Home Blog Page 63

New Communities Slow to Rise on Manufactured Housing Landscape

By
Patrick Revere
-
Resort at Canopy Oaks pond and fountain new manufactured home communities
The Resort at Canopy Oaks. Photo courtesy of Canopy Oaks.

The Precious Few

Somewhere very near 315 new manufactured home communities have been constructed in the U.S. since 2002. There were more than 2,600 such communities built during the previous 15 years, including 395 in 1986-87 alone.

The current trend, considering 2005-2014 alone, makes sense given the conditions. We all remember the dramatic job losses, the housing collapse, and the ensuing credit crisis. There was a massive backlog of undervalued, vacant homes on the market, especially in locales like Florida, Arizona, and Michigan. Those three hard-hit states are among some of the largest manufactured home markets in the country.

But when we consider the years prior to and following that loathsome time, what should we make of a mere 60 new communities built nationally during those seven years?

Will New Communities Become a Trend? Is There Land? Are Planners Ready?

If the manufactured housing industry is able to support less than 2,000 new home sites per year for new communities, the U.S. housing market will continue to strain to keep up with rising demand.

Manufactured home production went from better than 146,000 per year in 2005 to less than 50,000 in 2009. Those were hard years. However, the economy is back and new homes are needed.

Amid the Housing Affordability Crisis, New MH Communities Are in Demand

Production of manufactured homes may be able to rise well beyond that 100,000 unit benchmark again only when the development of manufactured home communities rebounds. And for that to happen, the industry needs some favorable de-regulation, local planning officials and inspectors who will view factory-built dwellings as the only real answer to the affordability crisis, and the re-emergence of chattel lending that provides a loan on a home without land.

In the meantime, a few owners and operators have found attractive land and financing, and are making a go at some beautiful, new manufactured home communities. From Florida to Michigan and Texas to Montana, the section below provides five prime examples of the latest among the much-needed new manufactured home communities coming to the market.

Mark Calabria, director of the Federal Housing Finance Agency, touched on the availability of finance and affordable housing during a talk at the Innovative Housing Showcase in Washington, D.C. this summer.

“The average age of a house today is 35 years, which is the highest it’s been in over a century,” Calabria said. “We have single-family starting about 15% less than they used to be. And so the bottom line is housing supply is not keeping up with demand in this country.”

New Manufactured Home Communities in Development

The Resort at Canopy Oaks in Polk County, Fla.

Aerial view new manufactured home communities
An aerial view of the property being developed for Canopy Oaks. Photo courtesy of Canopy Oaks.

In Lake Wales, Fla., prospective residents at The Resort at Canopy Oaks can buy a home for less than $100,000.

“It’s going to be about a 1,000-site community with a mix of RV and manufactured housing,” Resort at Canopy Oaks President Tristan Farrell said. “Our first phase is going to be a 10,000 square-foot clubhouse, eight pickleball courts, and we’re going to have 200 acres that we’re not going to develop. It’s going to be pristine, Florida land that’s open for our visitors and residents.”

Canopy Oaks is a former event space, having hosted music festivals and motorsports events. The property, at 16950 County Road 630, is near the golf links at Indian Lake Estates. Canopy Oaks residents will have the option for special pricing at Indian Lakes, as well as access to golf carts and use of a cart path that leads from Canopy Oaks to the course.

The new community also will have a fitness center, activities such as clay shooting and pottery, outdoor areas for fishing, bocce, shuffleboard, a dog park, as well as an outdoor tiki bar and a general store.

“Our general store will be on the property near the clubhouse,” Farrell said. “We will have rentals for golf carts and kayaks, and the store will also carry everyday essentials.”

tiki bar canopy oaks new manufactured home communities
The Resort at Canopy Oaks has a tiki bar where they held a summer open house.

Homes at The Resort at Canopy Oaks

Canopy Oaks has been working closely with Champion Homes for new multi-section manufactured homes. Farrell said he calls the homes he’s been working on bringing in “snuggle wides”.

“They’re short double-wide homes, about 50 to 60 feet long,” Farrell said. “We’re going to put porches on them and have parking in front of the home.”

The Resort at Canopy Oaks is set up to be a 55+ retirement community. New homes will be on-site and open for tours by the fall of 2021. Farrell said he and his team opted to open in the spring of 2020 with recreational vehicle slips as a way to get customers on the property and considering a new manufactured home.

“We’ll do that manufactured housing part in segments of about 100 homes,” Farrell said. “It will take 3 to 5 years to sell out 350 sites. But once we start, it won’t stop. Demand is such that we don’t really worry about how many we can sell. It’s really more about how many can get from the plant.”

In addition to working with Champion, Canopy Oaks also is looking at homes from Palm Harbor and will consider other builders as the development grows.

Alta Vista home new manufactured home communities
A rendering of one of the proposed homes for Alta Vista in Traverse City, Mich.

Alta Vista is a New Community in Traverse City, Mich.

A new manufactured home community, Alta Vista, has broken ground in Traverse City, Mich. The community is located just east of the intersection of a pair of heavily-trafficked arteries, Hammond and 3 Mile Road.

A shopping plaza, pharmacy, daycare center, ice hockey arena and an elementary school, two middle schools and one Pre K-12 school are all within a 5-minute walk of the community. The 80-acre site is mostly meadows surrounded by a thick, heavily wooded band of hardwood trees laced with wetlands. The site elevation is high, giving some Alta Vista residents a seasonal view of East Grand Traverse Bay. 

The developer, R.C. Hermann, acquired the 80-acre site from an estate in 2018. Site plan approvals and zoning were approved in the spring for a three-phase community with a total of 165 homesites. Hermann developed another manufactured home community, Woodcreek, just one mile from Alta Vista with 224 homesites. Those homes, he said, are 100% leased. Woodcreek received an award from MHI for the “Best New Community in the United States 1999” when the first phase was completed.

Lucky With Land

new manufactured home community site plan Alta Vista
The site plan for Alta Vista in Traverse City, Mich. Images courtesy of Alta Vista Living, LLC.

