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Equity LifeStyle Properties, Inc.$87.48$.66.76%

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 ELS Reports Fourth Quarter Results
   Monday, January 25, 2016 4:16:01 PM ET

Equity LifeStyle Properties, Inc. (ELS ) (referred to herein as "we," "us," and "our") today announced results for the quarter and year ended December 31, 2015. All per share results are reported on a fully diluted basis unless otherwise noted.

Financial Results for the Quarter Ended December 31, 2015

Normalized Funds from Operations ("Normalized FFO") available for Common Stockholders increased $6.8 million, or $0.08 per Common Share, to $67.6 million, or $0.74 per Common Share, compared to $60.8 million, or $0.66 per Common Share, for the same period in 2014. Funds from Operations ("FFO") available for Common Stockholders increased $6.8 million, or $0.07 per Common Share, to $67.1 million, or $0.73 per Common Share, compared to $60.3 million, or $0.66 per Common Share, for the same period in 2014. Net income available for Common Stockholders increased $5.1 million, or $0.06 per Common Share, to $34.5 million, or $0.41 per Common Share, compared to $29.4 million, or $0.35 per Common Share, for the same period in 2014.



Portfolio Performance

For the quarter ended December 31, 2015, property operating revenues, excluding deferrals, increased $8.7 million to $189.0 million compared to $180.3 million for the same period in 2014. For the year ended December 31, 2015, property operating revenues, excluding deferrals, increased $39.5 million to $774.2 million compared to $734.7 million for the same period in 2014. For the quarter ended December 31, 2015, income from property operations, excluding deferrals and property management, increased $6.8 million to $111.6 million compared to $104.8 million for the same period in 2014. For the year ended December 31, 2015, income from property operations, excluding deferrals and property management, increased $27.4 million to $449.6 million compared to $422.2 million for the same period in 2014.

For the quarter ended December 31, 2015, Core property operating revenues, excluding deferrals, increased approximately 3.9 percent and Core income from property operations, excluding deferrals and property management, increased approximately 5.8 percent compared to the same period in 2014. For the year ended December 31, 2015, Core property operating revenues, excluding deferrals, increased approximately 4.1 percent and Core income from property operations, excluding deferrals and property management, increased approximately 5.5 percent compared to the same period in 2014.

About Equity LifeStyle Properties

We are a self-administered, self-managed real estate investment trust ("REIT") with headquarters in Chicago.

As of January 25, 2016, we own or have an interest in 387 quality properties in 32 states and British Columbia consisting of 143,887 sites.

For additional information, please contact our Investor Relations Department at (800) 247-5279 or at investor_relations@equitylifestyle.com.

Conference Call

A live webcast of our conference call discussing these results will take place tomorrow, Tuesday, January 26, 2016, at 10:00 a.m. Central Time. Please visit the Investor Information section at www.equitylifestyle.com for the link. A replay of the webcast will be available for two weeks at this site.

Reporting Calendar

Quarterly financial results and related earnings conference calls for the next three quarters are expected to occur as follows:

                            Release Date                       Earnings Call
                                         ------------------------                      ---------------------------------------
First Quarter 2016                       Monday, April 18, 2016                        Tuesday, April 19, 2016 10:00 a.m. CT
Second Quarter 2016                      Monday, July 18, 2016                         Tuesday, July 19, 2016 10:00 a.m. CT
Third Quarter 2016                       Monday, October 17, 2016                      Tuesday, October 18, 2016 10:00 a.m. CT

Forward-Looking Statements

In addition to historical information, this press release includes certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. When used, words such as "anticipate," "expect," "believe," "project," "intend," "may be" and "will be" and similar words or phrases, or the negative thereof, unless the context requires otherwise, are intended to identify forward-looking statements and may include, without limitation, information regarding our expectations, goals or intentions regarding the future, and the expected effect of our recent acquisitions. These forward-looking statements are subject to numerous assumptions, risks and uncertainties, including, but not limited to:

-- our ability to control costs, real estate market conditions, the actual rate of decline in customers, the actual use of sites by customers and our success in acquiring new customers at our properties (including those that we may acquire);

-- our ability to maintain historical or increase future rental rates and occupancy with respect to properties currently owned or that we may acquire;

-- our ability to retain and attract customers renewing, upgrading and entering right-to-use contracts;

-- our assumptions about rental and home sales markets;

-- our assumptions and guidance concerning 2016 estimated net income, FFO and Normalized FFO;

-- our ability to manage counterparty risk;

-- in the age-qualified properties, home sales results could be impacted by the ability of potential homebuyers to sell their existing residences as well as by financial, credit and capital markets volatility;

-- results from home sales and occupancy will continue to be impacted by local economic conditions, lack of affordable manufactured home financing and competition from alternative housing options including site-built single-family housing;

-- impact of government intervention to stabilize site-built single-family housing and not manufactured housing;

-- effective integration of recent acquisitions and our estimates regarding the future performance of recent acquisitions;

-- the completion of future transactions in their entirety, if any, and timing and effective integration with respect thereto;

-- unanticipated costs or unforeseen liabilities associated with recent acquisitions;

-- ability to obtain financing or refinance existing debt on favorable terms or at all;

-- the effect of interest rates;

-- the dilutive effects of issuing additional securities;

-- the effect of accounting for the entry of contracts with customers representing a right-to-use the properties under the Codification Topic "Revenue Recognition;"

-- the outcome of pending or future lawsuits filed against us, including those disclosed in our filings with the Securities and Exchange Commission, by tenant groups seeking to limit rent increases and/or seeking large damage awards for our alleged failure to properly maintain certain properties or other tenant related matters, such as the case currently pending in the California Court of Appeal, Sixth Appellate District, Case No. H041913, involving our California Hawaiian manufactured home property, including any further proceedings on appeal or in the trial court; and

-- other risks indicated from time to time in our filings with the Securities and Exchange Commission.

These forward-looking statements are based on management’s present expectations and beliefs about future events. As with any projection or forecast, these statements are inherently susceptible to uncertainty and changes in circumstances. We are under no obligation to, and expressly disclaim any obligation to, update or alter our forward-looking statements whether as a result of such changes, new information, subsequent events or otherwise.

                                                        Investor Information
--------------------------------------------------------------------------------------------------------------------------------
                                                    Equity Research Coverage (1)
-------------------------------------------------------------------------------------------------------------------------------------
Robert W. Baird & Company       BMO Capital Markets             Green Street Advisors
Drew T. Babin                                      Paul Adornato                                      David Bragg/ Ryan Burke
215-553-7816                                       212-885-4170                                       949-640-8780
dbabin@rwbaird.com                                 paul.adornato@bmo.com                              dbragg@greenstreetadvisors.com
                                                                                                      rburke@greenstreetadvisors.com
BB&T Capital Markets                               Cantor Fitzgerald
David J. Toti                                      Gaurav Mehta                                       Wells Fargo Securities
212-419-4620                                       212-915-1221                                       Todd Stender
dtoti@bbandtcm.com                                 gmehta@cantor.com                                  562-637-1371
                                                                                                      todd.stender@wellsfargo.com
Bank of America Merrill Lynch                      Citi Research
Global Research
Jana Galan                                         Michael Bilerman/ Nick Joseph
646-855-3081                                       212-816-1383
jana.galan@baml.com                                michael.bilerman@citi.com
                                                   nicholas.joseph@citi.com

______________________

1.  Any opinions, estimates or forecasts regarding our performance made
    by these analysts or agencies do not represent our opinions,
    forecasts or predictions. We do not by reference to these firms
    imply our endorsement of or concurrence with such information,
    conclusions or recommendations.
 
