ELS - Earnings call transcript Q3 2021 | Equity LifeStyle Properties, Inc.

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Operator

Good day, everyone, and thank you all for joining us to discuss Equity LifeStyle Properties Third Quarter 2021 Results.

Our featured speakers today are Marguerite Nader, our President and CEO; Paul Seavey, our Executive Vice President and CFO; and Patrick Waite, our Executive Vice President and COO. In advance of today's call, management released earnings. Today's call will consist of opening remarks and a question-and-answer session with management relating to the company's earnings release.

For those who would like to participate in the question-and-answer session, management asks that you limit yourself to two questions so everyone who would like to participate has ample opportunity.

call recorded. this reminder, a is being As Certain forward-looking the statements during this Federal may contain conference call in laws. matters discussed Securities the meanings of

Our supplement any risks that become certain assumes subject of obligation statements forward-looking subsequent because The events. no or uncertainty. company economic update to untrue statements are and to

measures SEC our to call, of our these Reconciliations to President release, and today's during non-GAAP to the addition, over information historical G. GAAP will discuss and Marguerite in would the financial turn SEC this financial Regulation measures are measures our supplemental In filings. Nader, call we like as earnings time, comparable financial defined included by our non-GAAP I CEO. At

Marguerite Nader

today. third pleased for you. the results of report quarter I am Thank and joining morning Good the to thank XXXX. you us for

represents The most results season show product and demand camping our active offerings. for our third the quarter our

a for sales have second we achieved quarter the watermarks profit. in and high For home row, new our

Our normalized compared XXXX. in and FFO quarter quarter XX% the third to growth of was XX% when the

to customer contributed MH MH driven the grew by in quality XX%, to in positive results Year-to-date, a both home by and number the by contributing RV the communities. sales home at record occupancy sales. Homeowners growth our of high new new in grew New quarter, quarter. XXX the of

occupancy over XX%. an of level have maintained Our MH communities

residents. last communities. strong in our homeownership XX% seen for owning quality year than a base homes for the and our by the homes The to owned demand transfers properties. demand have community We heightened indicating were our the in the contributes interest of higher resale Homeownership and elevated new

digital unique a have prior is advertising. our sales our the online the this the sites We home traffic with traffic site as time views pandemic. partnerships to digital we grown our tours in in same quarter growth compared listing increase to XXXX being response had engine search contributed growth a Our has to seen Web to including home fueled XX% home tours digital compared our site marketing and efforts pipeline. last year. efforts virtual XX% and to over to The in home Web on marketing the Web optimization, of pandemic, the The by

Our seasonal The revenue XX% and RV an saw property across of strong compared increase annual, as customers. last growth in transient to was revenue year.

Our continued activity a increase pick nights midweek to with from up XX% in XXXX.

Camping quarter. Trails Thousand subscription-based revenue in Our growth continued the showed

dues strong is combined Our in largest portion The new the was driven dues XX%. signups of which by throughout member base, base, member growth the XXXX retention. increased revenue improvements with

plan XXXX. increased did commitment thirds next they more in their volume to focus extended that we a two upgrade year enjoying said camp who remotely our they recent of stay half More additional survey customers would an members Based to among the Sunbelt than the and their saw in increasing working work prospects, arrangements. Our flexible due on benefits. more on respondents than are conducted consider and us as we XX% to

million $XXX Beach, over acquisitions. $XXX for Carolina site we a South on RV XXX completed closed of an quality have we Myrtle within in Year-to-date, the deployment. high capital park million. In to Turning quarter, parcel

operating execution X,XXX site joint RV Tucson through we partnership in efficient Additionally, purchased partners venture interest in exchange and units. an our an achieved park high ELS quality of

rate will of anticipate season, Based our revenue. over increases portfolio, will into growth increasing for annual track XX% is RV anticipate of for our residence XX% to set of noticed continue year. the next our in continued core a grow our have revenue. the MH we rent by anticipated of October and provide sites on Within of for XXXX demand MH rate rental to new These X.X% anticipate represented our overall customers historically Turning two rates line We have we RV XXXX, items core our have end and record occupancy additional XX% expansion growth. we X%. annual our will

now XXX us. camping our primary team have and to feedback guests members is over We from as camping. service welcomed our season of like during members days for thank excellent XXX,XXX deliver behind Our seen to positive continuing I'd our scores. we

turn snowbirds turning the walk the Paul to now to will they our I detail. our we will attention welcome the as are in through winter numbers now where season it winter. escape We to

