Posted by Tony-VA/NC on October 25, 2003 at 11:39:49:
I will take a stab at some suggestions on this inner city park.
If I were to gamble a guess, I would guess that your biggest hurdle is going to be the city red tape. Cities typically do not like mobile home parks and do not believe them to be the best use of the property.
This may have been a partial reason for the decline in the park. For example, some locales have intended to drive out the parks have done so by attempting to not allow the park to replace any home that moves out of the park. Additionally they will not allow a home to be repaired beyond what they consider to be a certain %.
While the city seems to think this will help, the landlords simply get mad. Since they cannot upgrade the homes, the homes deteriorate. They are typically smaller homes and this attracts fewer and fewer tenants.
What is left is a tenant base that is desperate for housing and typically not a very stable tenant base. Drugs and crime may follow as well.
I would suggest you investigate the reality of the city hindering your turn around of this park.
I would suggest that speaking with local politicians about the need for “decent, low income housing” might be a way to get the ball rolling. Meet with section 8 and find out the kind of housing shortage they are facing.
This does not mean that you should not meet with the owner first to determine his/her interest in selling. It simply means that I believe you have additional due diligence barriers to overcome.
First things first. We need to have a motivated seller.