Share The following table sets forth the computation of the basic and diluted earnings per Common Share for the quarters and six months ended June 30, 2016 and 2015 (amounts in thousands, except per share data): Quarters Ended Six Months Ended June 30, June 30, 2016 2015 2016 2015 Numerators: Net Income Available for Common Stockholders: Net income available for Common Stockholders – basic $ 35,490 $ 31,786 $ 86,073 $ 58,972 Amounts allocated to dilutive securities 2,998 2,724 7,308 5,054 Net income available for Common Stockholders – fully diluted $ 38,488 $ 34,510 $ 93,381 $ 64,026 Denominator: Weighted average Common Shares outstanding – basic 84,516 84,031 84,419 83,996 Effect of dilutive securities: Redemption of Common OP Units for Common Shares 7,205 7,221 7,206 7,223 Stock options and restricted shares 543 599 538 610 Weighted average Common Shares outstanding – fully diluted 92,264 91,851 92,163 91,829 Earnings per Common Share – Basic: Net income available for Common Stockholders $ 0.42 $ 0.38 $ 1.02 $ 0.70 Earnings per Common Share – Fully Diluted: Net income available for Common Stockholders $ 0.42 $ 0.38 $ 1.01 $ 0.70 |
Common Stock and Other Equity23
Common Stock and Other Equity Related Transactions (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Equity [Abstract] | |
Schedule of Dividend | The following regular quarterly distributions have been declared on our depositary shares (each representing 1/100 of a share of our Series C Preferred Stock) and paid to our preferred shareholders for the six months ended June 30, 2016 : Distribution Amount Per Share For the Quarter Ending Stockholder Record Date Payment Date $0.421875 March 31, 2016 March 21, 2016 March 31, 2016 $0.421875 June 30, 2016 June 17, 2016 June 30, 2016 The following regular quarterly distributions have been declared and paid to common stockholders and common OP Unit non-controlling interest holders for the six months ended June 30, 2016 : Distribution Amount Per Share For the Quarter Ending Stockholder Record Date Payment Date $0.425 March 31, 2016 March 25, 2016 April 8, 2016 $0.425 June 30, 2016 June 24, 2016 July 8, 2016 |
Schedule of Stock | The following table presents the shares that were issued under the ATM equity offering program during the six months ended June 30, 2016 (amounts in thousands, except stock data): Six Months Ended June 30, 2016 Shares of Common Stock sold 683,548 Weighted average price $ 73.15 Total gross proceeds $ 50,000 Commissions paid to sales agents $ 657 |
Investment in Real Estate Sched
Investment in Real Estate Schedule of Identified Assets Acquired and Liabilities Assumed (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Real Estate [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table summarizes the estimated fair value of the assets acquired and liabilities assumed in the acquisitions for the six months ended June 30, 2016 and the year ended December 31, 2015 , which we determined using Level-2, for mortgage notes payable and other liabilities, and Level-3 inputs (amounts in thousands): Six Months Ended Year Ended June 30, December 31, Assets acquired Land $ 40,975 $ 8,985 Buildings and other depreciable property 58,676 13,948 Manufactured homes 22 345 In-place leases 475 622 Net investment in real estate 100,148 23,900 Other assets 20 53 Total Assets acquired $ 100,168 $ 23,953 Liabilities assumed Mortgage notes payable $ 22,010 $ — Other liabilities 1,955 266 Total Liabilities assumed $ 23,965 $ 266 Net assets acquired $ 76,203 $ 23,687 |
Investment in Unconsolidated 25
Investment in Unconsolidated Joint Ventures (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Schedule of Equity Method Investments | The following table summarizes our investment in unconsolidated joint ventures as of June 30, 2016 and December 31, 2015 (investment amounts in thousands with the number of Properties shown parenthetically): Investment as of JV Income (loss) for the Six Months Ended Investment Location Number of Sites Economic (a) June 30, December 31, June 30, June 30, Meadows Various (2,2) 1,077 50 % $ 139 $ 162 $ 577 $ 742 Lakeshore Florida (2,2) 342 65 % 50 46 160 177 Voyager Arizona (1,1) 1,706 50 % (b) 7,676 7,166 917 740 ECHO JV Various — 50 % 15,358 10,367 (8 ) 65 3,125 $ 23,223 $ 17,741 $ 1,646 $ 1,724 _____________________ (a) The percentages shown approximate our economic interest as of June 30, 2016 . Our legal ownership interest may differ. (b) Voyager joint venture primarily consists of a 50% interest in Voyager RV Resort and 33% interest in the utility plant servicing the Property. |
Derivative Instruments and He26
