A mobile home park business, also known as a manufactured housing community or trailer park, is a real estate venture that involves owning and operating a community where mobile homes or manufactured homes are located.
Mobile home parks typically consist of individual lots or spaces where residents can place their mobile homes or manufactured homes. The mobile home park business owner or operator leases the lots to residents who own their homes but rent the land.
In some cases, the business may also own some of the homes within the community and rent them out to tenants. The business is responsible for maintaining the common areas of the park, such as roads, utility systems, recreational facilities, and landscaping.
Mobile home park businesses provide an affordable housing option for individuals and families who may be unable to afford traditional houses or apartments. Residents benefit from the relatively low cost of living in a mobile home park, while the business owner generates income through lot rentals and home rentals.
Steps on How to Write a Mobile Home Park Business Plan
Graham McPherson® Mobile Home Park, Inc. is a premier mobile home park business located in the vibrant city of Las Vegas, Nevada.
We aim to provide affordable and comfortable housing solutions to residents seeking a secure and welcoming community environment. Our park offers a range of amenities, exceptional customer service, and a commitment to maintaining high standards of living for our residents.
Graham McPherson® Mobile Home Park, Inc. is a legally registered mobile home park business operating in Las Vegas, Nevada.
Our primary business objective is to provide an attractive, well-maintained community for individuals and families seeking affordable housing options in the region. By offering a combination of lot rentals and home rentals, we cater to a diverse range of residents’ needs.
Our mobile home park is strategically situated in Las Vegas, Nevada, a city known for its thriving economy, entertainment options, and growing population.
This prime location allows us to tap into the demand for affordable housing while benefiting from the numerous attractions and amenities that Las Vegas has to offer. Graham McPherson is the founder and CEO of Graham McPherson® Mobile Home Park, Inc.
a. Our Products and Services
At Graham McPherson® Mobile Home Park, Inc., we prioritize the comfort and satisfaction of our residents. We provide a variety of services and amenities, including:
- Spacious and well-maintained lots for residents to place their mobile homes.
- On-site management and dedicated staff to address residents’ needs and maintain the community.
- Landscaped common areas, playgrounds, and recreational facilities for residents’ enjoyment.
- Reliable utility systems, including water, electricity, and sewage infrastructure.
- Ample parking spaces and designated visitor areas for convenience.
- Close proximity to essential amenities such as schools, shopping centers, and medical facilities.
b. Nature of the Business
Our mobile home park business will operate the business-to-consumer and business-to-business model.
c. The Industry
Graham McPherson® Mobile Home Park, Inc. will operate in the real estate industry.
d. Mission Statement
At Graham McPherson® Mobile Home Park, Inc., our mission is to provide a safe, affordable, and inclusive community for residents seeking comfortable and quality mobile homes.
We are committed to fostering a sense of belonging, delivering exceptional customer service, and maintaining high standards of professionalism and integrity in all our operations. Our aim is to create a welcoming environment that promotes community engagement, enriches lives, and exceeds the expectations of our residents.
e. Vision Statement
Our vision at Graham McPherson® Mobile Home Park, Inc. is to be recognized as the premier mobile home park community in Las Vegas, Nevada. We aspire to be the preferred choice for individuals and families seeking a well-maintained, secure, and vibrant living environment.
f. Our Tagline (Slogan)
“Discover the Perfect Home, Community, and Lifestyle at Graham McPherson® Mobile Home Park”
g. Legal Structure of the Business (LLC, C Corp, S Corp, LLP)
Graham McPherson® Mobile Home Park, Inc. will be formed as a Limited Liability Company (LLC).
h. Our Organizational Structure
- Chief Executive Officer (Owner)
- Operations Manager
- Maintenance Officer
- Administrative Staff
- Customer Care Executive
i. Ownership/Shareholder Structure and Board Members
- Graham McPherson (Owner and Chairman/Chief Executive Officer) 54 Percent Shares
- Charles Holmes (Board Member) 16 Percent Shares
- Emma Richards (Board Member) 10 Percent Shares
- Tims Wools (Board Member) 10 Percent Shares
- Susan Powel (Board Member and Secretary) 10 Percent Shares.
