Sun Communities’ Manufactured-Housing Income Jumps 6.9% as RV Business Slips

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Manufactured-housing communities were the clear growth engine for Sun Communities in the third quarter, as same-property net operating income increased 6.9% in that segment while the company’s recreational-vehicle business posted a 1.3% decline.

Sun reported its third-quarter results on October 26 at 4:08 p.m. Eastern. Across both segments, same-property NOI increased 3.6%. Core funds from operations were $2.35 per share, compared with $2.28 a year earlier.

Manufactured Housing Outperforms RV Communities

The divergence matters for investors and operators tracking demand for manufactured housing as a comparatively attainable form of housing. Sun’s same-property adjusted blended occupancy across manufactured housing and RV was 98.8% at September 30, compared with 99.3% a year earlier. The company’s separate occupancy measure for manufactured-housing and annual RV sites was 98.2%, compared with 98.4% a year earlier.

Sun issued preliminary 2027 full-year rental-rate guidance of 5.4% for manufactured housing and 4.4% for annual RV sites. These figures are company expectations, not rent increases already collected.

Sun also updated its 2026 guidance, projecting core FFO of $7.01 per share at the midpoint and North American same-property NOI growth of 4.9%–5.3% for the year.

Portfolio Reshaping Continues

The company completed the sale of its United Kingdom business on September 22, generating approximately $1.03 billion in net proceeds. Sun said it used proceeds primarily for share repurchases and other balance-sheet and investment activities. After quarter-end, it acquired two manufactured-housing properties in the Pacific Northwest for total consideration of $79.5 million.

Sun’s results point to continued strength in its manufactured-housing operations, even as its RV segment faces weaker comparable-property performance. The figures represent one major operator’s portfolio, not a nationwide measure of manufactured-housing rents or occupancy.

Source: Sun Communities, third-quarter 2026 earnings release.