Derivative Instruments and Hedging Activities (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The table below presents the fair value of our derivative financial instrument as well as our classification on our Consolidated Balance Sheets as of June 30, 2016 and December 31, 2015 (amounts in thousands): Derivatives in Cash Flow Hedging Relationship Balance Sheet Location June 30, December 31, Interest Rate Swap Accrued expenses and accounts payable $ 1,197 $ 553 |
Derivative Instruments, Gain (Loss) | The tables below present the effect of our derivative financial instrument on the Consolidated Statements of Income and Comprehensive Income for the quarters ended June 30, 2016 and 2015 (amounts in thousands): Derivatives in Cash Flow Hedging Relationship Amount of loss recognized Location of loss Amount of loss June 30, June 30, June 30, June 30, Interest Rate Swap $ 338 $ 230 Interest Expense $ 302 $ 434 The tables below present the effect of our derivative financial instrument on the Consolidated Statements of Income and Comprehensive Income for the six months ended June 30, 2016 and 2015 (amounts in thousands): Derivatives in Cash Flow Hedging Relationship Amount of loss recognized Location of loss Amount of loss June 30, June 30, June 30, June 30, Interest Rate Swap $ 1,258 $ 1,522 Interest Expense $ 614 $ 869 We determined that no adjustment was necessary for non-performance risk on our derivative obligation. As of June 30, 2016 , we have not posted any collateral related to this agreement. |
Deferred Revenue-Right-to-use27
Deferred Revenue-Right-to-use contracts and Deferred commission expense (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Deferred Revenue Disclosure [Abstract] | |
Deferred Revenue, by Arrangement, Disclosure | As of June 30, 2016 and 2015 , the components of the change in deferred revenue-entry of right-to-use contracts and deferred commission expense are as follows (amounts in thousands): Six Months Ended June 30, 2016 2015 Deferred revenue–upfront payments from right-to-use contracts, as of January 1, $ 78,405 $ 74,174 Right-to-use contracts current period, gross 5,618 6,375 Revenue recognized from right-to-use contract upfront payments (4,518 ) (4,147 ) Right-to-use contract upfront payments, deferred, net 1,100 2,228 Deferred revenue–upfront payments from right-to-use contracts, as of June 30, $ 79,505 $ 76,402 Deferred commission expense, as of January 1, $ 30,865 $ 28,589 Deferred commission expense 2,238 3,067 Commission expense recognized (2,019 ) (1,696 ) Net increase in deferred commission expense 219 1,371 Deferred commission expense, as of June 30, $ 31,084 $ 29,960 |
Reportable Segments (Tables)
Reportable Segments (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | The following tables summarize our segment financial information for the quarters and six months ended June 30, 2016 and 2015 (amounts in thousands): Quarter Ended June 30, 2016 Property Operations Home Sales and Rentals Operations Consolidated Operations revenues $ 193,184 $ 13,002 $ 206,186 Operations expenses (94,375 ) (11,867 ) (106,242 ) Income from segment operations 98,809 1,135 99,944 Interest income 736 867 1,603 Depreciation on real estate assets and rental homes (26,317 ) (2,712 ) (29,029 ) Amortization of in-place leases (428 ) — (428 ) Income (loss) from operations $ 72,800 $ (710 ) 72,090 Reconciliation to Consolidated net income: Corporate interest income 22 Income from other investments, net 2,270 General and administrative (8,255 ) Property rights initiatives and other (527 ) Interest and related amortization (25,561 ) Equity in income of unconsolidated joint ventures 765 Consolidated net income $ 40,804 Total assets $ 3,249,375 $ 236,200 $ 3,485,575 Quarter Ended June 30, 2015 Property Operations Home Sales and Rentals Operations Consolidated Operations revenues $ 184,125 $ 13,441 $ 197,566 Operations expenses (90,677 ) (11,502 ) (102,179 ) Income from segment operations 93,448 1,939 95,387 Interest income 713 1,001 1,714 Depreciation on real estate assets and rental homes (25,586 ) (2,749 ) (28,335 ) Amortization of in-place leases (669 ) — (669 ) Income from operations $ 67,906 $ 191 68,097 Reconciliation to Consolidated net income: Corporate interest income 22 Income from other investments, net 2,178 General and administrative (7,541 ) Property rights initiatives and other (694 ) Early debt retirement 69 Interest and related amortization (26,145 ) Equity in income of unconsolidated joint ventures 840 Consolidated net income $ 36,826 Total assets $ 3,192,050 $ 255,458 $ 3,447,508 |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | The following table summarizes our financial information for the Property Operations segment for the quarters and six months ended June 30, 2016 and 2015 (amounts in thousands): Quarters Ended Six Months