Both Woodcreek and Alta Vista are designed by industry veteran Donald C. Westphal Associates from Rochester Hills, Mich. Zoning, site-plan approval, and engineering services come from Mansfield Land Use Consultants of Traverse City.

Hermann claims he just got lucky in discovering the site. The property is ringed by dense woods and from the highway, you don’t know what lies beyond the wooded areas.

“I’ve driven past that frontage hundreds of times without a second thought…,” Hermann said, “Until my engineering firm brought it to my attention.”

Hermann plans to pattern Alta Vista after his Woodcreek development and sell all multi-section homes with attached garages, under-ground sprinklers on fully landscaped lots. The homes will sell in the $125,000 to $195,000 range, including attached garages and other options. Additionally, Hermann has his own licensed in-community retail operation, Better Living Homes of Traverse City.

The homes are manufactured by Commodore Homes and the Schult line of homes by Clayton Middlebury. Both manufacturers are located in northern Indiana.

“We also have excellent relationships with local lenders so competitively priced 15-year loans are readily available,” says Hermann. “Local lenders have had a sterling experience with our Woodcreek homeowners, so they are not at all shy about providing financing to our Alta Vista homeowners.”

Alta Vista home new manufactured housing communities
Rendering of another of the home types in the offering at Alta Vista.

What Can Be Found at Alta Vista?

Traverse City is a high cost, upscale resort area in Northwest Michigan. Affordable housing is scarce to the point where it has contributed to an acute labor shortage.

“A $150,000 manufactured home at Alta Vista would cost $300,000 and up if it’s stick-built,” Alta Vista General Manager Mary Carboneau said.  “This cost advantage is the perfect solution for the demographic we are marketing to: the service sector worker, empty-nester and retiree.

“We also want to make Alta Vista living as carefree as possible, so we offer a complete menu of maintenance services to our residents,” she said. “We can even winterize our residents’ home when they leave in the fall and reopen it, reconnect all utilities and air it out just before they return.”

Alta Vista residents will have the use of a 5,200 square-foot clubhouse, fitness center, woodshop, outdoor pool, deck and fire pit, basketball, pickleball and tennis court, community garden, dog park, and hiking trails.

Hermann is a 30-year veteran of the development industry.

“I’ve endured some brutal economic swings over the years, but I’ve survived by always being in the top 5% of the market in terms of location, quality of construction, value and affordability,” he said. “When times get tough it’s a lot easier to lure tenants from competitive properties and keep your property full. Alta Vista definitely meets that criteria.”

West Evergreen Estates in Kalispell, Mont.

Brothers Mike and Garry Seaman are developing a 122-lot manufactured home community on 33 acres. The proposed community sits adjacent to a local public school in Kalispell, Mont.

West Evergreen Estates is the first such proposed community in the state in years. It gained approval in the spring of 2019.

Mike Seaman is the owner of Patty Seaman Homes in Kalispell, and Garry Seaman is an area attorney.

The property, at 74 West Evergreen Drive, is used for agricultural purposes. However, it was redesignated for two-family residential zoning. Early plans for the new manufactured home community include lot widths of 50 feet or better. The lots at 5,000 square feet or wider are for a single-section home, whereas lots of 6,000 square feet or more are for a multi-section home.

West Evergreen Estates is breaking ground and will be developed in two phases with about nine acres of land left open for common recreational space.

Stonegate Manufactured Housing Community

Chase Gardaphe owns and operates Stonegate Manufactured Housing Community in Midland, Texas. The 171-home community has served Midland well, which prompted the developer to put in plans for a new, larger community to be developed across the street. The new all-ages community is planned for 50 acres near Fairgrounds Road, which gained approval in July.

Stonegate will include amenities such as:

  • Beautiful downtown views
  • In-ground swimming pool
  • Community basketball court
  • Community mailboxes
  • Paved parking
  • School bus stop
  • EZ Rider stop
  • City water and sewer
  • Landscaped entrance
  • Convenient trash drop-off
  • On-site maintenance
  • On-site manager
  • Dog-friendly (most breeds)

Gardaphe said the new development will be larger than its predecessor, with as many as 600 new home sites. Single-section manufactured homes, multi-section manufactured homes and potentially some tiny homes will be used to fill the community.

Vista Lago Estates

Another new manufactured home community is in Texas’ Guadalupe County. It will provide the area with 700 new manufactured homes in a community setting.

Vista Lago sits at Farm-to-Market Road 725, and includes 145 acres for development.

Modular Homes in Communities Approved in the State of Ohio

By
Patrick Revere
-
Adventure Duplex Modular Homes in Communities
A modular duplex built by Adventure Homes within the envelope of a manufactured home for affordable and workforce housing.

Duplexes for Workforce Housing Among Modular Homes Approved for Communities

Lengthy conversation between manufactured housing industry professionals in the upper Midwest and the state of Ohio Department of Commerce has resulted in a decision that allows for modular homes in manufactured home communities.

Tim Williams is the executive director for the Ohio Manufactured Homes Association.

“We recently met with the Department of Commerce, MH program and Industrialized Unit section to clarify the use of modular units inside of manufactured home communities,” Williams said.  “It was determined that modular/industrialized units can be installed in communities as long as parks follow local and state guidance.”

Modular and modular duplex homes are allowed if the Industrialized Unit section of the Ohio Department of Commerce approves the home plan from the manufacturer.

Indiana Manufacturer Lays Modular Plans for Ohio Communities

interior duplex modular homes in communities
The interior of one of two residences within a modular duplex designed and built by Adventure Homes of Garrett, Ind.

Adventure Homes, a manufacturer of HUD-code and modular homes, initiated the conversation in the state of Ohio about having modular homes in communities. Rich Rice, the general manager for Adventure Homes, said the company was interested in building duplexes for workforce housing.

However, the HUD code allows for only one residence per structure. With that in mind, the company moved to the concept of building modular duplexes within a HUD code envelope.

