Anza Pines MHC - CalCom Advisors

Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Offering Memorandum
ERIC COUL SELL
Direct: 949-383-0813
BRE License # 01465230
[email protected]
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Property Pictures
Very high quality MHC with
exceptional pride of ownership.
Excellent real estate with
tremendous upside development potential.
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Property Pictures
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Investment Opportunity
Anza Pines MHC is a prime real estate investment opportunity for an investor to complete the development of a 170
space 4-5 star manufactured housing community in Riverside County, Southern California, while enjoying the cash flow
from the existing 47 space high quality MHC.
Anza Pines MHC is well located in southern Riverside County, sitting on a nearly 35 acre parcel. The vibrant City of
Temecula lies 40 minutes west, the always growing desert communities (Palm Desert, Palm Springs, La Quinta, etc.)
are 40 minutes northeast and world famous San Diego is located 90 minutes south.
Residents can live in beautiful rural Anza, enjoying the Southern California climate (with 4 seasons!) while being very
close to employment centers and travel destinations. The location over time will drive demand to fill a 170 space attractive manufactured housing community.
In addition, the significant commercial acreage at the north end of the parcel has served as a profitable manufactured
home dealership, providing homes to both the developing Anza Pines community and new residential residents in the
Anza Valley. Future development of this land for self storage and convenience store retail can be a profitable investment long term as well.
Property Background
The current ownership invested heavily with both capital and sweat equity to turn Anza Pines MHC completely around
with better tenant profile and rehabbed/refurbished park homes. To this point, there have been approximately 30 new
tenants in the past 4 years along with dramatic improvement in the quality of the majority of homes in the park. Anza
Pines is now very well regarded in the community and well set up for additional expansion.
Anza Pines MHC is an excellent investment opportunity for the savvy park investor to continue the stewardship and
growth of this excellent property.
Space Summary
Number of spaces
Tenant owned spaces
12
Park owned rentals
31
Vacant POH (sp 31)
Total Offering Price
$ 4,400,000
1
Real Estate portion
$
2,250,000
Vacant Home Rehab (sp 1, 25)
2
Park Owned Homes portion
$
2,150,000
Vacant Pad (sp 26)
1
Develop lost spaces
7
Fully entitled expansion spaces
116
Total
170
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Offering Narrative
Anza Pines Detail:
Anza Pines MHC is a 47 space manufactured housing community located at 53651 US Highway 371 Anza, CA
92539. The community is designated all age. The tenancy at Anza Pines is roughly half family and half retiree, 55+.
The City of Anza is located in southern Riverside County, in the Anza Valley. As stated previously, the manufactured
housing community is located 40 minutes southwest of Palm Desert via CA-74, 43 minutes east of Temecula via CA79 and 50 minutes southeast of Hemet via CA -243. City of San Diego is located only 90 minutes south. The Cahuilla Casino is located just 1.28 miles west of Anza Pines MHP on Highway 371. These highways are always well
traveled.
Anza Valley is a high desert bordered by three mountains with a beautiful spring season. Given the warm-summer
Mediterranean climate, quiet expansive natural setting and tight knit community, Anza is increasingly attractive to retirees and residents looking for some serenity from the “daily grind”.
More information can be found at www.anza-valley.com.
Manufactured Housing Community Property details:
APN: 572-230-005 Riverside County, 34.76 acres
Spaces: The park currently has 47 physical spaces/lots.
The MHP is permitted (via CUP) with the County of Riverside for 52 spaces. Seven spaces were “lost” as a result of
previous ownership improvements to the property; such as making larger spaces to accommodate double wide
manufactured homes and changing smaller RV spaces into rehabbed single wide home spaces.
There are an additional 118 spaces approved to be built under a second CUP (CUP# 2372-W) with the County of
Riverside. Two of these spaces (117 and 118) were constructed on the existing improved front portion of the parcel.
These are spaces 54 and 53 located near the clubhouse building in the rear of the existing community.
CUP summary: One for 52 spaces, 45 spaces currently; second CUP for 118 spaces, 2 spaces are built out. Therefore, a total of 47 existing spaces; 7 more spaces can be added to the existing MHC portion of the parcel for a total of
54 spaces. There is available land on this portion to accommodate these 7 spaces.