Ended June 30, June 30, June 30, June 30, Revenues: Community base rental income $ 115,385 $ 110,073 $ 229,461 $ 219,343 Resort base rental income 44,732 41,427 100,166 93,072 Right-to-use annual payments 11,187 10,945 22,241 21,926 Right-to-use contracts current period, gross 3,086 3,578 5,618 6,375 Right-to-use contract upfront payments, deferred, net (798 ) (1,455 ) (1,100 ) (2,228 ) Utility and other income 19,523 18,901 40,316 37,983 Ancillary services revenues, net 69 656 1,208 2,343 Total property operations revenues 193,184 184,125 397,910 378,814 Expenses: Property operating and maintenance 66,647 64,178 129,601 125,295 Real estate taxes 12,869 12,652 26,067 25,246 Sales and marketing, gross 2,931 3,512 5,424 6,034 Right-to-use contract commissions, deferred, net (116 ) (764 ) (12 ) (1,007 ) Property management 12,044 11,099 23,807 22,389 Total property operations expenses 94,375 90,677 184,887 177,957 Income from property operations segment $ 98,809 $ 93,448 $ 213,023 $ 200,857 The following table summarizes our financial information for the Home Sales and Rentals Operations segment for the quarters and six months ended June 30, 2016 and 2015 (amounts in thousands): Quarters Ended Six Months Ended June 30, June 30, June 30, June 30, Revenues: Gross revenue from home sales $ 9,130 $ 9,526 $ 17,344 $ 16,463 Brokered resale revenues, net 329 356 608 651 Rental home income (a) 3,543 3,559 7,088 7,113 Total revenues 13,002 13,441 25,040 24,227 Expenses: Cost of home sales 9,481 9,093 17,762 15,817 Home selling expenses 805 720 1,639 1,525 Rental home operating and maintenance 1,581 1,689 3,106 3,358 Total expenses 11,867 11,502 22,507 20,700 Income from home sales and rentals operations segment $ 1,135 $ 1,939 $ 2,533 $ 3,527 ______________________ (a) Segment information does not include Site rental income included in Community base rental income. |
Summary of Significant Accoun29
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Significant Accounting Policies [Line Items] | |||||
Intangible assets and goodwill | $ 12,100 | $ 12,100 | $ 12,100 | ||
Intangible assets | 4,300 | 4,300 | 4,300 | ||
Goodwill | 7,800 | 7,800 | 7,800 | ||
Accumulated amortization of identified intangible assets | 2,700 | 2,700 | 2,600 | ||
Amortization of in-place leases | 428 | $ 669 | 763 | $ 1,334 | |
Cash and cash equivalents, restricted cash | 5,300 | 5,300 | 5,000 | ||
Deferred financing costs, net | 18,900 | 18,900 | 19,700 | ||
Debt, secured and unsecured | 2,100,000 | 2,100,000 | 2,100,000 | ||
Accumulated amortization for deferred financing costs | 35,600 | 35,600 | 33,700 | ||
Fair Value, Inputs, Level 2 | |||||
Significant Accounting Policies [Line Items] | |||||
Mortgage notes payable fair value | 2,200,000 | 2,200,000 | $ 2,200,000 | ||
Identified Intangible Assets | |||||
Significant Accounting Policies [Line Items] | |||||
Amortization of in-place leases | $ 100 | $ 100 | $ 100 | $ 100 | |
Primary Beneficiary | |||||
Significant Accounting Policies [Line Items] | |||||
Ownership percentage | 92.20% |
Earnings Per Common Share - Cal
Earnings Per Common Share - Calculation of numerator and denominator in eps table (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Numerators: | ||||
Net income available for Common Stockholders – basic | $ 35,490 | $ 31,786 | $ 86,073 | $ 58,972 |
Amounts allocated to dilutive securities | 2,998 | 2,724 | 7,308 | 5,054 |
Net income available for Common Stockholders – fully diluted | $ 38,488 | $ 34,510 | $ 93,381 | $ 64,026 |
Denominator: | ||||
Weighted average Common Shares outstanding – basic (shares) | 84,516 | 84,031 | 84,419 | 83,996 |
Effect of dilutive securities: | ||||
Redemption of Common OP Units for Common Shares (shares) | 7,205 | 7,221 | 7,206 | 7,223 |
Stock options and restricted shares (shares) | 543 | 599 | 538 | 610 |
Weighted average Common Shares outstanding – fully diluted (shares) | 92,264 | 91,851 | 92,163 | 91,829 |
Earnings per Common Share – Basic: | ||||
Net income available for Common Shares (usd per share) | $ 0.42 | $ 0.38 | $ 1.02 | $ 0.70 |
Earnings per Common Share – Fully Diluted: | ||||
Net income available for Common Shares (usd per share) | $ 0.42 | $ 0.38 | $ 1.01 | $ 0.70 |
Common Stock and Other Equity31
Common Stock and Other Equity Related Transactions - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | Jul. 08, 2016 | Jun. 30, 2016 | Apr. 08, 2016 | Mar. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | May 04, 2015 |
Class of Stock [Line Items] | ||||||||
Common stock, dividends paid (usd per share) | $ 0.425 | |||||||
Common Stock, par or stated value per share (usd per share) | $ 0.01 | $ 0.01 | ||||||
Commissions paid to sales agents | $ 824 | $ 323 | ||||||
