10-Q

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2019.

or

☐ TRANSITION PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission file number 1-12616

SUN COMMUNITIES INC.

(Exact Name of Registrant as Specified in its Charter)

Maryland				38-2730780
(State of Incorporation)				(I.R.S. Employer Identification No.)
27777 Franklin Rd,	Suite 200,	Southfield,	Michigan	48034
(Address of Principal Executive Offices)				(Zip Code)

(248) 208-2500

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, $0.01 par value	SUI	New York Stock Exchange

Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.   Yes ☒  No ☐

Indicate by check mark whether the registrant has submitted electronically, if any, every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).  Yes ☒  No ☐

Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. (Check one):

Large accelerated filer	Accelerated filer	Non-accelerated filer	Smaller reporting company	Emerging growth company
☒	☐	☐	☐	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to section to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐  No ☒

Number of shares of Common Stock, $0.01 par value per share, outstanding as of July 18, 2019:   90,670,873

INDEX

PART I – FINANCIAL INFORMATION
Item 1.	Consolidated Financial Statements:
	Consolidated Balance Sheets as of June 30, 2019 (Unaudited) and December 31, 2018	1
	Consolidated Statements of Operations for the Three and Six Months Ended June 30, 2019 and 2018 (Unaudited)	2
	Consolidated Statements of Comprehensive Income for the Three and Six Months Ended June 30, 2019 and 2018 (Unaudited)	3
	Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2019 and 2018 (Unaudited)	4
	Consolidated Statement of Equity (Unaudited)	5
	Notes to Consolidated Financial Statements	6
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	30
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	45
Item 4.	Controls and Procedures	45
PART II – OTHER INFORMATION
Item 1.	Legal Proceedings	46
Item 1A.	Risk Factors	46
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	46
Item 6.	Exhibits	47
	Signatures	48

SUN COMMUNITIES, INC.

PART I

ITEM 1.  CONSOLIDATED FINANCIAL STATEMENTS

CONSOLIDATED BALANCE SHEETS

(In thousands, except per share amounts)

	(Unaudited)
	June 30, 2019			December 31, 2018
ASSETS
Land	$	1,286,952		$	1,201,945
Land improvements and buildings	6,026,193			5,586,250
Rental homes and improvements	599,150			571,661
Furniture, fixtures and equipment	215,610			201,090
Investment property	8,127,905			7,560,946
Accumulated depreciation	(1,560,061		)	(1,442,630		)
Investment property, net (including 324,931 and 308,171 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	6,567,844			6,118,316
Cash and cash equivalents	28,704			50,311
Marketable securities	53,553			49,037
Inventory of manufactured homes	55,869			49,199
Notes and other receivables, net	164,303			160,077
Collateralized receivables, net	97,658			106,924
Other assets, net (including 23,167 and 19,809 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	254,153			176,162
TOTAL ASSETS	$	7,222,084		$	6,710,026
LIABILITIES
Mortgage loans payable (including 43,661 and 44,172 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	$	2,863,485		$	2,815,957
Secured borrowings on collateralized receivables	98,299			107,731
Preferred Equity - Sun NG RV Resorts LLC - mandatorily redeemable (fully attributable to consolidated VIEs; See Note 8)	35,249			35,277
Preferred OP units - mandatorily redeemable	34,663			37,338
Lines of credit	76,079			128,000
Distributions payable	69,719			63,249
Advanced reservation deposits and rent	160,527			133,698
Other liabilities (including 32,461 and 6,914 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	204,167			157,862
TOTAL LIABILITIES	3,542,188			3,479,112
Commitments and contingencies (see Note 17)
Series A-4 preferred stock, $0.01 par value. Issued and outstanding: 1,052 shares at June 30, 2019 and 1,063 shares at December 31, 2018	31,402			31,739
Series A-4 preferred OP units	9,590			9,877
Series D preferred OP units	51,462			—
Equity Interests - NG Sun LLC (fully attributable to consolidated VIEs; See Note 8)	22,099			21,976
STOCKHOLDERS' EQUITY
Common stock, $0.01 par value. Authorized: 180,000 shares; Issued and outstanding: 90,667 shares at June 30, 2019 and 86,357 shares at December 31, 2018	907			864
Additional paid-in capital	4,851,323			4,398,949
Accumulated other comprehensive loss	(1,184		)	(4,504		)
Distributions in excess of accumulated earnings	(1,343,792		)	(1,288,486		)
Total Sun Communities, Inc. stockholders' equity	3,507,254			3,106,823
Noncontrolling interests
Common and preferred OP units	50,880			53,354
Consolidated variable interest entities	7,209			7,145
Total noncontrolling interests	58,089			60,499
TOTAL STOCKHOLDERS' EQUITY	3,565,343			3,167,322
TOTAL LIABILITIES, TEMPORARY EQUITY AND STOCKHOLDERS' EQUITY	$	7,222,084		$	6,710,026

See accompanying Notes to Consolidated Financial Statements.

1

SUN COMMUNITIES, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except per share amounts) (Unaudited)

	Three Months Ended						Six Months Ended
	June 30, 2019			June 30, 2018			June 30, 2019			June 30, 2018
REVENUES
Income from real property	$	226,099		$	198,670		$	442,878		$	395,881
Revenue from home sales	47,242			41,217			86,860			76,117
Rental home revenue	14,412			13,348			28,383			26,368
Ancillary revenue	17,265			12,031			25,747			18,599
Interest income	4,919			5,277			9,719			10,593
Brokerage commissions and other revenues, net	2,508			891			6,188			1,851
Total revenues	312,445			271,434			599,775			529,409
EXPENSES
Property operating and maintenance	65,888			58,691			123,797			110,321
Real estate taxes	15,726			14,076			31,056			27,912
Cost of home sales	34,435			30,932			63,712			57,503
Rental home operating and maintenance	5,091			5,315			9,879			10,542
Ancillary expenses	12,480			8,241			19,581			13,624
Home selling expenses	3,626			3,986			6,950			7,276
General and administrative	23,697			21,452			45,584			41,209
Catastrophic weather related charges, net	179			53			961			(2,160		)
Depreciation and amortization	76,153			67,773			152,709			134,210
Loss on extinguishment of debt	70			1,522			723			1,718
Interest expense	33,661			32,260			67,675			63,398
Interest on mandatorily redeemable preferred OP units / equity	1,181			790			2,275			1,409
Total expenses	272,187			245,091			524,902			466,962
Income Before Other Items	40,258			26,343			74,873			62,447
Remeasurement of marketable securities	3,620			—			3,887			—
Other income / (expense), net	1,021			(1,828		)	2,919			(4,445		)
Income / (loss) from nonconsolidated affiliates	393			(8		)	737			(67		)
Current tax expense	(272		)	(225		)	(486		)	(399		)
Deferred tax benefit / (expense)	96			(112		)	313			235
Net Income	45,116			24,170			82,243			57,771
Less: Preferred return to preferred OP units / equity	(1,718		)	(1,103		)	(3,041		)	(2,183		)
Less: Amounts attributable to noncontrolling interests	(2,585		)	(2,227		)	(3,626		)	(4,321		)
Net income attributable to Sun Communities, Inc.	40,813			20,840			75,576			51,267
Less: Preferred stock distribution	(428		)	(432		)	(860		)	(873		)
Net income attributable to Sun Communities, Inc. common stockholders	$	40,385		$	20,408		$	74,716		$	50,394
Weighted average common shares outstanding
Basic	87,130			79,612			86,325			79,233
Diluted	87,564			80,116			86,770			79,905
Earnings per share (Refer to Note 14):
Basic	$	0.46		$	0.25		$	0.86		$	0.63
Diluted	$	0.46		$	0.25		$	0.86		$	0.63

See accompanying Notes to Consolidated Financial Statements.

2

SUN COMMUNITIES, INC.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In thousands) (Unaudited)

	Three Months Ended						Six Months Ended
	June 30, 2019			June 30, 2018			June 30, 2019			June 30, 2018
Net income	$	45,116		$	24,170		$	82,243		$	57,771
Foreign currency translation loss adjustment	(1,913		)	(1,594		)	(3,488		)	(3,455		)
Total comprehensive income	43,203			22,576			78,755			54,316
Less: Comprehensive income attributable to noncontrolling interests	(2,494		)	(2,147		)	(3,458		)	(4,152		)
Comprehensive income attributable to Sun Communities, Inc.	40,709			20,429			75,297			50,164

See accompanying Notes to Consolidated Financial Statements.

3

SUN COMMUNITIES, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands) (Unaudited)

	Six Months Ended
	June 30, 2019			June 30, 2018
OPERATING ACTIVITIES
Net Cash Provided By Operating Activities	$	259,844		$	198,682
INVESTING ACTIVITIES
Investment in properties	(262,944		)	(157,863		)
Acquisitions of properties, net of cash acquired	(308,165		)	(260,426		)
Proceeds from dispositions of assets and depreciated homes, net	28,774			18,776
Purchases of notes receivable	—			(213		)
Repayments of notes and other receivables	2,307			1,478
Investments in nonconsolidated affiliates	(30,502		)	(9,243		)
Net Cash Used For Investing Activities	(570,530		)	(407,491		)
FINANCING ACTIVITIES
Issuance of common stock, OP units, and preferred OP units, net	443,420			85,969
Redemption of Series B-3 preferred OP units	(2,675		)	(4,105		)
Borrowings on lines of credit	2,345,659			1,041,876
Payments on lines of credit	(2,397,580		)	(546,839		)
Proceeds from issuance of other debt	265,000			—
Payments on other debt	(223,559		)	(235,174		)
Prepayment penalty on debt	—			(1,718		)
Proceeds received from return of prepaid deferred financing costs	1,618			—
Distributions to stockholders, OP unit holders, and preferred OP unit holders	(133,989		)	(117,054		)
Payments for deferred financing costs	(3,875		)	(602		)
Net Cash Provided By Financing Activities	294,019			222,353
Effect of exchange rate changes on cash, cash equivalents and restricted cash	443			(252		)
Net change in cash, cash equivalents and restricted cash	(16,224		)	13,292
Cash, cash equivalents and restricted cash, beginning of period	62,262			23,509
Cash, cash equivalents and restricted cash, end of period (see Note 16)	$	46,038		$	36,801

	Six Months Ended
	June 30, 2019		June 30, 2018
SUPPLEMENTAL INFORMATION
Cash paid for interest (net of capitalized interest of $3,283 and $2,205 respectively)	$	66,947	$	62,648
Cash paid for interest on mandatorily redeemable debt	$	2,275	$	1,399
Cash paid for income taxes	$	703	$	680
Noncash investing and financing activities
Reduction in secured borrowing balance	$	9,432	$	10,940
Change in distributions declared and outstanding	$	6,401	$	4,106
Conversion of common and preferred OP units	$	527	$	1,120
Conversion of Series A-4 preferred stock	$	337	$	675
Noncash investing and financing activities at the date of acquisition:
Acquisitions - Equity Interests - NG Sun LLC (see Note 8)	$	—	$	21,869
Acquisitions - Preferred Equity - Sun NG RV Resorts LLC (see Note 8)	$	—	$	35,277
Acquisitions - Debt assumed	$	—	$	3,012
Acquisitions - Series D preferred interest	$	51,930	$	—
Acquisitions - Escrow	$	1,395	$	—

See accompanying Notes to Consolidated Financial Statements.

4

CONSOLIDATED STATEMENT OF EQUITY

(In thousands) (Unaudited)

	Temporary Equity			Stockholders’ Equity
				Common Stock		Additional Paid-in Capital			Distributions in Excess of Accumulated Earnings			Accumulated Other Comprehensive Income / (Loss)			Non-controlling Interests			Total Stockholders’ Equity			Total Equity
Balance at December 31, 2018	$	63,592		$	864	$	4,398,949		$	(1,288,486	)	$	(4,504	)	$	60,499		$	3,167,322		$	3,230,914
Issuance of common stock and common OP units, net	—			1		(4,322		)	—			—			—			(4,321		)	(4,321		)
Conversion of OP units	—			—		280			—			—			(280		)	—			—
Accrued Equity Interests - NG Sun LLC	256			—		—			(65		)	—			(191		)	(256		)	—
Share-based compensation - amortization and forfeitures	—			—		3,719			74			—			—			3,793			3,793
Issuance of Series D OP Units	51,930			—		—			—			—			—			—			51,930
Foreign currency translation	—			—		—			—			1,498			77			1,575			1,575
Net income	178			—		—			36,086			—			863			36,949			37,127
Distributions	(528		)	—		15			(65,214		)	—			(2,954		)	(68,153		)	(68,681		)
Balance at March 31, 2019	$	115,428		$	865	$	4,398,641		$	(1,317,605	)	$	(3,006	)	$	58,014		$	3,136,909		$	3,252,337
Issuance of common stock and common OP units, net	—			37		447,704			—			—			—			447,741			447,741
Conversion of OP units	(112		)	5		242			—			—			(135		)	112			—
Conversion of Series A-4 preferred stock	(337		)	—		337			—			—			—			337			—
Accrued Equity Interests - NG Sun LLC	117			—		—			(308		)	—			191			(117		)	—
Share-based compensation - amortization and forfeitures	—			—		4,414			84			—			—			4,498			4,498
Issuance of Series D OP Units	—			—		—			—			—			—			—			—
Foreign currency translation	—			—		—			—			1,822			91			1,913			1,913
Net income	15			—		—			42,531			—			2,570			45,101			45,116
Distributions	(558		)	—		(15		)	(68,494		)	—			(2,642		)	(71,151		)	(71,709		)
Balance at June 30, 2019	$	114,553		$	907	$	4,851,323		$	(1,343,792	)	$	(1,184	)	$	58,089		$	3,565,343		$	3,679,896

				Stockholders’ Equity
	Temporary Equity			Common Stock		Additional Paid-in Capital			Distributions in Excess of Accumulated Earnings			Accumulated Other Comprehensive Income / (Loss)			Non-controlling Interests			Total Stockholders’ Equity			Total Equity
Balance at December 31, 2017	$	43,066		$	797	$	3,758,533		$	(1,162,001	)	$	1,102		$	65,256		$	2,663,687		$	2,706,753
Issuance of common stock and common OP units, net	—			2		(3,298		)	—			—			—			(3,296		)	(3,296		)
Conversion of OP units	(60		)	—		342			—			—			(283		)	59			(1		)
Share-based compensation - amortization and forfeitures	—			—		3,489			90			—			—			3,579			3,579
Foreign currency translation	—			—		—			—			(1,772		)	(89		)	(1,861		)	(1,861		)
Net income	71			—		—			31,507			—			2,023			33,530			33,601
Distributions	(171		)	—		—			(57,159		)	—			(2,888		)	(60,047		)	(60,218		)
Balance at March 31, 2018	$	42,906		$	799	$	3,759,066		$	(1,187,563	)	$	(670	)	$	64,019		$	2,635,651		$	2,678,557
Issuance of common stock and common OP units, net	—			10		89,255			—			—			—			89,265			89,265
Conversion of OP units	(233		)	—		778			—			—			(544		)	234			1
Conversion of Series A-4 preferred stock	(675		)	—		675			—			—			—			675			—
Share-based compensation - amortization and forfeitures	—			—		4,283			91			—			—			4,374			4,374
Foreign currency translation	—			—		—			—			(1,514		)	(80		)	(1,594		)	(1,594		)
Acquisition of noncontrolling interests	21,869			—		—			—			—			—			—			21,869
Net income	48			—		—			21,943			—			2,179			24,122			24,170
Distributions	(170		)	—		—			(57,865		)	—			(2,880		)	(60,745		)	(60,915		)
Balance at June 30, 2018	$	63,745		$	809	$	3,854,057		$	(1,223,394	)	$	(2,184	)	$	62,694		$	2,691,982		$	2,755,727

See accompanying Notes to Consolidated Financial Statements.

5

SUN COMMUNITIES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

1.      Basis of Presentation

Sun Communities, Inc., a Maryland corporation, and all wholly-owned or majority-owned and controlled subsidiaries, including Sun Communities Operating Limited Partnership (the “Operating Partnership”) and Sun Home Services, Inc. (“SHS”) are referred to herein as the “Company,” “us,” “we,” and “our.”

We follow accounting standards set by the Financial Accounting Standards Board (“FASB”). FASB sets generally accepted accounting principles (“GAAP”), which we follow to ensure that we consistently report our financial condition, results of operations, and cash flows. References to GAAP issued by the FASB in these footnotes are to the FASB Accounting Standards Codification (“ASC”).

These unaudited Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information and in accordance with GAAP. Pursuant to the SEC rules and regulations we present interim disclosures and certain information and footnote disclosures as required. Accordingly, the unaudited Consolidated Financial Statements do not include all of the information and footnotes required by GAAP for complete financial statements. The accompanying unaudited Consolidated Financial Statements reflect, in the opinion of management, all adjustments, including adjustments of a normal and recurring nature, necessary for a fair presentation of the interim financial statements. All intercompany transactions have been eliminated in consolidation. Certain reclassifications have been made to prior period financial statements in order to conform to current period presentation.

The results of operations for interim periods are not necessarily indicative of results that may be expected for any other interim period or for the full year. These unaudited Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2018 as filed with the SEC on February 21, 2019 (the “2018 Annual Report”). These statements have been prepared on a basis that is substantially consistent with the accounting principles applied in our 2018 Annual Report.

6

SUN COMMUNITIES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

2. Revenue

Disaggregation of Revenue

The following tables details our revenue by major source (in thousands):

	Three Months Ended
	June 30, 2019						June 30, 2018
	Real Property Operations		Home Sales and Rentals		Consolidated		Real Property Operations		Home Sales and Rentals		Consolidated
Revenue
Income from real property	$	226,099	$	—	$	226,099	$	198,670	$	—	$	198,670
Revenue from home sales	—		47,242		47,242		—		41,217		41,217
Rental home revenue	—		14,412		14,412		—		13,348		13,348
Ancillary revenue	17,265		—		17,265		12,031		—		12,031
Interest Income	4,919		—		4,919		5,277		—		5,277
Brokerage commissions and other revenues, net	2,508		—		2,508		891		—		891
Total revenue	$	250,791	$	61,654	$	312,445	$	216,869	$	54,565	$	271,434

	Six Months Ended
	June 30, 2019						June 30, 2018
	Real Property Operations		Home Sales and Rentals		Consolidated		Real Property Operations		Home Sales and Rentals		Consolidated
Revenue
Income from real property	$	442,878	$	—	$	442,878	$	395,881	$	—	$	395,881
Revenue from home sales	—		86,860		86,860		—		76,117		76,117
Rental home revenue	—		28,383		28,383		—		26,368		26,368
Ancillary revenue	25,747		—		25,747		18,599		—		18,599
Interest	9,719		—		9,719		10,593		—		10,593
Brokerage commissions and other revenues, net	6,188		—		6,188		1,851		—		1,851
Total revenue	$	484,532	$	115,243	$	599,775	$	426,924	$	102,485	$	529,409

Revenue Recognition Policies and Performance Obligations

On January 1, 2018, we adopted FASB Accounting Standards Update (“ASU”) 2014-09 “Revenue from Contracts with Customers” and the other related ASUs and amendments to the codification (collectively “ASC 606”). The core principle of ASC 606 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. A five-step transactional analysis is required to determine how and when to recognize revenue. ASC 606 applies to all contracts with customers, except those that are within the scope of other topics in the FASB accounting standards codification.

As a real estate owner and operator, the majority of our revenue is derived from site and home leases that are accounted for pursuant to ASC 842 “Leases.” For transactions in the scope of ASC 606, we recognize revenue when control of goods or services transfers to the customer, in the amount that we expect to receive for the transfer of goods or provision of services. The adoption of ASC 606 did not result in any change to our accounting policies for revenue recognition. Accordingly, retrospective application to prior periods or a cumulative catch-up adjustment was unnecessary.

Income from real property - Residents in our communities lease the site on which their home is located, and either own or lease their home. Resident leases are generally for one-year or month-to-month terms, and are renewable by mutual agreement from us and the resident, or in some cases, as provided by jurisdictional statute. Lease revenues for sites and homes fall under the scope of ASC 842, and are accounted for as operating leases with straight-line recognition. Income from real property includes income from site leases for annual MH residents, site leases for annual recreational vehicle (“RV”) residents and site rentals to transient RV residents. Non-lease components of our site lease contracts, which are primarily provision of utility services, are accounted for with the site lease as a single lease under ASC 842. Additionally, we include collections of real estate taxes from residents within Income from real property.

7

SUN COMMUNITIES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Revenue from home sales - Our taxable REIT subsidiary, SHS, sells manufactured homes (“MH”) to current and prospective residents in our communities. Prior to adoption of ASC 606, we recognized revenue for home sales pursuant to ASC 605 “Revenue Recognition,” as manufactured homes are tangible personal property that can be located on any land parcel. Manufactured homes are not permanent fixtures or improvements to the underlying real estate, and were therefore not considered to be subject to the guidance in ASC 360-20 “Real Estate Sales” by the Company. In accordance with the core principle of ASC 606, we recognize revenue from home sales at the time of closing when control of the home transfers to the customer. After closing of the sale transaction, we have no remaining performance obligation.

Rental home revenue - is comprised of rental agreements whereby we lease homes to residents in our communities. We account for these revenues under ASC 842.

Ancillary revenue - is primarily composed of proceeds from restaurant, golf, merchandise and other activities at our RV communities and is included in the scope of ASC 606. Revenues are recognized at point of sale when control of the good or service transfers to the customer and our performance obligation is satisfied. In addition, leasing of short-term vacation home rentals is included within ancillary revenue and falls within the scope of ASC 842. Sales and other taxes that we collect concurrent with revenue-producing activities are excluded from the transaction price.

Interest income - is earned primarily on our notes and collateralized receivables, which includes installment loans for manufactured homes purchased by the Company from loan originators and transferred loans that previously did not meet the requirements for sale accounting. Interest income on these receivables is accrued based on the unpaid principal balances of the underlying loans on a level yield basis over the life of the loans. Interest income is not in the scope of ASC 606. Refer to Note 4, “Collateralized Receivables and Transfers of Financial Assets” and Note 5, “Notes and Other Receivables, net” for additional information.

Broker commissions and other revenues, net - is primarily comprised of brokerage commissions for sales of manufactured homes, where we act as agent and arrange for a third party to transfer a manufactured home to a customer within one of our communities. Brokerage commission revenues are recognized on a net basis at closing, when the transaction is completed and our performance obligations have been fulfilled. Loan loss reserve expenses for our collateralized receivables and notes receivables are also included herein. Refer to Note 4, “Collateralized Receivables and Transfers of Financial Assets” and Note 5, “Notes and Other Receivables, net” for additional information regarding our loan loss reserves.

Contract Balances

As of June 30, 2019 and December 31, 2018, we had $17.6 million and $16.1 million, respectively, of receivables from contracts with customers. Receivables from contracts with customers are presented as a component of Notes and other receivables on our Consolidated Balance Sheets. These receivables represent balances owed to us for previously completed performance obligations for sales of manufactured homes. Due to the nature of our revenue from contracts with customers, we do not have material contract assets or liabilities that fall under the scope of ASC 606.

3.      Real Estate Acquisitions

2019 Acquisitions

In 2019 we acquired the following communities:

Community Name	Type	Sites	Development Sites	State	Month Acquired
River Plantation	RV	309	—	TN	May
Massey’s Landing RV	RV	291	—	DE	February
Shelby Properties(1)	MH	1,308	—	MI	February
Buena Vista	MH	400	—	AZ	February
Country Village Estates (2)	MH	518	—	OR	January
Hid’n Pines RV	RV	321	—	ME	January
Hacienda del Rio	MH (Age-Restricted)	730	70	FL	January
	Total	3,877	70

⁽¹⁾ Contains two MH communities.

⁽²⁾ In conjunction with the acquisition, we issued Series D Preferred Operating Partnership (“OP”) Units. As of June 30, 2019, 488,958 Series D Preferred OP Units were outstanding.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

The following table summarizes the amounts of assets acquired net of liabilities assumed at the acquisition date and the consideration paid for the acquisitions completed in the six months ended June 30, 2019 (in thousands):

At Acquisition Date (1)	River Plantation		Massey's Landing			Shelby Properties			Buena Vista			Country Village		Hid'n Pines			Hacienda del Rio			Total
Investment in property	$	22,589	$	19,780		$	85,969		$	20,221		$	62,784	$	10,680		$	111,971		$	333,994
Inventory of manufactured homes	75		—			2,011			439			—		—			15			2,540
In-place leases and other intangible assets	—		220			6,520			1,590			2,020		70			3,280			13,700
Other assets (liabilities), net	—		(446		)	(1,015		)	(93		)	31		(233		)	(237		)	(1,993		)
Total identifiable assets acquired net of liabilities assumed	$	22,664	$	19,554		$	93,485		$	22,157		$	64,835	$	10,517		$	115,029		$	348,241
Consideration
Cash and escrow	$	22,664	$	19,554		$	93,485		$	22,157		$	12,905	$	10,517		$	115,029		$	296,311
Series D Preferred OP units	—		—			—			—			51,930		—			—			51,930
Total consideration	$	22,664	$	19,554		$	93,485		$	22,157		$	64,835	$	10,517		$	115,029		$	348,241

⁽¹⁾ The purchase price allocations are preliminary and may be adjusted as final valuations are determined.

As of June 30, 2019, the Company has incurred $7.1 million of additional capitalized transaction costs which have been allocated among the various categories above.

During the quarter ended June 30, 2019, the Company opened 281 sites at a ground-up development, Carolina Pines RV Resort (“Carolina Pines”) in Conway, South Carolina.

In April 2019, the Company acquired Strafford/Lake Winnipesaukee South KOA RV Resort ("Strafford") in Strafford, New Hampshire for total consideration of $2.7 million.

In March 2019, the Company entered into a four year Temporary Occupancy and Use Permit with the Port of San Diego to operate an RV resort located in Chula Vista, CA until such time as a new RV resort is constructed in the area. Concurrent with the transaction, we purchased tangible personal property from the prior owner of the RV resort for $0.3 million.

Refer to Note 19, “Subsequent Events,” for information regarding real estate acquisition activity after June 30, 2019.

The total amount of revenues and net income included in the Consolidated Statements of Operations for the three and six months ended June 30, 2019 related to the acquisitions completed in 2019 are set forth in the following table (in thousands):

	Three Months Ended		Six Months Ended
	June 30, 2019		June 30, 2019
Total revenues	$	9,163	$	12,927
Net income	$	3,556	$	4,873

The following unaudited pro forma financial information presents the results of our operations for the three and six months ended June 30, 2019 and 2018, as if the properties acquired in 2019 had been acquired on January 1, 2018. The unaudited pro forma results reflect certain adjustments for items that are not expected to have a continuing impact, such as adjustments for transaction costs incurred, management fees, and purchase accounting.

9

SUN COMMUNITIES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

The information presented below has been prepared for comparative purposes only and does not purport to be indicative of either future results of operations or the results of operations that would have actually occurred had the acquisition been consummated on January 1, 2018 (in thousands, except per-share data):

	Three Months Ended				Six Months Ended
	June 30, 2019		June 30, 2018		June 30, 2019		June 30, 2018
Total revenues	$	312,928	$	278,823	$	602,181	$	542,529
Net income attributable to Sun Communities, Inc. common stockholders	$	41,377	$	23,444	$	75,406	$	54,312
Net income per share attributable to Sun Communities, Inc. common stockholders - basic	$	0.47	$	0.29	$	0.87	$	0.69
Net income per share attributable to Sun Communities, Inc. common stockholders - diluted	$	0.47	$	0.29	$	0.87	$	0.68

2018 Acquisitions

In 2018 we acquired the following communities:

Community Name	Type	Sites	Development Sites	State	Month Acquired
Leaf Verde RV Resort	RV	376	—	AZ	October
Archview	RV	114	50	UT	August
Petoskey KOA	RV	210	—	MI	August
The Sands RV and Golf Resort	RV (Age Restricted)	507	—	CA	July
Sun NG RV Resorts LLC (1)(2)	RV	2,700	940	Various	June
Silver Creek	RV	264	176	MI	June
Highway West (1)	RV	536	—	UT & OR	June
Compass RV	RV	175	—	FL	May
	Total	4,882	1,166

⁽¹⁾ Highway West and Sun NG RV Resorts LLC are comprised of 4 RV and 10 RV resorts, respectively.

⁽²⁾ Refer to Note 8, “Consolidated Variable Interest Entities,” Note 9, “Debt and Lines of Credit,” and Note 10, “Equity and Temporary Equity” in our accompanying Consolidated Financial Statements for additional information.

The following table summarizes the amounts of assets acquired net of liabilities assumed at the acquisition date and the consideration paid for the acquisitions completed in 2018 (in thousands):

At Acquisition Date	Leaf Verde		Archview		Petoskey KOA		Sands		Sun NG Resorts			Silver Creek		Highway West		Compass		Total
Investment in property	$	11,587	$	14,550	$	8,730	$	13,790	$	240,649		$	7,250	$	36,500	$	13,930	$	346,986
In-place leases and other intangible assets	60		—		270		460		16,339			—		—		70		17,199
Debt assumed	—		—		—		—		(3,120		)	—		—		—		(3,120		)
Other liabilities, net	—		—		—		—		(11,990		)	—		—		—		(11,990		)
Total identifiable assets acquired net of liabilities assumed	$	11,647	$	14,550	$	9,000	$	14,250	$	241,878		$	7,250	$	36,500	$	14,000	$	349,075
Consideration
Cash	$	11,647	$	14,550	$	9,000	$	14,250	$	184,625		$	7,250	$	36,500	$	14,000	$	291,822
Preferred Equity - Sun NG Resorts	—		—		—		—		35,277			—		—		—		35,277
Equity Interests - NG Sun LLC	—		—		—		—		21,976			—		—		—		21,976
Total consideration	$	11,647	$	14,550	$	9,000	$	14,250	$	241,878		$	7,250	$	36,500	$	14,000	$	349,075

10

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

In 2018, we acquired the following land for expansion / development:

Name	Location	Type	Expansion / Development Sites	Cost (millions)		Month Acquired
Ocean West	McKinleyville, CA	MH	26	$	0.2	December
Water Oak Country Club Estates	Lady Lake, FL	MH	296	1.9		November
Oak Crest	Austin, TX	MH	220	4.2		October
Pecan Park	Jacksonville, FL	RV	158	1.3		September
Smith Creek Crossing	Granby, CO	MH	310	0.9		September
Apple Carr	Egelston, MI	MH	121	0.2		May
River Run Ranch	Granby, CO	MH / RV	1,144	5.3		May
		Total	2,275	$	14.0

4.      Collateralized Receivables and Transfers of Financial Assets

We previously completed various transactions with an unrelated entity involving our notes receivable under which we received cash proceeds in exchange for relinquishing our right, title, and interest in certain notes receivable. We have no further obligations or rights with respect to the control, management, administration, servicing, or collection of the installment notes receivable. However, we are subject to certain recourse provisions requiring us to purchase the underlying homes collateralizing such notes, in the event of a note default and subsequent repossession of the home by the unrelated entity. The recourse provisions are considered to be a form of continuing involvement, and therefore these transferred loans did not meet the requirements for sale accounting. We continue to recognize these transferred loans on our Consolidated Balance Sheets and refer to them as collateralized receivables. The cash proceeds from the transfer have been recognized as secured borrowings on collateralized receivables within the Consolidated Balance Sheets. The collateralized receivables earn interest income, and the secured borrowings accrue interest expense at the same interest rates.

In the event of a note default and subsequent repossession of a manufactured home by the unrelated entity, the terms of the agreement require us to repurchase the manufactured home. Default is defined as the failure to repay the installment note receivable according to contractual terms. The repurchase price is calculated as a percentage of the outstanding principal balance of the collateralized receivable, plus any outstanding late fees, accrued interest, legal fees, and escrow advances associated with the installment note receivable. The percentage used to determine the repurchase price of the outstanding principal balance on the installment note receivable is based on the number of payments made on the note. In general, the repurchase price is determined as follows:

Number of Payments	Repurchase Percentage
Fewer than or equal to 15	100	%
Greater than 15 but fewer than 64	90	%
Equal to or greater than 64 but fewer than 120	65	%
120 or more	50	%

The balance of the collateralized receivables was $97.7 million (net of allowance of $0.6 million) and $106.9 million (net of allowance of $0.8 million) as of June 30, 2019 and December 31, 2018, respectively. The receivables have a weighted average interest rate and maturity of 9.9 percent and 13.7 years as of June 30, 2019, and 9.9 percent and 14.1 years as of December 31, 2018.

The outstanding balance on the secured borrowing was $98.3 million and $107.7 million as of June 30, 2019 and December 31, 2018, respectively.

The amount of interest income and expense recognized was $2.4 million and $2.9 million for the three months ended June 30, 2019 and 2018, respectively, and $4.8 million and $5.7 million for the six months ended June 30, 2019 and 2018, respectively.

11

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

The balances of the collateralized receivables and secured borrowings are reduced as the related collateralized receivables are collected from the customers, or as the underlying collateral is repurchased. The change in the aggregate gross principal balance of the collateralized receivables is as follows (in thousands):

	Six Months Ended
	June 30, 2019
Beginning balance	$	107,731
Principal payments and payoffs from our customers	(6,063		)
Principal reduction from repurchased homes	(3,369		)
Total activity	(9,432		)
Ending balance	$	98,299

The following table sets forth the allowance for the collateralized receivables as of June 30, 2019 (in thousands):

	Six Months Ended
	June 30, 2019
Beginning balance	$	(807	)
Lower of cost or market write-downs	85
Decrease to reserve balance	81
Total activity	166
Ending balance	$	(641	)

5.      Notes and Other Receivables

The following table sets forth certain information regarding notes and other receivables (in thousands):

	June 30, 2019		December 31, 2018
Installment notes receivable on manufactured homes, net	$	104,559	$	112,798
Other receivables, net	59,744		47,279
Total notes and other receivables, net	$	164,303	$	160,077

Installment Notes Receivable on Manufactured Homes

Our investment in installment notes of $104.6 million (net of allowance of $0.7 million) and $112.8 million (net of allowance of $0.7 million) as of June 30, 2019 and December 31, 2018, respectively, are collateralized by manufactured homes. The notes represent financing to purchasers of manufactured homes primarily located in our communities and require monthly principal and interest payments. The notes have a net weighted average interest rate (net of servicing costs) and maturity of 8.0 percent and 16.2 years as of June 30, 2019, and 8.0 percent and 16.6 years as of December 31, 2018, respectively.

The change in the aggregate gross principal balance of the installment notes receivable is as follows (in thousands):

	Six Months Ended
	June 30, 2019
Beginning balance	$	113,495
Investment in installment notes	163
Principal payments and payoffs from customers	(4,093		)
Principal reduction from repossessed homes	(4,326		)
Total activity	(8,256		)
Ending balance	$	105,239

12

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Allowance for Losses for Installment Notes Receivable

The following table sets forth the allowance change for the installment notes receivable as follows (in thousands):

	Six Months Ended
	June 30, 2019
Beginning balance	$	(697	)
Lower of cost or market write-downs	101
Increase to reserve balance	(84		)
Total activity	17
Ending balance	$	(680	)

Other Receivables

As of June 30, 2019, other receivables were comprised of amounts due from: residents for rent, utility charges, fees and other pass through charges of $8.2 million (net of allowance of $1.5 million); home sale proceeds of $17.6 million; insurance receivables of $12.0 million and other receivables of $21.9 million. As of December 31, 2018, other receivables were comprised of amounts due from: residents for rent, utility charges, fees and other pass through charges of $7.1 million (net of allowance of $1.5 million); home sale proceeds of $16.1 million; and insurance and other receivables of $24.1 million.

6. Intangible Assets

Our intangible assets include in-place leases, franchise agreements and other intangible assets. These intangible assets are recorded in Other assets, net on the Consolidated Balance Sheets. In accordance with ASC 842, below market leases are now classified as a right of use asset.

The gross carrying amounts, and accumulated amortization are as follows (in thousands):

		June 30, 2019					December 31, 2018
Intangible asset	Useful Life	Gross Carrying Amount		Accumulated Amortization			Gross Carrying Amount		Accumulated Amortization
In-place leases	7 years	$	118,022	$	(66,540	)	$	103,547	$	(59,068	)
Franchise agreements and other intangible assets	7-20 years	16,944		(2,351		)	16,641		(1,942		)
Total		$	134,966	$	(68,891	)	$	120,188	$	(61,010	)

Total amortization expenses related to the intangible assets are as follows (in thousands):

	Three Months Ended				Six Months Ended
Intangible asset amortization expense	June 30, 2019		June 30, 2018		June 30, 2019		June 30, 2018
In-place leases	$	3,800	$	3,345	$	7,472	$	6,690
Franchise agreements and other intangible assets	205		19		409		38
Total	$	4,005	$	3,364	$	7,881	$	6,728

We anticipate amortization expense for our intangible assets to be as follows for the next five years (in thousands)

	Year
	Remainder of 2019		2020		2021		2022		2023
Estimated expense	$	7,830	$	14,144	$	13,752	$	9,151	$	5,776

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

7.      Investment in Affiliates

Investments in joint ventures that are not consolidated, nor recorded at cost, are accounted for using the equity method of accounting as prescribed in FASB ASC Topic 323, “Investments - Equity Method and Joint Ventures.” Investments in nonconsolidated affiliates are recorded within Other assets, net on the Consolidated Balance Sheets. Equity income and loss are recorded in the Income / (loss) from nonconsolidated affiliates on the Consolidated Statement of Operations.

RezPlot Systems LLC (“Rezplot”)

At June 30, 2019, the Company had a 50 percent ownership interest in RezPlot, a software technology company, acquired in January 2019.

Sungenia JV

At June 30, 2019 and December 31, 2018, the Company had a 50 percent interest in Sungenia JV, a joint venture (“JV”) formed between the Company and Ingenia Communities Group in November 2018, to establish and grow a manufactured housing community development program in Australia.

GTSC LLC (“GTSC”)

At June 30, 2019 and December 31, 2018, the Company had a 40 percent ownership interest in GTSC, which engages in acquiring, holding and selling loans secured, directly or indirectly, by manufactured homes located in communities of Sun Communities.

Origen Financial Services, LLC (“OFS LLC”)

At June 30, 2019 and December 31, 2018, the Company had a 22.9 percent ownership interest in OFS LLC, an end-to-end online resident screening and document management suite.

The investment balance in each nonconsolidated affiliate is as follows (in millions):

	June 30, 2019		December 31, 2018
Investment in RezPlot	$	5.1	$	—
Investment in Sungenia JV	10.3		0.7
Investment in GTSC	48.1		29.8
Investment in OFS LLC	0.2		0.1
Total	$	63.7	$	30.6

The Equity Income / (loss) from each nonconsolidated affiliate is as follows (in thousands):

	Three Months Ended						Six Months Ended
	June 30, 2019			June 30, 2018			June 30, 2019			June 30, 2018
RezPlot equity loss	$	(260	)	$	—		$	(449	)	$	—
Sungenia JV equity loss	(18		)	—			(58		)	—
GTSC equity income / (loss)	604			(8		)	1,135			(67		)
OFS LLC equity income	67			—			109			—
Total equity income / (loss)	$	393		$	(8	)	$	737		$	(67	)

8.      Consolidated Variable Interest Entities

The Operating Partnership

We consolidate the Operating Partnership under the guidance set forth in FASB ASC Topic 810 “Consolidation.” ASU 2015-02 modified the evaluation of whether limited partnerships and similar legal entities are VIEs or voting interest entities. We evaluated the application of ASU 2015-02 and concluded that the Operating Partnership now meets the criteria of a VIE. Our significant asset is our investment in the Operating Partnership, and consequently, substantially all of our assets and liabilities represent those assets and liabilities of the Operating Partnership. We are the sole general partner and generally have the power to manage and have complete control over the Operating Partnership and the obligation to absorb its losses or the right to receive its benefits.

14

SUN COMMUNITIES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Sun NG RV Resorts LLC (“Sun NG Resorts”)

We consolidate Sun NG Resorts under the guidance set forth in FASB ASC Topic 810 “Consolidation.” We concluded that Sun NG Resorts is a VIE where we are the primary beneficiary, as we have the power to direct the significant activities, absorb the significant losses and receive the significant benefits from the entity. Refer to Note 3, “Real Estate Acquisitions,” Note 9, “Debt and Lines of Credit,” and Note 10, “Equity and Temporary Equity” for additional information.

