The most significant change in the last two impact reports has been the elimination of lump sum payments in favor of compensation based on "actual costs." Previously, mobile home owners in the park would have received a minimum lump sum payment of $31,000 up to a maximum payment of $56,000. One part of this sum was a flat $11,000 for relocation expenses, the other was based on the value of the mobile home. The owner previously had offered a minimum $20,000 for each mobile home, no matter the appraised value. Homes worth more than $20,000 would have received their full appraised value, the highest of which was $45,000. (see: Web Link)
Under the park owner's latest proposal, mobile home park owners selling their units would receive an average payment ranging from about $12,000 for a one bedroom apartment to $16,000 for a two bedroom apartment. The payment includes the costs of moving, deposits and a 40 percent rent subsidy for one year. This amount is larger than the original lump sum offer of $11,000, which the City contended was too small to cover the cost of remaining in the area. (see: Web Link)
The park owner's latest proposal eliminates the minimum $20,000 payment for any mobile home at Buena Vista. Instead, mobile home park owners would also receive a payment for the actual appraised value of their mobile home. With an average age of 42, most homes in Buena Vista are likely worth far less than $20,000. As a result, some residents could receive significantly less under the current proposal, while a few owners with the newest units could receive a little more.
The City has until February 9th to respond to the park owners latest filing.