6.75% Series C Cumulative Redeemable Perpetual Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred stock dividends paid (usd per share) | $ 0.421875 | $ 0.421875 | ||||||
Subsequent Event | ||||||||
Class of Stock [Line Items] | ||||||||
Common stock, dividends paid (usd per share) | $ 0.4250 | |||||||
Private Placement | ||||||||
Class of Stock [Line Items] | ||||||||
Aggregate Offering price | $ 125,000 | |||||||
Total gross proceeds | 50,000 | |||||||
Common stock remained available for issuance | $ 75,000 | $ 75,000 | ||||||
Private Placement | Common Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Shares of common stock sold (shares) | 683,548 | |||||||
Weighted average price per share (usd per share) | $ 73.15 | |||||||
Commissions paid to sales agents | $ 657 |
Investment in Real Estate - Add
Investment in Real Estate - Additional Information (Detail) $ in Millions | Jun. 15, 2016USD ($)site | May 26, 2016USD ($)site | Jan. 27, 2016USD ($)site | Dec. 31, 2015USD ($)Propertysite |
Whispering Pines and Miami Everglades | ||||
Real Estate Properties [Line Items] | ||||
Purchase price | $ | $ 23.9 | |||
Number of properties acquired | Property | 2 | |||
Whispering Pines and Miami Everglades | R V Resort | ||||
Real Estate Properties [Line Items] | ||||
Number of acquired sites | 581 | |||
Bogue Pines | Manufactured homes | ||||
Real Estate Properties [Line Items] | ||||
Number of acquired sites | 150 | |||
Zephryhills, Florida | Forest Lake Estates | ||||
Real Estate Properties [Line Items] | ||||
Purchase price | $ | $ 75.2 | |||
Loan as direct credit to acquire | $ | $ 22.6 | |||
Number of acquired sites | 1,168 | |||
Zephryhills, Florida | Forest Lake Estates | R V Resort | ||||
Real Estate Properties [Line Items] | ||||
Number of acquired sites | 274 | |||
Zephryhills, Florida | Forest Lake Estates | Manufactured homes | ||||
Real Estate Properties [Line Items] | ||||
Number of acquired sites | 894 | |||
Fairview, Oregon | Portland Fairview | R V Resort | ||||
Real Estate Properties [Line Items] | ||||
Purchase price | $ | $ 17.6 | |||
Number of acquired sites | 407 | |||
Port Orange, Florida | Rose Bay | R V Resort | ||||
Real Estate Properties [Line Items] | ||||
Purchase price | $ | $ 7.4 | |||
Number of acquired sites | 303 |
Investment in Real Estate- Real
Investment in Real Estate- Real Estate Acquired (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Business Acquisition [Line Items] | ||
Assets acquired | $ 100,148 | $ 23,900 |
Other assets | 20 | 53 |
Total Assets acquired | 100,168 | 23,953 |
Mortgage notes payable | 22,010 | 0 |
Other liabilities | 1,955 | 266 |
Total Liabilities assumed | 23,965 | 266 |
Net assets acquired | 76,203 | 23,687 |
Land | ||
Business Acquisition [Line Items] | ||
Assets acquired | 40,975 | 8,985 |
Buildings and other depreciable property | ||
Business Acquisition [Line Items] | ||
Assets acquired | 58,676 | 13,948 |
Manufactured homes | ||
Business Acquisition [Line Items] | ||
Assets acquired | 22 | 345 |
In-place leases | ||
Business Acquisition [Line Items] | ||
Assets acquired | $ 475 | $ 622 |
Investment in Unconsolidated 34
Investment in Unconsolidated Joint Ventures - Additional Information (Detail) $ in Thousands | Jan. 04, 2016USD ($) | Jun. 30, 2016USD ($)site | Jun. 30, 2015USD ($) | Jun. 30, 2016USD ($)site | Jun. 30, 2015USD ($) | Dec. 31, 2015USD ($) |
Schedule of Equity Method Investments [Line Items] | ||||||
Equity in income of unconsolidated joint ventures | $ 765 | $ 840 | $ 1,646 | $ 1,724 | ||
Adjustment depreciation | 600 | 500 | ||||
Distributions, including those in excess of basis | 1,000 | 1,200 | ||||
Investment in unconsolidated joint ventures | $ 5,000 | 4,000 | ||||
Number of Sites | site | 3,125 | 3,125 | ||||
Investments | $ 23,223 | $ 23,223 | $ 17,741 | |||
ECHO Financing | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Investment in unconsolidated joint ventures | $ 5,000 | |||||
Other Regions | Meadows Investments | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Equity in income of unconsolidated joint ventures | $ 577 | 742 | ||||
Number of Sites | site | 1,077 | 1,077 | ||||
Ownership percentage ( in percentage) | 50.00% | 50.00% | ||||
Investments | $ 139 | $ 139 | 162 | |||
Other Regions | ECHO Financing | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Equity in income of unconsolidated joint ventures | $ (8) | 65 | ||||
Investment in unconsolidated joint ventures | $ 15,400 | |||||
Number of Sites | site | 0 | 0 | ||||
Ownership percentage ( in percentage) | 50.00% | 50.00% | ||||
Investments | $ 15,358 | $ 15,358 | 10,367 | |||
Florida | Lakeshore Investments | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Equity in income of unconsolidated joint ventures | $ 160 | 177 | ||||