Rudgate Village SPE, LLC; Rudgate Clinton SPE, LLC; and Rudgate Clinton Estates SPE, LLC (collectively, “Rudgate”)

We consolidate Rudgate under the guidance set forth in FASB ASC Topic 810 “Consolidation.” We evaluated our arrangement with this property and concluded that Rudgate qualified as a VIE where we are the primary beneficiary, as we have power to direct the significant activities, absorb the significant losses and receive the significant benefits from the entity.

The following table summarizes the assets and liabilities included in our Consolidated Balance Sheets after eliminations (in thousands):

	June 30, 2019		December 31, 2018
Assets
Investment property, net	$	324,931	$	308,171
Other assets, net	23,167		19,809
Total Assets	$	348,098	$	327,980
Liabilities and Other Equity
Debt	$	43,661	$	44,172
Preferred Equity - Sun NG Resorts - mandatorily redeemable	35,249		35,277
Other liabilities	32,461		6,914
Total Liabilities	111,371		86,363
Equity Interests - NG Sun LLC	22,099		21,976
Noncontrolling interests	7,209		7,145
Total Liabilities and Other Equity	$	140,679	$	115,484

Investment property, net and other assets, net related to the consolidated VIEs comprised approximately 4.8 percent and 4.9 percent of our consolidated total assets at June 30, 2019 and December 31, 2018, respectively. Debt, Preferred Equity and other liabilities comprised approximately 3.1 percent and 2.6 percent of our consolidated total liabilities at June 30, 2019 and December 31, 2018, respectively. Equity Interests and Noncontrolling interests related to the consolidated VIEs, on an absolute basis, comprised less than 1.0 percent of our consolidated total equity at June 30, 2019 and at December 31, 2018, respectively.

9.      Debt and Lines of Credit

The following table sets forth certain information regarding debt including premiums, discounts and deferred financing costs (in thousands):

	Carrying Amount				Weighted Average Years to Maturity		Weighted Average Interest Rates
	June 30, 2019		December 31, 2018		June 30, 2019	December 31, 2018	June 30, 2019		December 31, 2018
Collateralized term loans - Life Companies	$	1,323,482	$	1,259,158	16.4	14.4	4.0	%	3.9	%
Collateralized term loans - FNMA	760,315		770,417		4.7	5.1	4.4	%	4.4	%
Collateralized term loans - CMBS	401,977		405,702		3.6	4.1	5.1	%	5.1	%
Collateralized term loans - FMCC	377,711		380,680		5.4	5.9	3.9	%	3.9	%
Secured borrowings	98,299		107,731		14.0	14.4	9.9	%	9.9	%
Lines of credit	76,079		128,000		3.7	2.3	3.3	%	3.8	%
Preferred Equity - Sun NG Resorts - mandatorily redeemable	35,249		35,277		3.3	3.8	6.0	%	6.0	%
Preferred OP units - mandatorily redeemable	34,663		37,338		4.5	4.7	6.5	%	6.6	%
Total debt	$	3,107,775	$	3,124,303	9.9	9.0	4.4	%	4.5	%

15

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Collateralized Term Loans

During the three months ended March 31, 2019, we completed a $265.0 million 25-year term loan transaction which carries an interest rate of 4.17 percent. Concurrently, we repaid a $186.8 million term loan with an interest rate of 3.83 percent which was due to mature in January 2030. We recognized a loss on extinguishment of debt of $0.7 million as a result of the repayment transaction in our Consolidated Statement of Operations.

During the three months ended December 31, 2018, we repaid a term loan of $10.2 million with an interest rate of 5.66 percent. The loan was due to mature on February 28, 2019. Concurrently, we entered into a $21.7 million collateralized term loan with a 4.10 percent fixed interest rate and 20-year term.

During the three months ended September 30, 2018, we entered into a $228.0 million collateralized term loan with a 4.10 percent fixed rate and a 20-year term. During the three months ended September 30, 2018, we repaid one collateralized term loan of $30.5 million with an interest rate of 6.34 percent, releasing one encumbered community, which was due to mature March 1, 2019. We recognized a loss on extinguishment of debt of $0.9 million as a result of the repayment transaction.

During the three months ended June 30, 2018 we repaid three collateralized term loans totaling $177.7 million with a weighted average interest rate of 4.53 percent, releasing 11 encumbered communities. One loan was due to mature on August 1, 2018 and two loans were due to mature on May 1, 2023. We recognized a loss on extinguishment of debt of $1.5 million as a result of the repayment transaction.

During the three months ended March 31, 2018, we repaid four collateralized term loans totaling $24.4 million with a weighted average interest rate of 6.36 percent, releasing three encumbered communities. The loans were due to mature on March 1, 2019. We recognized a loss on extinguishment of debt of $0.2 million as a result of the repayment transactions.

The collateralized term loans totaling $2.9 billion as of June 30, 2019, are secured by 185 properties comprised of 72,958 sites representing approximately $3.2 billion of net book value.

Secured Borrowing

See Note 4, “Collateralized Receivables and Transfers of Financial Assets,” for information regarding our collateralized receivables and secured borrowing transactions.

Preferred OP Units - mandatorily redeemable

Preferred OP units at June 30, 2019 and December 31, 2018 include $34.7 million of Aspen preferred OP units issued by the Operating Partnership. As of June 30, 2019, these units are convertible indirectly into 420,689 shares of our common stock. Subject to certain limitations, at any time prior to January 1, 2024, the holder of each Aspen preferred OP unit at its option may convert such Aspen preferred OP unit into: (a) if the market price of our common stock is $68.00 per share or less, 0.397 common OP units; or (b) if the market price of our common stock is greater than $68.00 per share, the number of common OP units is determined by dividing (i) the sum of (A) $27.00 plus (B) 25 percent of the amount by which the market price of our common stock exceeds $68.00 per share, by (ii) the per share market price of our common stock. The current preferred distribution rate is 6.5 percent. On January 2, 2024, we are required to redeem all Aspen preferred OP units that have not been converted to common OP units.

Preferred OP units also include $2.7 million of Series B-3 preferred OP units at December 31, 2018, which are not convertible. In January 2019, we redeemed all remaining 26,750 Series B-3 preferred OP units. The weighted average redemption price per unit, which included accrued and unpaid distributions, of $100.153424. In the aggregate, we paid $2.7 million to redeem these units.

Preferred Equity - Sun NG Resorts - mandatorily redeemable

In June 2018, in connection with the investment in Sun NG Resorts, $35.3 million of mandatorily redeemable Preferred Equity (“Preferred Equity - Sun NG Resorts”) was purchased by unrelated third parties. The Preferred Equity - Sun NG Resorts carries a preferred rate of return of 6.0 percent per annum. The Preferred Equity - Sun NG Resorts has a seven year term and can be redeemed in the fourth quarter of 2022 at the holders’ option. The Preferred Equity - Sun NG Resorts as of June 30, 2019 was $35.2 million. Refer to Note 3, “Real Estate Acquisitions,” Note 8, “Consolidated Variable Interest Entities,” and Note 10, “Equity and Temporary Equity” for additional information.

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(Unaudited)

Lines of Credit

In May 2019, we amended and restated our credit agreement (the “A&R Credit Agreement”) with Citibank, N.A. (“Citibank”) and certain other lenders. Pursuant to the A&R Credit Agreement, we entered into a senior credit facility with Citibank and certain other lenders in the amount of $750.0 million, comprised of a $650.0 million revolving loan, with the ability to use up to $100.0 million for advances in Australian dollars, and a $100.0 million term loan (the “A&R Facility”). The Company has until November 18, 2019 to draw on the term loan. As of June 30, 2019, the Company has not drawn any funds on the term loan. The A&R Credit Agreement has a four-year term ending May 21, 2023, which can be extended for two additional six-month periods, subject to the satisfaction of certain conditions as defined in the credit agreement. The A&R Credit Agreement also provides for, subject to the satisfaction of certain conditions, additional commitments in an amount not to exceed $350.0 million. If additional borrowings are made pursuant to any such additional commitments, the aggregate borrowing limit under the A&R Facility may be increased up to $1.1 billion.

The A&R Facility bears interest at a floating rate based on the Eurodollar rate or Bank Bill Swap Bid Rate (“BBSY Bid rate”) plus a margin that is determined based on our leverage ratio calculated in accordance with the A&R Credit Agreement, which margin can range from 1.20 percent to 2.10 percent for the revolving loan and 1.20 percent to 2.05 percent for the term loan. As of June 30, 2019, the margin based on our leverage ratio was 1.20 percent on the revolving loan and 1.20 percent on the term loan. We had $71.0 million and zero of borrowings on the revolving loan and the term loans, respectively, as of June 30, 2019.

The A&R Facility provides us with the ability to issue letters of credit. Our issuance of letters of credit does not increase our borrowings outstanding under our line of credit, but does reduce the borrowing amount available. At June 30, 2019 and December 31, 2018, approximately $5.5 million and $3.9 million of availability was used to back standby letters of credit.

We have a $12.0 million manufactured home floor plan facility renewable indefinitely until our lender provides us at least a twelve month notice of their intent to terminate the agreement. The interest rate is 100 basis points over the greater of the prime rate as quoted in the Wall Street Journal on the first business day of each month or 6.0 percent. At June 30, 2019, the effective interest rate was 7.0 percent. The outstanding balance was $5.1 million as of June 30, 2019 and zero as of December 31, 2018.

Covenants

Pursuant to the terms of the A&R Facility, we are subject to various financial and other covenants. The most restrictive of our debt agreements place limitations on secured borrowings and contain minimum fixed charge coverage, leverage, distribution, and net worth requirements. At June 30, 2019, we were in compliance with all covenants.

In addition, certain of our subsidiary borrowers own properties that secure loans. These subsidiaries are consolidated within our accompanying Consolidated Financial Statements, however, each of these subsidiaries’ assets and credit are not available to satisfy the debts and other obligations of the Company, any of its other subsidiaries or any other person or entity.

10.      Equity and Temporary Equity

Public Equity Offerings

In May 2019, we closed an underwritten registered public offering of 3,737,500 shares of common stock. Proceeds from the offering were $452.1 million after deducting expenses related to the offering. We used the net proceeds of this offering to repay borrowings outstanding under the revolving loan under our senior credit facility.

At the Market Offering Sales Agreement

In July 2017, we entered into a new at the market offering sales agreement (the “Sales Agreement”) with certain sales agents (collectively, the “Sales Agents”), whereby we may offer and sell shares of our common stock, having an aggregate offering price of up to $450.0 million, from time to time through the Sales Agents. The Sales Agents are entitled to compensation in an agreed amount not to exceed 2.0 percent of the gross price per share for any shares sold from time to time under the Sales Agreement. Through June 30, 2019, we have sold shares of our common stock for gross proceeds of $163.8 million under the Sales Agreement. There were no issuances of common stock under the Sales Agreement during 2019.

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(Unaudited)

Issuance of Series D Preferred OP Units - Temporary Equity

In February 2019, we issued 488,958 Series D Preferred OP Units in connection with the acquisition of Country Village Estates. The Series D preferred OP units have a stated issuance price of $100.00 per OP Unit and carry a preferred return of 3.75 percent until the second anniversary of the issuance date. Commencing with the second anniversary of the issuance date, the Series D Preferred OP Units carry a preferred return of 4.0 percent. Commencing with the first anniversary of the issuance date, each Series D Preferred OP Unit can be exchanged for 0.8 shares of SUI stock at the holder’s option. The holders may require redemption in cash after the fifth anniversary of the Series D issuance date or upon the holder’s death. Refer to Note 3, “Real Estate Acquisitions” for additional information.

Equity Interests - NG Sun LLC - Temporary Equity

In June 2018, in connection with the investment in Sun NG Resorts, unrelated third parties purchased $6.5 million of Series B preferred equity interests and $15.4 million of common equity interest in Sun NG Resorts (herein jointly referred to as “Equity Interest - NG Sun LLC”). The Series B preferred equity interests carry a preferred return at a rate that, at any time, is equal to the interest rate on Sun NG Resorts’ indebtedness at such time. The current rate of return is 5.5 percent. The Equity Interests - NG Sun LLC do not have a fixed maturity date and can be redeemed in the fourth quarter of 2022 at the holders’ option. Sun NG LLC, our subsidiary, has the right during certain periods each year, with or without cause, or for cause at any time, to elect to buy NG Sun LLC’s interest. During a limited period in 2022, NG Sun LLC has the right to put its interest to Sun NG LLC. If either party exercises their option, the property management agreement will be terminated and the Company is required to purchase the remaining interests of NG Sun LLC and the property management agreement at fair value. Refer to Note 3, “Real Estate Acquisitions,” Note 8, “Consolidated Variable Interest Entities,” and Note 9, “Debt and Lines of Credit” for additional information.

Conversions

Subject to certain limitations, holders can convert certain series of stock and OP units to shares of our common stock at any time. Below is the activity of conversions during the six months ended June 30, 2019 and 2018:

		Six Months Ended		Six Months Ended
		June 30, 2019		June 30, 2018
Series	Conversion Rate	Units/Shares Converted	Common Stock	Units/Shares Converted	Common Stock
Common OP unit	1	436,177	436,177	14,828	14,828
Series A-1 preferred OP unit	2.439	7,950	19,387	8,700	21,217
Series A-4 preferred OP unit	0.4444	4,708	2,092	11,792	5,240
Series A-4 preferred stock	0.4444	11,288	5,016	22,576	10,033
Series C preferred OP unit	1.11	—	—	1,919	2,130

Cash Distributions

Cash Distributions for the three months ended June 30, 2019 were as follows:

Cash Distributions	Record Date	Payment Date	Distribution per Share		Total Distribution (thousands)
Common Stock, Common OP units and Restricted Stock	6/28/2019	7/15/2019	$	0.75	$	67,359
Series A-4 Preferred Stock	6/14/2019	7/1/2019	$	0.40625	$	427

Repurchase Program

In November 2004, our Board of Directors authorized us to repurchase up to 1,000,000 shares of our common stock. We have 400,000 common shares remaining in the repurchase program as of June 30, 2019. No common shares were repurchased during the six months ended June 30, 2019 or 2018. There is no expiration date specified for the buyback program.

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(Unaudited)

11.      Share-Based Compensation

As of June 30, 2019, we had two share-based compensation plans: the Sun Communities, Inc. 2015 Equity Incentive Plan (“2015 Equity Incentive Plan”) and the First Amended and Restated 2004 Non-Employee Director Option Plan (“2004 Non-Employee Director Option Plan”). We believe granting equity awards will provide certain executives, key employees and directors additional incentives to promote our financial success, and promote employee and director retention by providing an opportunity to acquire or increase the direct proprietary interest of those individuals in our operations and future.

The following table shows details on grants of equity awards during the six months ended June 30, 2019:

Grant Period	Type	Plan	Shares Granted		Grant Date Fair Value Per Share			Vesting Type	Vesting Anniversary	Percentage
2019	Executive Officers	2015 Equity Incentive Plan	44,000		$	115.39	(1)	Time Based	20.0% annually over 5 years
2019	Executive Officers	2015 Equity Incentive Plan	66,000	(2)	$	115.39	(2)	Market Condition	3rd	100.0	%
2019	Directors	2004 Non-Employee Director Option Plan	18,000		$	113.68	(1)	Time Based	3rd	100.0	%
2019	Key Employees	2015 Equity Incentive Plan	55,770		$	120.01	(1)	Time Based	20.0% annually over 5 years

⁽¹⁾ The fair value of the grants were determined by using the average closing price of our common stock on the dates the shares were issued.

⁽²⁾ Share-based compensation for restricted stock awards with market conditions is measured based on an estimate of shares expected to vest. We estimate the fair value of share-based compensation for restricted stock with market conditions using a Monte Carlo simulation. At the grant date our common stock price was $115.39. Based on the Monte Carlo simulation we expect 75.1% of the 66,000 shares to vest.

Options

During the six months ended June 30, 2019, 1,500 shares of common stock were issued in connection with the exercise of stock options with net proceeds of less than $0.1 million. There were no stock option exercises during the six months ended June 30, 2018.

Vesting

The vesting requirements for 196,106 restricted shares granted to our executives, directors and employees were satisfied during the six months ended June 30, 2019.

12.     Segment Reporting

We group our operating segments into reportable segments that provide similar products and services. Each operating segment has discrete financial information evaluated regularly by our chief operating decision maker in evaluating and assessing performance. We have two reportable segments: (i) Real Property Operations and (ii) Home Sales and Rentals. The Real Property Operations segment owns, operates, has an interest in a portfolio, and develops MH communities and RV communities, and is in the business of acquiring, operating, and expanding MH and RV communities. The Home Sales and Rentals segment offers manufactured home sales and leasing services to tenants and prospective tenants of our communities.

Transactions between our segments are eliminated in consolidation. Transient RV revenue is included in the Real Property Operations segment revenues and is expected to approximate $132.0 million annually. Transient RV revenue was recognized 19.9 percent in the first quarter, 23.2 percent in the second quarter, and is expected to be 41.3 percent and 15.6 percent in the third and fourth quarters, respectively. Transient revenue was $106.2 million for the year ended December 31, 2018. We recognized 20.7 percent in the first quarter, 20.3 percent in the second quarter, 42.6 percent in the third quarter, and 16.4 percent in the fourth quarter.

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(Unaudited)

A presentation of segment financial information is summarized as follows (in thousands):

	Three Months Ended
	June 30, 2019									June 30, 2018
	Real Property Operations			Home Sales and Rentals			Consolidated			Real Property Operations			Home Sales and Rentals			Consolidated
Revenues	$	243,364		$	61,654		$	305,018		$	210,701		$	54,565		$	265,266
Operating expenses / Cost of sales	94,094			39,526			133,620			81,008			36,247			117,255
Net operating income / Gross profit	149,270			22,128			171,398			129,693			18,318			148,011
Adjustments to arrive at net income / (loss)
Interest and other revenues, net	7,427			—			7,427			6,168			—			6,168
Home selling expenses	—			(3,626		)	(3,626		)	—			(3,986		)	(3,986		)
General and administrative	(20,722		)	(2,975		)	(23,697		)	(18,600		)	(2,852		)	(21,452		)
Catastrophic weather related charges, net	(171		)	(8		)	(179		)	22			(75		)	(53		)
Depreciation and amortization	(57,054		)	(19,099		)	(76,153		)	(50,811		)	(16,962		)	(67,773		)
Loss on extinguishment of debt	(70		)	—			(70		)	(1,522		)	—			(1,522		)
Interest expense	(33,656		)	(5		)	(33,661		)	(32,254		)	(6		)	(32,260		)
Interest on mandatorily redeemable preferred OP units / equity	(1,181		)	—			(1,181		)	(790		)	—			(790		)
Remeasurement of marketable securities	3,620			—			3,620			—			—			—
Other income / (expense), net	1,061			(40		)	1,021			(1,829		)	1			(1,828		)
Income / (loss) from nonconsolidated affiliates	—			393			393			—			(8		)	(8		)
Current tax expense	(179		)	(93		)	(272		)	(135		)	(90		)	(225		)
Deferred tax benefit	96			—			96			(112		)	—			(112		)
Net income / (loss)	48,441			(3,325		)	45,116			29,830			(5,660		)	24,170
Less:  Preferred return to preferred OP units / equity	1,718						1,718			1,103			—			1,103
Less:  Amounts attributable to noncontrolling interests	2,740			(155		)	2,585			2,509			(282		)	2,227
Net income / (loss) attributable to Sun Communities, Inc.	43,983			(3,170		)	40,813			26,218			(5,378		)	20,840
Less: Preferred stock distributions	428			—			428			432			—			432
Net income / (loss) attributable to Sun Communities, Inc. common stockholders	$	43,555		$	(3,170	)	$	40,385		$	25,786		$	(5,378	)	$	20,408

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

	Six Months Ended
	June 30, 2019									June 30, 2018
	Real Property Operations			Home Sales and Rentals			Consolidated			Real Property Operations			Home Sales and Rentals			Consolidated
Revenues	$	468,625		$	115,243		$	583,868		$	414,480		$	102,485		$	516,965
Operating expenses / Cost of sales	174,434			73,591			248,025			151,857			68,045			219,902
Net operating income / Gross profit	294,191			41,652			335,843			262,623			34,440			297,063
Adjustments to arrive at net income / (loss):
Interest and other revenues, net	15,907			—			15,907			12,444			—			12,444
Home selling expenses	—			(6,950		)	(6,950		)	—			(7,276		)	(7,276		)
General and administrative	(39,956		)	(5,628		)	(45,584		)	(35,787		)	(5,422		)	(41,209		)
Catastrophic weather related charges, net	(953		)	(8		)	(961		)	2,379			(219		)	2,160
Depreciation and amortization	(115,299		)	(37,410		)	(152,709		)	(101,319		)	(32,891		)	(134,210		)
Loss on extinguishment of debt	(723		)	—			(723		)	(1,718		)	—			(1,718		)
Interest expenses	(67,666		)	(9		)	(67,675		)	(63,388		)	(10		)	(63,398		)
Interest on mandatorily redeemable preferred OP units / equity	(2,275		)	—			(2,275		)	(1,409		)	—			(1,409		)
Remeasurement of marketable securities	3,887			—			3,887			—			—			—
Other income / (expense), net	2,921			(2		)	2,919			(4,445		)	—			(4,445		)
Income / (loss) from nonconsolidated affiliates	—			737			737			—			(67		)	(67		)
Current tax expense	(301		)	(185		)	(486		)	(231		)	(168		)	(399		)
Deferred tax benefit	313			—			313			235			—			235
Net income / (loss)	90,046			(7,803		)	82,243			69,384			(11,613		)	57,771
Less:  Preferred return to preferred OP units / equity	3,041			—			3,041			2,183			—			2,183
Less:  Amounts attributable to noncontrolling interests	3,999			(373		)	3,626			4,900			(579		)	4,321
Net income / (loss) attributable to Sun Communities, Inc.	83,006			(7,430		)	75,576			62,301			(11,034		)	51,267
Less: Preferred stock distributions	860			—			860			873			—			873
Net income / (loss) attributable to Sun Communities, Inc. common stockholders	$	82,146		$	(7,430	)	$	74,716		$	61,428		$	(11,034	)	$	50,394

	June 30, 2019							December 31, 2018
	Real Property Operations			Home Sales and Rentals		Consolidated		Real Property Operations		Home Sales and Rentals		Consolidated
Identifiable assets
Investment property, net	$	6,009,366		$	558,478	$	6,567,844	$	5,586,444	$	531,872	$	6,118,316
Cash and cash equivalents	(5,184		)	33,888		28,704		24,343		25,968		50,311
Marketable securities	53,553			—		53,553		49,037		—		49,037
Inventory of manufactured homes	—			55,869		55,869		—		49,199		49,199
Notes and other receivables, net	146,648			17,655		164,303		145,673		14,404		160,077
Collateralized receivables, net	97,658			—		97,658		106,924		—		106,924
Other assets, net	178,195			75,958		254,153		140,027		36,135		176,162
Total assets	$	6,480,236		$	741,848	$	7,222,084	$	6,052,448	$	657,578	$	6,710,026

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(Unaudited)

13.     Income Taxes

We have elected to be taxed as a real estate investment trust (“REIT”) pursuant to Section 856(c) of the Internal Revenue Code of 1986, as amended (“Code”). In order for us to qualify as a REIT, at least 95 percent of our gross income in any year must be derived from qualifying sources. In addition, a REIT must distribute annually at least 90 percent of its REIT taxable income (calculated without any deduction for dividends paid and excluding capital gain) to its stockholders and meet other tests.

Qualification as a REIT involves the satisfaction of numerous requirements (on an annual and quarterly basis) established under highly technical and complex Code provisions for which there are limited judicial or administrative interpretations, and involves the determination of various factual matters and circumstances not entirely within our control. In addition, frequent changes occur in the area of REIT taxation which requires us to continually monitor our tax status. We analyzed the various REIT tests and confirmed that we continued to qualify as a REIT for the quarter ended June 30, 2019.

As a REIT, we generally will not be subject to United States (“U.S.”) federal income taxes at the corporate level on the ordinary taxable income we distribute to our stockholders as dividends. If we fail to qualify as a REIT in any taxable year, our taxable income could be subject to U.S. federal income tax at regular corporate rates. Even if we qualify as a REIT, we may be subject to certain state and local income taxes as well as U.S. federal income and excise taxes on our undistributed income. In addition, taxable income from non-REIT activities managed through taxable REIT subsidiaries is subject to federal, state, and local income taxes. The Company is also subject to local income taxes in Canada as a result of the acquisition of Carefree in 2016. We do not provide for withholding taxes on our undistributed earnings from our Canadian subsidiaries as they are reinvested and will continue to be reinvested indefinitely outside of the U.S.

Deferred tax assets and liabilities reflect the impact of temporary differences between the amounts of assets and liabilities for financial reporting purposes and the bases of such assets and liabilities as measured by tax laws. Deferred tax assets are reduced, if necessary, by a valuation allowance to the amount where realization is more likely than not assured after considering all available evidence. Our temporary differences primarily relate to net operating loss carryforwards, depreciation and basis differences between tax and U.S. GAAP on our Canadian investments. Our deferred tax assets that have a full valuation allowance relate to our taxable REIT subsidiaries (“TRS”) business. Net deferred tax liabilities of $20.1 million and $21.7 million for Canadian entities have been recorded in relation to corporate entities and included in “Other liabilities” in our Consolidated Balance Sheets as of  June 30, 2019 and June 30, 2018, respectively. There are no U.S. federal deferred tax assets or liabilities included in our Consolidated Balance Sheets as of June 30, 2019 and December 31, 2018.

We had no unrecognized tax benefits as of June 30, 2019 and 2018. We do not expect significant changes in tax positions that would result in unrecognized tax benefits within one year of June 30, 2019.

For the three months ended June 30, 2019 and 2018, we recorded a current tax expense for federal, state, and Canadian income taxes of $0.3 million and $0.2 million, respectively. For the six months ended June 30, 2019 and 2018, we recorded a current tax expense of $0.5 million and $0.4 million, respectively.

For the three months ended June 30, 2019, we recorded a deferred tax benefit of $0.1 million. For the three months ended June 30, 2018, we recorded a deferred tax expense $0.1 million. For the six months ended June 30, 2019 and 2018, we recorded a deferred tax benefit of $0.3 million and $0.2 million, respectively.

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(Unaudited)

14.     Earnings Per Share

We have outstanding stock options, unvested restricted common shares, and Series A-4 Preferred Stock, and our Operating Partnership has: outstanding common OP units; Series A-1 preferred OP units; Series A-3 preferred OP units; Series A-4 preferred OP units; Series C preferred OP units; Series D preferred OP units; and Aspen preferred OP Units, which, if converted or exercised, may impact dilution.

Computations of basic and diluted earnings per share were as follows (in thousands, except per share data):

	Three Months Ended						Six Months Ended
	June 30, 2019			June 30, 2018			June 30, 2019			June 30, 2018
Numerator
Net income attributable to common stockholders	$	40,385		$	20,408		$	74,716		$	50,394
Less allocation to restricted stock awards	(448		)	(119		)	(887		)	(422		)
Basic earnings - Net income attributable to common stockholders after allocation to restricted stock awards	39,937			20,289			73,829			49,972
Add allocation to restricted stock awards	448			119			887			422
Diluted earnings - Net income attributable to common stockholders after allocation to restricted stock awards	$	40,385		$	20,408		$	74,716		$	50,394
Denominator
Weighted average common shares outstanding	87,130			79,612			86,325			79,233
Add: dilutive stock options	1			2			1			2
Add: dilutive restricted stock	433			502			444			670
Diluted weighted average common shares and securities	87,564			80,116			86,770			79,905
Earnings per share available to common stockholders after allocation
Basic	$	0.46		$	0.25		$	0.86		$	0.63
Diluted	$	0.46		$	0.25		$	0.86		$	0.63

We have excluded certain convertible securities from the computation of diluted earnings per share because the inclusion of those securities would have been anti-dilutive for the periods presented. The following table presents the outstanding securities that were excluded from the computation of diluted earnings per share as of June 30, 2019 and 2018 (in thousands):

	As of
	June 30, 2019	June 30, 2018
Series A-4 Preferred Stock	1,052	1,063
Common OP units	2,289	2,731
A-1 preferred OP units	324	337
A-3 preferred OP units	40	40
A-4 preferred OP units	406	412
Series C Preferred OP units	314	314
Series D Preferred OP units	489	—
Aspen Preferred OP units	1,284	1,284
Total securities	6,198	6,181

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(Unaudited)

15.     Fair Value of Financial Instruments

Our financial instruments consist primarily of cash and cash equivalents, accounts and notes receivable, accounts payable, and debt.

ASC Topic 820 “Fair Value Measurements and Disclosures,” requires disclosure regarding determination of fair value for assets and liabilities and establishes a hierarchy under which these assets and liabilities must be grouped, based on significant levels of observable or unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s market assumption. This hierarchy requires the use of observable market data when available. These two types of inputs have created the following fair value hierarchy:

Level 1—Quoted unadjusted prices for identical instruments in active markets;

Level 2—Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets; and

Level 3—Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable.

We utilize fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. The following methods and assumptions were used in order to estimate the fair value of each class of financial instruments for which it is practicable to estimate that value:

Marketable Securities

In November 2018, we purchased marketable securities on the Australian Securities Exchange (“ASX”) for total consideration of $54 million US. The marketable securities held by us and accounted for under the ASC 321 “Investment Equity Securities” are measured at fair value. Any change in fair value is recognized in the Consolidated Statement of Operations in Remeasurement of marketable securities in accordance with ASU 2016-01 “Financial Instruments - Overall (Subtopic 825-10): Recognition and measurement of financial assets and financial liabilities.” The fair value is measured by the quoted unadjusted share price of which is readily available in active markets (Level 1).

Installment Notes Receivable on Manufactured Homes

The net carrying value of the installment notes receivable on manufactured homes estimates the fair value as the interest rates in the portfolio are comparable to current prevailing market rates (Level 2). Refer to Note 5, “Notes and Other Receivables.”

Long-Term Debt and Lines of Credit

The fair value of long-term debt (excluding the secured borrowing) is based on the estimates of management and on rates currently quoted, rates currently prevailing for comparable loans, and instruments of comparable maturities (Level 2). Refer to Note 9, “Debt and Lines of Credit.”

Collateralized Receivables and Secured Borrowings

The fair value of these financial instruments offset each other as our collateralized receivables represent a transfer of financial assets and the cash proceeds received from these transactions have been classified as a secured borrowing on the Consolidated Balance Sheets. The net carrying value of the collateralized receivables estimates the fair value as the interest rates in the portfolio are comparable to current prevailing market rates (Level 2). Refer to Note 4, “Collateralized Receivables and Transfers of Financial Assets.”

Financial Liabilities

We estimate the fair value of our contingent consideration liability based on discounting of future cash flows using market interest rates and adjusting for non-performance risk over the remaining term of the liability (Level 2).

24

SUN COMMUNITIES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Other Financial Instruments

The carrying values of cash and cash equivalents, accounts receivable, and accounts payable approximate their fair market values due to the short-term nature of these instruments.

The table below sets forth our financial assets and liabilities that required disclosure of fair value on a recurring basis as of June 30, 2019. The table presents the carrying values and fair values of our financial instruments as of June 30, 2019 and December 31, 2018, that were measured using the valuation techniques described above (in thousands). The table excludes other financial instruments such as cash and cash equivalents, accounts receivable, and accounts payable as the carrying values associated with these instruments approximate fair value since their maturities are less than one year.

	June 30, 2019				December 31, 2018
Financial assets	Carrying Value		Fair Value		Carrying Value		Fair Value
Marketable securities	$	53,553	$	53,553	$	49,037	$	49,037
Installment notes receivable on manufactured homes, net	104,559		104,559		112,798		112,798
Collateralized receivables, net	97,658		97,658		106,924		106,924
Total	$	255,770	$	255,770	$	268,759	$	268,759
Financial liabilities
Debt (excluding secured borrowings)	$	2,933,397	$	2,977,195	$	2,888,572	$	2,757,649
Secured borrowings	98,299		98,299		107,731		107,731
Lines of credit	76,079		76,079		128,000		128,000
Other liabilities (contingent consideration)	4,765		4,765		4,640		4,640
Total	$	3,112,540	$	3,156,338	$	3,128,943	$	2,998,020

16.     Recent Accounting Pronouncements

Recent Accounting Pronouncements - Adopted

In February 2016, the FASB issued ASC 2016-02 codified in ASC Topic 842, Leases, which amends the guidance in former ASC Topic 840, Leases. On January 1, 2019, we adopted ASC 2016-02. The new standard increases transparency and comparability most significantly by requiring the recognition by lessees of right-of-use (“ROU”) assets and lease liabilities on the balance sheet for those leases classified as operating leases and disclose key information about leasing arrangements. As amended by ASU 2018-11, comparative reporting periods are presented in accordance with Topic 840, while periods subsequent to the effective date are presented in accordance with Topic 842. The Company elected the package of practical expedients, which permits the Company not to reassess expired or existing contracts containing a lease, the lease classification for expired or existing contracts, initial direct costs for any existing leases. The Company elected not to allocate lease obligation between lease and non-lease components of our agreements for both leases where we are a lessor and leases where we are a lessee. The Company did not elect the hindsight practical expedient, which permits the company to use hindsight in determining the lease terms and impairment implications. The Company did not elect to use a portfolio approach in the valuation of ROU assets and corresponding liabilities. Some ROU assets include an extension option, which is included in the ROU assets and liabilities only if we are reasonably certain to exercise.

Lessor Accounting

Our income from real property and rental home revenue streams are derived from rental agreements where we are the lessor. Our recognition of rental revenue remains mainly consistent with previous guidance, apart from the narrower definition of initial direct costs that can be capitalized.

ASC 842 limits the definition of initial direct costs to only the incremental costs of signing a lease. Internal sales employees’ compensation, payroll-related fringe benefits, certain legal fees rendered prior to the execution of a lease, negotiation costs, advertising and other origination effort costs no longer meet the definition of initial direct costs under the new standard, and will be accounted for as general and administrative expense in our condensed consolidated statements of operations. ASC 842 permits the capitalization of direct commission costs. The application of ASC 842 resulted in an immaterial impact on the statement of consolidated operations.

25

SUN COMMUNITIES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Our leases with customers are classified as operating leases. Lease income from tenants is recognized on a straight-line basis over the terms of the relevant lease agreement and is included within income from real property, rental home revenue and ancillary revenue on the Consolidated Statements of Operations. Revenue is not recognized when collection is not reasonably assured. When collectability is not reasonably assured, the resident is placed on non-accrual status and revenue is recognized when cash payments are received.

Lessee Accounting

We determine if an arrangement is a lease at inception. Our operating lease agreements are primarily for executive office spaces, ground leases at certain communities, and certain equipment leases. The ROU asset and ROU liabilities are included within Other assets, net and Other liabilities on the Consolidated Balance Sheets.

For operating leases with a term greater than one year, the company recognizes the ROU assets and liabilities related to the lease payments on the Consolidated Balance Sheets. The lease liabilities are initially and subsequently measured at the present value of the unpaid lease payments at the lease commencement date. The ROU assets represent our right to use the underlying assets for the term of the lease and the lease liabilities represent our obligation to make lease payments arising for the agreements. The ROU asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for lease payments made at or before the lease commencement date, plus any initial direct costs incurred less any lease incentives received. The ROU asset is subsequently measured throughout the lease term at the carrying amount of the lease liability, plus unamortized initial direct costs, plus (minus) any prepaid (accrued) lease payments, less the unamortized balance of lease incentives received. Lease expense for lease payments is recognized on a straight-line basis over the lease term. The ROU asset is periodically reduced by impairment losses. As of June 30, 2019, we have not encountered any impairment losses. Variable lease payments, except for the ones that depend on index or rate, are excluded from the calculation of the ROU assets and lease liabilities and are recognized as variable lease expense in the consolidated Statement of Operations in the period in which they are incurred. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Many of our lessee agreements include options to extend the lease, which we do not include in our minimum lease terms unless they are reasonably certain to be exercised. The Lease liability costs are amortized over the straight-line method over the term of the lease. Operating leases with a term of less than one year are recognized as a lease expense over the term of the lease, with no asset or liability recognized on the Consolidated Balance Sheets.

Finance leases where we are the lessee are included in Other assets, net and Other liabilities on our Consolidated Balance Sheets. The lease liabilities are initially measured in the same manner as operating leases and are subsequently measured at amortized cost using the effective interest method. The ROU asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for lease payments made at or before the lease commencement date, plus any initial direct costs incurred less any lease incentives received. For finance leases the ROU asset is subsequently amortized using the straight-line method from the lease commencement date to the earlier of the end of its useful life or the end of the lease term unless the lease transfers ownership of the underlying asset to us, or we are reasonably certain to exercise an option to purchase the underlying asset. In those cases, the ROU asset is amortized over the useful life of the underlying asset. Amortization of the ROU asset is recognized and presented separately from interest expense on the lease liability. ROU assets are periodically reduced by impairment losses. As of June 30, 2019, we have not encountered any impairment losses. Refer to Note 18, “Leases,” for information regarding leasing activities.

On January 1, 2018, we adopted ASU 2014-09 “Revenue from Contracts with Customers (Topic 606).” Refer to Note 2, “Revenue” for information regarding our adoption of this guidance.

On January 1, 2018, we adopted ASU 2017-01 “Business Combinations (Topic 805): Clarifying the Definition of a Business” and now capitalize direct acquisition related costs as part of the purchase price of asset acquisitions. Under previous guidance, substantially all of our property acquisitions were accounted for as business combinations with identifiable assets and liabilities measured at fair value, and acquisition related costs expensed as incurred.

On January 1, 2018, we adopted ASU 2016-18 “Statement of Cash Flows (Topic 230): Restricted Cash.” This update required inclusion of restricted cash and restricted cash equivalents with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows.

Our restricted cash consists of amounts primarily held in deposit for tax, insurance and repair escrows held by lenders in accordance with certain debt agreements. Restricted cash is included as a component of Other assets, net on the Consolidated Balance Sheets. Changes in restricted cash are reported in our Consolidated Statements of Cash Flows as operating, investing or financing activities based on the nature of the underlying activity.

26

SUN COMMUNITIES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

The following table reconciles our beginning-of-period and end-of-period balances of cash, cash equivalents and restricted cash for the periods shown (in thousands):

	June 30, 2019		December 31, 2018		June 30, 2018		December 31, 2017
Cash and cash equivalents	$	28,704	$	50,311	$	20,046	$	10,127
Restricted cash	17,334		11,951		16,755		13,382
Cash, cash equivalents and restricted cash	$	46,038	$	62,262	$	36,801	$	23,509

Recent Accounting Pronouncements - Not Yet Adopted

In June 2016, the FASB issued ASU 2016-13 “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” This update replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The amendments in this update are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. We are in the process of reviewing the population and analyzing the impact of the guidance on our accounting policies regarding assessment of, and allowance for, credit losses on loans and other financial instruments.

17.    Commitments and Contingencies

Legal Proceedings

We are involved in various legal proceedings arising in the ordinary course of business. All such proceedings, taken together, are not expected to have a material adverse impact on our results of operations or financial condition.

