manufactured housing property for sale westgate mhp · • direct billed water, power, and gas •...

MANUFACTURED HOUSING PROPERTY FOR SALE

WESTGATE MHP2700-2800 WEST 5TH & 502 NO BUFFALO BILL AVE, NORTH PLATTE, NE



FINANCIAL ANALYSIS 41.

Financial Summary 5Unit Mix Summary 6Income & Expenses 7Historical and Proforma Financials 8Notes to Financials 9

PROPERTY INFORMATION 102.

Property Details 11Additional Photos 12Additional Photos 13

LOCATION INFORMATION 143.

Market Overview 15Market Overview (page 2) 16Location Maps 17

SALE & RENT COMPS 184.

Sale Comps Map View 19Rent Comps Map View 20

DEMOGRAPHICS 215.

Demographics Map & Report 22Back 3

PROPERTY OVERVIEW

Sunstone is pleased to offer for sale Westgate Mobile Home Park. Westgate is a 39space community located in North Platte, Nebraska. In addition to the park, there is alsoa single family home attached to the park and one additional mobile home located onemile north of the park for a total of 41 spaces. The property is currently 90% occupiedand has showcased steady occupancy. The park offers direct billed Water, Power, andGas utilities. There is on site management in place that takes care of day to dayoperations allowing for the owner to live out of state. The property comes with 15 parkowned homes in which 12 are on ILA contracts, two have rental tenants, and oneinventory home that is currently being remodeled. The property is located in atax-incentive financing zone.

PROPERTY HIGHLIGHTS

• 41 total sites - 90% occupied

• Direct billed water, power, and gas

• All lots feature off street covered parking with storage

• Onsite management


OFFERING SUMMARY


2700-2800 WEST 5TH & 502 NO BUFFALO BILL AVE, NORTH PLATTE, NE

WESTGATE MHP

Park Sale Price: $1,000,000

Homes Sale Price: $200,000

Total Sale Price: $1,200,000

NOI: $74,640

Number Of Spaces: 41

Occupancy: 90%

Lot Rent: $240

Lot Size: 10.08 Acres

SECTION 1

FINANCIAL ANALYSIS

FINANCIAL ANALYSIS


WESTGATE MHP

INVESTMENT OVERVIEW YEAR 1

Park List Price $1,000,000Price per Unit $25,000# of Rental 2# of LTO/ILA 12# of Inventory Homes 1Total Community Owned Homes 15

Park Owned Homes Price $200,000 2Total List Price $1,200,000

OPERATING DATA YEAR 1

Gross Scheduled Income $121,032Operating Expenses $46,392Net Operating Income $74,640



WESTGATE MHP



WESTGATE MHP

UNIT TYPE COUNT % TOTAL RENT

Resident Occupied 22 53.7 $239

Community Owned - Rental 2 4.9 $240

Community Owned - Vacant 1 2.4 $0

Owner Financed 12 29.3 $240

Single Family Residence 1 2.4 $240

Vacant Spaces 3 7.3 $0

Totals / Averages 41 100% $8,858

INCOME SUMMARY YEAR 1 PER UNIT

Gross Potential Lot Rent $117,600 $2,868

Vacancy/Concessions -$11,760 -$286

Single Family Home $12,000 $292

Application Fees $105 $2

Maintenance $50 $1

NSF Fee $105 $2

Lafe Fee $4,110 $100

Bad Debt -$1,178 -$28

GROSS INCOME $121,032 $2,952

EXPENSE SUMMARY YEAR 1 PER UNIT

Payroll $3,600 $87

Repairs & Maintenance $2,205 $53

General & Administrative $4,615 $112

Utilities $9,677 $236

Insurance $2,520 $61

Taxes $15,723 $383

Reserves $2,000 $48

Management Fee $6,052 $147

GROSS EXPENSES $46,392 $1,131

NET OPERATING INCOME $74,640 $1,820



WESTGATE MHP

Westgate MHP 2017 $/Space 2018 $/Space Year 1 $/Occ Space Year 2 Year 3

Revenue

Gross Potential Lot Rent $175,467 $4,387 $113,193 $2,830 $117,600 $3,267 $122,400 $127,200

Vacancy/Concessions $0 $0 $0 $0 ($11,760) ($327) ($6,120) ($6,360)

