Group 1 - Sun Communities, Inc. (NYSE:SUI) is recognized as one of the best housing stocks to buy according to hedge funds, with Morgan Stanley analyst Adam Kramer raising the price target from $135 to $139 while maintaining an "Equal Weight" rating [1] - The Q2 2025 earnings season for manufactured housing REITs was mixed, prompting the analyst to adjust estimates and targets based on discussions with companies and private operator checks [1] - The company completed the sale of Safe Harbor Marinas in Q2 2025, positioning itself as a pure-play owner and operator of manufactured housing and RV communities, supported by a healthy balance sheet [1] Group 2 - The initial closing of the Safe Harbor Sale generated approximately $5.25 billion in pre-tax cash proceeds, net of transaction costs, along with a book gain on sale of $1.4 billion [2] - Sun Communities plans to utilize the net cash proceeds from the Safe Harbor Sale for debt reduction, shareholder distributions, share repurchases, and reinvestment in its core portfolio [2]

Core Viewpoint - Sun Communities Inc. is a real estate investment trust focused on manufactured housing and recreational vehicle communities, with upcoming Q3 2025 earnings expected to show a decline in EPS and revenue compared to the previous year [2][7]. Financial Performance - The company is set to report Q3 2025 earnings on November 5, with analysts predicting an EPS of $1.56, down from $2.34 in the same quarter last year [2]. - Quarterly revenue is anticipated to be $717.58 million, a decrease from $939.90 million year-over-year [2]. - In Q2 2025, the company reported FFO of $1.76, exceeding the consensus estimate of $1.68, and revenues of $623.50 million, surpassing the consensus of $602.15 million [7]. Historical Investment Performance - If an investor had purchased $10,000 worth of Sun Communities stock 10 years ago at approximately $63.48 per share, the investment would have grown to $20,501 based solely on stock price appreciation, with current shares trading at $130.14 [3]. - Over the past decade, the company has paid about $38.22 in dividends per share, resulting in an additional $6,021 from dividends alone [4]. - The total return on a $10,000 investment over 10 years would be $26,522, equating to a total return of 165.22%, which is significantly lower than the S&P 500's total return of 296% during the same period [5]. Future Outlook - Analysts have a consensus rating of "Neutral" for Sun Communities, with a price target of $139.41, indicating a potential downside of over 7% from the current stock price [7]. - The CEO highlighted the company's strong second-quarter results and the strategic repositioning of Sun as a pure-play owner and operator of manufactured housing and RV communities, enhancing financial flexibility and shareholder value [8].

Core Viewpoint - SUI Group Holdings Limited has completed a $2 million stock repurchase program and announced a new program to repurchase up to $50 million of its common stock [1] Group 1 - The company is the only publicly traded entity with an official relationship with the Sui Foundation [1] - The completion of the previous stock repurchase program indicates the company's commitment to returning value to shareholders [1] - The newly authorized stock repurchase program reflects the company's confidence in its financial position and future prospects [1]

🔥 LATEST: Nasdaq-listed SUI Group Holdings (formerly Mill City Ventures) has purchased another 20,000,000 $SUI, bringing its total to 101,795,656 $SUI.SUI GRoup Holding currently hold $344M worth of SUI in its treasury. https://t.co/rwKIIqFfum ...

NEWS: Nasdaq-listed SUI Group Holdings has acquired 19,923,862 $SUI, boosting its treasury to 101,795,656 $SUI, valued at ~$337M. https://t.co/mp392aoXDO ...

Group 1 - The Company declared a quarterly distribution of $1.04 per share of common stock for Q3 2025, payable on October 15, 2025, to shareholders of record on September 30, 2025 [1] - As of June 30, 2025, the Company owned, operated, or had an interest in a portfolio of 501 developed properties, comprising approximately 174,450 developed sites across the United States, Canada, and the United Kingdom [2]

Nasdaq-listed SUI Group Holdings (formerly Mill City Ventures) announced it now holds 101,795,656 SUI tokens, valued at approximately $344 million after acquiring an additional 20 million tokens. The company has an agreement with the Sui Foundation to purchase locked SUI at a discount and retains about $58 million in cash for future acquisitions. https://t.co/WzulRL356z ...