18.    Leases

Lessee accounting:

Future minimum lease payments under non-cancellable leases as of the quarter ended June 30, 2019 where we are the lessee include:

Maturity of lease liabilities (in thousands)
	Operating Leases			Finance Leases			Total
2019 (excluding the six months ended June 30, 2019)	$	1,086		$	105		$	1,191
2020	2,397			120			2,517
2021	2,446			120			2,566
2022	2,483			120			2,603
2023	2,509			120			2,629
Thereafter	13,725			4,060			17,785
Total lease payments	$	24,646		$	4,645		$	29,291
Less: Imputed interest	(6,083		)	(511		)	(6,594		)
Present Value of lease liabilities	$	18,563		$	4,134		$	22,697

27

SUN COMMUNITIES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

ROU assets and lease liabilities for finance and operating leases as included in our Consolidated Financial Statements are as follows:

Lease asset and liabilities (in thousands)
	Classification	June 30, 2019			Classification	December 31, 2018
Lease assets
Right-of-use asset obtained in exchange for new finance lease liabilities	Other Asset, net	$	4,134	Capital lease asset	Land	$	4,098
Right-of-use asset obtained in exchange for new operating lease liabilities	Other Asset, net	$	18,316	n/a
Right-of-use asset obtained relative to below market operating lease	Other Asset, net	$	28,742	Below market Lease intangible asset	Other Asset, net	$	29,118
Lease liabilities
Finance lease liabilities	Other Liabilities	$	4,134	Capital lease liabilities	Other Liabilities	$	4,098
Operating lease liabilities	Other Liabilities	$	18,563	n/a

Lease expense for finance and operating leases as included in our Consolidated Financial Statements are as follows:

Lease Expense (in thousands)		Three Months Ended		Six Months Ended
	Classification	June 30, 2019		June 30, 2019
Finance Lease Expense
Amortization of right-of-use assets	Interest Expense	$	18	$	36
Interest on lease liabilities	Interest Expense	26		52
Operating lease cost	General and administrative, Property Operating and maintenance	982		1,804
Variable lease cost	Property Operating and maintenance	427		746
Total lease Expense		$	1,453	$	2,638

		Three Months Ended		Six Months Ended
	Classification	June 30, 2019		June 30, 2019
Capital Lease Expense
Amortization of lease	Interest Expense	$	18	$	36
Interest on lease liabilities	Interest Expense	26		52
Operating lease expense	General and administrative, Property Operating and maintenance	829		1,680
Below market ground lease amortization expense	Property Operating and maintenance	223		445
Total lease Expense		$	1,096	$	2,213

Lease term, discount rates and additional information for finance and operating leases are as follows:

Lease term and discount rate
	June 30, 2019
Weighted-average remaining lease term (years)
Finance lease	5.00
Operating lease	12.25
Weighted-average discount rate
Finance lease	2.50	%
Operating lease	4.06	%

Other Information (in thousands)	Six Months Ended		Six Months Ended
	June 30, 2019		June 30, 2018
Cash paid for amounts included in the measurement of lease liabilities
Operating Cash flow from Operating leases	$	1,130	$	2,052
Financing cash flow from Finance leases	15		15
Total Cash paid on lease liabilities	$	1,145	$	2,067

28

SUN COMMUNITIES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

As of the quarter ended June 30, 2019, we have an additional executive office space operating lease for $2.9 million which will commence in November 2019 with a lease term of seven years.

Related Party Leases: Lease of Executive Offices. Gary A. Shiffman, together with certain of his family members, indirectly owns an equity interest of approximately 28.1 percent in American Center LLC, the entity from which we lease office space for our principal executive offices. Each of Brian M. Hermelin, Ronald A. Klein and Arthur A. Weiss indirectly owns a less than one percent interest in American Center LLC. Mr. Shiffman is our Chief Executive Officer and Chairman of the Board. Each of Mr. Hermelin, Mr. Klein and Mr. Weiss is a director of the Company. Under this agreement, we lease approximately 103,100 rentable square feet of permanent space. The initial term of the lease is until October 31, 2026, and the average gross base rent is $18.55 per square foot until October 31, 2019 with graduated rental increases thereafter. Each of Mr. Shiffman, Mr. Hermelin, Mr. Klein and Mr. Weiss may have a conflict of interest with respect to his obligations as our officer and/or director and his ownership interest in American Center LLC.

Lessor Accounting:

We are not the lessor for any finance leases as of June 30, 2019. Over 99 percent of our operating leases where we are the lessor are either month to month or for a time period not to exceed one year.  As of the reporting date, future minimum lease payments would not exceed twelve months.  Similarly, over 95 percent of our investment property, net on the Consolidated Balance Sheets, and related depreciation amounts relate to assets whereby we are the lessor under an operating lease.

19.    Subsequent Events

Subsequent to the quarter ended June 30, 2019, we acquired a RV resort in Ponchatoula, Louisiana with 202 developed sites and 69 expansion sites for $23.5 million.

We have evaluated our Consolidated Financial Statements for subsequent events through the date that this Form 10-Q was issued.

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ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following discussion and analysis of the consolidated financial condition and results of operations should be read in conjunction with the Consolidated Financial Statements and Notes filed herewith, along with our 2018 Annual Report. Capitalized terms are used as defined elsewhere in this Quarterly Report on Form 10-Q.

OVERVIEW

We are a fully integrated, self-administered and self-managed REIT. As of June 30, 2019, we owned and operated or held an interest in a portfolio of 382 developed properties located in 31 states throughout the U.S. and one province in Canada, including 235 MH communities, 116 RV communities, and 31 properties containing both MH and RV sites.

We have been in the business of acquiring, operating, developing, and expanding MH and RV communities since 1975. We lease individual sites with utility access for placement of manufactured homes and RVs to our customers. We are also engaged through SHS in the marketing, selling, and leasing of new and pre-owned homes to current and future residents in our communities. The operations of SHS support and enhance our occupancy levels, property performance, and cash flows.

SIGNIFICANT ACCOUNTING POLICIES

We have identified significant accounting policies that, as a result of the judgments, uncertainties, and complexities of the underlying accounting standards and operations involved could result in material changes to our financial condition or results of operations under different conditions or using different assumptions. Details regarding significant accounting policies are described fully in our 2018 Annual Report.

NON-GAAP FINANCIAL MEASURES

In addition to the results reported in accordance with GAAP in our “Results of Operations” below, we have provided information regarding net operating income (“NOI”) and funds from operations (“FFO”) as supplemental performance measures. We believe NOI and FFO are appropriate measures given their wide use by and relevance to investors and analysts following the real estate industry. NOI provides a measure of rental operations and does not factor in depreciation, amortization and non-property specific expenses such as general and administrative expenses. FFO, reflecting the assumption that real estate values rise or fall with market conditions, principally adjusts for the effects of GAAP depreciation/amortization of real estate assets. In addition, NOI and FFO are commonly used in various ratios, pricing multiples/yields and returns and valuation calculations used to measure financial position, performance and value.

NOI is derived from revenues minus property operating expenses and real estate taxes. NOI is a non-GAAP financial measure that we believe is helpful to investors as a supplemental measure of operating performance because it is an indicator of the return on property investment, and provides a method of comparing property performance over time. We use NOI as a key measure when evaluating performance and growth of particular properties and/or groups of properties. The principal limitation of NOI is that it excludes depreciation, amortization, interest expense and non-property specific expenses such as general and administrative expenses, all of which are significant costs. Therefore, NOI is a measure of the operating performance of our properties rather than of the Company overall.

We believe that GAAP net income (loss) is the most directly comparable measure to NOI. NOI should not be considered to be an alternative to GAAP net income (loss) as an indication of our financial performance or GAAP cash flow from operating activities as a measure of our liquidity; nor is it indicative of funds available for our cash needs, including our ability to make cash distributions. Because of the inclusion of items such as interest, depreciation, and amortization, the use of GAAP net income (loss) as a performance measure is limited as these items may not accurately reflect the actual change in market value of a property, in the case of depreciation and in the case of interest, may not necessarily be linked to the operating performance of a real estate asset, as it is often incurred at a parent company level and not at a property level.

FFO is defined by the National Association of Real Estate Investment Trusts (“NAREIT”) as GAAP net income (loss), excluding gains (or losses) from sales of depreciable operating property, plus real estate-related depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures. FFO is a non-GAAP financial measure that management believes is a useful supplemental measure of our operating performance. By excluding gains and losses related to sales of previously depreciated operating real estate assets, impairment and excluding real estate asset depreciation and amortization (which can vary among owners of identical assets in similar condition based on historical cost accounting and useful life estimates), FFO provides a performance measure that, when compared period-over-period, reflects the impact to operations from trends in occupancy rates, rental rates, and operating costs, providing perspective

30

not readily apparent from GAAP net income (loss). Management believes the use of FFO has been beneficial in improving the understanding of operating results of REITs among the investing public and making comparisons of REIT operating results more meaningful. We also use FFO excluding certain gain and loss items that management considers unrelated to the operational and financial performance of our core business (“Core FFO”). We believe that Core FFO provides enhanced comparability for investor evaluations of period-over-period results.

We believe that GAAP net income (loss) is the most directly comparable measure to FFO. The principal limitation of FFO is that it does not replace GAAP net income (loss) as a performance measure or GAAP cash flow from operations as a liquidity measure. Because FFO excludes significant economic components of GAAP net income (loss) including depreciation and amortization, FFO should be used as a supplement to GAAP net income (loss) and not as an alternative to it. Further, FFO is not intended as a measure of a REIT’s ability to meet debt principal repayments and other cash requirements, nor as a measure of working capital. FFO is calculated in accordance with our interpretation of standards established by NAREIT, which may not be comparable to FFO reported by other REITs that interpret the NAREIT definition differently.

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RESULTS OF OPERATIONS

We report operating results under two segments: Real Property Operations and Home Sales and Rentals. The Real Property Operations segment owns, operates, develops, or has an interest in, a portfolio of MH and RV communities throughout the U.S. and in Canada, and is in the business of acquiring, operating, and expanding MH and RV communities. The Home Sales and Rentals segment offers MH and RV park model sales and leasing services to tenants and prospective tenants of our communities. We purchase new homes and acquire pre-owned and repossessed manufactured homes, generally located within our communities, from lenders, dealers, and former residents to sell or lease to current and prospective residents. We evaluate segment operating performance based on NOI and gross profit. Refer to Note 12, “Segment Reporting,” in our accompanying Consolidated Financial Statements for additional information.

Comparison of the Three and Six Months Ended June 30, 2019 and 2018

Summary Statements of Operations

The following table summarizes our consolidated financial results and reconciles net income to NOI for the three and six months ended June 30, 2019 and 2018 (in thousands):

	Three Months Ended						Six Months Ended
	June 30, 2019			June 30, 2018			June 30, 2019			June 30, 2018
Net income attributable to Sun Communities, Inc. common stockholders	$	40,385		$	20,408		$	74,716		$	50,394
Other revenues	(7,427		)	(6,168		)	(15,907		)	(12,444		)
Home selling expenses	3,626			3,986			6,950			7,276
General and administrative	23,697			21,452			45,584			41,209
Catastrophic weather related charges, net	179			53			961			(2,160		)
Depreciation and amortization	76,153			67,773			152,709			134,210
Loss on extinguishment of debt	70			1,522			723			1,718
Interest expense	34,842			33,050			69,950			64,807
Remeasurement of marketable securities	(3,620		)	—			(3,887		)	—
Other (income) / expense, net	(1,021		)	1,828			(2,919		)	4,445
(Income) / loss from nonconsolidated affiliates	(393		)	8			(737		)	67
Current tax expense	272			225			486			399
Deferred tax (benefit) / expense	(96		)	112			(313		)	(235		)
Preferred return to preferred OP units / equity	1,718			1,103			3,041			2,183
Amounts attributable to noncontrolling interests	2,585			2,227			3,626			4,321
Preferred stock distribution	428			432			860			873
NOI / Gross profit	$	171,398		$	148,011		$	335,843		$	297,063

	Three Months Ended						Six Months Ended
	June 30, 2019			June 30, 2018			June 30, 2019			June 30, 2018
Real Property NOI	$	144,485		$	125,903		$	288,025		$	257,648
Home Sales NOI / Gross profit	12,807			10,285			23,148			18,614
Rental Program NOI	26,499			24,572			52,560			48,674
Ancillary NOI / Gross profit	4,785			3,790			6,166			4,975
Site rent from Rental Program (included in Real Property NOI) (1)	(17,178		)	(16,539		)	(34,056		)	(32,848		)
NOI / Gross profit	$	171,398		$	148,011		$	335,843		$	297,063

⁽¹⁾   The renter’s monthly payment includes the site rent and an amount attributable to the leasing of the home. The site rent is reflected in the Real Property Operations segment. For purposes of management analysis, the site rent is included in the Rental Program revenue to evaluate the incremental revenue gains associated with implementation of the Rental Program, and to assess the overall growth and performance of Rental Program and financial impact on our operations.

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Real Property Operations - Total Portfolio

The following tables reflect certain financial and other information for our Total Portfolio as of and for the three and six months ended June 30, 2019 and 2018:

	Three Months Ended									Six Months Ended
	June 30, 2019		June 30, 2018		Change			% Change		June 30, 2019		June 30, 2018		Change			% Change
Financial Information (in thousands)
Income from real property	$	226,099	$	198,670	$	27,429		13.8	%	$	442,878	$	395,881	$	46,997		11.9	%
Property operating expenses
Payroll and benefits	22,097		18,671		3,426			18.3	%	40,968		34,329		6,639			19.3	%
Legal, taxes, and insurance	2,365		2,086		279			13.4	%	4,748		4,568		180			3.9	%
Utilities	23,650		21,606		2,044			9.5	%	48,078		44,159		3,919			8.9	%
Supplies and repair	9,729		7,833		1,896			24.2	%	16,083		13,089		2,994			22.9	%
Other	8,047		8,495		(448		)	(5.3	)%	13,920		14,176		(256		)	(1.8	)%
Real estate taxes	15,726		14,076		1,650			11.7	%	31,056		27,912		3,144			11.3	%
Property operating expenses	81,614		72,767		8,847			12.2	%	154,853		138,233		16,620			12.0	%
Real Property NOI	$	144,485	$	125,903	$	18,582		14.8	%	$	288,025	$	257,648	$	30,377		11.8	%

	As of
	June 30, 2019			June 30, 2018			Change
Other Information
Number of properties	382			367			15
MH occupancy	95.7		%
RV occupancy	100.0		%
MH & RV blended occupancy (1)	96.6		%	96.1		%	0.5		%
Sites available for development	10,823			11,398			(575		)
Monthly base rent per site - MH	$	569		$	546		$	23
Monthly base rent per site - RV (2)	$	473		$	446		$	27
Monthly base rent per site - Total	$	533		$	509		$	24

⁽¹⁾    Overall occupancy percentage includes MH and annual RV sites, and excludes transient RV sites.

⁽²⁾  Monthly base rent pertains to annual RV sites and excludes transient RV sites.

The $18.6 million increase in Real Property NOI consists of $9.0 million from Same Communities as detailed below and $9.6 million from recently acquired properties in the three months ended June 30, 2019 as compared to the same period in 2018.

The $30.4 million increase in Real Property NOI consists of $18.5 million from Same Communities as detailed below and $11.9 million from recently acquired properties in the six months ended June 30, 2019 as compared to the same period in 2018.

33

Real Property Operations - Same Communities

A key management tool used when evaluating performance and growth of our properties is a comparison of our Same Communities. Same Communities consist of properties owned and operated since January 1, 2018. The Same Community data may change from time-to-time depending on acquisitions, dispositions, management discretion, significant transactions, or unique situations. The Same Community data in this Form 10-Q includes all properties which we have owned and operated continuously since January 1, 2018.

In order to evaluate the growth of the Same Communities, management has classified certain items differently than our GAAP statements. The reclassification difference between our GAAP statements and our Same Community portfolio is the reclassification of water and sewer revenues from income from real property to utilities. A significant portion of our utility charges are re-billed to our residents. We have reclassified water and sewer revenues of $8.5 million and $7.8 million for the three months ended June 30, 2019 and 2018, and $16.9 million and $15.7 million for the six months ended June 30, 2019 and 2018, respectively, to reflect the utility expenses associated with our Same Community portfolio net of recovery.

The following tables reflect certain financial and other information for our Same Communities as of and for the three and six months ended June 30, 2019 and 2018. The amounts in the table below reflect constant currency for comparative purposes. Canadian currency figures included within the three and six months ended June 30, 2018 have been translated at 2019 exchange rates:

	Three Months Ended									Six Months Ended
	June 30, 2019		June 30, 2018		Change			% Change		June 30, 2019		June 30, 2018		Change			% Change
Financial Information (in thousands)
Income from real property(1)	$	196,305	$	184,532	$	11,773		6.4	%	$	395,389	$	372,358	$	23,031		6.2	%
Property operating expenses
Payroll and benefits	18,673		17,609		1,064			6.0	%	35,094		33,143		1,951			5.9	%
Legal, taxes, and insurance	2,131		2,047		84			4.1	%	4,322		4,518		(196		)	(4.3	)%
Utilities	13,244		13,325		(81		)	(0.6	)%	27,678		27,788		(110		)	(0.4	)%
Supplies and repair	8,472		7,739		733			9.5	%	14,191		12,898		1,293			10.0	%
Other	5,411		5,402		9			0.2	%	9,866		10,090		(224		)	(2.2	)%
Real estate taxes	14,896		13,896		1,000			7.2	%	29,486		27,662		1,824			6.6	%
Property operating expenses	62,827		60,018		2,809			4.7	%	120,637		116,099		4,538			3.9	%
Real Property NOI	$	133,478	$	124,514	$	8,964		7.2	%	$	274,752	$	256,259	$	18,493		7.2	%

	As of
	June 30, 2019			June 30, 2018			Change
Other Information
Number of properties	345
MH occupancy (2)	97.7		%
RV occupancy (2)	100.0		%
MH & RV blended occupancy (2) (3)	98.2		%	96.2		%	2.0		%
Sites available for development	7,237			7,463			(226		)
Monthly base rent per site - MH	$	568		$	545		$	23
Monthly base rent per site - RV (4)	$	473		$	445		$	28
Monthly base rent per site - Total	$	547		$	523		$	24

⁽¹⁾  The Company adopted ASC 842, the new leasing standard, as of January 1, 2019 which required the reclassification of bad debt expense from Property operating expense to Income from real property. To assist with comparability within Same Community results, bad debt expense has been reclassified to be shown as a reduction of Income from real property for all periods presented.

⁽²⁾  The occupancy percentage includes MH and annual RV sites, and excludes recently completed but vacant expansion sites and transient RV sites.

⁽³⁾   The occupancy percentage for 2018 has been adjusted to reflect incremental growth period-over-period from filled MH expansion sites and the conversion of transient RV sites to annual RV sites.

⁽⁴⁾  Monthly base rent pertains to annual RV sites and excludes transient RV sites.

34

For the three months ended June 30, 2019 and 2018 the 7.2 percent growth in NOI is primarily due to increased Income from real property of $11.8 million, or 6.4 percent. The 6.4 percent increase is primarily attributable to a 2.0 percent increase in occupancy and a 4.5 percent increase in total monthly base rent per site when compared to the same period in 2018. The increase in Income from real property was partially offset by a $2.8 million, or 4.7 percent, increase in Property operating expenses, primarily attributable to increases in Payroll and benefits, Real estate taxes, and Supplies and repair.

For the six months ended June 30, 2019 and 2018 the 7.2 percent growth in NOI is primarily due to increased Income from real property of $23 million, or 6.2 percent. The 6.2 percent increase is primarily attributable to a 2.0 percent increase in occupancy and a 4.5 percent increase in total monthly base rent per site when compared to the same period in 2018. The increase in Income from real property was partially offset by a $4.5 million, or 3.9 percent, increase in Property operating expenses, primarily attributable to increases in Payroll and benefits, Real estate taxes, and Supplies and repair.

35

Home Sales Summary

The following table reflects certain financial and statistical information for our Home Sales Program for the three and six months ended June 30, 2019 and 2018 (in thousands, except for average selling prices and statistical information):

	Three Months Ended											Six Months Ended
Financial Information	June 30, 2019			June 30, 2018			Change			% Change		June 30, 2019			June 30, 2018			Change			% Change
New homes																		`
New home sales	16,704			14,652			2,052			14.0	%	32,085			26,545			5,540			20.9	%
New home cost of sales	14,833			12,712			2,121			16.7	%	27,979			22,909			5,070			22.1	%
NOI / Gross profit - new homes	$	1,871		$	1,940		$	(69	)	(3.6	)%	$	4,106		$	3,636		$	470		12.9	%
Gross margin % – new homes	11.2		%	13.2		%	(2.0		)%			12.8		%	13.7		%	(0.9		)%
Average selling price – new homes	$	120,173		$	109,343		$	10,830		9.9	%	$	121,534		$	110,604		$	10,930		9.9	%
Pre-owned homes
Pre-owned home sales	30,538			26,565			3,973			15.0	%	54,775			49,572			5,203			10.5	%
Pre-owned home cost of sales	19,602			18,220			1,382			7.6	%	35,733			34,594			1,139			3.3	%
NOI / Gross profit - pre-owned homes	$	10,936		$	8,345		$	2,591		31.0	%	$	19,042		$	14,978		$	4,064		27.1	%
Gross margin % – pre-owned homes	35.8		%	31.4		%	4.4		%			34.8		%	30.2		%	4.6		%
Average selling price – pre-owned homes	$	38,754		$	32,837		$	5,917		18.0	%	$	37,491		$	32,190		$	5,301		16.5	%
Revenue from home sales	47,242			41,217			6,025			14.6	%	86,860			76,117			10,743			14.1	%
Cost of home sales	34,435			30,932			3,503			11.3	%	63,712			57,503			6,209			10.8	%
NOI / Gross profit - home sales	$	12,807		$	10,285		$	2,522		24.5	%	$	23,148		$	18,614		$	4,534		24.4	%
Statistical Information
New home sales	139			134			5			3.7	%	264			240			24			10.0	%
Pre-owned home sales	788			809			(21		)	(2.6	)%	1,461			1,540			(79		)	(5.1	)%
Total homes sold	927			943			(16		)	(1.7	)%	1,725			1,780			(55		)	(3.1	)%

Gross profit - new homes

Decreased $0.1 million or 3.6 percent in the three months ended June 30, 2019 as compared to the same period in 2018. This decrease is the result of increased cost of sales that outpaced the increase in selling price in the three months ended June 30, 2019 as compared to the same period in 2018.

Increased $0.5 million or 12.9 percent in the six months ended June 30, 2019, as compared to the same period in 2018. This increase is primarily the result of a 10.0 percent increase in new home sales volumes.

Gross profit - pre-owned homes

Increased $2.6 million, or 31.0 percent in the three months ended June 30, 2019 as compared to the same period in 2018. The increase is primarily the result of a 18.0 percent increase in the average selling price of pre-owned homes.

Increased $4.1 million or 27.1 percent in the six months ended June 30, 2019, as compared to the same period in 2018. This increase is primarily the result of a 16.5 percent increase in the average selling price of pre-owned homes.

36

Rental Program

The following table reflects certain financial and other information for our Rental Program as of and for the three and six months ended June 30, 2019 and 2018 (in thousands, except for statistical information):

	Three Months Ended									Six Months Ended
	June 30, 2019		June 30, 2018		Change			% Change		June 30, 2019		June 30, 2018		Change			% Change
Financial Information
Revenues
Rental home revenue	$	14,412	$	13,348	$	1,064		8.0	%	$	28,383	$	26,368	$	2,015		7.6	%
Site rent from Rental Program (1)	17,178		16,539		639			3.9	%	34,056		32,848		1,208			3.7	%
Rental Program revenue	31,590		29,887		1,703			5.7	%	62,439		59,216		3,223			5.4	%
Expenses
Repairs and refurbishment	2,803		2,207		596			27.0	%	5,107		4,521		586			13.0	%
Taxes and insurance	1,827		1,569		258			16.4	%	3,691		3,115		576			18.5	%
Other	461		1,539		(1,078		)	(70.0	)%	1,081		2,906		(1,825		)	(62.8	)%
Rental Program operating and maintenance	5,091		5,315		(224		)	(4.2	)%	9,879		10,542		(663		)	(6.3	)%
Rental Program NOI	$	26,499	$	24,572	$	1,927		7.8	%	$	52,560	$	48,674	$	3,886		8.0	%
Other Information
Number of sold rental homes	332		275		57			20.7	%	542		509		33			6.5	%
Number of occupied rentals, end of period										11,230		11,072		158			1.4	%
Investment in occupied rental homes, end of period										$	561,219	$	514,756	$	46,463		9.0	%
Weighted average monthly rental rate, end of period										$	975	$	927	$	48		5.2	%

⁽¹⁾   The renter’s monthly payment includes the site rent and an amount attributable to rental home lease. The site rent is reflected in the Real Property Operations segment. For purposes of management analysis, the site rent is included in the Rental Program revenue to evaluate the incremental revenue gains associated with implementation of the Rental Program, and assess the overall growth and performance of the Rental Program and financial impact to our operations.

Rental Program NOI increased by 7.8 percent for the three months ended June 30, 2019 as compared to the same period in 2018. The increase is due to an increase in Rental Program revenues of 5.7 percent, or $1.7 million, which is primarily attributable to a 5.2 percent increase in the weighted average monthly rental rate, coupled with a decrease of $0.2 million in expenses.

Rental Program NOI increased by 8.0 percent for the six months ended June 30, 2019 as compared to the same period in 2018. The increase is primarily due to an increase in Rental Program revenues of 5.4 percent, or $3.2 million, and a decrease in operating and maintenance expenses of 6.3 percent, or $0.7 million. The increase in revenues is partially attributable to a 5.2 percent increase in the weighted average monthly rental rate and a slight increase in the number of occupied rentals. The decrease in operating and maintenance expenses of $0.7 million is primarily the result of commission expenses being capitalized under ASC 842 in the six months ended June 30, 2019 as compared to the same period in 2018.

37

Other Items - Statements of Operations

The following table summarizes other income and expenses for the three and six months ended June 30, 2019 and 2018 (amounts in thousands):

	Three Months Ended											Six Months Ended
	June 30, 2019			June 30, 2018			Change			% Change		June 30, 2019			June 30, 2018			Change			% Change
Ancillary revenues, net	$	4,785		$	3,790		$	995		26.3	%	$	6,166		$	4,975		$	1,191		23.9	%
Interest income	$	4,919		$	5,277		$	(358	)	(6.8	)%	$	9,719		$	10,593		$	(874	)	(8.3	)%
Brokerage commissions and other revenues, net	$	2,508		$	891		$	1,617		181.5	%	$	6,188		$	1,851		$	4,337		234.3	%
Home selling expenses	$	3,626		$	3,986		$	(360	)	(9.0	)%	$	6,950		$	7,276		$	(326	)	(4.5	)%
General and administrative expenses	$	23,697		$	21,452		$	2,245		10.5	%	$	45,584		$	41,209		$	4,375		10.6	%
Catastrophic weather related charges, net	$	179		$	53		$	126		237.7	%	$	961		$	(2,160	)	$	3,121		(144.5	)%
Depreciation and amortization	$	76,153		$	67,773		$	8,380		12.4	%	$	152,709		$	134,210		$	18,499		13.8	%
Loss on extinguishment of debt	$	70		$	1,522		$	(1,452	)	(95.4	)%	$	723		$	1,718		$	(995	)	(57.9	)%
Interest expense (1)	$	34,842		$	33,050		$	1,792		5.4	%	$	69,950		$	64,807		$	5,143		7.9	%
Remeasurement of marketable securities	$	3,620		$	—		$	3,620		—	%	$	3,887		$	—		$	3,887		—	%
Other income / (expense), net	$	1,021		$	(1,828	)	$	2,849		155.9	%	$	2,919		$	(4,445	)	$	7,364		165.7	%
Income / (loss) from nonconsolidated affiliates	$	393		$	(8	)	$	401		5,012.5	%	$	737		$	(67	)	$	804		1,200.0	%
Current tax expense	$	(272	)	$	(225	)	$	(47	)	(20.9	)%	$	(486	)	$	(399	)	$	(87	)	(21.8	)%
Deferred tax benefit / (expense)	$	96		$	(112	)	$	208		(185.7	)%	$	313		$	235		$	78		33.2	%
Preferred return to preferred OP units / equity	$	1,718		$	1,103		$	615		55.8	%	$	3,041		$	2,183		$	858		39.3	%
Amounts attributable to noncontrolling interests	$	2,585		$	2,227		$	358		16.1	%	$	3,626		$	4,321		$	(695	)	(16.1	)%
Preferred stock distribution	$	428		$	432		$	(4	)	(0.9	)%	$	860		$	873		$	(13	)	(1.5	)%

⁽¹⁾  Includes interest expense and interest on mandatorily redeemable preferred OP units / equity

Ancillary revenues, net - for the three and six months ended June 30, 2019, increased primarily due to RV vacation home rental income as a result of increased acquisitions as compared to the same period in 2018.

Interest income - for the three and six months ended June 30, 2019, decreased primarily due to a decrease in our interest bearing receivables as compared to the same period in 2018. Refer to Note 4, “Collateralized Receivables and Transfers of Financial Assets,” and Note 5, “Notes and Other Receivables” of our accompanying Consolidated Financial Statements for additional information.

Brokerage commissions and other revenues, net - for the three months ended June 30, 2019, increased primarily due to a $0.8 million increase in brokerage commissions and a decrease in loan loss reserve estimates, as compared to the same period in 2018. For the six months ended June 30, 2019, increased primarily due to a $1.6 million increase in brokerage commissions, a $1.0 million decrease in loan loss reserve estimates and a $0.9 million increase in dividend income from our investment in marketable securities, as compared to the same period in 2018.

Home selling expenses - decreased primarily due to a 1.7 percent decrease and 3.1 percent decrease in total homes sold for the three and six months ended June 30, 2019, respectively, compared to the same periods in 2018.

General and administrative expenses - for the three and six months ended June 30, 2019, increased primarily due to an increase in wages and incentives as compared to the same periods in 2018.

Catastrophic weather related charges, net - for the six months ended June 30, 2019, the catastrophic weather related charges, net was favorable due to $2.2 million adjustment of insurance recovery estimates, related to our Florida Keys communities in 2018 compared to estimated damage losses for recent weather events of $1.0 million in 2019.

38

Depreciation and amortization - for the three and six months ended June 30, 2019, increased as a result of our recent property acquisitions and ongoing expansion and development activities. Refer to Note 3, “Real Estate Acquisitions” of our accompanying Consolidated Financial Statements for additional information.

Loss on extinguishment of debt - for the three and six months ended June 30, 2019, decreased primarily due to lower prepayment penalties related to debt and financing activity as compared to 2018. Refer to Note 9, “Debt and Lines of Credit” of our accompanying Consolidated Financial Statements for additional information.

Interest expense - for the three and six months ended June 30, 2019, increased primarily due to a net increase in mortgage interest expense as a result of our recent acquisitions and an increase in interest expense on our line of credit due a higher average balance for the quarter and year ended June 30, 2019 as compared to 2018. Refer to Note 9, “Debt and Lines of Credit,” in our accompanying Consolidated Financial Statements for additional information.

Remeasurement of marketable securities - for the three and six months ended June 30, 2019, was $3.6 million and $3.8 million remeasurement loss from our investment in marketable securities. Refer to Note 15, “Fair Value of Financial Instruments,” in our accompanying Consolidated Financial Statements for additional information.

Other income / (expense), net - for the three months ended June 30, 2019, was primarily due to a foreign currency translation gain of $1.1 million as compared to a foreign currency translation loss of $1.7 million during the same period in 2018. In the six months ended June 30, 2019, other income / (expense) was primarily due to a foreign currency translation gain of $3.1 million as compared to a foreign currency translation loss of $4.2 million during the same period in 2018.

Income / (loss) from nonconsolidated affiliates - for the three and six months ended June 30, 2019, was $0.4 million and $0.7 million income respectively, primarily from our investment in GTSC, partially offset by losses at RezPlot. Refer to Note 7, “Investment in Affiliates,” of our accompanying Consolidated Financial Statements for additional information.

Current tax expense - Refer to Note 13, “Income Taxes,” of our accompanying Consolidated Financial Statements for additional information.

Deferred tax benefit / (expense) - Refer to Note 13, “Income Taxes,” of our accompanying Consolidated Financial Statements for additional information.

39

Funds From Operations

The following table reconciles net income to FFO data for diluted purposes for the three and six months ended June 30, 2019 and 2018 (in thousands, except per share amounts):

	Three Months Ended						Six Months Ended
	June 30, 2019			June 30, 2018			June 30, 2019			June 30, 2018
Net income attributable to Sun Communities, Inc. common stockholders:	$	40,385		$	20,408		$	74,716		$	50,394
Adjustments
Depreciation and amortization	76,294			67,977			153,006			134,623
Remeasurement of marketable securities	(3,620		)	—			(3,887		)	—
Amounts attributable to noncontrolling interests	2,158			2,089			2,881			3,978
Preferred return to preferred OP units	537			552			1,064			1,105
Preferred distribution to Series A-4 preferred stock	428			432			860			873
Gain on disposition of assets, net	(8,070		)	(5,835		)	(13,749		)	(10,374		)
FFO attributable to Sun Communities, Inc. common stockholders and dilutive convertible securities (1)	108,112			85,623			214,891			180,599
Adjustments
Other acquisition related costs (2)	366			301			526			436
Loss on extinguishment of debt	70			1,522			723			1,718
Debt premium write-off	—			(209		)	—			(991		)
Catastrophic weather related charges, net	194			53			976			(2,160		)
Loss of earnings - catastrophic weather related (3)	377			325			377			650
Other (income) / expense, net	(1,021		)	1,828			(2,919		)	4,445
Ground lease intangible write-off	—			817			—			817
Deferred tax benefit	(96		)	112			(313		)	(235		)
Core FFO attributable to Sun Communities, Inc. common stockholders and dilutive convertible(1)	$	108,002		$	90,372		$	214,261		$	185,279
Weighted average common shares outstanding - basic	87,130			79,612			86,325			79,233
Add
Common stock issuable upon conversion of stock options	1			2			1			2
Restricted stock	433			502			444			670
Common OP units	2,487			2,735			2,605			2,738
Common stock issuable upon conversion of Series A-4 preferred stock	467			472			467			472
Common stock issuable upon conversion of Series A-3 preferred OP units	75			75			75			75
Common stock issuable upon conversion of Series A-1 preferred OP units	793			825			798			831
Weighted average common shares outstanding - fully diluted	91,386			84,223			90,715			84,021
FFO attributable to Sun Communities, Inc. common stockholders and dilutive convertible securities per share - fully diluted	$	1.18		$	1.02		$	2.37		$	2.15
Core FFO attributable to Sun Communities, Inc. common stockholders and dilutive convertible securities per share - fully diluted	$	1.18		$	1.07		$	2.36		$	2.21

⁽¹⁾    The effect of certain anti-dilutive convertible securities is excluded from these items.

⁽²⁾  These costs represent the expenses incurred to bring recently acquired properties up to our operating standards, including items such as tree trimming and painting costs that do not meet our capitalization policy.

⁽³⁾  Adjustment represents estimated loss of earnings in excess of the applicable business interruption deductible in relation to our three Florida Keys communities that were impaired by Hurricane Irma which had not yet been received from our insurer.

40

LIQUIDITY AND CAPITAL RESOURCES

Our principal liquidity demands have historically been, and are expected to continue to be, distributions to our stockholders and the unit holders of the Operating Partnership, capital improvement of properties, the purchase of new and pre-owned homes, property acquisitions, development and expansion of properties, and debt repayment.

Subject to market conditions, we intend to continue to identify opportunities to expand our development pipeline and acquire existing communities. We finance acquisitions through available cash, secured financing, draws on our lines of credit, the assumption of existing debt on properties, and the issuance of equity securities. We will continue to evaluate acquisition opportunities that meet our criteria. Refer to Note 3, “Real Estate Acquisitions” in our accompanying Consolidated Financial Statements for information regarding recent community acquisitions.

We also intend to continue to strengthen our capital and liquidity positions by focusing on our core fundamentals, which are generating positive cash flows from operations, maintaining appropriate debt levels and leverage ratios, and controlling overhead costs. We intend to meet our liquidity requirements through available cash balances, cash flows generated from operations, draws on our lines of credit, and the use of debt and equity offerings under our shelf registration statement. Refer to Note 9, “Debt and Lines of Credit” and Note 10, “Equity and Temporary Equity” in our accompanying Consolidated Financial Statements for additional information.

Our capital expenditures include expansion and development, lot modifications, recurring capital expenditures and rental home purchases.

For the six months ended June 30, 2019 and 2018, expansion and development activities of $121.3 million and $61.3 million, respectively, related to costs consisting primarily of construction of sites and other costs necessary to complete home site improvements.

For the six months ended June 30, 2019 and 2018, lot modification expenditures were $13.9 million and $9.5 million, respectively. These expenditures improve asset quality in our communities and are incurred when an existing home is removed and the site is prepared for a new home (more often than not, a multi-sectional home). These activities, which are mandated by strict manufacturer’s installation requirements and state building codes, include items such as new foundations, driveways, and utility upgrades.

For the six months ended June 30, 2019 and 2018, recurring capital expenditures of $11.1 million and $7.1 million, respectively, related to our continued commitment to the upkeep of our properties.

We invest in the acquisition of homes intended for the Rental Program. Expenditures for these investments depend upon the condition of the markets for repossessions and new home sales, as well as rental homes. We finance certain of our new home purchases with a $12.0 million manufactured home floor plan facility. Our ability to purchase homes for sale or rent may be limited by cash received from third-party financing of our home sales, available manufactured home floor plan financing and working capital available on our lines of credit.

Our cash flow activities are summarized as follows (in thousands):

	Six Months Ended
	June 30, 2019			June 30, 2018
Net Cash Provided by Operating Activities	$	259,844		$	198,682
Net Cash Used for Investing Activities	$	(570,530	)	$	(407,491	)
Net Cash Provided by Financing Activities	$	294,019		$	222,353
Effect of Exchange Rate Changes on Cash, Cash Equivalents and Restricted Cash	$	443		$	(252	)

Cash, cash equivalents and restricted cash decreased by $16.3 million from $62.3 million as of December 31, 2018, to $46.0 million as of June 30, 2019.

Operating Activities

Net cash provided by operating activities increased by $61.1 million from $198.7 million for the six months ended June 30, 2018 to $259.8 million for the six months ended June 30, 2019.

Our net cash flows provided by operating activities from continuing operations may be adversely impacted by, among other things: (a) the market and economic conditions in our current markets generally, and specifically in metropolitan areas of our current markets; (b)

41

lower occupancy and rental rates of our properties; (c) increased operating costs, such as wage and benefit costs, insurance premiums, real estate taxes and utilities, that cannot be passed on to our tenants; (d) decreased sales of manufactured homes; and (e) current volatility in economic conditions and the financial markets. See “Risk Factors” in Part I, Item 1A of our 2018 Annual Report.

Investing Activities

Net cash used for investing activities was $570.5 million for the six months ended June 30, 2019, compared to $407.5 million for the six months ended June 30, 2018. Refer to Note 3, “Real Estate Acquisitions” in our accompanying Consolidated Financial Statements for additional information.

Financing Activities

Net cash provided by financing activities was $294.0 million for the six months ended June 30, 2019, compared to net cash provided by financing activities of $222.4 million for the six months ended June 30, 2018. Refer to Note 9, “Debt and Lines of Credit” and Note 10, “Equity and Temporary Equity” in our accompanying Consolidated Financial Statements for additional information.

Financial Flexibility

In July 2017, we entered into an at the market offering sales agreement (the “Sales Agreement”) with certain sales agents (collectively, the “Sales Agents”), whereby we may offer and sell shares of our common stock, having an aggregate offering price of up to $450.0 million, from time to time through the Sales Agents. The Sales Agents are entitled to compensation in an agreed amount not to exceed 2.0 percent of the gross price per share for any shares sold from time to time under the Sales Agreement. Through June 30, 2019, we have sold shares of our common stock for gross proceeds of $163.8 million under the Sales Agreement.

In May 2019, we amended and restated our credit agreement (the “A&R Credit Agreement”) with Citibank, N.A. (“Citibank”) and certain other lenders. Pursuant to the A&R Credit Agreement, we entered into a senior credit facility with Citibank and certain other lenders in the amount of $750.0 million, comprised of a $650.0 million revolving loan, with the ability to use up to $100.0 million for advances in Australian dollars, and a $100.0 million term loan (the “A&R Facility”). The Company has until November 18, 2019 to draw on the term loan. As of June 30, 2019, the Company has not drawn any funds on the term loan. The A&R Credit Agreement has a four-year term ending May 21, 2023, which can be extended for two additional six-month periods, subject to the satisfaction of certain conditions as defined in the credit agreement. The A&R Credit Agreement also provides for, subject to the satisfaction of certain conditions, additional commitments in an amount not to exceed $350.0 million. If additional borrowings are made pursuant to any such additional commitments, the aggregate borrowing limit under the A&R Facility may be increased up to $1.1 billion.