                                                                                                                Financial Highlights
--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(In millions, except Stock outstanding and per share data,
unaudited)
                                                             
                                                                                                                                                 As of and for the Three Months Ended
                                                                                   December 31,      September 30,     June 30,        March 31,        December 31,
                                                                                       2015                                 2015                               2015                               2015                                  2014
                                                                                 -------------   -------------------- -------------   -------------------- ----------   -------------------- -----------   -------------------- ------------------
Operating Information                                                                                                                              
-----------------------------------------------------------
Total revenues                                                                   $    201.6                           $    210.1                           $   201.5                         $   208.4                          $       190.3
Net income                                                                       $     39.8                           $     42.1                           $    36.8                         $    31.8                          $        34.3
Net income available for Common Stockholders                                     $     34.5                           $     36.7                           $    31.8                         $    27.2                          $        29.4
Normalized EBITDA (1)                                                            $     96.0                           $     99.0                           $    92.9                         $   106.1                          $        91.2
FFO available for Common Stockholders (1)(2)                                     $     67.1                           $     70.3                           $    64.5                         $    59.1                          $        60.3
Normalized FFO available for Common Stockholders (1)(2)                          $     67.6                           $     70.5                           $    64.5                         $    76.5                          $        60.8
Funds available for distribution (FAD) available for Common                      $     57.0                           $     62.5                           $    53.6                         $    69.1                          $        53.2
Stockholders (1)(2)
                                                                                                                                                                                                                                 
Stock Outstanding and Per Share Data
-----------------------------------------------------------
Common stock and OP units, end of the period                                         91,461                               91,505                              91,498                            91,462                                 91,112
Weighted average Common Stock outstanding - fully diluted                            91,875                               91,940                              91,851                            91,777                                 91,644
Net income per Common Share - fully diluted                                      $     0.41                           $     0.43                           $    0.38                         $    0.32                          $        0.35
FFO per Common Share - fully diluted                                             $     0.73                           $     0.77                           $    0.70                         $    0.64                          $        0.66
Normalized FFO per Common Share - fully diluted                                  $     0.74                           $     0.77                           $    0.70                         $    0.83                          $        0.66
FAD per Common Share - fully diluted                                             $     0.62                           $     0.68                           $    0.58                         $    0.75                          $        0.58
Dividends per Common Share                                                       $    0.375                           $    0.375                           $   0.375                         $   0.375                          $       0.325
                                                                                                                                                                                                                                 
Balance Sheet
-----------------------------------------------------------
Total assets                                                                     $    3,420                           $    3,440                           $   3,448                         $   3,469                          $       3,446
Total liabilities                                                                $    2,427                           $    2,450                           $   2,466                         $   2,490                          $       2,467
                                                                                                                                                                                                                                 
Market Capitalization
-----------------------------------------------------------
Total debt                                                                       $    2,146                           $    2,156                           $   2,167                         $   2,212                          $       2,212
Total market capitalization (3)                                                  $    8,380                           $    7,651                           $   7,114                         $   7,374                          $       7,045
                                                                                                                                                                                                                                 
Ratios
-----------------------------------------------------------
Total debt / total market capitalization                                               25.6    %                            28.2    %                           30.5  %                           30.0   %                               31.4      %
Total debt + preferred stock / total market capitalization                             27.2    %                            30.0    %                           32.4  %                           31.8   %                               33.3      %
Total debt / Normalized EBITDA (4)                                                      5.4                                  5.5                                 5.7                               5.8                                    5.9
Interest coverage (5)                                                                   3.9                                  4.0                                 3.7                               4.1                                    3.4
Fixed charges + preferred distributions coverage (6)                                    3.4                                  3.5                                 3.3                               3.6                                    3.0

______________________

1.  See page 17-18 for non-GAAP measure definitions of Normalized
    EBITDA, FFO, Normalized FFO and FAD.
2.  See page 6 for a reconciliation of Net income available for Common
    Stockholders to FFO available for Common Stockholders, Normalized
    FFO available for Common Stockholders and FAD available for Common
    Stockholders.
3.  See page 15 for market capitalization calculation as of December 31,
    2015.
4.  Represents trailing twelve months Normalized EBITDA. We believe
    trailing twelve months Normalized EBITDA provides additional
    information for determining our ability to meet future debt service
    requirements.
5.  Interest coverage is calculated by dividing Normalized EBITDA for
    the period by the interest expense incurred.
6.  See page 18 for a definition of fixed charges. This ratio is
    calculated by dividing Normalized EBITDA for the period by the sum
    of fixed charges and preferred stock dividends.
 
                                            Fourth Quarter 2015 - Selected Financial Data
-------------------------------------------------------------------------------------------------------------------------------
(In millions, except Stock outstanding and per share data,
unaudited)
                                                                                    Quarter Ended
                                                                                                       December 31,
                                                                                                           2015
                                                                                       ------------------------------------------
Income from property operations, excluding deferrals and property                      $                 109.9
management - 2015 Core (1)
Income from property operations, excluding deferrals and property                                          1.7
management - Acquisitions (2)
Property management and general and administrative (excluding                                            (18.7 )
transaction costs)
Other income and expenses                                                                                  3.1
Financing costs and other                                                                                (28.4 )
                                                                                       --------------------------------------------
   Normalized FFO available for Common Stockholders (3)                                                   67.6
Transaction costs                                                                                         (0.5 )
Early debt retirement                                                                           --  
                                                                                       --------------------------------------------
   FFO available for Common Stockholders(3)                                            $                  67.1  
                                                                                       =========== =========== ====================
                                                                                        
Normalized FFO per Common Share - fully diluted                                        $                  0.74
FFO per Common Share - fully diluted                                                   $                  0.73
                                                                                        
                                                                                        
   Normalized FFO available for Common Stockholders (3)                                $                  67.6
Non-revenue producing improvements to real estate                                                        (10.6 )
                                                                                       --------------------------------------------
   FAD available for Common Stockholders (3)                                           $                  57.0  
                                                                                       =========== =========== ====================
                                                                                        
FAD per Common Share - fully diluted                                                   $                  0.62
                                                                                        
Weighted average Common Stock outstanding - fully diluted                                                 91.9

______________________

1.  See page 17-18 for definitions of Income from property operations,
    excluding deferrals and property management, and Core. See page 8
    for details of the 2015 Core Income from Property Operations,
    excluding deferrals and property management.
2.  See page 18 for definition of Acquisition properties. See page 9 for
    details of the Income from Property Operations, excluding deferrals
    and property management for the Acquisition properties.
3.  See page 6 for a reconciliation of Net income available for Common
    Stockholders to FFO available for Common Stockholders, Normalized
    FFO available for Common Stockholders and FAD available for Common
    Stockholders. See definitions of FFO, Normalized FFO and FAD on page
    17 and Non-revenue producing improvements on page 18.
 
                                                                                               Balance Sheet
--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(In thousands, except share and per share data)
                                                                                                  December 31,                             December 31,
                                                                                                                         2015                                                        2014
                                                                                                                                                                    ------------------------------------
                                                                                                                      (unaudited)
                                                                                                        ---------------------------------------                     ------------------------------------
Assets
Investment in real estate:
      Land                                                                                              $       1,101,676                                           $       1,091,550
      Land improvements                                                                                         2,787,882                                                   2,734,304
      Buildings and other depreciable property                                                                    588,041                                  562,059  
                                                                                                        --------------------------------------                      --------------------------------------
                                                                                                                4,477,599                                                   4,387,913
      Accumulated depreciation                                                                                 (1,282,423 )                                                (1,169,492 )
                                                                                                        --------------------------------------                      --------------------------------------
         Net investment in real estate                                                                          3,195,176                                                   3,218,421
Cash                                                                                                               80,258                                                      73,714
Notes receivable, net                                                                                              35,463                                                      37,137
Investment in unconsolidated joint ventures                                                                        17,741                                                      13,512
Deferred financing costs, net                                                                                      23,368                                                      21,833
Deferred commission expense                                                                                        30,865                                                      28,589
Escrow deposits, goodwill, and other assets, net                                                                   37,190                                   53,133  
                                                                                                        --------------------------------------                      --------------------------------------
      Total Assets                                                                                      $       3,420,061                        $       3,446,339  
                                                                                                        ======= ========= ====================                      ======= ========= ====================
Liabilities and Equity
Liabilities:
      Mortgage notes payable                                                                            $       1,945,713                                           $       2,012,246
      Term loan                                                                                                   200,000                                                     200,000
      Unsecured lines of credit                                                                            --                                              --
      Accrued expenses and accounts payable                                                                        76,044                                                      64,520
      Deferred revenue - upfront payments from right-to-use contracts                                 78,405                                                      74,174
      Deferred revenue - right-to-use annual payments                                                  9,878                                                       9,790
      Accrued interest payable                                                                                      8,715                                                       9,496
      Rents and other customer payments received in advance and security                                           74,300                                                      67,463
      deposits
      Distributions payable                                                                                        34,315                                   29,623  
                                                                                                        --------------------------------------                      --------------------------------------
         Total Liabilities                                                                                      2,427,370                                2,467,312  
                                                                                                        --------------------------------------                      --------------------------------------
Equity:
   Stockholders’ Equity:
      Preferred stock, $0.01 par value 9,945,539 shares authorized as of                                   --                                              --
      December 31, 2015 and 9,765,900 shares authorized as of December 31,
      2014; none issued and outstanding. As of December 31, 2014 includes
      179,639 authorized shares 6% Series D Cumulative Preferred stock
      authorized, none issued and outstanding
      6.75% Series C Cumulative Redeemable Perpetual Preferred Stock,                                             136,144                                                     136,144
      $0.01 par value, 54,461 shares authorized and 54,458 issued and
      outstanding as of December 31, 2015 and December 31, 2014 at
      liquidation value
      Common stock, $0.01 par value 200,000,000 shares authorized as of                                               843                                                         838
      December 31, 2015 and December 31, 2014; 84,253,065 and 83,879,779
      shares issued and outstanding as of December 31, 2015 and December
      31, 2014, respectively
      Paid-in capital                                                                                           1,039,139                                                   1,029,601
      Distributions in excess of accumulated earnings                                                            (250,506 )                                                  (254,209 )
      Accumulated other comprehensive loss                                                                           (553 )                                                      (381 )
                                                                                                        --------------------------------------                      --------------------------------------
      Total Stockholders’ Equity                                                       925,067                                                     911,993
      Non-controlling interests - Common OP Units                                                     67,624                                   67,034  
                                                                                                        --------------------------------------                      --------------------------------------
         Total Equity                                                                                             992,691                                  979,027  
                                                                                                        --------------------------------------                      --------------------------------------
         Total Liabilities and Equity                                                                   $       3,420,061                        $       3,446,339  
                                                                                                        ======= ========= ====================                      ======= ========= ====================
 