Group 1 - The article emphasizes that manufactured housing (MH) is considered one of the best real estate asset classes for long-term investment due to the stronger tenant relationships stemming from ownership of the underlying property [2] Group 2 - The focus of iREIT+HOYA Capital is on income-producing asset classes that provide sustainable portfolio income, diversification, and inflation hedging [1]

Group 1: Company Overview - Sun Communities is a leading player in mobile home parks and RV resorts, expected to benefit from the growing older population, providing a lower-cost living option [3] - Agree Realty focuses on single-tenant net-lease retail properties, with a portfolio of approximately 2,400 properties, indicating significant room for growth through acquisitions [5] Group 2: Dividend Comparison - Agree Realty offers a higher dividend yield of 4.2% compared to Sun Communities' yield of just under 3.4%, making it more attractive for income-focused investors [6] - Sun Communities has increased its dividend annually for nine consecutive years, while Agree Realty has a longer history of dividend increases since 2012, despite a switch to monthly payments [7] - Over the past decade, Sun Communities' dividend has grown at an annualized rate of roughly 4%, while Agree's has grown at approximately 5%, indicating a stronger growth rate for Agree [8] Group 3: Future Growth Potential - The net-lease retail property niche presents a larger opportunity set compared to the mobile home park sector, as it is generally easier to build retail properties than to get new mobile home parks approved [9] - Agree Realty's growth strategy is primarily driven by acquisitions, positioning it for robust long-term growth compared to Sun Communities [10]