- Situated in the vibrant city of Las Vegas, our mobile home park benefits from a desirable location with access to amenities, entertainment options, and a growing population.
- We provide an affordable housing solution for individuals and families who may not be able to afford traditional houses or apartments, catering to a significant market demand.
- Our commitment to maintaining well-kept common areas, landscaping, and infrastructure creates an attractive and inviting living environment for residents.
- Our experienced and dedicated management team ensures effective operations, prompt resident support, and the enforcement of community rules and regulations.
- As residents own their mobile homes, we have limited control over the condition and maintenance of individual homes, which can impact the overall aesthetics and appeal of the community.
- The reliance on rental income, both for lot rentals and potential home rentals owned by the business, exposes us to market fluctuations and the potential risk of vacancies affecting revenue.
- As the need for affordable housing continues to rise, there is an opportunity to expand and attract more residents to our mobile home park.
- Offering additional services such as community events, amenities upgrades, and partnerships with local businesses can enhance resident satisfaction and attract new tenants.
- Collaborating with local organizations, government agencies, or nonprofit groups can lead to joint initiatives, subsidies, or incentives to support affordable housing initiatives.
i. How Big is the Industry?
In the United States, which has one of the largest mobile home park markets, there are an estimated 45,000 to 50,000 mobile home communities. According to the Manufactured Housing Institute (MHI), as of 2020, approximately 22 million people live in manufactured homes across the country.
Please note that the industry’s size is influenced by factors such as population growth, demand for affordable housing, and economic conditions.
ii. Is the Industry Growing or Declining?
The mobile home parks industry, also known as the manufactured housing community industry, has been steadily growing.
iii. What are the Future Trends in the Industry
The mobile home parks industry is evolving and experiencing several notable trends that shape its future. Mobile home parks are increasingly focusing on modernization efforts to attract residents. This includes upgrading amenities such as fitness centers, community gardens, dog parks, recreational facilities, and high-speed internet access to enhance the overall living experience.
Many mobile home parks are adopting sustainable practices to reduce their environmental impact. This includes incorporating energy-efficient infrastructure, promoting recycling programs, and exploring renewable energy sources like solar panels. Sustainable initiatives can both attract environmentally-conscious residents and contribute to cost savings.
Mobile home parks are embracing technology to streamline operations and enhance resident experiences. This includes implementing online portals for rental payments and maintenance requests, smart home features, security systems, and community apps for communication and event updates.
iv. Are There Existing Niches in the Industry?
No, there are no existing niches when it comes to the mobile home park business because the mobile home park is a niche idea in the real estate industry.
v. Can You Sell a Franchise of Your Business in the Future?
Graham McPherson® Mobile Home Park, Inc. intends to sell franchises in the near future, with a focus on major cities in the United States of America and Canada that place greater emphasis on fostering community engagement through organized social events, clubs, and activities.
- Economic downturns or fluctuations could impact the ability of residents to afford rent or maintain their homes, potentially leading to increased vacancies or payment issues.
- Changes in local or state regulations pertaining to mobile home parks could impose additional compliance requirements or affect the profitability of the business.
- The presence of other mobile home parks or alternative affordable housing options in the area could pose a competitive threat, requiring effective marketing strategies and differentiation to attract and retain residents.
i. Who are the Major Competitors?
- Equity Lifestyle Properties, Inc.
- Sun Communities, Inc.
- UMH Properties, Inc.
- RHP Properties, Inc.
- YES! Communities
- Manufactured Housing Properties Inc.
- MHP Funds
- Four Star Homes
- American Residential Communities LLC
- Newby Management
- Western Ventures
- Lakeshore Communities, Inc.
- Horizon Land Company
- Newport Pacific Capital Company
- Hometown America
- Aspen Square Management
- Lamplighter Manufactured Home Community
- Real Property Management Inc.
- Stone Canyon Mobile Home Park
- Texas Mobile Home Park Management.
ii. Is There a Franchise for Mobile Home Park Business?
