As the broader Bay Area housing market sees a K-shaped post-pandemic recovery, investors in the South Bay have moved in on mobile home parks in the area.
Three mobile home parks in the South Bay have traded hands in a series of deals for a total of $23.2 million, Mercury News reported. Mobilodge of Milpitas at 1515 North Milpitas Boulevard, Old Orchard Mobile Park at 2135 Little Orchard Street in San Jose and Mayfair Trailer Park at 1840 South Seventh Street in San Jose are all under new ownership after the recent transactions, according to Santa Clara County Recorder’s Office documents cited by Mercury News.
The 145-space Mobilodge of Milpitas property was bought for $9.1 million by a group led by Mountain View developer Peter Wang, according to the deeds on file with the Recorder’s Office. That deal works out to approximately $62,800 per space. A Wang-led affiliate also purchased the 102-space Old Orchard Mobile Park in San Jose for $8.2 million, or $80,400 per space.
Elsewhere in San Jose, the 54-space Mayfair Trailer Park sold for $5.9 million by a Sacramento-based affiliate led by John McDougall, CEO of Monte Christo Communities, Hoodline reported. The deal works out to $109,300 per space. Wang was the seller in that deal, according to state business and county real estate documents.
Local and out-of-state investors have been snapping up mobile home parks in the South Bay in recent years.
In 2021, Pulte Homes acquired Winchester Ranch Mobile Home Park in San Jose in a $50 million all-cash deal, Mercury News reported. The mobile homes were then bulldozed and replaced by 688 residences, consisting of 320 single-family homes and 368 apartments.
The following year, Chicago-based Hometown America Communities bought Mary Manor Estates, a 116-space community in Sunnyvale, for $39 million. Also in 2022, an Atherton-based family trust purchased Rancho Santa Teresa Mobile Home Estates in San Jose for $40.7 million.
Before the pandemic, Hometown America Communities bought the 800-unit Plaza del Rey, also in Sunnyvale, in 2019 for $237.4 million. Sunshadow, a 121-unit mobile home community in San Jose, traded hands that same year to Chicago real estate mogul Samuel Zell for $12.3 million.
— Chris Malone Méndez
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