“You must use the state modular code in order to build a duplex,” Rice said. “Once we got approval to build state code duplexes, the obvious next move was to get mods approved for communities that also were reserved for HUD-code single-family homes.

“The duplex allows expansion of available affordable housing, such as workforce housing in already existing permitted communities,” he said.

Rice said the state of Minnesota also has approved modular homes in communities, and that similar talks are underway in Indiana.

Beyond the use of duplex homes, acceptance of modular homes in communities is important, Rice said, because it will create a greater depth of affordable housing for sale. Specifically, it’s quickly and easily expandable for workforce housing in markets where jobs have outpaced attainable housing.

“This is yet another new avenue to pursue affordable housing to meet the immediate need,” he said.

Ohio Park Home Modular Homes in Communities
A home in Melrose Village, one of 38 communities in Ohio owned and operated by UMH Properties. Photo courtesy of UMH Properties.

Elements of Ohio Basic Building Code Pertinent to Modular Home Approval for Communities

Modular homes are permitted in manufactured home communities under the following guidelines:

  1. The manufacturer’s plans for the modular homes are approved through the Ohio Board of Building Standards’ (BBS) Industrialized Unit Program.
  2. Modular homes are placed on a non-manufactured housing lot in a manufactured home park.
  3. The development plans for placing the modular home in the park are approved by the Ohio Department of Commerce Division of Industrial Compliance (DIC).

This compliance is assured by securing an IU plan approval. Permitting, plan review, and inspections of any site-built construction and installation would be performed by the local residential building department, if there is one, to ensure compliance with the OBBC.

Footings and foundations and any other site-built component work done on the industrialized unit, such as roofing, dormers, and garages, is not a part of IU approval. In the absence of a local building department, work must comply with the requirements of the Residential Code of Ohio/OBBC.

“Where there is a local building department, that building department would inspect the home foundation and other site-built features for a certificate of occupancy,” Williams said. “Setback requirements and lot spacing, along with any other spatial considerations, are required to comply with the park’s approved spacing requirements and setbacks.”

The manufacturer of the home is required to submit foundation designs for that specific home to the commerce department. Approved foundation designs will be used for local inspection and approval processes.

Owners Considering Modular Homes in Communities

A park operator considering the placement of a modular or manufactured home in Ohio will contact and notify regulating authorities prior to placement. Should there be any confusion with local building departments in particular cases, the industry is able to call on the Department of Commerce to provide clarification.

The commerce department and industrial compliance division will perform plan reviews and inspections to ensure compliance with the manufactured home park rules in Chapter 4781-12 of the Ohio Administrative Code.

Examples of what DOC/DIC May Examine:

  • Lot drainage (O.A.C. 4781-12-06)
  • Spacing and setbacks (O.A.C. 4781-12-08)
  • Utility lines placement (O.A.C. 4781-12-13)
  • Minimum recreation area (O.A.C. 4781-12-21)

Williams said the commerce department indicated its “scope of review” will be taken largely on a case-by-case basis. However, any review must include access to and consideration of complete plans for the entire community proposing a modular installation.

“So, if a park has not provided overall park development plans to DIC previously, it will need to do so when applying for plan approval on any modular home,” Williams said.

Under certain circumstances, regulatory overlap may occur. In such cases, placement of the modular home would be subject to regulations of both the local and state authorities. In the event of conflicting standards, the DIC should be informed and allowed to weigh in.

What Happens If A Local Jurisdiction Has No Local Building Authority?

home interior modular homes in communities
The interior of a home in Melrose Village, in Wooster, Ohio. Photo courtesy of UMH Properties.

In the absence of a local building department, modular homes in communities would only need to comply with park spacing requirements with no further local inspection required. Regardless, duplex homes and single-section modular plans would need to be submitted to the Ohio Department of Commerce for “new development” approval.

In other words, adding a new lot, making changes to an existing lot, and/or placing a modular home on a lot in a manufactured home park would constitute “development” that requires plan approval by DIC.

The Ohio Department of Commerce asks that factory-built housing professionals be aware that other statutes, administrative rules, zoning restrictions, or other regulatory authorities may impact whether a specific modular home may be placed in a specific manufactured home community.

“Ohio Department of Commerce can only speak to the conditions in which a modular home may be placed in a manufactured home under the statutes and rules in the Manufactured Homes Program,” the commerce department indicated in its guidance. “Parks will need to check all applicable authorities having jurisdiction to determine if and how a modular home will be permitted in a manufactured home park.”

Additionally, the Department of Commerce manufactured housing inspectors will continue to have jurisdiction over the maintenance of the modular home lot as part of the overall community inspection process.

“Allowing modular homes and duplexes in manufactured homes parks can only serve to provide additional options for affordable housing,” Williams said. “With much of eastern Ohio in the midst of a shale boom, modular duplex homes can add much needed capacity for all the new jobs within the oil and gas industry and related business activity. The value of a park under such circumstances can also enhance the overall park portfolio value.”

2020 Louisville Show Seminars, Speakers Announced

By
Patrick Revere
-
Kentucky Expo Center entrance 2020 louisville show

The Louisville Manufactured Housing Show Will Be Held Jan. 14-17, 2020 at the Kentucky Exposition Center

The 2020 Louisville Show will be bigger, and better than ever, with more than 50 model homes, a record number of service and supplier exhibitors and more than 20 leading manufactured housing industry professionals moderating and presenting during the show and pre-show seminars.

For the past 60 years, The Louisville Show has presented cutting edge home designs, tech specialists and a top network of suppliers in the manufactured housing industry. In 2019, The Louisville Show attracted a record-breaking number of industry professionals, reaching 3,564 attendees from 1,156 companies.

exhibitors and attendees at 2020 Louisville Show
The 2020 Louisville Show experienced the event’s earliest ever sellout of service and supply exhibitor space.

