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Ryan Kirk–Investor & Entrepreneur-Gets Positive Media via Airbase Estates Mobile/Manufactured Home Makeovers, Exclusives, Videos

August 1st, 2018 Comments off


RyanKirkInvestorEntrepreneurPositiveMediaAirbaseEstatesMobileManufacturedHomeMakeoversExclusivesVideosMHProNews550x315


It’s an older property, that the photos reveal includes several true pre-HUD Code mobile homes (MH). Ryan Kirk bought Airbase Estates in Montgomery, AL about 9 months ago.  By ‘doing what’s right’ he’s making residents happy, looks to have a handsome ROI, and has attracted positive local media coverage.

 

Are there lessons for other investors, owners and industry pros?

 

If you’re from Wisconsin, can you spell ‘You-betcha?’

The Daily Business News reached out to Ryan Kirk directly to find out.

With insights directly from Kirk – blended with available mainstream media and other information – MHProNews has the definitive report-to-date for the manufactured home (MH) industry’s professionals or other investors considering MHVille to consider:

  • what that Airbase Estates property was like,
  • how Kirk discovered it,
  • what he’s done there that’s got residents and local media smiling, and
  • what Kirk is planning next, and more.

 

AirbaseEstates12NBCTVMontgomeryALMobileManufacturedHomeIndustryDailyBusinessNewsMHproNews

Discovering MHVille, at Airbase Estates, Montgomery AL

Kirk calls Del Rey, CA home, and has been a real estate flipper, entrepreneur, and author.

 

AirbaseEstatesMontgomeryALMobileManufacturedHomeIndustryGoogleMap3DArielDailyBusinessNewsMHproNews

 

Q) What attracted him into the MH industry?

The good thing about mobile home parksthat piqued my interest is it’s affordable housing and there’s such a growing demand for it,” said Kirk to WSFA. 

Think about the workforce that help run our city. These are the people who cook our foods, repair our cars and work at Wal-Mart.  They need a clean, affordable place to go,” per NBCTV12.

It’s not an uncommon attraction for investors as well as thousands who are working in manufactured housing (MH) today, in the community sector, but also in all other parts of the MH Industry.

AirbaseEstatesMontgomeryAdvertiserALManufacturedHomelDailyBusinessNewsMHproNews

 

Q) What was Airbase Estates like when he first checked it out?

The only way I can describe it is that it felt like walking into a third-world country,” Kirk said to the Montgomery Advertiser. “It was kind of left behind and forgotten.”

 

MobileHomeManufacturedHomeMakeoverBeforeAfterAirbaseEstatesWSFA12ManufacturedHomeIndustryDailyBusinessNewsMHProNews

Before and after of homes Kirk’s crew has done at Airbase Estates, Montgomery AL.

 

Q) What has he invested, and what is he doing?

WSFA says he’s invested $1.2 million, and an average of only about $2500 home per doing repairs.

So crews are trying to salvage wood where they can, installing used and refurbished appliances, putting down new vinyl flooring instead of hardwood.” Kirk told the Montgomery newspaper.  He says other upgrades are modest — a picnic pavilion, a playground for families, a small game room, free WiFi. “The simple things of life,” he said.

LegacyManufacturedHousing-LiquidationEvent-HurricanOverRun-image500x335

Click the above to learn more or register for the event, which is unrelated to the article.

Q) How did he discover the property?

Kirk told MHProNews that he found it through a “real estate broker advertising it,” online.

 

 

Q) What was he doing prior to discovering Airbase and the MH Industry?

I’m an author, investor and entrepreneur in Marina Del Rey, CA,” Ryan told MHProNews.I got started flipping single family homes and small apartments in California. I then created all-in-one Software, Funding, Vanity Brand and Education app to help other real estate investors called FlipLogic.”

He is clearly an adept marketer, self-promoter and motivated to succeed.

 

AirbaseEstatesMontgomeryALMobileManufacturedHomeIndustrGoogleMyBusinessReviewsyDailyBusinessNewsMHproNewsOn this date, the average Google rating is 4 stars.

 

Q) Do Kirk’s residents appreciate the changes at Airbase Estates?

Real nice job. This is the best trailer1 I’ve ever lived in,” said Patricia Taylor, who said she couldn’t be more pleased.

 

ManufacturedHousingAssocRegulatoryReformJOINMHARRbani-200x200

Click the above to learn more, which is not connected to this report.

Note that he’s raised rates since the takeover.  Residents not only seem to understand, because they see improvements, they welcomed the improvements. Rentals start at a mere $350 a month. It’s a balancing act, Kirk said. Pour in too much money, and you take it out of the price range of the people who need the lower cost homes.

That’s a comment that many mom-and-pop operations who are close to their residents have told MHProNews over the years.

 

Q) What has been the biggest surprise for Kirk in the mobile/manufactured home community business so far?

