ELS Announces Jury Verdict in California Lawsuit

  ELS Announces Jury Verdict in California Lawsuit

Business Wire

CHICAGO -- April 15, 2014

Equity LifeStyle Properties, Inc. (NYSE:ELS) (referred to herein as “we,”
“us,” and “our”) announces that on April 14, 2014, a jury in the California
Superior Court for Santa Clara County, Case No. 109CV140751, entered a verdict
in the total amount of $15.3 million against our operating partnership in
favor of certain plaintiffs who are current or former residents of our
California Hawaiian manufactured home property located in San Jose, California
(the "Property").

The Property is subject to California’s extensive regulations for mobilehome
parks as well as the City of San Jose’s mobilehome rent control ordinance. The
plaintiffs, whose sites comprise only approximately 10% of the Property's
total number of sites, asserted that we had failed to maintain the physical
improvements in the Property’s common facilities in good working order and
condition. Approximately 75% of the jury award was for emotional distress
damages.

The verdict included a finding that punitive damages may be awarded. An
additional hearing will be held to determine the amount of punitive damages,
if any.

Marguerite Nader, our Chief Executive Officer, commented: “This Property is a
well-located, 100% occupied, institutional quality asset that received the
Manufactured Housing Institute’s Community of the Year award in 2012. We
disagree with the verdict and will vigorously seek to overturn it in the trial
court or on appeal.”

This press release includes certain “forward-looking statements” within the
meaning of the Private Securities Litigation Reform Act of 1995. When used,
words such as “anticipate,” “expect,” “believe,” “project,” “intend,” “may be”
and “will be” and similar words or phrases, or the negative thereof, unless
the context requires otherwise, are intended to identify forward- looking
statements and may include, without limitation, information regarding our
expectations, goals or intentions regarding the future, and the expected
effect of our recent acquisitions. These forward-looking statements are
subject to numerous assumptions, risks and uncertainties, including, but not
limited to:

  *our ability to control costs, real estate market conditions, the actual
    rate of decline in customers, the actual use of sites by customers and our
    success in acquiring new customers at our properties (including those that
    we may acquire);
  *our ability to maintain historical or increase future rental rates and
    occupancy with respect to properties currently owned or that we may
    acquire;
  *our ability to retain and attract customers renewing, upgrading and
    entering right-to-use contracts;
  *our assumptions about rental and home sales markets;
  *our assumptions and guidance concerning 2014 estimated net income, FFO and
    Normalized FFO;
  *our ability to manage counterparty risk;
  *in the age-qualified properties, home sales results could be impacted by
    the ability of potential homebuyers to sell their existing residences as
    well as by financial, credit and capital markets volatility;
  *results from home sales and occupancy will continue to be impacted by
    local economic conditions, lack of affordable manufactured home financing
    and competition from alternative housing options including site-built
    single-family housing;
  *impact of government intervention to stabilize site-built single family
    housing and not manufactured housing;
  *effective integration of recent acquisitions and our estimates regarding
    the future performance of recent acquisitions;
  *the completion of transactions in their entirety and future transactions,
    if any, and timing and effective integration with respect thereto;
  *unanticipated costs or unforeseen liabilities associated with recent
    acquisitions;
  *ability to obtain financing or refinance existing debt on favorable terms
    or at all;
  *the effect of interest rates;
  *the dilutive effects of issuing additional securities;
  *the effect of accounting for the entry of contracts with customers
    representing a right-to-use the Properties under the Codification Topic
    “Revenue Recognition;” and
  *other risks indicated from time to time in our filings with the Securities
    and Exchange Commission.

These forward-looking statements are based on management's present
expectations and beliefs about future events. As with any projection or
forecast, these statements are inherently susceptible to uncertainty and
changes in circumstances. We are under no obligation to, and expressly
disclaims any obligation to, update or alter its forward-looking statements
whether as a result of such changes, new information, subsequent events or
otherwise.

We own or have an interest in 379 quality properties in 32 states and British
Columbia consisting of 140,333 sites. We are a self-administered, self-managed
real estate investment trust (“REIT”) with headquarters in Chicago.

Contact:

Equity LifeStyle Properties, Inc.
Paul Seavey, (312) 279-1488
 
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