Register for the 2020 Louisville Show

The Louisville Show takes place in the south wing of the Kentucky Exposition Center, which sits immediately adjacent to Louisville International Airport and across the street from the primary lodging for the show. Primary shows days are Jan. 15-17, with bonus pre-show seminars on Jan. 14. Register now for the 2020 Louisville Show.

As an industry trade event, the 2020 Louisville Show is open only to manufactured housing industry professionals. The show is not open to the public. For all the show details, visit The Louisville Show website.

Hotel Information for The Louisville Show

Crowne Plaza Louisville Airport is the headquarters hotel for manufactured housing professionals attending The Louisville Show. Block rate discounts are available while rooms remain. Book a room today for accommodations with free shuttle service to the Kentucky Exposition Center.

The Louisville Show Seminars

Full seminar audience attendees 2020 Louisville Show
The 2020 Louisville Show will have expanded seminar space with the newly renovated south wing of the Kentucky Expo Center.

Wednesday, Jan. 15
8-9 a.m. — State of the Industry
Veteran public speaker and sales professional Ken Corbin moderates a panel of six manufactured housing experts on an overview of the industry.
9-10 a.m. — Leadership vs Management
Seasoned sales professional John Ace Underwood the five functions of leadership and separates them from management practices.
10-11 a.m. — Internet Marketing
MHVillage Co-president Darren Krolewski offers up digital marketing expertise in the areas of reaching the ideal customer, dominance on mobile platforms, increased conversion rates, and doubling lead-to-close rates.

Thursday, Jan. 16
8-8:45 a.m. — Issues Eating Companies Alive
A four-person panel of experts led by Illinois Manufactured Housing Association Executive Director Frank Bowman will cover the cost of community acquisition, resident communication, local zoning and subcontracting.
8:45-9:30 a.m. — Manufacturer Panel – 2020 Top Trends
Moderator Ken Corbin will join executives from three large manufactured home builders through a talk on hot home trends, how to design and build for different generations of homebuyers, selecting home features that sell, and how retailers and community owners can most effectively partner with manufacturers.
9:30-10:30 a.m. — Growing Your Business
Ken Corbin Provides insight on how to grow your retail operation or community through progressive practices that match the changing times.

Friday, Jan. 17
8-8:45 a.m. — Chattel Financing in Today’s Market
Moderator Darren Krolewski joins panelists Tim Cooley of ManufacturedHome.loan and Luke Foster of Park Lane Finance.
8:45-9:45 a.m. — Fannie Mae, Freddie Mac & Duty to Serve
Dennis Smith from Freddie Mac and Jose Villarreal and Ben Navarro, both from Fannie Mae, join moderator Darren Krolewski for updates on Duty to Serve.

2020 Louisville Pre-Show Seminars

The pre-show seminars prior to the kickoff for the 2020 Louisville Show will include a Manufactured Housing Manager Class. Successful completion of the class, attended by hundreds of successful operators, provides professional industry certification from EducateMHC. Covered topics span from management basics, to selling and leasing, resident relations, maintenance and more.

Manufactured Housing Manager is a separate $395 registration fee from registration for The Louisville Show. The class will be held from 8:30 a.m. to 4 p.m. on Tuesday, Jan. 14 at Crowne Plaza Louisville Airport, which is just across the street from the main show venue at The Kentucky Exposition Center.

The other pre-show opportunity for manufactured housing professionals going to Louisville is the 2-5 p.m. class titled Success 2020: 5 Ways to Boost Home Sales. This special three-hour session led by seasoned industry professionals will help participants learn more about:

  • Homebuyer tendencies
  • Boosting qualified sales leads
  • Creating a memorable and productive open house
  • Industry best practices

The Success 2020 seminar also requires separate registration and will be held at Crowne Plaza.

See All of The Louisville Show’s Seminars Here

manufactured home interior living space Champion Homes 2020 Louisville Show
A model home from the Champion Homes display at The Louisville Show in 2019.

The Louisville Show is Presented by The Midwest Manufactured Housing Federation

Each year, The Louisville Show is organized and presented by The Midwest Manufactured Housing Federation, which represents the states of Kentucky, Indiana, Ohio, Michigan, and Illinois.

Sailing the Ship in All Weather for Kentucky Dream Homes  

By
Josh Weston
-
Bozz's Excavating Brandon Boswell preparing a site

Brandon Boswell recently made headlines in Owensboro, KY., for his work ethic, entrepreneurship, and youth. At just 24 years old, Boswell has secured the concrete and foundation work for Kentucky Dream Homes, the largest manufactured home dealer in central Kentucky.

How does someone who studied welding in high school, and then worked as a boilermaker, come to run a successful excavation business in the manufactured housing industry? 

Boswell’s first response was C.J. Troutman.

He is the owner of Troutman’s Mobile Home Transport and Sales of Utica, Ky. He also got his start in manufactured housing early, the second day after his high school graduation back in 1998.

There are other similarities — and some differences — between Boswell’s and Troutman’s stories.

Origin Story Déjà Vu

Kentucky Dream Homes
Brandon Boswell of Bozz’s Excavating prepares a site for a new manufactured home.

“I’ve known Brandon since he was in diapers,” Troutman said of the owner of Bozz’s Excavating. “We were next-door neighbors. He’d come over and help at 13, 14 years old and work with me moving homes. Later on, when he came to me, I felt like I could bring the guy on. I opened the window and he climbed through.”

Like Boswell, Troutman also got into the manufactured housing industry by first learning from an elder. Troutman’s grandfather helped him transport mobile homes as a teenager before deciding to make it his business as a young adult. Jake Troutman, whom Troutman calls Granddad, worked with his former protégé full-time, post-retirement, for 18 years.

Troutman’s first mobile home delivery back in 1998 went smoothly, but on his second delivery, he knocked over seven mailboxes.

“Granddad looked at me and said, ‘Son, you’re gonna have to do a little better,’” Troutman said.

On-The-Job (Self-Initiated, Self-Directed) Training

Boswell, on the other hand, took more time to learn on his own.