No, there are no franchise opportunities for mobile home park businesses.
iii. Are There Policies, Regulations, or Zoning Laws Affecting Mobile Home Park Businesses?
Yes, there are policies, regulations, and zoning laws that affect the mobile home park business in the United States. These regulations are designed to ensure the safety, well-being, and proper management of mobile home communities.
Mobile home parks are subject to zoning and land use regulations, which dictate where they can be located and how they can operate within specific areas.
Zoning laws typically designate certain zones for mobile home park use and may have requirements regarding lot sizes, setbacks, and density. Mobile home parks must comply with health and safety regulations to protect the well-being of residents.
This includes regulations related to utilities, sewage systems, fire safety, electrical systems, and overall maintenance standards. Some states and municipalities have rent control laws or tenant protection laws that govern the rent increase process, eviction procedures, and the rights and responsibilities of both landlords and tenants in mobile home parks.
Mobile home park operators must comply with fair housing laws that prohibit discrimination based on factors such as race, color, religion, sex, disability, and familial status when renting or selling homes within their communities.
Mobile homes must meet certain construction and installation standards established by the U.S. Department of Housing and Urban Development (HUD). These standards ensure that manufactured homes are built and installed safely and meet specific structural, energy efficiency, and safety requirements.
a. Who is your Target Audience?
i. Age Range: Our target audience may primarily include individuals and families across a wide age range.
ii. Level of Education
There are no specific educational requirements for our target audience. It may encompass individuals with varying levels of education, from high school graduates to those with advanced degrees.
iii. Income Level
The target audience for Graham McPherson® Mobile Home Park, Inc. generally includes individuals and families with moderate to middle-income levels.
iv. Ethnicity: Our target audience will encompass individuals from diverse ethnic backgrounds and communities.
While English may be the primary language of communication, Graham McPherson® Mobile Home Park, Inc. may cater to individuals who speak various languages.
vi. Geographical Location
Our target audience is likely to be centered around the geographical location of Graham McPherson® Mobile Home Park, Inc., which is Las Vegas, Nevada.
vii. Lifestyle: Our target audience may include individuals and families seeking a community-oriented lifestyle.
b. Advertising and Promotion Strategies
- Content marketing
- Deliberately Brand Our Office Facility and Mobile Homes
- Email marketing
- Events and sponsorships
- Pay-per-click (PPC) advertising
- Referral marketing
- Search engine optimization (SEO).
i. Traditional Marketing Strategies
- Broadcast Marketing -Television & Radio Channels.
- Marketing through Direct Mail.
- Print Media Marketing – Newspapers & Magazines.
- Out-of-home (OOH) advertising – Public transit like Buses and Trains, Billboards, Street shows, and Cabs.
- Leverage direct sales, direct mail (postcards, brochures, letters, fliers), tradeshows, print advertising (magazines, newspapers, coupon books, billboards), referral (also known as word-of-mouth marketing), radio, and television.
ii. Digital Marketing Strategies
- Affiliate Marketing
- Content Marketing.
- Email Marketing.
- Influencer Marketing.
- Mobile Marketing.
- Social Media Marketing Platforms.
- Search Engine Optimization (SEO) Marketing.
iii. Social Media Marketing Plan
- Create a personalized experience for our customers and their families.
- Create an efficient content marketing strategy.
- Create a community for our target market and potential target market.
- Create profiles on relevant social media channels.
- Gear up our profiles with a diverse content strategy.
- Start using chatbots.
- Run cross-channel campaigns.
- Use brand advocates.
c. Pricing Strategy
When working out our pricing strategy, Graham McPherson® Mobile Home Park, Inc. will ensure it covers profits, insurance, premium, license, economy or value, and full package. In all our pricing strategy will reflect;
- Penetration Pricing
- Cost-Based Pricing
- Value-Based Pricing
- Competition-Based Pricing.
Sales and Distribution Plan
a. Sales Channels
Graham McPherson® Mobile Home Park, Inc. can utilize various sales channels to reach and acquire customers. Our sales channels will include both direct and indirect channels.
We will employ a direct sales approach where its representatives proactively engage with potential customers through in-person meetings, presentations, and events. This approach allows for direct communication and relationship-building with individuals and businesses interested in mobile home park services.
