Updates and Industry Happenings from the Manufactured Housing Industry
March/April Manufactured Housing Industry Happenings
$4.5 Million in Financing Complete for Two North Texas Communities
Maverick Commercial Mortgage closed on a $4.5 million loan for Hillcrest and Chiesa manufactured housing communities in Denton and Rowlett, Texas, respectively. Hillcrest is on 5.84 acres in an “enterprise zone” that encourages continued commercial development. The surrounding area also has ample retail, schools, and churches.
Derry Residents Buy Manufactured Home Community
Homeowners in Rancourt Mobile Home Park have purchased their 38-unit manufactured home community, making it New Hampshire’s 134th resident-owned community. A cooperative using resources provided by the New Hampshire Community Loan Fund from ROC-NH™, homeowners negotiated with the park’s owner and agreed on a $1.85 million purchase price finalized Dec. 31.
Yale Advisors Transact 14 MH Communities, RV Resorts to Finish the Year
In December 2020, Yale Advisors sold and financed 14 manufactured home communities and RV resorts valued at $150 million. The assets financed and sold across the country included the sale of a 5-star park-owned home community in Texas, a 4.5-star community in California, and the financing of a 4-star MHC portfolio in Pennsylvania. Yale Advisors conducted transactions during the month in a dozen states, and to expand its market coverage has hired Max Hernandez to serve as Yale Advisors’ regional director for the Arizona region.
Seven Communities in Three States Purchased for $22.7 Million
Crystal View Capital Fund II acquired seven manufactured housing communities for $22.7 million in the third and fourth quarters of 2020. The communities have 729 homesites in New York, Connecticut, Wisconsin, and Michigan.
Industry Veteran Joins Pioneer Communities
Pioneer Communities has hired Jeremy Gray as a regional manager. Gray previously was a regional manager for Strive Communities overseeing nine communities with 924 homesites. He also worked at YES! Communities in the management and operation of 13 manufactured home communities with 3,573 homesites.
Texas RV, Manufactured Home Community Sells
NorthMarq’s National manufactured housing team arranged the sale of Circle T RV and Mobile Home Park for an undisclosed purchase price. The 270-site property is in Mission, Texas, part of the Rio Grande Valley that has long been a strong market for RV and manufactured home communities.
Hometown America Purchases Bay Area, New York Communities
Eden Roc, a 200-site manufactured home community in Hayward, Calif., has been purchased by Hometown America for $17.5 million with a 10-year Fannie Mae loan arranged by JLL Commercial Real Estate. Eden Roc sits about two miles from Interstate 880, 10 miles from Eden Medical Center, and 10 miles from the San Mateo-Hayward Bridge, which offers access to Oakland, San Francisco, and the Silicon Valley. Hometown American also purchased Foxwood Village, a 55+, 244-unit manufactured home community in Calverton, N.Y., for $16.8 million. The 94-acre site was sold by locally owned Foxwood Corporation.
LCI Industries Acquires Veada Industries
LCI Industries, a subsidiary Lippert Components, Inc., has acquired Veada Industries, Inc, a manufacturer and distributor of boat seating and marine accessories. LCI supplies components for manufactured and modular housing, as well as marine, RV, and many other industries.
Investor Purchases a Pair of Rehab Communities in Tucson
A pair of manufactured home communities in Tucson, Ariz., were purchased from a community owner entering retirement. The local investor who purchased Palomino Mobile Home Park and Open Sky Mobile Home Park for a total of $2.4 million plans to remove and replace older homes in the communities. Palomino was constructed in 1962, and Open Sky was constructed 10 years later.
Ormond Beach Community Purchased by Capital Square 1031
The Falls, a 599-site manufactured housing community in Ormond Beach, Fla, has been purchased by Capital Square 1031, the fifth and largest property purchased since the company launched a mid-year fund. The community is on 141 acres in proximity to shopping, golf, and medical facilities. It sits eight miles from Daytona Beach, and provides a pool, tennis courts, shuffleboard courts, fishing ponds, and a wooded nature trail.
New Jersey Community Financed by Yale Capital
In early 2021, Yale Capital arranged a $9 million purchase loan for the acquisition of a manufactured home community in coastal New Jersey, a 45-minute drive from Manhattan. The loan was secured by Fannie Mae and featured a 75% loan-to-value, 10-year term and 30-year amortization, with four years of interest-only payments, and an interest rate-locked at 2.96%. Fannie Mae and Freddie Mac continue to aggressively pursue manufactured housing community loans and have recently reduced or removed COVID debt service reserves.
