UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
D.C. 20549
FORM
8-K
CURRENT
REPORT
Pursuant
to Section 13 OR 15(d) of The Securities Exchange Act of 1934
Date
of Report: March 11, 2010
(Date
of earliest event reported)
SUN
COMMUNITIES, INC.
(Exact
name of registrant as specified in its charter)
|
Maryland
|
1-12616
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38-2730780
|
||
|
(State
or other jurisdiction of incorporation)
|
(Commission
File Number)
|
(IRS
Employer Identification No.)
|
|
27777
Franklin Rd.
|
||
|
Suite
200
|
||
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Southfield,
Michigan
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48034
|
|
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(Address
of Principal Executive Offices)
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(Zip
Code)
|
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(248)
208-2500
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(Registrant’s
telephone number, including area code)
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions:
|
|
[ ]
Written communications pursuant to Rule 425 under the Securities Act (17
CFR 230.425)
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|
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[ ]
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
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[ ]
Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
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[ ]
Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
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Item
2.02
|
Description.
|
On March
11, 2010, Sun Communities, Inc. (the “Company”) issued a press release,
furnished as Exhibit 99.1 and incorporated herein by reference, announcing its
financial results for the periods ended December 31, 2009 and certain other
information.
The
Company will hold an investor conference call and webcast at 11:00 A.M. EST on
March 11, 2010 to disclose and discuss the financial results for the periods
ended December 31, 2009.
The
information contained in this Current Report on Form 8-K, including the exhibit
attached hereto, is being furnished and shall not be deemed to be “filed” for
purposes of the Securities Exchange Act of 1934, as amended.
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Item
9.01
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Financial
Statements and Exhibits.
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(d)
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Exhibits.
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99.1
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Press
Release issued March 11, 2010
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SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the Registrant has
duly caused this Report to be signed on its behalf by the undersigned hereunto
duly authorized.
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SUN
COMMUNITIES, INC.
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|||
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Dated:
March 11, 2010
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By:
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/s/
Karen J. Dearing
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|
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Karen
J. Dearing, Executive Vice President,
Chief
Financial Officer, Secretary and
Treasurer
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|||
EXHIBIT
INDEX
|
EXHIBIT
#
|
DESCRIPTION
|
|
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99.1
|
Press
Release issued March 11, 2010
|
|
FOR
IMMEDIATE RELEASE
March 11,
2010
Southfield, MI, March 11, 2010 - Sun
Communities, Inc. (NYSE: SUI) (the “Company”),
a real estate investment trust (REIT) that owns and operates manufactured
housing communities, today reported fourth quarter and year ended December 31,
2009 results.
Financial
Results
During
the quarter ended December 31, 2009, total revenues increased to $64.7 million
as compared to $63.0 million in the fourth quarter of 2008. Net loss for the
fourth quarter of 2009 was $(2.9) million, or $(0.15) per diluted common share,
compared with a net loss of $(18.5) million, or $(1.01) per diluted common
share, for the same period in 2008. Funds from operations (“FFO”)(1) increased to $14.7
million, or $0.70 per diluted share/OP Unit, in the fourth quarter of 2009 as
compared to $(0.6) million, or $(0.03) per diluted share/OP Unit, in the fourth
quarter of 2008.
For the
year ended December 31, 2009, total revenues increased to $256.6 million, as
compared to $251.0 million for the same period in 2008, excluding $3.3 million in
revenues from gain on sales of vacant land. Net loss was $(6.3) million,
or $(0.34) per diluted common share, as compared to $(34.5) million, or $(1.90)
per diluted common share, for the years ended December 31, 2009 and 2008,
respectively. FFO(1) increased to $56.0
million, or $2.69 per diluted share/OP Unit, for the year ended December 31,
2009, as compared to $26.5 million, or $1.29 per diluted share/OP Unit, for the
same period in 2008.
FFO per
diluted share/OP Unit, adjusted for the items delineated in the Reconciliation
of Net Loss to Funds From Operations Table below, is $0.77 and $0.73 for the
fourth quarter 2009 and 2008 and $2.86 and $2.78 for the years ended December
31, 2009 and 2008, respectively.
Operational
Results
For the
year ended December 31, 2009, revenue producing sites increased by 224 sites,
compared to a decrease of 47 sites for the year ended December 31, 2008, an
improvement of 271 sites period over period. Revenue producing sites decreased
by 19 for the fourth quarter of 2009, compared to a decrease of 135 sites during
the fourth quarter of 2008, an improvement of 116 sites period over period. The
Company rented an additional 230 homes during 2009 bringing the total number of
occupied rentals to 5,747 at December 31, 2009.
