Sun Communities Inc., one of the largest owners of manufactured housing and recreational vehicle communities in the U.S., reported second-quarter 2026 results July 27 that beat its own guidance, alongside an agreement to sell its United Kingdom vacation-home business for roughly $1.04 billion.
Core funds from operations came in at $1.84 per share, up 4.5% from $1.76 a year earlier and above the high end of the company’s prior guidance range, according to the earnings release. Same-property net operating income across the portfolio grew 6.0% in the quarter, with the manufactured housing segment posting 8.8% same-property NOI growth against a 0.7% decline in the RV segment; over the first six months of the year, the two segments grew 7.5% and 2.0%, respectively. Occupancy across manufactured housing and annual RV sites stood at 97.9% as of June 30, while same-property adjusted blended occupancy was 98.8%, down 10 basis points from a year earlier.
“We delivered another strong quarter, exceeding the high end of our guidance while demonstrating the strength of our Manufactured Housing and RV portfolio,” said Charles Young, Sun Communities’ chief executive officer, in the release.
The company also disclosed an agreement to sell Park Holidays, its United Kingdom vacation-home and holiday-park operation, for Β£785.7 million, or approximately $1.04 billion, with the sale expected to close in the second half of 2026. Separately, Sun Communities sold six RV properties for $9.1 million during the quarter and repurchased $111.1 million of its own stock. The UK sale would mark a significant narrowing of the company’s geographic footprint toward its core North American manufactured housing and RV business.
Sun Communities raised its full-year 2026 guidance following the quarter, projecting Core FFO per share of $6.94 to $7.10 and same-property NOI growth of 4.5% to 5.3%, an increase of 20 basis points at the midpoint from its prior outlook. The RV segment’s decline was driven by transient RV revenue falling 4.8% year over year, the company said, even as expense management partially offset the drop.
As of June 30, Sun Communities operated 455 properties comprising about 156,130 developed sites across the U.S. and Canada, with the 54 U.K. properties and roughly 22,030 sites now classified as discontinued operations ahead of the sale. Total debt stood at $4.05 billion with a weighted average interest rate of 3.35%, and net debt to trailing-twelve-month recurring EBITDA was 3.9 times; total assets fell to $10.87 billion from $12.52 billion at the end of 2025, reflecting a valuation allowance tied to the UK business. Management said the UK sale “further simplifies our business and sharpens our focus on our core portfolio.”
The results add to a mixed but generally solid second-quarter earnings season among housing-adjacent REITs. Digital Realty Trust beat estimates and raised its own guidance in its most recent quarter on data center demand, while other residential-adjacent REITs have shown more strain: Prologis has been pursuing a takeover of European rival Segro as large real estate companies continue to reshape their portfolios through both operational growth and larger strategic transactions.
What it means: The FFO figures, occupancy rates and guidance numbers are Sun Communities’ own reported results. The characterization of the UK sale as a strategic narrowing toward North America is the company’s own stated rationale, not RealtyWire’s inference. What to watch: whether the Park Holidays sale closes on schedule in the second half of 2026, and whether RV segment same-property NOI stabilizes after the quarter’s decline.