Number of Sites | site | 342 | 342 | ||||
Ownership percentage ( in percentage) | 65.00% | 65.00% | ||||
Investments | $ 50 | $ 50 | 46 | |||
Arizona | Voyager Investments | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Equity in income of unconsolidated joint ventures | $ 917 | $ 740 | ||||
Number of Sites | site | 1,706 | 1,706 | ||||
Ownership percentage ( in percentage) | 50.00% | 50.00% | ||||
Investments | $ 7,676 | $ 7,676 | $ 7,166 | |||
Recreational Vehicle Resort | Voyager Investments | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership percentage ( in percentage) | 50.00% | 50.00% | ||||
Servicing Assets | Voyager Investments | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership percentage ( in percentage) | 33.00% | 33.00% |
Notes Receivable - Additional I
Notes Receivable - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2016 | Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans receivable, net | $ 16.6 | $ 17.6 |
Contract receivables | $ 17.2 | 17.8 |
Chattel Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans receivable, stated interest yield per annum (in percentage) | 7.80% | |
Notes receivable yield rate (in percentage) | 19.70% | |
Weighted average remaining amortization period (in years) | 11 years | |
Notes receivable, allowance | $ 0.3 | 0.3 |
Contract Receivable | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Weighted average remaining amortization period (in years) | 4 years | |
Provision for uncollectible receivable | $ 0.6 | $ 0.6 |
Contracts receivable, yield interest at a stated per annum average (in percentage) | 16.10% |
Borrowing Arrangements - Additi
Borrowing Arrangements - Additional Information (Detail) | Jun. 15, 2016USD ($) | Jul. 26, 2016USD ($)Propertyloan | Jun. 30, 2016USD ($)PropertyRate | Jun. 30, 2015USD ($) | Jun. 30, 2016USD ($)PropertyloanRate | Jun. 30, 2015USD ($) | Dec. 31, 2015USD ($)Property | Jun. 30, 2016USD ($)PropertyRate |
Debt Instrument [Line Items] | ||||||||
Deferred financing costs, net | $ 18,900,000 | $ 18,900,000 | $ 19,700,000 | $ 18,900,000 | ||||
Mortgage notes payable | $ 1,915,834,000 | $ 1,915,834,000 | $ 1,926,880,000 | $ 1,915,834,000 | ||||
Weighted average interest rate | Rate | 4.90% | 4.90% | 4.90% | |||||
Stated interest rate | 5.533% | 5.533% | 5.533% | |||||
Number of pledged properties | Property | 127 | |||||||
Pledged assets, not separately reported | $ 2,300,000,000 | $ 2,300,000,000 | $ 2,200,000,000 | $ 2,300,000,000 | ||||
Early debt retirement | 0 | $ (69,000) | 0 | $ 16,922,000 | ||||
New mortgage notes payable financing proceeds | 0 | $ 395,323,000 | ||||||
Unsecured debt | 199,276,000 | 199,276,000 | $ 199,172,000 | 199,276,000 | ||||
Maximum borrowing capacity | 400,000,000 | 400,000,000 | 400,000,000 | |||||
Additional borrowing capacity | $ 100,000,000 | $ 100,000,000 | $ 100,000,000 | |||||
Debt instrument, term (in years) | 1 year | |||||||
Old Credit Facilities | ||||||||
Debt Instrument [Line Items] | ||||||||
Number of maturing mortgage loans repaid | loan | 2 | |||||||
Debt repaid | $ 13,100,000 | |||||||
Minimum | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest rate during period (in percentage) | Rate | 1.20% | |||||||
Line of credit facility, annual fees (in percentage) | 0.20% | |||||||
Maximum | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest rate during period (in percentage) | Rate | 1.65% | |||||||
Line of credit facility, annual fees (in percentage) | 0.35% | |||||||
Secured Debt | Minimum | ||||||||
Debt Instrument [Line Items] | ||||||||
Stated interest rate | 3.45% | 3.45% | 3.45% | |||||
Secured Debt | Maximum | ||||||||
Debt Instrument [Line Items] | ||||||||
Stated interest rate | 8.87% | 8.87% | 8.87% | |||||
Line of Credit | Old Credit Facilities | ||||||||
Debt Instrument [Line Items] | ||||||||
Weighted average interest rate | 5.58% | |||||||
Early debt retirement | $ 17,000,000 | |||||||
Debt repaid | $ 370,200,000 | |||||||
Line of Credit | New Credit Facilities | ||||||||
Debt Instrument [Line Items] | ||||||||
Weighted average interest rate | 3.93% | |||||||
Debt instrument maturity year | 21 years | |||||||
Number of pledged properties | Property | 32 | 32 | 26 | 32 | ||||
New mortgage notes payable financing proceeds | $ 395,300,000 | |||||||
Term Loans | ||||||||
Debt Instrument [Line Items] | ||||||||
Unsecured debt | $ 200,000,000 | $ 200,000,000 | 200,000,000 | $ 200,000,000 | ||||
Maturity date | Jan. 10, 2020 | |||||||
Term Loans | Minimum | ||||||||
Debt Instrument [Line Items] | ||||||||
Variable rate in addition to LIBOR rate (in percentage) | Rate | 1.35% | |||||||
Term Loans | Maximum | ||||||||
Debt Instrument [Line Items] | ||||||||
