Jefferson Lilly
Jefferson Lilly is a mobile home park investment expert, educator, and industry consultant who has been featured in the New York Times, Bloomberg Magazine, and on the 'Real Money' television show. Prior to co-founding Park Street Partners in 2013, Mr. Lilly spent seven years investing his own capital at Lilly & Company where he acquired and continues to operate mobile home parks in the Midwest. Prior to becoming an investor full-time, Jefferson spent 10 years in sales leadership roles with several venture-backed startup companies in Silicon Valley that were acquired by Openwave Systems and VeriSign. Earlier in his career he held operational roles at Viacom and was a consultant with Bain & Company.
- M.B.A. Wharton School of Business
- B.A. University of Pennsylvania
CASE STUDIES
Portfolio
NOBLE ESTATES
MID-SIZED ALL-AGES MOBILE HOME PARK
OKLAHOMA CITY, OK
2007 – PRESENT
We own and operate an all-ages community in the Oklahoma City Metro area. Capital invested was for down payment, followed-on with capital for infrastructure upgrades, and new manufactured homes for additional residents to stabilize the property.
Over the previous seven years we have more than tripled Net Operating Income by: purchasing, transporting, and rehabbing 28 mobile homes to increase occupancy 42%; raising rents 64%; tightening credit standards for prospective residents; managing operating costs down to industry-leading ratios (28.2%); recruiting and training a new property management team; creating effective web and print advertising campaigns; making a significant investment in the water infrastructure; and working with City regulators to re-write pending legislation to better protect our property rights.
We have grown revenues 253% while maintaining industry-leading expense ratios, thus generating in excess of a 30% IRR on equity capital over 6 years.
TUTTLE ESTATES
SMALL ALL-AGES MOBILE HOME PARK
OKLAHOMA CITY, OK
2013 – PRESENT
We have recently purchased a small community in the Oklahoma City Metro area. We secured 100% bank financing and acquired the property at a 12% cap rate. Our plan through the end of the FY 2013 is to improve NOI by 50% (the equivalent of an 18% cap rate). We anticipate achieving these results principally through expense reduction (billing for water), with additional, but more modest upside from revenue improvement (better tenant screening, property marketing, and rehabbing park-owned mobile homes).
Consulting Clients
While acquiring mobile home parks remains our primary focus, we do consult to a select few clients, especially when our services may lead to an acquisition or partnership in a property.
SENIORS MOBILE HOME PARK
NORTHERN CALIFORNIA, CA
2010 – 2013
We consult to this owner of a 100+ space seniors community. We have hired a replacement management team for this client, and recommended and arranged a new $3.0mm refinancing of the existing mortgage, improving monthly cash flow by $3,100. We have improved Net Operating Income 15% by: recruiting and training a new property management team; creating effective web and print advertising campaigns; making significant investment in the gas, electric, and water metering infrastructure; advising management on procedures for taking control of abandoned mobile homes; purchasing, transporting, and rehabbing four mobile homes to increase occupancy; coordinating lobbying efforts with other park owners regarding rent control and other proposed City legislation.
ALL-AGES MOBILE HOME PARK
SOUTHERN CALIFORNIA, CA
SUMMER, 2011
We advised a high net worth investor prior to her investment in a Trust Deed on a seniors mobile home park. We conducted due diligence on the property’s occupancy, tenant base, management, competitive positioning in the marketplace, legal structure of the investment and fairness of proposed terms, and researched and screened attorneys for further advice on remaining legal issues.