
Investment Thesis
Opportunity:
Manufactured housing communities represent one of the most recession-resistant, undersupplied, and operationally efficient sectors in U.S. real estate. With over 20 million Americans living in manufactured homes, demand for affordable housing continues to outpace supply.
Rationale:
Chronic affordable housing shortage: The U.S. faces a severe shortage of affordable housing, and MHCs offer one of the lowest-cost living options available.
Stable, predictable income: Tenants typically own their homes and rent only the land, creating low turnover, minimal maintenance responsibilities, and consistent cash flow.
Limited new supply: Zoning restrictions and community opposition make it very difficult to build new MHCs, protecting existing operators from competition.
Demographic tailwinds: Aging baby boomers and economically squeezed millennials are increasing demand for affordable, low-maintenance housing.
Fragmented ownership: Many parks are still owned by mom-and-pop operators, creating acquisition opportunities for professional investors to bring scale and operational improvements.
Hestia’s investments in Mobile Homes
Manufactured in the U.S. and built to be more durable than legacy mobile homes, these properties offer investors the dual advantage of fixed income and valuable depreciation benefits.
Investment Tiers
Bronze
- Fixed income investment providing monthly interest only payments for 36 months
- Investment secured by real assets and underlying real estate
- Safe cash flow play during uncertain times in the equities market
- Ability to reinvest/extend investment
Silver
- Fixed income investment providing quarterly interest only payments for 60 months
- Monthly cash flow + accelerated depreciation on the assets (homes)
- Hestia provides cost segregation study for use of accelerated depreciation on homes
- TCJA may provide 100% of investment losses in year one
Gold
- Premier access to off-market investments in Manufactured Housing Communities
- Equity position in value-add parks
- Passive investment that can yield remarkable value creation and huge tax benefits
- Operations, park improvements, tenant relations etc. all handled by highly successful team of professionals
Hestia’s investments in Manufactured Housing Communities
Passive equity positions in manufactured housing parks offer huge upside potential, the ability to capture bonus depreciation, and the opportunity to partner with premier park operators.
Interested in Investing?