Without hesitation, “Finding good help to add to the maintenance team,” he told the Daily Business News on MHProNews.

 

AirbaseEstatesMontgomeryALMobileManufacturedHomeIndustryBathRoomMadeOverDailyBusinessNewsMHproNews

Q) What’s your vision for the future?  Do you plan to do more communities, or do you already have other communities?

This is my first park and I plan on adding more to my portfolio as I go for the cashflow and accelerated depreciation,” he said to MHProNews.

 

Takeaways for Pros, Investors, Affordable Home Advocates 

The takeaways are obvious to those who realize that there are thousands of smaller, aging properties from coast-to-coast that aren’t of the kind that the big real estate investment trusts (REITs) are seeking.

While those less expensive properties are of interest to people like Kirk, the competition isn’t as intense for 50 sites or less, as for those who want 150-200 sites or more, per many community operators.

Kirk is an example of urban renewal without taxpayer dollars.  He’s profitable enough were he sees the opportunity to recoup his investment in a projected 18 months. He wants to do more.  “We Provide, You Decide.” © ## (News, analysis, and commentary.)

Footnote 1: several of the homes are true pre-HUD code mobile homes, and some might have been from the trailer house era.  But it is inaccurate to call a manufactured home, a mobile home or trailer.

 

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

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Related Reports:

Enduring Good Will Value from Good Business Practices, Monday Morning Manufactured Home Sales, Marketing Meeting

NorthStar and Manufactured Housing Radix

New Home Sales Fall to 8-Month Low in June, Data Signals Trouble – or Opportunity in Disguise for Manufactured Housing?

Within an Ongoing Wave of Routinely Problematic Media Reports, What Do Actual Manufactured Home Owners Say?

April 16th, 2018 Comments off
WithinAnOngoingWaveofRoutinelyProblematicMediaReportsWhatDoActualManufacturedHomeOwnersSayMHLivingNewsManufacturedHousingIndustryDailyBusinessNews

Still from the MHLivingNews video, posted further below.

There’s an ongoing drum beat of news media coverage that reflects on manufactured homes and their owners.

 

In part because of the principle of significant numbers of editors – “If it Bleeds, if Leads” – many hard news media, stations, and news channels tend to focus on problems, as opposed to ‘good news.’  Simple Google searches demonstrate that reality when it comes to manufactured homes, as the report linked below reveals. To be fair, its not universally true.  There are arguably some mitigating circumstances, for example, when a writer is rushed and relies on stereotypes instead of in depth research.  But the fact remains that a survey of most news coverage about manufactured homes tend to be negative, rather than positive.

 

Media Bias, Ignorance, Manufactured Homes, Agenda Journalism, the Truth About “Fake News”

Given the affordable housing crisis, the general pattern of media coverage is a problem for millions of home seekers, who are kept in the dark due to in part to a general lack of understanding of what the realities are today.

There are exceptions to that pattern of media bias or ignorance, as the report linked below reflects.  As other Daily Business News reports have indicated, public officials also play a role in this challenge of misinformation.  The same could be said about some significant forces within the ranks of the industry, who fail to routinely defend the industry which they are supposed to promote.

Bloomberg, HousingWire, Realtor and Fox all suggest Manufactured Homes as Important Solution for Affordable Housing in America

Third Party and University Level Research Often Favorable Towards Manufactured Housing

While you may not learn it from the bulk of media reports, for at least two decades, federal and third-party researched published reports often debunked prejudiced or ignorant view of modern manufactured homes, and their owners.

MultipleReasonsExpectManufacturedHousingDoBetterThanSiteBuiltHousingEricBelskyEecDirJointCenterHousingStudiesHarvardUnivDailyBusinessNewsMHProNews

At the time Belsky made this prediction, manufactured homes were selling over 250,000 new units per year. This year, MH won’t reach 40 percent of that total. What happened?

Pride and Prejudice: The Truth About Manufactured Home Communities and Crime

Weather Expert’s Surprising, Bombshell Statement on Tornado Deaths and Affordable Manufactured Homes

Federal Data Spotlights Manufactured Home Industry Quality, Regulatory Questions

But for a variety of reasons previously outlined, the voices of manufactured home professionals and owners are often depicted as negative.

Meanwhile – in an ironic twist, federal data, plus third party surveys and research – routinely reveal widespread manufactured home owner satisfaction.

Foremost Report: Manufactured Home Customer Survey and Market Facts

Manufactured Home Owners – Satisfaction Survey Redux

What the brief review above reveals is that the authentic voices of manufactured homes owners are often lost in the bulk of affordable housing discussions in America.

 

Affordable Housing Focus Group Video, Episode 2

Thus this affordable housing focus group video below is a break from the norm.  In this periodic series of videos with manufactured home owners, they will help correct some of these oversights and challenges found in the context of America’s affordable housing discussion.

