What changed in this filing

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Item 2. Management’s Discussion and Analysis

2026-04-28 compared with 2025-10-29 · 95 added, 267 removed, 313 unchanged (54% of the section changed)

5 unchanged sentences

We are a fully integrated owner of lifestyle-oriented properties (“Properties”) consisting of property operations and home sales and rental operations primarily within manufactured home (“MH”) and recreational vehicle (“RV”) communities and marinas.

As of September 30, 2025, we owned or had an ownership interest in a portfolio of 455 Properties located throughout the United States and Canada containing 173,341 individual developed areas (“Sites”).

As of March 31, 2026, we owned or had an ownership interest in a portfolio of 453 Properties located throughout the United States and Canada containing 173,419 individual developed areas (“Sites”).

These Properties are located in 35 states and British Columbia.

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We believe the demand from baby boomers for MH and RV communities will continue to be strong over the long term.

It is estimated that approximately 10,000 baby boomers are turning 65 daily through 2030.

It is estimated that approximately 10,000 Americans turn 65 years old every day and all baby boomers will be at least age 65 by 2030.

These individuals, seeking an active lifestyle, will continue to drive the market for second-home sales as vacation properties, investment opportunities or retirement retreats.

We expect it is likely that over the next decade, we will continue to see high levels of second-home sales and that manufactured homes and cottages in our Properties will continue to provide a viable second-home alternative to site-built homes.

We expect it is likely that we will continue to see high levels of second-home sales and that manufactured homes and cottages in our Properties will continue to provide a viable second-home alternative to site-built homes.

We also believe the Millennial and Generation Z demographic will contribute to our future long-term customer pipeline.

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The following table shows the breakdown of our Sites by type (amounts are approximate):

Total Sites as of September 30, 2025

MH Sites 73,200

Annual 34,400

Total Sites as of

March 31, 2026

Seasonal 9,800

2 unchanged sentences

Membership (2)

Joint Ventures (2)

_________________________

(1) MH, Annual RV and Transient RV sites include approximately 2,100, 300 and 1,500 joint venture sites, respectively.

(2) Primarily utilized to service approximately 107,100 members.

Includes approximately 6,000 Sites rented on an annual basis.

(2) Includes approximately 2,100 annual Sites and 1,800 transient Sites.

(3) Total does not foot due to rounding.

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Third-party lender programs have stringent underwriting criteria, sizable down payment requirements, short term loan amortization and high interest rates.

We have a limited program under which we purchase loans made by an unaffiliated lender to homebuyers at our Properties.

In addition to net income computed in accordance with U.S.

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Results Overview

(amounts in thousands) Quarters Ended September 30,

2025 2024 $ Change % Change (1)

Net Income per fully diluted Common Share $ 0.50 $ 0.44 $ 0.06 12.9 %

FFO per fully diluted Common Share and OP Unit $ 0.77 $ 0.72 $ 0.05 6.8 %

Normalized FFO per fully diluted Common Share and OP Unit $ 0.75 $ 0.72 $ 0.03 4.6 %

Nine Months Ended September 30,

(amounts in thousands) Quarters Ended March 31,

2026 2025 $ Change % Change (1)

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Calculations prepared using actual results without rounding.

Core property operating revenues increased 3.1% and Core income from property operations, excluding property management, increased 5.3% for the quarter ended September 30, 2025, compared to the quarter ended September 30, 2024.

For the quarter ended March 31, 2026, property operating revenues in our Core Portfolio increased 3.7% and property operating expenses in our Core Portfolio, excluding property management, increased 1.8% from the same period in 2025, resulting in increased Income from property operations, excluding property management, of 4.9%.

Management’s Discussion and Analysis (continued)

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We continue to expect there to be fluctuations in the sources of occupancy gains depending on local market conditions, availability of vacant sites and success with converting renters to homeowners.

Our Core Portfolio average occupancy includes both homeowners and renters in our MH communities and was 94.3% for the quarter ended September 30, 2025, 95.0% for the quarter ended September 30, 2024 and 94.9% for the quarter ended December 31, 2024.

During the quarter ended September 30, 2025, our Core Portfolio occupancy increased by 4 sites, which included an increase in rental occupancy of 86 sites and a decrease in homeowner occupancy of 82 sites compared to June 30, 2025.

As of September 30, 2025, we had 2,091 occupied rental homes in our Core MH communities.

RV and marina base rental income in our Core Portfolio decreased 0.4% for the quarter ended September 30, 2025, compared to the same period in 2024, driven primarily by a decrease in Core Seasonal and Transient RV rental income, partially offset by an increase in Core Annual RV rental income.

Core Seasonal and Core Transient RV and marina base rental income decreased 14.5% and 8.1%, respectively, for the quarter ended September 30, 2025, compared to the quarter ended September 30, 2024 due to returning competitor supply following a period of weather-related disruption, a moderation in demand, and a loss of Canadian customers in the Northeastern United States that led to fewer seasonal and transient stays.

Core RV and marina base rental income from annuals represents 71.0% of total Core RV and marina base rental income and increased 3.9% for the quarter ended September 30, 2025, compared to the quarter ended September 30, 2024, due to a 6.0% increase in rate, offset by a 2.1% decline in occupancy since the quarter ended September 30, 2024.

We have increased Core Annual RV occupancy by approximately 475 sites during the quarter ended September 30, 2025.

We closed 119 new home sales during the quarter ended September 30, 2025 compared to 174 new home sales during the quarter ended September 30, 2024.

The decrease in new home sales during the quarter ended September 30, 2025 was driven by a moderation in demand, primarily in the Florida market, resulting in fewer homes being sold this quarter as compared to the quarter ended September 30, 2024.

Our gross investment in real estate increased $192.9 million to $8,108.6 million as of September 30, 2025 from $7,915.7 million as of December 31, 2024, primarily due to capital improvements during the nine months ended September 30, 2025.

The following chart lists the Properties acquired from January 1, 2024 through September 30, 2025 and Sites added through expansion opportunities at our existing Properties:

Our Core Portfolio average occupancy includes both homeowners and renters in our MH communities and was 93.8% for the quarter ended March 31, 2026, 94.4% for the quarter ended March 31, 2025 and 94.0% for the quarter ended December 31, 2025.