“I think my biggest challenge was going into my first day and not knowing a thing,” Boswell said. Boswell had never dug and poured a foundation before his first job for Kentucky Dream Homes. He learned what he could from YouTube and then figured it out in the field as he went, renting the equipment he needed from Troutman until he could afford his own.

Today, Boswell can dig and pour a foundation in a day. But that first day, it took him and his brother 17 hours just to dig for the foundation.

“Every time I drive past it, I look at it,” Boswell said.

Business as the Product of, not the Impetus for, Strong Support Networks

Both Boswell and Troutman describe the other as hard-working and smart, the sort of all-around competent person you can trust to get the job done, and done well. But neither is quick to take credit for their accomplishments, each attributing their individual success to the team of people around them, their networks of personal and professional connections. 

For Boswell, only two years in, that network remains relatively small: his girlfriend, one full-time employee, and C.J. Troutman. Troutman’s circle, 21 years in the making, is understandably bigger. He credits his grandma and granddad, who at nearly 90 years old still help run the rental side of Troutman Mobile Home Transport and Sales; his foreman, Les; his assistant, Baily; Mason Quick of Kentucky Dream Homes; and former Kentucky Dream Homes manager Joe Marchberry, who once told him, “Son, if you’re going to be in this business, you learn to sail the ship in all weather conditions.”

Bozz's Excavating laid foundation awaiting home
All photos courtesy of Bozz’s Excavating.

A Man, a Stuck Truck, and a Wheelbarrow

When asked about his most difficult job site, Boswell talks about the time six months into his work excavating and pouring foundations for Kentucky Dream Homes when the cement truck buried itself. 

“We had to move seven yards of concrete — that’s four thousand pounds — by hand,” Boswell said. 

How far?  

“I don’t know,” Boswell said. “But it was up a hill.”

Skyline Champion and URBANEER Partner for ADUs

By
Patrick Revere
-
Champion URBANEER partner Capitol area ADUs
The new URBANEER 510 will be unveiled at the International Builders Show, held in January in Las Vegas.

Partnership Brings Small Backyard Homes to 48 States

Champion Home Builders and URBANEER have agreed to co-brand a new line of Accessory Dwelling Units.

The new line will be branded URBANEER by Genesis. The first design, The URBANEER 510, will be unveiled at the International Builders Show this January in Las Vegas.

URBANEER and Champion’s partnership creates access for Champion to use interior components in their other modular and manufactured homes. Two of these components — a moveable wall with wireless power that allows for reconfiguring of the ADU’s spaces, and a fold-down wall bed — have been integrated into the design of The URBANEER 510.

Champion URBANEER 510 interior ADU

Approval of Accessory Dwelling Units in States, Metros Surges

States and municipalities nationwide have embraced the concept of ADUs, particularly in markets with surging home prices. Accessory Dwellings, a website that serves the ADU market, dubbed 2019 “The Year of ADU Financing“.

“Innovation is key to our success, so we’re thrilled to collaborate with housing visionaries like URBANEER and bring their expertise in designing small living spaces to our customers,” said Mark Yost, President and CEO of Skyline Champion Corporation. “Combating the affordable housing crisis requires multiple viable solutions. Skyline Champion believes placing ADUs in America’s backyards is one powerful, practical and cost-effective step in the right direction.”

In addition to the design and building of the co-developed ADU line, both companies agreed to jointly market ADUs across the 48 states.

“The partnership between URBANEER and Skyline Champion creates a powerful team focused on solutions for housing attainability. We see our co-branded compact homes providing more options for consumers who seek to live in locations and at price points they desire,” said Bruce Thompson, URBANEER Co-Founder and CEO.

Joint Venture Financing for Retailers and Community Owners

By
Ken Rishel
-
Joint Venture Financing for communities and retailers
Cinnamon Woods in Conowingo, Md. Photo courtesy of UMH Properties.

What Forms of Lending Are Available for Retailers and Community Owners?

Ken Rishel on joint venture financing
Ken Rishel, Rishel Group

Prior to the late 1990s, retailers and community owners had many options for their customers to finance the purchase of manufactured homes. 

At one time, there were 18 national lenders and over 30 regional lenders providing financing to prospective owners of new and pre-owned manufactured homes. By 2001, there were only three national lenders and a smattering of regional lenders still actively seeking new loans.

As a result, sales plummeted and retailers and community owners began seeking alternative methods of getting their customers financed.

Many methods emerged — some legal, some not, some existing in an undefined gray area of the law. Most were disastrous for both the provider and the borrower. With the passage of the SAFE Act (2006) by the states at the demand of the federal government, almost all of the methods of finance became instantly illegal.

Lending for Retailers & Community Owners Post SAFE Act

There are legal alternatives, however… some very complex and some easier to implement. Which alternative to pursue depends on the abilities and resources of the retailer or community owner.

The larger operator with considerable resources and the potential for a high volume of loans can consider setting up a related or captive finance company to make loans to the customers of the selling organization. This only works for organizations that already have capital sufficient to make the loans, or capable of accessing capital at rates and terms that will make lending to customers workable and profitable.

For many who have done so, the profits from lending have exceeded the profits of the original operation. For others, however, it was problematic, because they lacked the ability to effectively manage a lending operation. That accounted for a dozen or so large organizations abandoning this type of effort, despite the huge profits.

Joint Venture Financing community aerial photo

Joint Ventures

For others, there are joint ventures that vary in methods of operation, mostly based on the selling entity’s access to capital. This type of operation usually consists of a selling organization working with an existing lending operation to make loans to their customers, either using the seller’s capital or the lender’s capital.

For those sellers with capital to fund loans that also operate land-lease communities, companies like Park Lane Financial and Triad Financial Services offer solutions that work — if the loan volume is sufficient to interest these organizations. However, at this time, stand-alone retailers are excluded from these programs.

Park Lane and Triad also offer programs that utilize their capital, as does the CASH program offered by 21st Mortgage.