                                                                                                                                          Consolidated Income Statement
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(In thousands, unaudited)
                                                                                                                    Quarters Ended                                                                                     Years Ended
                                                                                                                                        December 31,                                                                                                        December 31,
                                                                                                               2015                                   2014                                                      2015                                   2014
                                                                                               -------------------------------------                     -------------------------------------                     -------------------------------------                     ------------------------------------
Revenues:
Community base rental income                                                                   $       111,795                                           $       107,372                                           $       442,046                                           $      426,886
Rental home income                                                                                       3,486                                                     3,640                                                    14,012                                                   14,827
Resort base rental income                                                                               41,923                                                    37,780                                                   184,760                                                  163,968
Right-to-use annual payments                                                                            11,183                                                    11,001                                                    44,443                                                   44,860
Right-to-use contracts current period, gross                                                             2,519                                                     3,380                                                    12,783                                                   13,892
Right-to-use contract upfront payments, deferred, net                                                     (302 )                                                  (1,197 )                                                  (4,231 )                                                 (5,501 )
Utility and other income                                                                                18,143                                                    17,138                                                    76,153                                                   70,209
Gross revenues from home sales                                                                           8,809                                                     7,963                                                    33,150                                                   28,418
Brokered resale revenue and ancillary services revenues, net                                               104                                                       359                                                     4,149                                                    3,850
Interest income                                                                                          1,716                                                     1,870                                                     7,030                                                    8,347
Income from other investments, net                                                                       2,240                                    955                                  7,359                                 7,053  
                                                                                               ------------------------------------                      ------------------------------------                      ------------------------------------                      -----------------------------------
   Total revenues                                                                                      201,616                                                   190,261                                                   821,654                                                  776,809
                                                                                                                                                                                                                                                                              
Expenses:
Property operating and maintenance                                                                      60,146                                                    57,896                                                   254,668                                                  243,914
Rental home operating and maintenance                                                                    1,935                                                     2,065                                                     7,167                                                    7,441
Real estate taxes                                                                                       12,793                                                    11,809                                                    50,962                                                   48,714
Sales and marketing, gross                                                                               2,612                                                     3,744                                                    11,751                                                   12,418
Right-to-use contract commissions, deferred, net                                                           (85 )                                                    (595 )                                                  (1,556 )                                                 (2,617 )
Property management                                                                                     10,778                                                    10,469                                                    44,528                                                   42,638
Depreciation on real estate assets and rental homes                                                     28,748                                                    27,830                                                   113,609                                                  111,065
Amortization of in-place leases                                                                            408                                                       208                                                     2,358                                                    3,999
Cost of home sales                                                                                       8,594                                                     7,068                                                    32,279                                                   26,747
Home selling expenses                                                                                      805                                                       632                                                     3,191                                                    2,342
General and administrative (1)                                                                           8,472                                                     7,232                                                    30,644                                                   27,410
Property rights initiatives and other                                                                    1,052                                                       860                                                     2,986                                                    2,923
Early debt retirement                                                                                       (9 )                                          --                                                    16,913                                                    5,087
Interest and related amortization                                                                       26,083                                 28,118                                105,731                               112,295  
                                                                                               ------------------------------------                      ------------------------------------                      ------------------------------------                      -----------------------------------
   Total expenses                                                                                      162,332                                157,336                                675,231                               644,376  
                                                                                               ------------------------------------                      ------------------------------------                      ------------------------------------                      -----------------------------------
      Income before equity in income of unconsolidated joint ventures and                               39,284                                                    32,925                                                   146,423                                                  132,433
      gain on sale of property
   Equity in income of unconsolidated joint ventures                                                       483                                                       809                                                     4,089                                                    4,578
   Gain on sale of property                                                                     --                                    528                         --                                 1,457  
                                                                                               ------------------------------------                      ------------------------------------                      ------------------------------------                      -----------------------------------
Consolidated net income                                                                                 39,767                                 34,262                                150,512                               138,468  
                                                                                               ------------------------------------                      ------------------------------------                      ------------------------------------                      -----------------------------------
                                                                                                                                                                                                                                                                              
Income allocated to non-controlling interest-Common OP Units                                            (2,950 )                                                  (2,534 )                                                 (11,141 )                                                (10,463 )
Series C Redeemable Perpetual Preferred Stock Dividends                                                 (2,316 )                                                  (2,325 )                                                  (9,226 )                              (9,274 )
                                                                                               ------------------------------------                      ------------------------------------                      ------------------------------------ -------------------- -----------------------------------
Net income available for Common Stockholders                                                   $        34,501                        $        29,403                        $       130,145                        $      118,731  
                                                                                               ======= ======= ====================                      ======= ======= ====================                      ======= ======= ====================                      ====== ======= ====================

_________________________________________

1.  Includes transaction costs, see Reconciliation of Net income
    available for Common Stockholders to FFO available for Common
    Stockholders, Normalized FFO available for Common Stockholders and
    FAD available for Common Stockholders on page 6.
 
                                                                                                                                              Reconciliation of Net Income to FFO, Normalized FFO and FAD
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(In thousands, except Stock outstanding and per share data,
unaudited)
 
                                                                                                                  Quarters Ended                                                                                                               Years Ended
                                                                                                                                      December 31,                                                                                                                                  December 31,
                                                                                                       2015                                                2014                                                                   2015                                                2014
                                                                                --------------------------------------------------                     --------------------------------------------------                     --------------------------------------------------                     --------------------------------------------------
   Net income available for Common Stockholders                                 $                     34,501                                           $                     29,403                                           $                    130,145                                           $                    118,731
Income allocated to common OP Units                                                                    2,950                                                                  2,534                                                                 11,141                                                                 10,463
Right-to-use contract upfront payments, deferred, net (1)                                                302                                                                  1,197                                                                  4,231                                                                  5,501
Right-to-use contract commissions, deferred, net (2)                                                     (85 )                                                                 (595 )                                                               (1,556 )                                                               (2,617 )
Depreciation on real estate assets                                                                    26,123                                                                 25,212                                                                102,934                                                                100,159
Depreciation on rental homes                                                                           2,625                                                                  2,618                                                                 10,675                                                                 10,906
Amortization of in-place leases                                                                          408                                                                    208                                                                  2,358                                                                  3,999
Depreciation on unconsolidated joint ventures                                                            282                                                                    214                                                                  1,081                                                                    903
Gain on sale of property                                                                      --                                                (528 )                                                       --                                              (1,457 )
                                                                                -------------------------------------------------                      -------------------------------------------------                      -------------------------------------------------                      -------------------------------------------------
   FFO available for Common Stockholders (3)                    67,106                                              60,263                                             261,009                                             246,588
Change in fair value of contingent consideration asset (4)                                    --                                                         --                                                         --                                                                    (65 )
Transaction costs (5)                                                                                    527                                                                    496                                                                  1,130                                                                  1,647
Early debt retirement                                                                                     (9 )                                                       --                                              16,913                                               5,087  
                                                                                -------------------------------------------------                      -------------------------------------------------                      -------------------------------------------------                      -------------------------------------------------
   Normalized FFO available for Common Stockholders (3)                                               67,624                                                                 60,759                                                                279,052                                                                253,257
Non-revenue producing improvements to real estate                                                    (10,584 )                                                               (7,591 )                                                              (36,780 )                                                              (24,877 )
                                                                                -------------------------------------------------                      -------------------------------------------------                      -------------------------------------------------                      -------------------------------------------------
   FAD available for Common Stockholders (3)                                    $                     57,040                        $                     53,168                        $                    242,272                        $                    228,380  
                                                                                ==================== ======= ====================                      ==================== ======= ====================                      ==================== ======= ====================                      ==================== ======= ====================
                                                                                                                                                                                                                                                                                                      
Net income available per Common Share - Basic                                   $                       0.41                                           $                       0.35                                           $                       1.55                                           $                       1.42
Net income available per Common Share - Fully Diluted                           $                       0.41                                           $                       0.35                                           $                       1.54                                           $                       1.41
                                                                                                                                                                                                                                                                                                      
FFO per Common Share - Basic                                                    $                       0.74                                           $                       0.66                                           $                       2.86                                           $                       2.72
FFO per Common Share - Fully Diluted                                            $                       0.73                                           $                       0.66                                           $                       2.84                                           $                       2.69
                                                                                                                                                                                                                                                                                                      
