Perspective: ‘Landlease communities, a.k.a. manufactured home communities, are the real estate component of manufactured housing.’ GFA
It’s Important You Know & Understand What’s Going On!
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‘Ad & $ Duo’ in Georgia Maybe Precursor for Rest of U.S.
The following paragraphs address ‘national political advocacy’ in behalf of, and ‘comprehensive resource servicing’ for, the owners and operators of an estimated 50,000+/- landlease communities throughout the U.S. today….
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If you missed the GMHA meeting in Atlanta, on 1 June, then read this….
I.
Will ‘national political advocacy’ and ‘comprehensive resource servicing’, for landlease communities ‘of all sizes’, continue as practiced today; grow in size, scope and influence; or maybe, actually begin to die by the end of year 2012? That is the timely, pithy, and multifaceted question before two bodies today, this week, and during the months ahead. That’s how serious this matter is!
The Manufactured Housing Institute’s (‘MHI’) National Communities Council (‘NCC’) division, at its’ annual Legislative Conference, in Arlington, VA., during February of this year, acknowledged, via its’ large property portfolio – dominated executive committee, a far better job must be done, to attract small and mid – sized landlease community owners/operators, to become direct, dues – paying members of the NCC! A likely consequence of NOT growing council membership soon, might be inability to function as an effective, broad – based, national political advocate for 50,000+/- income – producing landlease communities nationwide. To join the NCC, phone Bruce Savage at (703) 558-0666. Tell him, ‘George sent me!’ Seriously.
Then there’s the ’18 New Pioneers’ meeting occurring at SaddleBrook Farms in Grayslake, IL., this week, 11 & 12 June 2012. This timely and pivotal national venue will be attended by nearly 20 successful landlease community ‘owners’ from a dozen states, along with a few key advisors. They’ll focus their attention on ‘comprehensive resource servicing’ of landlease communities nationwide; and, whether the present, perennial, helpful practices should continue in ‘for profit’ fashion, become an altogether new ‘not for profit’ national realty asset class entity – similar to the Institute of Real Estate Management® or IREM®, or craft a unique, practical working combination of both perspectives, including an academic element. By way of review, ‘comprehensive resource servicing’, as it exists today, for landlease community owners/operators includes:
• business statistics gathering & distribution via annual ALLEN REPORT & nearly a dozen additional Signature Series Resource Documents or SSRDs
• professional property management education & certification, e.g. Manufactured Housing Manager® or MHM® program, with nearly 1,000 MHM®s to date.
• print & online communication & publishing, including the Allen Letter professional journal & the Allen CONFIDENTIAL! business newsletters, textbooks ‘for sale’, and this weekly blog posting at community-investor.com
• national interpersonal peer networking & deal – making at annual International Networking Roundtables, with next one, 12 – 14 September in San Diego, CA.
• an exclusive & confidential contact data base, for research & direct mail access, comprised of 500+/- LLCommunity portfolio owners/operators in North America
Bottom line, where ‘comprehensive resource servicing’ of 50,000+/- landlease communities nationwide, is concerned, 25 years of dedicated corporate support is likely coming to an end, unless:
A new ‘for profit’ sole proprietor or corporation picks up and continues the bullet point functions described above; or,
A new ‘not for profit’ entity is formed (MHI/NCC negotiated, but passed on an opportunity to acquire and absorb three of five functions, 1 ½ years ago) to take over ‘comprehensive resource servicing’; or,
Possibly a middle ground, comprised of ‘for profit’ & ‘not for profit’ perspectives, including the hinted – at academic presence, where ‘business statistics gathering & distribution’ is concerned.
So, if YOU have immediate personal input on this critical matter, do so today via MHIndustry HOTLINE: (877) MFD-HSNG or 633-4764, or email: gfa7156@aol.com
For progress report, read next week’s blog posting here, maybe….
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I hope many state manufactured housing association executives take serious note of what’s happening in Georgia; then reach out to the folk who’re ‘making it happen’, to learn how to eventually bring this unique and exciting two – pronged ‘Advertising & CASH program’ to their state, to help community owners and home manufacturers alike!
So, what happened last Friday at the GMHA offices? NO, correct that; ‘at a nearby hotel’, since so many landlease community owners/operators and manufactured housing industry aficionados showed up, they couldn’t be accommodated at the association’s office!
Here’re remarks I received, describing the MHIndustry advertising part of the two – pronged program:
• “…community owners and industry related professionals were sitting on the edge of their seats, as Spencer Roane described the general nature of our proposed advertising campaign. Most, feverishly took notes as information was shared. The mood in the room was reminiscent of rare occasions when one is wont to say ‘a breath of fresh air’ is finally blowing in against our tough (economic) times.” Delano Massey, VP of Development & Production for Jacob’s Eye Entertainment
• Two aspects of the proposed ad campaign: Every LLCommunity will undergo a ‘needs analysis’, enabling crafting a course of action that works for their target audience; and, the ad agency will find ways to maximize advertising opportunity economies of scale, for the benefit of all participants!” (Lightly edited. GFA)
Some were overheard saying, as they left the meeting, “If no one else wants to do this ad campaign, I’ll do it alone if I have to!” That’s how enthusiastic and ‘hungry to get started’, everyone was.
Then there’s 21st Mortgage Corporation’s precedent – setting CASH Program, the exciting ‘placement of new manufactured homes into landlease communities chattel finance model’ crafted and promoted, by Lance Hull. This plan puts new HUD Code manufactured homes, at 21st Mortgage’s expense, into small to mid – sized properties that don’t enjoy the economy of scale characteristic of the largest of the 500+/- known portfolio owners/operators. In return, community owners contribute a portion of the site rent generated by new homeowners, directly to 21st, where it’s applied to reduce the principal owed on the home. This builds equity quickly, encouraging the homeowner/site renter to remain in their home throughout the loan term. In turn, the landlease community benefits from having new homes on – site, the site rent generated, and a more stable resident base. Reads like a WIN-WIN-WIN-WIN plan to me!
So, want to learn more about ‘What’s going on down in Georgia’, to then maybe emulate the ad program in your state, and invite 21st Mortgage Corporation to ‘splain’ the CASH program to your landlease community owners/operators? Here’re your primary contacts:
Jay Hamilton, Georgia Mfd. Hsng. Assn. (770) 955-4522
Spencer Roane, MHM®, Pentagon Properties. (678) 428-0212
Delano Massey, Jacob’s Eye Entertainment (ad agency) (404) 995-1609
Lance Hull, 21st Mortgage Corporation (800) 955-0021 X 1218
And, if you’re a landlease community owner reading this, suggest you bring this blog posting to the attention of your state’s MHAssociation executive, as well as the association’s board chairman – for consideration and possibly action. If YOU don’t do this, it’s likely no one else will either, and another opportunity will be lost. Your call….
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George Allen, CPM®Emeritus, MHM®Master
Consultant to the Factory – built Housing Industry &
The Landlease Community Real Estate Asset Class
Box # 47024, Indianapolis, IN. 46247
(317) 346-7156