The A&R Facility bears interest at a floating rate based on the Eurodollar rate or BBSY Bid rate plus a margin that is determined based on our leverage ratio calculated in accordance with the A&R Credit Agreement, which margin can range from 1.20 percent to 2.10 percent for the revolving loan and 1.20 percent to 2.05 percent for the term loan. As of June 30, 2019, the margin based on our leverage ratio was 1.20 percent on the revolving loan and 1.20 percent on the term loan. We had $71.0 million and zero of borrowings on the revolving loan and the term loans, respectively, as of June 30, 2019.

The A&R Facility provides us with the ability to issue letters of credit. Our issuance of letters of credit does not increase our borrowings outstanding under our line of credit, but does reduce the borrowing amount available. At June 30, 2019 and December 31, 2018, approximately $5.5 million and $3.9 million of availability was used to back standby letters of credit.

42

Pursuant to the terms of the A&R Facility, we are subject to various financial and other covenants. We are currently in compliance with these covenants. The most restrictive financial covenants for the A&R Facility are as follows:

Covenant	Requirement	As of June 30, 2019
Maximum Leverage Ratio	<65.0%	26.4%
Minimum Fixed Charge Coverage Ratio	>1.40	3.14
Minimum Tangible Net Worth	>$3,257,121	$5,221,696
Maximum Dividend Payout Ratio	<95.0%	58.2%

We anticipate meeting our long-term liquidity requirements, such as scheduled debt maturities, large property acquisitions, expansion and development of communities, and Operating Partnership unit redemptions through the issuance of certain debt or equity securities and/or the collateralization of our properties. At June 30, 2019, we had 197 unencumbered properties, of which 65 support the borrowing base for our $650.0 million revolving loan in our A&R Facility. 

From time to time, we may also issue shares of our capital stock, issue equity units in our Operating Partnership, obtain debt financing, or sell selected assets. Our ability to finance our long-term liquidity requirements in such a manner will be affected by numerous economic factors affecting the MH and RV community industry at the time, including the availability and cost of mortgage debt, our financial condition, the operating history of the properties, the state of the debt and equity markets, and the general national, regional, and local economic conditions. When it becomes necessary for us to approach the credit markets, the volatility in those markets could make borrowing more difficult to secure, more expensive, or effectively unavailable. See “Risk Factors” in Part I, Item 1A of our 2018 Annual Report and in Part II, Item 1A of this report. If we are unable to obtain additional debt or equity financing on acceptable terms, our business, results of operations and financial condition would be adversely impacted.

As of June 30, 2019, our net debt to enterprise value was approximately 20.2 percent (assuming conversion of all common OP units, Series A-1 preferred OP units, Series A-3 preferred OP units, Series A-4 preferred OP units, Series C preferred OP units and Series D preferred OP units to shares of common stock). Our debt has a weighted average maturity of approximately 9.9 years and a weighted average interest rate of 4.4 percent.

43

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

This Quarterly Report on Form 10-Q contains various “forward-looking statements” within the meaning of the Securities Act of 1933, as amended (the “Securities Act”), and the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and we intend that such forward-looking statements will be subject to the safe harbors created thereby. For this purpose, any statements contained in this filing that relate to expectations, beliefs, projections, future plans and strategies, trends or prospective events or developments and similar expressions concerning matters that are not historical facts are deemed to be forward-looking statements. Words such as “forecasts,” “intends,” “intend,” “intended,” “goal,” “estimate,” “estimates,” “expects,” “expect,” “expected,” “project,” “projected,” “projections,” “plans,” “predicts,” “potential,” “seeks,” “anticipates,” “anticipated,” “should,” “could,” “may,” “will,” “designed to,” “foreseeable future,” “believe,” “believes,” “scheduled,” “guidance” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these words. These forward-looking statements reflect our current views with respect to future events and financial performance, but involve known and unknown risks and uncertainties, both general and specific to the matters discussed in this filing. These risks and uncertainties may cause our actual results to be materially different from any future results expressed or implied by such forward-looking statements. In addition to the risks disclosed under “Risk Factors” in Part I, Item IA, contained in our 2018 Annual Report and Item 8.01 in our Current Report on Form 8-K filed February 22, 2019, and our other filings with the SEC, such risks and uncertainties include, but are not limited to:

• changes in general economic conditions, the real estate industry, and the markets in which we operate;

• difficulties in our ability to evaluate, finance, complete and integrate acquisitions, developments and expansions successfully;

• our liquidity and refinancing demands;

• our ability to obtain or refinance maturing debt;

• our ability to maintain compliance with covenants contained in our debt facilities;

• availability of capital;

• changes in foreign currency exchange rates, including between the U.S. dollar and each of the Canadian and the Australian dollar;

• our ability to maintain rental rates and occupancy levels;

• our failure to maintain effective internal control over financial reporting and disclosure controls and procedures;

• increases in interest rates and operating costs, including insurance premiums and real property taxes;

• risks related to natural disasters such as hurricanes, earthquakes, floods and wildfires;

• general volatility of the capital markets and the market price of shares of our capital stock;

• our failure to maintain our status as a REIT;

• changes in real estate and zoning laws and regulations;

• legislative or regulatory changes, including changes to laws governing the taxation of REITs;

• litigation, judgments or settlements;

• competitive market forces;

• the ability of manufactured home buyers to obtain financing; and

• the level of repossessions by manufactured home lenders.

Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date the statement was made. We undertake no obligation to publicly update or revise any forward-looking statements included or incorporated by reference into this filing, whether as a result of new information, future events, changes in our expectations or otherwise, except as required by law.

Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. All written and oral forward-looking statements attributable to us or persons acting on our behalf are qualified in their entirety by these cautionary statements.

44

ITEM 3.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Market risk is the exposure to loss resulting from changes in market factors such as interest rates, foreign currency exchange rates, commodity prices, and equity prices.

Interest Rate Risk

Our principal market risk exposure is interest rate risk. We mitigate this risk by maintaining prudent amounts of leverage, minimizing capital costs, and interest expense while continuously evaluating all available debt and equity resources and following established risk management policies and procedures, which include the periodic use of derivatives. Our primary strategy in entering into derivative contracts is to minimize the variability that interest rate changes could have on our future cash flows. From time to time, we employ derivative instruments that effectively convert a portion of our variable rate debt to fixed rate debt. We do not enter into derivative instruments for speculative purposes.

Our variable rate debt totaled $76.1 million and $536.8 million as of June 30, 2019 and 2018, respectively, and bears interest at Prime or various LIBOR rates. If Prime or LIBOR increased or decreased by 1.0 percent, our interest expense would have increased or decreased by approximately $1.5 million and $1.4 million for the six months ended June 30, 2019 and 2018, respectively, based on the $307.1 million and $291.5 million average balances outstanding under our variable rate debt facilities, respectively.

Foreign Currency Exchange Rate Risk

Foreign currency exchange rate risk is the risk that fluctuations in currencies against the U.S. dollar will negatively impact our results of operations. We are exposed to foreign currency exchange rate risk as a result of remeasurement and translation of the assets and liabilities of our Canadian properties, and our Australian equity investment and joint venture into U.S. dollars. Fluctuations in foreign currency exchange rates can therefore create volatility in our results of operations and may adversely affect our financial condition.

At June 30, 2019 and December 31, 2018, our stockholder’s equity included $159.2 million and $141.4 million from our Canadian subsidiaries and Australian equity investments, respectively, which represented 4.5 percent and 4.6 percent of total stockholder’s equity, respectively. Based on our sensitivity analysis, a 10.0 percent strengthening of the U.S. dollar against the Canadian and Australian dollar would have caused a reduction of $15.9 million and $14.1 million to our total stockholder’s equity at June 30, 2019 and December 31, 2018, respectively.

ITEM 4.  CONTROLS AND PROCEDURES

Evaluation of disclosure controls and procedures

We maintain disclosure controls and procedures designed to provide reasonable assurance that information required to be disclosed in reports filed under the Exchange Act is recorded, processed, summarized and reported within the specified time periods and accumulated and communicated to our management, including our principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosure.

Our management, with the participation of our CEO and CFO, evaluated the effectiveness of our disclosure controls and procedures (pursuant to Rules 13a-15(e) or 15d-15(e) of the Exchange Act) at June 30, 2019. Based upon this evaluation, our CEO and CFO concluded that our disclosure controls and procedures were effective as of June 30, 2019.

Changes in internal control over financial reporting

There have not been any changes in our internal control over financial reporting during the three months ended June 30, 2019 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

45

PART II – OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS

Refer to “Legal Proceedings” in Part 1 - Item 1 - Note 17, “Commitments and Contingencies” in our accompanying Consolidated Financial Statements.

ITEM 1A.  RISK FACTORS

In addition to the other information set forth in this report, you should carefully consider the factors described in Part 1, Item 1A, “Risk Factors,” in our 2018 Annual Report, Item 8.01 in our Current Report on Form 8-K filed February 22, 2019, and Item 1A “Risk Factors” in our Quarterly Report on Form 10-Q filed April 25, 2019 which could materially affect our business, financial condition or future results. There have been no material changes to the disclosure on these matters as set forth in such reports.

ITEM 2.  UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

Holders of our OP units and Preferred stock have converted the following units during the three months ended June 30, 2019:

		Three Months Ended
		June 30, 2019
Series	Conversion Rate	Units/Shares Converted	Common Stock
Common OP unit	1	429,644	429,644
Series A-1 preferred OP unit	2.439	4,000	9,754
Series A-4 preferred OP unit	0.4444	4,708	2,092
Series A-4 preferred stock	0.4444	11,288	5,016

All of the above shares of common stock were issued in private placements in reliance on Section 4(a)(2) of the Securities Act of 1933, as amended, including Regulation D promulgated thereunder. No underwriters were used in connection with any of such issuances.

46

ITEM 6.  EXHIBITS

Exhibit No.	Description	Method of Filing
10.1	Third Amended and Restated Credit Agreement, dated May 21, 2019, among Sun Communities Operating Limited Partnership, as Borrower, Citibank, N.A., as Administrative Agent, Swing Line Lender and L/C Issuer, Citibank, N.A., BofA Securities, Inc., and BMO Capital Markets, as Joint Lead Arrangers, and Citibank, N.A., BofA Securities, Inc., as Joint Bookrunners, and Bank of America, N.A. and Bank of Montreal, as Co-Syndication Agents and Fifth Third Bank, an Ohio Banking Corporation, Regions Bank and RBC Capital Markets as Co-Documentation Agents	Incorporated by reference to Sun Communities, Inc.’s Current Report on Form 8-K filed on May 24, 2019
31.1	Certification of Chief Executive Officer pursuant to Securities Exchange Act Rules 13a-14(a)/15(d)-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.	Filed herewith
31.2	Certification of Chief Financial Officer pursuant to Securities Exchange Act Rules 13a-14(a)/15(d)-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.	Filed herewith
32.1	Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.	Filed herewith
101.INS	XBRL Instance Document	The instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.
101.SCH	XBRL Taxonomy Extension Schema Document	Filed herewith
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document	Filed herewith
101.LAB	XBRL Taxonomy Extension Label Linkbase Document	Filed herewith
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document	Filed herewith
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document	Filed herewith

47

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Dated: July 25, 2019	By:	/s/ Karen J. Dearing
		Karen J. Dearing, Chief Financial Officer and Secretary (Duly authorized officer and principal financial officer)

48

EX-31.1

Exhibit 31.1

CERTIFICATIONS

(As Adopted Under Section 302 of the Sarbanes-Oxley Act of 2002)

I, Gary A. Shiffman, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Sun Communities, Inc.

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting.

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent function):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Dated: July 25, 2019	/s/ Gary A. Shiffman
	Gary A. Shiffman, Chief Executive Officer

EX-31.2

Exhibit 31.2

CERTIFICATIONS

(As Adopted Under Section 302 of the Sarbanes-Oxley Act of 2002)

I, Karen J. Dearing, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Sun Communities, Inc.

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent function):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated: July 25, 2019	/s/ Karen J. Dearing
	Karen J. Dearing, Chief Financial Officer

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350

(Adopted Under Section 906 of the Sarbanes-Oxley Act of 2002)

The undersigned officers, Gary A. Shiffman and Karen J. Dearing, hereby certify that to the best of their knowledge: (a) this Quarterly Report on Form 10-Q of Sun Communities, Inc., for the period ended 43,646, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and (b) the information contained in this Form 10-Q fairly presents, in all material respects, the financial condition and results of operations of the Company.

Signature	Date
/s/ Gary A. Shiffman	Dated: July 25, 2019
Gary A. Shiffman, Chief Executive Officer
/s/ Karen J. Dearing	Dated: July 25, 2019
Karen J. Dearing, Chief Financial Officer

A signed original of this written statement required by Section 906 has been provided to Sun Communities, Inc. and will be retained by Sun Communities, Inc. and furnished to the Securities and Exchange Commission or its staff upon request.

XML

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2019	Jul. 18, 2019
Cover page.
Entity Current Reporting Status	Yes
Entity Incorporation, State or Country Code	MD
Title of 12(b) Security	Common Stock, $0.01 par value
Document Type	10-Q
Document Quarterly Report	true
Amendment Flag	false
Document Period End Date	Jun. 30, 2019
Document Transition Report	false
Entity File Number	1-12616
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2
Trading Symbol	SUI
Entity Registrant Name	SUN COMMUNITIES INC
Entity Central Index Key	0000912593
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		90,670,873
Entity Emerging Growth Company	false
Entity Small Business	false
Security Exchange Name	NYSE
Entity Tax Identification Number	38-2730780
Entity Address, Address Line One	27777 Franklin Rd,
Entity Address, Address Line Two	Suite 200,
Entity Address, City or Town	Southfield,
Entity Address, State or Province	MI
Entity Address, Postal Zip Code	48034
Entity Interactive Data Current	Yes
Entity Shell Company	false
City Area Code	248
Local Phone Number	208-2500

XML

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
ASSETS
Land	$ 1,286,952	$ 1,201,945
Land improvements and buildings	6,026,193	5,586,250
Rental homes and improvements	599,150	571,661
Furniture, fixtures and equipment	215,610	201,090
Investment property	8,127,905	7,560,946
Accumulated depreciation	(1,560,061)	(1,442,630)
Investment property, net (including 324,931 and 308,171 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	6,567,844	6,118,316
Cash and cash equivalents	28,704	50,311
Marketable securities	53,553	49,037
Inventory of manufactured homes	55,869	49,199
Notes and other receivables, net	164,303	160,077
Collateralized receivables, net	97,658	106,924
Other assets, net (including 23,167 and 19,809 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	254,153	176,162
TOTAL ASSETS	7,222,084	6,710,026
LIABILITIES
Mortgage loans payable (including 43,661 and 44,172 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	2,863,485	2,815,957
Other Borrowings	98,299	107,731
Lines of credit		128,000
Distributions payable	69,719	63,249
Customer Advances and Deposits	160,527	133,698
Other liabilities (including 32,461 and 6,914 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	204,167	157,862
TOTAL LIABILITIES	3,542,188	3,479,112
Redeemable Noncontrolling Interest, Equity, Common, Carrying Amount	22,099	21,976
STOCKHOLDERS' EQUITY
Common stock, $0.01 par value. Authorized: 180,000 shares; Issued and outstanding: 90,667 shares at June 30, 2019 and 86,357 shares at December 31, 2018	907	864
Additional paid-in capital	4,851,323	4,398,949
Accumulated other comprehensive loss	(1,184)	(4,504)
Distributions in excess of accumulated earnings	(1,343,792)	(1,288,486)
Total Sun Communities, Inc. stockholders' equity	3,507,254	3,106,823
Noncontrolling interests:
Common and preferred OP units	50,880	53,354
Consolidated variable interest entities	7,209	7,145
Total noncontrolling interests	58,089	60,499
TOTAL STOCKHOLDERS' EQUITY	3,565,343	3,167,322
TOTAL LIABILITIES, TEMPORARY EQUITY AND STOCKHOLDERS' EQUITY	7,222,084	6,710,026
Series A-4 Preferred Stock
LIABILITIES
Redeemable Noncontrolling Interest, Equity, Preferred, Carrying Amount	31,402	31,739
Series A-4 preferred OP units
LIABILITIES
Redeemable Noncontrolling Interest, Equity, Preferred, Carrying Amount	9,590	9,877
Series D Preferred OP Units
LIABILITIES
Redeemable Noncontrolling Interest, Equity, Preferred, Carrying Amount	51,462	0
Preferred Equity, Mandatorily Redeemable [Member]
LIABILITIES
Preferred OP units - mandatorily redeemable	35,249	35,277
Aspen Series B3 Preferred Operating Partnership Units [Member]
LIABILITIES
Mortgage loans payable (including 43,661 and 44,172 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	34,663
Preferred OP units - mandatorily redeemable	34,663	37,338
Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member]
LIABILITIES
Mortgage loans payable (including 43,661 and 44,172 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	98,299	$ 107,731
Lines of credit	$ 76,079

XML

Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Investment property, net	$ 6,567,844	$ 6,118,316
Other assets	254,153	176,162
Secured debt	2,863,485	2,815,957
Other liabilities	$ 204,167	$ 157,862
Common Stock, Par Value	$ 0.01	$ 0.01
Common Stock, Shares Authorized	90,667	180,000
Common Stock, Shares Issued	86,357	86,357
Common Stock, Shares Outstanding	86,357	86,357
Series A-4 Preferred Stock
Series A-4 Preferred Stock, Par Value	$ 0.01	$ 0.01
Series A-4 Preferred Stock, Shares Issued	1,052	1,063
Series A-4 Preferred Stock, Shares Outstanding	1,052	1,063
Variable Interest Entity, Primary Beneficiary [Member]
Investment property, net	$ 324,931	$ 308,171
Other assets	23,167	19,809
Secured debt	43,661	44,172
Preferred OP units - mandatorily redeemable	35,249	35,277
Other liabilities	$ 32,461	$ 6,914

XML

Consolidated Statements Of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
REVENUES
Income from real property	$ 226,099	$ 198,670	$ 442,878	$ 395,881
Revenue from home sales	47,242	41,217	86,860	76,117
Rental home revenue	14,412	13,348	28,383	26,368
Ancillary revenue	17,265	12,031	25,747	18,599
Interest income	4,919	5,277	9,719	10,593
Brokerage commissions and other revenues, net	2,508	891	6,188	1,851
Total revenues	312,445	271,434	599,775	529,409
EXPENSES
Real estate taxes	15,726	14,076	31,056	27,912
Property operating and maintenance	65,888	58,691	123,797	110,321
Cost of Goods and Services Sold	34,435	30,932	63,712	57,503
Rental home operating and maintenance	5,091	5,315	9,879	10,542
Ancillary expenses	12,480	8,241	19,581	13,624
Home selling expenses	3,626	3,986	6,950	7,276
General and Administrative Expense	23,697	21,452	45,584
General and administrative				41,209
Depreciation and amortization	76,153	67,773	152,709	134,210
Loss on extinguishment of debt	70	1,522	723	1,718
Interest expense	33,661	32,260	67,675	63,398
Interest on mandatorily redeemable preferred OP units / equity	1,181	790	2,275	1,409
Total expenses	272,187	245,091	524,902	466,962
Income Before Other Items	40,258	26,343	74,873	62,447
Remeasurement of marketable securities	3,620	0	3,887	0
Catastrophic weather related charges	179	53	961	(2,160)
Other income / (expense), net	1,021	(1,828)	2,919	(4,445)
Current tax expense	(272)
Provision for state income taxes	(300)	(225)	(486)	(399)
Deferred tax benefit / (expense)	96	(112)	313	235
Net Income	45,116	24,170	82,243	57,771
Less: Preferred return to preferred OP units	(1,718)	(1,103)	(3,041)	(2,183)
Less: Amounts attributable to noncontrolling interests	(2,585)	(2,227)	(3,626)	(4,321)
Net income attributable to Sun Communities, Inc.	40,813	20,840	75,576	51,267
Less: Preferred stock distribution	(428)	(432)	(860)	(873)
Net income attributable to Sun Communities, Inc. common stockholders	$ 40,385	$ 20,408	$ 74,716	$ 50,394
Weighted average common shares outstanding:
Basic	87,130	79,612	86,325	79,233
Diluted	87,564	80,116	86,770	79,905
Earnings per share:
Basic	$ 0.46	$ 0.25	$ 0.86	$ 0.63
Diluted	$ 0.46	$ 0.25	$ 0.86	$ 0.63
Distributions from Affiliate	$ 393	$ (8)	$ 737	$ (67)

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Consolidated Statements Of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Statement of Comprehensive Income [Abstract]
Net income	$ 45,116	$ 24,170	$ 82,243	$ 57,771
Foreign currency translation loss adjustment	(1,913)	(1,594)	(3,488)	(3,455)
Total comprehensive income	43,203	22,576	78,755	54,316
Less: Comprehensive income attributable to noncontrolling interests	(2,494)	(2,147)	(3,458)	(4,152)
Comprehensive income attributable to Sun Communities, Inc.	$ 40,709	$ 20,429	$ 75,297	$ 50,164

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Consolidated Statement Of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Distributions in Excess of Accumulated Earnings	Accumulated Other Comprehensive Income / (Loss)	Noncontrolling Interests	Common OP Units	Series D Preferred OP Units	Series A-4 Preferred Stock	Series A-4 Preferred Stock Additional Paid-in Capital
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Temporary Equity And Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	$ 2,706,753
Temporary equity, beginning balance at Dec. 31, 2017	43,066
Temporary equity, ending balance at Mar. 31, 2018	42,906
Balance at Dec. 31, 2017	2,663,687	$ 797	$ 3,758,533	$ (1,162,001)	$ 1,102	$ 65,256
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock and common OP units, net	(3,296)	2	(3,298)
Conversion of OP units	(59)		(342)			283
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest and Returns from Preferred Stock And Temporary Equity	33,601
Dividends, Including Temporary Equity, Cash	(60,218)
Stock Issued During Period, Including Temporary Equity, Value, Conversion of Convertible Securities	(1)
Share-based compensation - amortization and forfeitures	3,579		3,489	90
Foreign currency translation	1,861				1,772	89
Net income	33,530			31,507		2,023
Distributions	(60,047)			57,159		2,888
Balance at Mar. 31, 2018	2,635,651	799	3,759,066	(1,187,563)	(670)	64,019
Temporary equity, beginning balance at Dec. 31, 2017	43,066
Increase (Decrease) in Temporary Equity [Roll Forward]
Conversion of stock							$ (60)
Net income	71
Distributions	(171)
Temporary equity, ending balance at Jun. 30, 2018	63,745
Balance at Dec. 31, 2017	2,663,687	797	3,758,533	(1,162,001)	1,102	65,256
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Foreign currency translation	(3,455)
Balance at Jun. 30, 2018	2,691,982	809	3,854,057	(1,223,394)	(2,184)	62,694
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Temporary Equity And Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	2,678,557
Temporary equity, beginning balance at Mar. 31, 2018	42,906
Increase (Decrease) in Temporary Equity [Roll Forward]
Conversion of stock	(675)						(233)
Net income	48
Distributions	(170)
Temporary equity, ending balance at Jun. 30, 2018	63,745
Balance at Mar. 31, 2018	2,635,651	799	3,759,066	(1,187,563)	(670)	64,019
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock and common OP units, net	89,265	$ 10	89,255
Conversion of units		0
Conversion of OP units	(234)		(778)			(544)			$ (675)	$ (675)
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests	21,869
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest and Returns from Preferred Stock And Temporary Equity	24,170
Dividends, Including Temporary Equity, Cash	(60,915)
Stock Issued During Period, Including Temporary Equity, Value, Conversion of Convertible Securities	1
Share-based compensation - amortization and forfeitures	4,374		4,283	91
Foreign currency translation	(1,594)				1,514	80
Net income	24,122			21,943		2,179
Distributions	(60,745)			(57,865)		(2,880)
Balance at Jun. 30, 2018	2,691,982	$ 809	3,854,057	(1,223,394)	(2,184)	62,694
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Temporary Equity And Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	2,755,727
Temporary Equity And Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	3,230,914
Temporary equity, beginning balance at Dec. 31, 2018	63,592
Increase (Decrease) in Temporary Equity [Roll Forward]
Conversion of stock							0
Net income	178
Distributions	(528)
Temporary equity, ending balance at Mar. 31, 2019	115,428
Balance at Dec. 31, 2018	3,167,322	864	4,398,949	(1,288,486)	(4,504)	60,499
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock and common OP units, net	(4,321)	$ 1	(4,322)
Conversion of units		0
Conversion of OP units			(280)			(280)
Temporary Equity, Interest in Subsidiary Earnings	256
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest and Returns from Preferred Stock And Temporary Equity	37,127
Dividends, Including Temporary Equity, Cash	(68,681)
Variable Interest Entity, Equity Interests Issued	256			65		(191)
Share-based compensation - amortization and forfeitures	3,793		3,719	74
Temporary Equity, Stock Issued During Period, Value, New Issues								$ 51,930
Foreign currency translation	(1,575)				(1,498)	(77)
Net income	36,949			36,086		863
Distributions	(68,153)		15	(65,214)		(2,954)
Balance at Mar. 31, 2019	3,136,909	$ 865	4,398,641	(1,317,605)	(3,006)	58,014
Temporary equity, beginning balance at Dec. 31, 2018	63,592
Temporary equity, ending balance at Jun. 30, 2019	114,553
Balance at Dec. 31, 2018	3,167,322	864	4,398,949	(1,288,486)	(4,504)	60,499
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Foreign currency translation	(3,488)
Balance at Jun. 30, 2019	3,565,343	907	4,851,323	(1,343,792)	(1,184)	58,089
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Temporary Equity And Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	3,252,337
Temporary equity, beginning balance at Mar. 31, 2019	115,428
Increase (Decrease) in Temporary Equity [Roll Forward]
Conversion of stock	(337)						$ (112)
Net income	15
Distributions	(558)
Temporary equity, ending balance at Jun. 30, 2019	114,553
Balance at Mar. 31, 2019	3,136,909	865	4,398,641	(1,317,605)	(3,006)	58,014
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock and common OP units, net	447,741	$ 37	447,704
Conversion of units		5
Conversion of OP units	(112)		(242)			(135)			$ (337)	$ (337)
Temporary Equity, Interest in Subsidiary Earnings	117
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest and Returns from Preferred Stock And Temporary Equity	45,116
Dividends, Including Temporary Equity, Cash	(71,709)
Variable Interest Entity, Equity Interests Issued	117			308		191
Share-based compensation - amortization and forfeitures	4,498		4,414	84
Foreign currency translation	(1,913)				(1,822)	(91)
Net income	45,101			42,531		2,570
Distributions	(71,151)		(15)	(68,494)		(2,642)
Balance at Jun. 30, 2019	3,565,343	$ 907	$ 4,851,323	$ (1,343,792)	$ (1,184)	$ 58,089
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Temporary Equity And Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	$ 3,679,896

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Consolidated Statements Of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
OPERATING ACTIVITIES:
Net Cash Provided By Operating Activities	$ 259,844	$ 198,682
INVESTING ACTIVITIES:
Investment in properties	(262,944)	(157,863)
Acquisitions of properties, net of cash acquired	(308,165)	(260,426)
Proceeds from dispositions of assets and depreciated homes, net	28,774	18,776
Payments to Acquire Notes Receivable	0	(213)
Repayments of notes and other receivables	2,307	1,478
Repayments of notes and other receivables	30,502	9,243
Net Cash Used For Investing Activities	(570,530)	(407,491)
FINANCING ACTIVITIES:
Issuance of common stock, OP units, and preferred OP units, net	443,420	85,969
Borrowings on lines of credit	2,345,659	1,041,876
Payments on lines of credit	(2,397,580)	(546,839)
Proceeds from issuance of other debt	265,000	0
Payments on other debt	(223,559)	(235,174)
Prepayment penalty on debt	0	(1,718)
Distributions to stockholders, OP unit holders, and preferred OP unit holders	(133,989)	(117,054)
Payments for deferred financing costs	(3,875)	(602)
Proceeds from (Payments for) Other Financing Activities	1,618	0
Net Cash Provided By Financing Activities	294,019	222,353
Effect of exchange rate changes on cash, cash equivalents and restricted cash	443	(252)
Net change in cash, cash equivalents and restricted cash	(16,224)	13,292
Cash, cash equivalents and restricted cash, beginning of period	62,262	23,509
Cash, cash equivalents and restricted cash, end of period (see Note 16)	46,038	36,801
SUPPLEMENTAL INFORMATION:
Cash paid for interest (net of capitalized interest of $3,283 and $2,205 respectively)	66,947	62,648
Cash paid for interest on mandatorily redeemable debt	2,275	1,399
Cash paid for income taxes	703	680
Noncash investing and financing activities
Reduction in secured borrowing balance	9,432	10,940
Change in distributions declared and outstanding	6,401	4,106
Conversion of common and preferred OP units	527	1,120
Conversion Of Series A Four Preferred Stock	337	675
Stock Issued During Period, Value, New Issues, Series A-3 Preferred OP Units	0	3,012
Noncash Or Part Noncash Acquisition, Noncash Financial Or Equity Instrument Consideration, Escrow	1,395	0
Series D Preferred Stock [Member]
Noncash investing and financing activities
Noncash Or Part Noncash Acquisition, Noncash Financial Or Equity Instrument Consideration, Value Of Shares Issued	51,930	0
Series B Preferred Stock [Member]
Noncash investing and financing activities
Noncash Or Part Noncash Acquisition, Noncash Financial Or Equity Instrument Consideration, Value Of Shares Issued	0	21,869
Series A Preferred Stock [Member]
Noncash investing and financing activities
Noncash Or Part Noncash Acquisition, Noncash Financial Or Equity Instrument Consideration, Value Of Shares Issued	0	35,277
Series B-3 Preferred OP Units [Member]
FINANCING ACTIVITIES:
Redemption of Series A-4 preferred stock and OP units	$ (2,675)	$ (4,105)

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Consolidated Statements Of Cash Flows (Parenthetical) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Statement of Cash Flows [Abstract]
Capitalized interest	$ 3,283	$ 2,205

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Basis of Presentation

6 Months Ended

Jun. 30, 2019

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation

Basis of Presentation

Sun Communities, Inc., a Maryland corporation, and all wholly-owned or majority-owned and controlled subsidiaries, including Sun Communities Operating Limited Partnership (the “Operating Partnership”) and Sun Home Services, Inc. (“SHS”) are referred to herein as the “Company,” “us,” “we,” and “our.”

We follow accounting standards set by the Financial Accounting Standards Board (“FASB”). FASB sets generally accepted accounting principles (“GAAP”), which we follow to ensure that we consistently report our financial condition, results of operations, and cash flows. References to GAAP issued by the FASB in these footnotes are to the FASB Accounting Standards Codification (“ASC”).

These unaudited Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information and in accordance with GAAP. Pursuant to the SEC rules and regulations we present interim disclosures and certain information and footnote disclosures as required. Accordingly, the unaudited Consolidated Financial Statements do not include all of the information and footnotes required by GAAP for complete financial statements. The accompanying unaudited Consolidated Financial Statements reflect, in the opinion of management, all adjustments, including adjustments of a normal and recurring nature, necessary for a fair presentation of the interim financial statements. All intercompany transactions have been eliminated in consolidation. Certain reclassifications have been made to prior period financial statements in order to conform to current period presentation.

The results of operations for interim periods are not necessarily indicative of results that may be expected for any other interim period or for the full year. These unaudited Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2018 as filed with the SEC on February 21, 2019 (the “2018 Annual Report”). These statements have been prepared on a basis that is substantially consistent with the accounting principles applied in our 2018 Annual Report.

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Revenue

6 Months Ended

Jun. 30, 2019

Revenue from Contract with Customer [Abstract]

Revenue

Revenue

Disaggregation of Revenue

The following tables details our revenue by major source (in thousands):

	Three Months Ended
	June 30, 2019						June 30, 2018
	Real Property Operations		Home Sales and Rentals		Consolidated		Real Property Operations		Home Sales and Rentals		Consolidated
Revenue
Income from real property	$	226,099	$	—	$	226,099	$	198,670	$	—	$	198,670
Revenue from home sales	—		47,242		47,242		—		41,217		41,217
Rental home revenue	—		14,412		14,412		—		13,348		13,348
Ancillary revenue	17,265		—		17,265		12,031		—		12,031
Interest Income	4,919		—		4,919		5,277		—		5,277
Brokerage commissions and other revenues, net	2,508		—		2,508		891		—		891
Total revenue	$	250,791	$	61,654	$	312,445	$	216,869	$	54,565	$	271,434

	Six Months Ended
	June 30, 2019						June 30, 2018
	Real Property Operations		Home Sales and Rentals		Consolidated		Real Property Operations		Home Sales and Rentals		Consolidated
Revenue
Income from real property	$	442,878	$	—	$	442,878	$	395,881	$	—	$	395,881
Revenue from home sales	—		86,860		86,860		—		76,117		76,117
Rental home revenue	—		28,383		28,383		—		26,368		26,368
Ancillary revenue	25,747		—		25,747		18,599		—		18,599
Interest	9,719		—		9,719		10,593		—		10,593
Brokerage commissions and other revenues, net	6,188		—		6,188		1,851		—		1,851
Total revenue	$	484,532	$	115,243	$	599,775	$	426,924	$	102,485	$	529,409

Revenue Recognition Policies and Performance Obligations

On January 1, 2018, we adopted FASB Accounting Standards Update (“ASU”) 2014-09 “Revenue from Contracts with Customers” and the other related ASUs and amendments to the codification (collectively “ASC 606”). The core principle of ASC 606 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. A five-step transactional analysis is required to determine how and when to recognize revenue. ASC 606 applies to all contracts with customers, except those that are within the scope of other topics in the FASB accounting standards codification.

As a real estate owner and operator, the majority of our revenue is derived from site and home leases that are accounted for pursuant to ASC 842 “Leases.” For transactions in the scope of ASC 606, we recognize revenue when control of goods or services transfers to the customer, in the amount that we expect to receive for the transfer of goods or provision of services. The adoption of ASC 606 did not result in any change to our accounting policies for revenue recognition. Accordingly, retrospective application to prior periods or a cumulative catch-up adjustment was unnecessary.

Income from real property - Residents in our communities lease the site on which their home is located, and either own or lease their home. Resident leases are generally for one-year or month-to-month terms, and are renewable by mutual agreement from us and the resident, or in some cases, as provided by jurisdictional statute. Lease revenues for sites and homes fall under the scope of ASC 842, and are accounted for as operating leases with straight-line recognition. Income from real property includes income from site leases for annual MH residents, site leases for annual recreational vehicle (“RV”) residents and site rentals to transient RV residents. Non-lease components of our site lease contracts, which are primarily provision of utility services, are accounted for with the site lease as a single lease under ASC 842. Additionally, we include collections of real estate taxes from residents within Income from real property.

Revenue from home sales - Our taxable REIT subsidiary, SHS, sells manufactured homes (“MH”) to current and prospective residents in our communities. Prior to adoption of ASC 606, we recognized revenue for home sales pursuant to ASC 605 “Revenue Recognition,” as manufactured homes are tangible personal property that can be located on any land parcel. Manufactured homes are not permanent fixtures or improvements to the underlying real estate, and were therefore not considered to be subject to the guidance in ASC 360-20 “Real Estate Sales” by the Company. In accordance with the core principle of ASC 606, we recognize revenue from home sales at the time of closing when control of the home transfers to the customer. After closing of the sale transaction, we have no remaining performance obligation.

Rental home revenue - is comprised of rental agreements whereby we lease homes to residents in our communities. We account for these revenues under ASC 842.

Ancillary revenue - is primarily composed of proceeds from restaurant, golf, merchandise and other activities at our RV communities and is included in the scope of ASC 606. Revenues are recognized at point of sale when control of the good or service transfers to the customer and our performance obligation is satisfied. In addition, leasing of short-term vacation home rentals is included within ancillary revenue and falls within the scope of ASC 842. Sales and other taxes that we collect concurrent with revenue-producing activities are excluded from the transaction price.

Interest income - is earned primarily on our notes and collateralized receivables, which includes installment loans for manufactured homes purchased by the Company from loan originators and transferred loans that previously did not meet the requirements for sale accounting. Interest income on these receivables is accrued based on the unpaid principal balances of the underlying loans on a level yield basis over the life of the loans. Interest income is not in the scope of ASC 606. Refer to Note 4, “Collateralized Receivables and Transfers of Financial Assets” and Note 5, “Notes and Other Receivables, net” for additional information.

Broker commissions and other revenues, net - is primarily comprised of brokerage commissions for sales of manufactured homes, where we act as agent and arrange for a third party to transfer a manufactured home to a customer within one of our communities. Brokerage commission revenues are recognized on a net basis at closing, when the transaction is completed and our performance obligations have been fulfilled. Loan loss reserve expenses for our collateralized receivables and notes receivables are also included herein. Refer to Note 4, “Collateralized Receivables and Transfers of Financial Assets” and Note 5, “Notes and Other Receivables, net” for additional information regarding our loan loss reserves.

Contract Balances

As of June 30, 2019 and December 31, 2018, we had $17.6 million and $16.1 million, respectively, of receivables from contracts with customers. Receivables from contracts with customers are presented as a component of Notes and other receivables on our Consolidated Balance Sheets. These receivables represent balances owed to us for previously completed performance obligations for sales of manufactured homes. Due to the nature of our revenue from contracts with customers, we do not have material contract assets or liabilities that fall under the scope of ASC 606.

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Real Estate Acquisitions

6 Months Ended

Jun. 30, 2019

Business Combinations [Abstract]

Real Estate Acquisitions

Real Estate Acquisitions

2019 Acquisitions

In 2019 we acquired the following communities:

Community Name	Type	Sites	Development Sites	State	Month Acquired
River Plantation	RV	309	—	TN	May
Massey’s Landing RV	RV	291	—	DE	February
Shelby Properties(1)	MH	1,308	—	MI	February
Buena Vista	MH	400	—	AZ	February
Country Village Estates (2)	MH	518	—	OR	January
Hid’n Pines RV	RV	321	—	ME	January
Hacienda del Rio	MH (Age-Restricted)	730	70	FL	January
	Total	3,877	70

⁽¹⁾ Contains two MH communities.

⁽²⁾ In conjunction with the acquisition, we issued Series D Preferred Operating Partnership (“OP”) Units. As of June 30, 2019, 488,958 Series D Preferred OP Units were outstanding.

The following table summarizes the amounts of assets acquired net of liabilities assumed at the acquisition date and the consideration paid for the acquisitions completed in the six months ended June 30, 2019 (in thousands):

At Acquisition Date (1)	River Plantation		Massey's Landing			Shelby Properties			Buena Vista			Country Village		Hid'n Pines			Hacienda del Rio			Total
Investment in property	$	22,589	$	19,780		$	85,969		$	20,221		$	62,784	$	10,680		$	111,971		$	333,994
Inventory of manufactured homes	75		—			2,011			439			—		—			15			2,540
In-place leases and other intangible assets	—		220			6,520			1,590			2,020		70			3,280			13,700
Other assets (liabilities), net	—		(446		)	(1,015		)	(93		)	31		(233		)	(237		)	(1,993		)
Total identifiable assets acquired net of liabilities assumed	$	22,664	$	19,554		$	93,485		$	22,157		$	64,835	$	10,517		$	115,029		$	348,241
Consideration
Cash and escrow	$	22,664	$	19,554		$	93,485		$	22,157		$	12,905	$	10,517		$	115,029		$	296,311
Series D Preferred OP units	—		—			—			—			51,930		—			—			51,930
Total consideration	$	22,664	$	19,554		$	93,485		$	22,157		$	64,835	$	10,517		$	115,029		$	348,241

⁽¹⁾ The purchase price allocations are preliminary and may be adjusted as final valuations are determined.

As of June 30, 2019, the Company has incurred $7.1 million of additional capitalized transaction costs which have been allocated among the various categories above.

During the quarter ended June 30, 2019, the Company opened 281 sites at a ground-up development, Carolina Pines RV Resort (“Carolina Pines”) in Conway, South Carolina.

In April 2019, the Company acquired Strafford/Lake Winnipesaukee South KOA RV Resort ("Strafford") in Strafford, New Hampshire for total consideration of $2.7 million.