 

 

Episode 2 – above – of our affordable housing focus group builds on what Daily Business News readers learned in our first report, linked below.

Affordable Housing Focus Group, Comparing Housing Options, Rent, Conventional, Condos, Manufactured Homes

This post will be updated to the MHLivingNews.com public version of this post once that’s published and available.  ## (News, analysis, and commentary.)

Related Reports:

Evergreen, Manufactured Homes and NIMBY, “Why the Feds Must Step In”

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Affordable Housing Focus Group – Manufactured Home = Page, 1, #2 Google Result

March 16th, 2018 Comments off
AffordbleHousingFocusGroupMHLivingNewsonDailyBusinesNewsMHProNews

Click here or above to see the Affordable Housing Focus Group article and short video.

The Affordable Housing Focus Group article posted just days ago on Manufactured Home Living News (MHLivingNews.com) yielded impressive search results on Google.

 

The result was page 1, number 2 out of about 1.66 million possible search outcomes.  That’s a positive note for the industry, in an educational/image building way.

 

The focus group was conducted with residents who volunteered from Key Allegro Villas, Fairhope, AL at a nearby restaurant, and the project was sponsored by Sunshine Homes of Red Bay, AL, whose homes will be featured at next week’s Tunica Show.

The Key Allegro property is just minutes from the in-demand Gulf Coast beach resorts, such as Gulf Shores, or nearby Pensacola, FL.

The search results under the popular Google Image search category also yielded some surprisingly high results.  The same key words were used, “Affordable Housing Focus Group.”

Note that because of the methodologies used by Google’s algorithms, search results can vary significantly:

  • by location,
  • time,
  • date and
  • even by device.

These results were all performed on a laptop computer.

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When the words, ‘manufactured homes’ was added to the search result, 10 of the top 15 results were on MHLivingNews, with 3 more found on the NJMHA.org website.

Because the search result points to a story and part one of a focus group video that shines a positive light on the manufactured home industry and manufactured home living, its good news for the industry.  And of course, its good news for those specific operations spotlighted.

Another episode from this focus group video is planned for April.  ## (News, analysis, and commentary.)

Related:

First Things First in Manufactured Housing

Affordable Housing Focus Group, Comparing Housing Options, Rent, Conventional, Condos, Manufactured Homes

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Affordable Housing Focus Group, Comparing Housing Options, Rent, Conventional, Condos, Manufactured Homes

March 6th, 2018 Comments off
AffordableHousingFocusGroupzManufacturedHomes550x400DailyBusinessNewsMHProNews550x458

The video is near the end of this post.

Even during ‘boom times,’ the manufactured home industry struggled with certain issues.  Experts and advocates often point to regulatory or financing challenges.

 

 

ManufacturedHousingIndustryShipmentsFEMAManufacturedHomesNotMobileHomesTrailersIndustryResearchReportsDataMHProNews

Credits, MHI, Cavco.

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Graphic provided by Ross Kinzler when he was then the executive director of the Wisconsin Housing Alliance (WHA).

Beyond the ‘lending and legal,’  the core challenge goes under many different labels or monikers.

  • Stigma.
  • Image.
  • Once true, but now outdated realities.
  • Outright myths.
  • Prejudice.
  • Lack of proper understanding.
  • Need for education.

The best information in the world must still be accepted or at a minimum, and considered by those who hear, see, or read it.

The industry doesn’t need hype or exaggeration.

What manufactured housing needs is to have reality be properly presented by credible voices.

The Daily Business News will preview today part one of a multiple episode video captured near Fairhope, AL, in the appealing Gulf Shores/Pensacola area.

You don’t have to be told that these are not paid actors.

Nor where the participants given anything, other than a good meal and gas money for the drive to the restaurant where this focus group was conducted.

WelcomeToRealityDailyBusinessNewsMHProNews

Manufactured home professionals, individually must look reality in the eye. If everyone else ignores reality, the ones who grasp it are logically best able to advance.

 

Affordable Housing Focus Group, Episode (Part) 1

The entire focus group session lasted for about an hour, but this first part  – episode 1 – below is about 5 minutes and 5 seconds.

This isn’t about rah-rah. Rather, it’s about helping open minds.

It’s about education, through questions and answers in a group setting from those who know. That means, viewers discover credibility.

You can see glitzy productions in manufactured and modular housing.

If pretty pictures or great videos were all that it would take to sell more manufactured homes, then manufactured housing shipments would be somewhere between 500,000 and a million new homes a year.

But the industry finished 2017 with some 92,900 shipments.

Obviously, fancy videos and great looking websites alone clearly aren’t doing the job the industry needs.

By contrast, Inside MH has done videos with residents, experts and industry professionals that when they are shared as we suggest, result in a big increase in business.

Why?

Because what well qualified home shopping viewers are watching the video for is insight. When they find authenticity, they’re loving it.

