1st Lonnie deal--please help - Posted by Brother Bob

Real Estate Investing
#1

Posted by Dirk Roach on November 25, 1998 at 24:55:00:

Every Park Manager that I have a relationship with, answers to an owner. I have no parks that I work with which have an owner/manger situation. Anyhow, it is the general rule of thumb here (San Diego) that any back space rent must be paid. I assume that the PM’s can’t make a call on foregoing back space rent. But I’m not sure about that. I do know that the PM’s I know what/need back space rent, before the deal can go through.
Your people could be different? I do have different options though with different parks, one charges a holding fee (100 dollar break, and they don’t run a credit check on me), another charges half, and still yet another prorates me any space rent I aquire between my purchase time and my selling time. And of course some parks don’t give a break at all.
It’s different with every park that I deal with.
I would talk to them, and feel them out. Lonnie Sruggs says “The Park Manager is very important.” And he is so right. Remember they know what is happening in the park, and they approve or decline who goes in.
I find that if you just talk to them and listen to their concerns and situations, you can have a real asett.
Just some opinions,
Dirk

#2

1st Lonnie deal–please help - Posted by Brother Bob

Posted by Brother Bob on November 24, 1998 at 22:15:57:

Here’s the deal. Couple wants to sell their MH for $7500. I offer them $4000. They balk. I find out that they still owe $5800 to a finance co. with the MH as collateral. And lo and behold they are about $2000 behind in lot rent and late fees. The couple really just want to get out not owing anything. So, I check with the finance co and they will take $3500 to release their lien – but I haven’t yet asked the MH park owners if they would reduce the back lot rent. My question is, should I talk with the park owners about this or will that get me on their bad side? I am not sure what the “protocol” is in this situation as I want to do more deals in this park. BTW I have a buyer lined up who will pay me $9000 – $800 down and $210 a month which gives me a decent yield even if I pay the whole back lot rent. But, I don’t want to pay the whole thing if I can get them to compromise. What do the experts out there say? Would I be burning any bridges with the park owners, or is this something I shouldn’t worr

#3

Re: 1st Lonnie deal–please help - Posted by DJ

Posted by DJ on November 25, 1998 at 08:03:50:

Brother Bob,
Having done several mobile home deals, I would suggest
anything you can do to get on the park managers good side would be advantageous to you. Bottom line is, they just want their money! Find out if the manager is
the owner of the park, or just the on-site manager. If
you can find out who the owners are, you may be able to get a little further with them. Explain to them that you are an investor, and that if they will work with you, you may be able to help them with future
problem tenants like this. Chances are, they will send you future deals! If it ends up that a property management group runs the park, they may be a little more difficult to deal with. In that case, it’s up to you whether or not you think the deal is worth it!
DJ