Paul Seavey

guidance and results In good Thank reported with year-to-date we for our I year of respectively. and Marguerite, comments debt year-to-date quarter highlight some the our earnings share and I and $X.XX, third our assumptions fourth and third condition. quarter and close on XXXX. normalized quarter balance and full FFO you, morning, market release, $X.XX everyone. our sheet will per review will

increased for the and year-to-date outdoor from rent Strong periods, properties increase compared year-to-date consists the XX.X% an the to for with provide. growth core respectively, in base by sites approximately X.X% same occupancy X.X% and third occupancy while opportunities and marina annuals Our X.X% of to the December related quarter XX.X% growth points and of in Core of rent XXX, renters increased We've since year. decreased income of reflects MH recreation the rental XX they and X.X% our XXX. quarter growth XXX period and last gains. basis owners RV rate demand for

growth X% our the realized occupancy. For slightly the of X%. than third higher from rent XX% points our quarter, rate of growth rate business XXX represents from core guidance is we rent basis than less growth total Annual marina and and was year-to-date of annual

As generated growth in marina quarter. the seasonals rent XX% the from rent from our a increased Core than is customers. XX.X% of annual reminder, more

been a uptick contributor third or rent. we in more of meaningful driving rent, stays quarter a full our an not seasonal for the historically the seasonal demand has customer While year to in increase saw month

Despite compared year. XX.X% reservation our in certain wildfires higher we western sold stays guidance, Our transient to compared income core late and utility impacted than on earlier through continued XXXX as revenue million of quarter. approximately includes expenses, some is for fees in to in that transient income quarter the quarter than an sales smoke quarter to Camping XXX,XXX after This the time. same suspending as build which XX.X%. from transient than the RV increase contribution late quarter July of third states year. memberships, the was the based and higher growth and utility demand upgrade our them other year. throughout business Trails reinstated that was Pass at [ph] last offset the we at that $X period delivered have of XX% in XXXX higher Core membership the The Year-to-date, year. increased third almost approximately net we that Membership prior well pass dues for XXX% slightly from last pace properties,

some in assessments increase to the to estate West tax Third The increase X.X% period. expense was increase the utility quarter contributor received core with property prior of reflect at recovery. the that TRIM by Drivers partially expenses tax increase and of compared the notices utilities real operating expense year certain and Electric estate increased increased result Florida real offset a September properties. taxes. of the is in real and large include estate the California in

properties timing in third operations the year-to-date. related quarter was release an The overview X% for amortization increased of consists compared as XXXX fill million property of and increased quarters, comparison the the four in million the increase increased guidance. $XX.X of the efforts Property our generated quarter addition, expenses expenses operating our in $XX.X RV open X.X% to In non-core our property core This in in acquired payroll demand of trailing year. started loan fourth XXXX, were increased earnings and period. an press and same in XXXX quarter expenses to G&A income we've by Interest in have million $XX.X have the by positions. expense hiring million is net during assets year-to-date generated and provides resulting XXXX, and to full primarily the employees third management property summary, portfolio, In management X%. experience before of almost core the quarter from quarter X.X% revenues which Other year-to-date. a retain for and $X.X corporate operating million core quarter Income contribution property NOI last was year and the year-to-date for million $XX.X and cost and the quarter. in expense $XX.X of million impacted $X.X

provide with future provided, are provide and our obligation expense guidance our current our our risk the midpoints supplemental revenue As projections in I no of growth rates for are results. provide assume and change. actual we to intended will that be and the results conditions consistent and in information some guidance range We estimate assurance to factors my context mind qualified we've keep in and financial our All represent included press by guidance, update as no release remarks information.

