Value Add Upstate NY
Investment Info:
buy & hold investment in Oneonta.
Purchase price: $1,000,000
Cash invested: $200,000
A 40 Unit Senior Retirement Modular Home Complex that we're expanding into 100+ units.
What made you interested in investing in this type of deal?
Mobile Home Parks/ Senior Retirement Communities/ Modular Housing Communities are an extremely attractive investment opportunity. Especially in a market where it's so hard to find a deal.
How did you find this deal and how did you negotiate it?
We found the deal through our sourcing team- They Negotiated by offering at a 12 cap-
How did you finance this deal?
Private Equity Investors + Bank Financing
How did you add value to the deal?
We're going to be expanding from 40 to a minimum of 119(We think potentially 160)
What was the outcome?
The expansion is not done yet! It's a longer term expansion plan
Lessons learned? Challenges?
Due Diligence Documents shed light on things that owners (intentionally or unintentionally) try to hide - we found out the rent for the lot was a whopping $70 lower than we initially thought. Which is a big deal considering that we're talking about $33,600 of missed income a year. When you have a property that only cash flows so much, that has an impact on your return!
#2 Mobile Home Park Investing Contributor
- San Antonio, TX
@Megan Haggerty Best of luck with your expansion project. Thanks for sharing!
Thank you Rachel! Can't wait to see this project to it's completion!
Congratulations @Megan Haggerty! This sounds like a really exciting acquisition. It looks like a beautiful park. I'm on the hunt for an MHP in upstate NY as well. This is inspiring. Thanks for sharing I look forward to hearing more as things unfold!
Thanks @Michael Wallimann !! I'm super excited about it! If you send me ur email, we can connect and I'll send you any deals that don't fit into my criteria- I come across so many deals!
Awesome @Megan Haggerty, I just sent it to you. Thanks so much and congratulations again!