Normalized FFO per Common Share - Basic                                         $                       0.74                                           $                       0.67                                           $                       3.06                                           $                       2.79
Normalized FFO per Common Share - Fully Diluted                                 $                       0.74                                           $                       0.66                                           $                       3.04                                           $                       2.77
                                                                                                                                                                                                                                                                                                      
FAD per Common Share - Basic                                                    $                       0.62                                           $                       0.59                                           $                       2.66                                           $                       2.52
FAD per Common Share - Fully Diluted                                            $                       0.62                                           $                       0.58                                           $                       2.64                                           $                       2.50
                                                                                                                                                                                                                                                                                                      
Average Common Stock - Basic                                                                          84,072                                                                 83,562                                                                 84,031                                                                 83,362
Average Common Stock and OP Units - Basic                                                             91,280                                                                 90,794                                                                 91,247                                                                 90,773
Average Common Stock and OP Units - Fully Diluted                                                     91,875                                                                 91,644                                                                 91,907                                                                 91,511

______________________________

1.  We are required by GAAP to defer, over the estimated customer life,
    recognition of non-refundable upfront payments from sales of new and
    upgrade right-to-use contracts. For 2015, the customer life was
    estimated to be 31 years and was based upon our experience operating
    the membership platform since 2008. The amount shown represents the
    deferral of a substantial portion of current period upgrade sales,
    offset by amortization of prior period sales.
2.  We are required by GAAP to defer recognition of commissions paid
    related to the entry of right-to-use contracts. The deferred
    commissions will be amortized using the same method as used for the
    related non-refundable upfront payments from the entry of
    right-to-use contracts and upgrade sales. The amount shown
    represents the deferral of a substantial portion of current period
    commissions on those contracts, offset by the amortization of prior
    period commissions.
3.  See page 17 for non-GAAP measure definitions of FFO, Normalized FFO
    and FAD and page 18 for the definition of Non-revenue producing
    improvements.
4.  Included in Income from other investments, net on the Consolidated
    Income Statement on page 5.
5.  Included in general and administrative on the Consolidated Income
    Statement on page 5.
 
                                                                                                                   Consolidated Income from Property Operations (1)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(In millions, except home site and occupancy figures, unaudited)
 
                                                                                                      Quarters Ended                                                                           Years Ended
                                                                                                                          December 31,                                                                                              December 31,
                                                                                                    2015                             2014                                                2015                               2014
                                                                                       -------------------------------                     -------------------------------                     -------------------------------                     -----------------------------------
Community base rental income (2)                                                       $   111.8                                           $   107.4                                           $   442.0                                           $       426.9
Rental home income                                                                           3.5                                                 3.6                                                14.0                                                    14.8
Resort base rental income (3)                                                               41.9                                                37.8                                               184.8                                                   164.0
Right-to-use annual payments                                                                11.2                                                11.0                                                44.4                                                    44.9
Right-to-use contracts current period, gross                                                 2.5                                                 3.4                                                12.8                                                    13.9
Utility and other income                                                                    18.1                             17.1                             76.2                                 70.2  
                                                                                       ------------------------------                      ------------------------------                      ------------------------------                      ----------------------------------
   Property operating revenues                                                             189.0                                               180.3                                               774.2                                                   734.7
                                                                                                                                                                                                                                                    
Property operating, maintenance and real estate taxes                                       72.9                                                69.7                                               305.6                                                   292.7
Rental home operating and maintenance                                                        1.9                                                 2.1                                                 7.2                                                     7.4
Sales and marketing, gross                                                                   2.6                              3.7                             11.8                                 12.4  
                                                                                       ------------------------------                      ------------------------------                      ------------------------------                      ----------------------------------
   Property operating expenses                                                              77.4                             75.5                            324.6                                312.5  
                                                                                       ------------------------------                      ------------------------------                      ------------------------------                      ----------------------------------
Income from property operations, excluding deferrals and property                      $   111.6                        $   104.8                        $   449.6                        $       422.2  
management (1)
                                                                                       === ===== ====================                      === ===== ====================                      === ===== ====================                      ====== ====== ====================
                                                                                                                                                                                                                                                    
Manufactured home site figures and occupancy averages:
Total sites                                                                               70,115                                              69,959                                              70,113                                                  69,951
Occupied sites                                                                            65,032                                              64,444                                              64,832                                                  64,384
Occupancy %                                                                                 92.8                    %                           92.1                    %                           92.5                    %                               92.0                    %
Monthly base rent per site                                                             $     573                                           $     555                                           $     568                                           $         553
                                                                                                                                                                                                                                                    
Resort base rental income:
Annual                                                                                 $    29.8                                           $    27.3                                           $   115.4                                           $       104.0
Seasonal                                                                                     6.4                                                 5.7                                                29.0                                                    25.1
Transient                                                                                    5.7                              4.8                             40.4                                 34.9  
                                                                                       ------------------------------                      ------------------------------                      ------------------------------                      ----------------------------------
   Total resort base rental income                                                     $    41.9                        $    37.8                        $   184.8                        $       164.0  
                                                                                       === ===== ====================                      === ===== ====================                      === ===== ====================                      ====== ====== ====================

_________________________

1.  See page 5 for the Consolidated Income Statement and page 17-18 for
    a definition and reconciliation of Income from property operations,
    excluding deferrals and property management.
2.  See the manufactured home site figures and occupancy averages below
    within this table.
3.  See resort base rental income detail included below within this
    table.
 
                                                                                                                                                                          2015 Core Income from Property Operations (1)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(In millions, except home site and occupancy figures, unaudited)
 
                                                                                                       Quarters Ended                                                                                                            Years Ended                                     
                                                                                                                           December 31,                                                                          %                                                                       December 31,                                                                          %
                                                                                                     2015                              2014                                               Change(2)                                             2015                             2014                                                Change(2)
                                                                                       -----------------------------                        -----------------------------                        -----------------------------                        ----------------------------                        ----------------------------                        --------------------------------
Community base rental income (3)                                                          $ 111.7                                              $ 107.4                                             4.0    %                                             $ 441.6                                             $ 426.9                                              3.5      %
Rental home income                                                                            3.5                                                  3.6                                            (4.2   )%                                                14.0                                                14.8                                             (5.5     )%
Resort base rental income (4)                                                                38.9                                                 36.2                                             7.3    %                                               172.5                                               159.9                                              7.9      %
Right-to-use annual payments                                                                 11.2                                                 11.0                                             1.6    %                                                44.4                                                44.9                                             (0.9     )%
Right-to-use contracts current period, gross                                                  2.5                                                  3.4                                           (25.5   )%                                                12.8                                                13.9                                             (8.0     )%
Utility and other income                                                                     17.8                              17.1                          4.7    %                             75.1                             70.0                           7.3      %  
                                                                                       -------------------------------                      -------------------------------                      ----- ---- --------------------                      ------------------------------                      ------------------------------                      ------ ------ --------------------
   Property operating revenues                                                              185.6                                                178.7                                             3.9    %                                               760.4                                               730.4                                              4.1      %
                                                                                                                                                                                                                                                                                                                                                               
Property operating, maintenance and real estate taxes                                        71.2                                                 69.0                                             3.1    %                                               298.7                                               290.6                                              2.8      %
Rental home operating and maintenance                                                         1.9                                                  2.1                                            (6.3   )%                                                 7.2                                                 7.4                                             (3.7     )%
Sales and marketing, gross                                                                    2.6                               3.7                        (30.3   )%                             11.7                             12.4                          (5.4     )%  
                                                                                       -------------------------------                      -------------------------------                      ----- ---- --------------------                      ------------------------------                      ------------------------------                      ------ ------ --------------------
   Property operating expenses                                                               75.7                              74.8                          1.2    %                            317.6                            310.4                           2.3      %  
                                                                                       -------------------------------                      -------------------------------                      ----- ---- --------------------                      ------------------------------                      ------------------------------                      ------ ------ --------------------
Income from property operations, excluding deferrals and property                         $ 109.9                           $ 103.9                          5.8    %                                             $ 442.8                          $ 420.0                           5.5      %
management (1)
                                                                                       ==== ===== ====================                      ==== ===== ====================                                                                           === ===== ====================                      === ===== ====================
Occupied sites (5)                                                                         65,014                                               64,541
                                                                                                                                                                                                                                                                                                                                                               
Core manufactured home site figures and occupancy averages:
Total sites                                                                                69,837                                               69,831                                                                                                   69,847                                              69,823
Occupied sites                                                                             64,903                                               64,444                                                                                                   64,709                                              64,384
Occupancy %                                                                                  92.9                    %                            92.3                    %                                                                                92.6                    %                           92.2                    %
Monthly base rent per site                                                                $   574                                              $   555                                                                                                  $   569                                             $   553
                                                                                                                                                                                                                                                                                                                                                               
Resort base rental income:
Annual                                                                                    $  27.5                                              $  25.9                                             6.1    %                                             $ 106.4                                             $ 100.5                                              5.9      %
Seasonal                                                                                      6.0                                                  5.6                                             6.6    %                                                27.4                                                24.9                                              9.9      %
Transient                                                                                     5.4                               4.7                         14.8    %                             38.7                             34.5                          12.2      %  
                                                                                       -------------------------------                      -------------------------------                      ----- ---- --------------------                      ------------------------------                      ------------------------------                      ------ ------ --------------------
   Total resort base rental income                                                        $  38.9                           $  36.2                          7.3    %                                             $ 172.5                          $ 159.9                           7.9      %
                                                                                       ==== ===== ====================                      ==== ===== ====================                                                                           === ===== ====================                      === ===== ====================

____________________________

1.  See page 17-18 for definitions of Income from property operations,
    excluding deferrals and property management, and Core.
2.  Calculations prepared using actual results without rounding.
3.  See the Core manufactured home site figures and occupancy averages
    included below within this table.
4.  See resort base rental income detail included below within this
    table.
5.  Occupied sites as of the end of the period shown. Occupied sites
    have increased by 473 from 64,541 at December 31, 2014.
 
