Due Diligence for Manufactured Housing Communities

$SERVICE LEVELS

 
The 10 Deal Breakers : This is how we start Offsite Due Diligence!
 
The Whole Enchilada for Offsite Research: $5,950
 
VIP Service - Onsite work to uncover reality: $6,950

SERVICE LEVELS EXPLAINED...   Also be sure to read our FAQ!


Full Diligence (aka Offsite Due Diligence)

Full Diligence includes thorough collection and validation of all tasks ~ the full enchilada (aka Offsite Due Diligence). Full Diligence includes the 'Deal Breakers' above. These tasks includes over 20 categories of information and approximately 600 tasks, that are shared with client's team - in real time! You get to monitor the information as it comes in!


Minimum base fee is $5,950 for a 50 lot park and a $25 fee per additional lot.


50 lot: $5,950

100 lot: $7,200

150 lot: $8,450

200 lot: $9,700

Private Utility: $2,000 per private utility (ie - if property has Water Wells & WWTP, it would be an additional $4K).

This fee is payable once, during the offsite due diligence period or Recon.

POH: Depending on the number of POH, if the majority of homes are POH, there may be an additional charge for more time needed (this accommodates for time to audit items inside and outside each home with pictures)


Deal Breakers ~ how we start Offsite Due Diligence

Deal Breakers include 10 tasks ~ give or take one or two, tailored to each unique property. We go back and forth with the City and County to get answers on paper - a lot of back and forth! These tasks begin with the following;

  • zoning compliance
  • code compliance
  • land use options
  • variance validation
  • easement information
  • water and sewer infrastructure validation
  • additional utilities validation
  • flood plain information
  • rent roll accuracy
  • occupancy validation


Recon Service

Recon Service is considered the VIP treatment if you want to outsource the specialized Ground Diligence work.

Minimum fee is $6,950 for a 50 lot park and a $35 fee per additional lot. This is a separate onsite service, an add-on for Full Diligence.


Up to 50 lots: $6,950

100 lot: $8,700

150 lot: $10,450

200 lot: $12,200


Fee for travel. Cost of flying will include a flat fee for nearly the most inexpensive airline ticket(s) available online, hotel, and car accommodation. 


Service includes:

  • 1-2 complete days of on site infrastructure and inventory inspections (depending on size of community)
  • pictures and video of infrastructure and inventory
  • creating basic maps and diagrams of missing information
  • meeting with vendors
  • meet with plumber to perform sewer video inspection. Vendor's expense will be additional cost. If you choose for us to meet with vendor to include collecting and uploading video, it will be included as part of Recon and NOT an additional task.
  • 10 point checklist for park owned homes
    • outside condition
    • inside condition
    • flooring and wall stability in each room
    • utility setup
    • HVAC setup
    • list of rehab items
    • notes if moisture and mold is noticed or reported by tenant
    • note of missing or bad appliances
    • basic hazard audit (stability of home, secured electrical panels and connections, and other code related items such as stairs)
    • overall living condition impressions (pets, how home is used, and recommended improvements)

Drone Service (Add-on)

1 - 20 acres: $1,600
20+ acres: $2,200... why more? Twice as much time flying acre by acre, uploading, editing and processing.

  • 3D map creation
    • 3D mapping of structures – we create a 3D model that you can interact with!
    • 3D tools you can use to draw shapes and measure distance
    • Color coded topography map - always better than online topography maps!
  • 2D map and pictures
    • 2D map made up of 100s of high resolution pictures stitched together – giving you the ability to zoom in on small objects!
    • Great aerial pictures from different vantage points
  • Ability to complete Drone service – contingent upon acceptable weather and legal distance proximity from any public/private airports
  • Insured - Yes, we are. We have property coverage as well as Commercial Drone insurance.
  • Discrete - drone is typically not noticeable – silent – out of sight (scans property 150 ft – 250 ft above property)

  Drone for Due Diligence  

Supplemental Reports (Add-ons)


    • P&L vs Bills Report ($500): We compare the P&L with bills to report on consistency of actual costs vs seller reported costs.
    • Lease Audit Report ($500): Reviewing every single signature, if signature(s) match tenant names, and that names on rent roll match lease names. Additional if over 100 lots.
    • Tenant Turnover Report ($250): Compare rent rolls provided for over a 6 month or 1 year period to determine turnover percentages for occupied lots, homes, and overall turnover. $500 if over 100 lots.
    • Custom Report: It may be possible to provide a custom report upon request. For example, if particular information is desired when performing recon on a park owned home, then a custom report could be provided.

What Is Not Included?

Tasks included are detailed in service agreement provided
Buyer is responsible for Survey and Phase I(if applicable), any additionally required 3rd party inspection fees(often the case for private utilities), and city/county fees(if required) for land use and zoning information requests.