In March 2019, the Company entered into a four year Temporary Occupancy and Use Permit with the Port of San Diego to operate an RV resort located in Chula Vista, CA until such time as a new RV resort is constructed in the area. Concurrent with the transaction, we purchased tangible personal property from the prior owner of the RV resort for $0.3 million.

Refer to Note 19, “Subsequent Events,” for information regarding real estate acquisition activity after June 30, 2019.

The total amount of revenues and net income included in the Consolidated Statements of Operations for the three and six months ended June 30, 2019 related to the acquisitions completed in 2019 are set forth in the following table (in thousands):

	Three Months Ended		Six Months Ended
	June 30, 2019		June 30, 2019
Total revenues	$	9,163	$	12,927
Net income	$	3,556	$	4,873

The following unaudited pro forma financial information presents the results of our operations for the three and six months ended June 30, 2019 and 2018, as if the properties acquired in 2019 had been acquired on January 1, 2018. The unaudited pro forma results reflect certain adjustments for items that are not expected to have a continuing impact, such as adjustments for transaction costs incurred, management fees, and purchase accounting.

The information presented below has been prepared for comparative purposes only and does not purport to be indicative of either future results of operations or the results of operations that would have actually occurred had the acquisition been consummated on January 1, 2018 (in thousands, except per-share data):

	Three Months Ended				Six Months Ended
	June 30, 2019		June 30, 2018		June 30, 2019		June 30, 2018
Total revenues	$	312,928	$	278,823	$	602,181	$	542,529
Net income attributable to Sun Communities, Inc. common stockholders	$	41,377	$	23,444	$	75,406	$	54,312
Net income per share attributable to Sun Communities, Inc. common stockholders - basic	$	0.47	$	0.29	$	0.87	$	0.69
Net income per share attributable to Sun Communities, Inc. common stockholders - diluted	$	0.47	$	0.29	$	0.87	$	0.68

2018 Acquisitions

In 2018 we acquired the following communities:

Community Name	Type	Sites	Development Sites	State	Month Acquired
Leaf Verde RV Resort	RV	376	—	AZ	October
Archview	RV	114	50	UT	August
Petoskey KOA	RV	210	—	MI	August
The Sands RV and Golf Resort	RV (Age Restricted)	507	—	CA	July
Sun NG RV Resorts LLC (1)(2)	RV	2,700	940	Various	June
Silver Creek	RV	264	176	MI	June
Highway West (1)	RV	536	—	UT & OR	June
Compass RV	RV	175	—	FL	May
	Total	4,882	1,166

⁽¹⁾ Highway West and Sun NG RV Resorts LLC are comprised of 4 RV and 10 RV resorts, respectively.

⁽²⁾ Refer to Note 8, “Consolidated Variable Interest Entities,” Note 9, “Debt and Lines of Credit,” and Note 10, “Equity and Temporary Equity” in our accompanying Consolidated Financial Statements for additional information.

The following table summarizes the amounts of assets acquired net of liabilities assumed at the acquisition date and the consideration paid for the acquisitions completed in 2018 (in thousands):

At Acquisition Date	Leaf Verde		Archview		Petoskey KOA		Sands		Sun NG Resorts			Silver Creek		Highway West		Compass		Total
Investment in property	$	11,587	$	14,550	$	8,730	$	13,790	$	240,649		$	7,250	$	36,500	$	13,930	$	346,986
In-place leases and other intangible assets	60		—		270		460		16,339			—		—		70		17,199
Debt assumed	—		—		—		—		(3,120		)	—		—		—		(3,120		)
Other liabilities, net	—		—		—		—		(11,990		)	—		—		—		(11,990		)
Total identifiable assets acquired net of liabilities assumed	$	11,647	$	14,550	$	9,000	$	14,250	$	241,878		$	7,250	$	36,500	$	14,000	$	349,075
Consideration
Cash	$	11,647	$	14,550	$	9,000	$	14,250	$	184,625		$	7,250	$	36,500	$	14,000	$	291,822
Preferred Equity - Sun NG Resorts	—		—		—		—		35,277			—		—		—		35,277
Equity Interests - NG Sun LLC	—		—		—		—		21,976			—		—		—		21,976
Total consideration	$	11,647	$	14,550	$	9,000	$	14,250	$	241,878		$	7,250	$	36,500	$	14,000	$	349,075

In 2018, we acquired the following land for expansion / development:

Name	Location	Type	Expansion / Development Sites	Cost (millions)		Month Acquired
Ocean West	McKinleyville, CA	MH	26	$	0.2	December
Water Oak Country Club Estates	Lady Lake, FL	MH	296	1.9		November
Oak Crest	Austin, TX	MH	220	4.2		October
Pecan Park	Jacksonville, FL	RV	158	1.3		September
Smith Creek Crossing	Granby, CO	MH	310	0.9		September
Apple Carr	Egelston, MI	MH	121	0.2		May
River Run Ranch	Granby, CO	MH / RV	1,144	5.3		May
		Total	2,275	$	14.0

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Collateralized Receivables and Transfers of Financial Assets

6 Months Ended

Jun. 30, 2019

Transfers and Servicing [Abstract]

Transfers Of Financial Assets

Transfers of Financial Assets

We previously completed various transactions with an unrelated entity involving our notes receivable under which we received cash proceeds in exchange for relinquishing our right, title, and interest in certain notes receivable. We have no further obligations or rights with respect to the control, management, administration, servicing, or collection of the installment notes receivable. However, we are subject to certain recourse provisions requiring us to purchase the underlying homes collateralizing such notes, in the event of a note default and subsequent repossession of the home by the unrelated entity. The recourse provisions are considered to be a form of continuing involvement, and therefore these transferred loans did not meet the requirements for sale accounting. We continue to recognize these transferred loans on our Consolidated Balance Sheets and refer to them as collateralized receivables. The cash proceeds from the transfer have been recognized as secured borrowings on collateralized receivables within the Consolidated Balance Sheets. The collateralized receivables earn interest income, and the secured borrowings accrue interest expense at the same interest rates.

In the event of a note default and subsequent repossession of a manufactured home by the unrelated entity, the terms of the agreement require us to repurchase the manufactured home. Default is defined as the failure to repay the installment note receivable according to contractual terms. The repurchase price is calculated as a percentage of the outstanding principal balance of the collateralized receivable, plus any outstanding late fees, accrued interest, legal fees, and escrow advances associated with the installment note receivable. The percentage used to determine the repurchase price of the outstanding principal balance on the installment note receivable is based on the number of payments made on the note. In general, the repurchase price is determined as follows:

Number of Payments	Repurchase Percentage
Fewer than or equal to 15	100	%
Greater than 15 but fewer than 64	90	%
Equal to or greater than 64 but fewer than 120	65	%
120 or more	50	%

The balance of the collateralized receivables was $97.7 million (net of allowance of $0.6 million) and $106.9 million (net of allowance of $0.8 million) as of June 30, 2019 and December 31, 2018, respectively. The receivables have a weighted average interest rate and maturity of 9.9 percent and 13.7 years as of June 30, 2019, and 9.9 percent and 14.1 years as of December 31, 2018.

The outstanding balance on the secured borrowing was $98.3 million and $107.7 million as of June 30, 2019 and December 31, 2018, respectively.

The amount of interest income and expense recognized was $2.4 million and $2.9 million for the three months ended June 30, 2019 and 2018, respectively, and $4.8 million and $5.7 million for the six months ended June 30, 2019 and 2018, respectively.

The balances of the collateralized receivables and secured borrowings are reduced as the related collateralized receivables are collected from the customers, or as the underlying collateral is repurchased. The change in the aggregate gross principal balance of the collateralized receivables is as follows (in thousands):

	Six Months Ended
	June 30, 2019
Beginning balance	$	107,731
Principal payments and payoffs from our customers	(6,063		)
Principal reduction from repurchased homes	(3,369		)
Total activity	(9,432		)
Ending balance	$	98,299

The following table sets forth the allowance for the collateralized receivables as of June 30, 2019 (in thousands):

	Six Months Ended
	June 30, 2019
Beginning balance	$	(807	)
Lower of cost or market write-downs	85
Decrease to reserve balance	81
Total activity	166
Ending balance	$	(641	)

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Notes And Other Receivables

6 Months Ended

Jun. 30, 2019

Long-term Notes and Loans, by Type, Current and Noncurrent [Abstract]

Notes And Other Receivables

Notes and Other Receivables

The following table sets forth certain information regarding notes and other receivables (in thousands):

	June 30, 2019		December 31, 2018
Installment notes receivable on manufactured homes, net	$	104,559	$	112,798
Other receivables, net	59,744		47,279
Total notes and other receivables, net	$	164,303	$	160,077

Installment Notes Receivable on Manufactured Homes

Our investment in installment notes of $104.6 million (net of allowance of $0.7 million) and $112.8 million (net of allowance of $0.7 million) as of June 30, 2019 and December 31, 2018, respectively, are collateralized by manufactured homes. The notes represent financing to purchasers of manufactured homes primarily located in our communities and require monthly principal and interest payments. The notes have a net weighted average interest rate (net of servicing costs) and maturity of 8.0 percent and 16.2 years as of June 30, 2019, and 8.0 percent and 16.6 years as of December 31, 2018, respectively.

The change in the aggregate gross principal balance of the installment notes receivable is as follows (in thousands):

	Six Months Ended
	June 30, 2019
Beginning balance	$	113,495
Investment in installment notes	163
Principal payments and payoffs from customers	(4,093		)
Principal reduction from repossessed homes	(4,326		)
Total activity	(8,256		)
Ending balance	$	105,239

Allowance for Losses for Installment Notes Receivable

The following table sets forth the allowance change for the installment notes receivable as follows (in thousands):

	Six Months Ended
	June 30, 2019
Beginning balance	$	(697	)
Lower of cost or market write-downs	101
Increase to reserve balance	(84		)
Total activity	17
Ending balance	$	(680	)

Other Receivables

As of June 30, 2019, other receivables were comprised of amounts due from: residents for rent, utility charges, fees and other pass through charges of $8.2 million (net of allowance of $1.5 million); home sale proceeds of $17.6 million; insurance receivables of $12.0 million and other receivables of $21.9 million. As of December 31, 2018, other receivables were comprised of amounts due from: residents for rent, utility charges, fees and other pass through charges of $7.1 million (net of allowance of $1.5 million); home sale proceeds of $16.1 million; and insurance and other receivables of $24.1 million.

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Intangible Assets

6 Months Ended

Jun. 30, 2019

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets Disclosure [Text Block]

Intangible Assets

Our intangible assets include in-place leases, franchise agreements and other intangible assets. These intangible assets are recorded in Other assets, net on the Consolidated Balance Sheets. In accordance with ASC 842, below market leases are now classified as a right of use asset.

The gross carrying amounts, and accumulated amortization are as follows (in thousands):

		June 30, 2019					December 31, 2018
Intangible asset	Useful Life	Gross Carrying Amount		Accumulated Amortization			Gross Carrying Amount		Accumulated Amortization
In-place leases	7 years	$	118,022	$	(66,540	)	$	103,547	$	(59,068	)
Franchise agreements and other intangible assets	7-20 years	16,944		(2,351		)	16,641		(1,942		)
Total		$	134,966	$	(68,891	)	$	120,188	$	(61,010	)

Total amortization expenses related to the intangible assets are as follows (in thousands):

	Three Months Ended				Six Months Ended
Intangible asset amortization expense	June 30, 2019		June 30, 2018		June 30, 2019		June 30, 2018
In-place leases	$	3,800	$	3,345	$	7,472	$	6,690
Franchise agreements and other intangible assets	205		19		409		38
Total	$	4,005	$	3,364	$	7,881	$	6,728

We anticipate amortization expense for our intangible assets to be as follows for the next five years (in thousands)

	Year
	Remainder of 2019		2020		2021		2022		2023
Estimated expense	$	7,830	$	14,144	$	13,752	$	9,151	$	5,776

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Investment In Affiliates

6 Months Ended

Jun. 30, 2019

Equity Method Investments and Joint Ventures [Abstract]

Investment In Affiliates

Investment in Affiliates

Investments in joint ventures that are not consolidated, nor recorded at cost, are accounted for using the equity method of accounting as prescribed in FASB ASC Topic 323, “Investments - Equity Method and Joint Ventures.” Investments in nonconsolidated affiliates are recorded within Other assets, net on the Consolidated Balance Sheets. Equity income and loss are recorded in the Income / (loss) from nonconsolidated affiliates on the Consolidated Statement of Operations.

RezPlot Systems LLC (“Rezplot”)

At June 30, 2019, the Company had a 50 percent ownership interest in RezPlot, a software technology company, acquired in January 2019.

Sungenia JV

At June 30, 2019 and December 31, 2018, the Company had a 50 percent interest in Sungenia JV, a joint venture (“JV”) formed between the Company and Ingenia Communities Group in November 2018, to establish and grow a manufactured housing community development program in Australia.

GTSC LLC (“GTSC”)

At June 30, 2019 and December 31, 2018, the Company had a 40 percent ownership interest in GTSC, which engages in acquiring, holding and selling loans secured, directly or indirectly, by manufactured homes located in communities of Sun Communities.

Origen Financial Services, LLC (“OFS LLC”)

At June 30, 2019 and December 31, 2018, the Company had a 22.9 percent ownership interest in OFS LLC, an end-to-end online resident screening and document management suite.

The investment balance in each nonconsolidated affiliate is as follows (in millions):

	June 30, 2019		December 31, 2018
Investment in RezPlot	$	5.1	$	—
Investment in Sungenia JV	10.3		0.7
Investment in GTSC	48.1		29.8
Investment in OFS LLC	0.2		0.1
Total	$	63.7	$	30.6

The Equity Income / (loss) from each nonconsolidated affiliate is as follows (in thousands):

	Three Months Ended						Six Months Ended
	June 30, 2019			June 30, 2018			June 30, 2019			June 30, 2018
RezPlot equity loss	$	(260	)	$	—		$	(449	)	$	—
Sungenia JV equity loss	(18		)	—			(58		)	—
GTSC equity income / (loss)	604			(8		)	1,135			(67		)
OFS LLC equity income	67			—			109			—
Total equity income / (loss)	$	393		$	(8	)	$	737		$	(67	)

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Consolidated Variable Interest Entities

6 Months Ended

Jun. 30, 2019

DisclosureofVariableInterestEntities [Abstract]

Consolidated Variable Interest Entities

   Consolidated Variable Interest Entities

The Operating Partnership

We consolidate the Operating Partnership under the guidance set forth in FASB ASC Topic 810 “Consolidation.” ASU 2015-02 modified the evaluation of whether limited partnerships and similar legal entities are VIEs or voting interest entities. We evaluated the application of ASU 2015-02 and concluded that the Operating Partnership now meets the criteria of a VIE. Our significant asset is our investment in the Operating Partnership, and consequently, substantially all of our assets and liabilities represent those assets and liabilities of the Operating Partnership. We are the sole general partner and generally have the power to manage and have complete control over the Operating Partnership and the obligation to absorb its losses or the right to receive its benefits.

Sun NG RV Resorts LLC (“Sun NG Resorts”)

We consolidate Sun NG Resorts under the guidance set forth in FASB ASC Topic 810 “Consolidation.” We concluded that Sun NG Resorts is a VIE where we are the primary beneficiary, as we have the power to direct the significant activities, absorb the significant losses and receive the significant benefits from the entity. Refer to Note 3, “Real Estate Acquisitions,” Note 9, “Debt and Lines of Credit,” and Note 10, “Equity and Temporary Equity” for additional information.

Rudgate Village SPE, LLC; Rudgate Clinton SPE, LLC; and Rudgate Clinton Estates SPE, LLC (collectively, “Rudgate”)

We consolidate Rudgate under the guidance set forth in FASB ASC Topic 810 “Consolidation.” We evaluated our arrangement with this property and concluded that Rudgate qualified as a VIE where we are the primary beneficiary, as we have power to direct the significant activities, absorb the significant losses and receive the significant benefits from the entity.

The following table summarizes the assets and liabilities included in our Consolidated Balance Sheets after eliminations (in thousands):

	June 30, 2019		December 31, 2018
Assets
Investment property, net	$	324,931	$	308,171
Other assets, net	23,167		19,809
Total Assets	$	348,098	$	327,980
Liabilities and Other Equity
Debt	$	43,661	$	44,172
Preferred Equity - Sun NG Resorts - mandatorily redeemable	35,249		35,277
Other liabilities	32,461		6,914
Total Liabilities	111,371		86,363
Equity Interests - NG Sun LLC	22,099		21,976
Noncontrolling interests	7,209		7,145
Total Liabilities and Other Equity	$	140,679	$	115,484

Investment property, net and other assets, net related to the consolidated VIEs comprised approximately 4.8 percent and 4.9 percent of our consolidated total assets at June 30, 2019 and December 31, 2018, respectively. Debt, Preferred Equity and other liabilities comprised approximately 3.1 percent and 2.6 percent of our consolidated total liabilities at June 30, 2019 and December 31, 2018, respectively. Equity Interests and Noncontrolling interests related to the consolidated VIEs, on an absolute basis, comprised less than 1.0 percent of our consolidated total equity at June 30, 2019 and at December 31, 2018, respectively.

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Debt And Lines Of Credit

6 Months Ended

Jun. 30, 2019

Debt Disclosure [Abstract]

Debt Disclosure [Text Block]

Debt and Lines of Credit

The following table sets forth certain information regarding debt including premiums, discounts and deferred financing costs (in thousands):

	Carrying Amount				Weighted Average Years to Maturity		Weighted Average Interest Rates
	June 30, 2019		December 31, 2018		June 30, 2019	December 31, 2018	June 30, 2019		December 31, 2018
Collateralized term loans - Life Companies	$	1,323,482	$	1,259,158	16.4	14.4	4.0	%	3.9	%
Collateralized term loans - FNMA	760,315		770,417		4.7	5.1	4.4	%	4.4	%
Collateralized term loans - CMBS	401,977		405,702		3.6	4.1	5.1	%	5.1	%
Collateralized term loans - FMCC	377,711		380,680		5.4	5.9	3.9	%	3.9	%
Secured borrowings	98,299		107,731		14.0	14.4	9.9	%	9.9	%
Lines of credit	76,079		128,000		3.7	2.3	3.3	%	3.8	%
Preferred Equity - Sun NG Resorts - mandatorily redeemable	35,249		35,277		3.3	3.8	6.0	%	6.0	%
Preferred OP units - mandatorily redeemable	34,663		37,338		4.5	4.7	6.5	%	6.6	%
Total debt	$	3,107,775	$	3,124,303	9.9	9.0	4.4	%	4.5	%

Collateralized Term Loans

During the three months ended March 31, 2019, we completed a $265.0 million 25-year term loan transaction which carries an interest rate of 4.17 percent. Concurrently, we repaid a $186.8 million term loan with an interest rate of 3.83 percent which was due to mature in January 2030. We recognized a loss on extinguishment of debt of $0.7 million as a result of the repayment transaction in our Consolidated Statement of Operations.

During the three months ended December 31, 2018, we repaid a term loan of $10.2 million with an interest rate of 5.66 percent. The loan was due to mature on February 28, 2019. Concurrently, we entered into a $21.7 million collateralized term loan with a 4.10 percent fixed interest rate and 20-year term.

During the three months ended September 30, 2018, we entered into a $228.0 million collateralized term loan with a 4.10 percent fixed rate and a 20-year term. During the three months ended September 30, 2018, we repaid one collateralized term loan of $30.5 million with an interest rate of 6.34 percent, releasing one encumbered community, which was due to mature March 1, 2019. We recognized a loss on extinguishment of debt of $0.9 million as a result of the repayment transaction.

During the three months ended June 30, 2018 we repaid three collateralized term loans totaling $177.7 million with a weighted average interest rate of 4.53 percent, releasing 11 encumbered communities. One loan was due to mature on August 1, 2018 and two loans were due to mature on May 1, 2023. We recognized a loss on extinguishment of debt of $1.5 million as a result of the repayment transaction.

During the three months ended March 31, 2018, we repaid four collateralized term loans totaling $24.4 million with a weighted average interest rate of 6.36 percent, releasing three encumbered communities. The loans were due to mature on March 1, 2019. We recognized a loss on extinguishment of debt of $0.2 million as a result of the repayment transactions.

The collateralized term loans totaling $2.9 billion as of June 30, 2019, are secured by 185 properties comprised of 72,958 sites representing approximately $3.2 billion of net book value.

Secured Borrowing

See Note 4, “Collateralized Receivables and Transfers of Financial Assets,” for information regarding our collateralized receivables and secured borrowing transactions.

Preferred OP Units - mandatorily redeemable

Preferred OP units at June 30, 2019 and December 31, 2018 include $34.7 million of Aspen preferred OP units issued by the Operating Partnership. As of June 30, 2019, these units are convertible indirectly into 420,689 shares of our common stock. Subject to certain limitations, at any time prior to January 1, 2024, the holder of each Aspen preferred OP unit at its option may convert such Aspen preferred OP unit into: (a) if the market price of our common stock is $68.00 per share or less, 0.397 common OP units; or (b) if the market price of our common stock is greater than $68.00 per share, the number of common OP units is determined by dividing (i) the sum of (A) $27.00 plus (B) 25 percent of the amount by which the market price of our common stock exceeds $68.00 per share, by (ii) the per share market price of our common stock. The current preferred distribution rate is 6.5 percent. On January 2, 2024, we are required to redeem all Aspen preferred OP units that have not been converted to common OP units.

Preferred OP units also include $2.7 million of Series B-3 preferred OP units at December 31, 2018, which are not convertible. In January 2019, we redeemed all remaining 26,750 Series B-3 preferred OP units. The weighted average redemption price per unit, which included accrued and unpaid distributions, of $100.153424. In the aggregate, we paid $2.7 million to redeem these units.

Preferred Equity - Sun NG Resorts - mandatorily redeemable

In June 2018, in connection with the investment in Sun NG Resorts, $35.3 million of mandatorily redeemable Preferred Equity (“Preferred Equity - Sun NG Resorts”) was purchased by unrelated third parties. The Preferred Equity - Sun NG Resorts carries a preferred rate of return of 6.0 percent per annum. The Preferred Equity - Sun NG Resorts has a seven year term and can be redeemed in the fourth quarter of 2022 at the holders’ option. The Preferred Equity - Sun NG Resorts as of June 30, 2019 was $35.2 million. Refer to Note 3, “Real Estate Acquisitions,” Note 8, “Consolidated Variable Interest Entities,” and Note 10, “Equity and Temporary Equity” for additional information.

Lines of Credit

In May 2019, we amended and restated our credit agreement (the “A&R Credit Agreement”) with Citibank, N.A. (“Citibank”) and certain other lenders. Pursuant to the A&R Credit Agreement, we entered into a senior credit facility with Citibank and certain other lenders in the amount of $750.0 million, comprised of a $650.0 million revolving loan, with the ability to use up to $100.0 million for advances in Australian dollars, and a $100.0 million term loan (the “A&R Facility”). The Company has until November 18, 2019 to draw on the term loan. As of June 30, 2019, the Company has not drawn any funds on the term loan. The A&R Credit Agreement has a four-year term ending May 21, 2023, which can be extended for two additional six-month periods, subject to the satisfaction of certain conditions as defined in the credit agreement. The A&R Credit Agreement also provides for, subject to the satisfaction of certain conditions, additional commitments in an amount not to exceed $350.0 million. If additional borrowings are made pursuant to any such additional commitments, the aggregate borrowing limit under the A&R Facility may be increased up to $1.1 billion.

The A&R Facility bears interest at a floating rate based on the Eurodollar rate or Bank Bill Swap Bid Rate (“BBSY Bid rate”) plus a margin that is determined based on our leverage ratio calculated in accordance with the A&R Credit Agreement, which margin can range from 1.20 percent to 2.10 percent for the revolving loan and 1.20 percent to 2.05 percent for the term loan. As of June 30, 2019, the margin based on our leverage ratio was 1.20 percent on the revolving loan and 1.20 percent on the term loan. We had $71.0 million and zero of borrowings on the revolving loan and the term loans, respectively, as of June 30, 2019.

The A&R Facility provides us with the ability to issue letters of credit. Our issuance of letters of credit does not increase our borrowings outstanding under our line of credit, but does reduce the borrowing amount available. At June 30, 2019 and December 31, 2018, approximately $5.5 million and $3.9 million of availability was used to back standby letters of credit.

We have a $12.0 million manufactured home floor plan facility renewable indefinitely until our lender provides us at least a twelve month notice of their intent to terminate the agreement. The interest rate is 100 basis points over the greater of the prime rate as quoted in the Wall Street Journal on the first business day of each month or 6.0 percent. At June 30, 2019, the effective interest rate was 7.0 percent. The outstanding balance was $5.1 million as of June 30, 2019 and zero as of December 31, 2018.

Covenants

Pursuant to the terms of the A&R Facility, we are subject to various financial and other covenants. The most restrictive of our debt agreements place limitations on secured borrowings and contain minimum fixed charge coverage, leverage, distribution, and net worth requirements. At June 30, 2019, we were in compliance with all covenants.

In addition, certain of our subsidiary borrowers own properties that secure loans. These subsidiaries are consolidated within our accompanying Consolidated Financial Statements, however, each of these subsidiaries’ assets and credit are not available to satisfy the debts and other obligations of the Company, any of its other subsidiaries or any other person or entity.

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Equity and Temporary Equity

6 Months Ended

Jun. 30, 2019

Equity [Abstract]

Equity and Temporary Equity

Equity and Temporary Equity

Public Equity Offerings

In May 2019, we closed an underwritten registered public offering of 3,737,500 shares of common stock. Proceeds from the offering were $452.1 million after deducting expenses related to the offering. We used the net proceeds of this offering to repay borrowings outstanding under the revolving loan under our senior credit facility.

At the Market Offering Sales Agreement

In July 2017, we entered into a new at the market offering sales agreement (the “Sales Agreement”) with certain sales agents (collectively, the “Sales Agents”), whereby we may offer and sell shares of our common stock, having an aggregate offering price of up to $450.0 million, from time to time through the Sales Agents. The Sales Agents are entitled to compensation in an agreed amount not to exceed 2.0 percent of the gross price per share for any shares sold from time to time under the Sales Agreement. Through June 30, 2019, we have sold shares of our common stock for gross proceeds of $163.8 million under the Sales Agreement. There were no issuances of common stock under the Sales Agreement during 2019.

Issuance of Series D Preferred OP Units - Temporary Equity

In February 2019, we issued 488,958 Series D Preferred OP Units in connection with the acquisition of Country Village Estates. The Series D preferred OP units have a stated issuance price of $100.00 per OP Unit and carry a preferred return of 3.75 percent until the second anniversary of the issuance date. Commencing with the second anniversary of the issuance date, the Series D Preferred OP Units carry a preferred return of 4.0 percent. Commencing with the first anniversary of the issuance date, each Series D Preferred OP Unit can be exchanged for 0.8 shares of SUI stock at the holder’s option. The holders may require redemption in cash after the fifth anniversary of the Series D issuance date or upon the holder’s death. Refer to Note 3, “Real Estate Acquisitions” for additional information.

Equity Interests - NG Sun LLC - Temporary Equity

In June 2018, in connection with the investment in Sun NG Resorts, unrelated third parties purchased $6.5 million of Series B preferred equity interests and $15.4 million of common equity interest in Sun NG Resorts (herein jointly referred to as “Equity Interest - NG Sun LLC”). The Series B preferred equity interests carry a preferred return at a rate that, at any time, is equal to the interest rate on Sun NG Resorts’ indebtedness at such time. The current rate of return is 5.5 percent. The Equity Interests - NG Sun LLC do not have a fixed maturity date and can be redeemed in the fourth quarter of 2022 at the holders’ option. Sun NG LLC, our subsidiary, has the right during certain periods each year, with or without cause, or for cause at any time, to elect to buy NG Sun LLC’s interest. During a limited period in 2022, NG Sun LLC has the right to put its interest to Sun NG LLC. If either party exercises their option, the property management agreement will be terminated and the Company is required to purchase the remaining interests of NG Sun LLC and the property management agreement at fair value. Refer to Note 3, “Real Estate Acquisitions,” Note 8, “Consolidated Variable Interest Entities,” and Note 9, “Debt and Lines of Credit” for additional information.

Conversions

Subject to certain limitations, holders can convert certain series of stock and OP units to shares of our common stock at any time. Below is the activity of conversions during the six months ended June 30, 2019 and 2018:

		Six Months Ended		Six Months Ended
		June 30, 2019		June 30, 2018
Series	Conversion Rate	Units/Shares Converted	Common Stock	Units/Shares Converted	Common Stock
Common OP unit	1	436,177	436,177	14,828	14,828
Series A-1 preferred OP unit	2.439	7,950	19,387	8,700	21,217
Series A-4 preferred OP unit	0.4444	4,708	2,092	11,792	5,240
Series A-4 preferred stock	0.4444	11,288	5,016	22,576	10,033
Series C preferred OP unit	1.11	—	—	1,919	2,130

Cash Distributions

Cash Distributions for the three months ended June 30, 2019 were as follows:

Cash Distributions	Record Date	Payment Date	Distribution per Share		Total Distribution (thousands)
Common Stock, Common OP units and Restricted Stock	6/28/2019	7/15/2019	$	0.75	$	67,359
Series A-4 Preferred Stock	6/14/2019	7/1/2019	$	0.40625	$	427

Repurchase Program

In November 2004, our Board of Directors authorized us to repurchase up to 1,000,000 shares of our common stock. We have 400,000 common shares remaining in the repurchase program as of June 30, 2019. No common shares were repurchased during the six months ended June 30, 2019 or 2018. There is no expiration date specified for the buyback program.

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Share-Based Compensation

6 Months Ended

Jun. 30, 2019

Share-based Payment Arrangement, Noncash Expense [Abstract]

Share-Based Compensation

Share-Based Compensation

As of June 30, 2019, we had two share-based compensation plans: the Sun Communities, Inc. 2015 Equity Incentive Plan (“2015 Equity Incentive Plan”) and the First Amended and Restated 2004 Non-Employee Director Option Plan (“2004 Non-Employee Director Option Plan”). We believe granting equity awards will provide certain executives, key employees and directors additional incentives to promote our financial success, and promote employee and director retention by providing an opportunity to acquire or increase the direct proprietary interest of those individuals in our operations and future.

The following table shows details on grants of equity awards during the six months ended June 30, 2019:

Grant Period	Type	Plan	Shares Granted		Grant Date Fair Value Per Share			Vesting Type	Vesting Anniversary	Percentage
2019	Executive Officers	2015 Equity Incentive Plan	44,000		$	115.39	(1)	Time Based	20.0% annually over 5 years
2019	Executive Officers	2015 Equity Incentive Plan	66,000	(2)	$	115.39	(2)	Market Condition	3rd	100.0	%
2019	Directors	2004 Non-Employee Director Option Plan	18,000		$	113.68	(1)	Time Based	3rd	100.0	%
2019	Key Employees	2015 Equity Incentive Plan	55,770		$	120.01	(1)	Time Based	20.0% annually over 5 years

⁽¹⁾ The fair value of the grants were determined by using the average closing price of our common stock on the dates the shares were issued.

⁽²⁾ Share-based compensation for restricted stock awards with market conditions is measured based on an estimate of shares expected to vest. We estimate the fair value of share-based compensation for restricted stock with market conditions using a Monte Carlo simulation. At the grant date our common stock price was $115.39. Based on the Monte Carlo simulation we expect 75.1% of the 66,000 shares to vest.

Options

During the six months ended June 30, 2019, 1,500 shares of common stock were issued in connection with the exercise of stock options with net proceeds of less than $0.1 million. There were no stock option exercises during the six months ended June 30, 2018.

Vesting

The vesting requirements for 196,106 restricted shares granted to our executives, directors and employees were satisfied during the six months ended June 30, 2019.

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Segment Reporting

6 Months Ended

Jun. 30, 2019

Segment Reporting [Abstract]

Segment Reporting

Segment Reporting

We group our operating segments into reportable segments that provide similar products and services. Each operating segment has discrete financial information evaluated regularly by our chief operating decision maker in evaluating and assessing performance. We have two reportable segments: (i) Real Property Operations and (ii) Home Sales and Rentals. The Real Property Operations segment owns, operates, has an interest in a portfolio, and develops MH communities and RV communities, and is in the business of acquiring, operating, and expanding MH and RV communities. The Home Sales and Rentals segment offers manufactured home sales and leasing services to tenants and prospective tenants of our communities.

Transactions between our segments are eliminated in consolidation. Transient RV revenue is included in the Real Property Operations segment revenues and is expected to approximate $132.0 million annually. Transient RV revenue was recognized 19.9 percent in the first quarter, 23.2 percent in the second quarter, and is expected to be 41.3 percent and 15.6 percent in the third and fourth quarters, respectively. Transient revenue was $106.2 million for the year ended December 31, 2018. We recognized 20.7 percent in the first quarter, 20.3 percent in the second quarter, 42.6 percent in the third quarter, and 16.4 percent in the fourth quarter.

A presentation of segment financial information is summarized as follows (in thousands):

	Three Months Ended
	June 30, 2019									June 30, 2018
	Real Property Operations			Home Sales and Rentals			Consolidated			Real Property Operations			Home Sales and Rentals			Consolidated
Revenues	$	243,364		$	61,654		$	305,018		$	210,701		$	54,565		$	265,266
Operating expenses / Cost of sales	94,094			39,526			133,620			81,008			36,247			117,255
Net operating income / Gross profit	149,270			22,128			171,398			129,693			18,318			148,011
Adjustments to arrive at net income / (loss)
Interest and other revenues, net	7,427			—			7,427			6,168			—			6,168
Home selling expenses	—			(3,626		)	(3,626		)	—			(3,986		)	(3,986		)
General and administrative	(20,722		)	(2,975		)	(23,697		)	(18,600		)	(2,852		)	(21,452		)
Catastrophic weather related charges, net	(171		)	(8		)	(179		)	22			(75		)	(53		)
Depreciation and amortization	(57,054		)	(19,099		)	(76,153		)	(50,811		)	(16,962		)	(67,773		)
Loss on extinguishment of debt	(70		)	—			(70		)	(1,522		)	—			(1,522		)
Interest expense	(33,656		)	(5		)	(33,661		)	(32,254		)	(6		)	(32,260		)
Interest on mandatorily redeemable preferred OP units / equity	(1,181		)	—			(1,181		)	(790		)	—			(790		)
Remeasurement of marketable securities	3,620			—			3,620			—			—			—
Other income / (expense), net	1,061			(40		)	1,021			(1,829		)	1			(1,828		)
Income / (loss) from nonconsolidated affiliates	—			393			393			—			(8		)	(8		)
Current tax expense	(179		)	(93		)	(272		)	(135		)	(90		)	(225		)
Deferred tax benefit	96			—			96			(112		)	—			(112		)
Net income / (loss)	48,441			(3,325		)	45,116			29,830			(5,660		)	24,170
Less:  Preferred return to preferred OP units / equity	1,718						1,718			1,103			—			1,103
Less:  Amounts attributable to noncontrolling interests	2,740			(155		)	2,585			2,509			(282		)	2,227
Net income / (loss) attributable to Sun Communities, Inc.	43,983			(3,170		)	40,813			26,218			(5,378		)	20,840
Less: Preferred stock distributions	428			—			428			432			—			432
Net income / (loss) attributable to Sun Communities, Inc. common stockholders	$	43,555		$	(3,170	)	$	40,385		$	25,786		$	(5,378	)	$	20,408

	Six Months Ended
	June 30, 2019									June 30, 2018
	Real Property Operations			Home Sales and Rentals			Consolidated			Real Property Operations			Home Sales and Rentals			Consolidated
Revenues	$	468,625		$	115,243		$	583,868		$	414,480		$	102,485		$	516,965
Operating expenses / Cost of sales	174,434			73,591			248,025			151,857			68,045			219,902
Net operating income / Gross profit	294,191			41,652			335,843			262,623			34,440			297,063
Adjustments to arrive at net income / (loss):
Interest and other revenues, net	15,907			—			15,907			12,444			—			12,444
Home selling expenses	—			(6,950		)	(6,950		)	—			(7,276		)	(7,276		)
General and administrative	(39,956		)	(5,628		)	(45,584		)	(35,787		)	(5,422		)	(41,209		)
Catastrophic weather related charges, net	(953		)	(8		)	(961		)	2,379			(219		)	2,160
Depreciation and amortization	(115,299		)	(37,410		)	(152,709		)	(101,319		)	(32,891		)	(134,210		)
Loss on extinguishment of debt	(723		)	—			(723		)	(1,718		)	—			(1,718		)
Interest expenses	(67,666		)	(9		)	(67,675		)	(63,388		)	(10		)	(63,398		)
Interest on mandatorily redeemable preferred OP units / equity	(2,275		)	—			(2,275		)	(1,409		)	—			(1,409		)
Remeasurement of marketable securities	3,887			—			3,887			—			—			—
Other income / (expense), net	2,921			(2		)	2,919			(4,445		)	—			(4,445		)
Income / (loss) from nonconsolidated affiliates	—			737			737			—			(67		)	(67		)
Current tax expense	(301		)	(185		)	(486		)	(231		)	(168		)	(399		)
Deferred tax benefit	313			—			313			235			—			235
Net income / (loss)	90,046			(7,803		)	82,243			69,384			(11,613		)	57,771
Less:  Preferred return to preferred OP units / equity	3,041			—			3,041			2,183			—			2,183
Less:  Amounts attributable to noncontrolling interests	3,999			(373		)	3,626			4,900			(579		)	4,321
Net income / (loss) attributable to Sun Communities, Inc.	83,006			(7,430		)	75,576			62,301			(11,034		)	51,267
Less: Preferred stock distributions	860			—			860			873			—			873
Net income / (loss) attributable to Sun Communities, Inc. common stockholders	$	82,146		$	(7,430	)	$	74,716		$	61,428		$	(11,034	)	$	50,394

	June 30, 2019							December 31, 2018
	Real Property Operations			Home Sales and Rentals		Consolidated		Real Property Operations		Home Sales and Rentals		Consolidated
Identifiable assets
Investment property, net	$	6,009,366		$	558,478	$	6,567,844	$	5,586,444	$	531,872	$	6,118,316
Cash and cash equivalents	(5,184		)	33,888		28,704		24,343		25,968		50,311
Marketable securities	53,553			—		53,553		49,037		—		49,037
Inventory of manufactured homes	—			55,869		55,869		—		49,199		49,199
Notes and other receivables, net	146,648			17,655		164,303		145,673		14,404		160,077
Collateralized receivables, net	97,658			—		97,658		106,924		—		106,924
Other assets, net	178,195			75,958		254,153		140,027		36,135		176,162
Total assets	$	6,480,236		$	741,848	$	7,222,084	$	6,052,448	$	657,578	$	6,710,026

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Income Taxes

6 Months Ended

Jun. 30, 2019

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

We have elected to be taxed as a real estate investment trust (“REIT”) pursuant to Section 856(c) of the Internal Revenue Code of 1986, as amended (“Code”). In order for us to qualify as a REIT, at least 95 percent of our gross income in any year must be derived from qualifying sources. In addition, a REIT must distribute annually at least 90 percent of its REIT taxable income (calculated without any deduction for dividends paid and excluding capital gain) to its stockholders and meet other tests.

Qualification as a REIT involves the satisfaction of numerous requirements (on an annual and quarterly basis) established under highly technical and complex Code provisions for which there are limited judicial or administrative interpretations, and involves the determination of various factual matters and circumstances not entirely within our control. In addition, frequent changes occur in the area of REIT taxation which requires us to continually monitor our tax status. We analyzed the various REIT tests and confirmed that we continued to qualify as a REIT for the quarter ended June 30, 2019.

As a REIT, we generally will not be subject to United States (“U.S.”) federal income taxes at the corporate level on the ordinary taxable income we distribute to our stockholders as dividends. If we fail to qualify as a REIT in any taxable year, our taxable income could be subject to U.S. federal income tax at regular corporate rates. Even if we qualify as a REIT, we may be subject to certain state and local income taxes as well as U.S. federal income and excise taxes on our undistributed income. In addition, taxable income from non-REIT activities managed through taxable REIT subsidiaries is subject to federal, state, and local income taxes. The Company is also subject to local income taxes in Canada as a result of the acquisition of Carefree in 2016. We do not provide for withholding taxes on our undistributed earnings from our Canadian subsidiaries as they are reinvested and will continue to be reinvested indefinitely outside of the U.S.