Three New York Communities Sell for $14 Million
A New York residential investment group purchased three Forsyth County manufactured home communities for a total of $14 million. The largest of the properties, Cedar Grove Mobile Home Park, sold for $6.58 million. The other properties were Parkwood Mobile Home Park on 29 acres for $4.36 million, and Lambeth Mobile Home Park on eight acres for $3.07 million.
Gary, Ind., Community Goes for $4.1 Million
Melody Lane Mobile Home Park in Gary, Ind., about 25 miles southeast of Chicago, was purchased for $4.1million in a deal brokered by Marcus & Millichap. The property consists of 154 homesites, including 54 park-owned homes for rent.
Marcus & Millichap Name New VP
Michael DiCillo, Jr. has been named the vice president of investments in the Cleveland office of Marcus & Millichap. A graduate of John Carroll University in Cleveland, DiCillo began his career with Marcus & Millichap in 2016, specializing in the sales and marketing of manufactured housing communities nationwide.
UMH Purchases First Manufactured Home Communities in Alabama, S.C.
UMH Properties Inc. has acquired Deer Run in Dothan, Ala., for $4.6 million, and Iris Winds in Sumter, S.C., for $3.4 million, bringing the number of states the REIT operators in up to 10. The 195-homesite Deer Run was 37% occupied at the time of sale. It is on about 33 acres and is less than two miles from big-box stores, as well other retail and dining choices. Iris Winds sits on 24 acres and includes 142 homesites, about half of which are occupied.
Chris Nicely to Lead Newly Founded Lane Associates
Dallas-based Lane Associates has named industry veteran Chris Nicely as president and CEO in its effort to help municipalities, developers, and contractors understand what factory-built housing is and how it can contribute to community development efforts. Nicely is the former CEO of Next Step Network and was vice president of marketing for Clayton.
Oklahoma Manufactured Housing Communities Change Hands
Big Bass Park in Checotah, Okla., sold to BoaVida Group for $1.4 million. The 105-homesite property was sold by Superior Management Co. Additionally, California-based Arena Realty Partners purchased Rolling Acres, a 30-site manufactured housing and RV community in Oklahoma City, for $900,000.
Leader in Factory Built Housing Passes Away in Wisconsin
Edward Joseph Starostovic Jr., 87, of Stoughton, Wisc., passed away Dec. 16, 2020. Mr. Starostovic served in the U.S. Army during the Korean War, earned a bachelor of arts degree, owned Structural Plywood Company, and was the manager at Wausau Homes. He held positions of leadership locally and nationally with Automated Builder, AST International, National Association of Home Builders, Industrialized and Modular Buildings, the Wood Heating Alliance, and on a presidential committee on manufactured housing. He was involved with the modular housing committee reports to Congress in 1988. Mr. Starostovic was a part-time lecturer on factory-built housing at the University of Wisconsin-Madison and served as a delegate for the United States-USSR Technical Exchange Agreement in Washington, D.C. During his career, Mr. Starostovic was honored with the E. Kurtz Award from the National Association of Building Manufacturers in 1972 and the S.A. Walters Chairman Award from the Building Systems Council. He is survived by his wife Marilyn, three daughters, and 24 grandchildren and great grandchildren. He was preceded in death by his daughter Karen and son-in-law, Chris. The family held a private burial for Mr. Starostovic and will have a gathering at a place yet to be named in April.
Industry Mourns Loss of Lancer Homes Founder
Ben D. Woody, of Wichita Falls, passed away Dec. 16, 2020. Born in Spur, Texas, on March 5, 1931, Mr. Woody entered the manufactured housing industry in 1969 co-founding CWM Manufacturing Corporation, which later became Lancer Homes. He took the company public, and expanded the operation with four new manufacturing plants, and shipped homes nationwide. Mr. Woody also was the owners and operated of KiddyLand, an amusement park for children and families that later was named Funland. He was preceded in death by his parents and daughter, Lesa, and is survived by his wife Betty, daughter Melissa, brother Gary, as well as grandchildren and great-grandchildren. He was laid to rest at Crestview Memorial Cemetery.