UMH PROPERTIES, INC. COMPLETES ACQUISITION OF ALABAMA MANUFACTURED HOME COMMUNITY

Rhea-AI Summary

UMH Properties has successfully acquired a manufactured home community in Dothan, Alabama for approximately $4.6 million. This community comprises 195 homesites, with around 37% currently occupied and spans roughly 33 acres. UMH's CEO, Samuel A. Landy, highlighted the company's strong performance amidst economic challenges, maintaining rent collections near pre-pandemic levels. The Dothan community aligns with UMH's strategy to expand into similar demographics found in their Northeast and Midwest markets, with plans to enhance occupancy and value.

Positive

• Acquisition of Dothan community aligns with expansion strategy.
• Strong rent collections near pre-pandemic levels indicate financial stability.
• Potential for significant increase in property value with turnaround strategy.

Negative

• Only 37% of homesites currently occupied, indicating initial revenue challenges.

FREEHOLD, NJ, Jan. 08, 2021 (GLOBE NEWSWIRE) -- UMH Properties, Inc. (NYSE: UMH) announced that it closed on the acquisition of a manufactured home community located in Dothan, Alabama for a total purchase price of approximately $4.6 million. This community contains 195 developed homesites, of which approximately 37% are occupied. It is situated on approximately 33 acres. 

Samuel A. Landy, President and Chief Executive Officer, commented, “UMH has performed exceptionally well during one of the most difficult economic cycles our country has ever experienced. Our rent collections have remained at or near pre-pandemic levels all year and demand for rentals and sales has been strong. This strong performance has given us the confidence to take our proven business plan and implement it in new markets.”

“We are pleased to announce the acquisition of our first community in Alabama. Deer Run is well-located in Dothan. Dothan has similar demographics to many of the markets where we operate in the Northeast and Midwest. We plan on implementing our turnaround strategy and quickly infilling the community with rental homes which should result in a significant increase in value.”

UMH Properties, Inc., which was organized in 1968, is a public equity REIT that owns and operates 125 manufactured home communities with approximately 23,600 developed homesites. These communities are located in New Jersey, New York, Ohio, Pennsylvania, Tennessee, Indiana, Maryland, Michigan and Alabama. In addition, the Company owns a portfolio of REIT securities.

Contact: Nelli Madden

732-577-9997

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FAQ

What is the acquisition price of the UMH property in Dothan, Alabama?

The acquisition price for the manufactured home community in Dothan is approximately $4.6 million.

How many homesites does the Dothan community have?

The Dothan community contains a total of 195 developed homesites.

What percentage of homesites are currently occupied in the Dothan community?

Approximately 37% of the homesites in the Dothan community are currently occupied.

How does this acquisition fit into UMH Properties' business strategy?

This acquisition supports UMH's strategy to expand into markets with similar demographics to those in the Northeast and Midwest, with plans to implement a turnaround strategy.

What are the future plans for the Dothan manufactured home community?

UMH plans to infill the community with rental homes to significantly increase occupancy and property value.