The decline in average occupancy compared to the quarter ended March 31, 2025 was primarily driven by 362 expansion sites that were added since March 31, 2025.

During the quarter ended March 31, 2026, our Core Portfolio occupancy increased by 54 sites, which included increases in rental occupancy of 24 sites and homeowner occupancy of 30 sites compared to December 31, 2025.

As of March 31, 2026, we had 2,135 occupied rental homes in our Core MH communities.

RV and marina base rental income in our Core Portfolio decreased 1.4% for the quarter ended March 31, 2026, compared to the same period in 2025, due to an increase in Core Annual RV and marina rental income of 4.2%, offset by decreases in Core Seasonal and Transient RV and marina rental income of 14.8% and 6.9%, respectively.

The increase in Core Annual RV and marina base rental income was driven by a 5.1% increase in rate, offset by a 0.9% decline in occupancy since the quarter ended March 31, 2025.

The decreases in Core Seasonal and Transient RV and marina rental income were driven by a moderation in demand driven in part by the loss of Canadian guests.

We closed 87 new home sales during the quarter ended March 31, 2026 compared to 117 new home sales during the quarter ended March 31, 2025.

The decrease in new home sales during the quarter ended March 31, 2026 was driven by timing of supply of new homes resulting in fewer homes being sold this quarter as compared to the quarter ended March 31, 2025.

Our gross investment in real estate increased $55.6 million to $8,234.3 million as of March 31, 2026 from $8,178.7 million as of December 31, 2025, primarily due to capital improvements during the quarter ended March 31, 2026.

The following chart lists the Properties acquired from January 1, 2025 through March 31, 2026 and Sites added through expansion opportunities at our existing Properties:

Location Type of Property Transaction Date Sites

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Sites added (reconfigured) in 2026 48

Total Sites as of September 30, 2025 (1)

Dispositions:

Desert Vista Salome, Arizona RV October 1, 2025 (125)

Valley Vista Benson, Arizona RV October 1, 2025 (145)

Total Sites as of March 31, 2026 (1)

______________________

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These Non-GAAP financial measures as determined and presented by us may not be comparable to similarly titled measures reported by other companies, and include Income from property operations and Core Portfolio, FFO and Normalized FFO.

We believe investors should review Income from property operations and Core Portfolio, FFO and Normalized FFO, along with GAAP net income and cash flow from operating activities, investing activities and financing activities, when evaluating an equity REIT’s operating performance.

We believe investors should review Income from property operations and Core Portfolio, FFO and Normalized FFO, along with GAAP net income and cash flows from operating activities, investing activities and financing activities, when evaluating an equity REIT’s operating performance.

A discussion of Income from property operations and Core Portfolio, FFO and Normalized FFO, and a reconciliation to net income are included below.

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We believe exclusion of property management expenses is helpful to investors and analysts as a measure of the operating results of our Properties, excluding items that are not directly related to the operation of the Properties.

For comparative purposes, we present bad debt expense within Property operating and maintenance in the current and prior periods.

For comparative purposes, we present bad debt expense within Insurance and other in the current and prior periods.

We believe that this Non-GAAP financial measure is helpful to investors and analysts as a measure of the operating results of our Properties.

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Management’s Discussion and Analysis (continued)

The following table reconciles Net income available for Common Stockholders to Income from property operations for the quarters and nine months ended September 30, 2025 and 2024:

Quarters Ended September 30, Nine Months Ended September 30,

The following table reconciles Net income available for Common Stockholders to Income from property operations:

Quarters Ended March 31,

(amounts in thousands)

2025 2024 2025 2024

Computation of Income from Property Operations:

Net income available for Common Stockholders $ 107,904 $ 109,192

Redeemable perpetual preferred stock dividends — — 8 8

Income allocated to non-controlling interests – Common OP Units 3,587 5,201

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Equity in (income)/loss of unconsolidated joint ventures 877 (4,901)

(Gain)/Loss on sale of real estate and impairment, net (31) 1,798 652 1,798

Gross revenues from home sales, brokered resales and ancillary services (19,096) (20,923)

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Casualty-related charges/(recoveries), net 68 217

(3,748) 591 (4,072) (20,422)

Other expenses 1,233 1,878

711 1,402 2,530 3,881

Early debt retirement — 30 — 30

Interest and related amortization 33,645 31,136

2 unchanged sentences

Income from property operations $ 208,913 $ 197,585

_____________________

(1) Casualty-related charges/(recoveries), net for the quarter ended September 30, 2025 includes $3.7 million for reimbursement of capital expenditures.

Casualty-related charges/(recoveries), net for the nine months ended September 30, 2025 includes debris removal and cleanup costs related to hurricane events of $1.0 million and insurance recovery revenue of $5.1 million, including $4.3 million for reimbursement of capital expenditures.

(2) Prior period amounts have been reclassified to conform to the current period presentation.

Management’s Discussion and Analysis (continued)

The following table presents a calculation of FFO available for Common Stock and OP Unitholders and Normalized FFO available for Common Stock and OP Unitholders for the quarters and nine months ended September 30, 2025 and 2024:

Quarters Ended September 30, Nine Months Ended September 30,

The following table presents a calculation of FFO available for Common Stock and OP Unitholders and Normalized FFO available for Common Stock and OP Unitholders:

Quarters Ended March 31,

(amounts in thousands)

2025 2024 2025 2024

Computation of FFO and Normalized FFO:

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Depreciation on unconsolidated joint ventures 1,477 1,331

(Gain)/Loss on sale of real estate and impairment, net (31) 1,798 652 1,798

FFO available for Common Stock and OP Unit holders 166,104 166,666

Deferred income tax benefit — — — (239)

Early debt retirement — 30 — 30

Transaction/pursuit costs and other — — — 383

Insurance proceeds due to catastrophic weather event 67 —

(3,632) (451) (4,225) (21,464)

Other items (1)

Normalized FFO available for Common Stock and OP Unit holders $ 167,296 $ 166,666

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_____________________

(1) Represents insurance recovery revenue for reimbursement of capital expenditures related to Hurricane Ian.

