Question: I understand that Oregon law governs late fees. Can you summarize it for us?

By: Tony Petosa, Nick Bertino, and Erik Edwards of Wells Fargo Multifamily Capital

Despite a turbulent start to 2016, with the capital markets roiling from weakness in China and a downward spiral in oil and stock prices, borrowers have an abundant array of attractive financing options available for acquiring or refinancing Manufactured Home Communities (MHCs).  However, due to recent volatility, astute investors should take a thoughtful approach to navigating the field of potential lenders.  While the same lending alternatives are available since the economic recovery gained traction in 2012 - Fannie Mae, Freddie Mac, conduit lenders, banks and thrifts, and life insurance companies - each lender offers distinct advantages/disadvantages as it relates to loan structures, interest rates, closing costs, servicing, and their responses to the whims of the market.

From a general market perspective, there are still plenty of reasons for commercial real estate investors to be optimistic.  Treasury yields are currently near all-time lows, interest rate spreads for most lenders remain at favorable levels, and underwriting guidelines continue to moderate due to an ever expanding supply of active lenders in the market.    Employment and housing sectors have improved in the past year as U.S. unemployment dipped below 5% for the first time in many years.  Barron's recently reported that despite the turbulent markets, it expects the U.S. economy to avoid recession and grow at a 3% pace in 2016.  Additionally, while a precipitous fall in oil prices has had a negative impact on oil patch" locations

The Fair Housing Amendments Act (FHAA) went into effect on March 12, 1989.  That Act amended Title VIII of the Civil Rights Act of 1968, which prohibited discrimination based on race, color, religion, sex or national origin in the sale, rental, or financing of residential housing.  The FHAA added two additional protected classes; (1) persons with disabilities and (2) families with children.  Children include persons under the age of 18 years.

Question - A rent increase notice of $20 was sent out last year and became effective October 1, 2015. A resident has refused to pay this increase, and has tendered rent for the pre-increase amount. Can I give her a 72 Hour Notice (MHCO Form 42) for the past six months for not paying the additional $20?

The Justice Department announced today that Thomas Mere, the owner and operator of Mere's Mobile Home and Recreational Vehicle Park in North Fort Myers, Florida, has agreed to pay $40,000 to resolve allegations that he discriminated against African Americans in violation of the Fair Housing Act.  The settlement, which is in the form of a consent order, must still be approved by the U.S. District Court for the Middle District of Florida.

The government's complaint, also filed today, alleges that the defendant falsely told African Americans that no mobile homes, recreational vehicles or recreational vehicle lots were immediately available for rent, but told similarly-situated white persons that they were, in fact, available for rent.  According to the complaint, the defendant encouraged prospective white renters to consider residing at Mere's Park and discouraged African Americans from residing there by, for example, referring African Americans to another mobile home and RV park, making discouraging comments about units that were available for rent and failing to provide African Americans complete and accurate information about available units and lots.  The lawsuit is based on the results of testing conducted by the department's Fair Housing Testing Program, in which individuals pose as renters to gather information about possible discriminatory practices. 

Owners of rental properties cannot pick and choose residents based on race or color

Question - A resident moves out of their house but the daughter continues to pay a storage fee and signed a MHCO Storage Agreement. The home is not being occupied by anyone. All storage fees are current. However, no one is maintaining the yard or outside of the home. This is required under the Storage Agreement, and work needs to be performed immediately. The MHCO storage agreement refers to a three (3) day notice in the event of non-compliance. Does the community owner give a 3-day notice for non-compliance? If so, what happens next if there is no compliance? Does the landlord file an FED? Should the landlord stop accepting storage payment?