The management company that purchased Wilson’s, and 12 other parks in Champaign County, was RV Horizons, although it now operates under different names. David Reynolds is listed as President of RV Horizons on the mobile home park deeds, according to a review of property records by CU-CitizenAccess.
In February of 2018, Colorado-based RV Horizons sold its 12 mobile home parks in Champaign County to Mothership PropCo. David Reynolds was also listed as an agent on Mothership PropCo’s filings with the Colorado Secretary of State, indicating that Reynolds sold the properties to another company he was affiliated with for millions more than he had purchased the parks for, according to a CU-CitizenAccess review of county property sales.
The rent spikes inspired the two women, along with other manufactured home residents across Illinois who are part of a group called [Manufactured Housing Action], to advocate for lifting a 1997 ban on rent control in the state.
Illinois State Senator Mattie Hunter, a Democrat from Chicago, sponsored legislation that would lift the 1997 Rent Control Preemption Act. The measure would also establish elected rent control boards around the state who would be tasked with putting in place “regulations concerning rent for households of specified income levels, including restrictions on increasing rent-controlled amounts,” the bill states.
60 years ago the farming communities were made of Mon and Pa ownership. In the past 40 years small farms disappeared and presently one government farmer is farming what was once farmed by over 30 farmers plus. The present farmer is totally controlled by the government, CIP, Reap, etc, how acres he plants and the support price for his crops her produces. Crop insurance is 45 % covered by taxpayers. With fewer park owners it will be VERY EASY to control and the poor people will demand and receive government payments for rent BUT our government will ENFORCE RENT CONTROL–Reynolds is a good person BUTT the desire to control many parks by one entity will make the change very easy. With the present socialist progressive in vogue it is probably being look at by Bernie S. right now!!!
Sure. It’s mainly a personal preference though. I’m not particular interested in RV parks as they are a significantly different business model than MHPs. Also, Illinois is a very blue state with negative population growth. The fact that there are high taxes, very tenant friendly laws(that doesn’t really make things easy for us), and a net migration out of the state are all good reasons for me to stay away.
A side note, Florida has many parks that are now resident owned and will never?? be available to park owners (could that be more in vogue in the future). Illinois is really an area that needs to be watched carefully as well as California with a net lost of population, very high unsustainable debt, and very high taxes–these states tend to indicate what can fly since voters that potentially control elections there are less than middle class. People can now vote their pork barrel needs and have the middle class pay for it and politicians love that mentality (easily controlled). We have just got feed back from our yearly increase—very positive since they see and experience the improvements and have a very pleasant environment. Just raising the rents because the people can’t move and allowing the place to be nasty hurts the face of the park business for all–we need to be the best park owners possible so their experience is exceptional . I still say the large operators like Sam Zell and others will lead to government intervention for the poor and the smaller operators will take in on the chin (Ouch) and partially because of greed!!!
The lease I’ve seen (possibly Frank and Dave possibly not), the lease term is provided and says that year 2 of the 1 year lease there will be an increase of xx$ or xx% , there are specifics that need to be covered in IL so its recommended to know the details , thats just going off the top of my head.
I am very familiar with the 1 and 2 year leases for POH. I was inquiring about the month to month leases mentioned above…where is the knowledge , and security for the tenants (whether they rent or own the mobile home?) what the cost will be beyond the M2M lease? How do they know if the rent will be in 6 months? Or a year ?
Have never used any type of lease for 0ver 30 years. The tenants are M2M plus they also can move their homes out with a 30 day written notice to management or we can have them out with a 30 day notice. We have a yearly increase every year and believe our residents expect it. Park owners are private enterprise that have a profit motivation for existence and have a choice as to how and when they have increases unless state statues state otherwise. As to Shamrock I know no business that guarantees their price for a year that we deal with and the last time I checked a tenant is not forced to stay in a certain park–you are free to move to find the best deal possible!! Tenant owned parks in Florida are now moving back to private ownership—I know WHY!!!
It is not easy, nor affordable for most mobile home owners to “move homes out of parks.” Even Frank has said this is an advantage to investors. Many mobile homes are left “abandoned” annually when residents can’t afford to pay continuous sky rocketing rents, can’t sell, and are forced to just leave their property at the park and move out.
I would assume that with M2M you could have rent increases multiple times per year? Tenants can’t plan as to what the increase percentages might be. To me this is a complete lack of security to long term good tenants.
Rent increases intervals are often/usually governed by state landlord tenant regulations and restricted to 12 month intervals. Tenants do not have security from market driven rent increases. Rent levels are not guaranteed for tenants or investors. For a investor a good tenant is one that can afford to pay market rent.
I understand what you mean. But please understand that people who can no longer afford the new park owner’s goal to increase rents to market level can’t always sell their homes and move. Why? Because the new owner will not approve the buyers a seller has found. I recently met an older owner who last year tried to sell her mobile home (she had lived in the park 20 years), and was approached by three different buyers, who had the money. Nine of the three potential buyers was approved by the park owner, so this older woman is stuck in the park.
I merely am saying it’s not as easy as you all think it is for people to adjust to rapidly increasing lot rents, nor sell their homes and move.
This is one of the primary reasons why mom and pop park owners must apply annual rent increases. If they do not their rents fall below market and then when they sell the new owner invariable will increase the rent to market. By keeping rents at market yearly tenants have time to make decisions that rapid increases do not allow.
Mom and pop owners that do not maintain market rents do a disservice to their tenants.