MobileHomeStatusReportCCmtg2-28-22(klk)
CITY OF SIMI VALLEY
MEMORANDUM
F
ebruary 28, 2022
TO
: City Council
F
ROM: Department of Environmental Services
S
UBJECT: R ECEIVE AND FILE THE MOBILE HOME RENT MEDIATION BOARD ANNUAL STATUS REPORT FOR CALENDAR YEAR 2021
RECOMMENDATION
T
he Mobile Home Rent Mediation Board recommends that the City Council receive and file the Mobile Home Rent Mediation Board Annual Status Report for Calendar Year 2021.
BACKGROUND AND OVERVIEW
The
Mobile Home Rent Mediation Board ( Board) is required to submit an annual status report on the Board’s activities and the rental and vacancy rates for the five mobile home parks within the Board’s purview to the City Council each year in February, pursuant to Resolution No. 2013-57.
FINDINGS AND ALTERNATIVES
O
n January 19, 2022, the Board reviewed its Annual Status Report for Calendar Year 2021 (Attachment A ) and approved it for submission to the City Council. The Board received no petition requests regarding rent adjustments in 2021. The overall response, from the five (5) mobile home parks within the Board’s purview, indicate that the mobile homes housing sector continues to experience high demand and stagnant supply. Mobile homes represent two percent of all housing stock within the City.
T
he overall average rental rate is approximately $735, or $11 above the prior year. It represents a one and one-half percent increase, which is much lower than the prior year’s increase of seven percent. This annual rent adjustment is typical and reasonable as it allows park owners to maintain and manage their properties and pay for their debt service.
W
hile the overall cost for mobile home living is steadily rising, it is still one of the most affordable housing options for lower -income households and for those living on a fixed income.
AGENDA ITEM NO.
Consent (3)
MobileHomeStatusReportCCmtg2-28-22(klk)
The following alternatives are available to the City Council:
1. Receive and file the Mobile Home Rent Mediation Board Annual Status Report for Calendar Year 2021;
2. Provide staff with further direction.
The Board recommends Alternative No. 1.
SUGGESTED CITY COUNCIL MOTION
I move to receive and file the Mobile Home Rent Mediation Board Annual Stat us Report for Calendar Year 2021.
SUMMARY
On January 19, 2022, the Mobile Home Rent Mediation Board approved its Annual Status Report for submission to the City Council. The Board had no activity during the reporting period. It is recommended that the City Council receive and file the Board’s Annual Status for Calendar Year 2021.
____________________________________
Stratis Perros
Environmental Services Director
Prepared by: Eric Chen, Associate Planner
INDEX Page
Attachment A – MHRMB Annual Status Report for CY 2021 .......................................... 3 2 ATTACHMENT A
MobileHomeStatusReportCCmtg2-28-22(klk)
MOBILE HOME RENT MEDIATION BOARD
ANNUAL STATUS REPORT FOR CALENDAR YEAR 2021
1. Board Activities
The Board received no petitions requesting rent adjustments in 2021. As part of the annual review, City staff sent out a survey to identify changes in mobile home space and unit count, c hanges in unoccupied space and unit count, range of monthly rental rates , and the average of individual space rents. The five mobile home parks within the Board’s purview responded to the City’s survey, reporting their vacancy and space rental rates for calendar year 2021.
This housing sector continues to experience high demand with very little supply.
Mobile homes constitute just two percent of all housing stock within the City. While the overall cost for mobile home housing options is steadily rising, it is still among the most affordable housing options for lower-income households, including those with a fixed income. The State of California continues to provide services and programs through the Mobile Home Assistance Center , to assist in maintaining mobile home parks as an affordable and viable housing option. In July 2021, Assembly Bill 978 specified rent caps on qualified mobile home parks ; however, the five parks within the Board’s purview do not meet the criteria and are not subject to the rent caps under the new law.
2. Mobile Home Park Vacancy Rates
At the time of the survey, one (1 ) mobile home was reported vacant, resulting in an overall vacancy rate of approximately 0.1 percent, which is extremely low. The vacancy rate is determined by the number of unoccupied mobile homes in the five mobile home parks. It is not inclusive of vacant spaces not containing m obile homes.
Table 1 – Vacancy Rates (as of December 31, 2021)
Mobile Home
Park
Number of
Spaces
Developed
Acres
Vacant
Mobile
Homes
Current
Vacancy Rate
Vacant
Spaces
Friendly Village 222 25.9 0 0.0% 0
Trade Winds 100 9.2 0 0.0% 0
Crest 41 3.9 0 0.0% 0
Simi Country 276 33.4 0 0.0% 0
Susana Woods 139 20.2 1 0.7% 0
Overall 778 92.6 1 0.1% 0
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3. Mobile Home Rental Rates
The overall average rental rate is approximately $735, or $11 above the prior year.
It represents a one and one half percent increase, which is much lower than the prior year’s increase of seven percent. This annual rent adjustment is typical and reasonable to allow park owners to maintain and manage their properties and paying their debt service.
Table 2 – Range of Monthly Rental Rates by Park (as of December 31, 2021)
Friendly Village Trade Winds Crest Simi Country Susana Woods 2021
$523.52 to
$975.00
$453.79 to
$975.00
$303.00 to
$1,200.00
$374.00 to
$1,350.00
$374.00 to
$1,350.00
2020
$512.52 to
$955.00
$434.79 to
$950.00
$242.00 to
$1,100.00
$374.00 to
$1,150.00
$374.00 to
$1,100.00
2019
$502.52 to
$945.00
$407.04 to
$925.00
$230.00 to
$795.00
$374.00 to
$1,150.00
$374.00 to
$1,150.00
2018
$494.52 to
$945.00
$372.13 to
$825.00
$230.00 to
$795.00
$374.00 to
$1,050.00
$374.00 to
$1,050.00
2017
$483.52 to
$945.00
$372.13 to
$825.00
$230.00 to
$795.00
$340.45 to
$950.00
$350.00 to
$950.00
Table 3 - Average Rental Rates by Park (as of December 31, 2021)
Friendly Village Trade Winds Crest Simi Country Susana Woods 2021 $800.00 $799.20 $830.00 $625.00 $775.00
2020 $801.23 $776.46 $673.79 $625.00 $775.00
2019 $775.00 $666.02 $562.00 $625.00 $625.00
2018 $759.93 $645.64 $558.00 $775.00 $626.00
2017 $734.57 $650.12 $528.50 $775.00 $650.00
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4. Locations of Mobile Home Parks
The following map identifies the locations of the five mobile home parks within the Board’s purview.
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