Sunset MHP

Transaction description

Grady Seldin of PSRS successfully arranged a $4 million refinance for a manufactured housing community in Santa Rosa, California. The property, a 55-lot mobile home park spanning approximately 3.69 acres, presented unique financing challenges due to its composition. About 40% of the rentable lots had park-owned homes, exceeding the typical agency threshold of 25%, which disqualified the property from Fannie Mae or Freddie Mac financing.

Drawing on PSRS’s strong relationship with one of its correspondent life insurance companies, the deal overcame these limitations. Unlike agencies or traditional lenders, the life company offered more flexible underwriting standards, particularly regarding park-owned home percentages. This marks the second time the life company financed the park, reaffirming their confidence in the property and its management.

The refinance brought the loan balance back up to its original amount of $4 million, extended the amortization period to 25 years, and provided cash-out proceeds to the borrower. This outcome highlights PSRS’s ability to deliver creative and client-focused financing solutions, ensuring long-term value and success.