It’s axiomatic that you and anyone else will see various things differently. Of course you will. Even twins have differences.
So when there is a string of attempted deals for a group of MHCs, and one after another unravels, one must ask, why?
Frank Rolfe and his associates’ alleged efforts to do a big deal covering dozens of MHCs were covered by an NDA, so he is not free to talk about this now reportedly ‘off’ deal. Is it a negotiating tactic? Something else?
Regardless, our source tells us that the MHC deal that could have involved dozens of properties is not going to happen now.
We’ve heard another interested party for that group of MHCs is waiting in the wings. Again, one must ask, tactic? Real?
Whatever the intent of the parties, the reality is that for some years, one suitor after another is said to have danced up to the seller’s line, looked around, and then danced away…
We’ll keep our eyes and ears open, please do be same.
A ‘deal’ that’s No Secret
We’ve said before there is not much enthusiasm by the GSEs to do their legally mandated Duty to Serve (DTS) manufactured housing. They want to have loans on MHCs count towards their DTS goals. We’ll do a story that confirms the point that the GSE’s are cool on doing DTS the way the industry wants to see it done. As a side-note, without comment, we’ll merely not a recent column by MHARR suggesting that effort is potentially being undercut by parties within the MH Industry.
The reality is that the current MH personal property or ‘chattel loan’ lenders are successful at what they do. That’s in spite of the negative impacts of CFPB regulations we’ve shared numerous reports on (for example, see link below). It makes one wonder, of the GSEs see that other MH lenders are successful, why don’t they come into our space?
Then ask yourself; is Marty Lavin correct? Is there still an overhang from the late 90s impacting MH and more potential lenders? Keep in mind, Marty was tight with Fannie for years. Would it be a huge surprise if he has a keen insight on their historic take on this matter?
Education!
James McGee and Chet Murphree at Dee Valley Homebuilders have said that the key to MH advancement is education (see them among others in the video on the page, linked here.. The more I’ve pondered Chet and James’ phrasing, the more I like it. “Education” covers more than “image campaign” does.
Look carefully. Peel back almost any issue that you see MH is getting the short end of the stick on. Look at DTS. Look at installations/ placement or zoning. Look at…any regulatory matter. Each involves education, or a lack of proper education, about the modern MH realities!
We’ll keep it brief today, because the plan for this weekend is likely to be anything but brief.
Hint. The plan is to look at Sam Zell, and more.
Until then, let me leave you with an 11 letter summary of the key need identified, today’s takeaway from here on the Masthead.”MH Education.” ##