PART I – FINANCIAL INFORMATION [Consolidated Financial Statements](index=4&type=section&id=Item%201.%20Consolidated%20Financial%20Statements) The unaudited financial statements reflect a strategic shift following the sale of Safe Harbor Marinas, now classified as a discontinued operation [Consolidated Balance Sheets](index=4&type=section&id=Consolidated%20Balance%20Sheets) The balance sheet reflects a significant cash influx and debt reduction following the reclassification of marina assets for sale Consolidated Balance Sheet Highlights (in millions) | Account | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | **Total Assets** | **$13,362.1** | **$16,549.4** | **($3,187.3)** | | Cash, cash equivalents and restricted cash | $1,463.1 | $57.1 | +$1,406.0 | | Assets held for sale and discontinued operations, net | $121.1 | $4,461.7 | ($4,340.6) | | **Total Liabilities** | **$5,570.0** | **$9,096.8** | **($3,526.8)** | | Unsecured debt | $1,785.3 | $4,089.4 | ($2,304.1) | | Mortgage loans payable | $2,451.6 | $3,212.2 | ($760.6) | | **Total Shareholders' Equity** | **$7,534.2** | **$7,192.8** | **+$341.4** | [Consolidated Statements of Operations](index=5&type=section&id=Consolidated%20Statements%20of%20Operations) A net loss from continuing operations was offset by substantial income from the discontinued Safe Harbor Marinas sale, resulting in high net income Q2 2025 vs. Q2 2024 Statement of Operations (in millions) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Total Revenues | $623.5 | $596.3 | | Asset impairments | $166.1 | $10.6 | | Loss on extinguishment of debt | $102.4 | $— | | Net (Loss) / Income from Continuing Operations | ($92.2) | $32.7 | | Income from discontinued operations, net | $1,422.5 | $25.7 | | **Net Income** | **$1,330.3** | **$58.4** | | **Diluted EPS** | **$10.02** | **$0.42** | [Consolidated Statements of Cash Flows](index=9&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Investing activities generated a significant inflow from the Safe Harbor sale, funding large-scale debt repayments and shareholder returns Six Months Ended June 30 Cash Flow Summary (in millions) | Cash Flow Activity | 2025 | 2024 | | :--- | :--- | :--- | | **Net Cash Provided By Operating Activities** | **$499.9** | **$553.8** | | *Continuing Operations* | *$409.6* | *$404.2* | | *Discontinued Operations* | *$90.3* | *$149.6* | | **Net Cash Provided By / (Used For) Investing Activities** | **$5,316.5** | **($319.9)** | | *Continuing Operations* | *($44.8)* | *($187.0)* | | *Discontinued Operations* | *$5,361.3* | *($132.9)* | | **Net Cash Used For Financing Activities** | **($4,415.2)** | **($172.1)** | | *Continuing Operations* | *$1,039.1* | *($163.9)* | | *Discontinued Operations* | *($5,454.3)* | *($8.2)* | | **Net change in cash** | **$1,403.3** | **$61.5** | [Notes to Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) The notes detail the ~$5.65 billion Safe Harbor sale, subsequent debt reduction, capital returns, and significant asset impairments - The company agreed to sell Safe Harbor Marinas for **~$5.65 billion**, with an initial closing generating **~$5.25 billion** in pre-tax cash and a **$1.4 billion gain**; the business is now a discontinued operation[28](index=28&type=chunk)[32](index=32&type=chunk) - In Q2 2025, proceeds were used to repay **~$3.3 billion in debt**, including senior notes and mortgage loans, resulting in a **$102.4 million loss on debt extinguishment**[66](index=66&type=chunk)[70](index=70&type=chunk)[75](index=75&type=chunk) - The Board authorized a **$1.0 billion stock repurchase program**, buying back **1.6 million shares for $202.8 million**, and paid a **$4.00 per share special dividend** totaling $521.3 million[85](index=85&type=chunk)[86](index=86&type=chunk)[96](index=96&type=chunk) - Asset impairment charges of **$166.1 million** were recorded in Q2 2025, including **$132.7 million** for UK properties and **$32.2 million** for US/Canada RV properties due to strategic changes[151](index=151&type=chunk)[152](index=152&type=chunk) - Subsequent to the quarter, the company repurchased an additional **$97.4 million** of its stock and appointed Charles D. Young as the new CEO[179](index=179&type=chunk)[180](index=180&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=47&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses its strategic pivot post-divestiture, focusing on debt reduction, shareholder returns, and operational performance [Results of Operations](index=50&type=section&id=Results%20of%20Operations) Same Property NOI grew in the MH and UK segments but declined in the RV segment, while North American home sales and Core FFO per share decreased Same Property Real Property NOI Growth (Q2 2025 vs. Q2 2024) | Segment | NOI Change | Key Drivers | | :--- | :--- | :--- | | **North America MH** | **+7.7%** | 6.9% revenue growth, driven by a 5.3% increase in monthly base rent. | | **North America RV** | **-1.1%** | 6.7% decrease in transient revenue. | | **UK** | **+10.2%** | 9.5% revenue growth, driven by an 18.3% increase in transient revenue and a 5.3% rent increase. | FFO & Core FFO per Share (Q2 2025 vs. Q2 2024) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | FFO per Share | $1.36 | $1.79 | | Core FFO per Share | $1.76 | $1.86 | - North American home sales NOI **decreased by 48.5%** in Q2 2025, driven by a **23.0% decrease** in homes sold