Photo of Mobile Home Park
Photo of Mobile Home Park
Photo of Mobile Home Park
Photo of Mobile Home Park
Photo of Mobile Home Park
Photo of Mobile Home Park

Mobile Home Park Details

  • Purchase Method: Cash
  • Cap Rate: 6.7%
  • Listing ID: 572860
  • Posted On: Oct 5, 2015
  • Updated On: Nov 10, 2015

Description

Tanglewood Mobile Home Park is an all age mobile home community located in southeast Dallas near Seagoville. It has 27 mobile home sites with 17 park owned homes including the owner's current double-wide. Situated on three acres, it has a density of nine sites per acre with city utilities.
Priced at $13,703 per space, this is well below the average for Dallas parks. With current lot rents adjusted for utilities $100 less than the nearest competitor and 50 percent below surrounding parks, this is an excellent opportunity for an value add investor.
The new owner could reduce expenses by passing the utilities through to the tenants. By achieving below market average lot rents of $300 a month with 90 percent occupancy, a buyer could add over $200,000 in value on an exit CAP Rate of 10 percent, based solely on lot rents.

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Park Information

Community Type: All Age
Number of MH Lots: 27
Total Occupancy: 37.0 %
Year Built: 1974
Average MH Lot Rent: $180
Size: 3 acre(s)

Financial Information (Actual)

Gross Income: $49,080
Operating Expense: $24,252
Net Operating Income: $24,828
Expense Ratio: 49.4 %

Lot Information

Singlewide Lots: 26
Doublewide Lots: 1

Utility Information

Water: City
Water Paid By: Park
Sewer: City

Park-Owned Homes

Number of Park-owned Homes: 17
Average Rent for Park-owned Homes: $550