Why Investors Like Carlyle Are Bullish on Trailer Parks
As investor demand for mobile home parks heats up, especially in areas with high housing demand fueled by tech company growth, Carlyle Group has made its second West Coast buy in the past two months.
The equity giant closed on Sunnyvale's Plaza Del Rey mobile home park last week. Carlyle is reported to have spent around $180M to purchase the 85-acre Plaza Del Rey, which is south of Tasman Drive and west of Lawrence Expressway.
The company is among investors grabbing up mobile home rental communities across the nation. Carlyle purchased a majority interest in Pacific Skies Estates in Pacifica last month.
Pacific Skies Estates has 93 lots, and Carlyle plans to convert the site to high-end manufactured homes for rent after buying out the current homeowners.
Plaza Del Rey has 722 units, and Carlyle reportedly plans to continue operating the park with residents still owning their units and renting the lots. [SVBJ]