Graham McPherson® Mobile Home Park, Inc. will evaluate and prioritize the most effective sales channels based on their target audience, market dynamics, and available resources. A multi-channel approach that combines both online and offline strategies that can help the organization reach a wider customer base and drive growth for the business.
b. Inventory Strategy
As a mobile home park business, Graham McPherson® Mobile Home Park, Inc. does not typically maintain an inventory of products like traditional retail businesses. However, the park may have an inventory strategy related to managing its available rental lots and homes.
- Maintain accurate records of the available lots within the mobile home park.
- Track the occupancy status of each lot, including vacant, rented, or under maintenance.
- Regularly update the lot availability status to reflect any changes in real time.
- Analyze demand trends and adjust the number of available lots based on market demand and business goals.
- If the mobile home park owns or manages rental homes within the community, maintain an inventory of these homes.
- Track the occupancy status of each home, including vacant, rented, or under maintenance.
- Regularly update the home availability status to reflect any changes in real time.
- Conduct periodic assessments of the condition of rental homes and plan for necessary maintenance or renovations.
c. Payment Options for Customers
Here are the payment options that Graham McPherson® Mobile Home Park, Inc. will make available to her clients;
- Apple Pay and Google Wallet
- Gift cards and store credit
- Credit and debit cards
- Installment payments
- Cash on service delivery.
d. Return Policy, Incentives, and Guarantees
Mobile home parks typically do not have a return policy as residents own their mobile homes. Once a resident purchases or rents a mobile home and enters into a lease agreement or contract, they are responsible for the terms and conditions outlined in the agreement.
Graham McPherson® Mobile Home Park, Inc. will offer incentives to attract new residents or retain existing ones. These incentives could include discounted lot rents for a specific period, referral programs where current residents receive incentives for referring new residents or discounts on community amenities or services.
Incentives could also be offered during promotional periods or as part of special events or community initiatives to encourage engagement and enhance resident satisfaction.
Guarantees in the mobile home park industry typically revolve around providing a safe and well-maintained living environment for residents. Graham McPherson® Mobile Home Park, Inc. will offer guarantees regarding the provision of essential services such as water, electricity, and waste management, as well as adherence to health and safety standards within the park.
e. Customer Support Strategy
Graham McPherson® Mobile Home Park, Inc. will provide multiple communication channels for residents. This can include phone, email, online portals, or in-person office hours.
Our operational plan at Graham McPherson® Mobile Home Park, Inc. outlines the key activities and strategies required to effectively manage and operate the mobile home park.
Graham McPherson® Mobile Home Park, Inc. will establish a comprehensive property management system to handle day-to-day operations, including lot assignments, lease agreements, rent collection, and resident communication. Develop protocols for move-in and move-out procedures, ensuring a smooth transition for residents.
Implement systems for regular property inspections, maintenance schedules, and repairs to ensure the mobile home park is well-maintained and meets safety standards.
a. What Happens During a Typical Day at a Mobile Home Park Business?
- Property Maintenance
- Resident Interaction and Services
- Administrative Tasks
- Financial Management
- Marketing and Resident Acquisition
- Community Engagement and Events
- Compliance and Regulatory Matters
b. Production Process
There is no production process when it comes to the mobile home park business.
c. Service Procedure
The service procedure for Graham McPherson® Mobile Home Park, Inc. involves a series of steps to ensure the efficient and effective delivery of services to residents. Here is a general outline of the service procedure:
- Resident Service Requests
- Service Request Logging and Prioritization
- Evaluation and Planning
- Resource Allocation and Scheduling
- Service Execution
- Follow-Up and Resident Communication
- Quality Assurance
- Documentation and Record-Keeping.
d. The Supply Chain
A supply chain is not applicable to a mobile home park business.
e. Sources of Income
Graham McPherson® Mobile Home Park, Inc. generates income by renting and leasing out mobile homes and offering related services.
a. Amount Needed to Start Your Mobile Home Park Business?