“We are
pleased to report an increase in revenue producing sites for 2009 as this
represents the first time our gains have exceeded 200 sites since the year
2000,” said Gary A. Shiffman, Chairman and Chief Executive Officer. “We are
further encouraged by strong occupancy results through February 2010 as revenue
producing sites have increased by nearly 160 more sites than the same period in
2009 and we are currently projecting additional occupancy gains through March
31,” Shiffman added.
Same
site results
For 136
communities owned throughout 2009 and 2008, total revenues increased 1.5 percent
for the year ended December 31, 2009, and total expenses increased 3.4 percent,
resulting in an increase in net operating income(2) of
0.7 percent. Same property occupancy for revenue producing sites was 83.4
percent at December 31, 2009 compared to 83.1 percent at December 31,
2008.
Home
sales
During
the fourth quarter of 2009, 305 homes were sold, bringing the total of homes
sold year to date to 1,116, an increase of 15.6 percent from the 965 homes sold
during 2008. Rental home sales, included in total home sales above,
totaled 174 and 705 for the three and twelve months ended December 31, 2009, as
compared to 153 and 596 for the same periods in 2008.
General
& administrative expenses-real property
General
and administrative expenses – real property includes a provision for $0.7
million related to a public notice from the Michigan Department of Treasury
dated February 5, 2010 that is contradictory to guidance issued in 1999 with
regard to the filing methodology for federally disregarded single member limited
liability companies under the former Michigan Single Business
Tax. The provision includes an estimated tax liability for several
single member limited liability companies for the years 1997-2007, whose taxable
income was included in the Company’s consolidated Michigan Single Business Tax
returns for those years. The ultimate payment of this liability is
dependent on the outcome of expected litigation and/or legislation in the State
of Michigan concerning this controversial notice.
“We were
able to achieve a majority of the goals we set out to accomplish in 2009 despite
a difficult economic environment,” said Shiffman. “During the decade we have
successfully operated in the most challenging of times; within our industry,
through the site built housing credit bubble build up and bust, and through
severe local, national and global economic downturns. We are optimistic about
2010 and the accompanying guidance reflects another year of growth in Sun’s key
operating metrics,” Shiffman added.
2010
Earnings Guidance
It is the
Company's expectation that FFO(1) per
diluted share/OP unit will be in the range of $2.89 to $2.98 per diluted
share/OP unit for 2010. Guidance is derived from the following operational
assumptions:
Site
rent increases
The
weighted average site rental increase for 2010 is expected to be 2.5
percent.
Occupancy
Revenue
producing sites are expected to increase by approximately 300 sites. The
improvement in occupancy results for 2010 compared to 2009 is concentrated in
the South, Southeast and West while the East and Midwest are expected to
maintain occupancy levels.
Same
property portfolio
The
Company's same property portfolio of 136 communities is expected to generate
growth in net operating income (2) of
approximately 1.9 percent in 2010.
Home
sales
The
Company expects to sell approximately 1,270 homes, including 750 rental homes,
an increase of 13.8%.
Rental
home program
Guidance
includes the assumption of an increase in occupied rental units of 220 and no
increase in the average monthly rental rate. The Company expects to receive over
19,000 applications to live in its communities in 2010.
Origen
FFO(1)
guidance includes no contribution from Origen in 2010 as equity earnings
are not reasonably estimable.
Recurring
capital expenditures
The
Company expects recurring capital expenditures to approximate $7.3 million for
2010, or about $0.35 per diluted share/OP unit. Using the midpoint of
earnings guidance, funds available for distribution will approximate $2.59 per
diluted share/OP unit which equates to a 103% coverage ratio when compared to
the Company’s 2009 annual dividend of $2.52 per diluted share/OP
unit.
General
& administrative expenses-real property
General
and administrative expenses–real property are expected to approximate $16.4
million.
Debt
maturities
The
Company has maturities of $1.3 million of its preferred operating partnership
units in 2010.
Interest
expense
The
Company assumed interest rates to approximate the rates in effect at January 1,
2010 and included the payment of a 200 basis point facility fee on its $152.4
million of variable rate debt with Fannie Mae. The Company is currently in
litigation with Fannie Mae with regard to this fee.