and a **6.8% decrease** in average selling price[222](index=222&type=chunk)[223](index=223&type=chunk) - UK home sales NOI **decreased by 5.7%** in Q2 2025, as a **7.2% decrease** in NOI margin offset volume and price increases[222](index=222&type=chunk)[225](index=225&type=chunk) [Liquidity and Capital Resources](index=61&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity was significantly enhanced by the Safe Harbor sale proceeds, enabling substantial debt repayment, shareholder returns, and strategic reinvestment - The initial closing of the Safe Harbor Sale generated **$5.25 billion in pre-tax cash**, significantly improving the company's leverage and financial flexibility[248](index=248&type=chunk) - A capital allocation plan used proceeds for **~$3.3 billion in debt repayment**, a **$521.3 million special dividend**, a **$1.0 billion stock buyback program**, and strategic reinvestments[251](index=251&type=chunk)[253](index=253&type=chunk) - As of June 30, 2025, the company holds **$889.8 million in unrestricted cash**, has **$3.05 billion available** on its credit facility, and **100% of its debt is fixed-rate**[286](index=286&type=chunk)[271](index=271&type=chunk) Stock Repurchase Activity (Q2 2025) | Metric | Value | | :--- | :--- | | Shares Repurchased | 1.6 million | | Total Cost | $202.8 million | | Remaining Authorization | $797.2 million | [Quantitative and Qualitative Disclosures about Market Risk](index=70&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) Market risk is now primarily from foreign currency and capital markets, as interest rate risk is minimal with 100% fixed-rate debt - Interest rate risk has been significantly mitigated, as **100% of outstanding debt carried a fixed interest rate** as of June 30, 2025[298](index=298&type=chunk) - The company is exposed to foreign currency risk; a hypothetical **10% strengthening of the U.S. dollar** would have reduced total shareholder's equity by **$101.9 million**[300](index=300&type=chunk) - Capital market risk remains as the company, a REIT, relies on debt and equity markets to finance its business and growth[301](index=301&type=chunk) [Controls and Procedures](index=71&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls were not effective due to a previously identified material weakness in its risk assessment process - The principal executive and financial officers concluded that **disclosure controls and procedures were not effective** as of June 30, 2025[304](index=304&type=chunk) - The ineffectiveness is due to a **material weakness** identified as of December 31, 2024, related to an ineffective risk assessment process[306](index=306&type=chunk) - A remediation plan is underway but has not operated long enough to be deemed effective[307](index=307&type=chunk)[308](index=308&type=chunk) PART II – OTHER INFORMATION [Legal Proceedings](index=72&type=section&id=Item%201.%20Legal%20Proceedings) The company is a defendant in a class action lawsuit alleging federal antitrust violations related to manufactured home lot rents - The company is a defendant in a consolidated class action complaint, In re Manufactured Home Lot Rents Antitrust Litigation, alleging **violations of federal antitrust laws**[156](index=156&type=chunk)[311](index=311&type=chunk) - Plaintiffs allege the sharing of information to maintain **artificially high site rents**; the company believes the allegations are without merit[156](index=156&type=chunk)[157](index=157&type=chunk) [Risk Factors](index=72&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the 2024 Annual Report and Q1 2025 Quarterly Report - There have been **no material changes** to the risk factors described in the 2024 Annual Report and the Q1 2025 Form 10-Q[313](index=313&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=73&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company converted OP units into common stock and repurchased over 1.6 million shares for $202.8 million under its new buyback program - During Q2 2025, various series of OP units were converted into a total of **64,723 shares of common stock** in private placements[316](index=316&type=chunk) Common Stock Repurchases (Q2 2025) | Period | Shares Purchased | Average Price Paid | Program | Remaining Authorization | | :--- | :--- | :--- | :--- | :--- | | May 2025 | 373,733 | N/A | Publicly Announced | $954.7M | | June 2025 | 1,261,334 | N/A | Publicly Announced | $797.2M | | **Total Q2** | **1,635,067** | **$114.69 (blended)** | **Publicly Announced** | **$797.2M** | [Other Information](index=74&type=section&id=Item%205.%20Other%20Information) New legislation was signed into law that permanently extends certain favorable tax provisions for REITs and their investors - The 'One Big Beautiful Bill Act' (OBBBA) was signed into law on July 4, 2025, making **significant changes to U.S. federal income tax laws**[320](index=320&type=chunk) - Key changes include the **permanent extension of the 20% deduction for 'qualified REIT dividends'** and an increased asset test limit for taxable REIT subsidiaries[320](index=320&type=chunk) [Exhibits and Signatures](index=75&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including required officer certifications and XBRL data files - Lists all exhibits filed with the report, including **officer certifications (31.1, 31.2, 32.1) and XBRL data files**[322](index=322&type=chunk)