I am looking at a park in Kansas City Mo and the water bills are staggering! It averages 136 per lot. The park has a brand new water system. Reading a few news articles it seems that the city didn’t keep up on infrastructure and now are raising rates to try and pay for it. One article said that the rates would continue to go up through 2022.
If I buy this park and the rates go even higher my concern is that all my rent raise potential will go to the city. Also what stops the tenants from moving to another part of the metro where the water bills are normal. This park has major occupancy issues already and is in default.
Does anybody own a park with this problem or heard of this issue?