Buying out TOH for park renovation

Have a 33 space park in California with about 9 tenants with TOH in park remaining. All but 2 are an eyesore and completely ran down. I’m currently having new mobiles brought into park and the plan is to rent them out. What are good options to offer existing tenants to buy them out and move out of park? I just want them gone.

California is a bit tougher to just get them “Gone.”

The First thing I would do is ask them if they will sell you their home. You may be able to buy a few for a few thousand bucks.

I would also start enforcing the rules more stringently. If no rules are in effect then you have to go through the process of initiating new rules.

798.25 is the section for amending park rules.
798.36 is How you can Enforce the Rules.

I’ve found this form to be very helpful.
FOURTEEN DAY NOTICE.pdf (185.8 KB)

Keep in mind when formulating your “reasonable” charges that a crew needs a supervisor to oversee the cleanup project, worker’s compensation, tools, vehicle, insurance.

$1500 is the minimum clean-up charge I have used. The charges get put onto their rent bill. If they don’t pay then you can serve them a 3 and 60 Eviction Notice. Most people get their spaces clean up.

You could just raise the rent.

AW

Thank you so much for your response and good advise. I did offer a couple tenants $5000. One is thinking on it and the other…pretty much laughed at me and came back with counter offer of 20,000. That being 10,000 for mobile and the other for expenses, cost of displacement, i.e. mental anguish of moving and deposit and first months rent for new place. Should I be considering all that when I talk to others?

Do not pay anyone $20K for a POS old Mobile home.

Just do your thing and they will either get with the program or they will sell and leave.

You’d be surprised how much influence a nice fixed up home next door does to someone’s motivation. Especially if they are married “Honey, why does XYZ’s house look so nice. Look how good the paint job looks” etc.

The best way to get better tenants is to raise the rent. Do not do it all at once (as of today it’s illegal to raise the rent more than 10% due to the CA issued State of Emergency). Set up a plan to get where you want the rents to be. IE by 2025 I want the Rents to be $150 more per month per space.

2021 you raise the rents by $25.00. You fix the place up a a bit. 2022 you raise the rents by $35.00, You fix the place up a little bit. etc. The nicer the park the higher the rents, the nicer the homes, the nicer the residents. It’s a virtuous cycle. You just have to do your part and fix the park up.

Also charge the highest rent you can on new move in’s. We may be seeing rent control statewide within the next few years so you want to set the market rents as high as possible otherwise they will BASELINE your rents at a low rate and you will be stuck with X% plus CPI for an increase.