https://estersonmhcteam.​com/property/bayshoremhp

Contact Dylan Hellberg for more information

The Esterson MHC Team is pleased to present Bayshore Mobile Home Park, a stable community with achievable upside in occupancy and rent, located about 40 minutes from Philadelphia, PA and an hour west of Atlantic City, NJ.​
Bayshore MHP consists of 27 MH lots with 26 tenant owned homes (TOH) and 1 vacant lot.​ The Park consists of 0 parked owned homes and 0 rent to own contracts.​ The average lot rent in the park is $545 and the market rent is around $630.​ There is no rent control in this locality giving you complete control over the amount and frequency of rent increases.​ The Park is NOT in an opportunity zone or flood zone.​

Bayshore MHP is serviced by a private well and septic system that is billed back to the tenants.​ Well house, septic tanks and leach fields were all replaced in 2010-2011.​ Electricity is public and billed directly to the tenants.​ Trash is serviced by curbside pickup and is included in the rent.​ The roads are paved and in average condition.​ Cumberland county, New Jersey is known for its small town feel and its lower cost of living compared to the rest of New Jersey.​ It is centrally located between Philadelphia, PA and Wilmington, DE providing ample employment opportunities for the residents of the county.​

The pricing represents a 4.84% cap rate using the lot rent and utility revenue as well as a 56.6% expense ratio.​ Upon reaching stabilization you will take the asset from a 4.84% cap rate to a 7.45% cap rate and realize a 11.78% cash on cash return.​ At exit and assuming a 6% cap rate our proforma value is around $2M.​ We are asking investors to submit offers at or above $1,600,000.​ This Park qualifies for nonrecourse CMBS debt at 75% LTV, 3.5% interest rate, and a 25-year amortization.​ A soft debt quote is available upon request.​