Single Family Home $0 $0 $0 $0 $12,000 $333 $12,360 $12,731

Water/Trash Income $2,593 $65 $0 $0 $0 $0 $0 $0

Application Fees $315 $8 $105 $3 $105 $3 $105 $105

Maintenance $125 $3 $50 $1 $50 $1 $50 $50

Per Payment Fee & NSF Fee $0 $0 $105 $3 $105 $3 $105 $105

Late Fee $0 $0 $4,110 $103 $4,110 $114 $4,110 $4,110

Unallocated Prepay $0 $0 $1,549 $39 $0 $0 $0 $0

Bad Debt $0 $0 ($155) ($4) ($1,178) ($33) ($1,286) ($1,336)

Total Revenue $178,500 $4,463 $118,957 $2,974 $121,032 $3,362 $131,724 $136,605

2017 $/Space 2018 $/Space Year 1 $/Occ Space Year 2 Year 3

Operating Expenses

Payroll

Contract Labor $18,280 $457 $16,374 $409 $3,100 $86 $3,193 $3,289

Sales Commission $200 $5 $300 $8 $0 $0 $0 $0

Workers Comp $1,330 $33 $1,538 $38 $500 $14 $515 $530

Total Payroll $19,810 $495 $18,212 $455 $3,600 $100 $3,708 $3,819

Repairs and Maintenance - Park

HVAC $1,851 $46 $3,910 $212 $0 $0 $0 $0

General $3,847 $96 $2,986 $75 $461 $13 $475 $489

Supplies $7,102 $178 $8,463 $212 $1,743 $48 $1,796 $1,849

Appliances $275 $7 $0 $0 $0 $0 $0 $0

Equipment Rental $0 $0 $351 $9 $0 $0 $0 $0

Total Repairs & Maintenance - Park $13,074 $327 $15,710 $393 $2,205 $61 $2,271 $2,339

General and Administrative

License and Permits $105 $3 $115 $3 $119 $3 $122 $126

Advertising $908 $23 $235 $6 $0 $0 $0 $0

Auto $600 $15 $0 $0 $0 $0 $0 $0

Bank Fees $1,799 $45 $1,200 $30 $300 $8 $309 $318

Dues & Subscriptions $1,031 $26 $1,227 $31 $300 $8 $309 $318

Accounting $7,480 $187 $9,447 $236 $1,000 $28 $1,030 $1,061

Consulting $1,190 $30 $0 $0 $0 $0 $0 $0

Legal $2,137 $53 $2,995 $75 $1,500 $42 $1,545 $1,591

CC Processing $637 $16 $0 $0 $0 $0 $0 $0

Office Supply $396 $10 $487 $12 $502 $14 $517 $533

Telephone $1,008 $25 $1,275 $32 $144 $4 $148 $153

Travel $521 $13 $3,402 $85 $500 $14 $515 $530

Credit Check $252 $6 $45 $1 $250 $7 $258 $265

Computer $30 $1 $0 $0 $0 $0 $0 $0

Internet $0 $0 $748 $19 $0 $0 $0 $0

Total General and Administrative $18,096 $452 $21,177 $529 $4,615 $128 $4,753 $4,896