Variable rate in addition to LIBOR rate (in percentage) | Rate | 1.95% | |||||||
Manufactured homes | ||||||||
Debt Instrument [Line Items] | ||||||||
Number of pledged properties towards loans repaid | Property | 2 | |||||||
Adjustments for New Accounting Pronouncement | Mortgages Notes Payable | ||||||||
Debt Instrument [Line Items] | ||||||||
Deferred financing costs, net | 18,900,000 | |||||||
Adjustments for New Accounting Pronouncement | Term Loan | ||||||||
Debt Instrument [Line Items] | ||||||||
Deferred financing costs, net | 800,000 | |||||||
Adjustments for New Accounting Pronouncement | Escrow Deposits, Goodwill and other Assets | ||||||||
Debt Instrument [Line Items] | ||||||||
Deferred financing costs, net | $ 3,700,000 | |||||||
Subsequent Event | ||||||||
Debt Instrument [Line Items] | ||||||||
Stated interest rate | 5.99% | |||||||
Number of maturing mortgage loans repaid | loan | 2 | |||||||
Debt repaid | $ 23,900,000 | |||||||
Subsequent Event | Manufactured homes | ||||||||
Debt Instrument [Line Items] | ||||||||
Number of pledged properties towards loans repaid | Property | 1 | |||||||
Subsequent Event | R V Resort | ||||||||
Debt Instrument [Line Items] | ||||||||
Number of pledged properties towards loans repaid | Property | 1 | |||||||
Forest Lake Estates | Zephryhills, Florida | ||||||||
Debt Instrument [Line Items] | ||||||||
Stated interest rate | 4.51% | |||||||
Loan as direct credit to acquire | $ 22,600,000 |
Derivative Instruments and He37
Derivative Instruments and Hedging Activities - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2016 | Dec. 31, 2014 | |
Derivative [Line Items] | ||
Gain reclassified from accumulated OCI into income, net | $ 1.1 | |
2014 Swap | Term Loans | ||
Derivative [Line Items] | ||
Fixed interest rate (in percentage) | 1.04% | |
Maturity years (in years) | 3 years | |
Maturity date | Aug. 1, 2017 | |
Basis spread on variable rate (in percentage) | 1.35% | |
Interest rate at period end (in percentage) | 2.39% |
Derivative Instruments and He38
Derivative Instruments and Hedging Activities-Interest Rate Swaps (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Derivative [Line Items] | |||||
Amount of loss recognized in OCI on derivative (effective portion) | $ 338 | $ 230 | $ 1,258 | $ 1,522 | |
Amount of loss reclassified from accumulated OCI into income (effective portion) | 614 | $ 869 | |||
Accrued expenses and accounts payable | |||||
Derivative [Line Items] | |||||
Interest rate derivative at fair value | 1,197 | $ 1,197 | $ 553 | ||
Cash Flow Hedging | Interest Expense | Interest Rate Swap | |||||
Derivative [Line Items] | |||||
Amount of loss reclassified from accumulated OCI into income (effective portion) | $ 302 | $ 434 |
Deferred Revenue-Right-to-use39
Deferred Revenue-Right-to-use contracts and Deferred commission expense - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Movement in Deferred Revenue [Roll Forward] | ||
Deferred revenue - right-to-use contracts, beginning balance | $ 78,405 | $ 74,174 |
Right-to-use contracts current period, gross | 5,618 | 6,375 |
Revenue recognized from right-to-use contract upfront payments | (4,518) | (4,147) |
Right-to-use contract upfront payments, deferred, net | 1,100 | 2,228 |
Deferred revenue - right-to-use contracts, ending balance | 79,505 | 76,402 |
Movement in Deferred Costs [Roll Forward] | ||
Deferred commission expense, beginning balance | 30,865 | 28,589 |
Deferred commission expense | 2,238 | 3,067 |
Commission expense recognized | (2,019) | (1,696) |
Net increase in deferred commission expense | 219 | 1,371 |
Deferred commission expense, ending balance | $ 31,084 | $ 29,960 |
Equity Incentive Awards - Addit
Equity Incentive Awards - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | May 10, 2016 | Feb. 29, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | May 13, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation | $ 2,500 | $ 2,200 | $ 4,393 | $ 3,960 | |||
Term of award ( in years) | 10 years | ||||||
Number of shares available for grant (in shares) | 3,264,282 | 3,264,282 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 220,000 | ||||||
Proceeds from Stock Options Exercised | $ 5,200 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Exercise Price | $ 74.53 | ||||||
Director | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Award vesting rights | One-third | ||||||
Restricted Stock | Management | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Equity instruments other than options, grants in period (in shares) | 73,000 | ||||||
Fair value of shares issued | $ 4,900 | ||||||
Equity instruments other than options vesting date | Dec. 31, 2016 | ||||||