                                                Acquisitions - Income from Property Operations (1)
-------------------------------------------------------------------------------------------------------------------------------------------
(In millions, unaudited)
                                                                      Quarter Ended         Year Ended
                                                                                         December 31,                            December 31,
                                                                                             2015                                    2015
                                                                                       --------------                       --------------------
Community base rental income                                                           $           0.1                      $                 0.4
Resort base rental income                                                                          3.1                                       12.3
Utility income and other property income                                                           0.3                                        1.1
                                                                                       ----------------                     ----------------------
   Property operating revenues                                                                     3.5                                       13.8
                                                                                                                             
   Property operating expenses                                                                     1.8                                        7.0
                                                                                       ----------------                     ----------------------
Income from property operations, excluding deferrals and property                      $           1.7                      $                 6.8
management
                                                                                       ======= =======                      ========== ==========

______________________

1.  See page 18 for definition of Acquisition properties.
                                                                                                                                                                              
                                                                                                                                                 Income from Rental Home Operations
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(In millions, except occupied rentals, unaudited)
                                                                                                                                                                                                                                                                                                                
                                                                                                                              Quarters Ended                                                                                                                           Years Ended
                                                                                                                               December 31,                                                                                                                           December 31,
                                                                                                 2015                                              2014                                                                 2015                                           2014
                                                                           ------------------------------------------------                     ------------------------------------------------                     ------------------------------------------------                     ------------------------------------------
Manufactured homes:
New home                                                                                      $   5.9                                                              $   5.5                                                              $  22.8                                                              $                 22.7
Used home                                                                      6.6                            7.7                           27.8                                          31.4
                                                                           -------------------- ----- --------------------                      -------------------- ----- --------------------                      -------------------- ----- --------------------                      -------------------- --------------------
   Rental operations revenues (1)                                             12.5                                              13.2                                              50.6                                                             54.1
Rental operations expense                                                      1.9                            2.1                            7.2                                           7.4
                                                                           -------------------- ----- --------------------                      -------------------- ----- --------------------                      -------------------- ----- --------------------                      -------------------- --------------------
   Income from rental operations, before depreciation                         10.6                                              11.1                                              43.4                                                             46.7
Depreciation on rental homes                                                   2.6                            2.6                           10.7                                          10.9
                                                                           -------------------- ----- --------------------                      -------------------- ----- --------------------                      -------------------- ----- --------------------                      -------------------- --------------------
   Income from rental operations, after depreciation                                          $   8.0                                           $   8.5                                           $  32.7                                           $                 35.8
                                                                           ==================== ===== ====================                      ==================== ===== ====================                      ==================== ===== ====================                      ==================== ====================
                                                                                                                                                                                                                                                                                                                
Occupied rentals: (2)
New                                                                          2,170                                             2,020
Used                                                                         2,797                          3,223  
                                                                           -------------------- ----- --------------------                      -------------------- ----- --------------------
                                                                             4,967                          5,243  
   Total occupied rental sites
                                                                           ==================== ===== ====================                      ==================== ===== ====================
                                                                                                                                                                                                                                                                                                                
                                                                                                                                                                                                     As of
                                                                                                                             December 31, 2015                                                                                                                      December 31, 2014
Cost basis in rental homes: (3)                                                                  Gross                                                               Net of                                                                Gross                                                            Net of
                                                                                                                                                                  Depreciation                                                                                                                           Depreciation
                                                                           ---------------------------------------------                        ---------------------------------------------                        ---------------------------------------------                        ----------------------------------------
New                                                                                           $ 111.8                                           $  89.7                                                              $ 107.7                                                              $                 90.1
Used                                                                          57.4                           36.1                           63.3                                          48.0
                                                                           -------------------- ----- --------------------                      -------------------- ----- --------------------                      -------------------- ----- --------------------                      -------------------- --------------------
                                                                                              $ 169.2                                           $ 125.8                                           $ 171.0                                           $                138.1
   Total rental homes
                                                                           ==================== ===== ====================                      ==================== ===== ====================                      ==================== ===== ====================                      ==================== ====================

____________________________

1.  For the quarters ended December 31, 2015 and 2014, approximately
    $9.0 million and $9.5 million, respectively, are included in the
    Community base rental income in the Consolidated Income from
    Property Operations table on page 7. For the years ended December
    31, 2015 and 2014, approximately $36.6 million and $39.3 million,
    respectively, are included in the Community base rental income in
    the Consolidated Income from Property Operations table on page 7.
    The remainder of the rental operations revenue is included in the
    Rental home income in the Consolidated Income from Property
    Operations table on page 7.
2.  Occupied rentals as of the end of the period shown in our Core
    portfolio. For the years ended December 31, 2015 and 2014, includes
    100 and 33 homes rented through our ECHO joint venture,
    respectively. For the years ended December 31, 2015 and 2014, the
    rental home investment associated with our ECHO joint venture totals
    approximately $3.4 million and $1.1 million.
3.  Includes both occupied and unoccupied rental homes. New home cost
    basis does not include the costs associated with our ECHO joint
    venture. At December 31, 2015 and 2014, our investment in the ECHO
    joint venture was approximately $10.4 million and $6.3 million,
    respectively.
                                                                                       
                                                                                Total Sites and Home Sales
--------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(In thousands, except sites and home sale volumes, unaudited)
                                                                                                                                                                     
Summary of Total Sites as of December 31, 2015
                                                                                                                                                                             Sites
                                                                                                                                                                    --------------------
Community sites                                                                                                                                                                    70,100
Resort sites:
                                                                                                                                                                                   25,800
   Annuals
                                                                                                                                                                                   10,400
   Seasonal
                                                                                                                                                                                   10,400
   Transient
Membership (1)                                                                                                                                                                     24,100
Joint Ventures (2)                                                                                                                                                                  3,100
                                                                                                                                                                    --------------------
Total                                                                                                                                                                             143,900
                                                                                                                                                                    ====================
                                                                                                                                                                     
                                                                                                                                                                     
Home Sales - Select Data
                                                                                 Quarters Ended                                                          Years Ended
                                                                                  December 31,                                                          December 31,
                                                                      2015                            2014                             2015                                  2014
                                                                   -----------                     -----------                     ------------                     ----------------------
Total New Home Sales Volume (3)                                          127                              99                              479                                         336
   New Home Sales Volume - ECHO joint venture                             38                              42                              178                                         136
New Home Sales Gross Revenues(3)                                     $ 5,488                         $ 3,813                         $ 17,674                                $     13,584
                                                                                                                                                                     
Used Home Sales Volume                                                   315                             382                            1,489                                       1,526
Used Home Sales Gross Revenues                                       $ 3,321                         $ 4,150                         $ 15,476                                $     14,834
                                                                                                                                                                     
Brokered Home Resales Volume                                             216                             216                              884                                         936
Brokered Home Resale Revenues, net                                   $   328                         $   306                         $  1,269                                $      1,222

__________________________

1.  Sites primarily utilized by approximately 102,400 members. Includes
    approximately 5,500 sites rented on an annual basis.
2.  Joint venture income is included in the Equity in income from
    unconsolidated joint ventures in the Consolidated Income Statement
    on page 5.
3.  Total new home sales volume includes home sales from our ECHO joint
    venture. New home sales gross revenues does not include the revenues
    associated with our ECHO joint venture.
                                                                                                               
                                                                        2016 Guidance - Selected Financial Data (1)
----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                       
Our guidance acknowledges the existence of volatile economic
conditions, which may impact our current guidance assumptions.
Factors impacting 2016 guidance include, but are not limited to
the following: (i) the mix of site usage within the portfolio;
(ii) yield management on our short-term resort sites; (iii)
scheduled or implemented rate increases on community and resort
sites; (iv) scheduled or implemented rate increases in annual
payments under right-to-use contracts; (v) occupancy changes; (vi)
our ability to retain and attract customers renewing or entering
right-to-use contracts; (vii) our ability to integrate and operate
recent acquisitions in accordance with our estimates; (viii)
completion of pending transactions in their entirety and on
assumed schedule; and (ix) ongoing legal matters and related fees.
                                                                                                                                                       
