All Forum Posts by: James Dickens

As usual @Jay Hinrichs hits the nail on the head. 

I have been away for quite a while because of the lack of MH & RV on BP and have just recently started checking back every couple of weeks or so. 

I am in the space but working for a broker and I am not an owner (However my last gig was with an acquisitions team for an operator). It's a space you just have to make connections in. I have done a lot of work and networking via LinkedIn and got my first and second job in the space there. 

@Catharine Veenstra I would be happy to help although I'm not really what you are looking for however, I may be able to point you in the right direction and help you with a couple of contacts that could further your quest. Reach out if you would like to have a conversation and I would be happy to take some time to talk about all things MH/RV

Michele, Hope your search is going well. 

I think the structure question was answered well but there are several possible ways to form a partnership. 

For investors and what they want to see that can vary as well. In a lot of deals if the deal is passive they want a pref payout of funds before anything else is paid. Typical is 8% and then a split of funds of say 70/30 which is 70% to them and 30% to you but again that can vary. There is a website called GP LP Split that is no charge and in essence if you have a good plan as a General Partner you can pitch it to a large amount of Limited Partners and potentially find your investor. 

There are a lot of pitfalls but the main issue is to make sure that you can pay debt + pref + split and have money to operate the campground. This sounds hard and it can be hard if you don't find the right deal and have the right structure to pay out. 

Seller Financing + Investor Capital is a very realistic combo and if you can get Seller Financing that is the route you want to go. Just make sure their terms are better than any loan you can secure. You may even be able to negotiate an interest only term at the start of the loan which could help with cashflow early on in the deal. 

Would be happy to help if you are still looking for it. I'm sure you have learned a lot in the 3 months since posting. Both myself and my wife are looking at Campgrounds/RV parks everyday as far as buying and selling so we can be a good resource. 

Google Maps, Just Search RV Park or Campground in the area you want to look and you can build a list of properties to call. You can then use AI to build a Data Table from that information (This may take a bit of work to figure out but you can do it). 

Then just start making calls. :)

I think Russel is doing it right!

With that said and depending on how rural it is you may be able to put gravel down and put a fence up and have RV and Boat storage. Not sure you would have to change zoning for that. For that all you would really need is Electric for gate/cameras/lights. It would be a pretty easy way to start something that is income producing without having to put to much thought or effort into it. 

Just something that came to mind as I see a few in my area which is a bit rural as well. As long as you have some residential areas where RVs and Boats are a pain to park or not allowed at all you will have customers. 

That's a great story Christina. I hope that things continue to look up for both you and the park and that this success will lead to other deals in the future for you. 

Have it towed. If it stays beyond what's paid for either move it to a storage area on your land and keep track of storage fees or see if you can have someone tow it offsite for you and in that case they will have to pay whatever fee the tow yard charges. 

@David Weis I think the first question would be is MHP the best use case? A lot of people would tell you it's not worth developing what would be considered a small park. Would it be better suited for RV or maybe Manufactured Homes and or Tiny Homes? Or maybe if you do go the MH route you make it a very upscale MH to offset the size aspect. Just a few things to consider. 

Again if you choose to go the MH route then what type of MH park do you want? Do you want to just put in the infrastructure and have tenants bring in their own homes or are you going to bring in homes and rent them as Park Owned? Another option would be to bring in homes and Sell them on terms. You can also mix and match, however with new builds it's usually all of one type and not a mix. 

Once you have narrowed your focus, you should then be able to run your numbers to see what type of values you could hit. You will want to run a test ad or two so you can get a feeling for demand as and run comps for other parks in the area to see where Market Rent is at. 

Hopefully, this helps and maybe some others will chime in as well.

@Kyle Marsh Truly, some very nice work and not only with the figures but the layout as well. Would love to connect. Sent you a request on Linkedin as I have questions. 

@Oniel Samuel I'm not sure of a software/app/tool that can do it but it can be done in Excel. Your current sheet may be a good start and then add in what you are missing. I would be happy to take a look and maybe help you out with a redesign. Reach out if you are interested.

I will echo what everyone else has said that it sounds about right. I have been getting quotes for work in a bathroom which includes some sheetrock, paint, flooring, and subfloor replacement (Pier and Beam house). I have one quote that's around $8K and then the other came in at $16K. Waiting on the 3rd quote. Also been told that the contractors around here are having a hard time finding employees so with you having someone doing work that you seem to trust already I would say you are getting a good deal for sure. Ask him if he wants to give me a quote as I'm not to far down the road :D