(1) Represents expenses of $1.1 million related to non-operating legal expenses during the quarter ended March 31, 2026.

Management’s Discussion and Analysis (continued)

Results of Operations

This section discusses the comparison of our results of operations for the quarters and nine months ended September 30, 2025 and 2024 and our operating activities, investing activities and financing activities for the nine months ended September 30, 2025 and 2024.

This section discusses the comparison of our results of operations for the quarters ended March 31, 2026 and 2025.

Our Core Portfolio could change from time-to-time depending on acquisitions, dispositions and significant transactions or unique situations.

Our Core Portfolio consists of our Properties owned and operated during all of 2025 and 2026.

Our Non-Core Portfolio includes all Properties that were not owned and operated during all of 2025 and 2026, including six Properties in Florida impacted by Hurricane Ian and two Properties in California that were impacted by storm and flooding events.

For the comparison of our results of operations for the quarters and nine months ended September 30, 2024 and September 30, 2023 and discussion of our operating activities, investing activities and financing activities for the nine months ended September 30, 2024 and September 30, 2023, refer to Part I.

Management’s Discussion and Analysis of Financial Condition and Results of Operations of the Quarterly Report on Form 10-Q for the fiscal quarter ended September 30, 2024, filed with the SEC on October 30, 2024.

Comparison of the Quarter Ended September 30, 2025 to the Quarter Ended September 30, 2024

For the comparison of our results of operations for the quarters ended March 31, 2025 and March 31, 2024 and discussion of our operating activities, investing activities and financing activities for the quarters ended March 31, 2025 and March 31, 2024, refer to Part I.

Management’s Discussion and Analysis of Financial Condition and Results of Operations of the Quarterly Report on Form 10-Q for the fiscal quarter ended March 31, 2025, filed with the SEC on April 30, 2025.

Comparison of the Quarter Ended March 31, 2026 to the Quarter Ended March 31, 2025

Income from Property Operations

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Core Portfolio Total Portfolio

Quarters Ended September 30, Quarters Ended September 30,

Quarters Ended March 31, Quarters Ended March 31,

(amounts in thousands) 2026 2025 Variance %

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Payroll 27,459 27,483 (24) (0.1) % 28,440 28,271 169 0.6 %

Repairs & maintenance 25,913 25,456 457 1.8 % 26,710 26,072 638 2.4 %

Repairs and maintenance 23,695 22,264 1,431 6.4 % 24,425 22,889 1,536 6.7 %

Insurance and other (1)(4)

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The difference between the sum of the total portfolio income items and Rental income on the Consolidated Statements of Income and Comprehensive Income is bad debt expense, which is presented in Insurance and other in this table.

(2) Beginning in the first quarter of 2025, membership upgrade product offerings include two- to four-year term subscription products, which are recognized in Annual membership subscriptions.

(2) Membership upgrade product offerings consist of two- to four-year term subscription products, which are recognized in Annual membership subscriptions.

Prices for two-year products range between $4,000 to $8,000 and between approximately $7,000 to $14,000 for the four-year product, which results in approximately $2,500 to $3,000 of earned revenue on an annual basis.

(3) Membership upgrade revenue is net of deferrals of $3.1 million and $5.9 million for the quarters ended September 30, 2025 and 2024, respectively.

(3) Membership upgrade revenue is net of deferrals of $0.9 million for the quarter ended March 31, 2025.

(4) Includes bad debt expense for all periods presented.

(5) Membership sales and marketing expense is net of sales commission deferrals of $0.9 million and $1.2 million for the quarters ended September 30, 2025 and 2024, respectively.

(6) See Part I.

Management’s Discussion and Analysis—Non-GAAP Financial Measures for definitions and reconciliations of these Non-GAAP measures to Net Income available for Common Shareholders.

Total Portfolio Income from property operations for the quarter ended September 30, 2025 increased $9.9 million, or 5.6%, from the quarter ended September 30, 2024 driven by an increase of $10.1 million, or 5.8%, from our Core Portfolio, offset by a decrease of $0.2 million from our Non-Core Portfolio.

The increase in Income from property operations from our

(5) Membership sales and marketing expense is net of sales commission deferrals of $0.9 million and $0.3 million for the quarters ended March 31, 2026 and 2025, respectively.

(6) See Non-GAAP Financial Measures section of the Management’s Discussion and Analysis for definitions and reconciliations of these Non-GAAP measures to Net Income available for Common Stockholders.

Total Portfolio income from property operations for the quarter ended March 31, 2026 increased $11.3 million, or 5.7%, from the same period in 2025 driven by an increase of $12.3 million, or 6.4%, from our Core Portfolio, offset by a decrease of $1.0 million from our Non-Core Portfolio.

Management’s Discussion and Analysis (continued)

Core Portfolio was primarily due to higher Property operating revenues, primarily in MH base rental income and Utility and other income, and lower Membership sales and marketing expense, partially offset by higher Utility expense.

Property Operating Revenues

MH base rental income in our Core Portfolio for the quarter ended September 30, 2025 increased $9.8 million, or 5.5%, from the quarter ended September 30, 2024, which reflects 6.0% growth from rate increases offset by a 0.5% decrease in occupancy.

The average monthly MH base rental income per Site in our Core Portfolio increased to approximately $912 for the quarter ended September 30, 2025 from approximately $861 for the quarter ended September 30, 2024.

The average occupancy for our Core Portfolio was 94.3% and 95.0% for the quarters ended September 30, 2025 and 2024, respectively.

MH base rental income in our Core Portfolio for the quarter ended March 31, 2026 increased $10.6 million, or 5.7%, from the same period in 2025, which reflects 5.9% growth from rate increases.

The average monthly MH base rental income per Site in our Core Portfolio increased to approximately $948 for the quarter ended March 31, 2026 from approximately $895 for the quarter ended March 31, 2025.