trends fourth the as demand of our RV year per and annual expect on growth consistent level the guidance. moderation a NOI and with the the and current in for FFO opening in of indicated approximately range quarter $X.XX X.X% with the growth our rate seasonal border range We range impact growth customer our occupancy; Significant assumptions year-to-date. XXXX to X.X%. normalized factors a of RV and projected of the quarter we've share include remainder core of million, $X.XX. upgrade reservation its guidance announcement by midpoint prior experienced MH to rate remain transient assumptions $XXX.X Canadian We recent the fourth full at of stays for overall of RV sales for

prior compared XX.X% FFO at Core an Normalized XXXX share $X.XX. of our share projected well the at to of normalized $X.XX year quarter The rate third X.X% estimated X.X% midpoint the full to range the of is our to updates XXXX. represents per growth at is fourth midpoint Our to expectations $X.XX midpoint growth the of our is of X.X%. NOI per range FFO to the our as outperformance from as core guidance rate for quarter. our increase increase NOI result

guidance expense trends adjustments to the gains include year-to-date RV occupancy MH based our current updated have quarter, in activity. We the reservation on third and

make no we incur. reminder, assumptions property or a losses storm we may uninsured for events other As

no the we've Our the investment the acquisition activity guidance during in impact earnings make remainder for year. of quarter for release. We additional the full year October acquisitions fourth closed, includes and the activity including the our assumptions announced of

XX% call markets for terms from the open from XX% MH to we assets for debt secured money. Current XX-year X.X% up RV and range questions, rates and I'll X.XX% sheet. for our Before balance with financing to LTV available discuss

lenders from assets continues lenders. will to to command high place participating be value strength qualified terms on regarded. age highly High continue sponsor see quality, and We MH ELS preferred

end at more quarter than million. $XX balance cash Our was

We unsecured line million our credit. have from available capacity of $XXX of

And program. of have ATM We our in XXXX. only $XX maturing we million of have $XXX million capacity under debt

importance believe We and balance to multiple flexibility available capital place continue on sources high to sheet of we we us. have

to X.Xx. Our adjusted are coverage debt interest ratio and EBITDAre

Now would open up for questions. to like it we

Operator

Instructions]. [Operator

comes first Michael Our from question line the UBS. Goldsmith of from

is line now Your open.

Michael Goldsmith

thought for RV? Thanks. growth rent morning. XXXX preliminary to Good rate lot the questions. a growth assumptions? Why the MH to walk taking X.X Can right process X.X Thanks growth and right on the you for X.X X.X for through my the is rate

Paul Seavey

I'll by reminding our of specifically Michael. of everyone leases, Sure, start portfolio. MH in the just the structure

leases three leases half CPI about other CPI are quarters floors of of with half tied link market have a the of residents CPI. fraction our our remaining the a Roughly to some directly of of So to driven. have and X%. quarter or are The those

So that is walk seeing of through benefit can just what maybe the the of Patrick the in kind of we're and and driving framing raise. market listeners, kind for

Patrick Waite

Paul. Thanks, Yes.

include, the work latter we HOAs of recommendations of balance managers our actually working associations example. down homeowner the only for conversations portfolio. property increases the conversations, good So operation and year, rent part year. the meetings overall is through to across our our And Florida way we with through and as about year, with typically we the have and rent going have just through process. for the staff to They That's property. on budget regional but of full the sit get we're property go owners for into with increases, not a a the setup statutory as

than pool, about the our to share increases. And So market seeing at pool us in pickleball furniture, from we well their and is properties, market recommended want way for have and lower Usually opportunity share that's perspective. ours, to particularly an to view. presenting ours the that view the for of other conversation services their the discuss HOAs’ rent reasonable activities, typically and courts, property. maybe we're a priorities while we're improvements we et process, the some walking as as the improvements They additional the cetera. what through that They view

how our the we So view of including to our color kind rate of some residents. with our that's come interaction of increases,

Michael Goldsmith

on of you that XXXX That's next about and you XX of And think border, how XXXX, back 'XX? million really expected from Canadian generated the helpful. revenue opening How much you RV the to in topic Canadian get do was or of -- year? start pressured much in in can customers. in And

Paul Seavey

quantify So I it the guess I'll in of just terms quarters.

