we acquired 33 properties , which we will operate as 31 communities , on november 26 , 2014 , and the remaining 26 properties on january 6 , 2015. we continue to experience an active pipeline of acquisition opportunities and will seek to enhance the growth of the company through continued selective acquisitions . in december 2014 , we announced that we entered into an agreement to purchase six mh communities which is expected to close during the second quarter of 2015 , comprised of approximately 3,150 sites located in the orlando , florida area and with expansion potential of approximately 380 sites . the transaction is subject to the company 's satisfaction with its due diligence investigation and customary closing conditions , including consent of the existing lenders . we continually review the properties in our portfolio to ensure that they fit our business objectives . during 2014 , we sold 10 mh properties , and redeployed capital to properties in markets we believe have greater long-term potential . a gain of $ 17.7 million is recorded in `` gain on disposition of properties , net `` in our consolidated statements of operations . development activity : we have been focused on development and expansion opportunities adjacent to our existing communities , and we have developed nearly 1,400 sites over the past three years . we expanded 374 sites at three properties in 2014 . the total cost to construct the sites was approximately $ 11.0 million . we continue to expand our properties utilizing our inventory of owned and entitled land ( approximately 7,000 developed sites ) and expect to construct over 800 additional sites in 2015 . 38 sun communities , inc. capital activity : we closed two underwritten registered public offerings during 2014 totaling 11.7 million shares of common stock with net proceeds of approximately $ 562.9 million after deducting offering related expenses . proceeds from these capital raises help us to maintain our targeted leverage levels while continuing to expand our portfolio . markets the following table identifies the company 's largest markets by number of sites : replace_table_token_14_th a large geographic concentration of our properties continues to be in michigan , florida and texas . occupancy at our michigan communities has grown from 85 % in 2012 to 93 % in 2014 , occupancy at our texas communities has grown from 94 % in 2012 to 97 % in 2014 , while occupancy at our florida communities has remained consistent at 99 % . as a result of our recent acquisitions , we have increased the concentration of our properties located in other areas of the united states , predominantly in high growth areas and retirement and vacation destinations , such as arizona , california and the northeastern coastal areas . several of our acquisitions in these areas have been rv communities . through our expansion into rv communities , we have experienced strong revenue growth . the age demographic of rv communities is attractive , as the population of retirement age baby boomers in the u.s. is growing . rv communities have become a trending vacation opportunity not only for the retiree population , but as an affordable vacation alternative for families . 39 sun communities , inc. supplemental measures in addition to the results reported in accordance with generally accepted accounting principles in the united states ( “ gaap ” ) , we have provided information regarding noi in the following tables . noi is derived from revenues minus property operating and maintenance expenses and real estate taxes . we use noi as the primary basis to evaluate the performance of our operations . a reconciliation of noi to net income ( loss ) attributable to sun communities , inc. is included in “ results of operations ” below . we believe that noi is helpful to investors and analysts as a measure of operating performance because it is an indicator of the return on property investment , and provides a method of comparing property performance over time . we use noi as a key management tool when evaluating performance and growth of particular properties and or groups of properties . the principal limitation of noi is that it excludes depreciation , amortization , interest expense , and non-property specific expenses such as general and administrative expenses , all of which are significant costs , and therefore , noi is a measure of the operating performance of our properties rather than of the company overall . we believe that these costs included in net income ( loss ) often have no effect on the market value of our property and therefore limit its use as a performance measure . in addition , such expenses are often incurred at a parent company level and therefore are not necessarily linked to the performance of a real estate asset . noi should not be considered a substitute for the reported results prepared in accordance with gaap . noi should not be considered as an alternative to net income ( loss ) as an indicator of our financial performance , or to cash flows as a measure of liquidity ; nor is it indicative of funds available for our cash needs , including our ability to make cash distributions . noi , as determined and presented by us , may not be comparable to related or similarly titled measures reported by other companies . we also provide information regarding funds from operations ( “ ffo ” ) . we consider ffo an appropriate supplemental measure of the financial performance of an equity reit . story_separator_special_tag million primarily related to increases in our vacation rental income and golf course , restaurant and pro shop income , as a result of our acquisition of 14 rv communities during 2013. interest income increased primarily due to increases in interest income of $ 1.3 million from collateralized receivables and $ 0.7 million from installment note receivables . real property general and administrative costs increased primarily due to increased salaries , wages and bonus expense of $ 2.1 million as a result of our acquisitions and increased headcount year over year , increased health insurance and workers compensation costs of $ 0.5 million , increased deferred compensation of $ 1.7 million due to awards of restricted stock to our executives and key employees , increased other expenses of $ 0.9 million related to training and development , travel , consulting fees , software support and maintenance expenses , office expenses and rent , increased human resources expense of $ 0.3 million primarily related to pre-employment costs and an update to our payroll processing software and increased legal expense of $ 0.3 million . home sales and rentals general and administrative costs increased primarily due to increased salary expense of $ 0.5 million , increased health insurance costs of $ 0.2 million , increased commissions on home sales of $ 0.3 million , increased advertising expense of $ 0.3 million and increased utility expense of $ 0.2 million . depreciation and amortization costs increased as a result of additional depreciation and amortization of $ 9.5 million primarily related to our newly acquired properties ( see note 2 to our financial statements ) , $ 6.9 million related to depreciation on investment property for use in our rental program , $ 2.3 million related to the amortization of in place leases and promotions , and $ 1.7 million related to the write off of the remaining net book value for assets replaced during the year . interest expense on debt , including interest on mandatorily redeemable debt , increased primarily due to an increase of $ 1.8 million in our mortgage interest due to debt associated with the acquired properties ( see note 2 to our financial statements ) , an increase of $ 1.5 million in amortized financing costs , an increase of $ 1.3 million in interest expense on our secured borrowing arrangements , and an increase of $ 0.9 million in interest on our lines of credit , partially offset by a decrease in preferred op unit interest expense . distributions from affiliate decreased approximately $ 1.7 million . we suspended equity accounting in 2010 on our affiliate , origen , as our investment balance is zero . the income recorded in 2013 and 2012 is distribution income . the amount of the distribution is determined by origen on a quarterly basis . see note 7 to our financial statements . 52 sun communities , inc. funds from operations we provide information regarding ffo as a supplemental measure of operating performance . ffo is defined by nareit as net income ( loss ) ( computed in accordance gaap ) , excluding gains ( or losses ) from sales of depreciable operating property , plus real estate-related depreciation and amortization , and after adjustments for unconsolidated partnerships and joint ventures . due to the variety among owners of identical assets in similar condition ( based on historical cost accounting and useful life estimates ) , we believe excluding gains and losses related to sales of previously depreciated operating real estate assets , excluding impairment and excluding real estate asset depreciation and amortization provides a better indicator of our operating performance . ffo is a useful supplemental measure of our operating performance because it reflects the impact to operations from trends in occupancy rates , rental rates , and operating costs , providing perspective not readily apparent from net income ( loss ) . management believes that the use of ffo has been beneficial in improving the understanding of operating results of reits among the investing public and making comparisons of reit operating results more meaningful . management , the investment community , and banking institutions routinely use ffo , together with other measures , to measure operating performance in our industry . further , management uses ffo for planning and forecasting future periods . because ffo excludes significant economic components of net income ( loss ) including depreciation and amortization , ffo should be used as an adjunct to net income ( loss ) and not as an alternative to net income ( loss ) . the principal limitation of ffo is that it does not represent cash flow from operations as defined by gaap and is a supplemental measure of performance that does not replace net income ( loss ) as a measure of performance or net cash provided by operating activities as a measure of liquidity . in addition , ffo is not intended as a measure of a reit 's ability to meet debt principal repayments and other cash requirements , nor as a measure of working capital . ffo only provides investors with an additional performance measure . ffo is compiled in accordance with its interpretation of standards established by nareit , which may not be comparable to ffo reported by other reits that do not define the term in accordance with the current nareit definition or that interpret the current nareit definition differently . 53 sun communities , inc. the following table reconciles net income to ffo data for diluted purposes for the years ended december 31 , 2014 , 2013 and 2012 ( in thousands ) : replace_table_token_30_th 54 sun communities , inc. liquidity and capital resources our principal liquidity demands have historically been , and are expected to continue to be , distributions to our stockholders and the unitholders of the operating partnership , capital improvements to properties , the purchase of new and pre-owned homes , property acquisitions , development and expansion

cash and cash equivalents increased by $ 78.7 million from $ 4.8 million as of december 31 , 2013 , to $ 83.5 million as of december 31 , 2014 . net cash provided by operating activities increased by $ 18.6 million from $ 114.7 million for the year ended december 31 , 2013 to $ 133.3 million for the year ended december 31 , 2014 . our net cash flows provided by operating activities from continuing operations may be adversely impacted by , among other things : ( a ) the market and economic conditions in our current markets generally , and specifically in metropolitan areas of our current markets ; ( b ) lower occupancy and rental rates of our properties ; ( c ) increased operating costs , such as wage and benefit costs , insurance premiums , real estate taxes and utilities , that can not be passed on to our tenants ; ( d ) decreased sales of manufactured homes and ( e ) current volatility in economic conditions and the financial markets . see part i , item 1a , “ risk factors ” in this 10-k. investing activities net cash used in investing activities was $ 550.7 million for the year ended december 31 , 2014 , compared to $ 352.4 million for the year ended december 31 , 2013 .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```cash and cash equivalents increased by $ 78.7 million from $ 4.8 million as of december 31 , 2013 , to $ 83.5 million as of december 31 , 2014 . net cash provided by operating activities increased by $ 18.6 million from $ 114.7 million for the year ended december 31 , 2013 to $ 133.3 million for the year ended december 31 , 2014 . our net cash flows provided by operating activities from continuing operations may be adversely impacted by , among other things : ( a ) the market and economic conditions in our current markets generally , and specifically in metropolitan areas of our current markets ; ( b ) lower occupancy and rental rates of our properties ; ( c ) increased operating costs , such as wage and benefit costs , insurance premiums , real estate taxes and utilities , that can not be passed on to our tenants ; ( d ) decreased sales of manufactured homes and ( e ) current volatility in economic conditions and the financial markets . see part i , item 1a , “ risk factors ” in this 10-k. investing activities net cash used in investing activities was $ 550.7 million for the year ended december 31 , 2014 , compared to $ 352.4 million for the year ended december 31 , 2013 .