IdeaManufacturedHomeDailyBusinessNewsMHProNews

 

Pre-Louisville, the Inside MH Road Show team traveled to Key Allegro Villas in Fairhope, AL between Mobile, Pensacola and near Gulf Shores, where a 55 plus community is growing near the warm winds and waters of the Gulf of Mexico.

The purpose of many of our Inside MH videos is get people who know to reveal what is.

It’s about information, and it can at times be entertaining.

But the goal is opening minds and providing accurate insights.

People sense authentic, genuine people and what’s real in interviews.

That in turn results in opening more minds.

This isn’t something you can do for yourself.  Experience and third party research alike tell us that for this to be effective, it must be done by a well-informed, third party media. The by-product of such educational videos routinely is, that more people buy.  For an example of how it works, see the report and video interview, linked below.

 

Manufactured Housing’s “Duh!” Monday Morning Sales Meeting

Let’s nail down a key point for this focus group, or any of our video interviews.  Given reality, consistently told in an authentic way, and professional, ethical service the industry can be revived and grow to new record highs, and do it in a sustainable fashion.

To rephrase, these are not ads.  They’re educational.

That’s what moves our operation. Opening minds to reality in ways that can advance the industry for good.

Every thing we do has the goal to address and reveal the cures for the issues that keep manufactured housing far below its potential.

We will soon post a version of this on MHLivingNews.com.

With no further adieu, here’s the video.

 

When several clients report 200 to 500 percent or more growth rates, and do so with happy new customers, that says it all.  “We Provide, You Decide.” (News, announcements, analysis, commentary.)

Related:

AffordbleHousingFocusGroupMHLivingNewsonDailyBusinesNewsMHProNews

Update:: the Affordable Housing Focus Group story ranked Page 1, #2 on a Google search for the date/time shown. For image search results and more details, click here or the above.

(Third party images, cites are provided under fair use guidelines.)

ThereAreOnly2WaysToLearnOwnOthersExperiencesLATonyKovachManufacturedHousingIndustryMHProNews-575x235By L. A. “Tony” Kovach,
award-winning consulting, publisher, web, video, recruiting, sales training, business development service provider.

MHLivingNews.com | MHProNews.com | Office 863-213-4090 |

Connect on LinkedIn:
http://www.linkedin.com/in/latonykovach

 

Oxford Magazine Spotlights John Bostick & Sunshine Homes

December 6th, 2017 Comments off

OxfordMagazineSpotlightsJohnBostickSunshineHomesDailyBusinessNewsMHProNews

A recent article in Oxford Magazine featured the thoughtful gift of President and CEO John Bostick, who donated a manufactured home to The Pantry.

The Pantry has provided food for those who might need that extra bit of sustenance, and the countless volunteers who run and work at the facility have been more than ready to accomplish the task,” said Oxford Magazine.

The Pantry, as the magazine said, had several places they operated from, until Bostick provided them a manufactured home for their use.

The screen capture above is taken in part from their non-commissioned story.  To learn more, and see the release, click here.

Bostick is one that leads by example, and as the Oxford story exemplifies, he has for years.  To learn more about the company, click here.

Successful Professional Couple Spotlights Modern Manufactured Home Living Realities 

Bostick and Sunshine Homes have also supported the proper understanding of modern manufactured homes, through videos and interviews, like those linked above and below.

Publisher Rebuked! Doubting Doctor, Skeptic Stunned!

It is worth noting that the Bostick-led firm is growing at more than double the rate of the industry at large.

JohnBostickPresidentCEOSunshineHomesRedBayAL683

Sunshine does so with upscale, residential style homes, and the proper education about the value of such Energy Star homes. ## (News, announcements, and commentary.)

(Image credits are as shown above, and when provided by third parties, are shared under fair use guidelines.)

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Billionaires, Developers Are Doing Manufactured Homes, Video

October 20th, 2017 Comments off

BillionairesDevelopersAreDoingManufacturedHomesVideoDailyBusinessNewsMHProNewsThere will be a new feature on MHLivingNews next week that will feature the video below, that you can preview today.

So while industry members are welcome to share this link within among the industry’s investors and professionals, the version that will be published on MHLivingNews next week will be more useful with the public at large.

Award-winning retailer, Alan Amy makes some powerful points in his video discussion with Inside MH Road Show host, L.A. ‘Tony’ Kovach.

This will be the next in a periodic series of interviews from the most recent Inside MH Road Show trip.

As with the recent – and highly praised interview with yet another public official – we believe this video will be useful in several ways with the general public, investors, and with officials. But it will also within the industry’s discussions. Enjoy, and stay tuned for more.

There are a few Alan Amy one-liners that are priceless.

In all of these interviews, there are no scripts.  They are free wheeling discussions, recorded as you see them.  This segment is a snippet of a longer discussion/interview.

