Sunstone Real Estate Advisors is pleased to present Bay City Oaks MHP, a 16-site manufactured housing community located in Bay City, Texas. The property is currently operating at 94% occupancy (15 of 16 sites) with an average lot rent of approximately $420 per month, generating in-place revenue of approximately $74,763 annually. The community offers a simple, low-maintenance operating profile with a fully tenant-owned home structure and limited operational complexity. With one remaining vacancy, the asset provides immediate upside through stabilization to full occupancy. Bay City Oaks represents an opportunity to acquire a small, efficient community with stable cash flow and clear rental upside in a growing secondary Texas market.

The underwriting reflects a straightforward value-add strategy focused on rent increases and full occupancy stabilization. Rents are projected to increase from $420 to $480 per month, reflecting modest annual growth aligned with market positioning. Total revenue is projected to increase from approximately $74,000 currently to ~$91,000 by Year 3, driven primarily by rental adjustments. Net Operating Income is projected to grow from approximately $49,000 to ~$63,100, supported by improved revenue and disciplined expense management. Expense ratios decline from approximately 34% to ~31%, demonstrating operational efficiency as the asset stabilizes. At the asking price of $660,000, the investment is projected to achieve a 9.56% cap rate and 10.43% cash-on-cash return by Year 3, highlighting the strength of the yield-driven investment profile.

Highlights

16-site manufactured housing community located in Bay City, Texas, offering a simple and low-maintenance operating profile

Currently operating at ~94% occupancy (15 of 16 sites) with immediate upside through lease-up to full occupancy

Average lot rent of $420/month, with projected increases to $480/month, supporting clear rental upside

Current operations generate approximately $74,763 in revenue and $49,403 in NOI, providing stable in-place cash flow

NOI projected to increase to ~$63,100 by Year 3, driven by rent growth and stabilization

Attractive yield profile with projected 9.56% cap rate and 10.43% cash-on-cash return by Year 3 at a $660,000 purchase price