Sun Communities announced Tuesday that it had acquired Dallas-based Safe Harbor Marinas for $2.11 billion.
Safe Harbor owns and operates 101 marinas in the U.S. with a network of nearly 40,000-member boat owners in 22 states. Sun Communities said the purchase diversifies its geographic and demographic footprint.
The Dallas offices of Sidley Austin handled the deal with a team led by partner Bill Howell. He was backed by associates Courtney Gilberg, Jack Zeringue and Stacy Gulledge, also from the Dallas office.
Citizens Capital Markets also acted as Safe Harbor’s financial advisor.
Citigroup acted as financial advisor to the Sun Communities and Jaffe, Raitt, Heuer & Weiss advised on legal matters.
The acquisition is expected to account for approximately 15% of the Company’s pro forma total annual rental revenue in 2021.
Safe Harbor’s full operating team, led by CEO Baxter Underwood, will continue to operate Safe Harbor as a Sun Communities subsidiary.
Said Underwood: “We have spent a number of years getting to know Sun and are impressed with their leadership team and track record of consistently growing value for all their stakeholders. Safe Harbor will operate independently from Sun’s other businesses, but we will benefit from their tremendous strength.
“Safe Harbor’s scale and unique positioning, coupled with the fragmented marina industry, should provide us with incremental channels to drive shareholder value in the coming years,” said Gary Shiffman, Sun chair and CEO. “This transaction increases our geographic and customer diversity and introduces a new platform that can enhance our ability to generate industry leading returns.”