How to vet operators as a passive LP

Welcome back to the Passive Mobile Home Park Investing Podcast, hosted by Andrew Keel. In this episode of the Passive Mobile Home Park Investing Podcast our host Andrew Keel interviews Daniel Weisfield of Three Pillar Communities.

Daniel Weisfield, a previous guest on the show, is a third-generation mobile home park owner-operator. Growing up, he spent his time fixing porches and mowing lawns at his grandfather’s mobile home parks on the west coast in California and Washington. He holds a JD and an MBA from Yale University and is a licensed attorney in California.

Since Daniel’s interview in October 2020, the Three Pillar Communities portfolio has experienced remarkable growth. It has expanded from just under 30 communities in 5 states, comprising 2,700 lots, to more than 70 manufactured housing communities across 14 states, now serving over 10,000 residents with a team of 120+ employees.

In this episode, Andrew Keel and Daniel Weisfield dive into various aspects of the mobile home park industry, including ground-up mobile home park development, passive investing tips for LP’s (limited partners), why vertically integrated manufactured housing community operators are better, value-add mobile home park investment returns, regulatory risks, and the crucial role of providing safe, quiet, and affordable housing for low-income individuals.

Tune in to explore the intricacies of the mobile home park industry, understand its highlights and challenges, and gain valuable insights from Daniel Weisfield, as he shares golden nuggets for limited partner investors eager to navigate this dynamic commercial real estate investment sector.

***Andrew Keel and Keel Team Real Estate Investments (Keel Team, LLC) do not endorse any interviewee. This interview is for informational purposes only and should not be depended upon for investment purposes. ***

Andrew Keel is the owner of Keel Team, LLC, a Top 100 Owner of Manufactured Housing Communities with over 3,000 lots under management. His team currently manages over 40 manufactured housing communities across more than 10 states. His expertise is in turning around under-managed manufactured housing communities by utilizing proven systems to maximize the occupancy while reducing operating costs. He specializes in bringing in homes to fill vacant lots, implementing utility bill back programs, and improving overall management and operating efficiencies, all of which significantly boost the asset value and net operating income of the communities. Check out KeelTeam.com to learn more.

Andrew has been featured on some of the Top Podcasts in the manufactured housing space, click here to listen to his most recent interviews:  https://www.keelteam.com/podcast-links. In order to successfully implement his management strategy, Andrew’s team usually moves on location during the first several months of ownership. Find out more about Andrew’s story at AndrewKeel.com.

Book a 1 on 1 consultation with Andrew Keel to discuss:

• A deal review
• Due diligence questions
• How to raise capital from investors
• Mistakes to avoid, and more!

Click Here: https://intro.co/AndrewKeel

Book a 1 on 1 consultation with Andrew Keel to discuss:

• A deal review
• Due diligence questions
• How to raise capital from investors
• Mistakes to avoid, and more!

Click Here: https://intro.co/AndrewKeel

Are you getting value out of this show? If so, please head over to iTunes and leave the show a quick review. I have a goal of hitting over 500 total 5-star reviews, and it would mean the absolute world to me if you could help contribute to that. Thanks ahead of time for making my day with your review of the show.

Would you like to see value-add mobile home park projects in progress? If so, follow us on Instagram: @passivemhpinvesting for photos and awesome videos from our recent mobile home park acquisitions.

Talking Points:

00:21 - Welcome to the Passive Mobile Home Park Investing Podcast

01:50 - Daniel Weisfield’s real estate journey and how the Three Pillar Communities portfolio has grown in the past few years

06:50 - Andrew Keel’s foray into self-storage investing, his portfolio, and investment strategy

12:41 - Daniel Weisfield’s experience with RV parks

15:00 - Getting more proactive with mobile home park off-market deals

17:30 - Ground-up mobile home park development

20:00 - For Sale Mobile home model and estimating potential profits in underwriting

22:30 - Vertically integrated manufactured housing community operators

25:00 - Land development skills and when to hire professional developers

27:45 - The importance of making investment mistakes and learning from them

33:00 - Investing passively in ground-up mobile home park developments

34:30 - Peace and security in a quiet mobile home park community

36:40 - Puyallup River RV Park

41:14 - Getting a fair return on your mobile home park investments

43:44 - Reaching out to Daniel Weisfield and accessing his newsletter

44:30 - Being knowledgeable and knowing who your mentors are

44:57 - Conclusion

SUBSCRIBE TO PASSIVE MOBILE HOME PARK INVESTING PODCAST YOUTUBE CHANNEL https://www.youtube.com/channel/UCy9uI3KGQmFgABsr9lUtRTQ

Links & Mentions from This Episode:

Daniel Weisfield’s LinkedIn: https://www.linkedin.com/in/daniel-weisfield/

Three Pillar Communities: https://threepillarcommunities.com/

Keel Team’s official website: https://www.keelteam.com/ 

Andrew Keel’s official website: https://www.andrewkeel.com/  

Andrew Keel LinkedIn: https://www.linkedin.com/in/andrewkeel 

Andrew Keel Facebook page: https://www.facebook.com/PassiveMHPinvestingPodcast

Andrew Keel Instagram page: https://www.instagram.com/passivemhpinvesting/

Twitter: @MHPinvestors

Quotes:

“One thing I've observed in manufactured housing is investors in this asset class, particularly new investors in this asset class, fall in love with the (Mobile Home Park) asset class story and forget the first rule of real estate, which is location, location, location.” - Daniel Weisfield

“It takes a lot of time to master (Mobile Home Park) operations; it doesn’t just happen overnight.” - Andrew Keel

“We strongly believe in a for-sale (Tenant-Owned Home Mobile Home Park) model.” - Daniel Weisfield

“Don’t believe the hype about mobile home parks.” - Daniel Weisfield