(In millions, except per share data, unaudited)
                                                                                                                                                       
                                                                                                        Quarter Ended                                              Year Ended
                                                                                                       March 31, 2016                        December 31, 2016
                                                                                            --------------------------------------------------------- -------------------------------------
Income from property operations, excluding deferrals and property                                 $   124.2                                                 $   467.2
management - 2016 Core (2)
Income from property operations - Acquisitions (3)                                                      0.7                                                       1.6
Property management and general and administrative                                                    (19.2 )                                                   (77.2 )
Other income and expenses                                                                               4.7                                                      14.6
Financing costs and other                                                                             (28.0 )                               (111.6 )
                                                                                            ------------------------------------ -------------------- ------------------------------------
Normalized FFO and FFO available for Common Stockholders (4)                                           82.4                                                     294.6
   Depreciation on real estate and other                                                              (26.6 )                                                  (105.8 )
   Depreciation on rental homes                                                                        (2.6 )                                                   (10.5 )
   Deferral of right-to-use contract sales revenue and commission, net                                 (0.5 )                                                    (2.7 )
   Income allocated to non-controlling interest-Common OP Units                                        (4.2 )                                (13.8 )
                                                                                            ------------------------------------ -------------------- ------------------------------------
Net income available for Common Stockholders                                                      $    48.5           $   161.8  
                                                                                            ======= ======= ==================== ==================== ======= ======= ====================
                                                                                                                                                       
Normalized FFO per Common Share - fully diluted                                                                    $0.87 - $0.93                                             $3.15 - $3.25
FFO per Common Share - fully diluted                                                                               $0.87 - $0.93                                             $3.15 - $3.25
Net income per Common Share - fully diluted (5)                                                                    $0.54 - $0.60                                             $1.86 - $1.96
                                                                                                                                                       
Weighted average Common Stock outstanding - fully diluted                                              92.0                                                      92.1

_____________________________________

1.  Each line item represents the mid-point of a range of possible
    outcomes and reflects management’s estimate of the most likely
    outcome. Actual Normalized FFO available for Common Stockholders,
    Normalized FFO per Common Share, FFO available for Common
    Stockholders, FFO per Common Share, Net income available for Common
    Stockholders and Net income per Common Share could vary materially
    from amounts presented above if any of our assumptions are incorrect.
2.  See page 13 for 2016 Core Guidance Assumptions. Amount represents
    2015 income from property operations, excluding deferrals and
    property management, from the 2016 Core properties of $119.3 million
    multiplied by an estimated growth rate of 4.1% and $448.8 million
    multiplied by an estimated growth rate of 4.1% for the quarter ended
    March 31, 2016 and the year ended December 31, 2016, respectively.
3.  See page 13 for the 2016 Assumptions regarding the Acquisition
    properties.
4.  See page 17 for definitions of Normalized FFO and FFO.
5.  Net income per fully diluted Common Share is calculated before
    Income allocated to non-controlling interest-Common OP Units.
                                                                                                                                                    
                                                                                                          2016 Core Guidance Assumptions (1)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(In millions, unaudited)
                                                                                                                                                                                                                                  
                                                                                                                                               First
                                                                                                   Quarter                                    Quarter
                                                                                                    Ended                                      2016                                    Year Ended                                        2016
                                                                                                  March 31,                                   Growth                                  December 31,                                      Growth
                                                                                                    2015                                    Factors (2)                                   2015                                        Factors (2)
                                                                                       ----------------------------                        ----------                       -----------------------------                        -------------------
Community base rental income                                                             $ 109.2                                             3.8     %                         $ 441.6                                                  3.5         %
Rental home income                                                                           3.6                                            (5.7    )%                            14.0                                                 (7.1        )%
Resort base rental income (3)                                                               51.5                                             5.6     %                           183.4                                                  4.9         %
Right-to-use annual payments                                                                11.0                                             0.4     %                            44.4                                                  0.1         %
Right-to-use contracts current period, gross                                                 2.8                                            (7.2    )%                            12.8                                                  1.9         %
Utility and other income                                                                    19.0                          2.2     %                            76.0                               0.1         %
                                                                                       ------------------------------                      ----- -----                      -------------------------------                      ---------- ---------
   Property operating revenues                                                             197.1                                             3.6     %                           772.2                                                  3.1         %
                                                                                                                                                                                                                                  
Property operating, maintenance, and real estate taxes                                      73.6                                             3.1     %                           304.5                                                  1.6         %
Rental home operating and maintenance                                                        1.7                                            (9.4    )%                             7.2                                                 (6.7        )%
Sales and marketing, gross                                                                   2.5                          3.4     %                            11.7                               6.8         %
                                                                                       ------------------------------                      ----- -----                      -------------------------------                      ---------- ---------
   Property operating expenses                                                              77.8                          2.8     %                           323.4                               1.6         %
                                                                                       ------------------------------                      ----- -----                      -------------------------------                      ---------- ---------
Income from property operations, excluding deferrals and property                        $ 119.3                          4.1     %                         $ 448.8                               4.1         %
management
                                                                                       === ===== ====================                                                       ==== ===== ====================
                                                                                                                                                                                                                                  
Resort base rental income:
Annual                                                                                   $  27.8                                             5.7     %                         $ 114.6                                                  5.7         %
Seasonal                                                                                    15.0                                             5.0     %                            28.7                                                  4.0         %
Transient                                                                                    8.7                          6.4     %                            40.1                               3.5         %
                                                                                       ------------------------------                      ----- -----                      -------------------------------                      ---------- ---------
   Total resort base rental income                                                       $  51.5                          5.6     %                         $ 183.4                               4.9         %
                                                                                       === ===== ====================                                                       ==== ===== ====================
                                                                                                                      
                                                                    2016 Assumptions Regarding Acquisition Properties (1)
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(In millions, unaudited)
                                                                                                                                                              
                                                                                                         Quarter Ended                                                  Year Ended
                                                                                                      March 31, 2016 (4)                                           December 31, 2016 (4)
                                                                                       ----------------------------------------------                        ------------------------------
Community base rental income                                                                              $    0.1                                                              $        0.5
Resort base rental income                                                                                      1.0                                                                       2.4
Utility income and other property income                                                    0.1                                 0.4
                                                                                       -------------------- ------ --------------------                      -------------------- ----------
   Property operating revenues                                                                                 1.2                                                                       3.3
                                                                                                                                                              
Property operating, maintenance, and real estate taxes                                      0.5                                 1.7
                                                                                       -------------------- ------ --------------------                      -------------------- ----------
   Property operating expenses                                                              0.5                                 1.7
                                                                                       -------------------- ------ --------------------                      -------------------- ----------
Income from property operations, excluding deferrals and property                                         $    0.7                                           $        1.6
management
                                                                                       ==================== ====== ====================                      ==================== ==========

_______________________________

1.  Refer to page 18 for definition of Core and Acquisition properties.
2.  Management’s estimate of the growth of property operations in the
    2016 Core Properties compared to actual 2015 performance. Represents
    our estimate of the mid-point of a range of possible outcomes.
    Calculations prepared using actual results without rounding. Actual
    growth could vary materially from amounts presented above if any of
    our assumptions are incorrect.
3.  See Resort base rental income table included below within this table.
4.  Each line item represents our estimate of the mid-point of a
    possible range of outcomes and reflects management’s best estimate
    of the most likely outcome for the Acquisition properties. Actual
    income from property operations for the Acquisition properties could
    vary materially from amounts presented above if any of our
    assumptions are incorrect.
                                                     
                                                                                              Right-To-Use Memberships - Select Data
---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(In thousands, except member count, number of Thousand Trail
Camping Pass, number of annuals and number of upgrades, unaudited)
                                                                          
                                                                                                                                           Year Ended December 31,
                                                                             2012          2013          2014          2015             2016 (1)
                                                                         ------------                     ------------                     ------------                     ------------                     ----------------------
Member Count (2)                                                             96,687                           98,277                           96,130                          102,413                                     105,300
Thousand Trails Camping Pass (TTC) Origination (3)                           10,198                           15,607                           18,187                           25,544                                      27,700
   TTC Sales                                                                  8,909                            9,289                           10,014                           11,877                                      13,800
   RV Dealer TTC Activations                                                  1,289                            6,318                            8,173                           13,667                                      13,900
Number of annuals (4)                                                         4,280                            4,830                            5,142                            5,470                                       5,750
Number of upgrade sales (5)                                                   3,069                            2,999                            2,978                            2,687                                       2,600
                                                                                                                                                                                                              
