This property currently has 13 single wide homes on site, with 3 park owned homes currently occupied at an average of $475 per month. There are currently a total of 13 homes on site, the majority of which are salvageable. Additionally, there is a single RV on site. New ownership would be able to renovate the homes at an estimated cost of $10,000 to $15,000 per unit. Renovating these homes would offer new ownership the ability to quickly increase economic occupancy without the need for immediate infill. Currently there are 3 abandoned tenant owned homes on site, and one RV.
Rent estimates for park owned homes, or rent to own contracts after renovations are $700-$800 per month in the area.
The property was inherited by current ownership, and they believe there are 27 to 33 usable lots between the two parcels.
Current ownership pays for lawn care and park lighting, with all other utilities billed directly to the tenants. This offers new ownership a value add opportunity, without the need to pay recurring bills or bill back utilities.
Utilites
The water and sewer lines are believed to be 15 to 20 years old, and are likely PVC based on the date of installation.
The southern side of the park has some older electrical pedestals which are 50 amp globe fuses on roughly half of the southern lots. These pedestals will likely need to be repaired or replaced by new ownership.
All utilities are billed directly to the tenants.
Seller Financing
Current ownership is willing to offer seller financing to qualified and experienced buyers.
Proposed terms are:
Down Payment: 30% of purchase price
Interest Only Payments for 1-2 Years
Balloon Payment between 5 and 10 Years
Estimated Monthly Payments at the end of the 1-2 year interest only period are $1,049 per month ($12,588 annually)
Financial Analysis
Financial analysis is based on one time capital expenditures at an average of $12,000 per vacant home, and on selling all of the park owned homes on a 5 year, interest free rent to own contract at an average of $750 per month.
At the end of the contract period, lot rent was estimated at $300 per lot.
Mound City, MO
Mound City, MO is located at the Intersection of I-29 and MO Route 118. Mound City is located 30 minutes from Savannah, MO and 35 minutes from St. Joseph, MO.
The property offers affordable housing, with a short commute to the surround St. Joseph and Kansas City markets.
Currently the population of Mound City, MO is roughly 1,000 residents and has a median income of $33,000 per household, showing a strong demand for affordable housing in the area.