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 Suspicious Activity Report : we acquired 33 properties , which we will operate as 31 communities , on november 26 , 2014 , and the remaining 26 properties on january 6 , 2015. we continue to experience an active pipeline of acquisition opportunities and will seek to enhance the growth of the company through continued selective acquisitions . in december 2014 , we announced that we entered into an agreement to purchase six mh communities which is expected to close during the second quarter of 2015 , comprised of approximately 3,150 sites located in the orlando , florida area and with expansion potential of approximately 380 sites . the transaction is subject to the company 's satisfaction with its due diligence investigation and customary closing conditions , including consent of the existing lenders . we continually review the properties in our portfolio to ensure that they fit our business objectives . during 2014 , we sold 10 mh properties , and redeployed capital to properties in markets we believe have greater long-term potential . a gain of $ 17.7 million is recorded in `` gain on disposition of properties , net `` in our consolidated statements of operations . development activity : we have been focused on development and expansion opportunities adjacent to our existing communities , and we have developed nearly 1,400 sites over the past three years . we expanded 374 sites at three properties in 2014 . the total cost to construct the sites was approximately $ 11.0 million . we continue to expand our properties utilizing our inventory of owned and entitled land ( approximately 7,000 developed sites ) and expect to construct over 800 additional sites in 2015 . 38 sun communities , inc. capital activity : we closed two underwritten registered public offerings during 2014 totaling 11.7 million shares of common stock with net proceeds of approximately $ 562.9 million after deducting offering related expenses . proceeds from these capital raises help us to maintain our targeted leverage levels while continuing to expand our portfolio . markets the following table identifies the company 's largest markets by number of sites : replace_table_token_14_th a large geographic concentration of our properties continues to be in michigan , florida and texas . occupancy at our michigan communities has grown from 85 % in 2012 to 93 % in 2014 , occupancy at our texas communities has grown from 94 % in 2012 to 97 % in 2014 , while occupancy at our florida communities has remained consistent at 99 % . as a result of our recent acquisitions , we have increased the concentration of our properties located in other areas of the united states , predominantly in high growth areas and retirement and vacation destinations , such as arizona , california and the northeastern coastal areas . several of our acquisitions in these areas have been rv communities . through our expansion into rv communities , we have experienced strong revenue growth . the age demographic of rv communities is attractive , as the population of retirement age baby boomers in the u.s. is growing . rv communities have become a trending vacation opportunity not only for the retiree population , but as an affordable vacation alternative for families . 39 sun communities , inc. supplemental measures in addition to the results reported in accordance with generally accepted accounting principles in the united states ( “ gaap ” ) , we have provided information regarding noi in the following tables . noi is derived from revenues minus property operating and maintenance expenses and real estate taxes . we use noi as the primary basis to evaluate the performance of our operations . a reconciliation of noi to net income ( loss ) attributable to sun communities , inc. is included in “ results of operations ” below . we believe that noi is helpful to investors and analysts as a measure of operating performance because it is an indicator of the return on property investment , and provides a method of comparing property performance over time . we use noi as a key management tool when evaluating performance and growth of particular properties and or groups of properties . the principal limitation of noi is that it excludes depreciation , amortization , interest expense , and non-property specific expenses such as general and administrative expenses , all of which are significant costs , and therefore , noi is a measure of the operating performance of our properties rather than of the company overall . we believe that these costs included in net income ( loss ) often have no effect on the market value of our property and therefore limit its use as a performance measure . in addition , such expenses are often incurred at a parent company level and therefore are not necessarily linked to the performance of a real estate asset . noi should not be considered a substitute for the reported results prepared in accordance with gaap . noi should not be considered as an alternative to net income ( loss ) as an indicator of our financial performance , or to cash flows as a measure of liquidity ; nor is it indicative of funds available for our cash needs , including our ability to make cash distributions . noi , as determined and presented by us , may not be comparable to related or similarly titled measures reported by other companies . we also provide information regarding funds from operations ( “ ffo ” ) . we consider ffo an appropriate supplemental measure of the financial performance of an equity reit . story_separator_special_tag million primarily related to increases in our vacation rental income and golf course , restaurant and pro shop income , as a result of our acquisition of 14 rv communities during 2013. interest income