Deferred tax assets and liabilities reflect the impact of temporary differences between the amounts of assets and liabilities for financial reporting purposes and the bases of such assets and liabilities as measured by tax laws. Deferred tax assets are reduced, if necessary, by a valuation allowance to the amount where realization is more likely than not assured after considering all available evidence. Our temporary differences primarily relate to net operating loss carryforwards, depreciation and basis differences between tax and U.S. GAAP on our Canadian investments. Our deferred tax assets that have a full valuation allowance relate to our taxable REIT subsidiaries (“TRS”) business. Net deferred tax liabilities of $20.1 million and $21.7 million for Canadian entities have been recorded in relation to corporate entities and included in “Other liabilities” in our Consolidated Balance Sheets as of  June 30, 2019 and June 30, 2018, respectively. There are no U.S. federal deferred tax assets or liabilities included in our Consolidated Balance Sheets as of June 30, 2019 and December 31, 2018.

We had no unrecognized tax benefits as of June 30, 2019 and 2018. We do not expect significant changes in tax positions that would result in unrecognized tax benefits within one year of June 30, 2019.

For the three months ended June 30, 2019 and 2018, we recorded a current tax expense for federal, state, and Canadian income taxes of $0.3 million and $0.2 million, respectively. For the six months ended June 30, 2019 and 2018, we recorded a current tax expense of $0.5 million and $0.4 million, respectively.

For the three months ended June 30, 2019, we recorded a deferred tax benefit of $0.1 million. For the three months ended June 30, 2018, we recorded a deferred tax expense $0.1 million. For the six months ended June 30, 2019 and 2018, we recorded a deferred tax benefit of $0.3 million and $0.2 million, respectively.

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Earnings Per Share

6 Months Ended

Jun. 30, 2019

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share

We have outstanding stock options, unvested restricted common shares, and Series A-4 Preferred Stock, and our Operating Partnership has: outstanding common OP units; Series A-1 preferred OP units; Series A-3 preferred OP units; Series A-4 preferred OP units; Series C preferred OP units; Series D preferred OP units; and Aspen preferred OP Units, which, if converted or exercised, may impact dilution.

Computations of basic and diluted earnings per share were as follows (in thousands, except per share data):

	Three Months Ended						Six Months Ended
	June 30, 2019			June 30, 2018			June 30, 2019			June 30, 2018
Numerator
Net income attributable to common stockholders	$	40,385		$	20,408		$	74,716		$	50,394
Less allocation to restricted stock awards	(448		)	(119		)	(887		)	(422		)
Basic earnings - Net income attributable to common stockholders after allocation to restricted stock awards	39,937			20,289			73,829			49,972
Add allocation to restricted stock awards	448			119			887			422
Diluted earnings - Net income attributable to common stockholders after allocation to restricted stock awards	$	40,385		$	20,408		$	74,716		$	50,394
Denominator
Weighted average common shares outstanding	87,130			79,612			86,325			79,233
Add: dilutive stock options	1			2			1			2
Add: dilutive restricted stock	433			502			444			670
Diluted weighted average common shares and securities	87,564			80,116			86,770			79,905
Earnings per share available to common stockholders after allocation
Basic	$	0.46		$	0.25		$	0.86		$	0.63
Diluted	$	0.46		$	0.25		$	0.86		$	0.63

We have excluded certain convertible securities from the computation of diluted earnings per share because the inclusion of those securities would have been anti-dilutive for the periods presented. The following table presents the outstanding securities that were excluded from the computation of diluted earnings per share as of June 30, 2019 and 2018 (in thousands):

	As of
	June 30, 2019	June 30, 2018
Series A-4 Preferred Stock	1,052	1,063
Common OP units	2,289	2,731
A-1 preferred OP units	324	337
A-3 preferred OP units	40	40
A-4 preferred OP units	406	412
Series C Preferred OP units	314	314
Series D Preferred OP units	489	—
Aspen Preferred OP units	1,284	1,284
Total securities	6,198	6,181

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Fair Value of Financial Instruments

6 Months Ended

Jun. 30, 2019

Fair Value Disclosures [Abstract]

Fair Value Of Financial Instruments

Fair Value of Financial Instruments

Our financial instruments consist primarily of cash and cash equivalents, accounts and notes receivable, accounts payable, and debt.

ASC Topic 820 “Fair Value Measurements and Disclosures,” requires disclosure regarding determination of fair value for assets and liabilities and establishes a hierarchy under which these assets and liabilities must be grouped, based on significant levels of observable or unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s market assumption. This hierarchy requires the use of observable market data when available. These two types of inputs have created the following fair value hierarchy:

Level 1—Quoted unadjusted prices for identical instruments in active markets;

Level 2—Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets; and

Level 3—Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable.

We utilize fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. The following methods and assumptions were used in order to estimate the fair value of each class of financial instruments for which it is practicable to estimate that value:

Marketable Securities

In November 2018, we purchased marketable securities on the Australian Securities Exchange (“ASX”) for total consideration of $54 million US. The marketable securities held by us and accounted for under the ASC 321 “Investment Equity Securities” are measured at fair value. Any change in fair value is recognized in the Consolidated Statement of Operations in Remeasurement of marketable securities in accordance with ASU 2016-01 “Financial Instruments - Overall (Subtopic 825-10): Recognition and measurement of financial assets and financial liabilities.” The fair value is measured by the quoted unadjusted share price of which is readily available in active markets (Level 1).

Installment Notes Receivable on Manufactured Homes

The net carrying value of the installment notes receivable on manufactured homes estimates the fair value as the interest rates in the portfolio are comparable to current prevailing market rates (Level 2). Refer to Note 5, “Notes and Other Receivables.”

Long-Term Debt and Lines of Credit

The fair value of long-term debt (excluding the secured borrowing) is based on the estimates of management and on rates currently quoted, rates currently prevailing for comparable loans, and instruments of comparable maturities (Level 2). Refer to Note 9, “Debt and Lines of Credit.”

Collateralized Receivables and Secured Borrowings

The fair value of these financial instruments offset each other as our collateralized receivables represent a transfer of financial assets and the cash proceeds received from these transactions have been classified as a secured borrowing on the Consolidated Balance Sheets. The net carrying value of the collateralized receivables estimates the fair value as the interest rates in the portfolio are comparable to current prevailing market rates (Level 2). Refer to Note 4, “Collateralized Receivables and Transfers of Financial Assets.”

Financial Liabilities

We estimate the fair value of our contingent consideration liability based on discounting of future cash flows using market interest rates and adjusting for non-performance risk over the remaining term of the liability (Level 2).

Other Financial Instruments

The carrying values of cash and cash equivalents, accounts receivable, and accounts payable approximate their fair market values due to the short-term nature of these instruments.

The table below sets forth our financial assets and liabilities that required disclosure of fair value on a recurring basis as of June 30, 2019. The table presents the carrying values and fair values of our financial instruments as of June 30, 2019 and December 31, 2018, that were measured using the valuation techniques described above (in thousands). The table excludes other financial instruments such as cash and cash equivalents, accounts receivable, and accounts payable as the carrying values associated with these instruments approximate fair value since their maturities are less than one year.

	June 30, 2019				December 31, 2018
Financial assets	Carrying Value		Fair Value		Carrying Value		Fair Value
Marketable securities	$	53,553	$	53,553	$	49,037	$	49,037
Installment notes receivable on manufactured homes, net	104,559		104,559		112,798		112,798
Collateralized receivables, net	97,658		97,658		106,924		106,924
Total	$	255,770	$	255,770	$	268,759	$	268,759
Financial liabilities
Debt (excluding secured borrowings)	$	2,933,397	$	2,977,195	$	2,888,572	$	2,757,649
Secured borrowings	98,299		98,299		107,731		107,731
Lines of credit	76,079		76,079		128,000		128,000
Other liabilities (contingent consideration)	4,765		4,765		4,640		4,640
Total	$	3,112,540	$	3,156,338	$	3,128,943	$	2,998,020

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Recent Accounting Pronouncements

6 Months Ended

Jun. 30, 2019

Accounting Changes and Error Corrections [Abstract]

Recent Accounting Pronouncements

Recent Accounting Pronouncements

Recent Accounting Pronouncements - Adopted

In February 2016, the FASB issued ASC 2016-02 codified in ASC Topic 842, Leases, which amends the guidance in former ASC Topic 840, Leases. On January 1, 2019, we adopted ASC 2016-02. The new standard increases transparency and comparability most significantly by requiring the recognition by lessees of right-of-use (“ROU”) assets and lease liabilities on the balance sheet for those leases classified as operating leases and disclose key information about leasing arrangements. As amended by ASU 2018-11, comparative reporting periods are presented in accordance with Topic 840, while periods subsequent to the effective date are presented in accordance with Topic 842. The Company elected the package of practical expedients, which permits the Company not to reassess expired or existing contracts containing a lease, the lease classification for expired or existing contracts, initial direct costs for any existing leases. The Company elected not to allocate lease obligation between lease and non-lease components of our agreements for both leases where we are a lessor and leases where we are a lessee. The Company did not elect the hindsight practical expedient, which permits the company to use hindsight in determining the lease terms and impairment implications. The Company did not elect to use a portfolio approach in the valuation of ROU assets and corresponding liabilities. Some ROU assets include an extension option, which is included in the ROU assets and liabilities only if we are reasonably certain to exercise.

Lessor Accounting

Our income from real property and rental home revenue streams are derived from rental agreements where we are the lessor. Our recognition of rental revenue remains mainly consistent with previous guidance, apart from the narrower definition of initial direct costs that can be capitalized.

ASC 842 limits the definition of initial direct costs to only the incremental costs of signing a lease. Internal sales employees’ compensation, payroll-related fringe benefits, certain legal fees rendered prior to the execution of a lease, negotiation costs, advertising and other origination effort costs no longer meet the definition of initial direct costs under the new standard, and will be accounted for as general and administrative expense in our condensed consolidated statements of operations. ASC 842 permits the capitalization of direct commission costs. The application of ASC 842 resulted in an immaterial impact on the statement of consolidated operations.

Our leases with customers are classified as operating leases. Lease income from tenants is recognized on a straight-line basis over the terms of the relevant lease agreement and is included within income from real property, rental home revenue and ancillary revenue on the Consolidated Statements of Operations. Revenue is not recognized when collection is not reasonably assured. When collectability is not reasonably assured, the resident is placed on non-accrual status and revenue is recognized when cash payments are received.

Lessee Accounting

We determine if an arrangement is a lease at inception. Our operating lease agreements are primarily for executive office spaces, ground leases at certain communities, and certain equipment leases. The ROU asset and ROU liabilities are included within Other assets, net and Other liabilities on the Consolidated Balance Sheets.

For operating leases with a term greater than one year, the company recognizes the ROU assets and liabilities related to the lease payments on the Consolidated Balance Sheets. The lease liabilities are initially and subsequently measured at the present value of the unpaid lease payments at the lease commencement date. The ROU assets represent our right to use the underlying assets for the term of the lease and the lease liabilities represent our obligation to make lease payments arising for the agreements. The ROU asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for lease payments made at or before the lease commencement date, plus any initial direct costs incurred less any lease incentives received. The ROU asset is subsequently measured throughout the lease term at the carrying amount of the lease liability, plus unamortized initial direct costs, plus (minus) any prepaid (accrued) lease payments, less the unamortized balance of lease incentives received. Lease expense for lease payments is recognized on a straight-line basis over the lease term. The ROU asset is periodically reduced by impairment losses. As of June 30, 2019, we have not encountered any impairment losses. Variable lease payments, except for the ones that depend on index or rate, are excluded from the calculation of the ROU assets and lease liabilities and are recognized as variable lease expense in the consolidated Statement of Operations in the period in which they are incurred. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Many of our lessee agreements include options to extend the lease, which we do not include in our minimum lease terms unless they are reasonably certain to be exercised. The Lease liability costs are amortized over the straight-line method over the term of the lease. Operating leases with a term of less than one year are recognized as a lease expense over the term of the lease, with no asset or liability recognized on the Consolidated Balance Sheets.

Finance leases where we are the lessee are included in Other assets, net and Other liabilities on our Consolidated Balance Sheets. The lease liabilities are initially measured in the same manner as operating leases and are subsequently measured at amortized cost using the effective interest method. The ROU asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for lease payments made at or before the lease commencement date, plus any initial direct costs incurred less any lease incentives received. For finance leases the ROU asset is subsequently amortized using the straight-line method from the lease commencement date to the earlier of the end of its useful life or the end of the lease term unless the lease transfers ownership of the underlying asset to us, or we are reasonably certain to exercise an option to purchase the underlying asset. In those cases, the ROU asset is amortized over the useful life of the underlying asset. Amortization of the ROU asset is recognized and presented separately from interest expense on the lease liability. ROU assets are periodically reduced by impairment losses. As of June 30, 2019, we have not encountered any impairment losses. Refer to Note 18, “Leases,” for information regarding leasing activities.

On January 1, 2018, we adopted ASU 2014-09 “Revenue from Contracts with Customers (Topic 606).” Refer to Note 2, “Revenue” for information regarding our adoption of this guidance.

On January 1, 2018, we adopted ASU 2017-01 “Business Combinations (Topic 805): Clarifying the Definition of a Business” and now capitalize direct acquisition related costs as part of the purchase price of asset acquisitions. Under previous guidance, substantially all of our property acquisitions were accounted for as business combinations with identifiable assets and liabilities measured at fair value, and acquisition related costs expensed as incurred.

On January 1, 2018, we adopted ASU 2016-18 “Statement of Cash Flows (Topic 230): Restricted Cash.” This update required inclusion of restricted cash and restricted cash equivalents with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows.

Our restricted cash consists of amounts primarily held in deposit for tax, insurance and repair escrows held by lenders in accordance with certain debt agreements. Restricted cash is included as a component of Other assets, net on the Consolidated Balance Sheets. Changes in restricted cash are reported in our Consolidated Statements of Cash Flows as operating, investing or financing activities based on the nature of the underlying activity.

The following table reconciles our beginning-of-period and end-of-period balances of cash, cash equivalents and restricted cash for the periods shown (in thousands):

	June 30, 2019		December 31, 2018		June 30, 2018		December 31, 2017
Cash and cash equivalents	$	28,704	$	50,311	$	20,046	$	10,127
Restricted cash	17,334		11,951		16,755		13,382
Cash, cash equivalents and restricted cash	$	46,038	$	62,262	$	36,801	$	23,509

Recent Accounting Pronouncements - Not Yet Adopted

In June 2016, the FASB issued ASU 2016-13 “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” This update replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The amendments in this update are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. We are in the process of reviewing the population and analyzing the impact of the guidance on our accounting policies regarding assessment of, and allowance for, credit losses on loans and other financial instruments.

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Commitments And Contingencies

6 Months Ended

Jun. 30, 2019

Commitments and Contingencies Disclosure [Abstract]

Commitments And Contingencies

Commitments and Contingencies

Legal Proceedings

We are involved in various legal proceedings arising in the ordinary course of business. All such proceedings, taken together, are not expected to have a material adverse impact on our results of operations or financial condition.

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Leases

6 Months Ended

Jun. 30, 2019

Leases [Abstract]

Leases

 Leases

Lessee accounting:

Future minimum lease payments under non-cancellable leases as of the quarter ended June 30, 2019 where we are the lessee include:

Maturity of lease liabilities (in thousands)
	Operating Leases			Finance Leases			Total
2019 (excluding the six months ended June 30, 2019)	$	1,086		$	105		$	1,191
2020	2,397			120			2,517
2021	2,446			120			2,566
2022	2,483			120			2,603
2023	2,509			120			2,629
Thereafter	13,725			4,060			17,785
Total lease payments	$	24,646		$	4,645		$	29,291
Less: Imputed interest	(6,083		)	(511		)	(6,594		)
Present Value of lease liabilities	$	18,563		$	4,134		$	22,697

ROU assets and lease liabilities for finance and operating leases as included in our Consolidated Financial Statements are as follows:

Lease asset and liabilities (in thousands)
	Classification	June 30, 2019			Classification	December 31, 2018
Lease assets
Right-of-use asset obtained in exchange for new finance lease liabilities	Other Asset, net	$	4,134	Capital lease asset	Land	$	4,098
Right-of-use asset obtained in exchange for new operating lease liabilities	Other Asset, net	$	18,316	n/a
Right-of-use asset obtained relative to below market operating lease	Other Asset, net	$	28,742	Below market Lease intangible asset	Other Asset, net	$	29,118
Lease liabilities
Finance lease liabilities	Other Liabilities	$	4,134	Capital lease liabilities	Other Liabilities	$	4,098
Operating lease liabilities	Other Liabilities	$	18,563	n/a

Lease expense for finance and operating leases as included in our Consolidated Financial Statements are as follows:

Lease Expense (in thousands)		Three Months Ended		Six Months Ended
	Classification	June 30, 2019		June 30, 2019
Finance Lease Expense
Amortization of right-of-use assets	Interest Expense	$	18	$	36
Interest on lease liabilities	Interest Expense	26		52
Operating lease cost	General and administrative, Property Operating and maintenance	982		1,804
Variable lease cost	Property Operating and maintenance	427		746
Total lease Expense		$	1,453	$	2,638

		Three Months Ended		Six Months Ended
	Classification	June 30, 2019		June 30, 2019
Capital Lease Expense
Amortization of lease	Interest Expense	$	18	$	36
Interest on lease liabilities	Interest Expense	26		52
Operating lease expense	General and administrative, Property Operating and maintenance	829		1,680
Below market ground lease amortization expense	Property Operating and maintenance	223		445
Total lease Expense		$	1,096	$	2,213

Lease term, discount rates and additional information for finance and operating leases are as follows:

Lease term and discount rate
	June 30, 2019
Weighted-average remaining lease term (years)
Finance lease	5.00
Operating lease	12.25
Weighted-average discount rate
Finance lease	2.50	%
Operating lease	4.06	%

Other Information (in thousands)	Six Months Ended		Six Months Ended
	June 30, 2019		June 30, 2018
Cash paid for amounts included in the measurement of lease liabilities
Operating Cash flow from Operating leases	$	1,130	$	2,052
Financing cash flow from Finance leases	15		15
Total Cash paid on lease liabilities	$	1,145	$	2,067

As of the quarter ended June 30, 2019, we have an additional executive office space operating lease for $2.9 million which will commence in November 2019 with a lease term of seven years.

Related Party Leases: Lease of Executive Offices. Gary A. Shiffman, together with certain of his family members, indirectly owns an equity interest of approximately 28.1 percent in American Center LLC, the entity from which we lease office space for our principal executive offices. Each of Brian M. Hermelin, Ronald A. Klein and Arthur A. Weiss indirectly owns a less than one percent interest in American Center LLC. Mr. Shiffman is our Chief Executive Officer and Chairman of the Board. Each of Mr. Hermelin, Mr. Klein and Mr. Weiss is a director of the Company. Under this agreement, we lease approximately 103,100 rentable square feet of permanent space. The initial term of the lease is until October 31, 2026, and the average gross base rent is $18.55 per square foot until October 31, 2019 with graduated rental increases thereafter. Each of Mr. Shiffman, Mr. Hermelin, Mr. Klein and Mr. Weiss may have a conflict of interest with respect to his obligations as our officer and/or director and his ownership interest in American Center LLC.

Lessor Accounting:

We are not the lessor for any finance leases as of June 30, 2019. Over 99 percent of our operating leases where we are the lessor are either month to month or for a time period not to exceed one year.  As of the reporting date, future minimum lease payments would not exceed twelve months.  Similarly, over 95 percent of our investment property, net on the Consolidated Balance Sheets, and related depreciation amounts relate to assets whereby we are the lessor under an operating lease.

Leases

Leases

Lessee accounting:

Future minimum lease payments under non-cancellable leases as of the quarter ended June 30, 2019 where we are the lessee include:

Maturity of lease liabilities (in thousands)
	Operating Leases			Finance Leases			Total
2019 (excluding the six months ended June 30, 2019)	$	1,086		$	105		$	1,191
2020	2,397			120			2,517
2021	2,446			120			2,566
2022	2,483			120			2,603
2023	2,509			120			2,629
Thereafter	13,725			4,060			17,785
Total lease payments	$	24,646		$	4,645		$	29,291
Less: Imputed interest	(6,083		)	(511		)	(6,594		)
Present Value of lease liabilities	$	18,563		$	4,134		$	22,697

ROU assets and lease liabilities for finance and operating leases as included in our Consolidated Financial Statements are as follows:

Lease asset and liabilities (in thousands)
	Classification	June 30, 2019			Classification	December 31, 2018
Lease assets
Right-of-use asset obtained in exchange for new finance lease liabilities	Other Asset, net	$	4,134	Capital lease asset	Land	$	4,098
Right-of-use asset obtained in exchange for new operating lease liabilities	Other Asset, net	$	18,316	n/a
Right-of-use asset obtained relative to below market operating lease	Other Asset, net	$	28,742	Below market Lease intangible asset	Other Asset, net	$	29,118
Lease liabilities
Finance lease liabilities	Other Liabilities	$	4,134	Capital lease liabilities	Other Liabilities	$	4,098
Operating lease liabilities	Other Liabilities	$	18,563	n/a

Lease expense for finance and operating leases as included in our Consolidated Financial Statements are as follows:

Lease Expense (in thousands)		Three Months Ended		Six Months Ended
	Classification	June 30, 2019		June 30, 2019
Finance Lease Expense
Amortization of right-of-use assets	Interest Expense	$	18	$	36
Interest on lease liabilities	Interest Expense	26		52
Operating lease cost	General and administrative, Property Operating and maintenance	982		1,804
Variable lease cost	Property Operating and maintenance	427		746
Total lease Expense		$	1,453	$	2,638

		Three Months Ended		Six Months Ended
	Classification	June 30, 2019		June 30, 2019
Capital Lease Expense
Amortization of lease	Interest Expense	$	18	$	36
Interest on lease liabilities	Interest Expense	26		52
Operating lease expense	General and administrative, Property Operating and maintenance	829		1,680
Below market ground lease amortization expense	Property Operating and maintenance	223		445
Total lease Expense		$	1,096	$	2,213

Lease term, discount rates and additional information for finance and operating leases are as follows:

Lease term and discount rate
	June 30, 2019
Weighted-average remaining lease term (years)
Finance lease	5.00
Operating lease	12.25
Weighted-average discount rate
Finance lease	2.50	%
Operating lease	4.06	%

Other Information (in thousands)	Six Months Ended		Six Months Ended
	June 30, 2019		June 30, 2018
Cash paid for amounts included in the measurement of lease liabilities
Operating Cash flow from Operating leases	$	1,130	$	2,052
Financing cash flow from Finance leases	15		15
Total Cash paid on lease liabilities	$	1,145	$	2,067

As of the quarter ended June 30, 2019, we have an additional executive office space operating lease for $2.9 million which will commence in November 2019 with a lease term of seven years.

Related Party Leases: Lease of Executive Offices. Gary A. Shiffman, together with certain of his family members, indirectly owns an equity interest of approximately 28.1 percent in American Center LLC, the entity from which we lease office space for our principal executive offices. Each of Brian M. Hermelin, Ronald A. Klein and Arthur A. Weiss indirectly owns a less than one percent interest in American Center LLC. Mr. Shiffman is our Chief Executive Officer and Chairman of the Board. Each of Mr. Hermelin, Mr. Klein and Mr. Weiss is a director of the Company. Under this agreement, we lease approximately 103,100 rentable square feet of permanent space. The initial term of the lease is until October 31, 2026, and the average gross base rent is $18.55 per square foot until October 31, 2019 with graduated rental increases thereafter. Each of Mr. Shiffman, Mr. Hermelin, Mr. Klein and Mr. Weiss may have a conflict of interest with respect to his obligations as our officer and/or director and his ownership interest in American Center LLC.

Lessor Accounting:

We are not the lessor for any finance leases as of June 30, 2019. Over 99 percent of our operating leases where we are the lessor are either month to month or for a time period not to exceed one year.  As of the reporting date, future minimum lease payments would not exceed twelve months.  Similarly, over 95 percent of our investment property, net on the Consolidated Balance Sheets, and related depreciation amounts relate to assets whereby we are the lessor under an operating lease.

Leases

Leases

Lessee accounting:

Future minimum lease payments under non-cancellable leases as of the quarter ended June 30, 2019 where we are the lessee include:

Maturity of lease liabilities (in thousands)
	Operating Leases			Finance Leases			Total
2019 (excluding the six months ended June 30, 2019)	$	1,086		$	105		$	1,191
2020	2,397			120			2,517
2021	2,446			120			2,566
2022	2,483			120			2,603
2023	2,509			120			2,629
Thereafter	13,725			4,060			17,785
Total lease payments	$	24,646		$	4,645		$	29,291
Less: Imputed interest	(6,083		)	(511		)	(6,594		)
Present Value of lease liabilities	$	18,563		$	4,134		$	22,697

ROU assets and lease liabilities for finance and operating leases as included in our Consolidated Financial Statements are as follows:

Lease asset and liabilities (in thousands)
	Classification	June 30, 2019			Classification	December 31, 2018
Lease assets
Right-of-use asset obtained in exchange for new finance lease liabilities	Other Asset, net	$	4,134	Capital lease asset	Land	$	4,098
Right-of-use asset obtained in exchange for new operating lease liabilities	Other Asset, net	$	18,316	n/a
Right-of-use asset obtained relative to below market operating lease	Other Asset, net	$	28,742	Below market Lease intangible asset	Other Asset, net	$	29,118
Lease liabilities
Finance lease liabilities	Other Liabilities	$	4,134	Capital lease liabilities	Other Liabilities	$	4,098
Operating lease liabilities	Other Liabilities	$	18,563	n/a

Lease expense for finance and operating leases as included in our Consolidated Financial Statements are as follows:

Lease Expense (in thousands)		Three Months Ended		Six Months Ended
	Classification	June 30, 2019		June 30, 2019
Finance Lease Expense
Amortization of right-of-use assets	Interest Expense	$	18	$	36
Interest on lease liabilities	Interest Expense	26		52
Operating lease cost	General and administrative, Property Operating and maintenance	982		1,804
Variable lease cost	Property Operating and maintenance	427		746
Total lease Expense		$	1,453	$	2,638

		Three Months Ended		Six Months Ended
	Classification	June 30, 2019		June 30, 2019
Capital Lease Expense
Amortization of lease	Interest Expense	$	18	$	36
Interest on lease liabilities	Interest Expense	26		52
Operating lease expense	General and administrative, Property Operating and maintenance	829		1,680
Below market ground lease amortization expense	Property Operating and maintenance	223		445
Total lease Expense		$	1,096	$	2,213

Lease term, discount rates and additional information for finance and operating leases are as follows:

Lease term and discount rate
	June 30, 2019
Weighted-average remaining lease term (years)
Finance lease	5.00
Operating lease	12.25
Weighted-average discount rate
Finance lease	2.50	%
Operating lease	4.06	%

Other Information (in thousands)	Six Months Ended		Six Months Ended
	June 30, 2019		June 30, 2018
Cash paid for amounts included in the measurement of lease liabilities
Operating Cash flow from Operating leases	$	1,130	$	2,052
Financing cash flow from Finance leases	15		15
Total Cash paid on lease liabilities	$	1,145	$	2,067

As of the quarter ended June 30, 2019, we have an additional executive office space operating lease for $2.9 million which will commence in November 2019 with a lease term of seven years.

Related Party Leases: Lease of Executive Offices. Gary A. Shiffman, together with certain of his family members, indirectly owns an equity interest of approximately 28.1 percent in American Center LLC, the entity from which we lease office space for our principal executive offices. Each of Brian M. Hermelin, Ronald A. Klein and Arthur A. Weiss indirectly owns a less than one percent interest in American Center LLC. Mr. Shiffman is our Chief Executive Officer and Chairman of the Board. Each of Mr. Hermelin, Mr. Klein and Mr. Weiss is a director of the Company. Under this agreement, we lease approximately 103,100 rentable square feet of permanent space. The initial term of the lease is until October 31, 2026, and the average gross base rent is $18.55 per square foot until October 31, 2019 with graduated rental increases thereafter. Each of Mr. Shiffman, Mr. Hermelin, Mr. Klein and Mr. Weiss may have a conflict of interest with respect to his obligations as our officer and/or director and his ownership interest in American Center LLC.

Lessor Accounting:

We are not the lessor for any finance leases as of June 30, 2019. Over 99 percent of our operating leases where we are the lessor are either month to month or for a time period not to exceed one year.  As of the reporting date, future minimum lease payments would not exceed twelve months.  Similarly, over 95 percent of our investment property, net on the Consolidated Balance Sheets, and related depreciation amounts relate to assets whereby we are the lessor under an operating lease.

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Subsequent Event

6 Months Ended

Jun. 30, 2019

Subsequent Events [Abstract]

Subsequent Event

Subsequent Events

Subsequent to the quarter ended June 30, 2019, we acquired a RV resort in Ponchatoula, Louisiana with 202 developed sites and 69 expansion sites for $23.5 million.

We have evaluated our Consolidated Financial Statements for subsequent events through the date that this Form 10-Q was issued.

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Revenue (Tables)

6 Months Ended

Jun. 30, 2019

Revenue from Contract with Customer [Abstract]

Disaggregation of Revenue

The following tables details our revenue by major source (in thousands):

	Three Months Ended
	June 30, 2019						June 30, 2018
	Real Property Operations		Home Sales and Rentals		Consolidated		Real Property Operations		Home Sales and Rentals		Consolidated
Revenue
Income from real property	$	226,099	$	—	$	226,099	$	198,670	$	—	$	198,670
Revenue from home sales	—		47,242		47,242		—		41,217		41,217
Rental home revenue	—		14,412		14,412		—		13,348		13,348
Ancillary revenue	17,265		—		17,265		12,031		—		12,031
Interest Income	4,919		—		4,919		5,277		—		5,277
Brokerage commissions and other revenues, net	2,508		—		2,508		891		—		891
Total revenue	$	250,791	$	61,654	$	312,445	$	216,869	$	54,565	$	271,434

	Six Months Ended
	June 30, 2019						June 30, 2018
	Real Property Operations		Home Sales and Rentals		Consolidated		Real Property Operations		Home Sales and Rentals		Consolidated
Revenue
Income from real property	$	442,878	$	—	$	442,878	$	395,881	$	—	$	395,881
Revenue from home sales	—		86,860		86,860		—		76,117		76,117
Rental home revenue	—		28,383		28,383		—		26,368		26,368
Ancillary revenue	25,747		—		25,747		18,599		—		18,599
Interest	9,719		—		9,719		10,593		—		10,593
Brokerage commissions and other revenues, net	6,188		—		6,188		1,851		—		1,851
Total revenue	$	484,532	$	115,243	$	599,775	$	426,924	$	102,485	$	529,409

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Real Estate Acquisitions (Tables)

6 Months Ended

Jun. 30, 2019

Business Combinations [Abstract]

Schedule of Business Acquisitions, by Acquisition

In 2019 we acquired the following communities:

Community Name	Type	Sites	Development Sites	State	Month Acquired
River Plantation	RV	309	—	TN	May
Massey’s Landing RV	RV	291	—	DE	February
Shelby Properties(1)	MH	1,308	—	MI	February
Buena Vista	MH	400	—	AZ	February
Country Village Estates (2)	MH	518	—	OR	January
Hid’n Pines RV	RV	321	—	ME	January
Hacienda del Rio	MH (Age-Restricted)	730	70	FL	January
	Total	3,877	70

⁽¹⁾ Contains two MH communities.

⁽²⁾ In conjunction with the acquisition, we issued Series D Preferred Operating Partnership (“OP”) Units. As of June 30, 2019, 488,958 Series D Preferred OP Units were outstanding.

In 2018, we acquired the following land for expansion / development:

Name	Location	Type	Expansion / Development Sites	Cost (millions)		Month Acquired
Ocean West	McKinleyville, CA	MH	26	$	0.2	December
Water Oak Country Club Estates	Lady Lake, FL	MH	296	1.9		November
Oak Crest	Austin, TX	MH	220	4.2		October
Pecan Park	Jacksonville, FL	RV	158	1.3		September
Smith Creek Crossing	Granby, CO	MH	310	0.9		September
Apple Carr	Egelston, MI	MH	121	0.2		May
River Run Ranch	Granby, CO	MH / RV	1,144	5.3		May
		Total	2,275	$	14.0

In 2018 we acquired the following communities:

Community Name	Type	Sites	Development Sites	State	Month Acquired
Leaf Verde RV Resort	RV	376	—	AZ	October
Archview	RV	114	50	UT	August
Petoskey KOA	RV	210	—	MI	August
The Sands RV and Golf Resort	RV (Age Restricted)	507	—	CA	July
Sun NG RV Resorts LLC (1)(2)	RV	2,700	940	Various	June
Silver Creek	RV	264	176	MI	June
Highway West (1)	RV	536	—	UT & OR	June
Compass RV	RV	175	—	FL	May
	Total	4,882	1,166

⁽¹⁾ Highway West and Sun NG RV Resorts LLC are comprised of 4 RV and 10 RV resorts, respectively.

⁽²⁾ Refer to Note 8, “Consolidated Variable Interest Entities,” Note 9, “Debt and Lines of Credit,” and Note 10, “Equity and Temporary Equity” in our accompanying Consolidated Financial Statements for additional information.

Schedule of Purchase Price Allocation

The following table summarizes the amounts of assets acquired net of liabilities assumed at the acquisition date and the consideration paid for the acquisitions completed in 2018 (in thousands):

At Acquisition Date	Leaf Verde		Archview		Petoskey KOA		Sands		Sun NG Resorts			Silver Creek		Highway West		Compass		Total
Investment in property	$	11,587	$	14,550	$	8,730	$	13,790	$	240,649		$	7,250	$	36,500	$	13,930	$	346,986
In-place leases and other intangible assets	60		—		270		460		16,339			—		—		70		17,199
Debt assumed	—		—		—		—		(3,120		)	—		—		—		(3,120		)
Other liabilities, net	—		—		—		—		(11,990		)	—		—		—		(11,990		)
Total identifiable assets acquired net of liabilities assumed	$	11,647	$	14,550	$	9,000	$	14,250	$	241,878		$	7,250	$	36,500	$	14,000	$	349,075
Consideration
Cash	$	11,647	$	14,550	$	9,000	$	14,250	$	184,625		$	7,250	$	36,500	$	14,000	$	291,822
Preferred Equity - Sun NG Resorts	—		—		—		—		35,277			—		—		—		35,277
Equity Interests - NG Sun LLC	—		—		—		—		21,976			—		—		—		21,976
Total consideration	$	11,647	$	14,550	$	9,000	$	14,250	$	241,878		$	7,250	$	36,500	$	14,000	$	349,075

The following table summarizes the amounts of assets acquired net of liabilities assumed at the acquisition date and the consideration paid for the acquisitions completed in the six months ended June 30, 2019 (in thousands):

At Acquisition Date (1)	River Plantation		Massey's Landing			Shelby Properties			Buena Vista			Country Village		Hid'n Pines			Hacienda del Rio			Total
Investment in property	$	22,589	$	19,780		$	85,969		$	20,221		$	62,784	$	10,680		$	111,971		$	333,994
Inventory of manufactured homes	75		—			2,011			439			—		—			15			2,540
In-place leases and other intangible assets	—		220			6,520			1,590			2,020		70			3,280			13,700
Other assets (liabilities), net	—		(446		)	(1,015		)	(93		)	31		(233		)	(237		)	(1,993		)
Total identifiable assets acquired net of liabilities assumed	$	22,664	$	19,554		$	93,485		$	22,157		$	64,835	$	10,517		$	115,029		$	348,241
Consideration
Cash and escrow	$	22,664	$	19,554		$	93,485		$	22,157		$	12,905	$	10,517		$	115,029		$	296,311
Series D Preferred OP units	—		—			—			—			51,930		—			—			51,930
Total consideration	$	22,664	$	19,554		$	93,485		$	22,157		$	64,835	$	10,517		$	115,029		$	348,241

⁽¹⁾ The purchase price allocations are preliminary and may be adjusted as final valuations are determined.