ElectedOfficalExplainsSurprisingModernManufacturedHomesVideoInterviewMHLivingNews

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To share a news tip, click here. ## (News, advocacy, announcements.)

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Manufactured Housing Industry, New HUD Code Home Retailing – More Exploring, Going Vertical

October 10th, 2017 Comments off

ManufacturedHousingGoingVerticalReportDailyBusinessNewsMHProNewsFirst in the mobile home business days, and later, as the manufactured home industry evolved, the sale of new homes was dominated for decades by independently owned and operated retailers and communities. 

Some independent retailers – a.k.a ‘dealers’ – developed over time into multiple-locations that also produced, sold – and sometimes also financed – their own homes.

For much of the industry’s history, it was independent retailers that dominated in total numbers.

It should also be noted that those eras when independents dominated, had far higher total home sales. Coincidence?  The National Federation of Independent Business (NFIB) – which includes 325,000 companies, hundreds of which are in manufactured housing – has argued that small business is a backbone for America.

MobileManufacturedHomeAnnualShipments1959-2012CalculatedRisk-DailyBusinessNewsManufacturedHousingIndustryResearchReportsMHProNews

The popularity of mobile homes rose rapidly in the post World War II period. The first big drop came during the time that the HUD Code for manufactured housing was passed and went into effect. 

That trend of new home sales being dominated by independents stared changing in the mid-to-late 1990s. 

Fleetwood Homes and Champion Homes – then the two top producers of HUD Code manufactured housing – went on a buying spree of retail locations.  The big two builders of HUD Code manufactured homes were looking for more market share, and their plan was simple.

Establish new retail centers, or buy out existing ones that were already performing.

FactoryHousingEvolution101TrailerHouseMobileHomeManufacturedHome

To understand the proper industry terminology, click the graphic above.

Tony, I have absolutely no idea,” how many other HUD Code manufactured home producers are exploring or going vertical.  But, “In the case of [our company],” the “off-the-record for now” email read, “I give it consideration every single day!

Another independent producer said they were hearing some about this vertical integration trend, but not hearing a lot of this [yet,] but understand many attempt to find different ways to solidify and/or increase their market share and CSI.”

 Among the MH Industry’s Vertical Operations

·        Clayton Homes,
·        Cavco,
·        Nobility Homes,
·        Solitaire, and
·        American HomeStar,

are among those companies that produce and retail homes – these are brand that to various degrees are already vertically integrated.

BerkshireHathawayClaytonHomesVanderbiltVMF21stMortgageManufacturedHomesLoansFEMA

Sources tell MHProNews that the FEMA fiasco is sparking a move by some into vertical integration.

Vertical integration may or may not include new home financing – which Clayton Homes does through Vanderbilt Mortgage and Finance (VMF) – and may also include:

  • insurance,
  • transport, and
  • installation.

As regular MHProNews readers know, unlike 21st Mortgage, VMF offers programs that may not be available through their Berkshire Hathaway sister operation, 21st Mortgage. 

VanderbiltMortgageFinanceVMFZeroDownPaymentChattelLoanManufacturedHousingIndustryNewsMHProNews

Those differences between 21st and Clayton’s captive lender VMF, tilt toward VMF.  That gives Clayton at least a theoretical edge in the marketplace.  How Clayton does with that edge will be explored in an upcoming report.

 

ManufacturedHousingIndustry30YearAnnualShipmentsCavcoMHIDailyBusinessNewsMHProNews

A variety of factors has influenced the rise and fall of manufactured home shipments over the years. Among those often noted are economic, finance, competition from easy site-built lending in the early 2000s, regulatory — and the impact of near monopoly” influences.

 …and Going Vertical…

The Daily Business News has heard directly from top executives at two operations, who have told MHProNews that they’re in the process of “going vertical.”

Both have mentioned the frustration over FEMA, as well as other causes for their plans.

While one company set no specific time lines, the other indicated that by this time next year, “going vertical” would be a “done deal.”  To protect proprietary information, and at the request of those sources, the specific details are being kept off-the-record.

VintageMobileHomesKenCorbinDailyBusinessNewsMHProNews

In the mobile home era, hundreds of thousands of more homes were sold than are being sold today. Yet the affordable housing crisis is raging nationally, Plus, the quality, design, appeal and satisfaction of modern manufactured homes are higher today than ever before.  While there are many factors – including regulatory ones – that contribute to the lower new home sales volume today, sources tell the Daily Business News that it’s due in part to what producers across the country have said is a lack of independent MH Retailers. With the FEMA crunch, there are now increased concerns from a growing number of independents about the direction that current events are taking the industry.

MHProNews has also heard from/about two other operations that are testing/going/exploring vertical integration.

All of this comes down to an insufficient number of independent operations,” one source in HUD Code building said. “A competitor of ours is helping new independents open up; not exactly a vertical operation, but a step towards that, as they’re offering floorplan on their inventory.”

