Best use for vacant land in MH park?

I’m currently under contract on a MH park that includes app. 12,000 sqft of undeveloped land along one side of the park. It’s bordered on one side by a city street and on another side by the interior road in the park. Can anyone suggest profitable ways to develop this land? I was thinking about adding additional pads (6-8, already approved by the city) mini-storage, or covered/uncovered boat/RV storage. I’m new to the MH world, so I’m not even sure at this point what zoning would allow.

Any ideas?

If the city will allow additional lots – and the demand is there via a test ad – then that’s your best option. The storage ideas are not even in the ballpark of being as valuable an addition.

The current owner told me that she got a quote of $4500/pad for the new lots, including city impact fees. Does this sound like a realistic ballpark?

No, not even close. I’ve built several expansions, and the going rate is around $7,000 to $10,000 per lot, not including any city costs [that includes water, sewer, electric, two-car parking pad, asphalt road throughout and dirt work]. You can get a realistic handle on this by getting three bids from local builders, plus talking to the city on their fees. In many cities, the impact fees alone will be more than $4,500 (the highest I’ve seen is $25,000 per lot). This seller has quite an imagination, that’s for sure.

While you didn’t mention where the park was located let me throw this option out there.

Install Solar panels on the vacant land.

  1. They’ve come down in price to the point of being a reasonable option

  2. The Feds give you 30% back on the cost of the system

  3. Most states give back an additional 10 to 30 percent (again it depends on where you live), but like I said MOST STATES

  4. Some power companies allow “account grouping” meaning you could have your panels generating a credit over there in left field, and then apply that credit to the group of accounts. Sound like sub-metering the electric?

If ya have any questions about this option feel free to ask, I know a lot about solar / renewable energy.