RV and marina base rental income is comprised of the following:

Core Portfolio Total Portfolio

Quarters Ended September 30, Quarters Ended September 30,

Quarters Ended March 31, Quarters Ended March 31,

(amounts in thousands) 2026 2025 Variance %

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RV and marina base rental income $ 114,484 $ 116,111 $ (1,627) (1.4) % $ 121,258 $ 121,565 $ (307) (0.3) %

RV and marina base rental income in our Core Portfolio for the quarter ended September 30, 2025 decreased $0.4 million, or 0.4%, from the quarter ended September 30, 2024 driven by decreases in Seasonal and Transient RV and marina base rental income of 14.5% and 8.1%, respectively.

The decreases in Core Seasonal RV and marina base rental income was primarily due to returning competitor supply and a moderation in demand.

The decrease in Core Transient RV and marina base rental income was primarily due to returning competitor supply following a period of weather-related disruption, a moderation in demand, and a loss of Canadian guests.

The decreases in Core Seasonal and Transient RV and marina income were partially offset by an increase in Core Annual RV and marina base rental income of 3.9%.

Utility and other income in our Core Portfolio for the quarter ended September 30, 2025 increased $1.3 million, or 3.8%, from the quarter ended September 30, 2024.

The increase was primari ly due to a $1.5 million and $0.4 million incre ase in utility income and pass-through income, respectively, partially offset by a decrease of $0.6 million in insurance proceeds.

The utility recovery rate (utility income divided by utility expenses) for the quarters ended September 30, 2025 and 2024 was approximately 48% and 47%, respectively.

RV and marina base rental income in our Core Portfolio for the quarter ended March 31, 2026 decreased $1.6 million, or 1.4%, from the same period in 2025 due to an increase in Core Annual RV and marina base rental income of 4.2%, offset by decreases in Core Seasonal and Transient RV and marina base rental income of 14.8% and 6.9%, respectively.

The decreases in Core Seasonal and Transient RV and marina base rental income were primarily due to softer demand driven in part by a loss of Canadian customers.

Utility and other income in our Core Portfolio for the quarter ended March 31, 2026 increased $1.8 million, or 5.4%, from the same period in 2025.

The increase was primari ly due to increases of $1.4 million and $0.3 million in utility income and pass-through income, respectively.

The increase in utility income was driven by higher expenses driving additional recovery primarily in sewer, trash, water and cable recovery income.

The utility recovery rate (utility income divided by utility expenses) for the quarters ended March 31, 2026 and 2025 were approximately 50% and 48%, respectively.

The increase in pass-through income was primarily driven by increases in real estate tax pass-throughs to customers in Florida.

Property Operating Expenses

Property operating expenses, excluding property management, in our Core Portfolio for the quarter ended September 30, 2025 increased $0.8 million , or 0.5%, from the quarter ended September 30, 2024, driven by increases in Utility expense o f $2.3 million, Insurance and other of $0.6 million and Repairs and maintenance of $0.5 million, partially offset by a decrease in Membership sales and marketin g of $2.2 million and Real estate taxes of $0.2 million .

The increase in Utility expense was due to increases in sewer, water and trash expense.

The increase in Insurance and other was primarily driven by an increase in miscellaneous expense and bad debt expense, partially offset by a decrease in insurance expense.

The increase in Repairs and maintenance was primarily due to higher lawn and common area maintenance expense and contract repairs, partially offset by a decrease in extraordinary repairs and maintenance expenses.

The decrease in Membership sales and marketing expense was driven by a decrease in commissions and allowances for credit losses related to financed membership products that are no longer being offered beginning in the first quarter of 2025.

The decrease in Real estate taxes was primarily driven by lower real estate taxes in Florida.

Property operating expenses, excluding property management, in our Core Portfolio for the quarter ended March 31, 2026 increased $2.5 million, or 1.8%, from the same period in 2025, driven by increases in Repairs and maintenance of $1.4 million, Utility expense of $0.7 million and Real estate taxes of $0.4 million.

The increase in Repairs and maintenance was primarily driven by higher extraordinary repair and maintenance, lawn and common area maintenance expenses and contract repairs, partially offset by lower security guard expenses.

The increase in Utility expense was due to increases in trash, water and sewer expense, partially offset by a decrease in electric expense.

The increase in Real estate taxes was primarily due to an increase in real estate taxes in our Florida portfolio.

Management’s Discussion and Analysis (continued)

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The following table summarizes certain financial and statistical data for our Home Sales and Other Operations:

Quarters Ended September 30,

Quarters Ended March 31,

(amounts in thousands, except home sales volumes) 2026 2025 Variance %

3 unchanged sentences

Cost of used home sales 1,235 530 705 133.0 %

Gross revenue from brokered resales and ancillary services 13,729 14,456 (727) (5.0) %

Gross revenues from brokered resales and ancillary services 10,560 10,720 (160) (1.5) %

Cost of brokered resales and ancillary services 4,351 4,580 (229) (5.0) %

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Brokered home resales 113 98 15 15.3 %

Gross revenues from new home sal es decreased $5.6 million and Cost of new home sales decreased $4.3 million dur ing the quarter ended September 30, 2025 compared to the quarter ended September 30, 2024 as a result of a change in overall sales mix, resulting in a higher percentage of lower priced homes being sold, primarily in the Florida market, during the quarter ended September 30, 2025 as compared to the quarter ended September 30, 2024.

Gross revenues from new home sal es decreased $1.7 million a nd Cost of new home sales decreased $0.6 million dur ing the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025 as a result of a change in overall sales mix, resulting in a higher percentage of lower priced homes being sold during the quarter ended March 31, 2026 as compared to the same period in 2025.

Rental Operations

The following table summarizes certain financial and statistical data for our MH Rental Operations:

Quarters Ended September 30,

Quarters Ended March 31,

(amounts in thousands, except rental unit volumes)

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$ 9,721 $ 8,395 $ 1,326 15.8 %

Rental home operating and maintenance expenses 1,353 1,387 (34) (2.5) %

Rental home operating and maintenance 1,347 1,146 201 17.5 %

Depreciation on rental homes (2)

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(1) Consists of Site rental income and home rental income.

Approximat ely $5.5 million an d $5.1 million for the quarters ended September 30, 2025 and 2024 of Site rental income is included in MH base rental income in the Core Portfolio Income from Property Operations table.

