cri commercial manufactured housing division...the redding mhp portfolio is situated in shasta...

CRI Commercial Manufactured Housing Division

Exclusive Offering

Tim Ryan

Senior Investment Associate

Redding MHP Portfolio

This information has been secured from a source we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. This offering memorandum is subject to periodic updates and revision, as necessary. CRI Real Estate Property Management is a service mark of Commercial Real Estate Investors, Inc. License #01807613.

CRI Commercial: A Division of Commercial Real Estate Investors, Inc. 151 N California Ave. Top Floor, Oakdale, CA 95361

Tim Ryan | Senior Investment Associate | Direct: 310.862.6103 | Office: 209.845.3861 | Email: [email protected] DRE #02097345 | CRI DRE #01807613

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❑ Redding MHP Portfolio (3)❑Market Overview (4)❑Redding Metro Area (5)

❑ Park Villa MHP (6)❑Property Layout (7)❑Property Details (8)❑Financial Overview (9)❑Property Photos (10)

❑ Lake Shasta MHP (11)❑Property Layout (12)❑Property Details (13)❑Financial Overview (14)❑Property Photos (15)

❑ Portfolio Overview (16)❑ Offering Details (17)



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Table of Contents

Redding MHP PortfolioPark Villa MHP

$4,300,000 – 68 spaces

12125 Lake Blvd, Redding, CA 96003

Lake Shasta MHP

$2,000,000 – 42 spaces

17776 Red Bud Ln, Shasta Lake, CA 96019

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MarketOverview

The Redding MHP Portfolio is situated in Shasta County, 10 miles from the City of Redding, CA, and within 5 miles of the City of Shasta Lake. Both properties are positioned on the west side of Interstate 5 (I-5), adjacent to the Mountain Lakes Industrial Park, offering a diverse supply of manufacturing jobs and employment opportunities. Shasta Lake currently stands as the largest man-made reservoir in California, providing residents with various recreational activities, including boating and fishing. Mount Shasta, a short drive north, also offers numerous outdoor options, backcountry skiing, hiking, and panoramic mountain views. The Redding MHP Portfolio is a rare opportunity to acquire multiple assets in a stable Northern California market.



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Redding Metro Area



Redding MHP Portfolio

Lake Shasta MHP

Park Villa MHP

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Price: $4,300,000

Park Villa MHP12125 Lake Blvd Redding, CA 96003

This information has been secured from a source we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. This offering memorandum is subject to periodic updates and revision, as necessary. CRI Real Estate Property Management is a service mark of Commercial Real Estate Investors, Inc. License #01807613. 6



❑ Park Villa MHP consists of 68 spaces, 48 can accommodate double-wide homes, the other 20 are sized for single-wide homes.

❑ The property is comprised of one parcel on 16.38 acres of usable land.

❑ Amenity package includes a clubhouse, office, pool, billiards, and laundry facility.

❑ There are two parking spaces per homesite.

❑ Development density of 4.15 Units/Acre (68 Units/16.38 Acres).

Property Layout

Potential Expansion Opportunity

Pool

Office, Clubhouse, Laundry Facility

CLICK FOR VIDEO

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https://youtu.be/9IZynr6nNWY

Property Details

Property Name Park Villa MHP

Price $4,300,000

NOI $232,852

Cap Rate (Current) 5.42%

Occupied 61

Total Units 68

Occupancy (%) 89.71%

Lot Size (Acres) 16.38 AC

Community Type All Age

MH | RV Lot Rent (Avg.) MH $517 | RV $540

City Services Water 100% of units | Sewer 78% of units

Septic Septic 22% of units

Gas & Electric Utility Billback (PG&E)

APN / Parcel 064-340-025-000

Zoning Mobile Home Park District (MHP)



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❑ There is an on-site manager in space 53 that works 35 hours a week for $13/hour and receives a $250/month lot rent credit.

❑ Per HCD, Park Villa has 68 spaces. One of the spaces was converted to parking and is being re-commissioned for a potential of 69 spaces. Utilities are currently at the site.

❑ There are 57 spaces occupied by mobile homes, including one currently occupied POH renting for $995/month and includes utilities.

❑ 3 new homes were recently placed with a value of approximately $200K.

❑ Long-term RVs occupy 4 spaces; the rent includes utilities.

❑ Rent income reflects a lot rent increase of approximately 4%, which will occur on Jan 1, 2021.

❑ The City of Redding provides sewer service for 53 spaces. There is an on-site septic system that services the remaining 15 spaces. Sewer is not included in the rent. The landlord is billed for sewer usage and reimbursed by tenants $40.59/month.

❑ PG&E is responsible for maintaining the electricity and gas lines. The landlord is billed for electricity and gas use and reimbursed by tenants.

❑ Water is currently included in the rent. Opportunity for utility billback upon acquisition.

❑ Garbage is not included in the rent. The landlord is billed and reimbursed by the tenants $33.16/month.