Charley Lott, Fleetwood Homes

CharleyLottFleetwoodHomesPalmHarborCavcoIndustriesMHProNews

Charley Lott, Fleetwood Homes, Cavco Industries, credit, MHProNews.

At the Louisville Manufactured Housing Show, circa January 2007, Fleetwood’s Charley Lott – now part of Cavco Industries – stood in a room with over 100 independent operators in it. 

Lott was making his ‘mea culpa’ to those independent retailers and communities, for the period when Fleetwood “forgot” its independents that helped make them a top player in manufactured housing for many years.  

Lott admitted to that room of independent retail and community professionals that in Fleetwood’s rush for vertical integration –  during their late 1990s contest with Champion – their focus shifted away from independents. He admitted apologetically that it hurt many involved in that process.

Much has changed in the last 20 years, as longer-term manufactured home industry veterans know. 

But the question of vertical integration is a vexing one, which IBIS World and The Atlantic predicted, as was previously reported at the link below the graphics that follow.

AmericasFastestDyingBusinessMobileHomeRetailers

A close reading of the IBIS World/Atlantic report made it clear that the headline was actually focusing on how independent manufactured home retailers were dying off. That projection, now several years old, has proven to be correct.

Some of the causes for the failure of literally thousands of independent HUD Code independent retailers – and later several of the producers which supplied them – has been explored in part in previous articles, one of which is linked here.

How many independent retailers have vanished?  Former Clayton exec turned-speaker, Ken Corbin puts the number around 10,000.

CallKenCorbin10000ManufacturedHomeRetailerDealerDropDailyBuisnessNewsMHProNews

The above is a collage of some images from Ken Corbin’s presentation at the manufactured housing industry’s 5 State Event in Deadwood, SD. Graphic by Corbin used with permission.

There will be a special report of a process that accelerated the demise of independent retailers and producers. It will explore a related, underlying cause that’s gone under-reported in MHVille. It is one that sources say the Manufactured Housing Institute (MHI) and its key players have allegedly hoped would not “come out” to see the light of day.

Still Several HUD Code Independent Producers Committed Solely to Independent Retailers

Sunshine Homes president John Bostick has made it clear to his retailers that he is committed to them.

That loyalty is valued and respected in the hospitality and meeting rooms where dozens of Sunshine independent retailers and communities gather.  Having attended several of those over the years, the mutual respect at their gatherings is tangible. That independent producer, retailers, communities and builder/developers have forged a bond with each other, that in several cases, spans decades. 

So, one point is that not everyone is ‘going vertical.’ 

Besides Sunshine, several other independent producers and retailers exist, as Bostick has noted on several occasions.  Many are represented by the Manufactured Housing Association for Regulatory Reform

As FEMA and other pressures grow on retailers and producers alike, what the future will hold is literally up for grabs.

Up For Grabs

One of those grabbing for a takeover of more independents is Clayton Homes, as the Daily Business News has previously reported. 

ClaytonHomesFEMALogosDailyBusinessNewsMHProNews

As pressure on independent retailers mounts from direct and indirect causes, industry professionals have voiced on-the-record concerns that they are being squeezed in the marketplace.  Learn more, click above.

A reliable source tells us that Clayton has “a mandate” to continue growing their retail division.

There are concerns about “the near monopoly,” as Maxine Watters (D-CA) and some of her congressional colleagues have expressed about Clayton grip in HUD Code production.  

But sources note there seems to be less federal oversight on the industry’s retail side.

Some of that expansion by Clayton retail will come, per another source, from expansion and buyouts, like the one previously reported about award-winning Home Mart, in Tulsa, OK.

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A growing number of retailers are selling out to Clayton Homes, as MHProNews has been reporting.

But others, per that source, will come from attrition of the relatively small numbers of independent producers still in the market place. 

That allegation and other concerns noted will be explored in yet another planned, upcoming report. ## (News, analysis, commentary.)

(Image credits are as shown above, and when provided by third parties, are shared under fair use guidelines.)

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L. A. ‘Tony’ Kovach addressing industry professionals in an educational session.

By L. A. “Tony” Kovach, managing member of LifeStyle Factory Homes, LLC – parent company to MHLivingNews and MHProNews.

 

 

 

 

 

 

Can the Hyperloop Benefit Manufactured Housing, Millions of Home Seekers? w/Videos

August 12th, 2017 Comments off
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Image credits are as shown above.

The successful test of the hyperloop transit concept could lead to significant changes in U.S. housing patterns.

Current transportation methods limit the distance that people can reasonably commute to get to work in urban or suburban settings. Higher density populations, along with urban sprawl, creates congestion on road ways.

Various factors lead to accelerating land cost, and denser housing that is often high-rise in nature.

The successful adaption of the hyperloop may change that, and that future could be coming soon.


