The portfolio marks a strategic expansion into the Indiana market, focusing on Kokomo, with 396 sites in the city proper. There are 2 communities within 30 minutes of Kokomo, adding another 181 sites. The concentration of sites allows for economies of scale, operational efficiencies, and a competitive market advantage. The acquisition of these communities is an opportunity to own a significant number of the total manufactured housing sites within the area.

There is substantial rental upside through the strategic leasing of vacant park-owned homes. These homes present an immediate opportunity to increase occupancy rates and generate additional rental income. Current ownership brought in 96 brand new park-owned homes (2023 or newer) and filled 89 of them, leaving 7 new homes left to fill. Additionally, there are 115 pre-owned, vacant homes. By filling only half of the vacant inventory homes, occupancy would increase to 87%, boosting ERI by $350k at the current lot rent rates. The increased occupancy not only improves revenue but also strengthens community stability and appeal. This proactive approach to utilizing vacant homes positions the investment for significant growth and profitability.

All the communities, with the exception of Maple Lawn (private sewer) and Countryview Farms (private well), feature public utilities that are billed back to the residents. The current recapture rate hovers around 76% for water, sewer, and trash, providing an ample opportunity to improve upon. Metron meters were recently installed, which allow ownership to benefit from timely leak detection and repair. The combination of improved utility recapture and quicker leak detection would substantially boost the bottom line.