If you are going to invest for the long term, then you want the investment to grow steadily while also give you some sort of regular income. You want to invest in a business that has a steady demand outlook 5 to 10 years from now. Investors who are more inclined towards retirement will want to see more cash flow or dividend payouts. On the other hand, investors who are younger will want to see more capital appreciation. REITs are a great way to participate in the currently booming real estate sector while fulfilling long-term investment goals. Equity LifeStyle Properties is one of Sam Zell’s companies. Sam is one of the most successful real estate investors in the US and has appeared in many interviews and discussions. He is betting on manufactured homes through Equity LifeStyle Properties. Therefore, if buying residential stock in 2021 is one of your goals, then taking a look at Equity LifeStyle may be well worth your time.
More on Equity LifeStyle’s Real Estate Portfolio
Equity LifeStyle Properties holds a portfolio of 422 properties spread out across the US and Canada. Manufactured homes range from 400 square feet to 2000 square feet in size. The land on which these manufactured homes are set up can also accommodate RVs. Usually, Equity LifeStyle owns the land on which customers set up homes. The homes are manufactured off-site by third-party entities. Equity LifeStyle designs its property layout to resemble a resort. There is a clubhouse for social activity and outdoor amenities like swimming pool, tennis courts, basketball courts, etc. Some of Equity LifeStyle’s properties are for senior living. Manufactured homes and RV homes are growth segments within residential real estate. Therefore, Equity LifeStyle Properties appears to be a decent prospect as far as residential stock long term investment is concerned.
Equity LifeStyle Properties’ stock has grown by a significant 128% over a 5-year period as measured in September 2021. The stock has risen 80% since falling during the March 2020 market crash. The REIT has also grown its dividend from $0.75 per share in 2015 to $1.37 per share in 2020.