fourth quarter loss, is and the what of by $X driven last about million, that we so So was reduction of which primarily a prime a to was the year, speak, seasonal experienced customers. in or Canadian revenue

about first during in million. impact was and the quarter for million. was result first the estimate that backfilled Our about X the $XX We of some quarter the

Michael Goldsmith

may you of Do return? may not to overall customers lost who this have you because Canadian disruptions, kind think choose of

Marguerite Nader

I to Florida and Arizona sun. enjoy are ecstatic about and opening very into border the come customers Canadian the think our and excited

Michael Goldsmith

much. Thank very you

Marguerite Nader

Thanks, Michael.

Operator

Thank you.

next the Nick Our of question comes Joseph from from Citi. line

line now Your open. is

Nick Joseph

appreciate difference age between on MH the I growth the rate on age restricted expect all comments you meaningful floor. the Paul, do XXXX, the When CPI you versus Thanks. a think and for the MH properties? the

Paul Seavey

it's you to in are California properties interesting A that number age of asked subject our Well, are located rent and question. control. all that

because relative given higher. is that summer in the And was for CPI, the CPI or so which is benefit there some out to the notices of for sending increases year numbers, West, last before of -- the especially out is now index the many year level XXXX we're the there

Marguerite Nader

to And bit little summer that rate able we also are destination we properties have all a age in more. push are locations where

Nick Joseph

end additional that And shake you today? look? deals then pipeline changes be two this thanks. the the Okay, seeing any potential pipeline, quarter. tax we the the as on the loose Are pipeline to year there'd especially get How any just could and of does the actual acquisition And obviously the towards changes, properties?

Marguerite Nader

Yes.

flow this that out part A that to I of areas really there. with with that relationship. term did a activity important KOA, was very and focused Beach in not had similar to the our a the two for year it that kind lot then we've further we participate strengthening And presence can joint then was longer started where think that create Loggerhead there's increasing we portfolio of really deals which in market key focused RV Myrtle transaction in platform did certainly cash And us. relationship high was we but venture on strategic that based partners. or the We a of quality market stream. auction longstanding And just our that instead marina have then is large we chosen on advantages industry.

types good like you'll more in think see for pipeline transactions think pretty I the those looks those do continue future. So us transactions. of to the And I of kind

Nick Joseph

deals space interest broadly? Thanks. do think, more forward the you the Are in going those available just fewer given relationship

Marguerite Nader

we Certainly, to a have but an the in they want and it tend owners, make relationships out -- deals with instances, auction long-term of some broker part that to to, process. go do

Nick Joseph

you. Thank

Marguerite Nader

Nick. Thanks,

Operator

Thank you.

next question line the from from Anthony Our comes of Barclays. Powell

is now line Your open.

Marguerite Nader

Hello, Anthony.

Operator

Anthony please Barclays, mute Powell me. button. check from Pardon your

You mute. might be on

Marguerite Nader

with can we Anthony. maybe should [ph], and move next back then the we on get to Gigi

Operator

next Our John line question the Capital comes Kim BMO of Markets. from from

open. now is line Your

John Kim

morning. Thank you. Good

Marguerite Nader

morning, Good John.

John Kim

And not mentioned amongst transient from among economy travel Hi, sale. options. seeing new a commentary that there's RV Marguerite. It on that moderation the in the the There's some sounds been [ph] higher upgrade like some as recent side. your you're Paul of and RVers more dealers discussion of them the turnover reopens.

new your wanted and a on just potentially lot get of appetite. these some this to I views So sticking of in RVers them around

Marguerite Nader

John. Sure,

more visiting as that so pandemic And sites we In the an without RVs. channels customer business incredibly increase and RVers new our where pandemic. X seeing to in traffic And we're an RV outdoor saw was So customer road. sites XXXX. environment quarter, has XX the expanded million more the compared strong roughly the on really we're return our there in are enthusiasts the and before million

be while ample don't really that them, this there may customers to demand some who there's think in the So appeals marketplace. lifestyle

continue So that to see I going we're demand. to think

John Kim

sale was of moderation the Thousand And an that on upgrade Trails.