Earnings
Conference Call
A
conference call to discuss fourth quarter operating results will be held on
March 11, 2010, at 11:00 A.M. EDT. To participate, call toll-free 877-407-9039.
Callers outside the U.S. or Canada can access the call at 201-689-8470. A replay
will be available following the call through March 25, 2010, and can be accessed
by dialing 877-660-6853 from the U.S. or 201-612-7415 outside the U.S. or
Canada. The account number for the replay is 3055 and the ID number is 345242.
The conference call will be available live on Sun Communities website
www.suncommunities.com. Replay will also be available on the
website.
Sun
Communities, Inc. is a real estate investment trust (REIT) that currently owns
and operates a portfolio of 136 communities comprising approximately 47,600
developed sites.
|
(1)
|
Funds
from operations (“FFO”) is defined by the National Association of Real
Estate Investment Trusts (“NAREIT”) as net income (computed in accordance
with generally accepted accounting principles), excluding gains (or
losses) from sales of depreciable operating property, plus real
estate-related depreciation and amortization, and after adjustments for
unconsolidated partnerships and joint ventures. FFO is a non-GAAP
financial measure that management believes is a useful supplemental
measure of the Company’s operating performance. Management generally
considers FFO to be a useful measure for reviewing comparative operating
and financial performance because, by excluding gains and losses related
to sales of previously depreciated operating real estate assets and
excluding real estate asset depreciation and amortization (which can vary
among owners of identical assets in similar condition based on historical
cost accounting and useful life estimates), FFO provides a performance
measure that, when compared year over year, reflects the impact to
operations from trends in occupancy rates, rental rates and operating
costs, providing perspective not readily apparent from net income.
Management believes that the use of FFO has been beneficial in improving
the understanding of operating results of REITs among the investing public
and making comparisons of REIT operating results more
meaningful.
|
Because
FFO excludes significant economic components of net income including
depreciation and amortization, FFO should be used as an adjunct to net income
and not as an alternative to net income. The principal limitation of FFO is that
it does not represent cash flow from operations as defined by GAAP and is a
supplemental measure of performance that does not replace net income as a
measure of performance or net cash provided by operating activities as a measure
of liquidity. In addition, FFO is not intended as a measure of a REIT’s ability
to meet debt principal repayments and other cash requirements, nor as a measure
of working capital. FFO only provides investors with an additional performance
measure. Other REITs may use different methods for calculating FFO and,
accordingly, the Company’s FFO may not be comparable to other
REITs.
|
(2)
|
Investors
in and analysts following the real estate industry utilize net operating
income (“NOI”) as a supplemental performance measure. NOI is derived from
revenues minus property operating expenses and real estate taxes. NOI does
not represent cash generated from operating activities in accordance with
GAAP and should not be considered to be an alternative to net income
(determined in accordance with GAAP) as an indication of the Company’s
financial performance or to be an alternative to cash flow from operating
activities (determined in accordance with GAAP) as a measure of the
Company’s liquidity; nor is it indicative of funds available for the
Company’s cash needs, including its ability to make cash distributions.
The Company believes that net income is the most directly comparable GAAP
measurement to net operating income. Net income includes interest and
depreciation and amortization which often have no effect on the market
value of a property and therefore limit its use as a performance measure.
In addition, such expenses are often incurred at a parent company level
and therefore are not necessarily linked to the performance of a real
estate asset. The Company believes that net operating income is helpful to
investors as a measure of operating performance because it is an indicator
of the return on property investment, and provides a method of comparing
property performance over time. The Company uses NOI as a key management
tool when evaluating performance and growth of particular properties
and/or groups of properties. The principal limitation of NOI is that it
excludes depreciation, amortization, interest expense, and non-property
specific expenses such as general and administrative expenses, all of
which are significant costs, and therefore, NOI is a measure of the
operating performance of the properties of the Company rather than of the
Company overall.
|
For
more information about Sun Communities, Inc.
visit our website at www.suncommunities.com
-FINANCIAL
TABLES FOLLOW-
FORWARD LOOKING STATEMENTS
This press
release contains various “forward-looking statements” within the meaning of the
Securities Act of 1933 and the Securities Exchange Act of 1934, and the Company
intends that such forward-looking statements will be subject to the safe harbors
created thereby. The words “will,” “may,” “could,” “expect,” “anticipate,”
“believes,” “intends,” “should,” “plans,” “estimates,” “approximate”, “guidance”
and similar expressions identify these forward-looking statements. These
forward-looking statements reflect the Company’s current views with respect to
future events and financial performance, but involve known and unknown risks and
uncertainties, both general and specific to the matters discussed in this press
release. These risks and uncertainties may cause the actual results of the
Company to be materially different from any future results expressed or implied
by such forward-looking statements. Such risks and uncertainties include the
ability of manufactured home buyers to obtain financing, the level of
repossessions by manufactured home lenders and those referenced under the
headings entitled “Factors That May Affect Future Results” or “Risk Factors”
contained in the Company’s filings with the Securities and Exchange Commission.
