Posted by Jacque - WA on February 25, 2002 at 16:43:03:
You pose some questions that only you can answer. Are you too far away to make this work? Probably ?. I, as many investors have found, Lonnie deal notes themselves can be high maintenance let alone trying to develop out a park… .
Sue, if this is something you want to do then I am sure that it can be done and I am sure that someone out there has probably done this very thing.
However, I would be more interested in knowing ?Why? this park is vacant, how long it?s been vacant and many more questions come to mind.
From phone calls I have received of people wanting to sell their parks to rumors of parks being ?obsolete? in Texas and Oklahoma - I have heard that there are currently numerous parks available for sale in Texas and Oklahoma. Yet, no matter healthy markets will generally support a wide range of houses and will continue to be a viable source of housing and sometimes these are the golden opportunities that investors wait for and do quite well for themselves. We all know that Mobile Home Parks are on the rise versus becoming “obsolete.”
I would think that initially your key to finding out if this park is even feasible ? especially since it is vacant (which doesn?t have to be a bad thing?) is to develop and learn some market strategy. For example, I would be seeking out community information such as other parks in the area, number of spaces, normal occupancy rates, rent amounts, amenities, the local population data including growth, check out the employment statistics, median income. I would also call some of the mobile home dealers and talk to them about the local market. You can even check out apartment statistics, supply and demand of the ?rental? market, etc?Lastly, don?t forget to talk to and get a copy of the zoning ordinances and talk to local planning officials ? they are a wealth of information. This is a just a small list of things you need to be looking at and for in this deal.
After I had all of that information then I would take a look to see the market can support the mobiles as well as what you would be paying for the park to include construction costs if your still interested…
Good Luck with this one and let us know how it goes.
Jacque - WA