Cozen O’Connor: Developers Seen Eyeing Manufactured Housing for Land Source

Developers Seen Eyeing Manufactured Housing for Land Source

Monday, March 31, 2014

Richard Close, a member of Cozen O'Connor's Real Estate Practice Group, discusses the trend of buying and redeveloping existing manufactured housing communities in an article by Real Estate Finance & Investment. The value of land often exceeds the value of mobile home parks, which has increased developers' interest in purchasing manufactured housing communities that line major cities in California, such as San Diego, San Francisco, and Los Angeles. Manufactured housing land has become more appealing as the cities continue to expand, and these cities realize there is a need for rental housing, which could be developed on manufactured housing land. Another factor in this redevelopment trend is that many of the properties were built as temporary housing. "As a result, the infrastructure and utility systems are now at the end of their useful lives and many park owners don't want to spend the millions necessary to put in new utilities," Richard explained. 

To read the full article, click here (subscription required).