Click here to send MH news, tips, links, documents, facts
or factory-built housing related news story suggestions.

Home > Affordable Housing, Analysis and Commentary, Association, Company News, Legal, Manufactured Home Communities, Manufactured Housing Industry, News, Trends > Manufactured Home Community Case Study, UMH Properties, Lessons for Independent Community Owners, Investors

Manufactured Home Community Case Study, UMH Properties, Lessons for Independent Community Owners, Investors

May 10th, 2019


For some time, but more recently in the report linked here, the Daily Business News on MHProNews has a made the point that the purported market rigging by Berkshire Hathaway brands, as referenced in reports linked here, here, and here has harmed more than just independent manufactured home ‘street retailers.’  It has arguably harmed independently owned communities too.  One could go further, and say that a similar case can be made for the harm done to investors, see the report, linked here and here.


These in turn would logically harm the interests of manufactured home producers.  Who says? MHI backer, Amy Bliss, Executive Director of the Wisconsin Housing Alliance (WHA), among others.  But frankly, it is logical and obvious.




But let’s focus more for this report on manufactured home communities.  Because whether he intended to do so, or not, what the George F. Allen fact-check – linked below – unmasked is the purported harm to independently owned communities, and how Allen’s behavior relates to addressing that harm to independently owned communities, or not.

Note that harm also logically impacts residents in these communities.

But back to the owners of manufactured home community owners. What might the concerns of market rigging cost the owner of a manufactured home community?  Depending on the size of the property or other factors that impact value, the total harm could be in the hundreds of thousands of dollars, or even into the millions of dollars.  Take that times some 44,000 communities, and the figures soar into the tens of billions.

Given who would arguably be liable, it’s the type of numbers that might even make the Oracle of Omaha and his investors, wince.

Is there evidence for that economic harm caused to community owners? Yes, and it comes from a publicly traded company. That firm, in the case study below, is UMH Properties.



The data provided for this case study is taken from UMH Properties (UMH), unless otherwise noted.  This information is an independent analysis, not commissioned by UMH.


A Case Study – Countryside Village

Located in Columbia, TN, 46 miles south of Nashville, TN.

Number of Sites: 349
Date of Acquisition: June 29, 2011
Purchase Price: $7,300,000
Purchase Price per Site: $21,000
Capitalization Subsequent to Acquisition (including $8.6m in rental homes): $9,196,000
Total Capital Investment ($47,300 per site): $16,496,000

At Acquisition                                              | Today * |          Increase

Occupancy Percent: 55%                             97%                  42%
Number of Rentals:  79                                222                  143
Site Rent: $302                                             $372                  23.2%
Rental and Related Income* $953,000 | $2,315,000   | 142.9%
Net Operating Income* $497,000          | $1,477,000   | 197.2%

Value per site ** N/A                                |  $70,500         | 49%***
Value of Community ** N/A                    | $24,616,700    | 49%***


*At acquisition – 2011 annualized;
Today – Year Ended December 31, 2018.
**Value calculated based on a 6% Cap Rate.
***Increase from total capital investment.



Rephrased, in this example, using UMH data as show, the seller of that property – adjusted for inflation and other factors – did not realize a gain of some $49,500 per site. For that community of 349 sites, that’s $17,275,500.


There are lots of ways to slice and dice this data. The UMH screen capture, from which the above was mined, is below.




How many billions and billions of dollars in lost property value might Berkshire Hathaway, their allies, and surrogates potentially be liable for if a suit like this was taken to court and succeeded?

Then, apply that same query to retailers, producers, suppliers, lenders, and other firms impacted.

Finally, ponder the harm done to the interests of some 22 million owners of mobile and manufactured homes. That too could total into the tens of billions of dollars. See the related reports, further below.

That’s this Friday morning edition from the #1 most-read “Industry News, Tips, and Views Pros Can Use,” © where “We Provide, You Decide.” © ## (News, analysis, and commentary.)



To report a news tip, click the image above or send an email to – To help us spot your message in our volume of email, please put the words NEWS TIP in the subject line.

NOTICE: You can get our ‘read-hot’ industry-leading emailed headline news updates, at this link here. You can join the scores who follow us on Twitter at this link. Connect on LinkedIn here.

NOTICE 2: Readers have periodically reported that they are getting a better experience when reading MHProNews on the Microsoft Edge, or Apple Safari browser than with Google’s Chrome browser. Chrome reportedly manipulates the content of a page more than the other two browsers do.

(Related Reports are further below. Third-party images and content are provided under fair use guidelines.)

1) To sign up in seconds for our MH Industry leading emailed news updates, click here.


To see a sample of our emailed news update, click here. To sign up for the factory-built home industry’s #1 headline news, click here or the graphic above.

2) To pro-vide a News Tips and/or Commentary, click the link to the left. Please note if comments are on-or-off the record, thank you.

3) Marketing, Web, Video, Consulting, Recruiting and Training Re-sources

SoheylaKovachDailyBusinessNewsMHProNewsMHLivingNewsSubmitted by Soheyla Kovach to the Daily Business News for Soheyla is a managing member of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and

Related Reports:

You can click on the image/text boxes to learn more about that topic.

Declining Manufactured Home Shipments More Serious Than Retailers, Communities Being Told


Gannett Media Exposés, MH Community Owner Moves Sparks Outrage – IEDs of Manufactured Housing

Manufactured Housing – White Hats, Black Hats, Investing, Consumers, MH Independents








Matthew Silver - Reporter at Large
Soheyla Kovach - Support Services
L.A. 'Tony' Kovach - Publisher, Editor and Marketing Director. To submit a news tip, please click here:
Comments are closed.