Business Acquisition, Pro Forma Information

The information presented below has been prepared for comparative purposes only and does not purport to be indicative of either future results of operations or the results of operations that would have actually occurred had the acquisition been consummated on January 1, 2018 (in thousands, except per-share data):

	Three Months Ended				Six Months Ended
	June 30, 2019		June 30, 2018		June 30, 2019		June 30, 2018
Total revenues	$	312,928	$	278,823	$	602,181	$	542,529
Net income attributable to Sun Communities, Inc. common stockholders	$	41,377	$	23,444	$	75,406	$	54,312
Net income per share attributable to Sun Communities, Inc. common stockholders - basic	$	0.47	$	0.29	$	0.87	$	0.69
Net income per share attributable to Sun Communities, Inc. common stockholders - diluted	$	0.47	$	0.29	$	0.87	$	0.68

The total amount of revenues and net income included in the Consolidated Statements of Operations for the three and six months ended June 30, 2019 related to the acquisitions completed in 2019 are set forth in the following table (in thousands):

	Three Months Ended		Six Months Ended
	June 30, 2019		June 30, 2019
Total revenues	$	9,163	$	12,927
Net income	$	3,556	$	4,873

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Collateralized Receivables and Transfers of Financial Assets (Tables)

6 Months Ended

Jun. 30, 2019

Accounts, Notes, Loans and Financing Receivable [Line Items]

Repurchase price percentage

Number of Payments	Repurchase Percentage
Fewer than or equal to 15	100	%
Greater than 15 but fewer than 64	90	%
Equal to or greater than 64 but fewer than 120	65	%
120 or more	50	%

Schedule of collateralized loans

	Six Months Ended
	June 30, 2019
Beginning balance	$	107,731
Principal payments and payoffs from our customers	(6,063		)
Principal reduction from repurchased homes	(3,369		)
Total activity	(9,432		)
Ending balance	$	98,299

Collateralized Receivables [Member]

Accounts, Notes, Loans and Financing Receivable [Line Items]

Allowance for collateralized and installment notes receivable

The following table sets forth the allowance for the collateralized receivables as of June 30, 2019 (in thousands):

	Six Months Ended
	June 30, 2019
Beginning balance	$	(807	)
Lower of cost or market write-downs	85
Decrease to reserve balance	81
Total activity	166
Ending balance	$	(641	)

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Notes And Other Receivables (Tables)

6 Months Ended

Jun. 30, 2019

Accounts, Notes, Loans and Financing Receivable [Line Items]

Schedule of notes and other receivables

The following table sets forth certain information regarding notes and other receivables (in thousands):

	June 30, 2019		December 31, 2018
Installment notes receivable on manufactured homes, net	$	104,559	$	112,798
Other receivables, net	59,744		47,279
Total notes and other receivables, net	$	164,303	$	160,077

Schedule of Installment Notes Receivable

The change in the aggregate gross principal balance of the installment notes receivable is as follows (in thousands):

	Six Months Ended
	June 30, 2019
Beginning balance	$	113,495
Investment in installment notes	163
Principal payments and payoffs from customers	(4,093		)
Principal reduction from repossessed homes	(4,326		)
Total activity	(8,256		)
Ending balance	$	105,239

Installment Notes Receivable [Member]

Accounts, Notes, Loans and Financing Receivable [Line Items]

Allowance for collateralized and installment notes receivable

The following table sets forth the allowance change for the installment notes receivable as follows (in thousands):

	Six Months Ended
	June 30, 2019
Beginning balance	$	(697	)
Lower of cost or market write-downs	101
Increase to reserve balance	(84		)
Total activity	17
Ending balance	$	(680	)

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Intangible Assets Intangible Assets (Tables)

6 Months Ended

Jun. 30, 2019

Finite-Lived Intangible Assets, Net [Abstract]

Schedule of Finite-Lived Intangible Assets

The gross carrying amounts, and accumulated amortization are as follows (in thousands):

		June 30, 2019					December 31, 2018
Intangible asset	Useful Life	Gross Carrying Amount		Accumulated Amortization			Gross Carrying Amount		Accumulated Amortization
In-place leases	7 years	$	118,022	$	(66,540	)	$	103,547	$	(59,068	)
Franchise agreements and other intangible assets	7-20 years	16,944		(2,351		)	16,641		(1,942		)
Total		$	134,966	$	(68,891	)	$	120,188	$	(61,010	)

Schedule of Intangible Assets Amortization Expense

Total amortization expenses related to the intangible assets are as follows (in thousands):

	Three Months Ended				Six Months Ended
Intangible asset amortization expense	June 30, 2019		June 30, 2018		June 30, 2019		June 30, 2018
In-place leases	$	3,800	$	3,345	$	7,472	$	6,690
Franchise agreements and other intangible assets	205		19		409		38
Total	$	4,005	$	3,364	$	7,881	$	6,728

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense

We anticipate amortization expense for our intangible assets to be as follows for the next five years (in thousands)

	Year
	Remainder of 2019		2020		2021		2022		2023
Estimated expense	$	7,830	$	14,144	$	13,752	$	9,151	$	5,776

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Investment In Affiliates (Tables)

6 Months Ended

Jun. 30, 2019

Equity Method Investments and Joint Ventures [Abstract]

Equity Method Investments

The investment balance in each nonconsolidated affiliate is as follows (in millions):

	June 30, 2019		December 31, 2018
Investment in RezPlot	$	5.1	$	—
Investment in Sungenia JV	10.3		0.7
Investment in GTSC	48.1		29.8
Investment in OFS LLC	0.2		0.1
Total	$	63.7	$	30.6

The Equity Income / (loss) from each nonconsolidated affiliate is as follows (in thousands):

	Three Months Ended						Six Months Ended
	June 30, 2019			June 30, 2018			June 30, 2019			June 30, 2018
RezPlot equity loss	$	(260	)	$	—		$	(449	)	$	—
Sungenia JV equity loss	(18		)	—			(58		)	—
GTSC equity income / (loss)	604			(8		)	1,135			(67		)
OFS LLC equity income	67			—			109			—
Total equity income / (loss)	$	393		$	(8	)	$	737		$	(67	)

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Consolidated Variable Interest Entities (Tables)

6 Months Ended

Jun. 30, 2019

DisclosureofVariableInterestEntities [Abstract]

Schedule of Variable Interest Entities

	June 30, 2019		December 31, 2018
Assets
Investment property, net	$	324,931	$	308,171
Other assets, net	23,167		19,809
Total Assets	$	348,098	$	327,980
Liabilities and Other Equity
Debt	$	43,661	$	44,172
Preferred Equity - Sun NG Resorts - mandatorily redeemable	35,249		35,277
Other liabilities	32,461		6,914
Total Liabilities	111,371		86,363
Equity Interests - NG Sun LLC	22,099		21,976
Noncontrolling interests	7,209		7,145
Total Liabilities and Other Equity	$	140,679	$	115,484

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Debt And Lines Of Credit (Tables)

6 Months Ended

Jun. 30, 2019

Debt Disclosure [Abstract]

Schedule of debt and lines of credit [Table Text Block]

The following table sets forth certain information regarding debt including premiums, discounts and deferred financing costs (in thousands):

	Carrying Amount				Weighted Average Years to Maturity		Weighted Average Interest Rates
	June 30, 2019		December 31, 2018		June 30, 2019	December 31, 2018	June 30, 2019		December 31, 2018
Collateralized term loans - Life Companies	$	1,323,482	$	1,259,158	16.4	14.4	4.0	%	3.9	%
Collateralized term loans - FNMA	760,315		770,417		4.7	5.1	4.4	%	4.4	%
Collateralized term loans - CMBS	401,977		405,702		3.6	4.1	5.1	%	5.1	%
Collateralized term loans - FMCC	377,711		380,680		5.4	5.9	3.9	%	3.9	%
Secured borrowings	98,299		107,731		14.0	14.4	9.9	%	9.9	%
Lines of credit	76,079		128,000		3.7	2.3	3.3	%	3.8	%
Preferred Equity - Sun NG Resorts - mandatorily redeemable	35,249		35,277		3.3	3.8	6.0	%	6.0	%
Preferred OP units - mandatorily redeemable	34,663		37,338		4.5	4.7	6.5	%	6.6	%
Total debt	$	3,107,775	$	3,124,303	9.9	9.0	4.4	%	4.5	%

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Equity and Temporary Equity (Tables)

6 Months Ended

Jun. 30, 2019

Equity [Abstract]

Activity of Conversions

		Six Months Ended		Six Months Ended
		June 30, 2019		June 30, 2018
Series	Conversion Rate	Units/Shares Converted	Common Stock	Units/Shares Converted	Common Stock
Common OP unit	1	436,177	436,177	14,828	14,828
Series A-1 preferred OP unit	2.439	7,950	19,387	8,700	21,217
Series A-4 preferred OP unit	0.4444	4,708	2,092	11,792	5,240
Series A-4 preferred stock	0.4444	11,288	5,016	22,576	10,033
Series C preferred OP unit	1.11	—	—	1,919	2,130

Schedule of Dividends Payable

Cash Distributions	Record Date	Payment Date	Distribution per Share		Total Distribution (thousands)
Common Stock, Common OP units and Restricted Stock	6/28/2019	7/15/2019	$	0.75	$	67,359
Series A-4 Preferred Stock	6/14/2019	7/1/2019	$	0.40625	$	427

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Share-Based Compensation (Tables)

6 Months Ended

Jun. 30, 2019

Share-based Payment Arrangement, Noncash Expense [Abstract]

Schedule of Restricted Stock Granted

The following table shows details on grants of equity awards during the six months ended June 30, 2019:

Grant Period	Type	Plan	Shares Granted		Grant Date Fair Value Per Share			Vesting Type	Vesting Anniversary	Percentage
2019	Executive Officers	2015 Equity Incentive Plan	44,000		$	115.39	(1)	Time Based	20.0% annually over 5 years
2019	Executive Officers	2015 Equity Incentive Plan	66,000	(2)	$	115.39	(2)	Market Condition	3rd	100.0	%
2019	Directors	2004 Non-Employee Director Option Plan	18,000		$	113.68	(1)	Time Based	3rd	100.0	%
2019	Key Employees	2015 Equity Incentive Plan	55,770		$	120.01	(1)	Time Based	20.0% annually over 5 years

⁽¹⁾ The fair value of the grants were determined by using the average closing price of our common stock on the dates the shares were issued.

⁽²⁾ Share-based compensation for restricted stock awards with market conditions is measured based on an estimate of shares expected to vest. We estimate the fair value of share-based compensation for restricted stock with market conditions using a Monte Carlo simulation. At the grant date our common stock price was $115.39. Based on the Monte Carlo simulation we expect 75.1% of the 66,000 shares to vest.

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Segment Reporting (Tables)

6 Months Ended

Jun. 30, 2019

Segment Reporting [Abstract]

Schedule of Segment Reporting Information, by Segment

A presentation of segment financial information is summarized as follows (in thousands):

	Three Months Ended
	June 30, 2019									June 30, 2018
	Real Property Operations			Home Sales and Rentals			Consolidated			Real Property Operations			Home Sales and Rentals			Consolidated
Revenues	$	243,364		$	61,654		$	305,018		$	210,701		$	54,565		$	265,266
Operating expenses / Cost of sales	94,094			39,526			133,620			81,008			36,247			117,255
Net operating income / Gross profit	149,270			22,128			171,398			129,693			18,318			148,011
Adjustments to arrive at net income / (loss)
Interest and other revenues, net	7,427			—			7,427			6,168			—			6,168
Home selling expenses	—			(3,626		)	(3,626		)	—			(3,986		)	(3,986		)
General and administrative	(20,722		)	(2,975		)	(23,697		)	(18,600		)	(2,852		)	(21,452		)
Catastrophic weather related charges, net	(171		)	(8		)	(179		)	22			(75		)	(53		)
Depreciation and amortization	(57,054		)	(19,099		)	(76,153		)	(50,811		)	(16,962		)	(67,773		)
Loss on extinguishment of debt	(70		)	—			(70		)	(1,522		)	—			(1,522		)
Interest expense	(33,656		)	(5		)	(33,661		)	(32,254		)	(6		)	(32,260		)
Interest on mandatorily redeemable preferred OP units / equity	(1,181		)	—			(1,181		)	(790		)	—			(790		)
Remeasurement of marketable securities	3,620			—			3,620			—			—			—
Other income / (expense), net	1,061			(40		)	1,021			(1,829		)	1			(1,828		)
Income / (loss) from nonconsolidated affiliates	—			393			393			—			(8		)	(8		)
Current tax expense	(179		)	(93		)	(272		)	(135		)	(90		)	(225		)
Deferred tax benefit	96			—			96			(112		)	—			(112		)
Net income / (loss)	48,441			(3,325		)	45,116			29,830			(5,660		)	24,170
Less:  Preferred return to preferred OP units / equity	1,718						1,718			1,103			—			1,103
Less:  Amounts attributable to noncontrolling interests	2,740			(155		)	2,585			2,509			(282		)	2,227
Net income / (loss) attributable to Sun Communities, Inc.	43,983			(3,170		)	40,813			26,218			(5,378		)	20,840
Less: Preferred stock distributions	428			—			428			432			—			432
Net income / (loss) attributable to Sun Communities, Inc. common stockholders	$	43,555		$	(3,170	)	$	40,385		$	25,786		$	(5,378	)	$	20,408

	Six Months Ended
	June 30, 2019									June 30, 2018
	Real Property Operations			Home Sales and Rentals			Consolidated			Real Property Operations			Home Sales and Rentals			Consolidated
Revenues	$	468,625		$	115,243		$	583,868		$	414,480		$	102,485		$	516,965
Operating expenses / Cost of sales	174,434			73,591			248,025			151,857			68,045			219,902
Net operating income / Gross profit	294,191			41,652			335,843			262,623			34,440			297,063
Adjustments to arrive at net income / (loss):
Interest and other revenues, net	15,907			—			15,907			12,444			—			12,444
Home selling expenses	—			(6,950		)	(6,950		)	—			(7,276		)	(7,276		)
General and administrative	(39,956		)	(5,628		)	(45,584		)	(35,787		)	(5,422		)	(41,209		)
Catastrophic weather related charges, net	(953		)	(8		)	(961		)	2,379			(219		)	2,160
Depreciation and amortization	(115,299		)	(37,410		)	(152,709		)	(101,319		)	(32,891		)	(134,210		)
Loss on extinguishment of debt	(723		)	—			(723		)	(1,718		)	—			(1,718		)
Interest expenses	(67,666		)	(9		)	(67,675		)	(63,388		)	(10		)	(63,398		)
Interest on mandatorily redeemable preferred OP units / equity	(2,275		)	—			(2,275		)	(1,409		)	—			(1,409		)
Remeasurement of marketable securities	3,887			—			3,887			—			—			—
Other income / (expense), net	2,921			(2		)	2,919			(4,445		)	—			(4,445		)
Income / (loss) from nonconsolidated affiliates	—			737			737			—			(67		)	(67		)
Current tax expense	(301		)	(185		)	(486		)	(231		)	(168		)	(399		)
Deferred tax benefit	313			—			313			235			—			235
Net income / (loss)	90,046			(7,803		)	82,243			69,384			(11,613		)	57,771
Less:  Preferred return to preferred OP units / equity	3,041			—			3,041			2,183			—			2,183
Less:  Amounts attributable to noncontrolling interests	3,999			(373		)	3,626			4,900			(579		)	4,321
Net income / (loss) attributable to Sun Communities, Inc.	83,006			(7,430		)	75,576			62,301			(11,034		)	51,267
Less: Preferred stock distributions	860			—			860			873			—			873
Net income / (loss) attributable to Sun Communities, Inc. common stockholders	$	82,146		$	(7,430	)	$	74,716		$	61,428		$	(11,034	)	$	50,394

Reconciliation of Assets from Segment to Consolidated

	June 30, 2019							December 31, 2018
	Real Property Operations			Home Sales and Rentals		Consolidated		Real Property Operations		Home Sales and Rentals		Consolidated
Identifiable assets
Investment property, net	$	6,009,366		$	558,478	$	6,567,844	$	5,586,444	$	531,872	$	6,118,316
Cash and cash equivalents	(5,184		)	33,888		28,704		24,343		25,968		50,311
Marketable securities	53,553			—		53,553		49,037		—		49,037
Inventory of manufactured homes	—			55,869		55,869		—		49,199		49,199
Notes and other receivables, net	146,648			17,655		164,303		145,673		14,404		160,077
Collateralized receivables, net	97,658			—		97,658		106,924		—		106,924
Other assets, net	178,195			75,958		254,153		140,027		36,135		176,162
Total assets	$	6,480,236		$	741,848	$	7,222,084	$	6,052,448	$	657,578	$	6,710,026

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Earnings Per Share (Tables)

6 Months Ended

Jun. 30, 2019

Earnings Per Share [Abstract]

Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Table Text Block]

Computations of basic and diluted earnings per share were as follows (in thousands, except per share data):

	Three Months Ended						Six Months Ended
	June 30, 2019			June 30, 2018			June 30, 2019			June 30, 2018
Numerator
Net income attributable to common stockholders	$	40,385		$	20,408		$	74,716		$	50,394
Less allocation to restricted stock awards	(448		)	(119		)	(887		)	(422		)
Basic earnings - Net income attributable to common stockholders after allocation to restricted stock awards	39,937			20,289			73,829			49,972
Add allocation to restricted stock awards	448			119			887			422
Diluted earnings - Net income attributable to common stockholders after allocation to restricted stock awards	$	40,385		$	20,408		$	74,716		$	50,394
Denominator
Weighted average common shares outstanding	87,130			79,612			86,325			79,233
Add: dilutive stock options	1			2			1			2
Add: dilutive restricted stock	433			502			444			670
Diluted weighted average common shares and securities	87,564			80,116			86,770			79,905
Earnings per share available to common stockholders after allocation
Basic	$	0.46		$	0.25		$	0.86		$	0.63
Diluted	$	0.46		$	0.25		$	0.86		$	0.63

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]

The following table presents the outstanding securities that were excluded from the computation of diluted earnings per share as of June 30, 2019 and 2018 (in thousands):

	As of
	June 30, 2019	June 30, 2018
Series A-4 Preferred Stock	1,052	1,063
Common OP units	2,289	2,731
A-1 preferred OP units	324	337
A-3 preferred OP units	40	40
A-4 preferred OP units	406	412
Series C Preferred OP units	314	314
Series D Preferred OP units	489	—
Aspen Preferred OP units	1,284	1,284
Total securities	6,198	6,181

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Fair Value of Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2019

Fair Value Disclosures [Abstract]

Fair Value, by Balance Sheet Grouping

The table below sets forth our financial assets and liabilities that required disclosure of fair value on a recurring basis as of June 30, 2019. The table presents the carrying values and fair values of our financial instruments as of June 30, 2019 and December 31, 2018, that were measured using the valuation techniques described above (in thousands). The table excludes other financial instruments such as cash and cash equivalents, accounts receivable, and accounts payable as the carrying values associated with these instruments approximate fair value since their maturities are less than one year.

	June 30, 2019				December 31, 2018
Financial assets	Carrying Value		Fair Value		Carrying Value		Fair Value
Marketable securities	$	53,553	$	53,553	$	49,037	$	49,037
Installment notes receivable on manufactured homes, net	104,559		104,559		112,798		112,798
Collateralized receivables, net	97,658		97,658		106,924		106,924
Total	$	255,770	$	255,770	$	268,759	$	268,759
Financial liabilities
Debt (excluding secured borrowings)	$	2,933,397	$	2,977,195	$	2,888,572	$	2,757,649
Secured borrowings	98,299		98,299		107,731		107,731
Lines of credit	76,079		76,079		128,000		128,000
Other liabilities (contingent consideration)	4,765		4,765		4,640		4,640
Total	$	3,112,540	$	3,156,338	$	3,128,943	$	2,998,020

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Recent Accounting Pronouncements (Tables)

6 Months Ended

Jun. 30, 2019

Accounting Changes and Error Corrections [Abstract]

Schedule of Cash, Cash Equivalents and Restricted Cash

The following table reconciles our beginning-of-period and end-of-period balances of cash, cash equivalents and restricted cash for the periods shown (in thousands):

	June 30, 2019		December 31, 2018		June 30, 2018		December 31, 2017
Cash and cash equivalents	$	28,704	$	50,311	$	20,046	$	10,127
Restricted cash	17,334		11,951		16,755		13,382
Cash, cash equivalents and restricted cash	$	46,038	$	62,262	$	36,801	$	23,509

Schedule of Cash, Cash Equivalents and Restricted Cash

The following table reconciles our beginning-of-period and end-of-period balances of cash, cash equivalents and restricted cash for the periods shown (in thousands):

	June 30, 2019		December 31, 2018		June 30, 2018		December 31, 2017
Cash and cash equivalents	$	28,704	$	50,311	$	20,046	$	10,127
Restricted cash	17,334		11,951		16,755		13,382
Cash, cash equivalents and restricted cash	$	46,038	$	62,262	$	36,801	$	23,509

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Leases (Tables)

6 Months Ended

Jun. 30, 2019

Leases [Abstract]

Lease, Cost [Table Text Block]

for finance and operating leases as included in our Consolidated Financial Statements are as follows:

Lease asset and liabilities (in thousands)
	Classification	June 30, 2019			Classification	December 31, 2018
Lease assets
Right-of-use asset obtained in exchange for new finance lease liabilities	Other Asset, net	$	4,134	Capital lease asset	Land	$	4,098
Right-of-use asset obtained in exchange for new operating lease liabilities	Other Asset, net	$	18,316	n/a
Right-of-use asset obtained relative to below market operating lease	Other Asset, net	$	28,742	Below market Lease intangible asset	Other Asset, net	$	29,118
Lease liabilities
Finance lease liabilities	Other Liabilities	$	4,134	Capital lease liabilities	Other Liabilities	$	4,098
Operating lease liabilities	Other Liabilities	$	18,563	n/a

Lease expense for finance and operating leases as included in our Consolidated Financial Statements are as follows:

Lease Expense (in thousands)		Three Months Ended		Six Months Ended
	Classification	June 30, 2019		June 30, 2019
Finance Lease Expense
Amortization of right-of-use assets	Interest Expense	$	18	$	36
Interest on lease liabilities	Interest Expense	26		52
Operating lease cost	General and administrative, Property Operating and maintenance	982		1,804
Variable lease cost	Property Operating and maintenance	427		746
Total lease Expense		$	1,453	$	2,638

Finance Lease, Liability, Maturity [Table Text Block]

Future minimum lease payments under non-cancellable leases as of the quarter ended June 30, 2019 where we are the lessee include:

Maturity of lease liabilities (in thousands)
	Operating Leases			Finance Leases			Total
2019 (excluding the six months ended June 30, 2019)	$	1,086		$	105		$	1,191
2020	2,397			120			2,517
2021	2,446			120			2,566
2022	2,483			120			2,603
2023	2,509			120			2,629
Thereafter	13,725			4,060			17,785
Total lease payments	$	24,646		$	4,645		$	29,291
Less: Imputed interest	(6,083		)	(511		)	(6,594		)
Present Value of lease liabilities	$	18,563		$	4,134		$	22,697

Lessee, Operating Lease, Liability, Maturity [Table Text Block]

Future minimum lease payments under non-cancellable leases as of the quarter ended June 30, 2019 where we are the lessee include:

Maturity of lease liabilities (in thousands)
	Operating Leases			Finance Leases			Total
2019 (excluding the six months ended June 30, 2019)	$	1,086		$	105		$	1,191
2020	2,397			120			2,517
2021	2,446			120			2,566
2022	2,483			120			2,603
2023	2,509			120			2,629
Thereafter	13,725			4,060			17,785
Total lease payments	$	24,646		$	4,645		$	29,291
Less: Imputed interest	(6,083		)	(511		)	(6,594		)
Present Value of lease liabilities	$	18,563		$	4,134		$	22,697

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Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Disaggregation of Revenue [Line Items]
Income from real property	$ 226,099	$ 198,670	$ 442,878	$ 395,881
Revenues	312,445	271,434	599,775	529,409
Income From Real Property [Member]
Disaggregation of Revenue [Line Items]
Income from real property	226,099	198,670	442,878	395,881
Revenue From Home Sales [Member]
Disaggregation of Revenue [Line Items]
Income from real property	47,242	41,217	86,860	76,117
Rental Home Revenue [Member]
Disaggregation of Revenue [Line Items]
Income from real property	14,412	13,348	28,383	26,368
Ancillary Revenues [Member]
Disaggregation of Revenue [Line Items]
Income from real property	17,265	12,031	25,747	18,599
Interest [Member]
Disaggregation of Revenue [Line Items]
Income from real property	4,919	5,277	9,719	10,593
Brokerage Commissions And Other Revenues, Net [Member]
Disaggregation of Revenue [Line Items]
Income from real property	2,508	891	6,188	1,851
Real Property Operations Segment [Member]
Disaggregation of Revenue [Line Items]
Revenues	250,791	216,869	484,532	426,924
Real Property Operations Segment [Member] | Income From Real Property [Member]
Disaggregation of Revenue [Line Items]
Income from real property	226,099	198,670	442,878	395,881
Real Property Operations Segment [Member] | Revenue From Home Sales [Member]
Disaggregation of Revenue [Line Items]
Income from real property	0	0	0	0
Real Property Operations Segment [Member] | Rental Home Revenue [Member]
Disaggregation of Revenue [Line Items]
Income from real property	0	0	0	0
Real Property Operations Segment [Member] | Ancillary Revenues [Member]
Disaggregation of Revenue [Line Items]
Income from real property	17,265	12,031	25,747	18,599
Real Property Operations Segment [Member] | Interest [Member]
Disaggregation of Revenue [Line Items]
Income from real property	4,919	5,277	9,719	10,593
Real Property Operations Segment [Member] | Brokerage Commissions And Other Revenues, Net [Member]
Disaggregation of Revenue [Line Items]
Income from real property	2,508	891	6,188	1,851
Home Sales and Home Rentals Segment [Member]
Disaggregation of Revenue [Line Items]
Revenues	61,654	54,565	115,243	102,485
Home Sales and Home Rentals Segment [Member] | Income From Real Property [Member]
Disaggregation of Revenue [Line Items]
Income from real property	0	0	0	0
Home Sales and Home Rentals Segment [Member] | Revenue From Home Sales [Member]
Disaggregation of Revenue [Line Items]
Income from real property	47,242	41,217	86,860	76,117
Home Sales and Home Rentals Segment [Member] | Rental Home Revenue [Member]
Disaggregation of Revenue [Line Items]
Income from real property	14,412	13,348	28,383	26,368
Home Sales and Home Rentals Segment [Member] | Ancillary Revenues [Member]
Disaggregation of Revenue [Line Items]
Income from real property	0	0	0	0
Home Sales and Home Rentals Segment [Member] | Interest [Member]
Disaggregation of Revenue [Line Items]
Income from real property	0	0	0	0
Home Sales and Home Rentals Segment [Member] | Brokerage Commissions And Other Revenues, Net [Member]
Disaggregation of Revenue [Line Items]
Income from real property	$ 0	$ 0	$ 0	$ 0

XML

Revenue Contract Balances (Details) - USD ($) $ in Millions	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Revenue from Contract with Customer [Abstract]
Contract with Customer, Asset, Reclassified to Receivable	$ 17.6	$ 16.1

XML

Real Estate Acquisitions, Schedule of Properties Acquired (Details) $ in Thousands	1 Months Ended	6 Months Ended	12 Months Ended
	Apr. 30, 2019 USD ($)	Jun. 30, 2019 USD ($) development_site site shares	Dec. 31, 2018 USD ($) development_site site
Business Acquisition [Line Items]
Sites		3,877	4,882
Development Sites | development_site		70	1,166
Business Combination, Consideration Transferred | $		$ 348,241	$ 349,075
Carolina Pines [Member]
Business Acquisition [Line Items]
Sites		281
River Plantation [Member]
Business Acquisition [Line Items]
Sites		309
Development Sites | development_site		0
Business Combination, Consideration Transferred | $	$ 2,700	$ 22,664
Massey's Landing [Member]
Business Acquisition [Line Items]
Sites		291
Development Sites | development_site		0
Business Combination, Consideration Transferred | $		$ 19,554
Leaf Verde RV Resort [Member]
Business Acquisition [Line Items]
Sites			376
Development Sites | development_site			0
Business Combination, Consideration Transferred | $			$ 11,647
Archview [Member]
Business Acquisition [Line Items]
Sites			114
Development Sites | development_site			50
Business Combination, Consideration Transferred | $			$ 14,550
Petoskey RV Resort [Member]
Business Acquisition [Line Items]
Sites			210
Development Sites | development_site			0
Business Combination, Consideration Transferred | $			$ 9,000
The Sands [Member]
Business Acquisition [Line Items]
Sites			507
Development Sites | development_site			0
Business Combination, Consideration Transferred | $			$ 14,250
Sun NG RV Resorts [Member]
Business Acquisition [Line Items]
Sites			2,700
Development Sites | development_site			940
Business Combination, Consideration Transferred | $			$ 241,878
Silver Creek [Member]
Business Acquisition [Line Items]
Sites			264
Development Sites | development_site			176
Business Combination, Consideration Transferred | $			$ 7,250
Highway West [Member]
Business Acquisition [Line Items]
Sites			536
Development Sites | development_site			0
Business Combination, Consideration Transferred | $			$ 36,500
Compass [Member]
Business Acquisition [Line Items]
Sites			175
Development Sites | development_site			0
Business Combination, Consideration Transferred | $			$ 14,000
Shelby Properties [Member]
Business Acquisition [Line Items]
Sites		1,308
Development Sites | development_site		0
Business Combination, Consideration Transferred | $		$ 93,485
Buena Vista [Member]
Business Acquisition [Line Items]
Sites		400
Development Sites | development_site		0
Business Combination, Consideration Transferred | $		$ 22,157
Country Village [Member]
Business Acquisition [Line Items]
Sites		518
Development Sites | development_site		0
Business Combination, Consideration Transferred | $		$ 64,835
Hid'n Pines [Member]
Business Acquisition [Line Items]
Sites		321
Development Sites | development_site		0
Business Combination, Consideration Transferred | $		$ 10,517
Hacienda del Rio [Member]
Business Acquisition [Line Items]
Sites		730
Development Sites | development_site		70
Business Combination, Consideration Transferred | $		$ 115,029
Series D Preferred OP Units
Business Acquisition [Line Items]
Shares outstanding | shares		488,958

XML

Real Estate Acquisitions, Schedule of Other Acquisitions Purchase Price Allocation (Details) - USD ($) $ in Thousands	1 Months Ended	6 Months Ended	12 Months Ended
	Apr. 30, 2019	Jun. 30, 2019	Dec. 31, 2018
Business Acquisition [Line Items]
Business Acquisition, Transaction Costs		$ 7,100
At acquistion date
Investment in property		333,994	$ 346,986
Inventory of manufactured homes		2,540
In-place leases and other intangible assets		13,700	17,199
Other assets (liabilities), net		(1,993)	(11,990)
Debt assumed			(3,120)
Total identifiable assets acquired and liabilities assumed		348,241	349,075
Consideration
Cash		296,311	291,822
Equity		51,930	35,277
Total consideration transferred		348,241	349,075
River Plantation [Member]
At acquistion date
Investment in property		22,589
Inventory of manufactured homes		75
In-place leases and other intangible assets		0
Other assets (liabilities), net		0
Total identifiable assets acquired and liabilities assumed		22,664
Consideration
Cash		22,664
Equity		0
Total consideration transferred	$ 2,700	22,664
sui_chulavistamember [Member]
At acquistion date
Investment in property		300
Massey's Landing [Member]
At acquistion date
Investment in property		19,780
Inventory of manufactured homes		0
In-place leases and other intangible assets		220
Other assets (liabilities), net		(446)
Total identifiable assets acquired and liabilities assumed		19,554
Consideration
Cash		19,554
Equity		0
Total consideration transferred		19,554
Shelby Properties [Member]
At acquistion date
Investment in property		85,969
Inventory of manufactured homes		2,011
In-place leases and other intangible assets		6,520
Other assets (liabilities), net		(1,015)
Total identifiable assets acquired and liabilities assumed		93,485
Consideration
Cash		93,485
Equity		0
Total consideration transferred		93,485
Silver Creek [Member]
At acquistion date
Investment in property			7,250
In-place leases and other intangible assets			0
Other assets (liabilities), net			0
Debt assumed			0
Total identifiable assets acquired and liabilities assumed			7,250
Consideration
Cash			7,250
Equity			0
Total consideration transferred			7,250
Highway West [Member]
At acquistion date
Investment in property			36,500
In-place leases and other intangible assets			0
Other assets (liabilities), net			0
Debt assumed			0
Total identifiable assets acquired and liabilities assumed			36,500
Consideration
Cash			36,500
Equity			0
Total consideration transferred			36,500
Compass [Member]
At acquistion date
Investment in property			13,930
In-place leases and other intangible assets			70
Other assets (liabilities), net			0
Debt assumed			0
Total identifiable assets acquired and liabilities assumed			14,000
Consideration
Cash			14,000
Equity			0
Total consideration transferred			14,000
Leaf Verde RV Resort [Member]
At acquistion date
Investment in property			11,587
In-place leases and other intangible assets			60
Other assets (liabilities), net			0
Debt assumed			0
Total identifiable assets acquired and liabilities assumed			11,647
Consideration
Cash			11,647
Equity			0
Total consideration transferred			11,647
Archview [Member]
At acquistion date
Investment in property			14,550
In-place leases and other intangible assets			0
Other assets (liabilities), net			0
Debt assumed			0
Total identifiable assets acquired and liabilities assumed			14,550
Consideration
Cash			14,550
Equity			0
Total consideration transferred			14,550
Petoskey RV Resort [Member]
At acquistion date
Investment in property			8,730
In-place leases and other intangible assets			270
Other assets (liabilities), net			0
Debt assumed			0
Total identifiable assets acquired and liabilities assumed			9,000
Consideration
Cash			9,000
Equity			0
Total consideration transferred			9,000
The Sands [Member]
At acquistion date
Investment in property			13,790
In-place leases and other intangible assets			460
Other assets (liabilities), net			0
Debt assumed			0
Total identifiable assets acquired and liabilities assumed			14,250
Consideration
Cash			14,250
Equity			0
Total consideration transferred			14,250
Sun NG RV Resorts [Member]
At acquistion date
Investment in property			240,649
In-place leases and other intangible assets			16,339
Other assets (liabilities), net			(11,990)
Debt assumed			(3,120)
Total identifiable assets acquired and liabilities assumed			241,878
Consideration
Cash			184,625
Equity			35,277
Total consideration transferred			241,878
Buena Vista [Member]
At acquistion date
Investment in property		20,221
Inventory of manufactured homes		439
In-place leases and other intangible assets		1,590
Other assets (liabilities), net		(93)
Total identifiable assets acquired and liabilities assumed		22,157
Consideration
Cash		22,157
Equity		0
Total consideration transferred		22,157
Country Village [Member]
At acquistion date
Investment in property		62,784
Inventory of manufactured homes		0
In-place leases and other intangible assets		2,020
Other assets (liabilities), net		31
Total identifiable assets acquired and liabilities assumed		64,835
Consideration
Cash		12,905
Equity		51,930
Total consideration transferred		64,835
Hid'n Pines [Member]
At acquistion date
Investment in property		10,680
Inventory of manufactured homes		0
In-place leases and other intangible assets		70
Other assets (liabilities), net		(233)
Total identifiable assets acquired and liabilities assumed		10,517
Consideration
Cash		10,517
Equity		0
Total consideration transferred		10,517
Hacienda del Rio [Member]
At acquistion date
Investment in property		111,971
Inventory of manufactured homes		15
In-place leases and other intangible assets		3,280
Other assets (liabilities), net		(237)
Total identifiable assets acquired and liabilities assumed		115,029
Consideration
Cash		115,029
Equity		0
Total consideration transferred		$ 115,029
Series A Preferred Stock [Member]
Consideration
Equity			21,976
Series A Preferred Stock [Member] | Silver Creek [Member]
Consideration
Equity			0
Series A Preferred Stock [Member] | Highway West [Member]
Consideration
Equity			0
Series A Preferred Stock [Member] | Compass [Member]
Consideration
Equity			0
Series A Preferred Stock [Member] | Leaf Verde RV Resort [Member]
Consideration
Equity			0
Series A Preferred Stock [Member] | Archview [Member]
Consideration
Equity			0
Series A Preferred Stock [Member] | Petoskey RV Resort [Member]
Consideration
Equity			0
Series A Preferred Stock [Member] | The Sands [Member]
Consideration
Equity			0
Series A Preferred Stock [Member] | Sun NG RV Resorts [Member]
Consideration
Equity			$ 21,976

XML

Real Estate Acquisitions, Schedule of Land Acquired (Details) $ in Millions	12 Months Ended
	Dec. 31, 2018 USD ($) development_site
Business Acquisition [Line Items]
Development Sites | development_site	2,275
Cost | $	$ 14.0
Ocean West [Member]
Business Acquisition [Line Items]
Development Sites | development_site	26
Cost | $	$ 0.2
Water Oak [Member]
Business Acquisition [Line Items]
Development Sites | development_site	296
Cost | $	$ 1.9
Oak Crest [Member]
Business Acquisition [Line Items]
Development Sites | development_site	220
Cost | $	$ 4.2
Pecan Park [Member]
Business Acquisition [Line Items]
Development Sites | development_site	158
Cost | $	$ 1.3
Smith Creek Crossing [Member]
Business Acquisition [Line Items]
Development Sites | development_site	310
Cost | $	$ 0.9
Apple Carr Village [Member]
Business Acquisition [Line Items]
Development Sites | development_site	121
Cost | $	$ 0.2
River Run Ranch [Member]
Business Acquisition [Line Items]
Development Sites | development_site	1,144
Cost | $	$ 5.3

XML

Real Estate Acquisitions, Pro Forma (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Business Acquisition [Line Items]
Total revenues	$ 9,163		$ 12,927
Net income attributable to Sun Communities, Inc. common stockholders	3,556		4,873
Acquisitions - 2019 [Member]
Business Acquisition [Line Items]
Total revenues	312,928	$ 278,823	602,181	$ 542,529
Net income attributable to Sun Communities, Inc. common stockholders	$ 41,377	$ 23,444	$ 75,406	$ 54,312
Net income per share attributable to Sun Communities, Inc. common stockholders - basic	$ 0.47	$ 0.29	$ 0.87	$ 0.69
Net income per share attributable to Sun Communities, Inc. common stockholders - diluted	$ 0.47	$ 0.29	$ 0.87	$ 0.68

XML

Collateralized Receivables and Transfers of Financial Assets, Repurchase price percentage (Details) - Collateralized Receivables [Member]	6 Months Ended
	Jun. 30, 2019
Less than or equal to 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Repurchase Percentage	100.00%
Greater than 15 but less than 64 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Repurchase Percentage	90.00%
Equal to or greater than 64 but less than 120 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Repurchase Percentage	65.00%
120 or more [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Repurchase Percentage	50.00%

XML

Collateralized Receivables and Transfers of Financial Assets, Schedule of collateralized loans (Details) - Collateralized Receivables [Member] $ in Thousands	6 Months Ended
	Jun. 30, 2019 USD ($)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal payments and payoffs from our customers	$ (6,063)
Principal reduction from repurchased homes	3,369
Total activity	(9,432)
Ending balance	98,299
Secured Debt [Member] | Fair Value, Recurring [Member] | Reported Value Measurement [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning balance	107,700
Ending balance	$ 98,300

XML

Collateralized Receivables and Transfers of Financial Assets Collateralized Receivables and Transfers of Financial Assets, Allowance for Collateralized Receivables (Details) - Collateralized Receivables [Member] $ in Thousands	6 Months Ended
	Jun. 30, 2019 USD ($)
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	$ (807)
Lower of cost or market write-downs	85
Increase to reserve balance	81
Total activity	166
Ending balance	$ (641)

XML

Collateralized Receivables and Transfers of Financial Assets, Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Accounts, Notes, Loans and Financing Receivable [Line Items]
Notes and other receivables, net	$ 164,303		$ 164,303		$ 160,077
Other Borrowings	98,299		98,299		107,731
Interest income and expense, net	2,400	$ 2,900	4,800	$ 5,700
Collateralized Receivables [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Allowance	641		$ 641		$ 807
Receivable With Imputed Interest, Term			13 years 8 months 12 days		14 years 1 month 6 days
Financing Receivable, before Allowance for Credit Loss	98,299		$ 98,299
Receivable with Imputed Interest, Effective Yield (Interest Rate)			9.90%		9.90%
Reported Value Measurement [Member] | Collateralized Receivables [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Notes and other receivables, net	97,700		$ 97,700		$ 106,900
Secured Debt [Member] | Reported Value Measurement [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Other Borrowings					107,731
Secured Debt [Member] | Fair Value, Recurring [Member] | Reported Value Measurement [Member] | Collateralized Receivables [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing Receivable, before Allowance for Credit Loss	$ 98,300		$ 98,300		$ 107,700

XML

Notes and Other Receivables, Schedule of notes and other receivables (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total notes and other receivables, net	$ 164,303	$ 160,077
Installment notes receivable on manufactured homes, net [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total notes and other receivables, net	104,600	112,800
Other receivables, net [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total notes and other receivables, net	$ 59,744	47,279
Reported Value Measurement [Member] | Installment notes receivable on manufactured homes, net [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total notes and other receivables, net		$ 112,798

XML

Notes And Other Receivables Notes and Other Receivables, Installment notes receivable on manufactured homes - Narrative (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts and Financing Receivable, after Allowance for Credit Loss	$ 164,303	$ 160,077
Installment notes receivable on manufactured homes, net [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts and Financing Receivable, after Allowance for Credit Loss	104,600	112,800
Loans and Leases Receivable, Allowance	$ 700	$ (700)
Receivable with Imputed Interest, Effective Yield (Interest Rate)	8.00%	8.00%
Receivable With Imputed Interest, Term	16 years 2 months 12 days	16 years 7 months 6 days
Reported Value Measurement [Member] | Installment notes receivable on manufactured homes, net [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts and Financing Receivable, after Allowance for Credit Loss		$ 112,798
Fair Value, Recurring [Member] | Estimate of Fair Value Measurement [Member] | Installment notes receivable on manufactured homes, net [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts and Financing Receivable, after Allowance for Credit Loss	$ 104,559	$ 112,798
Fair Value, Recurring [Member] | Reported Value Measurement [Member] | Installment notes receivable on manufactured homes, net [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts and Financing Receivable, after Allowance for Credit Loss	$ 104,559

XML

Notes and Other Receivables, Schedule of installment notes receivable (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2019 USD ($)
Collateralized receivables, net and Installment Notes Receivables on Manufactured Homes [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Increase to reserve balance	$ 84
Installment notes receivable on manufactured homes, gross [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning balance	113,495
Financed sales of manufactured homes	163
Principal payments and payoffs from our customers	(4,093)
Principal reduction from repossessed homes	4,326
Total activity	(8,256)
Ending balance	$ 105,239

XML

Notes and Other Receivables, Allowance for installment notes receivable (Details) - Collateralized receivables, net and Installment Notes Receivables on Manufactured Homes [Member] $ in Thousands	6 Months Ended
	Jun. 30, 2019 USD ($)
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	$ 697
Lower of cost or market write-downs	101
Increase to reserve balance	84
Total activity	17
Ending balance	$ (680)

XML

Notes And Other Receivables Notes and Other Receivables, Other receivables - Narrative (Details) - USD ($) $ in Millions	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Accounts, Notes, Loans and Financing Receivable [Line Items]
Other receivables for rent, water, sewer usage	$ 8.2	$ 7.1
Allowance for rent, water, sewer usage receivables	(1.5)	(1.5)
Contract with Customer, Asset, Reclassified to Receivable	17.6	16.1
Insurance receivables	12.0	$ 24.1
Other Receivables	$ 21.9

XML

Intangible Assets Intangible Assets, Schedule of Finite-Lived Intangible Assets (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 134,966	$ 120,188
Accumulated Amortization	$ (68,891)	(61,010)
Leases, Acquired-in-Place [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life	7 years
Gross Carrying Amount	$ 118,022	103,547
Accumulated Amortization	(66,540)	(59,068)
Franchise Rights [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	16,944	16,641
Accumulated Amortization	$ (2,351)	$ (1,942)
Minimum [Member] | Ground Leases [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life	2 years
Minimum [Member] | Franchise Rights [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life	7 years
Maximum [Member] | Ground Leases [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life	75 years
Maximum [Member] | Franchise Rights [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life	20 years

