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View comments from our customers
Terri,
Since our broker has started
listing all of our mobile home parks for sale on your site our
phone rings 300 - 400% more than it ever has. He has been
writing offers like a mad man!
Thanks for the job security!
Bill S., Personal Assistant
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HOW TO TELL A LOT ABOUT YOUR MOBILE HOME PARK FROM
THE GRASS
By Frank Rolfe
Of all the barometers
of park performance, from a profit and loss statement to the annual license
renewal, one of the crudest and simplest is the fine art of analyzing grass.
Because you can tell a lot about a mobile home park just from looking at the
grass.
The simplest first
question is: “is there any grass?” If not, you may be in a desert, or under
water. But if there is grass present, then here are some of the things to
look for:
-
Is the grass green in some
areas when it’s brown everywhere else (in summer)? This may be
a tell-tale sign of water and/or sewer leaks. Anything that puts
moisture in the earth is going to result in healthier, greener grass.
When you spot these lush oasis in an otherwise burned out park
grassland, you will probably find it spongy and saturated. If the green
grass is in the general line of the main (at the back of the trailer)
then it may be a break in a main line. If it is near the house, it may
be a break in the line that feeds just that one house. The same is true
about the sewer line. A clay tile sewer system with a collapse or
separation in the line will continually leak moisture and give grass a
boost. When figuring out park leaks, green grass is the first place you
head.
-
Is the grass brown in some
areas when it’s green everywhere else (in summer)? This may be
a sign of an underground natural gas leak. If your park is on
master-metered natural gas, and you see brown patches throughout the
park, then you may have significant gas leaks to contend with. Had I
known this on my very first park, I could have saved a fortune by not
buying it, or negotiating for the seller to fix the leaks. Natural gas
kills grass.
-
Is the grass dead in a neat
rectangle in the middle of a vacant lot? That means that a
mobile home was just moved out of the lot. Due to the continual lack of
sunshine under the trailer that was removed, the soil is relatively
infertile and grass won’t grow there for some time. When evaluating
which vacant lots are already set up with utilities for occupancy, then
look for big, dead rectangles. The same is true when you are looking for
recent pull-outs and decline in occupancy.
-
Is the grass un-mowed on each
tenant’s lot? That is a good sign that the tenants lack “pride
of ownership”. This will be a real problem with getting a loan on the
park. Banks like to see a park where the tenants respect where they live
and keep their lots looking clean and mowed. A park where nobody is
mowing means they may also not be observing other key rules, such as
paying their rent on time, or at all. You need to put in more diligence
on a park with this problem.
-
Is the grass un-mowed on the
park’s common areas? This could be a sign that the park
management is not doing their job. Since mowing grass is not rocket
science, if they can’t manage that effectively, how can they manage more
complicated issues like repair and maintenance and collections?
-
Is the grass around the parking
pads missing, and replaced with just dirt? This is a sign that
tenants have more than the two cars the parking pad allows, and are
parking at night up in their yards. This is something you would only
know if you visited at night. The deader the grass, the more they are
parking on it.
-
Are the tenants smoking grass?
Welcome to the mobile home park business.
In summary, grass is
not as stupid as it looks. It knows quite a lot about a park – it is very
observant of its weaknesses, even when they remain unseen by the human eye.
So take notice of the grass and let it guide you to where the problems are.
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