Approximat ely $6.0 million an d $5.0 million of Site rental income is included in MH base rental income in the Core Portfolio Income from Property Operations table for the quarters ended March 31, 2026 and 2025, respectively.

The remainder of home rental income is included in rental home income in our Core Portfolio Income from Property Operations table.

(2) Presented in Depreciation and amortization in the Consolidated Statements of Income and Comprehensive Income.

Rental operations revenues w ere $0.6 million, or 6.8%, higher during the quarter ended September 30, 2025 compared to the quarter ended September 30, 2024 primarily due to an increase in the number of occupied rentals.

Rental operations revenues were $1.3 million, or 15.8%, hig her during the quarter ended March 31, 2026 compared to the same period in 2025 primarily due to a 12.1% growth in occupancy and a 3.7% growth in rate.

Management’s Discussion and Analysis (continued)

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The following table summarizes Other income and expenses, net:

Quarters Ended September 30,

(amounts in thousands, expenses shown as negative)

2025 2024 Variance %

Depreciation and amortization $ (52,313) $ (50,934) $ (1,379) (2.7) %

Interest income 2,770 2,430 340 14.0 %

Income from other investments, net 1,972 2,192 (220) (10.0) %

General and administrative (8,791) (9,274) 483 5.2 %

Other expenses (711) (1,402) 691 49.3 %

Early debt retirement — (30) 30 100.0 %

Interest and related amortization (33,659) (36,497) 2,838 7.8 %

Total other income and expenses, net $ (90,732) $ (93,515) $ 2,783 3.0 %

Total Other income and expenses, net dec reased $2.8 million for the quarter ended September 30, 2025 compared to the quarter ended September 30, 2024 primarily due to lower Interest and related amortization, Other expenses and General and Administrative expense, and higher Interest income, partially offset by higher Depreciation and amortization.

Casualty-related charges/(recoveries), net

During the quarter ended September 30, 2024, we recognized expenses of approximately $2.3 million related to debris removal and cleanup costs from hurricane events, with insurance recovery revenue accruals of approximately $1.3 million related to the expenses incurred during the same period.

During the quarters ended September 30, 2025 and 2024, we also recognized excess insurance recovery revenue of approximately $3.7 million and $0.5 million, respectively, for reimbursement of capital expenditures related to Hurricane Ian.

The debris and cleanup costs and offsetting recovery accrual and reimbursement of capital expenditures are reflected in Casualty-related charges/(recoveries), net on the Consolidated Statements of Income and Comprehensive Income.

Gain/(Loss) on sale of real estate and impairment, net

Gain/(Loss) on sale of real estate and impairment, net was $1.8 million lower during the quarter ended September 30, 2025, compared to the quarter ended September 30, 2024, primarily due to a write down of certain assets of $1.8 million as a result of Hurricane Helene in 2024.

Equity in income of unconsolidated joint ventures

Equity in income of unconsolidated joint ventures was $4.2 million lower during the quarter ended September 30, 2025 compared to the quarter ended September 30, 2024 primarily due to decreases in distributions from unconsolidated joint ventures that exceeded our basis in the unconsolidated joint ventures and decreases in net income at certain of our unconsolidated joint ventures.

Management’s Discussion and Analysis (continued)

Comparison of the Nine Months Ended September 30, 2025 to the Nine Months Ended September 30, 2024

Income from Property Operations

The following table summarizes certain financial and statistical data for the Core Portfolio and the total portfolio for the nine months ended September 30, 2025 and 2024:

Core Portfolio Total Portfolio

Nine Months Ended September 30, Nine Months Ended September 30,

(amounts in thousands) 2025 2024 Variance %

Change 2025 2024 Variance %

MH base rental income (1)

$ 558,678 $ 529,589 $ 29,089 5.5 % $ 559,245 $ 530,102 $ 29,143 5.5 %

Rental home income (1)

10,508 10,262 246 2.4 % 10,543 10,299 244 2.4 %

RV and marina base rental income (1)

328,495 327,946 549 0.2 % 343,116 336,887 6,229 1.8 %

Annual membership subscriptions 50,580 49,161 1,419 2.9 % 51,112 49,298 1,814 3.7 %

Membership upgrade revenue (2)(3)

9,225 12,160 (2,935) (24.1) % 9,292 12,170 (2,878) (23.6) %

Utility and other income (1)

100,977 96,934 4,043 4.2 % 106,919 106,390 529 0.5 %

Property operating revenues 1,058,463 1,026,052 32,411 3.2 % 1,080,227 1,045,146 35,081 3.4 %

Utility expense 122,411 119,203 3,208 2.7 % 125,281 120,796 4,485 3.7 %

Payroll 89,921 90,246 (325) (0.4) % 92,588 92,055 533 0.6 %

Repairs & maintenance 76,769 72,956 3,813 5.2 % 79,094 74,613 4,481 6.0 %

Insurance and other (1)(4)

79,687 79,111 576 0.7 % 83,521 81,737 1,784 2.2 %

Real estate taxes 62,426 60,596 1,830 3.0 % 64,073 61,617 2,456 4.0 %

Rental home operating and maintenance 3,799 4,314 (515) (11.9) % 3,815 4,335 (520) (12.0) %

Membership sales and marketing (5)

12,109 17,835 (5,726) (32.1) % 12,192 17,871 (5,679) (31.8) %

Property operating expenses, excluding property management 447,122 444,261 2,861 0.6 % 460,564 453,024 7,540 1.7 %

Income from property operations, excluding property management (6)

611,341 581,791 29,550 5.1 % 619,663 592,122 27,541 4.7 %

Property management 61,430 59,312 2,118 3.6 % 61,430 59,311 2,119 3.6 %

Income from property operations (6)

$ 549,911 $ 522,479 $ 27,432 5.3 % $ 558,233 $ 532,811 $ 25,422 4.8 %

__________________________

(1) Rental income consists of the following total portfolio income items:

1) MH base rental income, 2) Rental home income, 3) RV and marina base rental income and 4) Utility income, which is calculated by subtracting Other income on the Consolidated Statements of Income and Comprehensive Income from Utility and other income in this table.