Marguerite Nader

effect. that's you membership. more summer, more upgrading seasonal getting Right. along the of just excited with in just a about And And -- see their there's camping which opportunities goes people more

John Kim

year-to-date. marina it. at been growing got X% mentioned has Okay, Paul also

I X%. think mentioned last you quarter

So elaborate can you're the income acceleration that of high huge that the type rental looking you And growth? if you're just marinas. opportunities revenue what in storage marinas acquisition seems on seeing for a for, like

Paul Seavey

first the be revenue part, The I some might growth. mixing. NOI the think John, mentioned On there just is is X% I X% The growth.

X%. So at growth we the NOI see

Marguerite Nader

then, past, And type for we've interest, are of looking them mentioned we the some as terms close. in marina as of will John, of we acquisitions, in we seeing are disclose than properties and a we particular

John Kim

revenue growth in what the Paul, quarter? the second was

Paul Seavey

have right John, that It was I find up. but right around it follow front of can X%. don't me, I and in

John Kim

you. great. Okay, Thank

Marguerite Nader

Thanks, John.

Operator

you. Thank

Our line next question from comes Keegan Berenberg. from the of Carl

Your now open. line is

Keegan Carl

seems back guys the for than Thanks marinas, like you more first it on I call. the guess just are guys optimistic last touching taking Hi. questions. on

the your you relative are expand to where currently to your actually willing So percentage portfolio? exposure is it to of it

Marguerite Nader

Right.

what with there's think that about, think it. see talking if before. I we were forward don't the I I definitely been change -- But parameters we fits don't certainly would of think where from we within any a we've move transaction that's

But certainly would have of We basin. marina as we it's the any the we'll to which transactions. we like is be inside find that marina. now. We'll overall don't think of And different close just that attributes on marina we growing we I revenue certain those than all are the and those, in about be said, same RV, MH right and percentage what we extent

Keegan Carl

Got on give on you it. how us more you've some just pressures, color of specifically the competitive labor And things? could mitigating side market inflationary been

Paul Seavey

some initiatives reducing reliance we that the done I to customer Keegan, that our properties. implement in technology Yes, the labor on at enhance term have think while regard is long over what hopefully the experience

huge success. developing implemented we great had check an on online a process. have have We And focus that it's and in pre-COVID

communicate have property so can office. on We also guests property, as the for step into to and who are necessarily on testing such not texting tools, they the SMS that staff the are with

Another that our MH electronic across is done thing we've portfolio on focus payments.

I So initiatives as to the term we expect, those labor said, drive over long costs.

think maybe some has to Patrick I other provide. color

Patrick Waite

represents those Yes, more unfilled if it's great and portfolio specifically really the third teams, you down which job properties. our about at the a related property about to XXX vacant positions a accommodating we regional than compared properties. operations various it's for RV bit by just a really than of perspective, quarter each those positions responsibilities teams positions. training And higher towards our that they've a positions. of leans sharing vacant about And And property. RV management full-time And of little XX% XXXX, positions and positions. more component. to done across think XXX filling few across That it, That's cross a were have seasonal XXX properties,

consistently just specifically a that's reminder, adapt our when And high. way positions. just those open wage service remained So us we've scores pressures, as a have and but got for customer fill successful to filling gaps

of consecutive XXXX, Choice Hall maintain high standard Fame, were and rating Travelers' our received that's the XX you TripAdvisor of where a XX properties five very For years. the that Travelers' and for in Choice properties the Award TripAdvisor our year included of Awards

dealing our on-site come teams with a and overall really done service. the it's the So of staffing in customer management through job have nice

Keegan Carl

Got it.

like staffing So don't on you of lost you any correct? feel shortage, revenue guys because

Marguerite Nader

-- That's correct. We were able to

Keegan Carl

from me. Thank That's it you.

Marguerite Nader

Thank you.

Keegan Carl

Marguerite. Thanks, Sorry.

Operator

Thank you.

next ISI. question from the line comes Evercore Our Samir from of Khanal

Your line is now open.

Samir Khanal

Hi, Marguerite.

Marguerite Nader

Hello.

