Hi, Is there any educational material teaching in developing a mobile home park starting from a vacant land? or, some one please help me in this area?
I may have a chance to acquire a lower price of vacant land with electrical and water on the site, about 4 ac land
what is the cost to lay out the design for the mobile home park?
what is the cost to lay concrete?
do I need to buy mobile home to the park and start renting it out?
is this a good strategy?
in condition, I have budget constrain and need financing to develop the park, is there any lender do financing for developing mobile home park?
I have called a couple of developers, but, they said they don’t do / not specialized in mobile home construction.
I am in Texas
Thanks in advance
Hi,
I can certainly help you out!
The initial design is fairly cost effective which includes penciling out a scale plot of roads, parking, handicapped, mobile spaces, hydrants, utility runs, lighting, etc. The cost for a civil engineer to map out and draw an approved set of working blueprints could be $1000 to $1500 per space. (Price varies depending on soil type, drainage, flood plain, etc.)
The cost to pour concrete depends on finish, quantity, type of reinforcement, use, etc. Probable a good rule of thumb is $350 per yard for slabs (64 sq. ft.) and $650 per yard for structural retaining walls, footings, cast in place, etc.
When you finish the park, you hopefully have applicants to move less than 10 year old (Single or Double wides) into the park along with a choice to buy new or used units to furthur furnish the park for rentals! This will depend much on stipulations from the planning and zoning department on what type of and function for the park is deamed to be in the publics best interests!
(Depending on the state the park may be granted a owner occupied park only prohibiting park owners from owning or renting units, and limited to collecting fee’s for space rents only!)
It can be good, however you will ultimately have $25k to $50k per space in cost initially against space rents of say $450 per month!
Hard money lenders may make construction money available for a park, and some conventional lenders, you will probable still need 25 to 30% in cash in the deal. If you can get land owner to subordinate to new financing that may help reduce your cash needs and allow a construction money loan which you would refinance after construction is completed to pay your construction loan and land off!
Mobile home parks are not really development because fundamentally they are land improvements and do not have income until the space’s are rented / leased!
I figure you could get roughly 50 double wides into 4 acres!
GR