Posts Tagged ‘control measures’

High Demand for Manufactured Homes in Manitoba, but limited spaces in MH Communities

August 23rd, 2013 Comments off

credit-cbc-news-Demand for Canada’s version of manufactured housing is rising rapidly in Manitoba, at the very time spaces in provincial land lease communities are scarce. With single family home sales in the region averaging $285,000, a new manufactured home in Manitoba for $115,000 looks very reasonable. So it is no surprise that sales rose 11% in 2012 over 2012, and sales are up some 20% in 2013 over 2012. However, the sad reality of the impact of rent control measures are playing out here in a dramatic fashion. Manufactured home community (MHC) owners are limited in their options for development due to laws that place a 1% annual caps on rate increases. Choking off return on investment options for MHC owners causes some to sell their property for other uses, which then displaces residents who are unable to find a space in another land lease MH Community. One such community is Kingsway Kort in Brandon, where resident Colleen Weisbrodt is one of 140 households forced to move due to the park’s closure. Weisbrodt can’t find a vacancy in another community, which Glendale MHC owner Kenny Choy, explains to CBC News is common. Choy’s community has 230 home sites on 30 acres of land and has been full for 10 years. Current law creates disincentives to develop, in spite of the market demand for affordable manufactured homes. ##

(Video credit: CBC news)

MHC Closure Ordinance could Make MHC Owners Bleed Green

March 15th, 2012 Comments off

According to a new ordinance passed by the Santa Barbara County Board of Supervisors in California, before a manufactured community owner (MHC) can close a community, it must submit an impact statement, provide relocation assistance for residents, and submit a review of the process to the Planning Commission. The SantaMariaTimes tells the amendment to the County Land Use and Development Code and Coastal Zoning Ordinance offers two options: If the home can be moved, the MHC owner has to pay for relocation costs, as much as 30 nights of housing, and one year’s worth of rent differential, which could cost as much as $22,900 per home. If the home cannot be moved, the MHC owner must pay for 12 months rent and purchase the home at market value. The median home price in the county is $147,000. Proponents say the ordinance protects affordable housing. Opponents say it could lead to MH slums. David Evans of the Western Manufactured Housing Communities Association (WMHCA) says the communities are not cash cows, and many are made financially stagnant by rent control measures. He says, “If they were cash cows investors would be building them. Owners will not be able to shut them down unless they are billionaires.”

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