The forward-looking statements contained in this press release speak only as of
the date hereof and the Company expressly disclaims any obligation to provide
public updates, revisions or amendments to any forward- looking statements made
herein to reflect changes in the Company’s expectations of future
events.
ADOPTION
OF NEW ACCOUNTING STANDARDS
The
Company adopted Statement of Financial Accounting Standards (SFAS) No. 160,
“Noncontrolling Interests in Consolidated Financial Statements”, which is now
included within the FASB Accounting Standards Codification TM (“ASC”) Topic 810,
Consolidation, in the first quarter of 2009 which required reclassification of
prior period financial information. This updated guidance resulted in the
presentation of noncontrolling interest, previously referred to as minority
interest, be reported as a separate component of equity in the Company’s
Consolidated Financial Statements, and that losses be allocated to the
noncontrolling interest even if the allocation resulted in a deficit
balance.
|
|
SUN
COMMUNITIES, INC.
|
|
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
|
|
FOR
THE PERIODS ENDED DECEMBER 31, 2009 AND
2008
|
|
|
(In
thousands, except per share
amounts)
|
(Unaudited)
|
Three
Months Ended
|
Twelve
Months Ended
|
|||||||||||||||
|
December
31,
|
December
31,
|
|||||||||||||||
|
2009
|
2008
|
2009
|
2008
|
|||||||||||||
|
REVENUES
|
||||||||||||||||
|
Income
from real property
|
$
|
50,751
|
$
|
49,658
|
$
|
198,844
|
$
|
195,450
|
||||||||
|
Revenue
from home sales
|
8,609
|
7,273
|
32,721
|
31,477
|
||||||||||||
|
Rental
home revenue
|
5,014
|
5,215
|
20,463
|
20,533
|
||||||||||||
|
Ancillary
revenues, net
|
126
|
106
|
387
|
455
|
||||||||||||
|
Interest
|
1,811
|
1,161
|
6,005
|
3,902
|
||||||||||||
|
Other
income (loss), net
|
(1,650
|
)
|
(410
|
)
|
(1,811
|
)
|
2,474
|
|||||||||
|
Total
revenues
|
64,661
|
63,003
|
256,609
|
254,291
|
||||||||||||
|
COSTS
AND EXPENSES
|
||||||||||||||||
|
Property
operating and maintenance
|
12,535
|
12,389
|
51,176
|
49,246
|
||||||||||||
|
Real
estate taxes
|
4,387
|
3,799
|
16,537
|
15,982
|
||||||||||||
|
Cost
of home sales
|
6,170
|
5,393
|
23,483
|
24,286
|
||||||||||||
|
Rental
home operating and maintenance
|
3,868
|
4,107
|
16,291
|
15,673
|
||||||||||||
|
General
and administrative - real property
|
4,917
|
3,817
|
17,670
|
16,363
|
||||||||||||
|
General
and administrative - home sales and rentals
|
1,897
|
1,731
|
7,429
|
6,734
|
||||||||||||
|
Georgia
flood damage
|
-
|
-
|
800
|
-
|
||||||||||||
|
Depreciation
and amortization
|
17,051
|
16,330
|
65,011
|
64,427
|
||||||||||||
|
Asset
impairment charge
|
-
|
9,087
|
-
|
9,087
|
||||||||||||
|
Interest
|
15,339
|
15,464
|
59,432
|
60,775
|
||||||||||||
|
Interest
on mandatorily redeemable debt
|
838
|
847
|
3,347
|
3,382
|
||||||||||||
|
Total
expenses
|
67,002
|
72,964
|
261,176
|
265,955
|
||||||||||||
|
Loss
before income taxes and equity loss from affiliates
|
(2,341
|
)
|
(9,961
|
)
|
(4,567
|
)
|
(11,664
|
)
|
||||||||
|
Provision
for state income taxes
|
(31
|
)
|
(302
|
)
|
(413
|
)
|