Rural areas cover 97 percent of the nation’s land area but contain 19.3 percent of the population (about 60 million people),” said the U.S. Census Bureau Director John H. Thompson, in a Dec 8, 2016 statement.

JohnThompsonUSCensusBureauDailyBusinessNewsMHProNewsIt’s currently those rural areas where manufactured homes have tended to be most used, due in part to the failure of the Department of Housing and Urban Development (HUD) Office of Manufactured Housing Program’s in applying the enhanced preemption under the Manufactured Housing Improvement Act of 2000.


Industry Leader Sounds Off on Hyperloop and MH

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Mark Weiss, JD, President and CEO of the Manufactured Housing Association for Regulatory Reform.

Technological advances that link regions and people can create new markets and expand existing ones,” said Mark Weiss, JD, President and CEO of the Manufactured Housing Association for Regulatory Reform.

Much like the automobile gave rise to suburban bedroom communities that made homeownership affordable for millions of Americans, emerging high-speed transportation technologies could spur the development of extensive new communities — incorporating even more affordable manufactured housing — linked to one or more major commercial centers,” Weiss said.

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Photo credit, Sunshine Homes, Red Bay, AL. Posted on the, Digital Journal, dozens of other media and special interest websites.

The Politics of Hyperloop?

The potential for emerging technologies to open up more housing options is one not to be missed.

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Image credit, the Economic Times, India.

South Korea, China, Europe, India, and California are among the places reportedly considering how the hyperloop or high-speed rail could be deployed in the near term.

But the regulatory and environmental hoops in California are a cautionary signal.

The new regulatory easing mentality of the Trump Administration may influence such resistance, especially as California along with other states with high priced real estate struggle to deal with their growing affordable housing crisis. ## (News.)

(Image credits are as shown above, and when provided by third parties, are shared under fair use guidelines.)

SoheylaKovachManufacturedHomeLivingNewsManufacturedHousingIndustryDailyBusinessNewsMHProNews-Submitted by Soheyla Kovach to the Daily Business News for MHProNews.com.

Buffett’s Clayton Buys Yet Another Builder, Growing Dominance in U.S. Housing Market

July 10th, 2017 Comments off
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Russ Doyle (left) and Brooks Harris, founder-principals in Harris Doyle Homes. Right hand photo, still from video on this page, below.

Last week, the Daily Business News on MHProNews was the first in manufactured housing to report that Berkshire Hathaway’s Clayton Property Group added Colorado based Oakwood Homes to their expanding site-built housing portfolio.

Now, Keith Holdbrooks, president of Clayton home building group, has another announcement.

We are proud to welcome Harris Doyle to our family of homebuilders,” Holdbrooks said in a press release.

Builder noted today that “In his 2017 letter to shareholders of Berkshire Hathaway, ceo [sic] Warren Buffett gave a shout-out to Berkshire’s Maryville, Tenn.-based Clayton Homes group and the fact that it had closed on its first three “site-built” home building operators by the end of 2016.”

Adding that, “More will come,” Buffett promised. “Site-built houses are expected to amount to 3% or so of Clayton’s unit sales in 2017 and will likely deliver about 14% of its dollar volume.”

What Others Are Often Overlooking…

While those involved in the construction trades understandably focus on the site-built or factory home building, what is going largely unmentioned is that Warren Buffett’s Berkshire Hathaway has also gone into the real estate business in a substantial way. Berkshire Hathaway HomeServices.

In a release, Berkshire Hathaway Home Services had this to say.

Irvine, CA-based HSF Affiliates LLC operates Berkshire Hathaway HomeServices, Prudential Real Estate and Real Living Real Estate franchise networks. The company is a joint venture of which HomeServices of America, Inc., the nation’s second-largest, full-service residential brokerage firm, is a majority owner. HomeServices of America is an affiliate of world-renowned Berkshire Hathaway Inc.”

 

Combined with their substantial – and growing? – presence in the housing building and remodeling supply chain, Buffett’s Berkshire – is growing in several directions.  Known within the factory built home industry for being the parent for the largest HUD Code builder, Clayton Homes, plus 21st Mortgage and Vanderbilt Mortgage.

Among other brands, Buffett’s strong presence in Wells Fargo and other banking units that do manufactured home, as well as conventional house loans.  Bloomberg and Business Insider reported last April that Buffett had to cut his stake to under 10 percent of Wells Fargo, in order to get around concerns raised by the Federal Reserve.

Back to Clayton’s Newest Buy…

Clayton, a Berkshire Hathaway company and one of America’s largest homebuilders, today announced it has acquired Harris Doyle Homes, a leading residential developer and home builder for the greater Birmingham, Ala., area, effective July 7, 2017,” stated the Clayton release.

Harris Doyle Homes is the fifth homebuilding acquisition for Clayton since 2015 and the second homebuilder acquired this month,” Clayton said.