(2) Beginning in the first quarter of 2025, membership upgrade product offerings include two- to four-year term subscription products, which are recognized in Annual membership subscriptions.

(3) Membership upgrade revenue is net of deferrals of $7.1 million and $14.2 million for the nine months ended September 30, 2025 and 2024, respectively.

(4) Includes bad debt expense for all periods presented.

(5) Membership sales and marketing expense is net of sales commission deferrals of $2.0 million and $2.4 million the nine months ended September 30, 2025 and 2024, respectively.

(6) See Part I.

Management’s Discussion and Analysis—Non-GAAP Financial Measures for definitions and reconciliation of these Non-GAAP measures to Net Income available for Common Shareholders.

Total Portfolio Income from property operations for the nine months ended September 30, 2025 increased $25.4 million, or 4.8%, from the same period in 2024 driven by an increase of $27.4 million, or 5.3%, from our Core Portfolio, offset by a decrease of $2.0 million from our Non-Core Portfolio .

The increase in Income from property operations from our Core Portfolio was primarily due to higher Property operating revenues, primarily in MH base rental income and Utility and other income, and lower Membership sales and marketing expense, partially offset by an increase in Repairs and maintenance, Utility expense and Real estate taxes.

Property Operating Revenues

MH base rental income in our Core Portfolio for the nine months ended September 30, 2025 increased $29.1 million, or 5.5%, from the same period in 2024, which reflects 5.8% growth from rate increases and a decline in occupancy of 0.3%.

Th e average monthly MH base rental income per Site in our Core Portfolio increased to approxi mately $904 for the nine months ended September 30, 2025 from approximately $854 for the nine months ended September 30, 2024.

The average occupancy for the Core Portfolio w as 94.4% a nd 94.9% for the nine months ended September 30, 2025 and 2024, respectively.

Management’s Discussion and Analysis (continued)

RV and marina base rental income is comprised of the following:

Core Portfolio Total Portfolio

Nine Months Ended September 30, Nine Months Ended September 30,

(amounts in thousands)

2025 2024 Variance %

Change 2025 2024 Variance %

Annual $ 232,317 $ 223,607 $ 8,710 3.9 % $ 239,438 $ 229,596 $ 9,842 4.3 %

Seasonal 40,128 43,172 (3,044) (7.1) % 42,748 44,857 (2,109) (4.7) %

Transient 56,050 61,167 (5,117) (8.4) % 60,930 62,434 (1,504) (2.4) %

RV and marina base rental income $ 328,495 $ 327,946 $ 549 0.2 % $ 343,116 $ 336,887 $ 6,229 1.8 %

RV and marina base rental income in our Core Portfolio for the nine months ended September 30, 2025 increased $0.5 million, or 0.2%, from the s ame period in 2024 due to an increase in Annual RV and marina base ren tal income of 3.9%, partially offset by decreases in Seasonal and Transient RV and marina base rental income of 7.1% and 8.4%, respec tively, for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024.

The decreases in Seasonal and Transient RV and marina base rental income were primarily driven by returning competitor supply following a period of weather-related disruption, a moderation in demand and the loss of Canadian guests.

Utility and other i ncome in our Core Portfolio for the nine months ended September 30, 2025 increased $4.0 million, or 4.2%, from the same pe riod in 2024.

The increase was primarily due to an increase in utility income and pass-through income of $3.3 million and $1.4 million, r espectively, partially offset by a decrease in other property income and insurance proceeds.

The utility recovery rate (utility income divided by utility expenses) for the nine months ended September 30, 2025 and 2024 was approximately 48% and 47%, respectively.

Property Operating Expenses

Property operating expenses, excluding property management, in our Core Portfolio for the nine months ended September 30, 2025 increased $2.9 million, or 0.6%, from the same period in 2024 driven by increases in Repairs and maintenance, Utility expense and Real estate taxes of $3.8 million, $3.2 million and $1.8 million, respectively, partially offset by a decrease in Membership sales and marketing expenses of $5.7 million.

The increase in Repairs and maintenance was primarily driven by increases in lawn and common area maintenance expenses and contract repairs, partially offset by a decrease in extraordinary repairs and maintenance expenses.

The increase in Utility expense was due to increases in trash, water, sewer and electric expense, partially offset by a decrease in cable expense.

The increase in Real estate taxes was primarily due to an increase in real estate taxes in our Florida portfolio.

The decrease in Membership sales and marketing expense was primarily driven by a decrease in commissions and allowances for credit losses related to financed membership products that beginning in the first quarter of 2025 are no longer being offered.

Home Sales and Other

The following table summarizes certain financial and statistical data for Home Sales and Other Operations:

Nine Months Ended September 30,

(amounts in thousands, except home sales volumes)

2025 2024 Variance %

Gross revenues from new home sales $ 28,737 $ 55,906 $ (27,169) (48.6) %

Cost of new home sales 26,796 48,703 (21,907) (45.0) %

Gross revenues from used home sales 2,869 2,961 (92) (3.1) %

Cost of used home sales 2,995 2,329 666 28.6 %

Gross revenue from brokered resales and ancillary services 37,042 39,590 (2,548) (6.4) %

Cost of brokered resales and ancillary services 17,851 20,636 (2,785) (13.5) %

Home selling and ancillary operating expenses 20,342 20,955 (613) (2.9) %

Home sales volumes

New home sales 353 620 (267) (43.1) %

Used home sales 271 173 98 56.6 %

Brokered home resales 337 396 (59) (14.9) %

Management’s Discussion and Analysis (continued)

Gross revenues from new home sales decreased $27.2 million and Cost of new home sales decreased $21.9 million during the nine months ended September 30, 2025 com pared to the nine months ended September 30, 2024 driven by a moderation in demand, primarily in the South and West regions, disruption in demand due to hurricane events, and a change in overall sales mix, resulting in a higher percentage of lower priced homes being sold.

