40 Acres Vacant Land

[Bryan La]

I have 40 acres of vacant land in California City CA. Zoned A1MH agriculture and mobile home. It does not have water but I contacted the city and they said I can get a permit to have a well dug. Any suggestions on how to make this land cash flow? 

[Brenden Mitchum]

Hey @Bryan La, welcome to the BP community!

I'll tag onto @Amy Aziz's comment. Unless it's zoned MHP (not MH), you likely won't be able to develop a park. You can definitely go to the city/county and request to rezone to MHP, but first find out if this would even be profitable. Is there demand in the area for affordable housing? How much? 

If there is demand and city/county is open to rezoning, next determine how much you could rent lots for by looking at nearby parks and apartments. Lot rent should be at least half the rent for a 3br apartment since the tenants might be paying for a note on their home along with the lot rent.

Then, you'll want to dive into costs to develop the park to make sure that the project meets your returns criteria. Make sure you find out from the city what the setback requirements are so you know how many homes can fit.

Some alternatives if they do not approve the rezoning are 1. Self-storage (will also need rezoning) 2. "Modular/Tiny Home" Park (might be easier to get the zoning than a mobile home park).

Hope this helps a bit. Please, feel free to reach out anytime if you have other questions or just want to chat!