Right-to-use annual payments (6)                                           $ 47,662                         $ 47,967                         $ 44,860                         $ 44,441                                $     44,500
Resort base rental income from annuals                                     $  9,585                         $ 11,148                         $ 12,491                         $ 13,821                                $     15,300
Resort base rental income from seasonals/transients                        $ 11,042                         $ 12,692                         $ 13,894                         $ 15,795                                $     16,400
Upgrade contract initiations (7)                                           $ 14,025                         $ 13,815                         $ 13,892                         $ 12,783                                $     13,000
Utility and other income                                                   $  2,407                         $  2,293                         $  2,455                         $  2,430                                $      2,700

________________________________

1.  Guidance estimate. Each line item represents our estimate of the
    mid-point of a possible range of outcomes and reflects management’s
    best estimate of the most likely outcome. Actual figures could vary
    materially from amounts presented above if any of our assumptions
    are incorrect.
2.  Members have entered into right-to-use contracts with us that
    entitle them to use certain properties on a continuous basis for up
    to 21 days.
3.  TTCs allow access to any of five geographic areas in the United
    States.
4.  Members who rent a specific site for an entire year in connection
    with their right-to-use contract.
5.  Existing customers that have upgraded agreements are eligible for
    longer stays, can make earlier reservations, may receive discounts
    on rental units, and may have access to additional properties.
    Upgrades require a non-refundable upfront payment.
6.  The years ended December 31, 2012 and December 31, 2013, include
    $0.1 million and $2.1 million, respectively, of revenue recognized
    related to our right-to-use annual memberships activated through our
    dealer program. During the third quarter of 2013, we changed the
    accounting treatment of revenues and expenses associated with the RV
    dealer program to recognize as revenue only the cash received from
    members generated by the program.
7.  Revenues associated with contract upgrades, included in Right-to-use
    contracts current period, gross, on our Consolidated Income
    Statement on page 5.
                                                                                                                                                                                     
                                                                                                                                           Market Capitalization
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(In millions, except share and OP Unit data, unaudited)
                                                                                                                                                                                                                                                                                      
Capital Structure as of December 31, 2015
                                         
                                                                           Total                     % of Total                     Total               % of Total     % of Total
                                                                          Common                                          Common                                                                                                                     Market
                                                                        Stock/Units                                     Stock/Units                                                                                                              Capitalization
                                                             ------------------------------   -------------------- -------------------  -------------------- ----------------------------   -------------------- ---------  -------------------- -------------
                                                                                                                                                                                                                                                                                      
Secured Debt                                                                                                                                                   $ 1,946                                            90.7    %
Unsecured Debt                                                                                                                                                     200                          9.3    %
                                                                                                                                                             ------------------------------                      ----- ----
Total Debt                                                                                                                                                     $ 2,146                                           100.0    %                         25.6      %
                                                                                                                                                                                                                                                                                      
Common Stock                                                  84,253,065                                                 92.1         %
OP Units                                                       7,207,678                               7.9         %
                                                             --------------------------------                      ---------- ---------
Total Common Stock and OP Units                               91,460,743                                                100.0         %
Common Stock price at December 31, 2015                          $ 66.67
Fair Value of Common Stock                                                                                                                                     $ 6,098                                            97.8    %
Perpetual Preferred Equity                                                                                                                                         136                          2.2    %
                                                                                                                                                             ------------------------------                      ----- ----
Total Equity                                                                                                                                                   $ 6,234                                           100.0    %                         74.4      %
                                                                                                                                                                                                                                                                                      
Total Market Capitalization                                                                                                                                    $ 8,380                                                                             100.0      %
                                                                                                                                                                                                                                                                                      
Perpetual Preferred Equity as of December 31, 2015
                                                                                                                                                                                                                                                                                      
                 Series                               Callable                             Outstanding            Liquidation      Annual               Annual
                                                                           Date                                                                                           Stock                                     Value                         Dividend Per                              Dividend
                                                                                                                                                                                                                                                      Share                                   Value
--------------------------------------- -------------------- ------------------------------   -------------------- -------------------  -------------------- ----------------------------   -------------------- ---------  -------------------- -------------  -------------------- --------------------
  6.75% Series C                                                         9/7/2017                                                                                        54,458                                     $136                             $168.75                                  $        9.2
 
                                                                                                                                                                                                 Debt Maturity Schedule
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Debt Maturity Schedule as of December 31, 2015
(In thousands, unaudited)
 
                                                                                                                                                                                                                                                             
           Year                                                Secured                        Weighted                          Unsecured                                 Weighted                              Total Debt                    % of Total            Weighted       
                                                                Debt                                              Average                                               Debt                                                        Average                                                                                                     Debt                                   Average
                                                                                                                 Interest                                                                                                          Interest                                                                                                                                           Interest
                                                                                                                   Rate                                                                                                              Rate                                                                                                                                               Rate
-------------------------                      ------------------------------------   -------------------- ------------------  -------------------- -----------------------------------------   -------------------- ----------------------------------  -------------------- ------------------------------------   -------------------- ---------------  -------------------- ------------------  --------------------
           2016                                      $    80,264                                                     5.79    %                            $ --                                           --                                                 $    80,264                                                     3.76 %                                5.79    %
           2017                                           57,909                                                     5.80    %                              --                                           --                                                      57,909                                                     2.71 %                                5.80    %
           2018                                          203,128                                                     5.97    %                              --                                           --                                                     203,128                                                     9.51 %                                5.97    %
           2019                                          204,828                                                     6.27    %                              --                                           --                                                     204,828                                                     9.59 %                                6.27    %
           2020                                          124,104                                                     6.13    %                                     200,000                                                     2.39                    %                                324,104                                                    15.17 %                                3.82    %
           2021                                          193,481                                                     5.01    %                              --                                           --                                                     193,481                                                     9.05 %                                5.01    %
           2022                                          153,915                                                     4.59    %                              --                                           --                                                     153,915                                                     7.20 %                                4.59    %
           2023                                          113,819                                                     5.14    %                              --                                           --                                                     113,819                                                     5.33 %                                5.14    %
           2024                                   --                                           --    %                              --                                           --                                              --                                           -- %                      --    %
        Thereafter                                       805,419                                  4.18    %                              --                        --                                  805,419                                 37.69 %                                4.18    %  
                                               --------------------------------------                      -------------- ----                      -------------------------------------------                      -------------- --------------------                      --------------------------------------                      -------------- -                      -------------- ---- --------------------
           Total                                     $ 1,936,867                                                     5.00    %                            $        200,000                                                     2.39                    %                            $ 2,136,867                                                    100.0 %                                4.75    %
                                                                                                                                                                                                                                                                                                                                                                                                     
       Note Premiums                                       8,846                                                                         --                                                                                             8,846  
                                               --------------------------------------                                                               -------------------------------------------                                                                               --------------------------------------
                                                                                                                                                                                                                                                                                                                                                                                                     
        Total Debt                                   $ 1,945,713                                  4.75    %                  (1)       $        200,000                                  2.39                    %                            $ 2,145,713                                                                        4.53    %                  (1)
                                               ======= ========= ====================                                                               ======= ============== ====================                                                                               ======= ========= ====================
                                                                                                                                                                                                                                                                                                                                                                                                     
 Average Years to Maturity                                      10.9                                                                                                     4.1                                                                                                                   10.3
                                               =======================================                                                              ============================================                                                                              =======================================

______________________

1.  Effective interest rate including amortization of note premiums.
    

Non-GAAP Financial Measures Definitions and Other Terms

This document contains certain non-GAAP measures we believe are helpful in understanding our business, as further discussed in the paragraphs below. Investors should review Funds from Operations ("FFO"), Normalized Funds from Operations ("Normalized FFO") and Funds available for distribution ("FAD"), along with GAAP net income and cash flow from operating activities, investing activities and financing activities, when evaluating an equity REIT’s operating performance. We compute FFO in accordance with our interpretation of standards established by the National Association of Real Estate Investment Trusts ("NAREIT"), which may not be comparable to FFO reported by other REITs that do not define the term in accordance with the current NAREIT definition or that interpret the current NAREIT definition differently than we do. Normalized FFO presented herein is not necessarily comparable to normalized FFO presented by other real estate companies due to the fact that not all real estate companies use the same methodology for computing this amount. FFO, Normalized FFO and FAD do not represent cash generated from operating activities in accordance with GAAP, nor do they represent cash available to pay distributions and should not be considered as an alternative to net income, determined in accordance with GAAP, as an indication of our financial performance, or to cash flow from operating activities, determined in accordance with GAAP, as a measure of our liquidity, nor is it indicative of funds available to fund our cash needs, including our ability to make cash distributions.

FFO. We define FFO as net income, computed in accordance with GAAP, excluding gains and actual or estimated losses from sales of properties, plus real estate related depreciation and amortization, impairments, if any, and after adjustments for unconsolidated partnerships and joint ventures. Adjustments for unconsolidated partnerships and joint ventures are calculated to reflect FFO on the same basis. We receive up-front non-refundable payments from the entry of right-to-use contracts. In accordance with GAAP, the upfront non-refundable payments and related commissions are deferred and amortized over the estimated customer life. Although the NAREIT definition of FFO does not address the treatment of non-refundable right-to-use payments, we believe that it is appropriate to adjust for the impact of the deferral activity in our calculation of FFO.

