Those landlords that choose to artificially subsidize communities via suppressed lot rents do not generate sufficient reserves to set aside for inevitable capital improvements to the community’s infrastructure and aesthetics.

Once you go to 7 beds or more there are much stricter facility requirements, including but not limited to, fire suppression systems, added points of egress, Individual Response System, and much stricter staffing ratios. 

His attempt at suppression has failed and the video has been restored. link? 

But I think savvy investors will be able to navigate those laws to take advantage of artificially suppressed competition to do well. 

Illegal labor suppresses wages, supply and demand.

They were selling on pro forma, but the market and the debt market have shifted, and it's aa lot harder to achieve higher pricing with lower rents.We've purchased over 2,000 units, and the simple answer to the question is that they are either mom and pops and run their businesses with ZERO KPIs, they do not want to risk losing tenants if they raise rents, and they don't treat their asset as a business.When you take over, it can be difficult to get rents to market if they are very suppressed.

Work with your attorney for what is needed to insure all subcontractors get paid by the General Contractor.Make sure the insurance covers Construction period and also materials.Talk with your Commerical insurance agent and they should address the above questions with you.If this is an older facility make sure your engineering firm has covered Fire Suppression systems and any Storm pond or drainage systems. 

Instead of attempting to suppress rents artificially, my approach focuses on a sustainable, market-based strategy with a long-term horizon.Here’s how I see this working:Leveraging Time, Scale, and Institutionalization:Similar to how farmland has been institutionalized, leveraging scale and time can be powerful tools.

There are various other items that may come up such as: Proper firewall suppression, adequate entrances/exits for fire safety, stair safety, size of kitchen appliances, etc... for my specific example. 

Actually, since 2016 up till this year TN fire marshals office was doing all inspections of new builds in Sevier County which required fire suppression/sleep more than 12.