Samir Khanal

cap don't you deals the I on morning. you recent the this, maybe what but rates kind cover the if of disclosed know Good quarter? in were

Marguerite Nader

Tucson in we that we that Myrtle X.X equates X did And deal The Beach a did rate. cap. transaction was in the a cap to Sure.

Samir Khanal

back, marinas step just and Okay. And a not then for talk about generally only bit on kind you're what in little seeing just maybe? you maybe can taking a but of pricing, MH RVs elaborate

Marguerite Nader

Sure.

not that think rates. in I pricing changed has much and So cap of terms

approximately RVs X.X think in in at will marina cap cap the do at and I X to We located see same together RV the MH the range. the MH same are to the -- MH rates rates. that somewhere close X RVs well and are X locations the and are trade

Samir Khanal

be Okay, get you're expenses remind talked the just great. I guess about of that to percent you to question I saying, in like expense of payroll, next are year? sense we to -- related wage on of trying what Paul, And growth us then, but your guess can pressures sort last impact what a could

Paul Seavey

Yes.

expenses, I of you and talk XX% about a that's our our fair which we about think when combined, having payroll think amount utilities about pressures, expenses.

Samir Khanal

Okay, great. Thanks.

Marguerite Nader

Thanks, Samir.

Operator

Thank you.

Our of the from America. next Joshua from line Dennerlein Bank question comes of

Your open. now line is

Joshua Dennerlein

the Paul wanted just and more I Hope ask Hi, on to you maybe lease ground the strategy guess are well. Marguerite, what and on color that about getting Curious Patrick. then guys is? did. doing you acquisition I

Marguerite Nader

Sure, Josh.

been XX currently ground the property in So under XXXX. over that's in it years and place for lease is expires a

property. have options, renegotiating ground lease, the many work taking plan ground the extending And or we with over operations lessee. the the Our of including the to is lease ground

it. that all, a So we gain we've always just it. which market been was. a access discussions. frequently But our in. And a is at way this to was doesn't interested starting We're this was trade closed just property interest where that on And to

Joshua Dennerlein

that the Okay. if imagine I cap lease, cap lower rate. --? assumption rates just imagine like it right or a pretty I ground than -- would was the low some Is would given

Marguerite Nader

rate opportunities there a part rate. X.X rate. leases And becomes X.X asset certainly cap are generated ground a the was The this to it's by think the family. I FFO cap cap of -- when The ELS equates

Joshua Dennerlein

it try if you'll thinking to it correctly? about so I'm the sounds get asset like Okay, whole

Marguerite Nader

ground talking right now. lessee We're the with in early of stages

Joshua Dennerlein

wanted RV the midweek What side. ask of Got the on profile about it? it. to just maybe sort And midweek is of activity I the customer then

Marguerite Nader

as that it's XX% largest that we the What activity, Monday mentioned was and a see nights nights. Sunday variance with is midweek the and the I increase,

So see extending us. customers more their with we really weekend

taking perhaps their the like. effect the and more in So what schedules there's impacts see just Tuesday looks no Monday We their customer night It's that work flexibility Sunday really and differential and on that helps, and in the night results. don't same they're Wednesday. positively

So Sunday-Monday helps it's a really in nights. increase that up effect that drive to

Joshua Dennerlein

it. Got

leave I'll guys. it interesting. there. Thank you, Okay,

Marguerite Nader

Thanks, Josh.

Operator

you. Thank

next question Our comes from the from line Green of Pawlowski Street. John

line open. Your now is

John Pawlowski

Thank you Paul, NOI you sense revenue moderation that quarter you for fourth taking expense the just time. NOI could the get trying and for growth I'm of underpins predicting? assumption share Good growth morning. the guys the to are forecast? a