Restricted Stock | Director | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Equity instruments other than options, grants in period (in shares) | 14,705 | 45,784 | |||||
Fair value of shares issued | $ 1,100 | $ 3,100 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 7,550 | ||||||
Restricted Stock | Director | Phase One | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Equity instruments other than options vesting date | Dec. 31, 2016 | ||||||
Restricted Stock | Director | Phase Two | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Equity instruments other than options vesting date | Dec. 31, 2017 | ||||||
Restricted Stock | Director | Phase Three | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Equity instruments other than options vesting date | Dec. 31, 2018 | ||||||
Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares authorized for issuance | 3,750,000 | ||||||
Vesting on December 31, 2018 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting arrangement (in percentage) | 33.33% | ||||||
Vesting on December 31, 2017 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting arrangement (in percentage) | 33.33% | ||||||
Vesting on December 31, 2016 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting arrangement (in percentage) | 33.33% |
Long-Term Cash Incentive Plan -
Long-Term Cash Incentive Plan - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||
Performance period (years) | 3 years | |
Long term incentive plan compensation | $ (3,852) | $ 657 |
Long Term Incentive Plan 2016 | ||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||
Estimated payments for employee long term incentive plan | 5,600 | |
Long term incentive plan compensation | $ 1,000 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Thousands | Apr. 15, 2014USD ($) | Sep. 26, 2013 | Dec. 14, 2011USD ($) | Dec. 31, 2010USD ($)plaintiffclaim | Feb. 19, 2016USD ($)citation | Dec. 04, 2014USD ($) |
Loss Contingencies [Line Items] | ||||||
Number of citation, willful | citation | 2 | |||||
Number of citation, safety violation | citation | 7 | |||||
Total fines | $ 187 | |||||
City of Santee | ||||||
Loss Contingencies [Line Items] | ||||||
One-time rent increase | 2.50% | |||||
Annual rent increase, percentage of CPI | 100.00% | |||||
Rent increase upon turnover of site | 10.00% | |||||
Annual rent increase, percentage of CPI, prior to settlement | 70.00% | |||||
Colony Park | ||||||
Loss Contingencies [Line Items] | ||||||
Loss contingency damages sought by plaintiff | $ 6,800 | |||||
Jury imposed compensatory damages, less than | $ 44 | |||||
Number of claims settled | claim | 6 | |||||
Number of plaintiffs | plaintiff | 72 | |||||
Number of dismissed claims | plaintiff | 66 | |||||
Number of claims dismissed and not appealed | plaintiff | 3 | |||||
Colony Park | Attorney Fees | ||||||
Loss Contingencies [Line Items] | ||||||
Compensatory damages sought | $ 2,000 | |||||
Compensatory Damages | ||||||
Loss Contingencies [Line Items] | ||||||
Damages awarded | $ 15,300 | |||||
Damages sought but overturned | $ 15,300 | |||||
Punitive Damages | ||||||
Loss Contingencies [Line Items] | ||||||
Damages awarded | $ 95,800 | |||||
Damages sought but overturned | $ 95,800 |
Reportable Segments - Additiona
Reportable Segments - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2016integer | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
Reportable Segments- Consolidat
Reportable Segments- Consolidated Net Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | |||||
Operations revenues | $ 206,186 | $ 197,566 | $ 422,950 | $ 403,041 | |
Operations expenses | (106,242) | (102,179) | (207,394) | (198,657) | |
Income from segment operations | 99,944 | 95,387 | 215,556 | 204,384 | |
Interest income | 1,603 | 1,714 | 3,238 | 3,511 | |
Depreciation on real estate assets and rental homes | (29,029) | (28,335) | (57,684) | (56,451) | |
Amortization of in-place leases | (428) | (669) | (763) | (1,334) | |
Income (loss) from operations | 72,090 | 68,097 | 160,347 | 150,110 | |
Reconciliation to Consolidated net income: | |||||
Corporate interest income | 22 | 22 | 47 | 45 | |
Income from other investments, net | 2,270 | 2,178 | 3,993 | 3,297 | |
General and administrative | (8,255) | (7,541) | (15,663) | (14,947) | |
Property rights initiatives and other | (527) | (694) | (1,181) | (1,247) | |
Early debt retirement | 0 | (69) | 0 | 16,922 | |
Interest and related amortization | (25,561) | (26,145) | (51,195) | (53,421) | |
Equity in income of unconsolidated joint ventures | 765 | 840 | 1,646 | 1,724 | |
Consolidated net income | 40,804 | 36,826 | 97,994 | 68,639 | |
Total assets | 3,485,575 | 3,447,508 | 3,485,575 | 3,447,508 | $ 3,400,400 |
Capital improvements | 55,707 | 42,259 | |||
Operating Segments | Property Operations | |||||
