Owner Threatens To Close Park If Rent Increase Is Not Approve
The owners of Besaro Mobile Home Park in Freemont, California have appealed in state and federal court the blockage of their attempt to raise rents by as much as 40%. If the appeal fails, the owners’ attorney says that they will close the park.
The 236 space park has a long history of battles with the city over rent increases, which has strict guidelines regarding such increases. Besaro’s owners claim that the city has hindered them from catching up in their rental rate with the two other parks in the city.
Currently, Besaro’s lot rent is $669 while the other two parks are $715 and $782. The owners are asking that their rent be raised to $895.
The park was allowed a major rent increase in 2001, but a judge blocked further increases on the grounds that park expenses had not gone up, and that the park’s annual profit in excess of $1 million was satisfactory.
Besaro was developed in the 1970s, and is owned by the heirs of the four original owners.
Frank & Dave’s Opinion of This Article:
We all like to keep our rents at a maximum -but golly, does this not strike you as a bit insane? What do you think the original builders would tell their heirs if they could? Like maybe they should back off and get their heads screwed on straight? Here you have a property that generates over $1 million per year at a very high lot rent, and they’re threatening to shut the whole thing down if they can’t jack it up even higher. What do you suppose the income from 50 acres of farmland would be if they did shut it down? Probably a lot less.
May 25, 2010 3:12 pm