(336
|
)
|
||||||||
|
Equity
loss from affiliates
|
(832
|
)
|
(2,462
|
)
|
(2,176
|
)
|
(16,498
|
)
|
||||||||
|
Loss
from continuing operations
|
(3,204
|
)
|
(12,725
|
)
|
(7,156
|
)
|
(28,498
|
)
|
||||||||
|
Loss
from discontinued operations
|
(72
|
)
|
(4,326
|
)
|
(227
|
)
|
(5,111
|
)
|
||||||||
|
Net
loss
|
(3,276
|
)
|
(17,051
|
)
|
(7,383
|
)
|
(33,609
|
)
|
||||||||
|
Less:
amounts attributable to noncontrolling interests
|
(391
|
)
|
1,441
|
(1,081
|
)
|
839
|
||||||||||
|
Net
loss attributable to Sun Communities, Inc. common
stockholders
|
$
|
(2,885
|
)
|
$
|
(18,492
|
)
|
$
|
(6,302
|
)
|
$
|
(34,448
|
)
|
||||
|
Amounts
attributable to Sun Communities, Inc. common
stockholders:
|
||||||||||||||||
|
Loss
from continuing operations, net of state income
taxes
|
$
|
(2,821
|
)
|
$
|
(14,009
|
)
|
$
|
(6,099
|
)
|
$
|
(29,209
|
)
|
||||
|
Loss
from discontinued operations, net of state income
taxes
|
(64
|
)
|
(4,483
|
)
|
(203
|
)
|
(5,239
|
)
|
||||||||
|
Loss
attributable to Sun Communities, Inc. common
stockholders
|
$
|
(2,885
|
)
|
$
|
(18,492
|
)
|
$
|
(6,302
|
)
|
$
|
(34,448
|
)
|
||||
|
Weighted
average common shares outstanding:
|
||||||||||||||||
|
Basic
|
18,624
|
18,252
|
18,484
|
18,176
|
||||||||||||
|
Diluted
|
18,624
|
18,252
|
18,484
|
18,176
|
||||||||||||
|
Basic
and diluted loss per share:
|
||||||||||||||||
|
Continuing
operations
|
$
|
(0.15
|
)
|
$
|
(0.77
|
)
|
$
|
(0.33
|
)
|
$
|
(1.61
|
)
|
||||
|
Discontinued
operations
|
-
|
(0.24
|
)
|
(0.01
|
)
|
(0.29
|
)
|
|||||||||
|
Basic
and diluted loss per share
|
$
|
(0.15
|
)
|
$
|
(1.01
|
)
|
$
|
(0.34
|
)
|
$
|
(1.90
|
)
|
||||
|
Cash
dividends per common share:
|
$
|
0.63
|
$
|
0.63
|
$
|
2.52
|
$
|
2.52
|
||||||||
RECONCILIATION
OF NET LOSS TO FUNDS FROM OPERATIONS
|
|
FOR
THE PERIODS ENDED DECEMBER 31, 2009 AND
2008
|
|
|
(In
thousands, except per share data)
|
|
|
(Unaudited)
|
|
Three
Months Ended
|
Twelve
Months Ended
|
|||||||||||||||
|
December
31,
|
December
31,
|
|||||||||||||||
|
2009
|
2008
|
2009
|
2008
|
|||||||||||||
|
Net
loss
|
$
|
(3,276
|
)
|
$
|
(17,051
|
)
|
$
|
(7,383
|
)
|
$
|
(33,609
|
)
|
||||
|
Adjustments:
|
||||||||||||||||
|
Depreciation
and amortization
|
17,524
|
16,962
|
66,888
|
66,892
|
||||||||||||
|
Provision
(benefit) for state income taxes (3)
|
(42
|
)
|
3
|
(97
|
)
|
(402
|
)
|
|||||||||
|
Loss
(gain) on disposition of assets, net
|
501
|
(542
|
)
|
(3,432
|
)
|
(6,380
|
)
|
|||||||||
|
Funds
from operations (FFO) (1)
|
$
|
14,707
|
$
|
(628
|
)
|
$
|
55,976
|
$
|
26,501
|
|||||||
|
Weighted
average Common Shares/OP Units outstanding:
|
||||||||||||||||
|
Basic
|
20,973
|
20,507
|
20,833
|
20,463
|
||||||||||||
|
Diluted
|
20,973
|
20,507
|
20,833
|
20,508
|
||||||||||||
|
FFO
per weighted average Common Share/OP Unit - Basic
|
$
|
0.70
|
$
|
(0.03
|
)
|
$
|
2.69
|
$
|
1.30
|
|||||||
|
FFO
per weighted average Common Share/OP Unit - Diluted
|
$
|
0.70
|
$
|
(0.03
|
)
|
$
|
2.69
|
$
|
1.29
|
|||||||
The table
below adjusts FFO to exclude certain items as detailed below (in thousands,
except for per share/OP unit amounts).
