Old Mobile Home Parks

[Bill J.]

I see a few MHP that are on the down side of their best years from a visibility standpoint. Trailers old and in decline, yet still rented for the most part....Price is decent or probably be negotiated to such.

My question is can a MHP come back to life with an infusion of newer but used trailer replacements and some investment in infrastructure or has the long years of decline permanently turned away future potential?

[Ed Emmons]

I have done 3 just as you described and it took about 2 yrs. each to change and live down the reputation. I took mine from where only 5% worked in the park to around 70-80%. I got rid of 40 or so units in one park and replaced them with used ones about 20 years newer. Due to local town ordinance I could only put 12 wide homes in. So I found a bunch of 70s trailers in reasonable condition. Then I replaced all the windows, added r-6.5 insulation and vinyl sided them, and they all looked very good from outside. I also went through internally so I could get a lower working class tenant. I paved the roads and did a lot of the infrastructure. I rented the equipment and did it myself so it saved me a lot of money. My parks have about a 28 cap rate now so it was well worth it.