Paul Seavey

I transient. we're it's a expenses that the are on think as start kind with rate about, X%. about, think the we revenues talking mentioned, number on closer I Yes, moderation, I'll the the of to and just moderation revenue, the X%-ish when And

forth, is a we Just at in taking that fourth but the also of the it demand and through year. strong so last go our process strong look pace reservation quarter was

that response at upgrade upgrade of reduction the as a then high to in saw the see to of And meaningfully in mentioned and high it stream, revenue last assumption, year to kind expect rate we was border, see we've Canadian the digit those typically that of rates, sales, growth. this single time. volumes. I risk to -- don't it seen the Marguerite guidance the you'll seasonal last customers about so kind sales remember And opening go transient season, as back those another in call, year-to-date moderates single mentioned, XX% the come growth million we the out given heavy properties The impact And a a that of $X digit includes we see year. mid almost

of looking And last growth relative mid so as well digit at that to we're rate single for year. a kind

John Pawlowski

Okay. year growth overly to because about I'm few for have that one seasonal assumption still share Could trajectory the RV fourth trying just -- concerned easy the Could you from years. the share comp for quarter, the you quarter, a understand next you I'm ago? not

Paul Seavey

of kind XX% number relative last to It year. a XX%-ish is to

again, a those that healthy we're rate. dollars it's So lost. recovering growth But we

John Pawlowski

Okay. led be you seasonal anybody. base upgrade. they're us to Could going more that think the help annual, And year? two did question specifically you with lot for suggests and a RV terms business, the few and years of to next then there's next of quote thirds in they of churn a transient camp between membership tenant this Obviously, going than your through year

us help -- those for dial survey revenue just structural forward? kind going RV the what's growth kind of into of So rate run that anecdotes

Marguerite Nader

in to you need Yes, I different three look think it at the buckets.

some So number. a going we provided number, increase of the we which significant in rate, of trend, is X,XXX we and how that's plus. is annuals seen annual there guidance And to for year-to-date what think the about annual, think then a healthy we've an increase

what that's see in -- growth contributing our rates. to been you that's So

really reason with that always And given those for Almanac then we've happens on On Canadian very cold predict side, too and high into what And the opening or we're we look with you we winter it’s and those look looking at anticipated as season. this it's for would transient far the Farmers' to difficult the we'll demand at on future any that. seasonal reasons. border side, be anticipate sticking with said XXXX Obviously, -- the in winter. -- at anticipates a dependent

Although, I us transient to which a we've customer just to going is wider those sites. fill been be to able think continue helpful for to base, access

John Pawlowski

Okay.

on trends and grow? still kind the basis to this you for survey real-time data you RVs of transient should absolute of next an the see when year, see in appetite RV, or terms So do decline expect everything you

Marguerite Nader

very a minute side kind transient is the rate up adjustment. The of to

as we'll So is supply be equation, it. and this as as adjusting demand, that demand we we see see so

excited. little a tell. it's to people So early are very But

very when want commit basis. I get and do they then on term longer then the they are to a that, lifestyle out excited go And tend to to to weekends. customers Our they on say, like this

John Pawlowski

for you Okay. your Thank time.

Marguerite Nader

Thanks, John.

Operator

you. Thank

line question comes of Anthony Barclays. Our from from next the Powell

open. now is line Your

Marguerite Nader

Anthony. Hello,

Anthony Powell

morning. Good Hello.

for me Thanks call. back having earlier. for on Sorry the

So doubled very a which home quarter strong. actually the about question and in was again sales,

kind any the there Just given you forward is margins looking except you in margins. sales, something the from you a bit that focus higher curious, with seeing buying is I demographics your maybe maybe of And profit for are can for any homes segment? push new you But not further? volume it's that a big guys? know

Patrick Waite

color to the we they're that the But on touch on typical through buyer years to put I'll around and age. our see similar door the Patrick. fine homebuyers. point you if Paul, homebuyer today coming in new margins. particular, And It's want XX a pretty of around is the

I call financial earlier XXX. at a perspective, for on trending stability plus reported we FICOs been somewhat That's higher over have consistently that year-to-date. the think from an XXX

seeing to make maintaining process of you'd a shorten really it, roots qualified in the us. roots home seeing homebuyer up well increase while out who was that transitional a down state their your a also from to a choose this an kind retirement. residence through and of buy So roots the kind we're you one coming transition inbound we're there housing setting house up move, was your with Sunbelt your north as come in move as through people homebuyer were We've buying that and to seen homebuyers. for of step-in in setup a And and reflects all And come more setting door. from Florida, a up call a longer that is up and