Utility Expense

Gas & Electric $360 $9 $338 $8 $348 $10 $358 $369

Water & Sewer $6,528 $163 $0 $0 $0 $0 $0 $0

Trash Removal $8,329 $208 $9,058 $226 $9,330 $259 $9,610 $9,898

Vacancy Utility $1,991 $50 $985 $25 $0 $0 $0 $0

Total Utility Expense $17,208 $430 $10,380 $260 $9,677 $269 $9,968 $10,267

Insurance

Insurance - Park $6,578 $164 $4,808 $120 $2,520 $70 $2,596 $2,673

Flood Insurance $427 $11 $0 $0 $0 $0 $0 $0

Trailer Insurance $21 $1 $0 $0 $0 $0 $0 $0

Total Insurance $7,026 $176 $4,808 $120 $2,520 $70 $2,596 $2,673

Taxes

Real Estate Tax $14,905 $373 $16,138 $403 $15,723 $437 $16,195 $16,681

Taxes on 502 $1,304 $33 $0 $0 $0 $0 $0 $0

Total Taxes $16,209 $405 $16,138 $403 $15,723 $437 $16,195 $16,681

Reserves $0 $0 $2,000 $2,000 $2,000

Management Fee $0 $0 $0 $0 $6,052 $168 $6,586 $6,830

Total Expenses $91,423 $2,286 $86,425 $2,161 $46,392 $1,289 $48,076 $49,505

Net Operating Income $87,077 $2,177 $32,533 $813 $74,640 $2,073 $83,648 $87,100

Expense Ratio 51% 73% 38% 36% 36%

ASSUMPTIONS 2017 2018 Year 1 Year 2 Year 3Total Number of Spaces 40 40 40 40 40

Average Number of Occupied Units 0 0 36 38 38

Average Occupancy Rate 0.0% 0.0% 90.0% 95.0% 95.0%

Average Unit Rent $0 $240 $245 $255 $265

Bad Debt 0.0% 0.1% 1.0% 1.0% 1.0%

Management Fee 0.0% 0.0% 5.0% 5.0% 5.0%

Reserves per Total Home-sites $0 $0 $50 $50 $50

General Expense Escalation N/A N/A 3.0% 3.0% 3.0%



WESTGATE MHP

Notes to Financials

2017 & 2018 Historical – The 2017 and 2018 historical financials represent comingled revenues and

expenses from the mobile home park and the park owned homes business. “Year 1” – “Year 3” are only

showing revenues and expenses allocated to the operation of the park.

Total Revenue – “Year 1” calculates lot rent income using the rent level and current occupancy based on

the 3/1/2019 rent roll. However, lot rent assumed $245 versus the current $240. Rent from the single

family home has been shown on a separate line item as it is not a mobile home lot. Unallocated prepays

were removed as this a non-recurring accounting plug. We also assumed a 1% bad debt to account for

potential collection loss. All other items were kept consistent with 2018 figures.

Payroll – “Year 1” Contract labor and workers comp has been lowered to reflect the allocation of the

expense to the operation of the mobile home park.

R&M - “Year 1” was stripped of the costs associated with R&M of the park owned homes.

G&A – “Year 1” Bank Fees, Dues & Subscriptions, Accounting, and Legal have been adjusted to more

normalized operating figured based on industry benchmarks. The park is now advertising on social

media and is not incurring any advertising expense compared to previous years. Telephone expense has

been lowered to reflect only the parks telephone cost of $12 per month. Travel has been adjusted to

historical levels of 2017 due to extra one-time expenses occurred during 2018. All other items have been

increased by 3% to account for potential inflation.

Utilities – Water and sewer became direct billed by the end of 2017. Hence why there is no more

expense. The vacant utility is for vacant homes and was therefore removed in “Year 1”.

Taxes – “Year 1” reflects the current 2018 tax bill for real estate taxes.



WESTGATE MHP

SECTION 2

PROPERTY INFORMATION

PROPERTY INFORMATION


WESTGATE MHP



WESTGATE MHP

UTILITY PROVIDERSPROPERTY DESCRIPTION

COMMUNITY DESCRIPTION

UTILITY/SERVICE PROVIDER PAID BY

Electricity: City of North Platte Resident

Natural Gas: NorthWestern Energy Resident

Water: Municipal Light & Water Resident

Sewer: Municipal Light & Water Resident

Trash Removal: Schaven Sanitation Community

PROPERTY NAME: Westgate MHP

PROPERTY ADDRESS: 2700-2800 West 5th &

502 No Buffalo Bill Ave

North Platte, NE 69101

APN: 002403000, 002405000, 002565000

LAND AREA: 10.08 Acres

ACCESS & VISIBILITIES: The property is located directly off W 5th

Street, close to the intersection with N

Buffalo Bill Avenue

FLOOD MAP: 31111C0620C

FLOOD ZONE: Zone X, 0.2% Annual Chance Flood Hazard

ZONING: R4 - Residential

Year Built:

Total Spaces: 41

Roads: Asphalt

Parking: Off Street

Dedicated Parking (Per Space): 1-2 Spaces



WESTGATE MHP

SECTION 3

LOCATION INFORMATION

LOCATION INFORMATION


WESTGATE MHP

SUBMARKET

Westgate Mobile Home Park is located off W 5th St in North Platte, Nebraska. The property is convenient to Walmart Supercenter, IronEagle Golf Course and the North Platte Airport.

