Investment Overview

Spruce Ridge MHC is a 45-site mobile home community spanning 5.61 acres in Winslow, Maine. The property includes 31 tenant-owned homes (TOHs), seven lease-to-own homes (LTOs), two park-owned homes (POHs), one office (located in a park-owned home that can be converted for rental or sale), and four vacant sites, with a 91 percent physical occupancy rate (100 percent occupancy excluding vacant sites). Current average rents are $595/month for sites, $318/month for homes, and $431/month for LTOs, with a 24-month average remaining life of LTO contracts in the community (as of November 2024). Located in an opportunity zone and outside flood risk areas, the property has seen $86k in recent capital improvements, including road paving, tree trimming, and inventory home renovations. Utility expense recapture is ~74.6 percent, with opportunities to shift costs to residents through direct billing, boosting NOI and operational efficiency. Spruce Ridge benefits from its close proximity to major employers like Colby College and manufacturers such as Elanco and Midstate Machine Products, in a region with a significant housing shortage. Neighboring Waterville alone requires 1,000 additional housing units, while statewide underproduction is projected at 38,500-45,800 units through 2030. Situated on well-trafficked roads (6,355-10,433 daily vehicles), the community is positioned in a growing area, with a 4.2 percent population increase expected by 2029 within a 1-mile radius. This stabilized, homeowner-occupied property offers investors upside potential through infilling vacant sites, raising rents to market rates, densifying beyond permitted sites, and driving operational efficiencies.