I was hoping someone on the BP forum could shed some light on developing a lot for mobile homes. I have been investing in RE for about 7 years now and own long term rentals in Vail CO. I have always been interested in mobile home parks and I have an opportunity to develop 14 narrow lots on just over an an acre of land. The plot is located in the center of town with a single family home and some utilities in place. Can anyone provide me with a ball-park estimate of how much it costs to develop a site for a single trailer. Foundation, water and electric hook up etc? I'd really appreciate any insights, Thank you.
@Bret Burton Costs will vary depending on the area and contractors you use. Usually, it's best to see who other mobile home parks are using. Many times I've received the "corporate" versus the "individual" rate just by establishing relationships with these folks and having good working relationships with parks in the area. You'll also have to check with zoning regarding your plans to see if there are restrictions (if any) and/or additional paperwork you need to file with the city. Another good resource for contractors who specialize in this niche are mobile home dealerships and your local manufactured home association. Hope that helps. Good luck!!
Setting up the utilities is the most expensive part of this endeavor.
If this property is in Vail my guess is that it would be worth the investment to build out the infrastructure. We have added sites to our park in AL (septic tanks, water/water meter, electricity). You could probably finance the build with a construction loan. You just need to run the numbers and see if it makes sense.
It's definitely not in Vail. I'm thinking more like the Hoza's in Eagle? In Town of Eagle and for county zoned, I believe 2+ acres in the minimum lot size for MHP by right. So you'll also have a long and expensive entitlement process, and I'm sure you know the NIMBY mindset around these parts.
I'm sure you also know that housing, especially something relatively affordable like mobile homes, is in high demand and, as stabilized, it'd be printing money. Good luck and do your due diligence.
Do you ever get down to Eagle? It'd be cool to meet another investor (and I'm an appraiser, you're a broker?), let me know if you want to grab coffee, sandwich or a beer sometime.
Hi All, Thank you for the response. Ryan, I'd definitely like to meet up. I get down there on occasion. PM me and we'll set something up.