|
Three
Months Ended
|
Twelve
Months Ended
|
|||||||||||||||
|
December
31,
|
December
31,
|
|||||||||||||||
|
2009
|
2008
|
2009
|
2008
|
|||||||||||||
|
Net
loss
|
$
|
(3,276
|
)
|
$
|
(17,051
|
)
|
$
|
(7,383
|
)
|
$
|
(33,609
|
)
|
||||
|
Equity
affiliate adjustment
|
443
|
2,420
|
1,654
|
16,470
|
||||||||||||
|
Asset
impairment charge
|
-
|
13,171
|
-
|
13,171
|
||||||||||||
|
Severance
charges
|
-
|
-
|
-
|
888
|
||||||||||||
|
Georgia
flood damage
|
-
|
-
|
800
|
-
|
||||||||||||
|
Michigan
Single Business Tax provision
|
740
|
-
|
740
|
-
|
||||||||||||
|
Origen
LLC impairment charge
|
322
|
-
|
322
|
-
|
||||||||||||
|
Adjusted
net loss
|
(1,771
|
)
|
(1,460
|
)
|
(3,867
|
)
|
(3,080
|
)
|
||||||||
|
Depreciation
and amortization
|
17,524
|
16,962
|
66,888
|
66,892
|
||||||||||||
|
Provision
(benefit) for state income taxes (3)
|
(42
|
)
|
3
|
(97
|
)
|
(402
|
)
|
|||||||||
|
Loss
(gain) on disposition of assets, net
|
501
|
(542
|
)
|
(3,432
|
)
|
(6,380
|
)
|
|||||||||
|
Adjusted
funds from operations (FFO) (1)
|
$
|
16,212
|
$
|
14,963
|
$
|
59,492
|
$
|
57,030
|
||||||||
|
Adjusted
FFO per weighted average Common Share/OP Unit -
Diluted
|
$
|
0.77
|
$
|
0.73
|
$
|
2.86
|
$
|
2.78
|
||||||||
|
(3)
|
The
tax benefit for the periods ended December 31, 2009 and 2008 represents
the reversal of a tax provision for potential taxes payable on the sale of
company assets related to the enactment of the Michigan Business Tax.
These taxes do not impact Funds from Operations and would be payable from
prospective proceeds of such sales.
|
|
|
SUN
COMMUNITIES, INC.
|
SELECTED
BALANCE SHEET DATA
(In
thousands)
(Unaudited)
|
December
31, 2009
|
December
31, 2008
|
|||||||
|
Investment
property before accumulated depreciation
|
$
|
1,565,700
|
$
|
1,549,339
|
||||
|
Total
assets
|
$
|
1,181,365
|
$
|
1,206,999
|
||||
|
Total
debt and lines of credit
|
$
|
1,253,907
|
$
|
1,229,571
|
||||
|
Total
stockholders' deficit
|
$
|
(111,308
|
)
|
$
|
(59,882
|
)
|
||
SUN
COMMUNITIES, INC.
CONSOLIDATED
STATEMENTS OF COMPREHENSIVE LOSS
FOR
THE PERIODS ENDED DECEMBER 31, 2009 AND 2008
(In
thousands)
(Unaudited)
|
Three
Months Ended
|
Twelve
Months Ended
|
|||||||||||||||
|
December
31,
|
December
31,
|
|||||||||||||||
|
2009
|
2008
|
2009
|
2008
|
|||||||||||||
|
Net
loss
|
$
|
(3,276
|
)
|
$
|
(17,051
|
)
|
$
|
(7,383
|
)
|
$
|
(33,609
|
)
|
||||
|
Unrealized
gain (loss) on interest rate swaps
|
279
|
(1,931
|
)
|
1,111
|
(1,995
|
)
|
||||||||||
|
Total
comprehensive loss
|
(2,997
|
)
|
(18,982
|
)
|
(6,272
|
)
|
(35,604
|
)
|
||||||||
|
Less:
amounts attributable to noncontrolling interests
|
(616
|
)
|
1,493
|
(963
|
)
|
889
|
||||||||||
|
Comprehensive
loss attributable to Sun Communities, Inc. common
stockholders
|
$
|
(2,381
|
)
|
$
|
(20,475
|
)
|
$
|
(5,309
|
)
|
$
|
(36,493
|
)
|
||||
SUN
COMMUNITIES, INC.
