Mobile Home Park Details
- Purchase Method: Cash
- Cap Rate: 7.7%
- Listing ID: 1432906
- Posted On: May 4, 2021
- Updated On: Jul 23, 2021
Description
INVESTMENT HIGHLIGHTS – Brand New Park! (For sale by owner/developer)
● Superb Location- approximately 4.33 acres within the Fayetteville city limits, and near the Cross Creek Mall and Ft. Bragg
●All new infrastructure, including water tap, water lines, electric posts, and even city electrical main lines
●City water and sewer, individually metered (tenant pays)
●All Park Owned Homes (3 bed/2 bath) are brand new, with no deferred maintenance, high rental value, and low insurance costs
● Stabilized rents, with about half on Section 8, meaning funds directly deposited from Fayetteville Housing Authority each month
● Value Add With Significant Upside Potential, through any combination of:
*raising rent (housing authority published 3 bed Fair market rent for 2021 is 20% higher than current rents)
*leasing remaining lots
*buying and leasing more POHs
NO SELLER FINANCING.
Location
Excellent metro area with many large employers, including Ft. Bragg. There is a shortage of rentals in this area, so lot or mobile homes go quickly.
● Stable employment and constant demand for rentals. Large employers include the military and the Department of Defense (Ft. Bragg is home to more than 30 military units), Cape Fear Valley Health System and Cumberland County Schools
● Market stability as MHC’s have historically demonstrated a low correlation to the broader market
●Huge demand for homes- Fayetteville housing authority has hundred of families waiting, with highest need being 3 bed/2 bath
●Homes typically leased as soon as they are ready for occupancy
AREA OVERVIEW
Life in Fayetteville and Cumberland County is a combination of timeless Carolina values and creative energy. Residents can find something for every lifestyle and budget, from quiet countryside mornings to small communities that hearken to gentler times, to the upbeat vibe of Downtown Fayetteville. It’s easy to get around and conveniently within a day’s drive from two-thirds of the nation’s population.
The outstanding quality of life here encompasses everything from some of the state’s best schools, extensive higher education and vocational training resources, to first-rate healthcare. Fayetteville offers all the benefits and attractions of a large city with the comfort of a smaller community, as well as the opportunities available in a right-to-work state. Many of the residents are veterans who chose to stay after their service ended, giving the area a wealth of technical skills related to engineering, aviation, and maintenance.
Park Information
| Community Type: | All Age |
| Number of MH Lots: | 16 |
| Total Occupancy: | 62.5 % |
| Year Built: | 2021 |
| Average MH Lot Rent: | $300 |
| Size: | 4 acre(s) |
Financial Information (Actual)
| Gross Income: | $111,000 |
| Operating Expense: | $15,000 |
| Net Operating Income: | $96,000 |
| Expense Ratio: | 13.5 % |
Lot Information
| Singlewide Lots: | 15 |
| Doublewide Lots: | 1 |
Utility Information
| Water: | City |
| Water Paid By: | Tenant - Submetered |
| Sewer: | City |
Park-Owned Homes
| Number of Park-owned Homes: | 9 |
| Average Rent for Park-owned Homes: | $1,000 |