CA Tax Reset

Opportunity for utility billback



Park Villa MHP – Financial Overview (Full Year) Income

Rent $384,768

Electric $38,505

Gas $31,598

Sewer $23,077

Trash $18,556

Laundry $1,903

Application Fee $938

Total Income $499,345

Expenses

Office $6,167

Employee $15,738

On-Site Manager $23,660

Insurance $9,946

Landscaping $3,767

License & Permits $2,909

Supplies $5,993

Repairs and Maintenance $16,655

Property Taxes (Est. 1.13%) $48,590

Garbage $18,027

Electric $51,474

Sewer $27,319

Gas $16,398

Water $19,850

Total Expenses $266,493

Net Operating Income $232,852

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Park Villa MHP – Property Photos

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Price: $2,000,000

Lake Shasta MHP17776 Red Bud LnShasta Lake, CA 96019

This information has been secured from a source we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. This offering memorandum is subject to periodic updates and revision, as necessary. CRI Real Estate Property Management is a service mark of Commercial Real Estate Investors, Inc. License #01807613. 11



❑ Lake Shasta MHP is comprised of 42 spaces on 5 acres of usable land.

❑ A separate 5-acre parcel is included at the north end of the property.

❑ There is an office for the on-site manager.

❑ Development density of 8.4 Units/Acre (42 Units/5 Acres).

❑ Opportunity for amenity addition utilizing excess land.

❑ This property is located 4.3 miles from Park Villa MHP.

❑ There is one parking spot per homesite.

Property Layout Excess Land

Excess LandOffice

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Excess Land

CLICK FOR VIDEO

https://youtu.be/murtStkQsoc

Property Details

Property Name Lake Shasta MHP

Price $2,000,000

NOI $141,882

Cap Rate (Current) 7.09%

Occupied MH 34

Total Units 42


Lot Size (Acres) 5 Usable | 5 Excess

Community Type Age Restricted

MH | RV Lot Rent (Avg.) MH $461 | RV $475

Water & Septic City Service (W) | Private (S)

Electric Direct Billed (PG&E)

Garbage City Services

APN / Parcel 006-740-018-000006-720-017-000



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Lake Shasta MHP – Financial Overview (Full Year)

❑ 34 of the 42 total spaces at Lake Shasta MHP are currently occupied. Market occupancy for age restricted communities in Redding, CA is 96.17% presenting an opportunity for future lease-up.

❑ Lake Shasta MHP has two sites that are not fully developed. All development fees have been paid and HCD recognizes the sites, but some additional utilities need to be installed.

❑ Long-term RVs occupy 3 spaces and are billed for water, sewer, and garbage.

❑ Lake Shasta MHP has 5 POHs. There are 2 POHs currently for sale and 3 additional POHs under renovation with a value of approximately $60K.

❑ Rent income reflects a lot rent increase of approximately 6%, which will occur on Jan 1, 2021.

❑ Tenants are billed a flat rate of $31.17/month for city water, $40.01/month for septic, and $20.25/month for garbage. There is a new gas distribution system completed by PG&E in 2015. Gas and electric are direct billed to tenants.

❑ 2019 property tax expense of $17,911 will be reset to approximately $22,600 upon acquisition due to Prop-13.

❑ The on-site manager splits time between Park Villa MHP and Lake Shasta MHP.

CA Tax Reset



Income

Rent $185,220

Electric $23,904

Sewer $13,413

Water $9,815

Garbage $4,948

Application Fees $525

Laundry $111

Total Income $237,936

Expenses

Administrative $3,020

Legal & Professional $3,119

Employees $15,738

Insurance $7,773

License & Permits $1,682

Payroll $2,739

Septic Maintenance $4,469

Landscaping $1,082

Property Taxes (Est. 1.13%) $22,600

Repairs and Maintenance – Other $203

Office $484

Electric $17,193

Garbage $6,326

Water $9,626

Total Expenses $96,054

Net Operating Income $141,882 14



Lake Shasta MHP – Property Photos

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PortfolioOverview

Portfolio Name Redding MHP Portfolio

Price $6,300,000

NOI $374,734

Cap Rate (Blended) 5.95%

Occupied Units 95

Total Units 110


Lot Rent Avg. (Portfolio) MH $500 | RV $512

Total Acreage 26.38 AC

APN / Parcel 006-740-018-000064-340-025-000006-720-017-000



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Tim Ryan Senior Investment Associate Direct: 310.862.6103Office: 209.845.3861Email: [email protected] #02097345 | CRI DRE #01807613

Duane Brazil Licensed Broker & CEODirect: 209.988.6110Office: 209.845.3861Email: [email protected] #01322091 | CRI DRE #01807613

Exclusive Brokers Offering Details



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PricePark Villa MHP – $4,300,000Lake Shasta MHP – $2,000,000

Offer SubmissionSubmit offers in the form of a non-binding Letter of Intent. Please spell out all significant terms and conditions of Buyer’s offer including, but not limited to, (1) purchase price, (2) earnest money deposit, (3) due diligence period, (4) closing timeframe, (5) track record, (6) qualifications to close, (7) detailed summary of financing.

OffersPlease submit all offers to [email protected]

mailto:[email protected]



cri commercial manufactured housing division...the redding mhp portfolio is situated in shasta...

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