ELS Closes on Two More Portfolio Properties for $82 Million

Equity LifeStyle Properties, Inc. (NYSE:ELS) recently closed on two more properties from its 75-property portfolio for which it entered into purchase agreement earlier this year.

This most recent closing was for a stated purchase price of approximately $82 million, funded by issuing about $29 million worth of the company’s Series B Preferred Stock to the seller, assuming approximately $35 million in mortgage debt secured by the two properties, and approximately $18 million of cash.

The cash was obtained from the proceeds of previously announced financings that were originated during the previous quarter that ended on Sept. 30.


ELS has now closed on 60 of the portfolio’s properties since July 1, 2011, and expects to close eight more by Oct. 14, and another seven by Nov. 1.

As a result of underwriting issues related to the Clinton Acquisition property, ELS and the property’s seller have agreed to terminate ELS’ acquisition of the property, with the agreement that ELS may reinstate the acquisition at any time on or prior to Dec. 31, 2011. The company is continuing to perform due diligence on the Clinton property and therefore is unable to provide a current estimate of a closing date for this property.

Written by Alyssa Gerace