The 116 second CUP approved spaces are to be constructed on the unimproved back two-thirds portion of the parcel. This portion has existing well water infrastructure of a 100,000 gallon water tank.
The second CUP is believed to be in good order, building permits available when property owner is ready to build.
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Offering Narrative
Utilities:
 Water: The park is serviced by well water. There is a 30,000 gallon water tank servicing the existing 47 spaces,
laundry room, office and clubhouse buildings. The well water system is designated a community water system.
The State of California allows for a tenant monthly water charge based upon a capital budget plan for the water
system. The park does not currently bill for water.
 Septic system. The park is serviced by septic tanks and leach fields. The leach fields are located at the north end
of the parcel, under the commercial land frontage and in the south end of the parcel under the vacant land south
of the clubhouse building.
 Propane: The park is serviced by propane provided by the park. Tenants pay for propane monthly as a separate
charge along with space rent and home rent.
 Electricity: The park is serviced by Anza Electric Cooperative, tenants are billed directly and are required to establish service with the cooperative prior to move in.
 Trash: There are trash dumpsters for use by the tenants. The park pays for the trash service.
Spaces/Homes detail:
 There are 12 spaces that are occupied by resident owned homes. Average space rent is $350. The highest
space rent is $409.
 There are 30 homes that are on rental agreements. Average home rent is $491. This amount is in addition to
space rent paid by these tenants.
 One park owned rental is rented to a tenant that does maintenance work at the park property in exchange for free
home rent. The park employee pays space rent of $300.
 There are two vacant park owned homes that need refurbishing prior to rental or sale.
 There is one vacant park owned home for sale (#31) and one vacant space (#26).
Park Owned Homes detail:
The park owned home rentals at Anza Pines are of very good to exceptional quality manufactured homes. The
current property ownership is highly experienced in the rehab of manufactured homes. Approximately 12-14 of
the park owned rentals were completely gutted to the studs and totally rehabbed. Park pictures attest to the quality of the homes within the park. The homes are included in the sale of the property and are of substantial value.
It is not uncommon for mobile home park operators to have the cost of sourcing, purchasing, hauling, set up, rehab and permitting of quality double wide homes be in excess of $80,000 each.
Excess Land detail:
 There is approximately 5 acres of vacant land zoned M3 commercial with approximately 700ft of frontage to CA371. This land has been used as a successful mobile home dealership by the previous ownership. There is significant potential for self storage in the Anza area. Continuous traffic flow along CA-371 to Cahuilla Casino and to
City of Anza proper.
 Southern two thirds portion of parcel is approximately 22 acres and is approved to build 116 mobile home spaces.
The site plan approved by the County details a beautifully laid out manufactured housing community with wide
streets, a park area and large lot sizes. CUP date September 1980.