North Platte (population 24,000+) is a city in and the county seat of Lincoln County (35,000+). It is located in the southwestern part of thestate, along Interstate 80, at the confluence of the North and South Platte Rivers forming the Platte River. North Platte is the principal city ofthe North Platte Micropolitan Statistical Area, which includes Lincoln, Logan and McPherson counties.

North Platte, located equidistant between Denver and Omaha, is located on Interstate 80. This central location allows easy access to majorexpanding markets such as Kansas City, Chicago and numerous locations along the front range of the Rocky Mountains in Colorado andWyoming.

North Platte is home to the world's largest railroad classification yard, Union Pacific's Bailey Yard. North Platte continues to experiencegrowth in new industry segments including: health and medical, education, retail, small manufacturing, electric supply, tourism andwarehousing/distribution.

Great Plains Regional Medical Center serves North Platte residents. Over $25 million in construction projects have taken place over the past3 years. These projects included a major hospital expansion, a new same day surgical enter and a complete renovation of the oncologyunit.

POPULATION

Lincoln County has a total population of 35,777. The County has seen growth in number of employees, median household income andmedian property value.

EDUCATION

Lincoln County Schools is Lincoln County's school district, the second largest public district in Nebraska.

Mid-Plains Community College has a North Platte based branch which offers many opportunities for students. The college offers continuingeducation, customized worker training and reciprocal educational opportunities with many four year institutions including University ofNebraska-Lincoln and Bellevue University.



WESTGATE MHP

EMPLOYER DESCRIPTION

Union Pacific Railroad Railroad Transportation

Great Plains Regional Medical Center Regional Hospital

North Platte Public Schools Public Schools

Walmart Food Distribution Center Distribution Center

Walmart Discount Retail

Cabela's Teleservices

City Of North Platte City Government

Nebraska Public Power District Utiltiies

Crete Carriers Transportation

Masonite International Door Manufacturing

Source: Nebraska Department Of Economic Development

EMPLOYMENT

The economy of Lincoln County employs 17,810 people. The largest industries in Lincoln County are Transportation & Warehousing,Healthcare & Social Assistance & Retail Trade.

The largest employers in Lincoln County include the following:



WESTGATE MHP



WESTGATE MHP

SECTION 4

SALE & RENT COMPS

SALE & RENT COMPS


WESTGATE MHP



WESTGATE MHP

DATE PARK NAME CITY # OF SPACES OCC SALE PRICE $/SPACE $/OCCUPIED SPACE

Westgate MHP North Platte 41 90% $1,000,000 $25,000 $27,778

1 Sep 2016 Adams Heights Adams Heights 60 85% $1,290,000 $21,500 $25,294

2 Jul 2014 Quivira Estates Kansas City 143 85% $2,960,000 $20,699 $24,016

3 Jul 2014 Creekside MHP Kansas City 143 85% $3,440,000 $24,055 $28,301

PARK NAME CITY # OF SPACES SPACE RENT RENT INCLUDES AMENITIES

Westgate MHP North Platte 41 $240 T None

1 Red Cedars Community North Platte 130 $302 W, S, T Clubhouse

2 Mobile Manor MHP North Platte 127 $245 T None

3 North Platte MHC North Platte 246 $280 None None



WESTGATE MHP

SECTION 5

DEMOGRAPHICS

DEMOGRAPHICS


WESTGATE MHP

POPULATION 1 MILE 3 MILES 5 MILES

Total population 5,016 22,790 31,693

Median age 39.6 37.7 37.3

Median age (Male) 38.7 36.8 36.1

Median age (Female) 39.7 38.3 37.9

HOUSEHOLDS & INCOME 1 MILE 3 MILES 5 MILES

Total households 2,247 9,926 13,572

# of persons per HH 2.2 2.3 2.3

Average HH income $56,951 $54,760 $54,560

Average house value $106,073 $111,274 $114,244

* Demographic data derived from 2010 US Census



WESTGATE MHP

Exclusively listed by Jennifer D. Stein/JDS Real Estate Services, Inc.

Jennifer D. Stein213-446-5366

[email protected]


FOR MORE INFORMATION PLEASE CONTACT:

manufactured housing property for sale westgate mhp · • direct billed water, power, and gas •...

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