Ask Sun Communities and it'll say the sun always shines brighter on its residents. The self-managed real estate investment trust (REIT) owns, develops, and operates manufactured housing communities (trailer and recreation vehicle parks) in the South and Midwest. Its portfolio includes about 155 properties with 53,500 developed manufactured home and RV sites, and another 6,000 home sites under development. Its Sun Home Services unit sells new and used homes for placement on its properties, the majority of which are in Michigan, Florida, Indiana, Texas, and Ohio. Sun Communities also acquires at a discount and resells mobile homes that have been repossessed by lenders in its communities.
The company's properties have trained on-site property managers and maintenance personnel, as well as such amenities as clubhouses, laundry facilities, and swimming pools.
Sun Communities has managed to maintain rather steady revenues, even during the economic slowdown. Its solid performance it likely due to demand from retiring adults, a growing demographic. The company also points to its rental program as key to its success during the recession. Home rentals have become a popular and affordable alternative to customers.
Sun Communities continues to look at expansion opportunities at some of its most popular communities with high occupancy rates. Two communities in Houston and Austin, Texas are being expanded, adding more than 275 sites.
In 2011 Sun Communities grew its portfolio when it acquired 17 mannufactured housing communities and one RV community in western Michigan from Kentland Corporation. That year Sun Communities also bought a RV resort in Florida for more than $6 miillion.
CEO Gary Shiffman owns 9% of Sun Communities. – less