Mobile Home Park
Memphis, TN - MSA
In June 2018, the Keel Team and investment partners purchased a 61 lot mobile home park outside of Memphis, TN.
Original Acquisition Price
June 14, 2018
Initial Cash Investment
On Month 13 Of Ownership
Through improvement initiatives such as: filling vacant pads, bringing in new homes, removing run down homes, converting utility payment from park paid to tenant paid, modest lot rent increases, and others, we were able to improve the park operations, increase NOI, and achieve a significant value increase. The financial results of these efforts are summarized below:
Recourse debt for both partners.
Cash flow distribution
The total cash flow distribution was $66,229.24.
Cash out refinancing event
On April 24th, 2020 the first refinancing event occurred.
Investors received $845,564.76 from the refinancing event.
Investors received $66,229.24 from the preferred distributions. The new debt is non-recourse. Fannie Mae, 3 years of interest only, 30 year amortization, 3.73% interest rate, 10 year term, 75% loan to value.
Future Potential ROI Opportunities
Infinite returns since all of the original equity investment has been returned, yet we still own the MHP.
Forced savings of approximately $443,750 due to the equity remaining in the property after the April 2020 refinancing event.
Additional potential equity appreciation as the MHP continues to increase in value.
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LEGAL DISCLOSURE: All investment offerings have a high degree of risk. Results may vary. Past performance is not a guarantee of future success.