increased primarily due to increases in interest income of $ 1.3 million from collateralized receivables and $ 0.7 million from installment note receivables . real property general and administrative costs increased primarily due to increased salaries , wages and bonus expense of $ 2.1 million as a result of our acquisitions and increased headcount year over year , increased health insurance and workers compensation costs of $ 0.5 million , increased deferred compensation of $ 1.7 million due to awards of restricted stock to our executives and key employees , increased other expenses of $ 0.9 million related to training and development , travel , consulting fees , software support and maintenance expenses , office expenses and rent , increased human resources expense of $ 0.3 million primarily related to pre-employment costs and an update to our payroll processing software and increased legal expense of $ 0.3 million . home sales and rentals general and administrative costs increased primarily due to increased salary expense of $ 0.5 million , increased health insurance costs of $ 0.2 million , increased commissions on home sales of $ 0.3 million , increased advertising expense of $ 0.3 million and increased utility expense of $ 0.2 million . depreciation and amortization costs increased as a result of additional depreciation and amortization of $ 9.5 million primarily related to our newly acquired properties ( see note 2 to our financial statements ) , $ 6.9 million related to depreciation on investment property for use in our rental program , $ 2.3 million related to the amortization of in place leases and promotions , and $ 1.7 million related to the write off of the remaining net book value for assets replaced during the year . interest expense on debt , including interest on mandatorily redeemable debt , increased primarily due to an increase of $ 1.8 million in our mortgage interest due to debt associated with the acquired properties ( see note 2 to our financial statements ) , an increase of $ 1.5 million in amortized financing costs , an increase of $ 1.3 million in interest expense on our secured borrowing arrangements , and an increase of $ 0.9 million in interest on our lines of credit , partially offset by a decrease in preferred op unit interest expense . distributions from affiliate decreased approximately $ 1.7 million . we suspended equity accounting in 2010 on our affiliate , origen , as our investment balance is zero . the income recorded in 2013 and 2012 is distribution income . the amount of the distribution is determined by origen on a quarterly basis . see note 7 to our financial statements . 52 sun communities , inc. funds from operations we provide information regarding ffo as a supplemental measure of operating performance . ffo is defined by nareit as net income ( loss ) ( computed in accordance gaap ) , excluding gains ( or losses ) from sales of depreciable operating property , plus real estate-related depreciation and amortization , and after adjustments for unconsolidated partnerships and joint ventures . due to the variety among owners of identical assets in similar condition ( based on historical cost accounting and useful life estimates ) , we believe excluding gains and losses related to sales of previously depreciated operating real estate assets , excluding impairment and excluding real estate asset depreciation and amortization provides a better indicator of our operating performance . ffo is a useful supplemental measure of our operating performance because it reflects the impact to operations from trends in occupancy rates , rental rates , and operating costs , providing perspective not readily apparent from net income ( loss ) . management believes that the use of ffo has been beneficial in improving the understanding of operating results of reits among the investing public and making comparisons of reit operating results more meaningful . management , the investment community , and banking institutions routinely use ffo , together with other measures , to measure operating performance in our industry . further , management uses ffo for planning and forecasting future periods . because ffo excludes significant economic components of net income ( loss ) including depreciation and amortization , ffo should be used as an adjunct to net income ( loss ) and not as an alternative to net income ( loss ) . the principal limitation of ffo is that it does not represent cash flow from operations as defined by gaap and is a supplemental measure of performance that does not replace net income ( loss ) as a measure of performance or net cash provided by operating activities as a measure of liquidity . in addition , ffo is not intended as a measure of a reit 's ability to meet debt principal repayments and other cash requirements , nor as a measure of working capital . ffo only provides investors with an additional performance measure . ffo is compiled in accordance with its interpretation of standards established by nareit , which may not be comparable to ffo reported by other reits that do not define the term in accordance with the current nareit definition or that interpret the current nareit definition differently . 53 sun communities , inc. the following table reconciles net income to ffo data for diluted purposes for the years ended december 31 , 2014 , 2013 and 2012 ( in thousands ) : replace_table_token_30_th 54 sun communities , inc. liquidity and capital resources our principal liquidity demands have historically been , and are expected to continue to be , distributions to our stockholders and the unitholders of the operating partnership , capital improvements to properties , the purchase of new and pre-owned homes , property acquisitions , development and expansion