Graham McPherson® Mobile Home Park, Inc. would need an estimate of $10 million to successfully set up our mobile home park business in the United States of America. Please note that this amount includes the salaries of all our staff for the first month of operation.
b. What are the Costs Involved?
- Business Registration Fees – $750.
- Legal expenses for obtaining licenses and permits – $11,300.
- Marketing, Branding, and Promotions – $3,000.
- Business Consultant Fee – $2,500.
- Insurance – $15,400.
- Rent/Lease – $120,000.
- Operational Cost (salaries of employees, payments of bills et al) – $80,000
- Start-up Inventory – $25,000
- Store Equipment (cash register, security, ventilation, signage) – $4,750
- Construction and equipping mobile homes – $9.5 million
- Website: $600
- Opening party: $4,000
- Miscellaneous: $5,000
c. Do You Need to Build a Facility? If YES, How Much will it cost?
Graham McPherson® Mobile Home Park, Inc. will build a new facility for our mobile home park and it will cost us approximately $9.5 million.
d. What are the Ongoing Expenses for Running a Mobile Home Park Business?
- Property Maintenance and Repairs
- Taxes and Licenses
- Administrative and Operational Costs
- Marketing and Advertising
- Community Services and Amenities
- Regulatory Compliance
- Financial and Administrative.
e. What is the Average Salary of your Staff?
- Chief Executive Officer (Owner) – $72,000 Per Annum
- Operations Manager – $62,000 Per Annum
- Maintenance Officer – $48,000 Per Annum
- Accountants/Cashiers – $38,000 Per Annum
- Administrative Staff – $35,000 Per Annum
- Customer Care Executive – $32,000 Per Annum
f. How Do You Get Funding to Start a Mobile Home Park Business?
- Raising money from personal savings and sale of personal stocks and properties
- Raising money from investors and business partners
- Sell shares to interested investors
- Applying for a loan from your bank/banks
- Pitching your business idea and applying for business grants and seed funding from the government, donor organizations, and angel investors
- Source for soft loans from your family members and friends.
a. How Much Should You Charge for Your Product/Service?
Lot rents can range from around $200 to $1,000 or more per month, depending on the location, amenities, and services provided by the mobile home park. On average, monthly rent for a mobile home can range from $500 to $2,500 or more.
Rent may be lower for older or smaller mobile homes and higher for newer or larger ones. The rental cost may also depend on whether utilities, such as water, electricity, or trash removal, are included in the rent or paid separately by the resident.
b. Sales Forecast?
- First Fiscal Year (FY1): $2.1 million
- Second Fiscal Year (FY2): $3.2 million
- Third Fiscal Year (FY3): $6 million
c. Estimated Profit You Will Make a Year?
- First Fiscal Year (FY1) (Profit After Tax): 15%
- Second Fiscal Year (FY2) (Profit After Tax): 20%
- Third Fiscal Year (FY3) (Profit After Tax): 25%
d. Profit Margin of a Mobile Home Park Business
The ideal profit margin we hope to make at Graham McPherson® Mobile Home Park, Inc. will be between 15 and 25 percent.
a. How do you intend to grow and expand? By opening more retail outlets/offices or selling a franchise?
Graham McPherson® Mobile Home Park, Inc. will grow our mobile home park business by first opening our locations in key cities in the United States of America within the first five years of establishing the business and then starting a franchise in the nearest future.
b. Where do you intend to expand to and why?
Graham McPherson® Mobile Home Park, Inc. plans to expand to;
- Denver, Colorado
- Portland, Oregon
- Charlotte, North Carolina
- Indianapolis, Indiana
- Nashville, Tennessee
- Phoenix, Arizona
- San Diego, California
- Houston, Texas
- Seattle, Washington
- Atlanta, Georgia.
The cities listed above have a significant demand for mobile homes.
The founder of Graham McPherson® Mobile Home Park, Inc. aims to exit the company through a merger and acquisition. We wish to merge with a global mobile home park company so that when the founder retires, the company’s management can be placed in trusted hands.
The purpose of globalizing two or more international mobile home park companies is to achieve synergy, in which the total (the new company) is greater than the sum of its parts (the former two distinct entities).