The release pointed out that Clayton built “In 2016, Clayton built more than 42,000 homes.”  While it didn’t say how many were HUD Code, the industry total for last year was some 81,100 new manufactured homes.

FHFAFannieMaeFreddieMacGSEDutyToServeManufacturedHousingIndustryDailyBusinessNewsMHProNews7102017

To see the special Sunday evening report on this time sensitive topic, click the image above. Want more lending? Email your thoughts and comments on the GSEs plan to ‘serve’ manufactured housing. You can submit electronically to FHFA at the link shown below.

What impact will this trend have on manufactured housing, and the Manufactured Housing Institute (MHI)?

A growing number of professionals are emailing or calling MHProNews, whispering their concerns about possible “conflicts of interest.” Given that Buffett’s brands now hold two of the four executive committee positions at MHI, will Berkshire’s ever-growing presence in conventional housing influence the industry in ways that may not be for the good of most other HUD Code producers, or independent retailers, communities, and others?

What do these non-factory built housing units under the Buffett banner mean to industry efforts such as the Duty to Serve and if these are more evidence of conflicts of interest for MHI’s dominant player? ## (News, analysis.)

(Image credits are as shown above, and when provided by third parties, are shared under fair use guidelines.)

SoheylaKovachManufacturedHomeLivingNewsManufacturedHousingIndustryDailyBusinessNewsMHProNews-Submitted by Soheyla Kovach to the Daily Business News for MHProNews.com.

Demand Rising for Manufactured Homes in Louisiana Flood Zone, Factories Gear Up for FEMA, Residents

September 2nd, 2016 Comments off
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Photo credit, DigitalJournal, MHLivingNews.

For two days, rain tortured the heart of bayou country, dumping 24 inches in less than 48 hours on southern Louisiana, says a report in the DigitalJournal.

The 1000-year event flooded more than 100,000 residences, sending families into shelters and the homes of friends, relatives and even strangers.

Now, as the region enters peak hurricane season, with Hurricane Hermine bearing down on the Gulf coast, Federal Emergency Management Agency (FEMA) officials are scrambling to bring temporary housing to flood victims, and bracing for what Hermine may bring to the states in its path.

The last time events in the southeast tested federal resources was in the aftermath of Hurricane Katrina in 2005, when shoddy, hastily assembled “Katrina trailers” became enduring symbols of FEMA’s failure to provide safe haven for thousands left homeless.

FEMA has “upped their game” tremendously since then, says Steve Duke, executive director of the Louisiana Manufactured Housing Association.

Thousands of newly minted Manufactured Housing Units — known as FEMA MHUs — were at the ready in Selma, AL, the southeastern staging area, when the floods inundated Louisiana.

Thousands more have been contracted to be built by manufacturers who met an August 24 application deadline.

All of these new-style FEMA manufactured housing units (MHUs) are constructed to exacting HUD-code specifications, designed to withstand local wind force criteria;  these will be anchored on piers, not rolled into yards and left there, on wheels, as were the Katrina trailers.

These are, in fact, bonafide manufactured homes, not trailers or mobile homes — a term that applies only to pre-HUD-code homes built prior to 1976 — a fine point that is widely missed in media reporting.

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Steve Duke, LMHA.

The terminology matters, because the terminology defines the construction standard,” says Duke.

The number of homes damaged or destroyed is well over 100,000 and in that part of Louisiana, some 20 percent of the housing stock is manufactured homes.

That means MH factories may need to churn out 20,000 homes — or more — to replace homes lost in the disaster — in addition to the thousands of desperately needed MHUs that FEMA requires to provide flood victims with secure temporary housing.

Retailers and manufacturers that supply Louisiana are gearing up for a monumental effort to meet the almost unprecedented needs of the people of coastal Louisiana.

Alabama-based Sunshine Homes has opted to focus on keeping its Louisiana dealers stocked with inventory and has not applied to manufacture the transitional MHUs.

We anticipate our normal business in that market to be — unfortunately — spectacular,” says Sunshine president and CEO John Bostick. “I believe our Lafayette retailer is going to call and say everything is sold.”

Bostick says he can supply them with high quality move-in ready homes within a month.

We have almost unlimited capacity,” he says. The builder is already busy, but Bostick said, “We could stretch and build a lot of homes.”

For more on the race to provide shade, shelter — and much more — to the residents left homeless by natural disasters, see the latest account by award-winning consumer affairs reporter Jan Hollingsworth here at MHLivingNews.com. ##  

(Photo collage, Sunshine Home top, FEMA MHU lower center, John Bostick president, CEO of Sunshine Homes, right.)

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L. A. ‘Tony’ Kovach is the publisher of MHProNews.com and MHLivingNews.com.

Submitted by L. A. ‘Tony Kovach, to Daily Business News, MHProNews.com