Designing a Leadership Structure for a Park
There is always a tension in any non-profit or cooperative park. It has to do with leadership and decision-making. On one hand, everyone would prefer to have residents with as much control over their own destiny as possible. With each bit of self-governance, residents get that much closer to enjoying the same privileges that people who own stick built houses are able to enjoy.
Yet at the same time, there are some issues that make that easier said than done.
In almost any park, there is likely to be a shortage of people who can adequately understand financing. Mix that with cultures where men are expected to be the decision-makers, and it can lead to some problems. No one wants a situation where people feel afraid to ask questions.
It can make a difference to a lending institution if there are people involved who have had some real estate development experience. A landlord, a local property owner…it does not have to be someone who has done tax credit deals.
It isn’t just as the point of acquisition, either. There is also the nuts and bolts of running a park. Someone has to collect the rents. Someone has to enforce rules.
There are also the technical issues of running a park. Not many people know how to operate a septic system. Not everyone can adequately test a well.
When these things work, they are a wonderful example of democratic action.
Filed under: Manufactured Housing in the News | Tags: cooperatives, non-profit ownership
David Oxhandler
October 28, 2008
As communities grow and change, their needs change and the time comes to find new solutions to new problems or challenges. As when it is time to refinance the park or if the park has plans for an expansion or renovation project,
Successful resident owned parks depend on professional management. Some towns elect a mayor but hire a city manager to deal with the nuts and bolts of the day to day operations. The professional manager deals with the bankers and local permitting authorities.
Water and sewer must by law be managed by licensed persons in most areas, so the utility operations concerns should be limited to contracting out those operations.
In 2003, a study by Consumer Union concluded that, generally, homes in parks tend to depreciate over time. Two of their recommendations to curb depreciation were for home owners to gain control of the land, and to get access to more conventional home financing. Resident-ownership generally improves financial security for the homeowners
As a buyer of a manufactured home, it’s inevitable that you will consider if you should place your home on private property or in a park. There is an article at http://mobilehome.com/portal/stories.php3?nid=751 that will help you weigh the benefits of both, then make the decision based on the areas of greatest importance to you.
samsondoggie
October 31, 2008
This is a great insight. Thanks for the reference to the Consumers Union study, as well.
During my time in New Hampshire, I visited parks where residents were running the water systems. I am not sure if that would be replicable everywhere. I think it might work occasionally, but its really hit or miss finding the right set of skills for all of the management functions of a park within the residents. The same could be said of any neighborhood. There is no one on my street who knows how to run a sewer system. We don’t have any accountants or police officers, either.