Sun Communities Inc. (NYSE: SUI) will divest its UK assets for approximately $1.03 billion (£768 million), cementing its strategy to become a pure-play North American real estate investment trust focused on manufactured housing (MH) and recreational vehicle (RV) communities.
"This exciting transaction allows us to focus on and drive growth through our core North American MH and RV platform," Charles Young, Sun’s Chief Executive Officer, said. "We will remain disciplined in our capital allocation approach, which includes investing in our high-quality communities, identifying attractive external MH and RV growth opportunities and returning capital to shareholders."
The all-cash sale of the Park Holidays business to funds affiliated with Aermont Capital will reshape Sun’s portfolio, with North American MH and RV properties expected to generate approximately 95 percent of the company’s total net operating income (NOI) post-transaction. The deal has an enterprise value of £768 million and is subject to customary locked box adjustments.
By exiting the UK market, Sun Communities aims to increase its exposure to more predictable, durable income streams from its North American assets, improving its growth and margin profiles. The company stated the proceeds will be used to enhance liquidity and strengthen its credit profile, providing greater financial flexibility for future investments and shareholder returns.
The sale marks a significant strategic shift for the REIT, sharpening its focus on the North American market where it operates a substantial portfolio. As of March 31, 2026, Sun owned or had an interest in 515 properties comprising approximately 179,300 sites across the United States, Canada, and the United Kingdom. This transaction effectively concentrates its operational footprint.
The deal is expected to close in the second half of 2026, contingent on customary closing conditions, including regulatory approval from the UK’s Financial Conduct Authority. There is no assurance that the transaction will be completed. Lazard is acting as the financial advisor to Sun Communities, while Rothschild & Co is advising Aermont.
This article is for informational purposes only and does not constitute investment advice.