We believe FFO, as defined by NAREIT, is generally an appropriate measure of performance for an equity REIT. While FFO is a relevant and widely used measure of operating performance for equity REITs, it does not represent cash flow from operations or net income as defined by GAAP, and it should not be considered as an alternative to these indicators in evaluating liquidity or operating performance.

Normalized FFO. We define Normalized FFO as FFO excluding the following non-operating income and expense items: a) the financial impact of contingent consideration; b) gains and losses from early debt extinguishment, including prepayment penalties and defeasance costs; c) property acquisition and other transaction costs related to mergers and acquisitions; and d) other miscellaneous non-comparable items.

We believe that FFO and Normalized FFO are helpful to investors as supplemental measures of the performance of an equity REIT. We believe that by excluding the effect of depreciation, amortization, impairments, if any, and actual or estimated gains or losses from sales of real estate, all of which are based on historical costs and which may be of limited relevance in evaluating current performance, FFO can facilitate comparisons of operating performance between periods and among other equity REITs. We further believe that Normalized FFO provides useful information to investors, analysts and our management because it allows them to compare our operating performance to the operating performance of other real estate companies and between periods on a consistent basis without having to account for differences not related to our operations. For example, we believe that excluding the early extinguishment of debt, property acquisition and other transaction costs related to mergers and acquisitions and the change in fair value of our contingent consideration asset from Normalized FFO allows investors, analysts and our management to assess the sustainability of operating performance in future periods because these costs do not affect the future operations of the properties. In some cases, we provide information about identified non-cash components of FFO and Normalized FFO because it allows investors, analysts and our management to assess the impact of those items.

FAD. We define FAD as Normalized FFO less non-revenue producing capital expenditures.

Income from Property Operations, excluding deferrals and property management. We define Income from property operations, excluding deferrals and property management as rental income, utility income and right-to-use income less property and maintenance expenses, real estate tax, sales and marketing expenses, property management and the GAAP deferral of right-to-use contract upfront payments and related commissions, net. We believe that this non-GAAP financial measure is helpful to investors and analysts as a direct measure of the actual operating results of our manufactured home and RV properties.

The following table reconciles Income before equity in income of unconsolidated joint ventures and gain on sale of property to Income from property operations (amounts in thousands):

                                                                                                                              Quarters Ended                                                                                                               Years Ended
                                                                                                                                                  December 31,                                                                                                                                  December 31,
                                                                                                                   2015                                                2014                                                                   2015                                                2014
                                                                                            --------------------------------------------------                     --------------------------------------------------                     --------------------------------------------------                     --------------------------------------------------
Income before equity in income of unconsolidated joint ventures and                                            $  39,284                                                              $  32,925                                                              $ 146,423                                                              $ 132,433
gain on sale of property
   Right-to-use upfront payments, deferred, net                                                                      302                                                                  1,197                                                                  4,231                                                                  5,501
   Gross revenues from home sales                                                                                 (8,809 )                                                               (7,963 )                                                              (33,150 )                                                              (28,418 )
   Brokered resale revenues and ancillary services revenues, net                                                    (104 )                                                                 (359 )                                                               (4,149 )                                                               (3,850 )
   Interest income                                                                                                (1,716 )                                                               (1,870 )                                                               (7,030 )                                                               (8,347 )
   Income from other investments, net                                                                             (2,240 )                                                                 (955 )                                                               (7,359 )                                                               (7,053 )
   Right-to-use contract commissions, deferred, net                                                                  (85 )                                                                 (595 )                                                               (1,556 )                                                               (2,617 )
   Property management                                                                                            10,778                                                                 10,469                                                                 44,528                                                                 42,638
   Depreciation on real estate and rental homes                                                                   28,748                                                                 27,830                                                                113,609                                                                111,065
   Amortization of in-place leases                                                                                   408                                                                    208                                                                  2,358                                                                  3,999
   Cost of homes sales                                                                                             8,594                                                                  7,068                                                                 32,279                                                                 26,747
   Home selling expenses                                                                                             805                                                                    632                                                                  3,191                                                                  2,342
   General and administrative                                                                                      8,472                                                                  7,232                                                                 30,644                                                                 27,410
   Property rights initiatives and other                                                                           1,052                                                                    860                                                                  2,986                                                                  2,923
   Early debt retirement                                                                                              (9 )                                                       --                                                                 16,913                                                                  5,087
   Interest and related amortization                                                                              26,083                                              28,118                                             105,731                                             112,295  
                                                                                            -------------------------------------------------                      -------------------------------------------------                      -------------------------------------------------                      -------------------------------------------------
Income from property operations, excluding deferrals and property                             111,563                                             104,797                                             449,649                                             422,155
management
   Right-to-use contracts, deferred and sales and marketing, deferred,                                              (217 )                                                                 (602 )                                                               (2,675 )                                                               (2,884 )
   net
   Property management                                                                                           (10,778 )                                                              (10,469 )                                                              (44,528 )                                                              (42,638 )
                                                                                            -------------------------------------------------                      -------------------------------------------------                      -------------------------------------------------                      -------------------------------------------------
Income from property operations                                                                                $ 100,568                                           $  93,726                                           $ 402,446                                           $ 376,633  
                                                                                            ==================== ======= ====================                      ==================== ======= ====================                      ==================== ======= ====================                      ==================== ======= ====================
                                                                                                                                                                                                                                                                                                                                               

Earnings before interest, tax, depreciation and amortization (EBITDA) and Normalized EBITDA. We define EBITDA as net income or loss before interest income and expense, income taxes, depreciation and amortization. We define Normalized EBITDA as EBITDA excluding the following non-operating income and expense items: a) the financial impact of contingent consideration; b) gains and losses from early debt extinguishment, including prepayment penalties and defeasance costs; c) property acquisition and other transaction costs related to mergers and acquisitions; d) impairments, if any; and e) other miscellaneous non-comparable items . The following table reconciles Income before equity in income of unconsolidated joint ventures to EBITDA and Normalized EBITDA (amounts in thousands):

                                                                                                              Quarters Ended                                                                                   Years Ended
                                                                                                                                  December 31,                                                                                                      December 31,
                                                                                                         2015                                   2014                                                      2015                                 2014
                                                                                         -------------------------------------                     -------------------------------------                     -------------------------------------                     ---------------------------------
Income before equity in income of unconsolidated joint ventures and                            $  39,284                                                 $  32,925                                                 $ 146,423                                             $ 132,433
gain on sale of property
   Right-to-use contract upfront payments, deferred, net                                             302                                                     1,197                                                     4,231                                                 5,501
   Right-to-use contract commissions, deferred, net                                                  (85 )                                                    (595 )                                                  (1,556 )                                              (2,617 )
   Depreciation on real estate assets and rental homes                                            28,748                                                    27,830                                                   113,609                                               111,065
   Amortization of in-place leases                                                                   408                                                       208                                                     2,358                                                 3,999
   Depreciation on corporate assets                                                                  276                                                       241                                                     1,089                                                   890
   Interest and related amortization                                                              26,083                                                    28,118                                                   105,731                                               112,295
   Equity in income from unconsolidated joint ventures                                               483                                    809                                  4,089                              4,578  
                                                                                         ------------------------------------                      ------------------------------------                      ------------------------------------                      --------------------------------
EBITDA                                                                                         $  95,499                                                 $  90,733                                                 $ 375,974                                             $ 368,144
   Change in fair value of contingent consideration asset                                 --                                            --                                            --                                                   (65 )
   Transaction costs                                                                                 527                                                       496                                                     1,130                                                 1,647
   Early debt retirement                                                                              (9 )                                          --                                 16,913                              5,087  
                                                                                         ------------------------------------                      ------------------------------------                      ------------------------------------                      --------------------------------
Normalized EBITDA                                                                              $  96,017                              $  91,229                              $ 394,017                          $ 374,813  
                                                                                         ======= ======= ====================                      ======= ======= ====================                      ======= ======= ====================                      === ======= ====================
                                                                                                                                                                                                                                                                                    

Core. The Core properties include properties we owned and operated during all of 2014 and 2015.

Acquisitions. The Acquisition properties include seven properties acquired during 2014 and three properties acquired during 2015.

Non-Revenue Producing Improvements. Represents capital expenditures that will not directly result in increased revenue or expense savings and are primarily comprised of common area improvements, furniture, and mechanical improvements.

Fixed Charges. Fixed charges consist of interest expense, amortization of note premiums and debt issuance costs.

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SOURCE: Equity LifeStyle Properties, Inc.

Equity LifeStyle Properties, Inc. 
Paul Seavey, 800-247-5279


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