Equity Lifestyle Properties is a real estate investment trust focusing on manufactured home communities and RV resorts, and campgrounds. The REIT has been in business for over 50 years and has a property portfolio spread out across 33 US states and British Columbia in Canada. Famous real estate investor Sam Zell founded Equity Lifestyle Properties. Real estate has been a popular area for investment in recent times. Home prices are going up, and housing activity is at a high. Low interest rates are aiding home purchases, and the pandemic may have prompted a specific section of the US population to move away from urban centres. If you are looking for REIT stocks to invest in now, Equity LifeStyle Properties could be an attractive bet.
More About Equity LifeStyle Properties
Equity LifeStyle Properties earns about 48% of its revenue from RV resorts and campgrounds. Such sub-segments are poised to benefit from the pandemic as people prefer outdoor vacations and personal travel in RVs than traditional travel in crowded indoor environments. Equity LifeStyle Properties also seems to be playing on the demographic trend of 17% projected growth in the population of people aged 55 years and older. Studies suggest that the average manufactured home resident and the RV customer is aged 55 or older. Low-interest rates have also made the debt for Equity LifeStyle Properties cheaper. Its weighted average interest rate as of March 2021 was 3.7%. Equity LifeStyle Properties is among the best REIT stock if you are looking at residential plays.
Equity LifeStyle Properties trades on the New York stock exchange under the ticker symbol ELS. The stock closed at $70.86 on 28th May 2021. It was trading at a dividend yield of 2.05% at the time. The stock is very close to its 52-week high of $71.87. The dividend growth since 2006 is at a CAGR of 23%.