Rental Operations

The following table summarizes certain financial and statistical data for MH Rental Operations:

Nine Months Ended September 30,

(amounts in thousands, except rental unit volumes)

2025 2024 Variance %

Rental operations revenue (1)

$ 26,234 $ 26,170 $ 64 0.2 %

Rental home operating and maintenance expenses 3,799 4,313 (514) (11.9) %

Depreciation on rental homes (2)

7,551 7,450 101 1.4 %

Gross investment in new manufactured home rental units $ 239,937 $ 220,134 $ 19,803 9.0 %

Gross investment in used manufactured home rental units $ 13,622 $ 11,197 $ 2,425 21.7 %

Net investment in new manufactured home rental units $ 200,330 $ 180,787 $ 19,543 10.8 %

Net investment in used manufactured home rental units $ 10,441 $ 6,972 $ 3,469 49.8 %

Number of occupied rentals – new, end of period 1,905 1,795 110 6.1 %

Number of occupied rentals – used, end of period 186 217 (31) (14.3) %

______________________

(1) Consists of Site rental income and home rental income in our Core Portfolio.

Approximately $15.7 million and $15.9 million of Site rental income for the nine months ended September 30, 2025 and 2024, respectively, are included in MH base rental income within the Core Portfolio Income from Property Operations table.

The remainder of home rental income is included in Rental home income within the Core Portfolio Income from Property Operations table.

(2) Presented in Depreciation and amortization in the Consolidated Statements of Income and Comprehensive Income.

Rental operations revenues were $0.1 million, or 0.2%, higher during the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024 primarily due to an increase in the number of occupied rentals.

Miscellaneous Other Income and Expenses

The following table summarizes Other income and expenses, net:

Nine Months Ended September 30,

Quarters Ended March 31,

(amounts in thousands, expenses shown as negative)

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Other expenses (1,233) (1,878) 645 34.3 %

(2,530) (3,881) 1,351 34.8 %

Early debt retirement — (30) 30 100.0 %

Interest and related amortization (33,645) (31,136) (2,509) (8.1) %

Total other income and expenses, net $ (95,150) $ (88,939) $ (6,211) (7.0) %

_____________________

(1) Prior period amounts have been reclassified to conform to the current period presentation.

Total Other income and expenses, net decreased $9.1 million during the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024 primarily due to lower Interest and related amortization, General and administrative expenses and Other expenses, partially offset by higher Depreciation and amortization and lower Income from other investments, net.

Casualty-related charges/(recoveries), net

During the nine months ended September 30, 2025 and 2024, we recognized expenses of approximately $1.0 million and $3.5 million, respectively, related to debris removal and cleanup costs from hurricane events, with insurance recovery revenue accruals of $0.8 million and $2.5 million, respectively, related to the expenses incurred during the same periods.

During the nine months ended September 30, 2025 and 2024, we also recognized insurance recovery revenue in excess of expenses for

Management’s Discussion and Analysis (continued)

Hurricane Ian of $4.3 million and $21.5 million, respectively, within Casualty-related charges/(recoveries), net.

Gain/(Loss) on sale of real estate and impairment, net

Gain/(Loss) on sale of real estate and impairment, net was $1.1 million lower during the nine months ended September 30, 2025, compared to the nine months ended September 30, 2024, primarily due to a write down of certain assets of $0.7 million related to the discontinuation of certain capital projects in 2025 co mpared to $1.8 million as a result of Hurricane Helene in 2024.

Equity in income of unconsolidated joint ventures

Equity in income of unconsolidated joint ventures was $0.2 million lower during the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024 primarily due to decreases in net income at certain of our unconsolidated joint ventures.

Management’s Discussion and Analysis (continued)

Total other income and expenses, net decreased $6.2 million, or 7.0%, for the quarter ended March 31, 2026 compared to the same period in 2025 primarily due to higher Interest and related amortization, Depreciation and amortization and General and administrative expense.

Equity in income/(loss) of unconsolidated joint ventures

Equity in income/(loss) of unconsolidated joint ventures was $5.8 million lower during the quarter ended March 31, 2026 compared to the same period in 2025, primarily due to a distribution from an unconsolidated joint venture that refinanced a secured loan and distributed proceeds in 2025.

Liquidity and Capital Resources

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We expect similar demand for liquidity will continue for the short-term and long-term.

Our primary sources of cash include operating cash flows, proceeds from financings, borrowings under our unsecured line of credit (the “LOC”) and proceeds from issuance of equity and debt securities, including issuances under our at-the-market (“ATM”) equity offering program.

Our primary sources of cash include operating cash flows, proceeds from financings, borrowings under our unsecured Line of Credit (“LOC”) and proceeds from issuance of equity and debt securities, including issuances under our at-the-market (“ATM”) equity offering program.

One of our stated objectives is to maintain financial flexibility.

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Accessing long-term, low-cost secured debt continues to be our focus.

On November 1, 2024, we entered into a new ATM equity offering program with certain sales agents, pursuant to which we may sell, from time-to-time, shares of our common stock, par value $0.01 per share, having an aggregate offering price of up to $700.0 million.

As of September 30, 2025, the full capacity of our ATM equity offering program remained available for issuance.

As of September 30, 2025, we had available liquidity in the form of approximately 406.2 million shares of authorized and unissued common stock, par value $0.01 per share, and 10.0 million shares of authorized and unissued preferred stock registered for sale under the Securities Act of 1933, as amended.

As of March 31, 2026 and December 31, 2025, secured debt encumbered a total of 112 of our Properties, and the gross carrying value of such Properties was approximately $3,284.3 million and $3,266.6 million, respectively.

On November 1, 2024, we entered into our current ATM equity offering program with certain sales agents, pursuant to which we may sell, from time-to-time, shares of our common stock, par value $0.01 per share, having an aggregate offering price of up to $700.0 million.

As of March 31, 2026, the full capacity of our current ATM equity offering program remained available for issuance.

As of March 31, 2026, we had available liquidity in the form of approximately 406.1 million shares of authorized and unissued common stock, par value $0.01 per share, and 10.0 million shares of authorized and unissued preferred stock registered for sale under the Securities Act of 1933, as amended.

We also utilize interest rate swaps to add stability to our interest expense and to manage our exposure to interest rate movements.

