I have a 57 space park under contract in the due diligence phase. It has 32 spaces occupied with 12 POH’s. Average lot rent is $225 while the market is $285-$325. Seller bills back 50% of water and sewer. So very quickly there is some great upside and then filling the vacant lots over time.
I am working through a broker and the seller has not been been willing to provide financing.
It has been a very slow process in obtaining documentation from the seller and most importantly the seller has not been able to provide bank statements (because he comingles with many other properties) or tax returns more recent than 2013 (2014 is on extension and won’t be available until late September or early October). So income can’t be verified more recently than 18 months ago.
I’m feeling inclined to walk unless maybe doing a lease option for 6 months (min) to establish an income trail.
Does anyone have any suggestions…other than following my gut and looking for the next deal?
I greatly appreciate any input!