ADDITIONAL
INFORMATION
(Unaudited)
SAME PROPERTY
RESULTS
For 136
communities owned throughout both years (amounts in thousands):
|
Three
Months Ended
|
Twelve
Months Ended
|
|||||||||||||||||||||||
|
December
31,
|
December
31,
|
|||||||||||||||||||||||
|
2009
|
2008
|
%
Change
|
2009
|
2008
|
%
Change
|
|||||||||||||||||||
|
Total
revenue
|
$
|
48,018
|
$
|
47,168
|
1.8
|
%
|
$
|
188,423
|
$
|
185,656
|
1.5
|
%
|
||||||||||||
|
Total
expense
|
14,189
|
13,698
|
3.6
|
%
|
57,292
|
55,434
|
3.4
|
%
|
||||||||||||||||
|
Net
operating income(2)
|
$
|
33,829
|
$
|
33,470
|
1.1
|
%
|
$
|
131,131
|
$
|
130,222
|
0.7
|
%
|
||||||||||||
Same
property occupancy and weighted average monthly rent information at December 31,
2009 and 2008:
|
2009
|
2008
|
|||||||
|
Developed
sites
|
47,572
|
47,613
|
||||||
|
Occupied
sites (4)
|
37,935
|
37,711
|
||||||
|
Occupancy
% (4)
|
83.4
|
%
|
83.1
|
%
|
||||
|
Weighted
average monthly rent per site (5)
|
$
|
404
|
$
|
393
|
|
(4)
|
Occupied
sites and occupancy % include manufactured housing and permanent
recreational vehicle sites, and exclude seasonal recreational vehicle
sites.
|
(5) Average
rent relates only to manufactured housing sites, and excludes permanent and
seasonal recreational vehicle sites.
SUN
COMMUNITIES, INC.
ADDITIONAL
INFORMATION, CONTINUED
(Unaudited)
RENTAL PROGRAM
SUMMARY
(In thousands, except for certain items
marked with *)
|
Three
Months Ended
|
Twelve
Months Ended
|
|||||||||||||||
|
December
31,
|
December
31,
|
|||||||||||||||
|
2009
|
2008
|
2009
|
2008
|
|||||||||||||
|
Rental
home revenue
|
$
|
5,014
|
$
|
5,215
|
$
|
20,463
|
$
|
20,533
|
||||||||
|
Site
rent from Rental Program
|
6,838
|
6,259
|
26,699
|
24,537
|
||||||||||||
|
Rental
Program revenue
|
11,852
|
11,474
|
47,162
|
45,070
|
||||||||||||
|
Expenses
|
||||||||||||||||
|
Payroll
and commissions
|
400
|
407
|
2,335
|
2,008
|
||||||||||||
|
Repairs
and refurbishment
|
1,784
|
2,039
|
7,513
|
7,419
|
||||||||||||
|
Taxes
and insurance
|
778
|
708
|
3,101
|
2,802
|
||||||||||||
|
Marketing
and other
|
906
|
953
|
3,342
|
3,444
|
||||||||||||
|
Rental
Program operating and maintenance
|
3,868
|
4,107
|
16,291
|
15,673
|
||||||||||||
|
Net
operating income(2)
|
$
|
7,984
|
$
|
7,367
|
$
|
30,871
|
$
|
29,397
|
||||||||
Occupied
rental homes information as of and for the years ended December 31, 2009 and
2008:
|
Other
Information
|
2009
|
2008
|
%
Change
|
|||||||||
|
Number
of occupied rentals, end of period*
|
5,747
|
5,517
|
4.2
|
%
|
||||||||
|
Investment
in occupied rental homes
|
$
|
181,206
|
$
|
170,521
|
6.3
|
%
|
||||||
|
Number
of sold rental homes*
|
705
|
596
|
18.3
|
%
|
||||||||
|
Weighted
average monthly rental rate*
|
$
|
728
|
$
|
736
|
||||||||