Re: Foundations - Posted by Tony-VA/NC
Posted by Tony-VA/NC on September 05, 2003 at 18:20:23:
Developing this park is likely to be a cash intensive proposition (or at the very least, one in which expenses need to be controlled). For me the question often comes down to “will this improvement increase cash flow?” Second, “will this increase resale value.”
If you are going to own the homes, why would it matter to you if the land under them is dirt or concrete? The dirt is already paid for, concrete will run you labor, materials and time. Homes will not be pulling in and out on a regular basis. Once the home is in, the concrete pad will be hidden by skirting.
I am not certain that I can see what would justify such an expense. Perhaps some perceived resale value but since you are retaining ownership of the homes, I suspect you are not intending to sell the park immediately upon completion.
You can place the homes on permanent foundations. They look nice and enhance the value but are a poor decision for rental units as they make repair work miserable to get to.
Also I am curious, does the parks property limit the homes to 55-60 ft long? These shorter lots can become an issue down the road if you look to upgrade.
For example, many of the old “mom and pop” parks from yesteryear have very short lots intended to accomodate the 10x50 homes (and generation). Now that our countries affinity for accumulation has grown, those size homes are unacceptable for the large majority of our market.
The mobile home manufacturing plants have addressed the market desire/demand by building bigger and bigger homes. The current owner’s of the “mom and pop” park now have to special order “park model” homes at huge premiums in order to fill their lots.
Just a word of caution on lot size. If you can, stretch to 70 or 80 foot (or larger) and you will do yourself (and later park buyers a favor).