Little Rock, AR

In 2009, St Paul Group acquired a 76-space manufactured housing community in Little Rock, Arkansas. This property was brought to St. Paul Group through its advisory board, and was identified as a property being operated inefficiently. There was a significant amount of turnover and tenants complained of poor management relationships. The park’s rental base was also much lower than comparable parks in surrounding communities.
We did an extensive evaluation of the local economy, which was determined to be 26th Best-Performing Cities of 2009 by the Milken Institute. Dramatic gains in its education and health-services sector have offset some of the recent losses in other sectors. Further, health-care services were responsible for creating 1,300 jobs in the metro between 2007 and 2008, and were expected to create even more throughout 2009 and into 2010.

Immediately after we acquired the property, we increasing the lot rents by $50 per month and brought it more in line with market conditions. We removed problem renters and have gradually improved the tenant base through aggressive marketing and an in-house referral program.
We are continuing to improve the park and the management system through the following features:

  • Extensive marketing and move-in incentive program – We increased the occupancy by offering attractive move-in specials. This has reduced the number of empty lots and improved the park’s sense of community.
  • Preferred Mover – By partnering with a preferred mover we have been able to gain referrals for new residents to move into the park which otherwise would not have been possible.
  • No-cash policy. We started only accepting checks or cashier’s checks for rent, simplifying our accounting system and reducing management workload.
  • Tenant Relations – Put a system in place to handle tenant issues on case-by-case basis; again reducing management workload and increasing operational efficiency.
  • High Speed Internet – Installed high speed internet in the manager’s home. Most of the communication is now done via email and online document sharing.
  • Pride of Ownership – Periodic park programs such as best holiday contests incentivize residents to display more pride of ownership in the park.
 

… Throughout the process, the St. Paul Group LLC was able to diligently come up with solutions to the issues and ultimately orchestrate a closing that yielded the best possible outcome for the seller. Once all parties came to a final agreement, the St. Paul Group was able to close within 1 week, on an “All-Cash” basis, which was seldom seen in 2010.

Steven B. Livaditis, Vice President of Investments, National Multi Housing Group Director, Marcus & Millichap

Sellers

Our goal is to provide an attractive exit to the current owner or bank of an under-performing community. We will work with constraints of the current situations to come up with fast and purchase. If you are thinking about selling your community, click here to find out more.

Residents

When a mobile home park is neglected or distressed, it hurts residents the most. Often such properties do not get the proper management, resulting in deterioration of the property and the morale. Our operation and turn-around strategy will restore the community’s physical condition as well as its pride.

Investors

Through our acquisition and turn-around, we are able to provide a solid return to our investors. We adhere to our principles and solid business model to provide profitable, yet meaningful opportunities to our investors.

Want to Sell Your Park?

Want to Sell Your Park?

Are you thinking of selling your mobile home park? Contact us for a confidential discussion. We provide fair price and strive to structure deals that every party involved is satisfied. [More]