Know What You’re Getting Into

For a retailer or community owner to make the right choices, it is important to understand the risks and rewards of the methods they are evaluating. It also is important to understand what they can and cannot bring to the table to make a solution work.

The most important consideration is the risk the method presents when a loan or loans go bad. Many years ago, it was common for lenders to make very risky loans to buyers because the retailer or community owner had signed a recourse agreement that fully indemnified the lender against any losses from a non-performing loan. Typically, the guarantor had little real underwriting knowledge on who did or did not get a loan, and even less on how the loans were serviced. While that was good for the lender most of the time, it could be disastrous for the seller who guaranteed the loans.

The simple truth is when loans go bad, the person or entity guaranteeing the loan loses money. The trick is to make enough performing loans, at a high enough interest rate, to cover the non-performing loans and still make a profit.

Choose Carefully The Loans to Make, Those to Pass On

Both retailers and community owners make money selling homes, and community owners also make money by filling pads and collecting lot payments. But, as soon as either involves themselves in financing, they should understand which loans should be made and not. This is difficult — the need to sell homes and fill communities is pressing — but it is vital to continued success.

To accomplish this successfully, the retailer and/or community owner must gain the knowledge necessary to understand how to make prudent lending decisions. They must also have the power and authority to use that knowledge to approve or veto prospective borrower loan requests. They also need knowledge and understanding of how to properly service loans to avoid unnecessary repossessions.

Just because a lender makes manufactured home loans doesn’t necessarily mean they fully understand what they are doing. Past debacles involving a number of lenders clearly make that point. Those supposed experts on manufactured housing lending were not, as their spectacular meltdowns prove.

For lenders working with sellers (and the sellers being ultimately responsible for assuming any losses), the lender often is disincentivized to some extent to even care about a loan portfolio’s performance. Again, the guarantor, normally the retailer/community owner, needs to be knowledgeable and have enough authority to assure proper underwriting and service to avoid excessive non-performance. Done correctly, this does not mean dealing only with A-credit buyers; with proper understanding and structuring, it allows for making successful loans to subprime borrowers, too. There have been, and continue to be, performing loan portfolios rife with sub-600 FICO scores.

Manufactured Home Retailer Joint Venture Financing

A Successful Method

One of the most successful methods for retailers and community owners who lack the funds to make their own loans to customers is to enter into a joint venture relationship with a depository institution. This method allows the depository to provide the capital for lending, and to assume regulatory responsibility, as well as providing the entity to make and service the loans. The retailer and/or community owner obviously provides the prospective borrower, but also much more.

Depository institutions have a horrible track record at manufactured housing lending. Many have lost so much money making these loans that their regulators actively discourage them. That creates the opportunity for a retailer/community owner to propose and engage in a joint venture relationship that is profitable to both and provides a robust system of financing the homes sold by the retailers and community groups.

Trust Yourself to Control the Program

For this method to work, the retailer and/or community owner must have considerable input and control into three areas:

  • Loans to be made
  • The structure of loan offerings
  • Operation of service, collection, and repossession

This creates the backbone of the joint venture agreement and, when properly done, assures success for both parties.

To make this viable, the retailer and/or community operator must be knowledgeable about the peculiarities of manufactured home loan underwriting and the structuring of any resultant loan offers to borrowers. They also must be knowledgeable about the differences in servicing, collecting, and collateral recovery in manufactured home lending. The retailer/community operator also must be able to effectively communicate and train depository personnel in these differences.

If properly presented to a depository needing to get capital on the street, the depository is often an eager participant, as these types of loans have a higher return than other types of loans the depository normally makes. The key to success is that the retailer/community operator must be able to bring specialized industry knowledge to the joint venture, which can assure success for both parties.

Company Awarded for Bringing Manufactured Home Solar Energy to Factory Floors

By
Carrie Kolehouse
-
manufactured home solar energy American Made Solar Prize winner
Nathan Stoddard, Steve Sefchick and Ethan Good of Phase3 Photovoltaic, receive an award and funding from the U.S. Department of Energy for work on manufactured home solar energy.

Company Proposes Solar Energy Technology as New Revenue Stream for Manufactured Home Builders

A Portland-based solar energy company is helping to increase access to manufactured home solar energy as part of the factory assembly process.

The company, Phase3 Photovoltaics, believes that if manufactured home builders integrate solar into their product lines, it could create new revenue streams and increase margins.

“We offer a full end-to-end solution. From designs and materials procurement to delivery and training of factory personnel on assembly, to permitting and warranty training after the sale – we’re creating solutions that are truly comprehensive,” says Ethan Good, co-founder of Phase3.

Phase3 Photovoltaics’ Manufactured Home Solar Energy Innovations Gain National Attention

manufactured home solar panels
Phase3 Photovoltaics earned $500,000 in cash and $75,000 in vouchers from the American Made Solar Prize competition for its work on solar panels for new manufactured homes.

The company’s solar panel concept recently gained attention by winning the first round of the American Made Solar Prize. The award, given by the U.S. Department of Energy, includes a $500,000 cash prize and $75,000 in vouchers for DOE’s National Laboratories.

Good says the funding and attention sparked by the award have helped accelerate his company’s development and readiness to grow in the market.

The American Made Solar Prize is a year-long, $3 million competition designed to stimulate growth and innovation in the U.S. solar industry. An official with the Department of Energy said that since about 20 million Americans live in manufactured homes, Phase3’s concept could bring solar power to a large part of the housing sector.

Making Electricity Cost Savings Accessible to More Housing Segments

Good and his co-founders said the middle to low housing market has been underserved when it comes to energy-efficient solutions, particularly with solar energy. Furthermore, installing solar panels to an existing home is a complex project most often available to high-income homeowners.

“Often, new innovations bypass the lower-income segment, and we wanted to create a feasible way for them to obtain solar energy without the extra costs of adding this technology after construction,” Good says.

Most of the staff at Phase3 come from various global solar manufacturers in China and Germany and built panels for large companies that favored large utility installations.