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Financials
Park Income
Annual
Gross Potential Space Rent
$
186,816
Gross Potential Rental Income
$
196,262
Utility Reimbursement
$
33,000
Laundry
$
1,000
Misc Income
$
1,700
Vacancy Rate
Vacancy POH
$
(31,202)
8.15%
Vacancy Pads
$
(3,900)
1.02%
Total Income
$
383,676
Expenses
Annual
Onsite Manager
$
18,000 Paid $1,500 monthly, no rent concession
Repairs & Maintenance
Park
Rentals
$
$
12,748
10,000
Utility Expense
Trash
Electricity
Propane
$
$
$
12,000
7,000
37,000
Auto & Travel
Legal and accounting
Advertising
Commissions/Referrals
$
$
$
$
162
2,500
1,500
1,470
Insurance
Park
Rentals
$
$
4,000
9,200
License Permits Fees
RE Property Taxes (1.12%)
RE Property Tax fixed
Taxes Rentals
$
$
$
$
Total Expenses
$
Net Operating Income
$
Notes
2,000
26,980 Adjusted to new RE price
1,767
5,222
151,549 Expense Ratio
39.50%
232,127
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Rent Roll (page 1)
Rent Roll
Type
Space Rent
Home Rent
Total
Other
Space #
1
Home on lot need refurb
$
325
$
475
$
800
2
POH Rental
$
325
$
575
$
900
3
lost space/reconstruct
$
-
$
-
4
Resident owned
$
354
$
354
5
POH Rental
$
325
$
850
6
lost space/reconstruct
$
-
$
-
7
Resident owned
$
354
$
354
8
lost space/reconstruct
$
-
$
-
9
POH Rental
$
325
$
850
10
lost space/reconstruct
$
-
$
-
11
POH Rental
$
325
$
750
12
lost space/reconstruct
$
-
$
-
13
Resident owned
$
332
$
332
14
POH Rental
$
325
$
325
$
650
15
POH Rental
$
325
$
225
$
550
16
POH Rental
$
325
$
300
$
625
17
lost space/reconstruct
$
-
$
-
18
POH Rental
$
325
$
800
19
lost space/reconstruct
$
-
$
-
20
Resident owned
$
332
$
332
21
Resident owned
$
300
$
300
22
POH Rental
$
325
$
650
23
Resident owned
$
332
$
332
24
POH Rental
$
325
$
775
$
1,100
25
Home on lot need refurb
$
325
$
475
$
800
Vacant
26
Pad only
$
325
$
325
Vacant
27
POH Rental
$
325
$
525
$
850
28
POH Rental
$
325
$
525
$
850
29
POH Rental
$
325
$
525
$
850
30
POH Rental
$
325
$
325
$
650
$
$
$
$
$
525
525
425
475
325
Vacant
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Rent Roll (page 2)
Rent Roll
Type
Space Rent
Home Rent
Total
31
POH Vacant
$
325
$
675
$
1,000
32
POH Rental
$
325
$
675
$
1,000
33
Resident owned
$
350
$
350
34
POH Rental
$
300
$
-
$
300
35
POH Rental
$
325
$
625
$
950
36
POH Rental
$
325
$
375
$
700
37
POH Rental
$
325
$
425
$
750
38
POH Rental
$
325
$
575
$
900
39
POH Rental
$
325
$
525
$
850
40
POH Rental
$
325
$
525
$
850
41
Resident owned
$
376
$
376
42
Resident owned
$
333
$
333
43
POH Rental
$
325
$
675
$
1,000
44
POH Rental
$
341
$
630
$
971
45
POH Rental
$
325
$
625
$
950
46
POH Rental
$
325
$
475
$
800
47
POH Rental
$
325
$
725
$
1,050
48
POH Rental
$
325
$
425
$
750
49
POH Rental
$
325
$
425
$
750
50
POH Rental
$
325
$
425
$
750
51
POH Rental
$
325
$
225
$
550
52
Resident owned
$
332
$
332
53
Resident owned
$
398
$
398
54
Resident owned
$
409
$
409
Totals $
15,568
$
16,355
Other
Vacant
Park worker
$ 31,923
Vacancy $ (2,925)
Net Monthly Rent $ 28,998
Annual Income $347,976
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Anza Pines MHC Aerial Photo
Anza Pines MHC Aerial: From North to South: 1) Commercial land with CA-371 frontage 2) 47 space MHP,
can add additional 7 spaces to this portion 3) Approx 22 acres CUP approved to build 116 spaces. 100,000
gallon water tank can be seen at eastern edge of parcel.
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Property Pictures (amenities)
Laundry Room (top)
Clubhouse building
Playground, park area
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Property Pictures
30,000 gallon water tank servicing the community (top).
New retaining wall and utility infrastructure,
east side of park.
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
116 approved spaces land, approx 22 acres
100,000 gallon water
tank.
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Commercial (M3) acreage
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
US Hwy 371Commercial Frontage
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.
Anza Pines MHC
53651 US Highway 371, Anza, CA 92539
Anza Valley Pictures and Map Location
The enclosed information has been sourced from parties we believe are both credible and reliable; however, it is incumbent upon any buyer to verify the data as to its accuracy prior to purchasing this property. Broker makes no warranties, guarantees, or
representations that the are either expressed or implied as to the accuracy of this information.