Residents of Stewartville mobile home park express concerns over ownership changes
(ABC 6 News) – The residents of Southern Hills/Northridge Place mobile home park became concerned after they say they found out the property under their homes had been sold without their knowledge, and a dramatic increase in rent for new residents that followed.
For years, the property had been owned by Sun Communities, Inc., but as of July 19 the property is now under the ownership of Havenpark Communities, a Utah-based corporation specializing in mobile home parks just like Southern Hills.
According to residents, little information had been shared by the original owners about the process.
“We didn’t really get any notifications keeping us up to date on what was going on with the sale or if it was not going on,” said resident Leon Neid.
The only notification they received from Sun Communities was back in March when they received a letter that stated Sun had been given an “unsolicited bona fide offer” to purchase the park, as was required by Minnesota State law.
The next information the residents received was another letter from Sun several months later saying they had been sold to a company called “Southern Hills Owner, LLC.”
They didn’t hear the name Havenpark until a couple of days after when the company announced the change in ownership by taping letters to resident’s doors.
“Nobody really gave us a definite determination of what the sell date was until we were informed that it was sold,” said Neid.
What current residents appear more concerned with is how Havenpark is approaching bringing in new residents.
According to a Facebook post from the property’s community manager that was shared with ABC 6, the base rate for lot rentals for newcomers was being increased from $514 to $895, a 74% increase.
Residents I spoke with said they were concerned that this same increase would be applied to them over time, especially as many residents live on fixed incomes.
Havenpark Communities is a national company, and has been the subject of some criticism from residents in other states for the purchase and handling of similar mobile home communities.
There’s even a Facebook group dedicated to fighting the corporation through legal means.
However, in a statement shared with ABC 6, Havenpark Communities wanted to assure residents that the increase will only be for incoming residents and will go towards various community improvements:
“Havenpark is thrilled to be a part of the Southern Hills Community, which is a great manufactured home community serving the Greater Rochester area. We have plans to make the community even more enjoyable for residents and visitors with new landscaping, pool repairs, road and infrastructure improvements, as well as new signage that will add to the beauty and accessibility of Southern Hills. Southern Hills’ community managers will soon be sharing the news about our improvement projects in a formal letter to residents that also addresses concerns about rumored rent increases for existing residents. We are committed to creating a community that everyone in Southern Hills feels proud to call home.“
– Statement from Havenpark Communities
What residents of Southern Hills seem most concerned with is making sure their neighbors are being taken care of.
“It’s just… it’s unfair to the park community of homeowners to be put at this kind of pressure,” said Neid.
Some residents have started a petition requesting the lot rent increases not be applied.