The company wants to work closely with Freddie Mac and Fannie Mae. The goal is to incorporate electricity savings in the mortgage application process. Good said that the electricity savings could allow homeowners to qualify for a higher loan amount, or get better rates. For instance, a homeowner can expect to save about $60 per month that can be reallocated toward a home loan or mortgage payment.

DOE American Made Solar Prize manufactured home solar energy winners
Officials from the U.S. Department of Energy talk with contestants for the American Made Solar Prize.

Solving Transportation, Sunlight Challenges for Manufactured Homes

Phase3’s first clients were concerned about the risks of transportation. Transporting solar panels attached to a pre-built home is much different than transporting them in a closed vehicle. So, the company altered how solar panels are constructed and mounted. This helps ensure the manufactured home solar panel can withstand 70 miles per hour in the open air.

Another initial apprehension the company encountered was the feasibility of powering a home entirely with solar energy. Clients with manufactured home communities in northern or eastern states questioned the feasibility of having enough sunlight to provide electricity during all times of the year.

In response, Phase3 developed another concept, funded by the Small Business Innovative Research award. They worked with rural and tribal areas with energy co-ops that already have existing manufactured homes, putting houses in certain geographical areas on the same solar-generated grid.

Consequently, when houses with solar panels do not produce enough energy on their own, they could draw from the community grid. This is especially prevalent when the position of the house relative to the sun is not adequate – a common problem when installing solar energy technology in existing manufacturing home communities.

Manufactured Home Solar Energy Could Attract New Customers

The factory setting is proving to be beneficial for solar panel product design and installation. Phase3 reports that they are able to test different products and designs quickly, and produce units at a speed that previously was unattainable. With manufactured home solar, the company can build the same model 20 to 50 times per year. That’s a rate that would be impossible on standard, site-built residential homes.

Embedding solar energy into manufactured homes provides potential not only for Good’s company but for the whole manufactured home industry. The use of innovative technology to reduce the impact on the environment could attract new consumers to embrace manufactured home living. Then if the production of manufactured homes with solar panels becomes a new norm, the positive environmental impact could be substantial.

NCC Fall Leadership Forum Underway in Chicago

By
Patrick Revere
-
networking room at NCC Fall Leadership Forum
Manufactured housing industry professionals from across the country gather in Chicago for the annual NCC Fall Leadership Forum.

National Communities Council Fall Leadership Forum – Nov. 13-15, Downtown Chicago, Westin Michigan Avenue

The National Communities Council Leadership Forum has begun, with hundreds of manufactured housing industry professionals gathering for 2 1/2 days of education, planning, networking and more.

NCC is the Manufactured Housing Institute’s major annual executive-level strategy meeting for members, which includes:

  • Community owners
  • Community managers
  • Home manufacturers
  • Industry service providers
  • Brokers
  • Lenders
  • Consultants

The forum offers new ideas, examines trends, and provides industry perspective all packaged in a central meeting location and conducted with a forum that optimizes the agenda on a schedule that minimizes time out of the office.

NCC Fall Leadership Forum registration
Registration at NCC Fall Leadership Forum in Chicago.

Opening Remarks at NCC Fall Leadership Forum

Registration for the NCC Fall Leadership forum topped 450 attendees prior to the opening night gathering of the event at Westin Michigan Avenue in downtown Chicago. Manufactured housing industry professionals from across the country arrived for a night of networking before a full day of educational seminars, industry updates, and meetings.

Speakers and Topics at the 2019 NCC Fall Leadership Forum

MHI, the nation’s only advocacy group representing all aspects of the manufactured housing industry, has organized more than a dozen leading professionals for moderated panels and industry presentations on the topics of community management, finance, marketing, sales and more.

Networking with the National Communities Council in Chicago

A Thursday afternoon mixer from 5 to 7 p.m., sponsored by Lutz, Bobo & Telfair and Vanderbilt Mortgage and Finance, will be held at 360 Chicago on top floor of the John Hancock Building.

For more event details and lodging, please see MHI’s event page for the NCC Fall Leadership Forum.

New MHI Leadership Structure Promotes Bowersox, Gooch to Top Spots

By
Patrick Revere
-
Award winners new mhi leadership

Board Amends Bylaws to Allow for Dual Leadership

The Manufactured Housing Institute, the only national trade organization representing every segment of the manufactured housing industry, has chosen Dr. Lesli Gooch as the organization’s next CEO, and Mark Bowersox as the organization’s president.

Gooch and Bowersox, who currently serve as executive vice presidents at MHI, will succeed current president and CEO Richard Jennison upon his retirement at year’s end.

“During their time at MHI, Lesli and Mark have been highly effective for our industry,” MHI Board Chairman Tom Hodges said. “We are very excited about them taking the helm at MHI and about the future of the organization under their leadership.”

The announcement was the culmination of a months-long search to replace retiring CEO Jennison. MHI’s Board assembled a search committee, which interviewed and evaluated multiple candidates for the role. Ultimately, a special board meeting was held to amend the organization’s bylaws, creating a dual leadership structure.

“The new leadership structure for MHI creates a unique co-ownership model,” said Hodges. “It allows more capacity within the MHI team to grow the strength of the association and improve outcomes for our members. It’s MHI 2.0.”

Lesli and Mark expressed gratitude for the opportunity to lead MHI’s team and the industry. “We wholly believe that this unique model of leadership positions us to use our complementary skill sets and leadership traits to improve the culture, structure and bottom-line results of MHI,” they stated in a note to the Board. “We believe our skills, abilities, experience and mutual respect make this the best structure to lead the manufactured housing industry into the future.”

Meet the New MHI Leadership

MHI CEO-Elect Dr. Lesli Gooch

New MHI Leadership Financing for Manufactured Housing

Lesli Gooch, currently MHI’s Executive Vice President of Advocacy and Communications, joined the organization in 2014. Because of established, long-standing and bipartisan relationships across Washington, Gooch has helped MHI become an influential and relied upon resource for housing policy, including with Congress, the Administration, the GSEs, the media and other housing industry groups.

