I’m looking at a long-term RV park. 40 spaces, currently 30 are filled. 27 @ 400 lot rent, 3 @ 650. All RVs are tennant owned.
City sewer/water in a common area. Tennants pay eletric. Avg 1Bdr rent for the area is 800 mo and the park is located in a metro area with lots of service jobs in walking distance.
Asking is roughly 1 mill.
NOI is 122k and all of the tennants have been there a while.
The park is a real dump so I’m toying with strategies . A friend in the biz cleans parks up like this by yanking out all of the junk trailers (RVs) and paying 5-6k for mediocre ones and increasing the tennant quality over time. There are 10 spaces to expand into and it has been poorly managed over the years. I’m fairly certain I could fill it.