Equity Lifestyle Properties (ELS) risk factors, FY2025 10-K

Risks Relating to Our Operations and Real Estate Investments

1. 01The Economic Performance and Value of Our Properties Are Subject to Risks Associated with the Real Estate Industry
2. 02Significant Inflation Could Negatively Impact Our Business
3. 03General Economic Conditions and Economic Downturns in Markets with a Large Concentration of Our Properties May Adversely Affect Our Financial Condition, Results of Operations, Cash Flows and Ability to Make Distributions
4. 04Certain of Our Properties, Primarily Our RV Communities and Marinas, are Subject to Seasonality and Cyclicality
5. 05Our Properties May Not Be Readily Adaptable to Other Uses
6. 06Competition for Acquisitions May Result in Increased Prices for Properties and Associated Costs and Increased Costs of Financing
7. 07New Acquisitions May Fail to Perform as Expected and the Intended Benefits May Not Be Realized, Which Could Have a Negative Impact on Our Operations and the Market Price of Our Common Stock
8. 08Development and Expansion Properties May Fail to Perform as Expected and the Intended Benefits May Not Be Realized, Which Could Have a Negative Impact on Our Operations and the Market Price of Our Common Stock27% rewritten
9. 09We Regularly Expend Capital to Maintain, Repair and Renovate Our Properties, Which Could Negatively Impact Our Financial Condition, Results of Operations and Cash Flows
10. 10Our Ability to Renew Ground Leases Could Adversely Affect Our Financial Condition and Results of Operations21% rewritten
11. 11Our Ability to Sell or Rent Manufactured Homes Could Be Impaired, Resulting in Reduced Cash Flows
12. 12Regulation of Chattel Financing May Affect Our Ability to Sell Homes
13. 13There is a Risk of Accidents, Injuries or Disease Outbreaks Occurring at Our Properties Which May Negatively Impact Our Operations33% rewritten
14. 14Our Success Depends on Our Talented Employees, Management, Directors and Key Personnel
15. 15Our Business Operations are Dependent on the Effective Operation of Technology
16. 16Public health crises, such as an Epidemic or a Pandemic, Could Materially and Adversely Impact or Disrupt Our Business Including Our Financial Condition, Results of Operations and Cash Flows
17. 17We May Experience a Decline in the Fair Value of Our Properties or Investments in Joint Ventures and Be Forced to Recognize Impairment Charges, Which Could Adversely Impact Our Financial Condition, Liquidity and Results of Operations and the Market Price of Our Common StockNew

Risks Relating to Governmental Regulation and Potential Litigation

1. 18Changes to Federal and State Laws and Regulations Could Adversely Affect Our Operations and the Market Price of Our Common Stock42% rewritten
2. 19Occupational, Safety and Health Act
3. 20Americans with Disabilities Act
4. 21Laws and Regulations Relating to Campground Membership Sales and Properties Could Adversely Affect the Value of Certain Properties and Our Cash Flows
5. 22Litigation Risk Could Materially and Adversely Affect Our BusinessNew
6. 23Natural Disasters Have and Could in the Future Adversely Affect the Value of Our Properties, Our Financial Condition, Results of Operations and Cash Flows25% rewritten
7. 24Changes in Weather Patterns May Adversely Impact Our Business
8. 25Environmental and Utility-Related Problems are Possible and Can Be Costly
9. 26Stakeholder Evaluations of Sustainability Matters May Impact Our Ability to Attract Investors and Could Have a Negative Impact on Our Reputation

Risks Relating to Debt and the Financial Markets

1. 27Our Substantial Indebtedness Could Adversely Affect Our Financial Condition and Results of Operations
2. 28Our Ability to Obtain Mortgage Financing or Refinance Maturing Mortgages May Adversely Affect Our Financial Condition
3. 29Financial Covenants Could Adversely Affect Our Financial Condition
4. 30Our Degree of Leverage Could Limit Our Ability to Obtain Additional Financing22% rewritten
5. 31We May Be Able to Incur Substantially More Debt, Which Would Increase the Risks Associated With Our Substantial Leverage

Risks Related to Our Company Ownership

1. 32Provisions of Our Charter and Bylaws Could Inhibit Changes of Control
2. 33Maryland Law Imposes Certain Limitations on Changes of Control
3. 34Changes in Our Investment and Financing Policies May Be Made Without Stockholder Approval
4. 35Our Business Ethics and Conduct Policy May Not Adequately Address All Actual or Perceived Conflicts of Interest That May Arise With Respect to Our Activities

Risks Relating to Our Common Stock

1. 36We Depend on Our Subsidiaries’ Dividends and Distributions
2. 37Fluctuations in Market Interest Rates May Have an Effect on the Value of Our Common Stock
3. 38Issuances or Sales of Our Common Stock May Be Dilutive
4. 39Our Share Price Could Be Volatile and Could Decline, Resulting in A Substantial or Complete Loss on Our Stockholders’ Investment

Risks Relating to REITs and Income Taxes

1. 40We are Dependent on External Sources of Capital
2. 41We Have a Stock Ownership Limit for REIT Tax Purposes
3. 42Our Qualification as a REIT Is Dependent on Compliance with U.S. Federal Income Tax Requirements
4. 43In addition, legislation, changes in regulations, administrative interpretations or court decisions might significantly change the tax laws with respect to the requirements for qualification as a REIT or the U.S. federal income tax consequences of qualification as a REIT
5. 44We May Pay Some Taxes, Reducing Cash Available for Stockholders
6. 45Dividends Payable by REITs Generally Do Not Qualify For the Reduced Tax Rates Available For Some Dividends, Which May Negatively Affect the Value of Our Shares
7. 46Partnership Tax Audit Rules Could Have a Material Adverse Effect on Us
8. 47We May be Subject to Adverse Legislative or Regulatory Tax Changes That Could Reduce the Market Price of Our Outstanding Common or Preferred Shares
9. 48We May Identify Material Weaknesses in the Future or Otherwise Fail to Establish and Maintain Effective Internal Control Over Financial Reporting, Which Could Have a Material Adverse Effect on Our Business and Stock Price
10. 49We May Face Litigation and Other Risks as a Result of the Classification Error and Related Material Weakness in Our Internal Control Over Financial Reporting
11. 50Some Potential Losses Are Not Covered by Insurance
12. 51We Face Risks Relating to Cybersecurity Incidents and Privacy Laws
13. 52Social Media Platforms Could Cause Us to Suffer Brand Damage or Information Leakage