1 unchanged sentence

The changes in the fair value of the designated derivative are recorded in Accumulated other comprehensive income/(loss) on the Consolidated Balance Sheets and subsequently reclassified into earnings on the Consolidated Statements of Income and Comprehensive Income in the period that the hedged forecasted transaction affects earnings.

For additional information regarding our interest rate swaps, see Part I.

For additional information

Management’s Discussion and Analysis (continued)

regarding our interest rate swaps, see Part I.

Financial Statements—Note 7.

Derivative Instruments and Hedging .

Derivative Instruments and Hedging Activities .

We expect to meet our short-term liquidity requirements, including principal payments, capital improvements and dividend distributions for the next twelve months, generally through available cash, net cash provided by operating activities, issuances of equity under our ATM equity offering program and our LOC.

As of September 30, 2025, our LOC had a borrowing capacity of $454.9 million.

As of March 31, 2026, our LOC had a remaining borrowing capacity of $410.4 million with the option to increase the borrowing capacity by $200.0 million, subject to certain conditions.

The LOC bears interest at a rate of SOFR plus 0.10% plus 1.25% to 1.65% and requires an annual facility fee of 0.20% to 0.35%.

We expect to meet certain long-term liquidity requirements, such as scheduled debt maturities, property acquisitions and capital improvements, using long-term collateralized and uncollateralized borrowings, including the existing LOC and the issuance of debt securities or the issuance of equity including under our ATM equity offering program.

The following table summarizes our cash flows activity:

For the nine months ended September 30,

For the quarters ended March 31,

(amounts in thousands) 2026 2025

2 unchanged sentences

Net cash used in financing activities (136,832) (128,169)

Net increase in cash and restricted cash $ 14,715 $ 10,461

Net increase (decrease) in cash and restricted cash $ 13,104 $ 22,900

Operating Activities

Net cash provided by operating activities decreased $19.7 million to $471.7 million for the nine months ended September 30, 2025 from $491.4 million for the nine months ended September 30, 2024.

The decrease in net cash provided by operating activities was primarily due to increases in cash outflows related to manufactured homes, net and accounts payable and other liabilities, partially offset by a decrease in cash outflows related to business interruption insurance proceeds, net and an increase in cash inflows related to notes receivable, net.

Management’s Discussion and Analysis (continued)

Net cash provided by operating activities increased $0.8 million to $194.2 million for the quarter ended March 31, 2026 from $193.4 million for the quarter ended March 31, 2025.

The increase in net cash provided by operating activities was primarily due to an increase in cash inflows related to accounts payable and other liabilities, partially offset by an increase in cash outflows related to manufactured homes, net, a decrease in cash inflows in other assets, net and a decrease in net income.

The following table summarizes our purchase and sale activity of manufactured homes:

For the nine months ended September 30,

For the quarters ended March 31,

(amounts in thousands)

3 unchanged sentences

Investing Activities

Net cash used in investing activities increased $71.8 million to $223.7 million for the nine months ended September 30, 2025 from $151.9 million for the nine months ended September 30, 2024.

The increase was primarily driven by the $56.1 million term loan to RVC and decreases in proceeds from insurance claims, net and distributions of capital from unconsolidated joint ventures.

Net cash used in investing activities increased $2.0 million to $44.3 million for the quarter ended March 31, 2026 from $42.3 million for the quarter ended March 31, 2025.

The increase was primarily driven by cash outflows related to capital improvements and decreases in distributions of capital from unconsolidated joint ventures and proceeds from insurance claims, net, offset by a decrease in investment in unconsolidated joint ventures.

Capital Improvements

The following table summarizes capital improvements:

For the nine months ended September 30,

For the quarters ended March 31,

(amounts in thousands) 2026 2025

2 unchanged sentences

Improvements and renovations (2)

27,851 22,728

Property upgrades and development (3)

5 unchanged sentences

______________________

Management’s Discussion and Analysis (continued)

(1) Includes upkeep of property infrastructure including utilities and streets and replacement of community equipment and vehicles.

(2) Includes enhancements to amenities such as buildings, common areas, swimming pools and replacement of furniture and site amenities.

(3) Includes $19.0 million and $12.3 million of restoration and improvement capital expenditures related to hurricane events for the nine months ended September 30, 2025 and 2024, respectively.

(3) Includes $3.2 million and $7.4 million of restoration and improvement capital expenditures related to hurricane events for the quarters ended March 31, 2026 and 2025, respectively.

(4) Includes capital expenditures to improve the infrastructure required to set manufactured homes.

Financing Activities

Net cash used in financing activities decreased $95.8 million to $233.3 million for the nine months ended September 30, 2025 from $329.0 million for the nine months ended September 30, 2024.

The decrease was primarily due to lower net debt repayments of $119.0 million, partially offset by increases in distributions to common stock and OP unit holders of $27.5 million.

Net cash used in financing activities increased $8.6 million to $136.8 million for the quarter ended March 31, 2026 from $128.2 million for the quarter ended March 31, 2025.

The increase was primarily due to an increase in distributions to common stock holders of $8.6 million.

Contractual Obligations

3 unchanged sentences

Off-Balance Sheet Arrangements

As of September 30, 2025, we have no off-balance sheet arrangements.

As of March 31, 2026, we have no off-balance sheet arrangements.

Critical Accounting Policies and Estimates

1 unchanged sentence

Management’s Discussion and Analysis of Financial Condition and Results of Operations in our 2025 Form 10-K for a discussion of our critical accounting policies.

There have been no significant changes to our critical accounting policies and estimates during the quarter ended September 30, 2025.

Management’s Discussion and Analysis (continued)

There have been no significant changes to our critical accounting policies and estimates during the quarter ended March 31, 2026.

Forward-Looking Statements

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

• impact of the COVID-19 pandemic or other highly infectious or contagious diseases on our business operations, our residents, our customers, our employees and the economy generally;

• impact of public health crises, such as highly infectious or contagious diseases on our business operations, our residents, our customers, our employees and the economy generally;

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

3 unchanged sentences

• the effect of potential damage from natural disasters, including hurricanes and other weather-related events, which could result in substantial costs to our business;

Management’s Discussion and Analysis (continued)

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

16 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 2. Management’s Discussion and Analysis