All Forum Posts by: Nathan H.

@Clinton Ide I was browsing posts about Casper and just came across this. Super random, but I had this property under contract for about 4 months before it fel through. It’s off the market now, but will probably be back at some point. There’s a deal in my opinion, but it’s complicated and a high risk/ high return situation. I’d be happy to talk to you about it if you still have any interest. I have some investments in Casper including 1 mobile home park. Would love to connect with another investor in the area

@Adam Lacey sorry for the late response, haven’t logged in for a while. The project is in Wyoming.

Since posting I hired a GC who was recommended by my bank, property manager and electrician. Seems to have a great reputation and is well connected with the city. After doing a lot of due diligence, I’ve decided there’s no need for an architect on this project. We’re just adding a few walls and doors. The use is close enough to the original use that most things are grandfathered in. It seems like this may be a more simple project than I was anticipating. 

@Nik Moushon

Thanks for the response! That's great to know, gets rid of a lot of the ambiguity. I'll start calling around

Hi BP Community, 

I'm currently under contract on a 21 key motel that I plan on turning into about 14 apartments. I'm a fairly experienced investor, but I have never been involved in any sort of development or re-development project. I'm mainly looking for advice on building my team and doing due diligence. 

 The city is very much on board with helping me make this happen, so no problems there. I have a great relationship with a local bank who will finance it and have a healthy budget for the project, so no problems there either. I'm struggling with the technical steps of figuring out if this project is feasible, redesigning the layout, electrical, plumbing, HVAC ect. Do I hire an architect first to draw up a floor plan, let a GC take it from start to finish, or something else? I have no idea! Help please!

Thank you

@Dave Rav Thanks for the response! I don’t know the answer to this, especially the state specific one.. But would this be a foreclosure, repossession or something else? 

There is no deed and it would be secured with a UCC security agreement as is the norm with mobile homes, not a mortgage or deed of trust. I simply have a title, just like a car has. 

I bought this property distressed for about 400k in a 1031 exchange. It has been a significant value add project so I have about $1.2m in equity. That equity needs to be leveraged with a bigger principal balance than is appropriate for a park of this size. But you’re absolutely right, mobile home parks are monsters! There’s just a better owner for this one than myself (know anyone?!). I love the SC market btw 

Also, the reason I don’t want to do rent to own is I feel like that would complicate things when I sell the land. Not sure though, maybe it would be ok

@Rachel H. Thank you for the suggestion. I actually am an MLO, but what I'm struggling with is loan vs. contract for deed and how to protect myself and the new owner if the tenant defaults on lot rent, trailer payment or both. I live in Colorado and the park is in Wyoming, so I'm not totally familiar with the laws.  

@Caleb VanTimmeren Thanks Caleb, I'll look into that. 

@Karen Hamblet I don't know if there is going to be a cash buyer out there, but I don't see why it needs to be cash.  It will be an 8 cap MHP with no park owned homes which is competitive, so I would imagine there are several buyers out there and if not I'd be content keeping it. 

Hi Bigger Pockets!

I’m hoping to get some advice on how to structure the sale of mobile homes to several tenants at a MHP in Wyoming. 

What I'm trying to accomplish is 2 fold; a higher NOI on the land portion of a MHP and a more affordable monthly payment for the tenants. I don't want to set the tenants up for failure with a bunch of differed maintenance and I also want an aesthetically pleasing park, so I'm in the process of a rehab.

I'm willing to finance all of the trailers to the tenants on terms that would make the monthly payment + their lot rent the same as, or less than market rent. They get a nicer place for the same or less and pay down principal, I don't have to deal with much turnover or maintenance and the land portion gets a higher NOI.

I want to set this up with the ultimate goal of selling the park next year, but keeping the seller carry notes and continuing to receive payments on those. My question is, does anyone have experience with a structure like this? Any advice on how to set this up as far as leases for lots, seller carry vs contract for deed, park rules ect?

I have an attorney I’m going to work with on this, but just wanted to see if there is anyone out there with first hand experience. 

Thanks!

@Todd Plummer I appreciate the offer! I was actually there last weekend, I should really check my BP notifications more often! 

I love the market. I was really impressed by everything I saw. The neighborhood the apartment is in is way better than I thought it would be. Super excited about the deal and planning on moving forward so far. 

@Todd Plummer @Jonathan Dickerson I’m under contract on the property as of last week. I’ll post anything I learn that might be helpful to this discussion. Thanks everyone for the input. I’m excited for this deal!