Segment Reporting Information [Line Items] | |||||
Operations revenues | 193,184 | 184,125 | 397,910 | 378,814 | |
Operations expenses | (94,375) | (90,677) | (184,887) | (177,957) | |
Income from segment operations | 98,809 | 93,448 | 213,023 | 200,857 | |
Interest income | 736 | 713 | 1,453 | 1,422 | |
Depreciation on real estate assets and rental homes | (26,317) | (25,586) | (52,281) | (50,965) | |
Amortization of in-place leases | (428) | (669) | (763) | (1,334) | |
Income (loss) from operations | 72,800 | 67,906 | 161,432 | 149,980 | |
Reconciliation to Consolidated net income: | |||||
Total assets | 3,249,375 | 3,192,050 | 3,249,375 | 3,192,050 | |
Capital improvements | 37,551 | 22,557 | |||
Operating Segments | Home Sales and Rentals Operations | |||||
Segment Reporting Information [Line Items] | |||||
Operations revenues | 13,002 | 13,441 | 25,040 | 24,227 | |
Operations expenses | (11,867) | (11,502) | (22,507) | (20,700) | |
Income from segment operations | 1,135 | 1,939 | 2,533 | 3,527 | |
Interest income | 867 | 1,001 | 1,785 | 2,089 | |
Depreciation on real estate assets and rental homes | (2,712) | (2,749) | (5,403) | (5,486) | |
Amortization of in-place leases | 0 | 0 | 0 | 0 | |
Income (loss) from operations | (710) | 191 | (1,085) | 130 | |
Reconciliation to Consolidated net income: | |||||
Total assets | $ 236,200 | $ 255,458 | 236,200 | 255,458 | |
Capital improvements | $ 30,984 | $ 19,702 |
Reportable Segments- Income fro
Reportable Segments- Income from Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Revenues: | ||||
Community base rental income | $ 115,385 | $ 110,073 | $ 229,461 | $ 219,343 |
Resort base rental income | 44,732 | 41,427 | 100,166 | 93,072 |
Right-to-use annual payments | 11,187 | 10,945 | 22,241 | 21,926 |
Right-to-use contracts current period, gross | 3,086 | 3,578 | 5,618 | 6,375 |
Right-to-use contract upfront payments, deferred, net | (798) | (1,455) | (1,100) | (2,228) |
Utility and other income | 19,523 | 18,901 | 40,316 | 37,983 |
Gross revenue from home sales | 9,130 | 9,526 | 17,344 | 16,463 |
Brokered resale revenues and ancillary services revenues, net | 398 | 1,012 | 1,816 | 2,994 |
Rental home income | 3,543 | 3,559 | 7,088 | 7,113 |
Total revenues | 210,081 | 201,480 | 430,228 | 409,894 |
Expenses: | ||||
Property operating and maintenance | 66,647 | 64,178 | 129,601 | 125,295 |
Real estate taxes | 12,869 | 12,652 | 26,067 | 25,246 |
Sales and marketing, gross | 2,931 | 3,512 | 5,424 | 6,034 |
Right-to-use contract commissions, deferred, net | (116) | (764) | (12) | (1,007) |
Property management | 12,044 | 11,099 | 23,807 | 22,389 |
Cost of home sales | 9,481 | 9,093 | 17,762 | 15,817 |
Home selling expenses | 805 | 720 | 1,639 | 1,525 |
Rental home operating and maintenance | 1,581 | 1,689 | 3,106 | 3,358 |
Total expenses | 170,042 | 165,494 | 333,880 | 342,979 |
Income from property operations segment | 40,039 | 35,986 | 96,348 | 66,915 |
Operating Segments | Property Operations | ||||
Revenues: | ||||
Community base rental income | 115,385 | 110,073 | 229,461 | 219,343 |
Resort base rental income | 44,732 | 41,427 | 100,166 | 93,072 |
Right-to-use annual payments | 11,187 | 10,945 | 22,241 | 21,926 |
Right-to-use contracts current period, gross | 3,086 | 3,578 | 5,618 | 6,375 |
Right-to-use contract upfront payments, deferred, net | (798) | (1,455) | (1,100) | (2,228) |
Utility and other income | 19,523 | 18,901 | 40,316 | 37,983 |
Ancillary services revenues, net | 69 | 656 | 1,208 | 2,343 |
Total revenues | 193,184 | 184,125 | 397,910 | 378,814 |
Expenses: | ||||
Property operating and maintenance | 66,647 | 64,178 | 129,601 | 125,295 |
Real estate taxes | 12,869 | 12,652 | 26,067 | 25,246 |
Sales and marketing, gross | 2,931 | 3,512 | 5,424 | 6,034 |
Right-to-use contract commissions, deferred, net | (116) | (764) | (12) | (1,007) |
Property management | 12,044 | 11,099 | 23,807 | 22,389 |
Total expenses | 94,375 | 90,677 | 184,887 | 177,957 |
Income from property operations segment | 98,809 | 93,448 | 213,023 | 200,857 |
Operating Segments | Home Sales and Rentals Operations | ||||
Revenues: | ||||
Gross revenue from home sales | 9,130 | 9,526 | 17,344 | 16,463 |
Brokered resale revenues and ancillary services revenues, net | 329 | 356 | 608 | 651 |
Rental home income | 3,543 | 3,559 | 7,088 | 7,113 |
Total revenues | 13,002 | 13,441 | 25,040 | 24,227 |
Expenses: | ||||
Cost of home sales | 9,481 | 9,093 | 17,762 | 15,817 |
Home selling expenses | 805 | 720 | 1,639 | 1,525 |
Rental home operating and maintenance | 1,581 | 1,689 | 3,106 | 3,358 |
Total expenses | 11,867 | 11,502 | 22,507 | 20,700 |
Income from property operations segment | $ 1,135 | $ 1,939 | $ 2,533 | $ 3,527 |