She has secured appearances by key Administration officials and members of Congress at association events, including multiple addresses by the HUD Secretary.

During her tenure, she has secured a number of legislative and regulatory successes and a significant increase in bipartisan support for MHI priorities. By completely revamping the approach for grassroots outreach, she significantly improved the effectiveness of the deployment of these assets. Gooch has a doctorate in political science from the prestigious Carl Albert Congressional Research and Studies Center at the University of Oklahoma with concentrations in American government, public policy, and public administration.

Her dissertation, which explores the motivations of members of Congress in selecting issues to champion, provides her with valuable insights and experience about how best to advocate on behalf of the industry.

MHI President-Elect Mark Bowersox

Mark Bowersox new MHI LeadershipMark Bowersox is currently MHI’s Executive Vice President of Industry Relations. Since joining MHI in 2015, Bowersox has overseen the development of new training programs for community managers, salespeople, and installers which have been migrated to an online learning platform to create a user-friendly experience for members.

With Bowersox heading up MHI’s industry relations efforts the organization’s membership has grown from under 300 members in 2015 to over 900 today.

Event attendance increased by more than 50 percent during the same time period. He joined the organization after serving as the Executive Director of the Indiana Manufactured Housing Association — Recreation Vehicle Indiana Council, where he led all aspects of the organization including financial and personnel management, membership recruitment, board member and volunteer development, industry promotion and advocacy.

Representing both industries as a legislative and regulatory lobbyist, he developed relationships with employees and elected officials in local, state and federal offices. Working at the state level for more than 10 years, Bowersox built his knowledge of the industry from the ground up with first-hand experience in zoning, titling, installations and other challenging issues. He began his trade association career at an association management firm where he managed national trade associations.

NCC Fall Leadership Forum Draws 400-plus in Chicago

By
Patrick Revere
-
2018 NCC Fall Leadership Forum Chicago speakers
Bruce Thelen , Jody Gabel, and Ron Bunce discuss resident relations during the NCC meeting in 2018.

National Communities Council – Annual Event in Downtown Chicago

More than 400 manufactured housing industry leaders meet at the Westin Michigan Avenue in Chicago for the National Communities Council Fall Leadership Forum.

The NCC Fall Leadership Forum is the Manufactured Housing Institute’s major annual executive-level strategy meeting for members. Manufactured housing industry professionals in attendance will include:

  • Community owners
  • Community managers
  • Home manufacturers
  • Industry service providers
  • Brokers
  • Lenders
  • Consultants

The forum offers new ideas, examines new trends, and provides perspective for manufactured housing industry professionals doing business with communities. Organizers have put together two nights and 1-1/2 days of programming geared toward executives who need a limited time from the office and a high-impact meeting agenda.

NCC Fall Leadership Forum attendees
Attendees at NCC during the 2018 forum.

Speakers and Topics at the NCC Fall Leadership Forum

MHI, the nation’s only advocacy group representing all aspects of the manufactured housing industry, has organized more than a dozen leading professionals for moderated panels and industry presentations on the topics of community management, finance, marketing, sales and more.

Following is a brief description of the panels and presentations awaiting at the NCC meeting in Chicago.

Selection of Previous NCC Fall Leadership Forum Speakers and Presenters

Welcome and Chairman’s Report

MHI NCC Division Chairman Stephen Braun, co-president and COO of Hometown America provides a state-of-the-industry report.

Influencing Industry Perceptions by Telling Your Story

Steve Schaub, president and CEO of YES Communities will talk about how his company has successfully told its story to create a positive perception of land-lease communities among policymakers, media and potential customers.

The State of the Housing Market

Dr. Mark Palim, deputy chief economist for Fannie Mae will discuss recent developments in the economy and the housing market.

Navigating Today’s Political Landscape in Washington

The Hon. Sean Duffy, former U.S. representative and chairman of the House Financial Services Subcommittee on Housing & Insurance will share insights about successfully navigating the current landscape in Washington with an overview of the 2020 elections.

NCC Code of Ethics

Jody Gabel, partner at Lutz, Bobo & Telfair will detail eight key principles of the new NCC Code of Ethics and why it is critical for you to incorporate these standards into your business.

Rent Control: Lessons from Recent Experiences

Moderated by NCC Division Vice-Chairman Bill Raffoul, director of capital investments for Sun Communities, the topic will be taken up by a panel that includes C. William Dahlin, Esq., partner at Hart King, Susy Forbath, a government relations professional with Cozen O’Connor, and Mark Glaser, a shareholder with Greenberg Traurig.

Data-Driven Benefits Analysis of Land-Lease Manufactured Housing Communities

Chris Fisher, managing principal for DuckerFrontier, will cover the vital role communities play in providing affordable housing across the country, and how “bad actors” and negative media coverage undermines the value of this important path to homeownership.

Telling Your Story with (or more likely without) the Media!

Robert Johnson, president of Washington Media Group, will share creative ways to get media coverage, and tell you how to report your stories to your audiences without ever talking to a journalist.

NCC Fall Leadership Forum Chicago skyline
A view from 360 Chicago atop the John Hancock Building.

1...626364...97Page 63 of 97

EVENTS

hall of fame elkhart mh rv

Introducing the 2026 RV/MH Hall of Fame Inductees

Aug. 17 Induction Dinner in Elkhart to Honor Five from Each Industry In August, the RV/MH Hall of Fame will celebrate the 2026 class of...
MHI CE expo hall vegas manufactured housing meeting

Manufactured Housing Industry Convenes in Las Vegas for MHI’s 2026 Congress and Expo

More than 1,500 manufactured housing professionals are expected in Las Vegas April 7-9 as the Manufactured Housing Institute’s Congress and Expo returns to the...

Biloxi Show Shapes Up to be Bigger Than Ever in 2026

With more homes, more exhibitors, and more buzz than ever before, the 2026 Biloxi Show is expanding, and fast.  The Biloxi Manufactured Housing Show &...
Load more