45 lots Known Drug Den and Prostitution


#1

How does one go about cleaning up these types of parks (this one there is no on site manager out of state owner managing himself). I love fixing up bad situations but I have mostly done single family flips with transient and squatters/drug addicts. It alot easier when i can control the single house and be there all the time, and keep them out or moving along when they come by. A mobile park is another story where I don’t own the home, only the land so I cant just block their entry :slight_smile:

The park is decent as far as road and unit condition ( old single wide units but no tarps or vacant tear downs) Just the clientele who deal drugs and sell sex…no big deal right

How do I regain control when there is no foothold like on site manager/office (really no management altogether the owner is out of state trying to run it from CA).

Just show up with a 2x4 and a pair of Aviators and start kicking ass and taking names :wink: ?

Currently the park is so far out of compliance the city said they have had it and are about to pull his operating permit and shut him down.

Seriously though I love how fixing up these situation can turn a whole neighborhood around. What do you guys do?


#2

Hello Cobra.

Wow, this is a tough one. I would definitely get the local authorities involved… Or, raise the rent to where they couldn’t afford to stay there… But with drug money, they probably could still afford it.
I’m not sure how I would go about this.


#3

The only method is to begin the evictions. Install surveillance cameras, hire off duty officers to patrol and basically put pressure on their operations. Drug dealing and prostitution does not like to be exposed to day light…
Once the clear out begins it will evolve on it’s own. Not easy, not fast but possible.


#4

What do I do day one on possession? Can I draft new rules for the park and walk in and start beating on doors and handing them out. “Hi im the new owner, there are going to be some changes. If you break the rules you out” (of coarse i would follow all landlord tenant laws and go through legal process) . Or can I just start handing out violation notices left and right based on City violations to start the eviction process?

What is the first step?

Great advice so far thanks Greg and Rhonda!


#5

Cobra,

What state? Some states will be easier to clear out bad residents than others. Would hate for you to get bad ideas/advice for your location.


#6

I live in Washington State


#7

I don’t know your state law but…

Day 1 you issue new rules that will be effective in 30 or 60 days or whatever is legal. You also begin the eviction process for all non payment immediately. This will clear out most of your troublemakers. You also issue notice of violations “right and left” as you say, with reasonable time to cure, and keep going on this track until you learn what your local judge will require you to document with respect to rules violations. You will need some proof of willful disregard for the rules to get sympathy from judge.

Sometimes tenants try to tell you you can’t make them obey the new rules but you hold all the cards. It will probably take as long to get to a showdown in court as it will take for the rules to become effective anyway. Even if you fail under the existing rules you can come back in 2 months anyway with an update so there’s really no long term solution to tenants refusing to comply, you just have to get them to realize they need to leave or conform.

This is easier if there’s demand to fill the vacancies you’re going to create.


#8

Keep in mind through out the process that you can not retain any of the existing tenants that are involved in illegal activities. Take advantage of the police and the city to identify the drug and prostitution activity and evict without exception. Do not give any time allowances for compliance simply non renew their leases.


#9

I agree with issuing rules and evictions if they don’t comply. Then make sure you follow through. I would also Invest in an onsite police man. You can hire an off duty cop for about a week or two or three. What ever it takes. This would scare away some of the riff raff.


#10

You can evict the bad apples. This is no problem that time and money won’t fix.
The problem will be getting new, decent tenants. Who would move to a place known for drugs and whores?
If its one bad mhp in a decent neighborhood, you can probably do it.
If you are buying a drug infested park in the “Heroin Heights” neighborhood, good luck.


#11

Its not a great area but it really depends on who is running the Apartments or mobile park. But that is where the deals are…there are nicer areas around but then youll need to cash the owner out with a commercial loan and get like a 7% cap. Seems in those areas buyers just want the cap with limited upside unless rents increase (no value add on my part) almost as if they just need a place to park the $$$. I need to kill it on my first deal and it doesn’t seem like 7% is all that great with no value to be added . Those parks are also larger in size like 100 +

Great suggestions everyone!


#12

Evict…spend the money and evict. Then gentrify.


#13

In Fla you’d have to amend the prospectus. Then notice them for the violation.