L – MHP Glossary of Terms and Definitions
Mobile Home Park glossary of terms starting with the letter L, abbreviations, acronyms, initialisms, and definitions of each.
- Land Lease
- The Land Lease amount that a mobile/manufactured homeowner pays to lease the land/lot that their home is installed on.
- Land Lease Community
- Private land developed as home sites for mobile and/or manufactured homes. In most areas, most home sites are leased to the mobile home owner for a monthly fee referred to as space rent or lot rent.
- Leased Land Mobile Home Loan
- A loan on a manufactured or mobile home on leased land, typically a mobile home park. This loan finances the home only and is referred to as a Chattel Mortgage.
- A Leasehold is created when a Ground Lease owner enters into an agreement or contract with a Lessee for a given length of time typically with stipulations for what is to occur at the end of the contract period. A Lessee buys the Leasehold Rights and pays ground rent to the holder of the Ground Lease, usually a percentage of the monthly total space rents. The holder of the Leasehold does not own the land.
- Example 1: Lincoln Center Mobile Home Park
KSFG Purchased Leasehold Rights in Mar 2005 for $19,795,000.
- Example 2: Tustin Village Mobile Home Park
KSFG Purchased Leasehold Rights in Jan 2005 for $4,500,000.
- One who contracts to rent, occupy, and use a mobile home space under a lease agreement. The Lessee is also referred to as a Tenant.
- A mobile home park owner who enters into a lease agreement with a tenant. The Lessor is also referred to as a Landlord.
- The method by which a lender, referred to as the Lien Holder, secures repayment of the loan. When a borrower takes out a loan on a mobile home, a lien in favor of the lender is placed on the title of the home. This lien ensures that the lender will be paid before title of the mobile home can be transferred to any other buyer. If a mobile home loan is defaulted on, the lien allows the lender to legally take possession of the collateral, in this instance the mobile home.
- Lot Rent
- The Lot Rent that a mobile/manufactured homeowner pays to lease the land/lot that their home is installed on.