Paul Seavey

in, I And can Anthony. jump

sales, no on of think low to as margin kind business As us characterize it the a I'd for on home we new homes. margins about

course of the And for as their the Our the focus well. the low sale rent we're if it's it but a house the overall their -- quite and we've purchasing the priced is of at on part customer, margin equilibrium, of is on that, cost house. cost of

Anthony Powell

Got more me. maybe it. Thanks. And one for

that sites could You mentioned you maybe over go in sites do every of next for there? you couple parcel bought pipeline many to Florida land How could existing over add near year? development your development development your start you sites. now you the When maybe the just initial years? of And

Marguerite Nader

Sure.

of to this for adjacent acres property, been XXX property for a bought, we many and XX near with full great So That has just property really that to the was land years a site land bought opportunity we respect age-restricted we of Sarasota. maybe, years, I that the the next would to say. years, walk the development pipeline. us you couple Patrick, on going think We footprint the could if would to one get expand the through And in community. two development of

Patrick Waite

connections pipeline We're deliver our the north occupancy, to with companies of getting development an just last we're be utility the to our Yes, GCs. able going over be for a that's inspections, pipeline a for from environment, over the with projects year the and be and little target been for last in couple timing year. X,XXX, the sites. years, completed future, seeing the annual with X,XXX achieved given certificates would that we're CO-ed I has process company current offices a to just And lot of basis. X,XXX to particular, driven our of of pressure [ph]. tend We X,XXX, to seeing sites us entitlements that the expect tracking by X,XXX timing challenging X,XXX. today's completed perspective. electric from of responsiveness on administrative the timing in little on the Likewise, foreseeable with In local to deliver over A bit of

Anthony Powell

kind is pretty And any there? it. guys still have that Got yields impacted -- expecting you're you near-term or positive construction cost expected results of for

Patrick Waite

Yes, we're results it. expecting positive of

that allows from of demand high we're question double seeing yields Our the yields. construction in portfolio, to digits are some no the typically digits. but support help across our single us those in projects impact the to profile low the some with costs There's

Anthony Powell

you. Thank Great.

Marguerite Nader

Thanks, Anthony.

Operator

Thank you.

next Markets. line Capital BMO John question of comes from Our from Kim the

open. now is line Your

John Kim

Thank you.

Marguerite Nader

John. Hello,

John Kim

X% I'm cap -- rate Voyager on back. The

Marguerite Nader

Yes.

John Kim

a because new for or the resort norm RV the Class A low adjacent opportunity is it? unusually it of this Is expansion to

Marguerite Nader

Well, know expansion have area. -- operated years, certainly the the so property that the this and that we a value have around property traded good of indication opportunities and of XX for real we've we deals in

and marketplace quality property. So the the really Tucson it's of of function high a the

John Kim

the comment you this of you Can sites the to? on could and timing number expand

Marguerite Nader

Patrick? Sure.

Patrick Waite

up. expansion lease the the first would with roughly expect the and -- to on the with adjacent phase Yes. XXX shovel follow completion XX XXX that And phase sites will The a is on upon ground be up in next with acres. to sites land XXXX on we get

John Kim

Great. Thanks.

Paul Seavey

Hi, John.

Marguerite Nader

John. Thanks,

Paul Seavey

earlier, since can in. I just your you out that back -- hopped follow question I too close can

quarter -- Second

Marguerite Nader

the off things getting is just This here. list fantastic. We're

Okay.

Paul Seavey

annual growth Second rent, quarter was marina X.X%. that rate

John Kim

very you Thank much. Okay.

Paul Seavey

Sure.

Marguerite Nader

John. you, Thank

Operator

on you. remarks. Thank time no closing this Since back it more over line, questions at we to turn the have I'd like for Marguerite to Nader

Marguerite Nader

next call. you. We forward Thank to quarter's all you on Thank today. updating us look joining for our you

Operator

participating. for today's call. Thank you This conference concludes

may disconnect. You now

Equity LifeStyle Properties (ELS) 19 Oct 212021 Q3 Earnings call transcript