Mobile Home Park Details

Purchase Method: Cash, New Loan
Cap Rate: 6.3%
Listing ID: 1447271
Posted On: May 28, 2021
Updated On: Aug 31, 2021

Description

Royal Pines Mobile Home Park is a beautiful 193-pad mobile home
park on the outskirts of Clinton, IA. The property is zoned multifamily residential and is in compliance. The park is not located in a flood zone. The park has two full-time employees and that might be more than it presently needs as occupancy is low at the moment (Please keep this in mind when you see the financials). The listing agent is not aware of any vacant trailers that need to be removed from the premises. There are currently 52 tenant owned homes in the park paying $290/month. According to the May 16thr rent roll provided to the listing agent, there is currently only one tenant behind in their rent. New tenants start out on annual leases, and then they all transition to month/month leases.

Royal Pines Mobile Home Park had over 140 occupied pads as recent as ten years ago. On-site management has been a struggle since that time. Although for many of you reading this 193 pads would be considered a large park, it is probably the smallest park in my client's portfolio, and it is a geographic outlier from their other properties. So in essence it has not been a priority for in-fill projects. This is a park with huge upside for investors who have experience with in-fill situations!

Royal Pines Mobile Home Park is on CITY WATER! The park utilizes a single stage lagoon that is currently in compliance with the Iowa Department of Natural Resources. The underground pipe composition and laterals are unknown to the listing agent. It is believed that the majority of pads are 20' x 80'. Seller believes virtually all of the vacant pads could handle new trailers with little to none capital expenditure. The park has electric, water, & gas meters to each pad. The tenants are billed directly from the utility providers. The roads through the park are paved and appear to be in really good shape. The tenants are responsible for mowing their own space. The park mows the vacant pads and common areas.

MR. LANDMAN, LLC is a licensed real estate firm in the State of Iowa operating under license#F06199000. Jonathan Fisher is a licensed real estate broker officer in the State of Iowa operating
under license#B68919000.

Location

Clinton is a city in, and is the county seat of, Clinton County, Iowa. Clinton is located 15 miles north of the Quad Cities, 143 miles west of Chicago, and 200 miles east of Des Moines, IA. The population was 25,500 as of 2019. Clinton, along with DeWitt (also located in Clinton County), was named in honor of the sixth governor of New York, DeWitt Clinton. Clinton is the principal city of the Clinton Micropolitan Statistical Area, which is coterminous with Clinton County.

Many mobile home park investors use distance from Walmart in their consideration of available properties. Royal Pines MHP is approximately 3.3 miles away from Walmart.