Three Times in (Land lease) Community History, Owners/operators Have Convened to Plan & Effect Their Collective Business Future

Blog # 567 @ January 2020; www.educatemhc.com

Perspective. ‘Land lease communities, previously manufactured home communities, and earlier, ‘mobile home parks’, comprise the real estate component of manufactured housing.’

This blog is the online national advocate, official ombudsman, asset class historian, researcher, education resource & communication media for land lease communities in North America!

To input this blog &/or affiliate with EducateMHC, telephone Official MHIndustry HOTLINE: (877) MFD-=HSNG or 633-4764. Also email: gfa7156@aol.com, & visit www.educatemhc.com

Motto: ‘U Support US & WE Serve U!’ Goal: promote HUD-Code manufactured housing & land lease communities as U.S. source of affordable attainable housing! MHM class: 1/14/2020 in KY

INTRODUCTION: One of the intriguing things about being an industry and realty asset class historian, is sensitizing oneself to historic happenings before and as they occur. Year 2020 finds us on the cusp of circumstances potentially affecting the near and interim futures of manufactured housing, and land lease communities – large and small – coast to coast. Read on….

I.

DID YOU KNOW?

Three Times in (Land lease) Community History, Owners/operators Have Convened to Plan & Effect Their Collective Business Future

First time was 31 August 1993 in Indianapolis, IN. Then, 19 owners/operators, anticipating the REIT wavelet of 1994 & 1995, formed an Industry Steering Committee, to ensure better national representation and advocacy as a viable realty asset class! RESULT? On 1 January 1996, MHI launched its’ National Communities Council (eventually) division. The NCC story is told in Bruce Savage’s 2013 book, The First 20 Years! available at educatemhc.com

Second time was 27 February 2008 in Tampa, FL. Then, 100 owners/operators, dismayed by the continuing HUD-Code housing shipment slide (81,889+/- that year), met for the first time, in a National State of the Asset Class (‘NSAC’) caucus. RESULT? Five Strategies & Action Areas: Need to improve political influence & community advocacy; need for an advertising campaign; importance of value proposition re housing product, loan terms, and rental homesite rates; need to improve resident relations practices; and, need for reasonable access to chattel capital for home-only loans on-site, plus creation of a secondary market. A decade later these five strategies and action areas continue to influence the business model.

Third time was 27 February 2009 at the RV/MH Hall of Fame in Elkhart, IN. Then, 100+ owners/operators and HUD-Code housing manufacturers convened for a second NSAC caucus, to address the now precipitous housing shipment slide (49,789+/- that year). Two RESULTS? Agreement on a new housing design for HUD-Code homes going into land lease communities. These were singlesection and modest-sized multisection homes with WOW factors, and durability-enhancing features to speed ‘make ready’ between owners and or renters. This new model, later that year named Community Series Home, replaced the Developer Models (a.k.a. ‘big box = big bucks’ units) of the mid to late 1990s. Second RESULT? In 2009, only 24% of new HUD Code homes (i.e. 12,000 units) went directly into communities; by year end 2014, the volume increased to 40%, or 26,000 new HUD-Code homes! Today? Likely plateaued, and…

Once again, Land Lease Community Owners/operators Are Expressing Interest in Convening, to Plan & Effect Their Collective Future

The informal, semi-public open discussion meeting planned to occur during the upcoming Louisville MHShow in Kentucky, on 16 January 2020, is NOT intended to be large like the three historic meetings just described. Rather, it will be a dozens gathering, during which a decision will be made whether to plan and facilitate a major national convening of land lease community owners/operators, and interested parties, mid-year 2020. If sincerely interested, and have ‘skin in the game’ as a HUD-Code housing manufacturer executive, or community owner/operator, even a GSE or NGO rep, let me know, via gfa7156@aol.com or Official MHIndustry HOTLINE: (877) MFD-HSNG or 633-4764. Attendance is somewhat limited by meeting space availability.

So, what matters appear to be precipitating this push for a major national convening of land lease community owners/operators, mid-year 2020? Here’re some of the key factors brought to my attention of late:

• To direct, dues-paying members of MHI’s National Communities Council, the division appears to be askew, given recent departures of key NCC staffers; especially one who’s kept members abreast of Federal Fair Housing matters. And there’s still no NCC-dedicated news media published on a regular basis.

• Given that CrossMod™ HUD-Code homes meet GSEs MH Advantage & CHOICE Homes DTS program requirements for real estate-secured lending, what will present & future access to home-only (chattel) loans be, during this second round of DTS program planning?

• In days of yore, say the 1970s, when ‘mobile home park’ owners increased site rent unconscionably, other investment property owners in the same local housing market, would visit the offending party and entreat them to ‘back off’ or face blackballing. What might be practical and effective remedies today, when outsiders (some say interlopers) likewise abuse their homeowners/site lessees?

And there’s more, much more that could be penned here. If interested in the complete list of 13 Evergreen (‘always present’) Issues worthy of industry and asset class leadership action, read them in the 31st annual ALLEN REPORT, distributed by EducateMHC during January 2020. To obtain your copy, visit www.educatemhc.com

In summary, the goals of meeting together informally, in a semi-public, open discussion venue during the Louisville MHShow are to:

1) Gauge interest in participating in a national convening of land lease community owners/operators during mid-2020. Who is interested in leading & facilitating?

2) What are the ‘hot topics’ to include in the meeting agenda? Does not have to be restricted to the known and publicized, albeit perennial, Evergreen Issues. Have you noticed? No one else is asking!

3) One or two day program? Involvement of MHI, MHARR, NAMHCO, EducateMHC?

4) Preferred locations? Probably Midwest, to attract coastal owners/operators. Chicago, RV/MH Hall of Fame in Elkhart, IN, Indianapolis, etc..?

Finally, and again; if desiring to participate in the Louisville MHShow meeting, you must let me know via email and or telephone this week! On or before Friday, 10 January 2020! Remember, attendance is limited! And if unable to attend, but interested in staying abreast of national meeting plans during mid-200, let me know likewise, via email. GFA

***
POSTSCRIPT

Be aware, The Allen Confidential! Publication, effectively a merging of the Allen Letter and the Allen CONFIDENTIAL! business newsletters is much more, content wise, than the two predecessors. We’ve really ‘pulled out all the stops’ to get you the latest land lease community news; photos you’ll see nowhere else; muckraking – when need be, not effected by anyone else; and, so much more! Visit www.educatemhc.com today and become a subscriber if not one already! CLICK HERE for BASIC EDITION OR CLICK HERE for PRIME EDITION. GFA

George Allen , CPM, MHM (317) 346-7156
EducateMHC
Franklin, IN

Leave a Reply