Manufactured Housing Community where to begin.

[Reed Starkey]

So I am looking to purchase a 4-property portfolio of seniors only manufactured home parks.  The seller is looking for somebody to assume his debt of $40,300,000 on the properties.  He is even supplementing the deal with a cash supplement of $1,050,000/ yr until the debt is due in full June 2018.  I don't even know where to start on this deal, but I will give you some of the numbers and ask for some feedback. 

Rolling 12 month numbers:

Gross Rent received:      $6,380,194

Gross Income:                $6,491,206

Total expenses:              $2,178,387

NOI: $4,312,820

Debt Service:                 $3,218,323

Cash flow:                     $1,094,497

Property is 77% occupied, so there is room to improve. They only spent $500/mo on marketing, so I believe this number is easy to improve.

The issue as I see it is the debt is due June 2018, and might be difficult to refi the entire balance.

Your thoughts?