XML

Intangible Assets Intangible Assets, Schedule of Intangible Asset Amortization Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	$ 4,005	$ 3,364	$ 7,881	$ 6,728
Leases, Acquired-in-Place [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	3,800	3,345	7,472	6,690
Franchise Rights [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	$ 205	$ 19	$ 409	$ 38

XML

Intangible Assets, Intangibles Future Amortization Expense (Details) $ in Thousands	Jun. 30, 2019 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Remainder of 2019	$ 7,830
2018	14,144
2019	13,752
2020	9,151
2021	$ 5,776

XML

Investment In Affiliates , Narrative (Details)	Jun. 30, 2019	Jan. 31, 2019	Nov. 30, 2018
RezPlot [Member]
Schedule of Equity Method Investments [Line Items]
Ownership percentage		50.00%
Sungenia JV [Member]
Schedule of Equity Method Investments [Line Items]
Ownership percentage			50.00%
GTSC [Member]
Schedule of Equity Method Investments [Line Items]
Ownership percentage	40.00%
Origen Financial Services [Member]
Schedule of Equity Method Investments [Line Items]
Ownership percentage	22.90%

XML

Investment in Affiliates, Investment Balance (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Schedule of Equity Method Investments [Line Items]
Income (Loss) from Equity Method Investments	$ 393.0	$ (8.0)	$ 737.0	$ (67.0)
Equity Method Investments	63.7		63.7		$ 30.6
RezPlot [Member]
Schedule of Equity Method Investments [Line Items]
Income (Loss) from Equity Method Investments	(260.0)	0.0	(449.0)	0.0
Equity Method Investments	5.1		5.1		0.0
Sungenia JV [Member]
Schedule of Equity Method Investments [Line Items]
Income (Loss) from Equity Method Investments	(18.0)	0.0	(58.0)	0.0
Equity Method Investments	10.3		10.3		0.7
GTSC [Member]
Schedule of Equity Method Investments [Line Items]
Income (Loss) from Equity Method Investments	604.0	(8.0)	1,135.0	(67.0)
Equity Method Investments	48.1		48.1		29.8
Origen Financial Services [Member]
Schedule of Equity Method Investments [Line Items]
Income (Loss) from Equity Method Investments	67.0	$ 0.0	109.0	$ 0.0
Equity Method Investments	$ 0.2		$ 0.2		$ 0.1

XML

Consolidated Variable Interest Entities, Schedule of Variable Interest Entities (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Variable Interest Entity [Line Items]
Investment property, net	$ 6,567,844	$ 6,118,316
Other assets, net (including 23,167 and 19,809 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	254,153	176,162
Mortgage loans payable (including 43,661 and 44,172 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	2,863,485	2,815,957
Other liabilities (including 32,461 and 6,914 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	204,167	157,862
Liabilities	3,542,188	3,479,112
Consolidated variable interest entities	$ 7,209	$ 7,145
VIE as a Percentage of Consolidated Assets	4.80%	4.90%
VIE as a Percentage of Consolidated Liabilities	3.10%	2.60%
VIE as a Percentage of Total Equity	1.00%
Variable Interest Entity, Primary Beneficiary [Member]
Variable Interest Entity [Line Items]
Investment property, net	$ 324,931	$ 308,171
Other assets, net (including 23,167 and 19,809 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	23,167	19,809
Total Assets	348,098	327,980
Mortgage loans payable (including 43,661 and 44,172 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	43,661	44,172
Preferred OP units - mandatorily redeemable	35,249	35,277
Other liabilities (including 32,461 and 6,914 for consolidated VIEs at June 30, 2019 and December 31, 2018; see Note 8)	32,461	6,914
Liabilities	111,371	86,363
Equity Interests	22,099	21,976
Consolidated variable interest entities	7,209	7,145
Total Liabilities and Stockholder's Equity	$ 140,679	$ 115,484

XML

Debt And Lines Of Credit , Schedule of debt and lines of credit (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended			6 Months Ended	12 Months Ended
	Jun. 30, 2018	Jun. 30, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2019	Dec. 31, 2018
Debt Instrument [Line Items]
Financial Instruments Subject to Mandatory Redemption, Term	7 years
Secured debt		$ 2,863,485	$ 2,815,957		$ 2,863,485	$ 2,815,957
Secured borrowings on collateralized receivables		$ 98,299	$ 107,731		$ 98,299	$ 107,731
Debt weighted average to maturity, years					9 years 10 months 24 days	9 years
Weighted average interest rate		4.40%	4.50%		4.40%	4.50%
Lines of credit			$ 128,000			$ 128,000
Total debt		$ 3,107,775	3,124,303		$ 3,107,775	3,124,303
Collateralized term loans - CMBS [Member]
Debt Instrument [Line Items]
Secured debt		$ 760,315	$ 405,702		$ 760,315	$ 405,702
Debt weighted average to maturity, years					4 years 8 months 12 days	4 years 1 month 6 days
Weighted average interest rate		4.40%	5.10%		4.40%	5.10%
Secured borrowing [Member]
Debt Instrument [Line Items]
Debt instrument term		25 years	20 years	20 years
Preferred OP units [Member]
Debt Instrument [Line Items]
Secured debt		$ 34,663			$ 34,663
Preferred OP units - mandatorily redeemable		$ 34,663	$ 37,338		$ 34,663	$ 37,338
Debt weighted average to maturity, years					14 years	4 years 8 months 12 days
Weighted average interest rate		9.90%	6.60%		9.90%	6.60%
Preferred Equity, Mandatorily Redeemable [Member]
Debt Instrument [Line Items]
Preferred OP units - mandatorily redeemable		$ 35,249	$ 35,277		$ 35,249	$ 35,277
Debt instrument term					3 years 3 months 18 days
Debt weighted average to maturity, years						3 years 9 months 18 days
Weighted average interest rate		6.00%	6.00%		6.00%	6.00%
Federal National Mortgage Association Certificates and Obligations (FNMA) [Member]
Debt Instrument [Line Items]
Secured debt		$ 377,711	$ 770,417		$ 377,711	$ 770,417
Debt weighted average to maturity, years					5 years 4 months 24 days	5 years 1 month 6 days
Weighted average interest rate		3.90%	4.40%		3.90%	4.40%
Life Companies [Member] | Collateralized Mortgage Backed Securities [Member]
Debt Instrument [Line Items]
Secured debt		$ 1,323,482	$ 1,259,158		$ 1,323,482	$ 1,259,158
Debt weighted average to maturity, years					16 years 4 months 24 days	14 years 4 months 24 days
Weighted average interest rate		4.00%	3.90%		4.00%	3.90%
Federal Home Loan Mortgage Corporation Certificates and Obligations (FHLMC) [Member]
Debt Instrument [Line Items]
Secured debt		$ 401,977	$ 380,680		$ 401,977	$ 380,680
Debt weighted average to maturity, years					3 years 7 months 6 days	5 years 10 months 24 days
Weighted average interest rate		5.10%	3.90%		5.10%	3.90%
Reported Value Measurement [Member] | Secured borrowing [Member]
Debt Instrument [Line Items]
Secured debt		$ 98,299	$ 107,731		$ 98,299	$ 107,731
Secured borrowings on collateralized receivables			$ 107,731			$ 107,731
Debt weighted average to maturity, years					4 years 6 months	14 years 4 months 24 days
Weighted average interest rate		6.50%	9.90%		6.50%	9.90%
Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Lines of credit		$ 76,079			$ 76,079
Revolving Credit Facility [Member] | Line of Credit [Member]
Debt Instrument [Line Items]
Debt weighted average to maturity, years					3 years 8 months 12 days	2 years 3 months 18 days
Weighted average interest rate		3.30%	3.80%		3.30%	3.80%

XML

Debt And Lines Of Credit , Narrative - Collateralized Term Loans (Details) $ in Thousands	3 Months Ended					6 Months Ended		12 Months Ended
	Jun. 30, 2019 USD ($) site properties sites	Dec. 31, 2018 USD ($) site	Sep. 30, 2018 USD ($)	Jun. 30, 2018 USD ($) community	Mar. 31, 2018 community	Jun. 30, 2019 USD ($) site properties sites	Jun. 30, 2018 USD ($)	Dec. 31, 2018 USD ($) site
Debt Instrument [Line Items]
Gain (loss) on extinguishment of debt	$ 70			$ 1,522		$ 723	$ 1,718
Reduction in secured borrowing balance						$ 9,432	10,940
Number of Real Estate Units Released | community				11	3
Weighted average interest rate	4.40%	4.50%				4.40%		4.50%
Sites | site	3,877	4,882				3,877		4,882
Debt weighted average to maturity, length						9 years 10 months 24 days		9 years
Total debt	$ 2,863,485	$ 2,815,957				$ 2,863,485		$ 2,815,957
Secured Debt [Member]
Debt Instrument [Line Items]
Gain (loss) on extinguishment of debt	700		$ 900	$ 1,500			200
Reduction in secured borrowing balance	186,800	10,200	30,500	$ 177,700			$ 24,400
Debt instrument, face amount	$ 265,000	$ 21,700	$ 228,000			$ 265,000		$ 21,700
Interest rate	383.00%	4.10%	6.34%	4.53%	6.36%	383.00%	4.53%	4.10%
Debt instrument term	25 years	20 years	20 years
Debt Instrument, Interest Rate, Stated Percentage	4.17%	5.66%	4.10%			4.17%		5.66%
Commercial Mortgage Backed Securities [Member]
Debt Instrument [Line Items]
Weighted average interest rate	4.40%	5.10%				4.40%		5.10%
Debt weighted average to maturity, length						4 years 8 months 12 days		4 years 1 month 6 days
Total debt	$ 760,315	$ 405,702				$ 760,315		$ 405,702
Collateralized Mortgage Backed Securities [Member]
Debt Instrument [Line Items]
Net book value of properties securing collateralized term loans	$ 3,200,000					$ 3,200,000
Properties securing debt [Member] | Collateralized Mortgage Backed Securities [Member]
Debt Instrument [Line Items]
Sites | sites	72,958					72,958
Debt Instrument, number of properties securing a debt instument | properties	185					185

XML

Debt And Lines Of Credit , Narrative - Aspen Preferred OP Units and Series B-3 preferred OP units (Details) $ / shares in Units, $ in Thousands	1 Months Ended		6 Months Ended
	Jan. 31, 2019 USD ($) $ / shares shares	Jun. 30, 2018 USD ($)	Jun. 30, 2019 USD ($) shares $ / shares Rate	Dec. 31, 2018 USD ($)	Dec. 31, 2014 $ / shares
Debt Instrument [Line Items]
Financial Instruments Subject to Mandatory Redemption, Rate Of Return		6.00%
Financial Instruments Subject to Mandatory Redemption, Term		7 years
Preferred Equity, Mandatorily Redeemable [Member]
Debt Instrument [Line Items]
Financial Instruments Subject to Mandatory Redemption, Value of Shares Issued		$ 35,300
Preferred OP units - mandatorily redeemable			$ 35,249	$ 35,277
Preferred OP units [Member]
Debt Instrument [Line Items]
Preferred OP units - mandatorily redeemable			34,663	37,338
Preferred OP units [Member] | Convertible debt - Aspen Preferred OP Units January 2024 [Member]
Debt Instrument [Line Items]
Debt instrument, face amount			$ 34,700	34,700
Convertible units to shares (in shares) | shares			420,689
Debt Instrument, Interest Rate During Period | Rate			6.50%
Debt Instrument, Convertible, Conversion Price | $ / shares			$ 27.00		$ 68.00
Debt Instrument, Convertible, Percent Of Amount By Which The Market Price Of Common Stock Exceeds Threshold			25.00%
Conversion of Stock, Shares Converted | shares			0.397
Series B-3 Preferred OP Units [Member] | Convertible debt - Aspen Preferred OP Units January 2024 [Member]
Debt Instrument [Line Items]
Debt instrument, face amount				$ 2,700
Series B-3 Preferred OP Units [Member]
Debt Instrument [Line Items]
Stock Redeemed or Called During Period, Shares | shares	26,750
Redemption price including accrued and unpaid dividends (in dollars per share) | $ / shares	$ 100.153424
Stock Redeemed or Called During Period, Value	$ 2,700

XML

Debt And Lines Of Credit , Narrative - Line of Credit (Details)	1 Months Ended		3 Months Ended		6 Months Ended	12 Months Ended
	Jun. 30, 2018	Apr. 30, 2017	Jun. 30, 2018 community	Mar. 31, 2018 community	Jun. 30, 2019 USD ($) Rate	Dec. 31, 2018 USD ($)	May 31, 2019 USD ($)	Apr. 25, 2017 USD ($) Rate
Line of Credit Facility [Line Items]
Financial Instruments Subject to Mandatory Redemption, Term	7 years
Lines of credit						$ 128,000,000
Weighted average interest rate					4.40%	4.50%
Debt weighted average to maturity, length					9 years 10 months 24 days	9 years
Number of Real Estate Units Released | community			11	3
Line of Credit [Member]
Line of Credit Facility [Line Items]
Line of Credit Facility, Current Borrowing Capacity								$ 750,000,000.0
Line of credit, borrowing capacity								1,100,000,000
Debt Instrument, Maturity Date		May 21, 2023
Line of credit, additional borrowing capacity								350,000,000.0
Letters of credit outstanding, amount					$ 5,500,000	$ 3,900,000
Line of credit - manufactured home floor plan facility [Member]
Line of Credit Facility [Line Items]
Line of credit, borrowing capacity					12,000,000.0
Lines of credit					$ 5,100,000	$ 0
Weighted average interest rate | Rate					7.00%
Prime Rate [Member] | Line of credit - manufactured home floor plan facility [Member]
Line of Credit Facility [Line Items]
Basis points | Rate					100.00%
Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Line of credit, borrowing capacity								650,000,000.0
Long-term Debt					$ 71,000,000.0
Lines of credit					$ 76,079,000
Revolving Credit Facility [Member] | Line of Credit [Member]
Line of Credit Facility [Line Items]
Weighted average interest rate					3.30%	3.80%
Debt weighted average to maturity, length					3 years 8 months 12 days	2 years 3 months 18 days
Revolving Credit Facility [Member] | Eurodollar [Member] | Line of Credit [Member]
Line of Credit Facility [Line Items]
Line of credit variable interest rate | Rate					1.20%
Term Loan [Member]
Line of Credit Facility [Line Items]
Line of credit, borrowing capacity							$ 100,000,000.0	$ 100,000,000.0
Term Loan [Member] | Eurodollar [Member] | Line of Credit [Member]
Line of Credit Facility [Line Items]
Line of credit variable interest rate | Rate					1.20%
Minimum [Member] | Revolving Credit Facility [Member] | Eurodollar [Member] | Line of Credit [Member]
Line of Credit Facility [Line Items]
Interest rate | Rate								1.20%
Minimum [Member] | Term Loan [Member]
Line of Credit Facility [Line Items]
Interest rate					120.00%
Maximum [Member] | Prime Rate [Member] | Line of credit - manufactured home floor plan facility [Member]
Line of Credit Facility [Line Items]
Interest rate | Rate					6.00%
Maximum [Member] | Revolving Credit Facility [Member] | Eurodollar [Member] | Line of Credit [Member]
Line of Credit Facility [Line Items]
Interest rate | Rate								2.10%
Maximum [Member] | Term Loan [Member]
Line of Credit Facility [Line Items]
Interest rate					205.00%

XML

Equity and Temporary Equity, Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands			1 Months Ended			3 Months Ended				6 Months Ended		15 Months Ended
	Jul. 15, 2019	Jul. 01, 2019	May 31, 2019	Feb. 28, 2019	Jun. 30, 2018	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018	Sep. 30, 2018	Nov. 30, 2004
Class of Stock [Line Items]
Sale of Stock, Number of Shares Issued in Transaction			3,737,500
Proceeds from Issuance of Common Stock			$ 452,100
Variable Interest Entity, Equity Interests Issued						$ (117)	$ (256)
Issuance of common stock and common OP units, net						$ 447,741	(4,321)	$ 89,265	$ (3,296)			$ 163,800
Aggregate Value of Shares to be Issued in Accordance to Sales Agreement										$ 450,000
Commission, Maximum Percentage of Gross Sales Price Per Share According to Sales Agreement										2.00%
Series D Preferred OP Units
Class of Stock [Line Items]
Temporary Equity, Dividends For Term One, Percentage				3.75%
Series A-4 Preferred Stock
Class of Stock [Line Items]
Preferred Stock, Dividends Per Share, Declared						$ 0.40625
Payments of dividends		$ 427
Common Stock
Class of Stock [Line Items]
Dividends per common share						$ 0.75
Payments of dividends	$ 67,359
Common Stock
Class of Stock [Line Items]
Issuance of common stock and common OP units, net						$ 37	$ 1	$ 10	$ 2
Authorized to be repurchased (in shares)													1,000,000
Remaining number of shares authorized to be repurchased (in shares)						400,000				400,000
Conversion of Common OP Units to common stock (in shares)						5,000	0	0
Series A-4 preferred OP units
Class of Stock [Line Items]
Conversion of Common OP Units to common stock (in shares)										4,708	11,792
Series A-4 preferred OP units | Common OP Units
Class of Stock [Line Items]
Conversion of Common OP Units to common stock (in shares)										2,092	5,240
Conversion of Common OP Units
Class of Stock [Line Items]
Conversion of Common OP Units to common stock (in shares)										436,177	14,828
Conversion of Common OP Units | Common OP Units
Class of Stock [Line Items]
Conversion of Common OP Units to common stock (in shares)										436,177
Series A-1 Preferred OP Units
Class of Stock [Line Items]
Conversion of Common OP Units to common stock (in shares)										7,950	8,700
Series A-1 Preferred OP Units | Common OP Units
Class of Stock [Line Items]
Conversion of Common OP Units to common stock (in shares)										19,387	21,217
NG Sun LLC [Member] | Sun NG RV Resorts [Member]
Class of Stock [Line Items]
Variable Interest Entity, Equity Interests Issued, Floating Rate										5.50%
NG Sun LLC [Member] | Common Stock | Sun NG RV Resorts [Member]
Class of Stock [Line Items]
Variable Interest Entity, Equity Interests Issued					$ 6,500
Sun NG RV Resorts [Member] | Common Stock | Sun NG RV Resorts [Member]
Class of Stock [Line Items]
Variable Interest Entity, Equity Interests Issued					$ 15,400

XML

Equity and Temporary Equity, Conversion of Stock (Details)	1 Months Ended		6 Months Ended
	Feb. 28, 2020	Feb. 28, 2019 $ / shares shares	Jun. 30, 2019 shares	Jun. 30, 2018 shares
Conversion of Common OP Units
Conversion of Stock [Line Items]
Conversion of units			436,177	14,828
Series A-1 Preferred OP Units
Conversion of Stock [Line Items]
Conversion of units			7,950	8,700
Series A-4 preferred OP units
Conversion of Stock [Line Items]
Conversion of units			4,708	11,792
Series A-4 Preferred Stock
Conversion of Stock [Line Items]
Conversion of units			11,288	22,576
Series C preferred OP units [Member]
Conversion of Stock [Line Items]
Conversion of units			0	1,919
Series D Preferred OP Units
Conversion of Stock [Line Items]
Temporary Equity, Dividends For Term Two, Percentage		4.00%
Temporary Equity, Shares Issued		488,958
Temporary Equity, Issuance Price | $ / shares		$ 100.00
Common OP Units | Conversion of Common OP Units
Conversion of Stock [Line Items]
Conversion Rate			1,000
Conversion of units			436,177
Common OP Units | Series A-1 Preferred OP Units
Conversion of Stock [Line Items]
Conversion Rate			2,439
Conversion of units			19,387	21,217
Common OP Units | Series A-4 preferred OP units
Conversion of Stock [Line Items]
Conversion Rate			444.4000
Conversion of units			2,092	5,240
Common OP Units | Series A-4 Preferred Stock
Conversion of Stock [Line Items]
Conversion Rate			444.4000
Conversion of units			5,016	10,033
Common OP Units | Series C preferred OP units [Member]
Conversion of Stock [Line Items]
Conversion Rate			1,110
Conversion of units			0	2,130
Forecast [Member] | Series D Preferred OP Units
Conversion of Stock [Line Items]
Convertible Preferred Stock, Shares Issued Per Share Upon Conversion	0.8

XML

Equity and Temporary Equity Equity and Temporary Equity, Dividends Payable Table (Details) - USD ($) $ / shares in Units, $ in Thousands			3 Months Ended
	Jul. 15, 2019	Jul. 01, 2019	Jun. 30, 2019
Common Stock
Dividends Payable [Line Items]
Dividends per common share			$ 0.75
Payments of dividends	$ 67,359
Series A-4 Preferred Stock
Dividends Payable [Line Items]
Preferred Stock, Dividends Per Share, Declared			$ 0.40625
Payments of dividends		$ 427

XML

Equity and Temporary Equity Equity and Temporary Equity, Schedule of Sale of Common Stock (Details) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended	15 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Sep. 30, 2018
Aggregate Value of Shares to be Issued in Accordance to Sales Agreement					$ 450,000
Issuance of common stock and common OP units, net	$ 447,741	$ (4,321)	$ 89,265	$ (3,296)		$ 163,800

XML

Share-Based Compensation (Details) - USD ($) $ / shares in Units, $ in Millions	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement By Share-based Payment Award, Fair Value Assumptions, Percent Expected To Vest	75.10%
Stock Issued During Period, Value, Stock Options Exercised	$ 0.1
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period	196,106
Executive Officer [Member] | Restricted Stock [Member] | 2015 Equity Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage	100.00%
Director [Member] | Restricted Stock [Member] | 2004 Non-employee Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted, shares (in shares)	18,000
Weighted average grant date fair value	$ 113.68
Award vesting percentage	100.00%
Key Employees [Member] | Restricted Stock [Member] | 2004 Non-employee Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted, shares (in shares)	55,770
Weighted average grant date fair value	$ 120.01
Time Based [Member] | Executive Officer [Member] | Restricted Stock [Member] | 2015 Equity Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted, shares (in shares)	44,000
Weighted average grant date fair value	$ 115.39
Market Condition [Member] | Executive Officer [Member] | Restricted Stock [Member] | 2015 Equity Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted, shares (in shares)	66,000
Weighted average grant date fair value	$ 115.39
Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share Price	$ 115.39
Exercises in period	1,500	0

XML

Segment Reporting Segment Reporting, Seasonality (Details) $ in Millions	3 Months Ended								6 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019 USD ($)	Mar. 31, 2019	Dec. 31, 2018 USD ($)	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019 USD ($) segment
Segment Reporting Information [Line Items]
Number of reportable segments | segment									2
Real Property Operations Segment [Member]
Segment Reporting Information [Line Items]
Expected annual transient RV revenue | $			$ 132.0		$ 106.2				$ 132.0
Transient RV rental revenue recognized as a percentage			23.20%	19.90%	16.40%	42.60%	20.30%	20.70%
Forecast [Member] | Real Property Operations Segment [Member]
Segment Reporting Information [Line Items]
Transient RV rental revenue recognized as a percentage	15.60%	41.30%

XML

Segment Reporting Results of Operations (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Segment Reporting Information [Line Items]
Revenue From Home Sales	$ 312,445	$ 271,434	$ 599,775	$ 529,409
Home selling expenses	(3,626)	(3,986)	(6,950)	(7,276)
General and administrative	(23,697)	(21,452)	(45,584)
Loss on extinguishment of debt	(70)	(1,522)	(723)	(1,718)
Interest on mandatorily redeemable preferred OP units / equity	(1,181)	(790)	(2,275)	(1,409)
Catastrophic weather related charges	(179)	(53)	(961)	2,160
Remeasurement of marketable securities	3,620	0	3,887	0
Distributions from Affiliate	393	(8)	737	(67)
Other income / (expense), net	1,021	(1,828)	2,919	(4,445)
Deferred tax benefit / (expense)	96	(112)	313	235
Net Income	45,116	24,170	82,243	57,771
Less: Preferred return to Series A-1 preferred OP units	1,718	1,103	3,041	2,183
Less: Amounts attributable to noncontrolling interests	2,585	2,227	3,626	4,321
Net income attributable to Sun Communities, Inc.	40,813	20,840	75,576	51,267
Less: Preferred stock distributions	428	432	860	873
Net income attributable to Sun Communities, Inc. common stockholders	40,385	20,408	74,716	50,394
Real Property Operations Segment [Member]
Segment Reporting Information [Line Items]
Revenue From Home Sales	250,791	216,869	484,532	426,924
Net Income	48,441	29,830	90,046	69,384
Less: Preferred return to Series A-1 preferred OP units	1,718	1,103	3,041	2,183
Less: Amounts attributable to noncontrolling interests	2,740	2,509	3,999	4,900
Net income attributable to Sun Communities, Inc.	43,983	26,218	83,006	62,301
Less: Preferred stock distributions	428	432	860	873
Net income attributable to Sun Communities, Inc. common stockholders	43,555	25,786	82,146	61,428
Home Sales and Home Rentals Segment [Member]
Segment Reporting Information [Line Items]
Revenue From Home Sales	61,654	54,565	115,243	102,485
Net Income	(3,325)	(5,660)	(7,803)	(11,613)
Less: Preferred return to Series A-1 preferred OP units		0	0	0
Less: Amounts attributable to noncontrolling interests	(155)	(282)	(373)	(579)
Net income attributable to Sun Communities, Inc.	(3,170)	(5,378)	(7,430)	(11,034)
Less: Preferred stock distributions	0	0	0	0
Net income attributable to Sun Communities, Inc. common stockholders	(3,170)	(5,378)	(7,430)	(11,034)
Operating Segments [Member]
Segment Reporting Information [Line Items]
Revenue From Home Sales	305,018	265,266	583,868	516,965
Operating expenses / Cost of sales	133,620	117,255	248,025	219,902
Net operating income / Gross profit	171,398	148,011	335,843	297,063
Operating Segments [Member] | Real Property Operations Segment [Member]
Segment Reporting Information [Line Items]
Revenue From Home Sales	243,364	210,701	468,625	414,480
Operating expenses / Cost of sales	94,094	81,008	174,434	151,857
Net operating income / Gross profit	149,270	129,693	294,191	262,623
Operating Segments [Member] | Home Sales and Home Rentals Segment [Member]
Segment Reporting Information [Line Items]
Revenue From Home Sales	61,654	54,565	115,243	102,485
Operating expenses / Cost of sales	39,526	36,247	73,591	68,045
Net operating income / Gross profit	22,128	18,318	41,652	34,440
Segment Reconciling Items [Member]
Segment Reporting Information [Line Items]
Interest and other revenues, net	7,427	6,168	15,907	12,444
Home selling expenses	(3,626)	(3,986)	(6,950)	(7,276)
General and administrative	(23,697)	(21,452)	(45,584)	(41,209)
Depreciation and amortization	(76,153)	(67,773)	(152,709)	(134,210)
Loss on extinguishment of debt	(70)	(1,522)	(723)	(1,718)
Interest expense	(33,661)	(32,260)	(67,675)	(63,398)
Interest on mandatorily redeemable preferred OP units / equity	(1,181)	(790)	(2,275)	(1,409)
Catastrophic weather related charges	(179)	(53)	(961)	2,160
Remeasurement of marketable securities	3,620	0	3,887	0
Distributions from Affiliate	393	(8)	737	(67)
Other income / (expense), net	1,021	(1,828)	2,919	(4,445)
Current tax expense	(272)	(225)	(486)	(399)
Deferred tax benefit / (expense)	96	(112)	313	235
Segment Reconciling Items [Member] | Real Property Operations Segment [Member]
Segment Reporting Information [Line Items]
Interest and other revenues, net	7,427	6,168	15,907	12,444
Home selling expenses	0	0	0	0
General and administrative	(20,722)	(18,600)	(39,956)	(35,787)
Depreciation and amortization	(57,054)	(50,811)	(115,299)	(101,319)
Loss on extinguishment of debt	(70)	(1,522)	(723)	(1,718)
Interest expense	(33,656)	(32,254)	(67,666)	(63,388)
Interest on mandatorily redeemable preferred OP units / equity	(1,181)	(790)	(2,275)	(1,409)
Catastrophic weather related charges	(171)	22	(953)	2,379
Remeasurement of marketable securities	3,620	0	3,887	0
Distributions from Affiliate	0	0	0	0
Other income / (expense), net	1,061	(1,829)	2,921	(4,445)
Current tax expense	(179)	(135)	(301)	(231)
Deferred tax benefit / (expense)	96	(112)	313	235
Segment Reconciling Items [Member] | Home Sales and Home Rentals Segment [Member]
Segment Reporting Information [Line Items]
Interest and other revenues, net	0	0	0	0
Home selling expenses	(3,626)	(3,986)	(6,950)	(7,276)
General and administrative	(2,975)	(2,852)	(5,628)	(5,422)
Depreciation and amortization	(19,099)	(16,962)	(37,410)	(32,891)
Loss on extinguishment of debt	0	0	0	0
Interest expense	(5)	(6)	(9)	(10)
Interest on mandatorily redeemable preferred OP units / equity	0	0	0	0
Catastrophic weather related charges	(8)	(75)	(8)	(219)
Remeasurement of marketable securities	0	0	0	0
Distributions from Affiliate	393	(8)	737	(67)
Other income / (expense), net	(40)	1	(2)	0
Current tax expense	(93)	(90)	(185)	(168)
Deferred tax benefit / (expense)	$ 0	$ 0	$ 0	$ 0

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Segment Reporting Identifiable Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018	Jun. 30, 2018	Dec. 31, 2017
Segment Reporting, Asset Reconciling Item [Line Items]
Investment property, net	$ 6,567,844	$ 6,118,316
Cash and cash equivalents	28,704	50,311	$ 20,046	$ 10,127
Marketable securities	53,553	49,037
Inventory of manufactured homes	55,869	49,199
Notes and other receivables, net	164,303	160,077
Collateralized receivables, net	97,658	106,924
Other assets	254,153	176,162
TOTAL ASSETS	7,222,084	6,710,026
Real Property Operations Segment [Member]
Segment Reporting, Asset Reconciling Item [Line Items]
Investment property, net	6,009,366	5,586,444
Cash and cash equivalents	(5,184)	24,343
Marketable securities	53,553	49,037
Inventory of manufactured homes	0	0
Notes and other receivables, net	146,648	145,673
Collateralized receivables, net	97,658	106,924
Other assets	178,195	140,027
TOTAL ASSETS	6,480,236	6,052,448
Home Sales and Home Rentals Segment [Member]
Segment Reporting, Asset Reconciling Item [Line Items]
Investment property, net	558,478	531,872
Cash and cash equivalents	33,888	25,968
Marketable securities	0	0
Inventory of manufactured homes	55,869	49,199
Notes and other receivables, net	17,655	14,404
Collateralized receivables, net	0	0
Other assets	75,958	36,135
TOTAL ASSETS	$ 741,848	$ 657,578

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Income Taxes , Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Operating Loss Carryforwards [Line Items]
Minimum Percent of Income From Qualifying Sources to Allow For Real Estate Investment Trust Classification			95.00%
Required Minimum Percent of Taxable Income Distributed to Stock Holders			90.00%
Provision for state income taxes	$ 300	$ 225	$ 486	$ 399
Deferred tax benefit / (expense)	$ 96	(112)	$ 313	235
Foreign Tax Authority [Member]
Operating Loss Carryforwards [Line Items]
Deferred Tax Liabilities, Gross		20,100		20,100
Domestic Tax Authority [Member]
Operating Loss Carryforwards [Line Items]
Deferred Tax Liabilities, Gross		$ 21,700		$ 21,700

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Earnings Per Share , Calculation of Numerator and Denominator (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Numerator
Net income attributable to common stockholders	$ 40,385	$ 20,408	$ 74,716	$ 50,394
Less allocation to restricted stock awards	(448)	(119)	(887)	(422)
Basic earnings - Net income attributable to common stockholders after allocation to restricted stock awards	39,937	20,289	73,829	49,972
Add allocation to restricted stock awards	448	119	887	422
Diluted earnings - Net income attributable to common stockholders after allocation to restricted stock awards	$ 40,385	$ 20,408	$ 74,716	$ 50,394
Denominator
Weighted average common shares outstanding	87,130	79,612	86,325	79,233
Add: dilutive stock options	1	2	1	2
Add: dilutive restricted stock	433	502	444	670
Diluted weighted average common shares and securities	87,564	80,116	86,770	79,905
Basic	$ 0.46	$ 0.25	$ 0.86	$ 0.63
Diluted	$ 0.46	$ 0.25	$ 0.86	$ 0.63

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Earnings Per Share , Antidilutive Securities Excluded from Computation of Loss Per Share (Details) - shares shares in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	6,198	6,181
Common OP Units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	2,289	2,731
Series A-1 Preferred OP Units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	324	337
Series D Preferred OP Units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	489	0
Series A-3 Preferred OP Units [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	40	40
Series A-4 preferred OP units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	406	412
Series A-4 Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	1,052	1,063
Series C preferred OP units [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	314	314
Aspen Preferred OP Units [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	1,284	1,284

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Fair Value of Financial Instruments , By Balance Sheet Grouping (Details) - USD ($) $ in Thousands	1 Months Ended
	Nov. 30, 2018	Jun. 30, 2019	Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Payments to acquire marketable securities	$ 54,000
Financial assets
Notes and other receivables, net		$ 164,303	$ 160,077
Collateralized receivables, net		97,658	106,924
Financial liabilities
Secured debt		2,863,485	2,815,957
Installment notes receivable on manufactured homes, net [Member]
Financial assets
Notes and other receivables, net		104,600	112,800
Reported Value Measurement [Member]
Financial liabilities
Debt (excluding secured borrowings)		2,933,397	2,888,572
Lines of credit		76,079	128,000
Other liabilities (contingent consideration)		4,765	4,640
Financial Liabilities Fair Value Disclosure		3,112,540	3,128,943
Reported Value Measurement [Member] | Fair Value, Recurring [Member]
Financial assets
Financial Assets Fair Value Disclosure		255,770	268,759
Reported Value Measurement [Member] | Installment notes receivable on manufactured homes, net [Member]
Financial assets
Notes and other receivables, net			112,798
Reported Value Measurement [Member] | Installment notes receivable on manufactured homes, net [Member] | Fair Value, Recurring [Member]
Financial assets
Notes and other receivables, net		104,559
Reported Value Measurement [Member] | Collateralized Receivables [Member]
Financial assets
Notes and other receivables, net		97,700	106,900
Reported Value Measurement [Member] | Collateralized Receivables [Member] | Fair Value, Recurring [Member]
Financial assets
Collateralized receivables, net		97,658	106,924
Reported Value Measurement [Member] | Secured Debt [Member]
Financial liabilities
Secured debt		98,299	107,731
Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member]
Financial assets
Financial Assets Fair Value Disclosure		255,770	268,759
Financial liabilities
Debt (excluding secured borrowings)		2,977,195	2,757,649
Secured debt		98,299	107,731
Lines of credit		76,079	128,000
Other liabilities (contingent consideration)		4,765	4,640
Financial Liabilities Fair Value Disclosure		3,156,338	2,998,020
Estimate of Fair Value Measurement [Member] | Installment notes receivable on manufactured homes, net [Member] | Fair Value, Recurring [Member]
Financial assets
Notes and other receivables, net		104,559	112,798
Estimate of Fair Value Measurement [Member] | Collateralized Receivables [Member] | Fair Value, Recurring [Member]
Financial assets
Collateralized receivables, net		97,658	106,924
Marketable Securities [Member] | Reported Value Measurement [Member] | Fair Value, Recurring [Member]
Financial assets
Marketable securities		53,553	49,037
Marketable Securities [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member]
Financial assets
Marketable securities		$ 53,553	$ 49,037

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Recent Accounting Pronouncements (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018	Jun. 30, 2018	Dec. 31, 2017
Accounting Changes and Error Corrections [Abstract]
Cash and cash equivalents	$ 28,704	$ 50,311	$ 20,046	$ 10,127
Restricted cash	17,334	11,951	16,755	13,382
Cash, cash equivalents and restricted cash	$ 46,038	$ 62,262	$ 36,801	$ 23,509

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Leases - Future Minimum Lease Payments (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Operating Leases
2019 (excluding the six months ended June 30, 2019)	$ 1,086
2020	2,397
2021	2,446
2022	2,483
2023	2,509
Thereafter	13,725
Total lease payments	24,646
Less: Imputed interest	(6,083)
Present Value of lease liabilities	18,563
Finance Leases
2019 (excluding the six months ended June 30, 2019)	105
2020	120
2021	120
2022	120
2023	120
Thereafter	4,060
Total lease payments	4,645
Less: Imputed interest	(511)
Present Value of lease liabilities	4,134	$ 4,100
Operating And Finance Leases, Liability, Undiscounted Excess Amount	(6,594)
Operating And Finance Leases, Liability, Payment, Due	29,291
Operating And Finance Leases, Liability, Payments, Due after Year Five	17,785
Operating And Finance Leases, Liability, Payments, Due Year Five	2,629
Operating And Finance Leases, Liability, Payments, Due Year Four	2,603
Operating And Finance Leases, Liability, Payments, Due Year Three	2,566
Operating And Finance Leases, Liability, Payments, Due Year Two	2,517
Operating And Finance Leases, Liability, Payments, Remainder of Fiscal Year	1,191
Operating And Finance Leases, Liability	$ 22,697

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Leases - Additional Information (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2019 USD ($) ft² $ / sqft	Dec. 31, 2018 USD ($)
Lessee, Lease, Description [Line Items]
Operating lease liability	$ 18,563
Finance lease liability	4,134	$ 4,100
Operating lease, not yet commenced	$ 2,900
Term of operating lease not yet commenced	7 years
CEO | American Center
Lessee, Lease, Description [Line Items]
Ownership percentage	28.10%
Area of rentable real estate property | ft²	103,100
Gross base rent (USD per sqft) | $ / sqft	18.55

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Leases - Lease Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Lessee, Lease, Description [Line Items]
Capital Leases, Income Statement, Amortization Expense		$ 18		$ 36
Capital Leases, Income Statement, Interest Expense		26		52
Operating Leases, Rent Expense, Net		829		1,680
Amortization of right - of-use assets	$ 18		$ 36
Interest on lease liabilities	26		52
Operating lease cost	982		1,804
Total lease expense	$ 1,453	1,096	2,638	2,213
Operating cash flow used for operating leases			1,130	2,052
Financing cash flow used for finance leases			15	15
Right of use asset obtained (land) in exchange for new finance lease liabilities			4,134
Capital Leased Assets, Gross					$ 4,098
Right of use asset obtained in exchange for new operating lease liabilities			18,316
Right of use asset obtained relative to below market operating leases			$ 28,742
Amortization of above and below Market Leases					29,118
Weighted - average remaining lease term - finance leases (in years)	5 years		5 years
Weighted - average remaining lease term - operating leases (in years)	12 years 3 months		12 years 3 months
Weighted - average discount rate - finance leases (annual)	2.50%		2.50%
Weighted - average discount rate - operating leases (annual)	4.06%		4.06%
Present Value of lease liabilities	$ 4,134		$ 4,134		4,100
Capital Lease Obligations					$ 4,098
Present Value of lease liabilities	18,563		18,563
Operating And Finance Lease, Payments			1,145	2,067
Below Market Leases
Lessee, Lease, Description [Line Items]
Amortization		$ 223		$ 445
Variable lease expense	$ 427		$ 746

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Subsequent Event (Details) $ in Thousands	1 Months Ended	6 Months Ended	12 Months Ended
	Jul. 25, 2019 USD ($) development_site expansion_site	Jun. 30, 2019 USD ($) development_site	Dec. 31, 2018 USD ($) development_site
Subsequent Event [Line Items]
Development Sites | development_site		70	1,166
Business Combination, Consideration Transferred | $		$ 348,241	$ 349,075
Ponchatoula RV Resort [Member] | Subsequent Event [Member]
Subsequent Event [Line Items]
Development Sites | development_site	202
Number of Units in Real Estate Property, Expansion Sites | expansion_site	69
Business Combination, Consideration Transferred | $	$ 23,500